Akintunde Oyedokun
Research Analyst
Oil prices gained in after-hours trading Friday after President Trump announced plans to lower proposed tariffs on Canadian oil from 25% to 10% and delay implementation to February 18.
WTI crude rose 1% to $73.48 per barrel, while Brent crude climbed 0.7% to $76.54. Despite the gains, both benchmarks recorded a second consecutive weekly decline.
Analysts warn tariffs could increase fuel prices and disrupt supply chains. Canada has pledged a strong response if the tariffs proceed.
Germany’s Inflation Steady, Core Rate Drops, Fueling Expectations of ECB Rate Cuts
Germany’s inflation remained at 2.8% in January, while core inflation eased to 2.9% from 3.3% in December. Weak economic growth, rising unemployment at 6.2%, and external pressures continue to weigh on Germany’s economy. The European Central Bank (ECB) cut rates on Thursday, with markets expecting three more reductions this year. Eurozone inflation data due Monday may influence future policy decisions. Despite easing core inflation, consumer price expectations remain slightly above the ECB’s 2% target.
U.S. Inflation Climbs In December, Delaying Fed’s Interest Rate Cuts
U.S. inflation surged in December, marking the highest monthly increase in eight months due to strong consumer spending. The Personal Consumption Expenditures (PCE) Price Index rose 0.3%, signaling that the Federal Reserve is unlikely to cut interest rates soon. Core inflation, excluding food and energy, has remained steady at 2.8% year-on-year. The Federal Reserve has forecasted only two rate cuts for the year, citing economic stability and uncertainty from President Trump’s policies. Inflation trends are keeping the central bank cautious, with no cuts expected before mid-2025.
Thirteen Artisanal Miners, Including Women and Children, Killed in Mali Gold Mine Flood
Thirteen artisanal miners, including women and three children, tragically died in southwestern Mali when a gold mine tunnel flooded. The incident occurred near Danga village in the Koulikoro region after sluice gates broke, spilling water into the tunnel where miners were searching for leftover gold. The unregulated conditions of the mine made recovery efforts challenging, with authorities working to retrieve the bodies.
Artisanal mining is common across West Africa, driven by rising metal demand and prices. However, the practice is often dangerous due to the lack of safety regulations. This tragedy follows a similar incident in January 2024, when over 70 people died in a shaft collapse at another mining site in the same region.
Nigeria’s Proposed Tax Overhaul Aims to Curb Inflation, Ease Household Costs
Nigeria’s planned tax overhaul, which includes nearly doubling VAT to 12.5% by 2026, is designed to reduce inflation and lower household costs, says presidential adviser Taiwo Oyedele. The proposal, which exempts food, medicine, and essentials, will impact 82% of household spending, benefiting most Nigerians. While critics express concern over potential economic hardship and regional disparities, Oyedele argues the plan will boost tax compliance and align Nigeria with global standards. The government aims to reduce inflation from 34.8% to 15% this year.
