Economy
Strong Job Growth Dampens Hopes for Interest Rate Cut
By Investors Hub
The major U.S. index futures are currently pointing to a lower opening on Friday as trading is set to resume following the Independence Day holiday on Thursday.
Stock futures came under pressure following the release of a Labor Department showing a substantial reacceleration in the pace of U.S. job growth in the month of June.
The report said employment surged up by 224,000 jobs in June after edging up by a downwardly revised 72,000 jobs in May. Economists had expected employment to increase by about 160,000 jobs.
While the data points to a rebound in the labor market following the weakness seen in May, the report has dampened investor hopes for a near-term interest rate cut by the Federal Reserve.
Stocks showed a strong move to the upside over the course of a holiday-shortened trading session on Wednesday. With the upward move, the major averages added to the modest gains posted on Tuesday to reach new record closing highs.
The major averages ended the session at their best levels of the day. The Dow jumped 179.32 points or 0.7 percent to 8,170.23, the Nasdaq advanced 61.14 points or 0.8 percent to 8,170.23 and the S&P 500 climbed 22.81 points or 0.8 percent to 2,995.82.
The strength on Wall Street came as a batch of largely disappointing U.S. economic data reinforced expectations for a near-term interest rate cut by the Federal Reserve.
Initial buying interest was generated in reaction to a report from payroll processor ADP showing private sector job growth reaccelerated in the month of June but still came in below economist estimates.
ADP said private sector employment climbed by 102,000 jobs in June after rising by an upwardly revised 41,000 jobs in May.
Economists had expected employment to increase by about 140,000 jobs compared to the addition of 27,000 jobs originally reported for the previous month.
“Even with the US-China trade talks back on track (for now at least) the evidence of a slowdown in employment growth should still be enough to persuade the Fed to cut rates in either July or September,” said Paul Ashworth, Chief U.S. Economist at Capital Economics.
CME Group’s FedWatch tool shows an interest rate cut of at least 25 basis points at the Fed’s July meeting is priced into the markets, although Ashworth said expectations of a 50 basis point cut “seem misplaced.”
Stocks saw further upside after a report from the Institute for Supply showing a notable slowdown in the pace of service sector growth added to the optimism about a rate cut.
The ISM said its non-manufacturing index dropped to 55.1 in June from 56.9 in May, hitting its lowest level since a matching reading in July of 2017.
While a reading above 50 still indicates growth in service sector activity, economists had expected the index to show a more modest decrease to 55.9.
A separate report released by the Commerce Department showed the U.S. trade deficit widened by more than anticipated in the month of May, as the value of imports jumped by much more than the value of exports.
The Commerce Department said the trade deficit widened to $55.5 billion in May from a revised $51.2 billion in April. Economists had expected the trade deficit to widen to $54.0 billion.
The wider trade deficit came as the value of imports surged up by 3.3 percent to $266.2 billion compared to a 2.0 percent jump in the value of exports to $210.6 billion.
Andrew Hunter, Senior U.S. Economist at Capital Economics, said the wider than expected deficit suggests net trade was a “slightly bigger drag on second-quarter GDP growth than we had previously anticipated.”
“Despite the recent ceasefire agreed between Presidents Donald Trump and Xi Jinping, we still think it is slightly more likely than not that the trade dispute with China will ultimately escalate further,” Hunter said.
He added, “The upshot is that net trade is likely to remain a modest drag on growth over the second half of this year, which we expect to compound a sharp slowdown in domestic demand growth.”
Interest rate-sensitive commercial real estate stocks turned in some of the market’s best performances on the day, driving the Dow Jones U.S. Real Estate Index up by 1.3 percent.
Significant strength was also visible among housing stocks, which would also benefit from lower interest rates. The Philadelphia Housing Sector Index climbed 1.1 percent to its best closing level in over a year.
Transportation, software and telecom stocks also saw notable strength, moving higher along with most of the other major sectors.
By Adedapo Adesanya
President Bola Tinubu on Tuesday asked the Senate to screen and confirm Mr Taiwo Oyedele as the Minister of State for Finance, to replace Mrs Doris Uzoka-Anite.
The President made the request through a letter read on the floor of the Senate by the Senate President, Mr Godswill Akpabio, after a three-week recess for the budget defence exercise.
The request was subsequently referred to the Committee of the Whole for further legislative consideration.
President Tinubu also sought the confirmation of Mr Magnus Abe as Chairman of the Nigeria Upstream Petroleum Regulatory Commission (NUPRC), alongside two commissioner nominees.
The Senate President also read another letter from the President seeking confirmation of Mr Mainasara Illo as Chief Executive Officer (CEO) of the Nigeria Anti-Doping Centre. The nomination was referred to the Senate committees on Narcotics and Drugs and Sports for joint screening.
Another letter from Mr Tinubu sought confirmation of Mr Francis Ifeanyi Asogwa as a commissioner representing the South-East in a federal commission. The nomination was referred to the Senate Committee on Judiciary, Human Rights, and Legal Matters for screening.
The Senate also received requests from the President to confirm two nominees as commissioners of the Revenue Mobilisation Allocation and Fiscal Commission: Mrs Amina Gamawa from Bauchi State and Mr Abdullahi Murktar from Kaduna State.
All nominations have been referred to the relevant committees for further legislative action and screening.
The nomination of the former fiscal policy partner and Africa tax leader at PriceWaterhouseCoopers (PwC) as minister was announced in a statement by presidential spokesperson, Mr Bayo Onanuga, last week.
