Business Hilights

Tracking Nigeria's Headline Business News Online

Crude oil drilling rig

Oil slips but heads for steady week on supply tightness

Ad 2
Ad 3

Oil prices trimmed overnight gains on Friday but were poised to end the week largely steady after rebounding from a sharp drop, underpinned by expectations supply will remain tight as demand recovers. Brent crude futures fell 7 cents, or 0.1%, to $73.72 a barrel at 0147 GMT, after jumping 2.2% on Thursday. For the week, Brent was headed for a 0.1% gain. U.S. West Texas Intermediate (WTI) crude futures fell 8 cents, or 0.1%, to $71.83 a barrel, following a 2.3% gain on Thursday. WTI was set to end the week flat. Demand growth is expected to outpace new supply, following the agreement by the Organization of the Petroleum Exporting Countries (OPEC) and allies, known as OPEC+, to add back 400,000 barrels per day each month from August through December. Oil prices, along with other riskier assets, tumbled earlier in the week on concerns about the broad economic impact of surging COVID-19 cases of the Delta variant in the United States, Britain, Japan and elsewhere. Benchmark contracts fell as much as $6 on Monday but have recouped all of those losses as investors expect overall crude demand to stay strong driven by the continued fall in oil stocks and rising rates of vaccinations.

Business Hilights is an online news channel conceptualized and structured to report and track on a daily basis; latest developments in critical business sectors to serve as a one stop news gateway for governments, foreign and indigenous investors.