Category: 📃Supers News

The Minister of Finance, Wale Edun, on Thursday submitted the estimated cost of the proposed new national minimum wage to President Bola Tinubu.

According to Sahara reporters, Edun submitted a proposal of N105,000 to the president as the new minimum wage.

It would be recalled that on June 4, President Tinubu asked that the finance minister, Wale Edun present a new wage template within two days as there was a disagreement between organised labour and the government. While organised labour is asking for a wage of N494,000, the government said it would pay N60,000.

However, earlier today, the Finance Minister, Edun, along with the Minister of Budget and National Planning, Atiku Bagudu, submitted the cost implementation of the new minimum wage to President Tinubu at the presidential villa in Abuja, as the minister revealed afterwards that “There is no cause for alarm.”

It would be recalled that after an indefinite strike action which commenced on Monday, the organised Labour relaxed the strike with immediate effect for one week as the government committed to pay above N60,000.

Ever wondered about the intriguing dance between Bitcoin prices and stock markets? Brace yourself for a journey into the financial cosmos where digital currencies collide with traditional stocks.

This article delves into the symbiotic relationship between Bitcoin and stocks, exploring how they influence each other. From Bitcoin’s disruptive rise to the impact of stock market trends, get ready to unravel the interconnected world of finance.

BTC and stock market investing can be exciting but don’t overlook the risks associated with it! Bitcoin Buyer can help you to learn about investing and develop skills to invest with confidence.

Understanding Bitcoin’s Impact on Stock Markets

A. Bitcoin’s Growth: A Game-Changer in Traditional Markets

Bitcoin’s evolution from a niche digital currency to a global financial asset has reshaped traditional market dynamics. Its disruptive potential challenges conventional notions of value and investment, compelling stakeholders to reassess their strategies.

As Bitcoin matures, its influence extends beyond the realm of cryptocurrencies, permeating traditional financial markets and prompting a reevaluation of established paradigms.

B. Market Sentiment and Volatility: Deciphering Correlation Patterns

The interplay between Bitcoin prices and stock markets hinges on market sentiment and volatility. Understanding the intricate relationship between these variables is paramount in deciphering correlation patterns.

While conventional wisdom suggests that Bitcoin operates independently of traditional markets, empirical evidence suggests otherwise.

Market sentiment often drives simultaneous movements in both Bitcoin and stock prices, underscoring the need for a nuanced approach to investment strategies

C. Institutional Adoption: Evolving Investment Landscape

Institutional adoption of Bitcoin marks a significant shift in investment strategies, signaling broader acceptance of cryptocurrencies within traditional financial institutions.

As institutional investors increasingly allocate capital towards Bitcoin, the market experiences heightened liquidity and stability. This institutional endorsement not only legitimizes Bitcoin as a viable asset class but also introduces new dynamics into the interconnected world of Bitcoin prices and stock markets.

Reciprocal Influence: How Stock Markets Impact Bitcoin Prices

A. Macro-Economic Indicators: Navigating Stock Market Trends

The impact of stock markets on Bitcoin prices is multifaceted, influenced by macro-economic indicators and broader market trends. Factors such as GDP growth, inflation rates, and monetary policy decisions exert considerable influence on investor sentiment and market dynamics.

Navigating these trends requires a meticulous understanding of economic fundamentals and their implications for Bitcoin valuations.

B. Investor Behavior: Psychological Drivers of Market Movement

Psychological factors play a pivotal role in shaping investor behavior and market sentiment, thereby impacting Bitcoin prices. The fear of missing out (FOMO), herd mentality, and risk aversion are just a few examples of psychological drivers that drive market movements.

Recognizing these behavioral patterns is crucial for investors seeking to capitalize on market inefficiencies and anticipate shifts in Bitcoin prices.

C. Regulatory Developments: Legal Frameworks and Cryptocurrency Valuations

Regulatory developments within the stock market sphere have far-reaching implications for cryptocurrency valuations.

Government policies, legislative reforms, and regulatory enforcement actions can either bolster or undermine investor confidence in Bitcoin.

Understanding the regulatory landscape is essential for investors navigating the complexities of the interconnected world of Bitcoin prices and stock markets.

