RFA Breakfast Paper - September 18, 2026
Brent Crude Falls as Diplomatic Efforts Raise Hopes of Supply Recovery
Brent crude fell toward $102 per barrel on Monday, declining for a fourth consecutive session as increased diplomatic efforts raised hopes of an easing in the Middle East conflict and a restoration of disrupted energy flows. US President Donald Trump indicated he could meet Iranian President Masoud Pezeshkian on the sidelines of the United Nations General Assembly in New York, while further talks with Gulf leaders and a scheduled summit with Chinese President Xi Jinping could support broader diplomatic engagement. Qatar has also called for greater regional cooperation to restore stability, with messages reportedly being exchanged between Washington and Tehran. Meanwhile, US Central Command said oil and LNG shipments through the Strait of Hormuz had reached their highest level in six months over the previous two weeks, suggesting that energy flows are gradually improving. The combination of stronger diplomatic engagement and recovering flows is easing near-term supply concerns and reducing the geopolitical risk premium embedded in crude prices.
U.S. Equity Markets End Week Mixed as Oil and Geopolitics Take Focus
U.S. equity markets ended the week mixed on Friday as investors consolidated gains from the post-Fed rally. The Nasdaq moved higher, supported by semiconductor stocks, while the Dow edged lower. Oil prices declined for a third consecutive session, but Treasury yields moved higher, highlighting continued tension between easing energy prices and broader rate pressures. Attention now shifts to oil markets and geopolitics, with the relationship between crude prices and bond yields strengthening amid persistent Middle East tensions. Further moves in energy prices could influence inflation expectations and the outlook for monetary policy. This week, investors will also focus on the September 24 meeting between President Donald Trump and Chinese President Xi Jinping, with trade and broader U.S.-China relations likely to remain key considerations for global markets.
NGX Closes Week Higher as Banking Sector Leads Gains
The Nigerian equity market closed the week on a bullish note, with the NGX-ASI and Market Capitalization both rising 1.42%. Strong buying interest in medium- and large-cap stocks supported the advance, led by the Banking sector. The NGX-ASI gained 3,489.18 basis points to close at 249,804.56, while Market Capitalization increased by ₦2.26 trillion to ₦162.16 trillion. The gains reflected continued positive sentiment as investors maintained interest in large and liquid stocks. The market also posted a strong week-on-week performance, with the NGX-ASI rising 2.78% and investors’ wealth increasing by ₦4.57 trillion. Sector performance remained broadly positive, as four of five sectors advanced. Banking led gains, followed by Insurance and Industrial Goods, while Oil & Gas was broadly flat. Consumer Goods was the only sector to decline, highlighting the broad but uneven nature of the week’s advance.
