Akintunde Oyedokun
Research Analyst
Oil prices dropped to multi-month lows as OPEC+ announced its first output increase since 2022, adding 138,000 barrels per day in April. Brent crude settled at $71.04, while WTI closed at $68.26.
Market sentiment weakened further as the U.S. imposed new tariffs on Canada, Mexico, and China, prompting swift Chinese retaliation. Analysts warn that rising trade tensions and weaker economic activity could dampen energy demand, keeping oil prices under pressure.
UK Retail Prices Set To Rise Amid Higher Employment Costs
British retailers are expected to raise prices as higher wages, packaging levies, and payroll taxes take effect in April. The British Retail Consortium (BRC) reported a 0.4% price increase in February, driven by food inflation and the end of seasonal discounts.
Food inflation hit 2.1%, with further rises likely, potentially exceeding 4% by mid-year. BRC CEO Helen Dickinson called on the government to ease cost burdens to support retailers and curb inflation.
Japan’s Capital Spending Declines For First Time In Four Years Amid Economic Uncertainty
Japan’s corporate capital spending fell 0.2% year-on-year in Q4, marking the first decline in nearly four years, driven by labor shortages and global economic risks. While firms continue investing due to strong profits, trade uncertainties, including U.S. tariffs, could slow future spending. The drop follows an 8.1% rise in Q3 and may impact GDP revisions and interest rate expectations. Despite this, Japan aims to double annual corporate investment to 200 trillion yen by 2040, with companies focusing on technology to counter an aging workforce.
M23 Rebels Raid Goma Hospitals, Abduct 130 Patients
M23 rebels, allegedly backed by Rwanda, raided two hospitals in Goma on February 28, abducting 130 sick and wounded men suspected of ties to Congolese forces, the UN reported.
The UN condemned the attacks, urging the rebels to release the captives. M23’s rapid advance has escalated conflict in east Congo, killing 7,000 people and displacing nearly half a million since January, despite international peace efforts.
Nigeria’s FX Reserves Fall By $1.31bn In February Despite Naira Gains
Nigeria’s foreign exchange reserves fell by $1.31 billion in February 2025, dropping from $39.72 billion to $38.42 billion, a 3.3% decline. This outpaces January’s $1.16 billion drop, signaling ongoing external pressures.
The decline comes amid the naira’s appreciation, raising concerns about forex liquidity, debt servicing, and heavy reliance on reserves for imports. Key drivers include CBN interventions, external debt obligations, and oil revenue challenges.
