RFA Breakfast Paper - June 22, 2026
Brent Falls Below $77 as Progress in US–Iran Talks Boosts Supply Outlook
Brent crude futures dropped below $77 per barrel, extending losses from the previous session and reaching their lowest level in nearly three months, as signs of progress in negotiations between the United States and Iran eased concerns over global oil supplies. A key development was Washington's decision to grant Iran a 60-day license to sell oil on international markets, raising expectations that additional Iranian crude could return to global markets more quickly than previously anticipated. The prospect of increased supply has added downward pressure to oil prices following months of disruption linked to them Middle East conflict. Conditions around the Strait of Hormuz have also shown signs of
improvement. Maritime traffic through the waterway has increased, while major regional producers such as Kuwait and the United Arab Emirates continue to utilize alternative export routes to maintain shipments. Iran reportedly exported more than 30 million barrels of oil over the past week, further reinforcing expectations of improving supply availability.
U.S. Markets Navigate Rotation Away from Technology
U.S. equities closed mixed on Monday as weakness in technology stocks weighed on the broader market. The Nasdaq fell 1.3%, pulling the S&P 500 lower, while the Dow Jones moved closer to record highs. Small-cap stocks also outperformed, with the Russell 2000 gaining 0.8% to reach a fresh record close. The session suggested investors are increasingly rotating beyond technology and AI-related stocks into other areas of the market. Meanwhile, Treasury yields continued to rise following last week's hawkish Federal Reserve meeting. The 2-year Treasury yield climbed to a new 2026 high of 4.23%, while longer-dated bonds also came under pressure. Higher yields supported the U.S. dollar and reinforced expectations that interest rates could remain elevated for longer, leaving investors focused on the outlook for monetary policy and economic growth.
NGX Rebounds as Banking Stocks Drive Fresh Buying Interest
The Nigerian equity market started the week on a positive note as renewed buying interest in banking and other large-cap stocks lifted investor sentiment. The NGX All-Share Index advanced by 0.96% to close at 238,203.11 points, recovering some of the losses recorded in recent sessions. Market capitalization rose by 1.00% to ₦152.83 trillion, supported not only by the market's upward performance but also by the additional listing of 1.02 billion ordinary shares of First HoldCo Plc through a private placement. Despite decliners outnumbering advancers, investors returned to selected medium- and large-cap stocks, helping the market close firmly in positive territory. Trading activity also strengthened during the session, reflecting improved market participation. Total volume traded increased
by 8.05% to 475.82 million units, while the value of transactions surged by 47.86% to ₦36.49 billion across 63,567 deals. While the broader market remains sensitive to economic and policy developments, the renewed interest in banking stocks signals improving confidence and could provide support for further gains if buying momentum is sustained.