Strategies for Investors and Traders

Investing in the interconnected world of Bitcoin prices and stock markets demands a nuanced approach tailored to individual risk appetites and investment goals. Here are some strategies to navigate this complex landscape:

Diversification: Spread Your Risk

Diversifying your investment portfolio across different asset classes can help mitigate risks associated with market volatility. By allocating funds towards a mix of stocks, bonds, cryptocurrencies, and other assets, investors can minimize the impact of adverse market movements on their overall portfolio.

Dollar-Cost Averaging: Smoothing Out Volatility

Dollar-cost averaging involves investing a fixed amount of money at regular intervals, regardless of market conditions.

This strategy helps smooth out the impact of market volatility, as investors buy more shares when prices are low and fewer shares when prices are high.

Over time, this disciplined approach can yield favorable returns while reducing the emotional stress associated with market fluctuations.

Fundamental Analysis: Researching the Underlying Value

Conducting thorough fundamental analysis is essential for evaluating the intrinsic value of stocks and cryptocurrencies.

By analyzing financial statements, market trends, and industry dynamics, investors can make informed decisions based on the underlying fundamentals of the assets they are considering.

Technical Analysis: Charting Market Trends

Technical analysis involves studying historical price and volume data to identify patterns and trends in asset prices.

By using technical indicators such as moving averages, relative strength index (RSI), and Fibonacci retracements, traders can identify potential entry and exit points to optimize their trading strategies.

Long-Term Investing: Patience Pays Off

Taking a long-term perspective can be advantageous in the volatile world of investing. Instead of trying to time the market, focus on the long-term growth potential of your investments.

By staying invested through market downturns and downturns, you can benefit from the power of compounding and ride out short-term fluctuations.

Conclusion

In the ever-evolving landscape of finance, the bond between Bitcoin and stock markets remains intricate yet fascinating.

As we navigate through market volatility and regulatory shifts, one thing is clear: understanding this symbiotic relationship is crucial for investors.

By adopting diversified strategies and staying informed, investors can thrive in this interconnected realm where Bitcoin and stocks intersect.

 

 

The Federal Government’s ban on the export of Liquefied Petroleum Gas, popularly called cooking gas, has led to a crash in the cost of the commodity from about N1,500 per kilogram to around N900/kg, LPG dealers stated on Wednesday.

Cooking gas dealers under the aegis of the Nigerian Association of Liquefied Petroleum Gas Marketers disclosed this during a courtesy visit on the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, in Abuja.

On February 22, 2024, The PUNCH reported that the Federal Government banned the exportation of LPG in a bid to increase its volume domestically to warrant a crash in price.

It stated at the time that LPG producers in Nigeria and key stakeholders in the industry had been told to stop exporting the commodity out of Nigeria, following the jump in the cost of cooking gas.

Speaking at the meeting with the gas minister on Wednesday in Abuja, the National President, NALPGAM, Oladapo Olatunbosun, commended Ekpo for the courage in ordering the domestication of all LPG produced within the country, stressing that the policy resulted in the reduction and stabilisation of the product’s price in the domestic market.

Olatunbosun, in a statement issued by the minister’s media aide, Louis Ibah, recalled that during a stakeholders consultative forum in Abuja in February this year,  the association had drawn the minister’s attention to the fact that some international oil companies  operating in Nigeria had been exporting huge volumes of gas.

He had pointed out that if these volumes were to be available for the domestic market, there would be no need to import LPG at exorbitant rates as the product would be available and there would be price stability in the local market.

The NALPGAM president thanked the Federal Government for heeding to their plea, as the government’s intervention made the price of LPG that was sold fo N20m per 20 metric tonnes reduced to N15m.

And at the retail end, there is a corresponding decrease from N1,400 – N1,500 per kilogram to between N900 – N1,000 per kilogram, according to the gas marketer, as contained in the statement.

Olatunbosun was quoted as saying, “We appreciate the fact that at the parley with us you (Ekpo) promised that the issue of exporting LPG in the face of inadequate supply and soar in prices will be addressed, and indeed you have taken steps to walk the talk.

“Today we say thank you because the ban on LPG export has made a lot of changes in the market and consumers can testify to this.

“People who abandoned their gas cylinders due to price hike are coming back and we are confident that by the time the naira gains more weight, consumers will enjoy better price of LPG.”

In his response, Ekpo decried the situation where Nigeria, a major gas producer, was ranked among countries with the lowest consumers of the product.

