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Brent gained 0.86% to $84.30pb on a sharp decline in U.S. crude inventories

On Thursday, Brent crude gained 0.86% to reach $84.30 per barrel due to a decline in U.S. crude inventories, which fell by 0.30% to 459.5 million barrels per day, surpassing analysts’ expectations of a 1.1 million barrel draw. This unexpected drop in inventories, coupled with a 4.62% increase in Chinese crude imports to 10.88 million barrels per day compared to 10.4 million barrels per day in the previous year, indicates robust demand from the two largest global consumers of crude oil. With lingering supply constraints, the approaching summer driving season in the U.S. and continued high Chinese imports, Brent prices are anticipated to remain elevated in the near future.

The price of garri surged by 122% to N40,000 per 50kg bag (YoY)

The price of yellow garri, or cassava flakes, has surged by 122% year on year to N40,000 from N18,000 per 50kg bag due to high demand. This rise is driven by consumers shifting demand to garri as a substitute for other items like yam (small size), wheat (10kg), and semovita (10kg), priced at N4,500, N9,600, and N13,200, respectively. As with most commodities, elevated transportation costs and currency depreciation further contribute to the price hike of garri and this trend will likely persist until in the near term.

FDC’s Senior Associate, and Manager, Dumebi Oluwole and Dr. Ifeoma Nwokolo discussed these and other burning economic issues on Channels TV Business Morning and Business Incorporated programmes, respectively.

Click the link  to watch the video.