Oil prices fell at the end of the week due to concerns that the Federal Reserve would further tighten monetary policy to combat inflation, which would threaten fuel demand, as well as refinery maintenance in Asia and the US, the US’s proposed release of 26m barrels of oil from its Strategic Petroleum Reserve (SPR), and a significant buildup in US crude stockpiles. Recovering Chinese demand continues to be the lone driving force holding oil prices steady. Analysts expect that, barring any potential supply disruption, the ongoing buildup of US inventory and the danger of an economic slowdown brought on by monetary tightening will keep oil prices lower in the coming week. In the local market, analysts anticipate that the nation’s oil regulator will strengthen oversight of erring oil marketers who sell petrol beyond the regulated price of N184 per litre in the coming week.
