Reporting by Channels TV indicates a sharp spike in international crude oil benchmarks, with Brent soaring nearly 14% in early Monday trading. The price hike follows a series of military strikes in the Middle East that have effectively disrupted traffic through the Strait of Hormuz, a vital artery for 20% of the world’s seaborne oil supply.
The sudden volatility has sent shockwaves through global equity markets, with Asian stocks witnessing a significant retreat as investors flee to safe-haven assets like gold and the US dollar. In Nigeria, the development presents a double-edged sword: while government revenues from oil exports are expected to rise, the cost of imported refined petroleum products is projected to follow suit.
Energy firms have seen their valuations jump amidst the chaos, but airline stocks have taken a battering due to rising fuel costs and flight cancellations in the affected region. Analysts are now closely monitoring the duration of the supply chain disruption to determine the long-term impact on global inflation.
Vanguard and Daily Trust have both verified the market movements. Vanguard reported that “local fuel prices may face upward pressure in the coming weeks,” while Daily Trust featured a quote from a market strategist stating, “the closure of the Strait of Hormuz is a ‘black swan’ event that could redefine energy security for 2026.”
Echotitbits take: For Nigeria, the immediate windfall in the Federation Account will be tempered by the rising subsidy burden or pump price hikes. Watch for an emergency meeting of the National Economic Council (NEC) this week.
Source: BusinessDay – https://businessday.ng/markets/article/oil-surges-toward-80-as-middle-east-conflict-rattles-global-markets/, March 2nd, 2026
Photo credit: BusinessDay
