Brent crude oil prices reached their highest point since April this Thursday, driven by a larger-than-anticipated drop in U.S. crude oil reserves. The U.S. Energy Information Administration (EIA) announced a significant 12.2 million barrel decrease in inventories. As a result, Brent crude futures climbed 21 cents to settle at $87.55 per barrel, while U.S. West Texas Intermediate (WTI) crude futures saw an 18-cent
UK Construction Growth Slows in June Due to Election Uncertainty
British construction activity growth decelerated in June, marked by a decline in house-building, which reflected a cautious stance among some firms ahead of the July 4 election. The S&P Global UK Construction Purchasing Managers’ Index dropped to 52.2 in June from May’s 54.7, falling below economists’ median forecast of 53.6. This slowdown was partly attributed to uncertainty surrounding the upcoming national election, where the Labour Party is expected to win decisively. While commercial construction and civil engineering activity increased, residential building work decreased. Firms noted a rise in employment, with job creation rates reaching their highest since August of the previous year.
German industrial Orders Slide In May
In May, German industrial orders fell unexpectedly for the fifth consecutive month, suggesting a continued downturn in manufacturing for Europe’s largest economy in the months ahead. Adjusted for seasonal and calendar effects, orders declined by 1.6% compared to the previous month. Excluding large-scale orders, new orders in May decreased by 2.2% from the previous month. Over the three-month period from March to May, orders were 6.2% lower than in the preceding three months, partly due to the impact of a substantial large-scale order.
Canada’s Services PMI Down To Three-Month Low In June
Canada’s services economy contracted in June as a decline in new business weighed on the sector’s performance amid cooling inflationary pressure. The headline business activity index fell to 47.1 from 51.1 in May, posting its lowest level since March. A reading below 50 signals deterioration in activity. The reading for May was the first time in a year that the index had been above the 50 threshold. However, The S&P Global Canada Composite PMI Output Index, which captures manufacturing as well as service sector activity, also slipped back into contraction in June, falling to 47.5 from 50.6 in May.
Tanzania Central Bank Maintains Key Rate
Tanzania’s central bank decided to maintain its main interest rate at 6%, citing expectations of inflation well below target, robust economic growth, and anticipated easing of exchange rate pressures. The Bank of Tanzania introduced this benchmark rate in January under a new monetary policy framework, initially setting it at 5.5% and raising it to 6.0% in April. The bank’s inflation target is 5%, yet consumer inflation has consistently remained below this, registering at 3.1% year-on-year in May. The country’s current account deficit for the quarter ending in June is estimated to have slightly narrowed to $959 million, compared to $978 million in the same quarter of 2023. Despite this, foreign exchange reserves remained strong, exceeding $5 billion as of the end of June.
Nigeria’s NGX Group Confirms Chiemeka As CEO Of Operating Arm
Nigerian Exchange Group Plc (NGX Group) has announced the appointment of Mr. Jude Chiemeka as the Chief Executive Officer of Nigerian Exchange Limited, after the Securities and Exchange Commission (SEC) approval. The appointment was effective as from July 1, 2024. He is a fellow of the chartered institute of stockbrokers, an alumnus of the University of Lagos, Lagos Business School, and the University of Oxford, UK. He also worked at leading investment banking firms in Nigeria such as Chapel Hill Denham Securities, Rencap Securities (Nigeria), MD/CEO at United Capital Securities Limited.
