Natural Gas, WTI Oil, Brent Oil – Oil Markets Retreat As Nigeria Boosts Production
- Natural gas tests yearly lows as traders react to the changes in weather forecasts.
- Oil markets are under pressure as Nigeria plans to grow its production from 1.6 million bpd to 1.8 million bpd.
- The recent hawkish commentary from Fed members serves as an additional bearish catalyst for oil markets.
Natural gas tested new lows as weather forecasts trended warmer. From a technical point of view, the current situation is dangerous for the bulls as natural gas is moving out of the previous trading range.
WTI oil suffered a sell-off as traders reacted to the new production data from Nigeria. According to the CEO of Nigeria’s state oil company NNPC, Nigeria was currently producing 1.6 million bpd, up from less than 1 million bpd in July 2022. Nigeria has plans to raise its production towards its OPEC quota of 1.8 million bpd.
Brent oil has also found itself under significant pressure in today’s trading session. In addition to the growth of Nigerian oil production, traders are worried about the outlook for interest rates in the U.S.
For a look at all of today’s economic events, check out our economic calendar.