He assured his guests of President Bola Tinubu’s commitment in deepening the penetration of gas across the country.

He lauded the marketers for their cooperation in bringing down prices to reflect current realities following the ban on the export of LPG.

“We would not have gone that far without your cooperation and support. We are working towards ensuring that our vast gas resources is available domestically at the right price for the public in line with President Bola Tinubu’s aspiration for the sector and economy,” Ekpo stated.

The gas minister stated in February that the government had asked LPG producers to halt the export of the commodity.

Ekpo had said, “With the issue of gas, you have seen the demonstration of the Federal Government by withdrawing all taxes and levies from the importation of gas-related equipment. It is a big incentive.

“On the issue of LPG (cooking gas), we are interacting with the critical sectors to ensure that there is no exportation of LPG. All LPG produced within the country will have to be domesticated. And when this is done, the volume will increase and, of course, the price will automatically crash.

“I’m in contact with the regulator, NMDPRA, we have meetings almost daily with the producers of the gas like Mobil, Chevron and Shell. So there is that hope that things will turn around.

“And that is also why we are having this engagement to know exactly what the problems are so that we can address them once and for all.”

 

The Federal Government and Organised Labour on Wednesday adjourned the minimum wage talks till Thursday (today) when the negotiation is expected to continue.

The Tripartite Committee on National Minimum Wage postponed the session in anticipation of the Minister of Finance, Wale Edun, submitting the salary template to President Bola Tinubu today.

Tinubu had on Tuesday directed the finance minister to present the cost implications for a new minimum wage within two days.

The President gave the order at a meeting with the government negotiation team led by the Secretary to the Government of the Federation, George Akume, at the presidential villa in Abuja.

Sources in the labour unions privy to the committee meeting said the parties decided to await the outcome of the presidential template before proceeding with further negotiations.

A source who attended the meeting said, “The meeting has been adjourned until Thursday. We showed understanding because we all know that the president gave the minister of finance 48 hours to come up with a minimum wage. So, we decided to give them the time. We will be meeting by 2 p.m.”

A top labour official who is a labour representative on the tripartite committee explained that the template was crucial to the minimum wage negotiation.

The source, who cannot be quoted because he was not authorised to disclose information to the media on the negotiation, expressed confidence that the talks would record good progress once the presidential template is presented to the parties.

The Minister of Information and National Orientation, Mohammed Idris, had hinted that the President wished to know the financial implications of the new minimum wage in 48 hours.

Briefing journalists on the presidential directive, the information minister said, “We were all there to look at all issues, and the President has directed the minister of finance to do the numbers and get back to him between today and tomorrow so that we can have figures ready for negotiation with labour.”

Idris assured of the president’s readiness to accept the committee’s resolutions, adding that “The president is determined to go with what the committee has said and he’s also looking at the welfare of Nigerians.

“Government is not against or opponent of labour discussions; the government is not an opponent of wage increase, but what is there is that government is always there to ensure a balance between what government pronouncement is and what the realities are on the ground.

“And therefore, we will work assiduously to ensure that whatever promises the government makes are promises that will be kept. That is the idea of this meeting.”

Furthermore, he said Tinubu directed the government representatives to work collectively with the organised private sector and the sub-nationals to achieve a new affordable wage award for Nigerians.

Idris explained, “The President has given a marching order that all those who have negotiated on behalf of the Federal Government and all those who are representatives of organised private sectors, the sub-nationals to come together to have a new wage that is affordable, sustainable and  realistic for Nigerians.

“The wage is not just that of the Federal Government; as I mentioned earlier, the sub-nationals are involved, the organised private sector is involved; the Labour stepped out during that procedure. Now we have come back to the negotiation table.”

The minister assured that all hands would be on deck to present a new minimum wage for Nigerians in one week.

“All of us will work together assiduously within the next week to ensure that we have a new wage for Nigeria that is acceptable, sustainable and realistic,” Idris said.

Despite the intervention of the leadership of the National Assembly, labour embarked on a nationwide strike on Monday and Tuesday, crippling economic activities nationwide.

Banks, airports, public schools and courts were shut, forcing the Federal Government to convene an emergency meeting to find a way out of the impasse.

