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U.S. stocks stall

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WASHINGTON – U.S. stocks erased an opening rally to trade little changed, as investors started the first full week of the year in a cautious mood.

The Dow Jones Industrial Average lost three points, or less than 0.1%, to 16467 in recent trade. On Friday, the Dow rose 29 points, or 0.2%, but closed down on the week.

The S&P 500 index edged up one point, or less than 0.1%, to 1832 and the Nasdaq Composite Index slipped nine points, or 0.2%, to 4123.

The S&P 500 slipped less than 0.1% on Friday, while suffering back-to-back losses to start a new year for the first time since 2005.

“It wasn’t a surprise that investors hold off and take some profit after a great year in 2013,” said Sam Stovall, chief equity strategist at S&P Capital IQ. For Monday, “it’s the first day you have the global investment community back, and focusing on equities,” he said, and investors should see that nothing has changed since the market ended the year on a high note. He added that history suggests “good years often follow great years.”Karyn Cavanaugh, market strategist at ING U.S. Investment Management, which manages about $200 billion, said the Federal Reserve is handing the reins back to the market, but that’s a good thing for stocks.

NYSE“When the market is in control, there is going to be some volatility,” Ms. Cavanaugh said. But the global economy is moving forward, and earnings are looking good, “and that’s really what your guide post is,” she said.

Ms. Cavanaugh added that investors should not let what happened in 2013 influence their outlook for 2014. “The market doesn’t go down just because it’s tired, or because it went up a lot,” she said. “Earnings are looking better, and that’s the North Star” for investors.

The Institute for Supply Management’s nonmanufacturing purchasing managers index for December is expected to show a rise to 54.5 from 53.9 in November, and factory orders for November are seen rising 1.5% on the month.

Meanwhile, investors will be looking ahead to a reading on private-sector jobs growth and the minutes to the Federal Reserve’s December policy meeting on Wednesday, and the government’s monthly employment report on Friday.Separately, the Senate is scheduled to vote on the confirmation of Federal Reserve Vice Chairwoman Janet Yellen to succeed Chairman Ben Bernanke.

Alcoa unofficially kicks off earnings season later this week. The former Dow component will report fourth-quarter results after Thursday’s close.

S&P Capital IQ’s Mr. Stovall said expectations for earnings growth is about the same as at the end of the third quarter. “It’s nice to know that the starting number, that is usually improved upon, is equal to the third quarter,” he said. “If history holds true, reality will end up being better than expectations.”

The yield on the 10-year Treasury note eased slightly to 2.980% after settling at 2.997% late Friday.

February crude-oil futures gained 0.2% to $94.14 a barrel, after settling at a one-month low on Friday. January gold futures advanced 0.2% to $1,240.50 an ounce.

The dollar lost ground against the yen and the euro, while the Turkish lira continued to come under heavy pressure against the dollar, as a probe into corruption moved closer to the heart of the country’s ruling party.European markets edged higher after data showing the euro zone’s services sector expanded in line with expectations. The Stoxx Europe 600 inched up 0.1%, erasing an earlier loss of as much as 0.3%.

The euro-zone services purchasing managers index for December came in at 51, down slightly from 51.2 in November, but matching forecasts, as strength in Spain helped offset some slowing in France. Readings above 50 signal expansion.

In Asia, Tokyo led the region lower as strength in the yen, which had bounced back against the dollar over the three-day new year holiday in Japan, weighed on the country’s exporters. Japan’s Nikkei Stock Average slumped 2.3%. China’s Shanghai Composite dropped 1.8% to a five-month low.

In corporate news, Sirius XM Holdings gained after Liberty Media announced plans late Friday to make the satellite-radio provider a wholly owned subsidiary. Liberty now owns about 52% of Sirius. Liberty Media’s Class A shares fell.

Men’s Wearhouse raised its offer to buy fellow men’s apparel retailer Jos. A Bank Clothiers to about $1.6 billion, after Jos. A Bank rejected the previous offer of roughly $1.5 billion. Jos. A Bank and Men’s Wearhouse both gained.

– WALLSTREET JOURNAL

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PENGASSAN Urges Strategic Focus on Local Refining Expansion

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The Nigerian authorities have been called upon to focus on strengthening domestic refining capacity.

