Five things to know to start your Monday

Edo to benefit from $3.2bn US, Nigeria trade agreement

Edo state is to benefit from an investment agreement between the United States of America and Nigeria worth $3.2 billion annually, the Miami Trade Missionaries based in Miami, Florida said.

According to Jean Monestime, Miami Dade Commissioner, Miami, Florida, who led a delegation of 40 potential investors to Edo state on a bilateral trade trip, said that Abuja, Lagos, and Edo states would benefit from aviation, tourism, and investments.

He reiterated that the investment is consistent with the goal of strengthening bilateral trade relations with key allies.

“The United States and Nigeria currently trade more than $3.2 billion. I do not think that this pie is big enough for Edo State to receive its fair share of trade and commerce with Miami Dade County.

“I have learned a little about the rich culture that you have here. So, we look forward to you bringing your delegation to Miami. ” He added that he believes the goodwill shown will be reciprocated when Edo State sends a delegate to the United States later.

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Lebanon’s inflation rate of 211.4%, highest in 3-month

Lebanon, which has one of the highest inflation rates in the world, suffered another increase as the rate shot up to a three-month high of 211.43 percent in May of 2022.

The new inflation rate is a more than 50 basis point increase from April’s five-month low of 206.24 percent, pointing to the highest level since February.

According to tradingeconomics, “inflation accelerated for most components: housing & utilities (110.13 percent vs 103.86 percent), transport (515.36 percent vs 492.09 percent), furnishings, household equipment and routine maintenance (182.35 percent vs 174.87 percent), and health (468.27 percent vs 430.64 percent).

Another affected component is the prices of food and non-alcoholic beverages, which continue to rise (363.78 percent vs. 374.38 percent).

Tunisian party says will not recognise any deal with international lenders

The Constitutional Free Party, one of Tunisia’s main political parties, said on Sunday that any agreement that Tunis makes with international lenders will not be accepted.

The political party has rejected any plan for a bailout from international lenders to Tunis in exchange for unpopular reforms.

According to Reuters, Jihad Azour, the director of the Middle East at the IMF, will visit Tunisia on Monday and meet with President Kais Saied, in an indication that official negotiations could start soon over a rescue package.

Tunisia is seeking a deal on a $4 billion loan from the IMF to address challenged public finances in return for unpopular reform packages.

Some of the unpopular reform packages include the removal of food and energy subsidies; wage freezes; and pension reforms.

The Constitutional Free Party and other political parties and pressure groups have rejected the economic reforms demanded by the IMF, threatening to embark on protests and mass demonstrations if President Saied goes ahead with the loan.

Increased demand drives Brent crude higher

Despite fears of monetary tightening by central bankers, expectations of higher demand drove Brent crude futures towards $114 per barrel this morning.

The prices reacted to Jennifer Granholm, US Energy Secretary, warning of a “continued upward pull on demand” over the weekend and the possibility of sustained high gasoline prices. This is according to tradingeconomics.

Several major developments in the global oil market, such as the Russia-Ukraine war, the civil unrest in Libya, as well as the failure of OPEC+ to pump in more oil, have impacted negatively on the market.

US futures rises 

US stock futures rose in Asian trade on Monday as investors’ hunger for riskier investments returned. Despite this new development, investors still played cautiously on inflation and a possible recession kept the market in check.

As a result, the Dow futures, S&P 500 futures, and Nasdaq 100 futures all gained 0.4 percent, 0.5 percent, and 0.8 percent, respectively.

This comes after the previous week ended on a down note, with the S&P 500 losing 5.8 percent, sinking deeper into the bear market.