Brent fell by 4.54% to $63.03pb after a rally in the last few days. Traders are concerned about possible output increases by OPEC+ or rogue members. The meeting of Thursday will most likely leave output unchanged. The decline in Brent should help assuage fears of a rumored N200 per liter PMS price potential if the surge in crude prices continues.
Nigeria's main cocoa crop has received a major boost from a prolonged harvest in Ondo state (Nigeria's largest producer) as the harvest season winds down. Extra rainfall in January and February, mild harmattan and no incidents of bush fires in the state helped to extend the harvest of the main crop. This is likely to add to Nigeria's estimated annual cocoa production of 280,000mt and boost export earnings. This is coming at a time when alleged food blockades in some northern states have triggered artificial scarcity and a temporary surge in some commodity prices.
The slides below give a snapshot of the discussion in the commodities segment of the Business Morning programme on Channels TV by the FDC Think Tank.