Akintunde Oyedokun
Research Analyst
Crude prices steadied on Wednesday, recovering slightly from earlier losses, as U.S. industry data showed a fall in crude, gasoline, and distillate inventories. Brent inched up to $67.40 per barrel, while WTI rose to $63.44.
Investors remained cautious over heightened trade tensions after the U.S. doubled tariffs on Indian imports, raising questions about future oil flows. At the same time, ongoing U.S. engagements with Ukraine and Russia added a layer of geopolitical uncertainty that kept traders on edge.
China’s Industrial Profits Shrink for Third Straight Month
China’s industrial profits fell 1.5% in July, extending a three-month decline as businesses struggled with weak demand, deflation, and rising competition. Losses were notable in autos and solar manufacturing, while state-owned firms posted a sharp 7.5% drop over the first seven months.
Although Beijing has rolled out spending and subsidies, a property slump and falling credit growth continue to dampen confidence. Analysts caution that more decisive policy action is needed to support a sustained recovery.
UK Producer Prices Surge to Two-Year High in June
Britain’s producer output price inflation rose to 1.9% in June from 1.3% in May, reaching a two-year high, preliminary ONS data showed. The release follows a suspension of PPI figures earlier this year after calculation errors were uncovered.
While input costs fell 1% due to cheaper oil and gas, the upward revision of past data points to stronger underlying pressures. With consumer inflation already at 3.8% in July and expected to climb further, the figures add to concerns over persistent price growth.
Egypt, Gulf and Chinese Investors Seal $220m Deal for Solar Manufacturing Hub in Suez Canal Zone
Egypt on Wednesday signed a $220 million agreement with investors from the UAE, Bahrain, and China to establish an integrated renewable energy complex in the Suez Canal Economic Zone. The facility will focus on producing solar cells, panels, and energy storage systems, boosting the country’s clean energy capacity and industrial base.
With an annual output target of 2 gigawatts each for solar cells and solar panels, the project is expected to strengthen Egypt’s role as a regional hub for renewable energy manufacturing while supporting its long-term sustainability and energy transition goals.
Nigeria-Guangxi Trade Rises to $320m in 2024
Nigeria’s trade with China’s Guangxi region climbed to $320 million in 2024, up 21% from the previous year, according to Guangxi People’s Congress Vice Chairman Zhang Xiaoqin. During a visit to the Nigeria-China Strategic Partnership (NCSP) in Abuja, Xiaoqin pledged deeper cooperation in agriculture, tourism, mining, and the digital economy.
NCSP Director-General Joseph Olasunkanmi Tegbe reaffirmed Nigeria’s growing ties with China, upgraded to a Comprehensive Strategic Partnership, and promised closer collaboration to drive industrialization and economic growth.
