Dear subscriber,

The Federal Reserve’s decision to leave US interest rates unchanged was not as surprising as the commitment to keep rates static for the rest of 2019.

The markets had expected at least 2 rate hikes this year. The effect of this interest rate posture is far reaching for commodity prices – especially oil – and investment flows into emerging and frontier markets.

For now, oil prices are higher than the FGN benchmark of $60pb, but could easily fall below it, with far-reaching consequences for the Nigerian economy.

The attached slides summarize the developments in the global and domestic commodities market.

Enjoy your read!