Oil prices have fallen sharply by 1.6% partly because of higher US interest rates and also as a result of fears of slowing global growth (3.7%). Any further retreat in prices could easily erode the stability in the Nigerian forex market.
However, since this is a widespread fall across most commodities, we expect the oil price slump to be temporary and a recovery in November.
The attached document contains a snapshot of the global and domestic developments in the commodities market this week.
Enjoy your read!