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Oil prices rebound after a sharp decline

Brent gained 1.76% to trade at $84.38pb today after plunging by more than 1% to $82.89pb on July 26. The rebound in oil prices was largely attributed to mounting expectations of supply tightness, bolstered by the forthcoming additional output cuts by Saudi Arabia and Russia scheduled for August. The recent uptick brought oil prices closer to a 4-month high of $87.33pb. However, the lower-than-expected drop in US crude inventories threatened this bullish sentiment.

Cocoa futures rise in Nigeria

Cocoa futures in Nigeria’s Edo and Akwa Ibom states rose by 10.53% and 2.77% to $2,663/mt and $2,463/mt, respectively, as unfavourable weather conditions in the region worsened the ongoing shortage. Nigeria, being the fourth-largest producer of cocoa globally, heavily relies on Edo State for the majority of its cocoa yield. Lower cocoa production in the country will support cocoa futures in the global market.

The domestic price of plantains spiked to N5,000 in July

The price of a bunch of plantains has more than doubled to N5,000 from its price at the start of the year (N3,000). This has been attributed to various factors, including the planting season effect and rising demand owing to its versatility. However, despite the surge in its price, plantain production is yet to be optimised in the country as the export potential remains relatively modest. Nigeria is the fifth-largest producer of plantains, with an annual output of about 3.1 million metric tonnes.

These and other burning economic issues were discussed on the Business Morning programme on Channels TV by FDC’s senior analyst, Dr. Adesola Sunmomi.

Click the link below to watch the video.

Enjoy your read!