Akintunde Oyedokun
Research Analyst
Oil prices rose about 2% on Thursday, reaching their highest in a week, as U.S. President Donald Trump warned of “severe consequences” if peace talks with Russian President Vladimir Putin on Ukraine fail. Optimism over a potential U.S. interest rate cut in September also boosted sentiment, with Brent closing at $66.84 and WTI at $63.96. Traders expect lower rates to spur economic growth and oil demand, while uncertainty over U.S.-Russia relations continues to add a bullish risk premium.
Australia’s Job Market Rebounds in July, Easing Rate-Cut Pressure
Australian employment rose by 24,500 in July, driven by a surge in full-time jobs, cutting the jobless rate to 4.2% from a 3½-year high. The stronger labour market eased pressure on the Reserve Bank of Australia for an immediate follow-up to its recent rate cut, though more easing remains possible if inflation continues to slow. Full-time employment jumped by 60,500, with female full-time roles hitting a record high. Business sentiment and job vacancies remain strong despite global economic headwinds.
US Jobless Claims Fall, But Weak Hiring Signals Possible Rise in Unemployment
US jobless claims fell slightly by 3,000 to 224,000 last week, signaling relatively low layoffs, but hiring remains sluggish as businesses grapple with weakening domestic demand and high tariffs, which could nudge the unemployment rate up to 4.3% in August. Continuing claims dipped modestly to 1.953 million yet remain elevated, reflecting that jobs are becoming harder to find. While financial markets widely expect a Federal Reserve rate cut next month, persistent inflation and tariff pressures may make policymakers more cautious.
Azule Plans Second Gas Well as Angola Shifts from Oil to Gas
Azule Energy is considering a second gas well after its Gajajeira-01 find, holding over 1 tcf of gas and 100 million barrels of condensate. The move aligns with Angola’s plan to raise gas output by more than 20% in five years to boost exports and satisfy rising local demand.
Key projects, including Azule’s New Gas Consortium and Chevron’s Sanha Lean development, are set to drive growth, with the Quiluma and Maboqueiro fields launching in 2025, as the country’s oil production steadily declines.
Nigeria Approves Plan To Refinance ₦4tr Power Sector Debt
Nigeria has approved a phased plan to refinance ₦4 trillion ($2.61 billion) owed to 27 power generation firms for unpaid invoices from 2015–2023, aiming to stabilise the electricity sector and improve supply. The debt will be refinanced within three to four weeks through bonds and other instruments, under the debt management office’s oversight. This move follows President Bola Tinubu’s pledge to settle verified claims and aligns with broader reforms, including subsidy cuts and tariff hikes expected to save ₦1.1 trillion annually.