Mrs Uzoka-Anite will now move to the Ministry of Budget and National Planning, as the Minister of State, her third portfolio in the administration, the presidential spokesman added.
The 50-year-old is a public policy expert, an accountant, and an economist.
He attended Yaba College of Technology and bagged a Higher National Diploma (HND) in accountancy and finance.
Mr Oyedele also earned a BSc in applied accounting from Oxford Brookes University.
The Senate also received the 2026 statutory budget of the Federal Capital Territory Administration (FCTA) from President Tinubu for consideration and approval.
By Aduragbemi Omiyale
The board of Beta Glass Plc has been reorganised, with the addition of four new executives, who will help to drive the company’s next phase of innovation and growth.
In a statement, Beta Glass announced the appointments of four non-executive directors, who are Mr Nitin Kaul, Ms Olusola Carrena, Mr Bolaji Olatunbosun Osunsanya, and Mr Boye Olusanya.
They are replacing the departing Mr Emmanouil Metaxakis, Mr Vassilis Kararizos, Mr Serge Joris, and Mr Gagik Apkarian from the board.
Their appointments, however, are subject to the ratification of the shareholders of the organisation at the next Annual General Meeting (AGM) on June 26, 2026.
Mr Kaul brings to the team over 25 years of global experience in strategy, mergers and acquisitions, restructuring, and business transformation across developed and emerging markets. He is a Partner, Portfolio Operations and member of the Executive Committee at Helios Investment Partners. Prior to joining Helios, he co-founded a boutique advisory firm focused on M&A and operational improvement for private businesses. He previously served as President of diversified industrial and aftermarket businesses at Gates Corporation, where he
was part of the executive team that led its sale to Blackstone in 2014. Earlier in his career, he held senior leadership roles at Tomkins and began his professional journey at Arthur Andersen. He currently serves on the boards of several companies across emerging markets.
As for Ms Carrena, she is a highly respected financial services leader with over 23 years of experience across investment banking, private equity, and corporate finance in Africa. She serves as Managing Director (Nigeria) on the Investment Team at Helios Investment Partners, where she oversees deal origination, execution, exits, and portfolio management across sectors. Before this, she spent a decade at Stanbic IBTC Capital Limited, rising to Executive Director and Head of Corporate Finance. During her tenure, she led and closed over 30 transactions valued at more than $4 billion across diverse industries, including oil and gas, FMCG, financial services, infrastructure, and healthcare. A CFA Charterholder, she holds a Master’s degree from the University of Alberta and a First-Class degree from the University of Lagos.
For Mr Osunsanya, he is an accomplished CEO, investor, and governance leader with more than 35 years of experience spanning energy, finance, and infrastructure. He previously served as Group CEO of Axxela Ltd., where he led strategic restructuring and significant value growth initiatives. Earlier, he held executive leadership roles at Oando PLC and Access Bank Plc, contributing to business transformation, governance strengthening, and sustainable expansion. He has served on the boards of several publicly listed and private companies, providing oversight in areas of strategy, audit, risk, and corporate governance, and remains an influential voice in Nigeria’s energy and financial sectors.
On the part of Mr Olusanya, he is a transformative business leader with over three decades of cross-industry experience spanning engineering, telecommunications, manufacturing, and agribusiness. He currently serves as chief executive of Flour Mills of Nigeria Plc, where he is leading a strategic transformation agenda focused on value chain integration, sustainability, and digital innovation. He previously served as Chief Executive Officer of 9mobile and as Chief Transformation Officer at Dangote Industries Limited, driving enterprise-wide restructuring and operational efficiency programs. He also served as Group Operating Partner at Helios Investment Partners, overseeing performance optimisation across portfolio companies. In addition, he is Vice Chairman of the Nigerian Economic Summit Group, contributing to national economic policy dialogue and private-sector development.
By Adedapo Adesanya
Dangote Petroleum Refinery has reduced its ex-depot prices for Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO), marking the first downward adjustment after several sharp increases recorded in recent days.
According to the refinery’s latest pricing template released on March 10, 2026, the gantry price of petrol has been cut by N100 to N1,075 per litre, down from N1,175 per litre previously.
The 650,000 barrels per day capacity refinery also disclosed that PMS supplied through coastal distribution will now sell at N1,050 per litre, reflecting a marginal price differential for marine deliveries.
In addition, the gantry price of AGO, commonly known as diesel, has been reduced to N1,430 per litre, representing a N190 drop from the earlier price of N1,620 per litre.
The company noted that the quoted gantry prices exclude statutory charges imposed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
The price adjustment came amid a recent decline in global crude oil prices, which has started to ease cost pressures across the international petroleum market and is influencing pricing trends in the downstream sector.
US President Donald Trump reassured markets and claimed the war would end soon, but Iran on Tuesday vowed not to let “a litre” of oil be exported from the Middle East until the United States and Israel stop bombing it.
Brent crude price, which hit a high of $109 per barrel, has now dropped to $90 per barrel, as the largest oil producers in the Middle East Gulf have deepened production cuts and are already lowering output by a combined more than 5 million barrels per day, as the blockade of the Strait of Hormuz has started to affect upstream production.
However, there are worries that, unlike the speed at which petrol stations hiked their cost at the pump, the revised ex-depot prices will not reflect through depot channels and translate into lower retail pump prices nationwide.
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