Akintunde Oyedokun
Research Analyst
Crude prices slipped Thursday from a seven-week high as investors booked profits and braced for weaker demand and fresh Kurdish oil supplies. Brent fell 0.6% to $68.88, while WTI lost 0.7% to $64.51. Pressure came from weak U.S. equities, Fed comments on market valuations, and expectations of rising Iraqi and Kurdish output, heightening oversupply fears as the peak demand season ends.
SNB Holds Rates at Zero as U.S. Tariffs Weigh on Growth
The Swiss National Bank kept its benchmark interest rate at 0%, pausing after seven straight cuts, as U.S. tariffs on Swiss exports cloud the 2026 economic outlook. Chairman Martin Schlegel warned that key sectors like machinery and watchmaking face pressure, prompting the bank to lower its growth forecast to below 1% and anticipate rising unemployment. The franc slipped slightly against the euro and dollar. Analysts expect the SNB to hold rates steady while monitoring inflation and potential impacts from U.S. trade policy.
U.S. Home Sales Slip as Prices Stay High Despite Lower Mortgage Rates
Existing U.S. home sales fell 0.2% in August to an annual rate of 4.00 million units, slightly beating forecasts. Prices climbed 2% year-over-year to $422,600, marking 26 straight months of gains and remaining 52% above pre-pandemic levels. Mortgage rates eased to 6.26% after the Fed’s recent rate cut, with more reductions expected, which could support future sales. Inventory dipped 1.3% to 1.53 million units, holding steady at 4.6 months of supply. Sales rose in the Midwest and West but fell in the Northeast and South. Cash deals made up 28% of sales, while first-time buyers accounted for 28%, up from last year.
South Africa’s Producer Inflation Rises to 2.1% in August as Monthly Prices Edge Higher
South Africa’s producer inflation saw a noticeable uptick in August, climbing to 2.1% year-on-year compared with the 1.5% recorded in July, according to fresh data released by Statistics South Africa on Thursday. The report further revealed that the Producer Price Index (PPI) registered a modest month-on-month gain of 0.3% in August, reflecting a gradual increase in costs faced by producers across key sectors of the economy.
Nigeria Approves TotalEnergies’ $510M Sale of Bonga Oilfield Stake to Shell, Agip
Nigeria’s regulator has cleared TotalEnergies’ $510 million sale of its 12.5% stake in the Bonga offshore oilfield (OML 118) to Shell and Agip. Shell acquires 10% for $408 million, Agip 2.5% for $102 million, boosting Shell’s stake to 67.5%. Both firms take on operational, decommissioning, and community obligations. The deal follows the cancellation of TotalEnergies’ $860 million sale to Chappal Energies over unmet financial conditions.
