By Adedapo Adesanya

Oil prices climbed about 3 per cent on Tuesday, which is a sign of higher demand in Europe and China, lower production in the US, and tensions in the Middle East, with Brent futures gaining $1.92 or 3.2 per cent to settle at $62.15 a barrel and the US West Texas Intermediate (WTI) futures rising by $1.96 or 3.4 per cent to close at $59.09 per barrel.

Development in Europe boosted positive signals as the European Union (EU) said the 27-nation bloc is under no pressure to accept an unfair tariff deal with the US.

The European Commission, meanwhile, proposed adding more individuals and over 100 vessels linked to Russia’s shadow fleet to its 17th package of sanctions against Moscow in response to Russia’s 2022 invasion of Ukraine.

Demand signals may also be tied to expectations that European companies will record growth when first quarter numbers are released.

The rise in geopolitical risk premium in the Middle East also provided support after Israel struck Iran-backed Houthi targets in Yemen as a retaliation for an assault on an airport.

US President Donald Trump, however, said the US will stop bombing the Houthis in Yemen, saying that the group had agreed to stop interrupting important shipping lanes in the Middle East.

Prices also drew support after consumers in China increased spending during the May Day celebration and as market participants returned after the five-day holiday.

The US Dollar fell to a one-week low against a basket of currencies as investors grew impatient about trade deals.

A weaker US currency makes dollar-priced oil less expensive for buyers using other currencies.

In addition, lower oil prices in recent weeks have prompted some US energy firms to announce that they would cut some rigs, which analysts said should over time increase prices by reducing output.

President Trump also said on Monday he would announce pharma tariffs over the next two weeks, his latest action on levies that have impacted global financial markets over the past months.

US Treasury Secretary Scott Bessent said the Trump administration could announce trade agreements with some of the US largest trade partners as early as this week, but gave no details on which countries were involved.

By Dipo Olowookere

A 1.56 per cent rise was recorded by the Nigerian Exchange (NGX) Limited on the back of renewed confidence in the market by investors.

The growth posted by Nigerian stocks during the session was significantly driven by demand for banking and energy equities.

The energy space appreciated by 2.97 per cent, the consumer goods index gained 1.75 per cent, the banking counter grew by 1.60 per cent, the commodity sector improved by 1.54 per cent, and the industrial goods index expanded by 0.08 per cent, while the insurance industry went down by 1.61 per cent.

At the close of business, the All-Share Index (ASI) chalked up 1,662.60 points to 108,361.10 points from the 106,698.50 points recorded a day earlier and the market capitalisation, which measures the total value of shares on the platform, increased by N1.045 trillion to N68.105 trillion from N67.060 trillion.

The trio of Ecobank, Northern Nigeria Four Mills, and Nestle Nigeria topped the gainers’ chart yesterday after they rose by 10.00 per cent each to N25.85, N82.50, and N1,210.00 apiece, as Beta Glass jumped by 9.98 per cent to N132.80, and Austin Laz leapt by 9.94 per cent to N1.88.

Conversely, Guinea Insurance led the losers’ group after it shed 8.70 per cent to 63 Kobo, DAAR Communications declined by 6.78 per cent to 55 Kobo, VFD Group lost 6.59 per cent to trade at N17.00, Coronation Insurance slumped by 6.07 per cent to N2.01, and Regency Alliance weakened by 4.69 per cent to 61 Kobo.

During the session, investors transacted 475.5 million stocks for N13.9 billion in 17,575 deals versus the 569.0 million stocks valued at N18.9 billion exchanged in 18,612 deals on Monday, representing a decline in the trading volume, value, and number of deals by 16.43 per cent, 26.46 per cent, and 5.57 per cent, respectively.

The busiest equity on Tuesday was Access Holdings with 103.9 million units worth N2.2 billion, GTCO exchanged 38.0 million units for N2.4 billion, UBA traded 30.7 million units valued at N1.1 billion, Sterling Holdings transacted 27.2 million units worth N147.2 million, and Zenith Bank sold 26.2 million units valued at N1.2 billion.

By Modupe Gbadeyanka

Following a production capacity boost facilitated by new machinery being commissioned in the two manufacturing plants, Dangote Packaging Limited (DPL) is planning to expand into the African export market.

With its production now up to 52 million polypropylene bags per month from 36 million, the management is exploring pushing the excess to other African markets to boost the Nigerian economy, particularly for foreign exchange (FX) earnings.

“With the current increase in production capacity, DPL is ready to explore markets across West, Central, and Southern Africa.

“Once domestic demand is met, it is only logical to channel our surplus to new territories. To this end, we have engaged an export team to lead the charge,” the chairman of the company’s board, Mr Robert Ade-Odiachi, said during a strategic board meeting held last Wednesday.

According to him, the entry into export markets will be backed by world-class standards, also hinting at the possibility of offering trade concessions to fast-track market penetration in target export regions.

“We are equipped with state-of-the-art machinery, skilled manpower, and robust systems. Our product quality is unmatched, and our pricing remains competitive,” he added.

DPL’s expansion is part of a wider strategic alignment with the growing demands of the Dangote Group’s industrial portfolio. The increase in production is expected to support the Group’s internal supply chain while also positioning DPL as a regional packaging powerhouse.

“With our refinery and petrochemical plants now supplying key raw materials, we have achieved self-sufficiency, further reinforcing our long-term growth prospects,” Mr Ade-Odiachi said.

Also speaking at the meeting, Dangote Group Treasurer and DPL Board Member, Mr Mustapha Matawalle, stressed the economic benefits of the expansion.

“This is not just about market dominance and revenue generation,” he said. “It’s also about creating jobs and boosting Nigeria’s foreign exchange earnings through export activity,” he stated, lauding DPL’s commitment to Health, Safety, Security, and Environmental (HSSE) standards, noting that operations remain fully compliant with regulatory expectations.

The company’s new push follows the commissioning of advanced machinery in April, an event where DPL Managing Director, Mr Sai Prakash, described the equipment as cutting-edge and pivotal to enhanced productivity and product quality.

“With our rapidly expanding capabilities, stepping into the African market is a natural and timely progression,” Mr Sai Prakash said.