Connect with us

Business

Crude oil price crashes amid recession fears

Published

on

Price of Brent crude oil dropped to $99.78 amidst fears over global economic recession.

The fall in crude oil price below $100 was the first in the last 15 months after Brent crude entered into the bulls territory, which Citigroup said is being driven by overpriced sentiment among investors.

Brent’s bullish run shows that the commodity was overbought.

This means that the product was selling above its natural price that had been put at $70 per barrel by the American firm in its oil market notice.

READ ALSO: Crude oil trades at $111, as Putin looks to Nigerian buyers

Citigroup had expressed a negative look for the future, stating that Brent would still sell for as low as $65 within the next six months, and went as far as projecting $45 per barrel as the product’s asking price before the end of 2023.

Aside from Brent crude, the United States West Texas Intermediate (WTI) also slumped this evening Nigerian time, trading at a low of $96.31, but now sells at $98.74 per barrel.

Ripples Nigeria reported earlier on Wednesday that Brent crude oil was projected to fall due to global recession induced by inflation in the global market.

The economic downturn is expected to cripple fuel demand.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now

Click to comment

Leave a Reply

Your email address will not be published.

20 − eleven =

Investigations