Economics
Oil Slide Echoes 2008 Peg Pressure for Nigeria to Saudi
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The sharpest drop in oil prices since 2008, coupled with a surge in the dollar, are testing the resolve of energy-producing nations to defend their currency pegs.
Even Saudi Arabia, whose $745 billion reserves may allow it to maintain the link for years, is feeling the pressure of speculators betting against its currency. Nigeria intervened in foreign-exchange markets to bring the naira back from a record low last week, while economists surveyed by Bloomberg expect Venezuela to capitulate on its dollar peg by year-end.