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) made the call in a communiqué issued at the end of the three-day PENGASSAN Energy and Labour Summit (PEALS 2026).

It stressed the need for adequate protection for refineries operating in the country.

The PENGASSAN said Nigeria must reduce the economic inefficiency of exporting crude oil while importing significant volumes of refined petroleum products by creating an environment that supports domestic refining and other value‑adding activities.

The communiqué, signed by the union President, Festus Osifo, and General Secretary, Jerry Amah, stressed the need to protect refineries, including Dangote Refinery and Waltersmith Refinery.

The association said the expansion would enable Nigeria to retain a greater share of the value generated from its petroleum resources while creating jobs, conserving foreign exchange and stimulating industrial development. PENGASSAN linked the growth to wider opportunities in petrochemicals, gas processing and other downstream activities.

READ ALSO: Umar Cautions Against Irregular Policies in Nigeria’s Oil Industry

The communiqué reads in part: “The summit called for sustained policies and investments to expand Nigeria’s domestic refining capacity and reduce the economic inefficiency of exporting crude oil while importing significant volumes of refined petroleum products. The need to protect refineries (such as Dangote Refinery, Waltersmith Refinery, etc.) within Nigeria’s jurisdiction was emphasised.

“Nigeria must progressively retain more value from its petroleum resources through domestic refining, petrochemicals, gas processing and other value‑adding activities capable of generating employment, conserving foreign exchange and stimulating industrial growth.

“Ultimately, the strength of Nigeria’s oil and gas industry will not be measured merely by the resources beneath the ground, but by the projects delivered, the value created, the Nigerian capabilities developed, the decent jobs sustained and the prosperity generated for the Nigerian people.”

The association also warned that abrupt policy changes, overlapping mandates, repetitive approvals and conflicting directives increase the cost of doing business and weaken Nigeria’s competitiveness for global energy capital.

The PENGASSAN called for faster regulatory approvals, digitalised processes and clearer timelines, arguing that the effectiveness of regulation should be measured by its impact on investment, production, government revenue, job creation and national value rather than simply by the number of licences or approvals issued.

On gas, the PENGASSAN advocated an integrated approach to developing Nigeria’s more than 215 trillion cubic feet of proven reserves, including investments in processing facilities, pipelines, storage, LNG, LPG and CNG infrastructure. It said gas should be deployed more aggressively for power generation, manufacturing, transportation, fertiliser and petrochemical production.

The association also urged stronger protection of workers’ rights, occupational safety and employment during mergers, acquisitions, divestments and asset transfers, saying sustainable investment requires skilled and fairly treated workers and that increased production must not come at the expense of workers’ lives and wellbeing.

In addition, the PENGASSAN said the next phase of Nigeria’s petroleum industry must focus on execution with measurable targets and clearly assigned responsibilities to ensure policies translate into projects, production, investment and sustainable employment.

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PENGASSAN to Link Up with NUPRC to Unlock 3mmbopd

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Two key stakeholders in Nigeria’s oil and gas industry have resolved to work closed to unlock three million barrels per day (bpd) of crude oil by 2030.

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), according to the new President of former, Comrade Bosun Olabiyi-Agoro, would be working closely with each other to attain the objective.

He made the disclosure on Wednesday while on a visit to the NUPRC corporate headquarters.

The Head, Media and Corporate Communications, NUPRC, Eniola Akinkuotu, who made the disclosure in a statement, also credited the PENGASSAN President with declaring that inasmuch as the union is open to negotiations, issues bordering on the rights of workers to freely associate and join the union are non-negotiable.

READ ALSO: Tinubu Banks on NLNG Train 7 to Boost Nigeria’s Gas-led Economy

He made it public that issues surrounding contract staffing will be one of the key issues his administration will address.

“The President of Nigeria has an ambition which he runs through the CCE which is to make sure that by 2030 we are able to produce three million barrels per day. All of us have to work to make that happen. It will be our happiness to make sure that that target is actually attained. We can assure you that we are here to collaborate. We will be very reasonable,” Olabiyi-Agoro assured.

On her part, the Commission Chief Executive, Oritsemeyiwa Eyesan, said the President Bola Tinubu-led Federal Government had been working assiduously to increase production as evidenced by the latest executive order which is targeted at deep offshore investments. She noted that production had risen from a low of 1.1mmbopd a few years ago to an estimated 1.755mmbopd in 2026.