Following a meeting with the SGF, National Assembly leaders, and the National Security Adviser, Nuhu Ribadu, on Monday, the unions announced on Tuesday the suspension of industrial action for five days after President Tinubu agreed to pay a national minimum wage higher than N60,000. The tripartite committee pledged its readiness to convene daily until a new minimum wage is announced.

In an interview on Channels television, the President of the Trade Union Congress, Festus Osifo, said the unions would not insist on its N494,000 demand, indicating that the labour leaders were willing to accept a reasonable compromise.

Though the union leader refused to mention a specific amount, he said the new minimum wage must equal purchasing power to the value of N30,000 in 2019 and N18,000 in 2014.

Meanwhile, airlines lament the revenue loss incurred during the two-day strike declared by the labour unions.

The action forced airports to shut down, resulting in scores of cancelled flights and huge financial losses.

The Chief Operating Officer of United Nigeria Airlines, Osita Okonkwo, highlighted the severe impact of the strike on UNA’s operations.

He said, “For two days, we didn’t fly. Ours (revenue loss) runs into millions. We do about 24 flights every day, and for two days, we didn’t do 48 flights. I can tell you it runs into millions.

“Our passengers were continuously informed of the situation. Our call centre was busy 24/7. The fallout now is what do we do with passengers who want to continue with their businesses because they have lost two days and all want to travel tomorrow (today)?

“And then, we have passengers booked to travel tomorrow (today). We are trying to accommodate as many as we can. Where possible, we put in additional flights. But you know capacity, you can’t stress it too much. Most flights are full now because of what happened in the last two days. It is not like we are against the strike, but everybody is feeling the situation of the country.’’

Okonkwo canvassed that essential services should be exempted from strikes, lamenting the plight of stranded passengers.

“It is understandable what labour is doing. But essential services should be exempted from this type of strike. Hospitals, and air travel, because some people had connecting flights. Some were stranded in Asaba, and they were supposed to go to Europe,” he noted.

The Chief Operating Officer of Ibom Air, George Uriesi, also expressed concern over the financial losses recorded by the local airlines during the labour action.

“There was a massive loss of revenue. If you were going to take N100 of revenue a day, and you don’t fly at all, you will probably make N2 or N3. And then there’s more to it because we must accommodate all the people that didn’t fly. So, you may be unable to sell seats for a long time because you’re dealing with a backlog,” he explained.

The Assistant General Secretary of the Aviation Round Table, Olumide Ohunayo, emphasised the strike’s broader impact on the aviation industry.

“It’s not only the airlines. The aviation industry lost lots of money due to the strike. The airlines,  airport terminals, concessionaires, taxi drivers, and others. In fact, the entire ecosystem lost millions of naira, even the charter flights.

“Some flights were cancelled. People are now forced to reschedule flights and see if they can get seats on a future date. And in getting those seats, ticket prices have jumped due to the rush to get seats.” he stated.

Pointing out the long-term economic effects on the aviation sector, the Chief Executive Officer of Centurion Security Limited, John Ojikutu, said, “The domestic airlines will lose some money, and that will affect the economy. The kind of money I’m talking about is not coming from local airlines because they contribute virtually nothing. If you compare the money they make from ticket sales to the money we make from foreign airlines, that is where the problem is.

“In the next two, three days, they would have cleared all those passengers, and we would now go back to our normal aviation problems, which are fuel and ticket fares,” he said.

Speaking on the long-drawn minimum wage negotiation, Debo Adeniran, the Executive Director of the Centre for Anti-Corruption and Open Leadership, urged the Federal Government and labour unions to finalise their talks quickly.

“The FG and the labour unions should not waste any more time beyond the 48 hours given to the finance minister. Everything is already concluded; they need to harmonise their positions based on their capacities to raise resources,” Adeniran stated.

Stressing the need for swift negotiations, he noted, “Labour unions and the FG should be realistic, which should not take an eternity to conclude. They should aim to finalise everything by the end of tomorrow (today).”

Adeniran also cautioned the labour unions against rushing to embark on strikes.

On his part, the Executive Director of the Civil Society Legislative Advocacy Centre, Auwal Rafsanjani, admonished the government to be honest and realistic during the negotiation.

“The Federal Government needs to be honest and realistic. They should be able to restore dignity in labour. Once the FG is realistic in presenting a minimum wage to Nigerians, there would not be any delay in the meeting with labour unions,” he concluded.