Akintunde Oyedokun
Research Analyst
Oil prices climbed on Monday, reaching their highest levels in weeks as a weaker U.S. dollar and renewed hopes for a U.S.-China trade deal lifted market sentiment. Brent crude settled at $67.04 a barrel and WTI at $65.29, both marking multi-week peaks. The drop in the dollar made oil cheaper for foreign buyers, helping drive demand.
Traders looked past weak Chinese economic data and falling crude imports, focusing instead on the potential for improved global growth if trade tensions ease. While OPEC+ output is expected to rise next month, the possibility of a U.S.-China agreement is keeping bullish sentiment alive.
China’s Price Declines Deepen Amid Economic Struggles, U.S. Trade Tensions
China’s deflation worsened in May, with producer prices dropping 3.3%—the steepest in nearly two years—and consumer prices falling for a second month. Weak demand, a slumping property market, and U.S. trade tensions continue to weigh on growth.
Auto sector price wars and cautious household spending reflect fragile sentiment, despite policy support. Core inflation rose slightly to 0.6%, but analysts say persistent overcapacity could keep China stuck in deflation through next year.
Americans See Lower Inflation Ahead, Report Stronger Finances – NY Fed
In May, Americans’ inflation concerns eased, and confidence in personal finances grew, the New York Fed’s survey shows. One-year inflation expectations fell to 3.2% from 3.6%, with similar drops over three- and five-year outlooks. Expected price increases slowed for gas, rent, and healthcare, though food inflation remains elevated at 5.5%.
Tariff uncertainty continues to cloud the outlook, but the Fed is likely to keep rates unchanged at its June meeting. Households reported better income prospects, improved credit access, and reduced debt worries.
Ivory Coast Cocoa Farmers Hope For Rain To Finish Mid-Crop
Cocoa farmers in Ivory Coast say the mid-crop is growing well, but last week’s rain was below normal. They hope for more rain and sunshine to finish the crop strong.
In regions like Soubre and Daloa, farmers expect good harvests for now but say harvesting will drop in July. So far, no crop damage has been seen.
Farmers say weather from now to late July is key for both the end of the mid-crop and the start of the main crop. Temperatures last week ranged from 25.7°C to 29°C.
Nigeria’s Railway Corp Dismisses Safety Fears On Rail Line
The Nigeria Railway Corporation (NRC) has said that the Warri–Itakpe rail line is safe and working well, despite a video on social media claiming otherwise.
NRC spokesperson, Callistus Unyimadu, explained that the rail clips shown in the video were removed temporarily and quickly fixed during routine checks. He said there was no risk to passengers.
He warned the public not to believe false messages online and advised people to get information only from NRC’s official sources.
Despite some past issues on the route, NRC says all problems have been resolved and train services remain safe and reliable.