Seeking the support of PENGASSAN to achieve this target, Eyesan, said industrial stability remained critical to hitting higher production targets.

“As you settle into your new role, be assured that the commission will give you 150 per cent cooperation. In addition to the support we will give you, we want to ask that we work very closely to actualise government objectives.

“We want to grow production from our current level to 3 million barrels in 2030. For gas, we are still doing under 8bcf and we want to grow that to 12bcf by 2030. So, let’s make that happen,” she stated.

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Tinubu Banks on NLNG Train 7 to Boost Nigeria’s Gas-led Economy

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As the multi-billion-dollar Nigeria LNG Limited (NLNG) Train 7 Project reaches more than 90 percent completion, President Bola Tinubu has described it as critical to Nigeria’s gas-led economic agenda.

According to Tinubu, the successful delivery of the project would help expand Nigeria’s gas exports, create jobs, deepen local capacity and strengthen investor confidence in the country’s oil and gas sector.

The President spoke at the State House, Abuja, on Thursday when he received an NLNG delegation led by its Managing Director and Chief Executive Officer, Adeleye Falade.

The delegation briefed the President on the progress of Train 7, prospects for further expansion and challenges affecting the company’s operations and contributions to the national economy.

The discussions also covered the pricing and accessibility of liquefied petroleum gas (LPG), trucking along the Bonny-Bodo Road corridor, NLNG’s contribution to public revenue, its investments in the Bonny-Bodo Road and other social-impact projects, and the need for a more enabling business environment.

Tinubu congratulated Falade on his appointment, describing his assumption of office as coming at a defining period for the NLNG and Nigeria’s gas development ambitions.

Tinubu expressed the view that the completion of the Train 7 project must translate the country’s vast gas reserves into jobs, increased exports, industrial growth and long-term economic value.

“I congratulate you, Leye, on your appointment. Train 7 is at the centre of our national gas agenda. Its success matters not only to NLNG, but to Nigeria’s economic future,” the President said.

Tinubu commended the progress recorded on the project, describing Train 7 as a benchmark for project delivery, partnership, Nigerian content development and investor confidence.

He assured the NLNG management that the Federal Government would continue to improve the business environment, provide greater regulatory clarity and remove bottlenecks affecting major oil and gas investments.

“Nigeria is open for business, but it must be business that creates value at home — building capacity, supporting communities, protecting the environment and contributing to national prosperity. NLNG must continue to lead by example,” he added.

Responding, Falade thanked the President for his administration’s support for NLNG and the broader gas sector, assuring him that the company remained committed to the safe and successful completion of Train 7.

“With the project now over 90 percent complete, our immediate priority is to deliver the remaining work safely, efficiently and to the required quality, while preparing the plant for reliable and sustainable operations,” Falade said.

He said the project would increase Nigeria’s LNG production capacity, support export growth, create opportunities for Nigerian workers and businesses, deepen local participation and generate greater long-term value from the country’s gas resources.

Falade also restated NLNG’s commitment to supporting the domestic LPG market and improving access to cleaner cooking fuel for households and businesses.

He, however, called for coordinated action among the Federal Government, regulators and industry operators to increase domestic supply, improve storage and distribution infrastructure, eliminate avoidable costs and create a more transparent and efficient LPG market.

“Improving LPG accessibility is important to Nigeria’s energy transition and to the wellbeing of millions of Nigerian households. NLNG remains committed to supporting the domestic market, but improving affordability requires coordinated action across the entire LPG value chain,” he said.

The NLNG chief also sought the President’s intervention in addressing ease-of-doing-business challenges, particularly the proliferation of taxes, levies, charges and regulatory demands imposed by different tiers and agencies of government.

According to him, multiple and sometimes conflicting fiscal and regulatory obligations raise operating costs, create uncertainty and could discourage existing operations and future investments.

Falade assured the President that NLNG was ready to align more closely with the Federal Government’s development agenda and explore additional areas of partnership.

The meeting ended with a renewed commitment by the Federal Government and NLNG to sustain momentum on Train 7 as the project enters its final phase.

Both sides also agreed to strengthen their partnership to support the project’s successful delivery and NLNG’s broader contribution to Nigeria’s gas development and economic growth.

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