In the global markets, Brent slipped to $56.34pb due to concerns that rising U.S production will offset OPEC’s efforts at maintaining market stability.

Nigeria is the world’s 5th largest palm oil producer accounting for only 2% of production. With 990,000 tonnes, aggregate supply is far below demand of 1.56million tonnes.

Oil palm producers and processors are making super normal profits and their share prices are sky rocketing. Domestic price of palm oil has declined by 25% in 12 months to N12,000 (25 ltr).

The retail price of cement is up 8% to N2,700. This is not unusual because at this time of the year, the demand for cement surges due to increased real estate activity. In addition, the FGN’s increased capex of N2.2trn in 2017 means more civil works and construction.

In the global markets, Brent oil gained marginally to $56.75 due to OPEC’s bullish stance on tighter market rebalancing in 2018.

Attached is a synopsis of the commodity markets for the week

Burning Economic Issues

Oil price down 1.07% to $56.34pb· Cement price jumps 8% to N2700

· IMF warns against excessive foreign borrowing

· Naira flat at N363/$ and N475/£

· Diesel retail price rises to N200/ltr

Economic News
The Good

OPEC’s determined to curb excess supplies

The Bad

High diesel price will stoke inflationCement price up to N2,700 per bag

Power Generation analysis & Impact


October 8th: Average power output sent was 3486MWh/hour (up 312MWh/h)

Gas constraint was 302.4MW; frequency management constraint due to loss of DisCo feeders was 2169.6MW·  Estimated loss: N1.187bn (annualised at N433.25bn /$1.21bn)

·  DisCos’ inability to pick load is the largest constraint to improved service delivery

Domestic Commodity Prices Movement





Stock Market
·        NSE ASI 0.22% to 36,732.24pts

·        Consumer goods sub index 0.61% to 933.24pts



Oil Prices
·        Brent crude 1.07% to $56.34pb

·        EIA reported a 2.8mb drawdown in U.S. crude Inventories

·        Refineries in Texas recover from hurricane-related shutdowns

·        De facto OPEC leader – Saudi Arabia determined to reduce monthly crude exports

·        On expectations that market rebalancing is underway

Oil Markets Today




Outlook – Oil Prices
·        Oil prices expected to maintain upward trend

·        Supply & demand gap is expected to narrow further in coming months

·        Amid a surge in global demand growth

·     OPEC’s Secretary-General seeks U.S. shale producers cooperation to help cut excess global supplies

Outlook – Agric Prices

Grains 

Markets await the release of the USDA crop report·        Prices expected to trade lower on forecasts of rising inventories and weak demand

Soft
Sugar

Demand from bulk consumers will drive price movement

Cocoa

Prices will trade slightly higher due to lower than expected cocoa deliveries in Ivory Coast

SOURCE: https://brandspurng.com/domestic-price-of-palm-oil-declined-by-25-in-12-months-to-n12000-25-liters/

More....

Ok

na for paper the thing dey reduced jare

No be for paper o.

make e even decline by 50% wetin I no be say BUHARI dey pack comot for 2019

OK

No be for paper na for pencil?

Mtcheew... It's normally like that.


APC shouldn't take it as an achievement

Pple just be in their houses and be typing rubbish.....was surprised wen I priced a 4litre gallon of oil, both groundnut and palm oil.....my God it has so come down.

That's Just a jumbo post without a reason why its so

Agric I said is the way out

It's this kind of statistics that mislead those in power!
Lagos it's just a state in Nigeria

When petroleum prices drops then that's a news

aboladejohnny:
make e decline reach 2%. wetin I no be say BUHARI dey pack comot for 2019

LIKE if you agree

Stop talking like though na ur papa's backyard dem go decide who will become Nigeria's president in 2019. U go just give urself heartattack at the end of the day.

Okay

Hmm! The title of the post makes it seem as if it is about Palm Oil alone.

How much be c.d?

After storing palm oil worth a million naira

pls ooo, don't fall the price now.... I have oil to sell o. I bought it 12k why would u now fall it. buhari, mind yasef o

Okay o

I love this. I'm a good news crew. I believe in Nigeria my Jerusalem, they that love her shall prosper.

Hit like if you agree.

fg are turning blind eye to activities of palm oil companies in Edo state, eg, okomu, presco, Afripalm etc who have palm oil that can go round Africa to make the price very cheap but instead they take 95 %of the product to Europe then make the product scarce here

Its now below 12k sef

Garri sef don cheap...na only when food prices dey go up we dey make noise

I have being a dealer in Palm Oil for years and with my experience I can boldly say the price will kick. it had started already down south in akwa ibom......
it's a usual trend, the only issue is that it won't be like last year, the best month to sale off ur oil is November, December and January.
I've posted those trends on my thread, check d biz section

donparosky:
I have being a dealer in Palm Oil for years and with my experience I can boldly say the price will kick. it had started already down south in akwa ibom......
it's a usual trend, the only issue is that it won't be like last year, the best month to sale off ur oil is November, December and January.
I've posted those trends on my thread, check d biz section

Baba dey talk. I have few kegs of oil to sell when it is time to make little profit. Hope baba will help if his help needed at the time?