Crude oil prices have risen in excess of $102 per barrel at the international market.
The development was a direct function of comments from China’s Premier, Wen Jiabao, that the government would step up its efforts to boost the economy of the world’s second-largest oil consumer. Consequently, the price of Brent which is often used to benchmark other prices rose by 27 cents to $102.67 per barrel during the past week. Other crude oil grades also witnessed significant leap in prices.

Oil prices rallied on after China’s second-quarter GDP figures were not as bad as some had feared, dispelling worries that China was heading for a hard landing. China’s official Xinhua news agency quoted Wen Jiabao as saying that measures to stabilise the economy were working and the government would step up efforts in the second half of the year to support the economy, sparking expectations of further easing.

Market watchers in Nigeria are pleased with developments in China for at least a reason. The nation is a major consumer of Nigeria’s oil. Thus, it is expected that the improved fortunes of Chinese economy would likely culminate in increased demand for the nation’s oil.