- Nigerian Bonny Light crude holds at $67 a barrel after early-week gains.
- Investors regain optimism as U.S.–China trade relations show improvement.
Nigeria’s oil prices stabilised near $67 a barrel this week as traders regained confidence in global markets. Oil buyers returned strongly after steep declines on Friday, October 10, driving a rebound across major benchmarks. Nigerian Bonny Light maintained its strength at $67, while Brent crude and WTI recorded solid gains.
Investors became cautiously optimistic following signs that Presidents Trump and Xi might ease trade tensions. Trump wrote on Truth Social that the United States wants to “help China, not hurt it.” However, he also threatened 100% tariffs on Chinese imports, prompting a warning from Beijing. Despite the sharp rhetoric, traders expect diplomacy to prevail.
Brent crude traded at $63.76, while WTI crude climbed 2% to $59.92. The recovery followed Friday’s 4% slump, which had dragged oil prices to their lowest level since May. Analysts attribute last week’s fall to renewed geopolitical uncertainty after China expanded its rare earth export restrictions. The move was widely viewed as retaliation for U.S. trade measures.
The two leaders are scheduled to meet later this month at the APEC summit in South Korea. Many analysts believe both sides will pursue a compromise, possibly extending the tariff truce agreed in May. As a result, crude traders are betting on short-term stability rather than a long-term rally.
OPEC+ continues to exercise restraint, maintaining its cautious output strategy to prevent oversupply. This policy has helped stabilise prices even as demand projections fluctuate.
Meanwhile, Nigeria’s oil sector is showing renewed momentum. The country recently launched its first wholly owned Floating Storage and Offloading (FSO) vessel near Bonny. With a 2.2-million-barrel capacity, the vessel will modernise export infrastructure and reduce pipeline theft and vandalism risks.
Nigerian oil prices reflect a fragile balance between global uncertainty and cautious optimism. If trade tensions ease further, crude markets could find a stronger, steadier footing in the weeks ahead.