Israel's Netanyahu blames Biden for withholding weapons. US officials say that's not the whole story

Israeli Prime Minister Benjamin Netanyahu on Tuesday claimed the United States is withholding weapons and implied this was slowing Israel’s offensive in the southern Gaza city of Rafah, where fighting has exacerbated the already dire humanitarian situation for Palestinians.

President Joe Biden has delayed delivering certain heavy bombs since May over concerns about Israel’s killing of civilians in Gaza. Yet the administration has gone to lengths to avoid any suggestion that Israeli forces have crossed a red line in the deepening Rafah invasion, which would trigger a more sweeping ban on arms transfers.

Netanyahu, in a short video, spoke directly to the camera in English as he lobbed sharp criticisms at Biden over “bottlenecks” in arms transfers.

“It’s inconceivable that in the past few months, the administration has been withholding weapons and ammunitions to Israel,” Netanyahu said, adding, “Give us the tools and we’ll finish the job a lot faster.”

Netanyahu also claimed U.S. Secretary of State Antony Blinken, in a recent visit to Israel, said he was working around the clock to end the delays.

However, Blinken said Tuesday the only pause was related to those heavy bombs from May.

“We, as you know, are continuing to review one shipment that President Biden has talked about with regard to 2,000-pound bombs because of our concerns about their use in a densely populated area like Rafah,” Blinken said during a State Department news conference. “That remains under review. But everything else is moving as it normally would.”

Netanyahu didn’t elaborate on what weapons were being held back, and the Israeli military declined to respond to a request for comment. Ophir Falk, a foreign policy adviser to Netanyahu, deferred questions on details to the U.S. government.

Responding to Netanyahu’s claim Tuesday, White House press secretary Karine Jean-Pierre said, “We generally do not know what he’s talking about. We just don’t.”

She added that the U.S. is having “constructive discussions” with Israel about the paused shipment of heavy bombs and that it’s the only transfer being delayed.

Two top Democrats in Congress cleared the way this week for a $15 billion U.S. sale of F-15s to Israel to move forward, after a delay while one lawmaker sought answers from the Biden administration on Israel’s current use of U.S. weapons in the war in Gaza.

With Israel’s war against Hamas now in its ninth month, international criticism is growing over U.S. military and diplomatic support for the Israel’s campaign of systematic destruction in Gaza, at a huge cost in civilian lives.

The top United Nations court has concluded there is a “plausible risk of genocide ” in Gaza — a charge Israel strongly denies. Israel blames civilian deaths on Hamas, saying militants operate among the population.

Both Netanyahu and Biden are balancing their own domestic political problems against the explosive Mideast situation, and the embattled Israeli leader has grown increasingly resistant to Biden’s public charm offensives and private pleading.

Experts say Netanyahu’s message — delivered only in English — is likely meant to shore up U.S. arms support and doesn’t appear to indicate on-the-ground shortages.

“I’m not worried,” said Itamar Yaar, a former deputy head of Israel’s National Security Council who leads of a group of former senior security officials. He thinks Netanyahu wants “to make it difficult for the Biden administration to delay arms supply in the future.”

Aviv Bushinsky, a former Netanyahu adviser, suggested the prime minister’s office is working to set the agenda for Defense Minister Yoav Gallant’s meetings in the U.S. next week while allowing Netanyahu — rather than Gallant — to claim credit for releasing the shipment of bombs. The video also sets up a speech Netanyahu is set to deliver to Congress in about a week, he said.

“It’s a very belligerent style of diplomacy, but he’s in a win-win situation,” Bushinsky said. “He has nothing to lose at the moment — this serves him in all dimensions, internally, publicly.”

Netanyahu disbanded his war Cabinet on Monday, a move that consolidates his influence over the war and likely diminishes the odds of a cease-fire anytime soon. Critics accuse him of delaying an end to the war because it would mean an investigation into the government’s failures on Oct. 7 and raise the likelihood of new elections when the prime minister’s popularity is low. Netanyahu denies the allegations and says he is committed to destroying Hamas’ military and governing capabilities — no matter how long that may take.

Months of cease-fire talks have failed to find common ground between Hamas and Israeli leaders. Both Israel and Hamas have been reluctant to fully endorse a U.S.-backed plan that would return hostages, clear the way for an end to the war, and begin rebuilding the decimated territory.

Israel’s war against Hamas in Gaza has killed more than 37,100 people, according to Gaza’s Health Ministry, which does not distinguish between combatants and civilians in its count. The war has largely cut off the flow of food, medicine and other supplies to Palestinians who are facing widespread hunger.

Israel launched the war after Hamas’ Oct. 7 attack, in which militants stormed into southern Israel, killed some 1,200 people — mostly civilians — and abducted about 250.

 

AP

RUSSIAN PERSPECTIVE

Russian troops wipe out Western-supplied equipment depot in Ukraine operation

Russian troops destroyed a Western-supplied armament depot of the Ukrainian army over the past day in the special military operation in Ukraine, Russia’s Defense Ministry reported on Tuesday.

Russian troops "also destroyed an attack UAV production workshop and an equipment depot of the Ukrainian army’s 44th artillery brigade used to unload and distribute armament and military hardware delivered by Western countries to the Kiev regime, and struck massed enemy manpower and materiel in 124 areas," the ministry said in a statement.

Russia’s Battlegroup West inflicts 455 casualties on Ukrainian army over past day

Russia’s Battlegroup West inflicted roughly 455 casualties on the Ukrainian army over the past day, the ministry reported.

"Battlegroup West units gained better ground and inflicted casualties on formations of the Ukrainian army’s 163rd mechanized, 3rd tank and 3rd assault brigades in areas near the settlements of Novovodyanoye in the Lugansk People’s Republic, Peschanoye in the Kharkov Region and Torskoye in the Donetsk People’s Republic. In addition, they repulsed four counterattacks by assault groups of the Ukrainian army’s 115th mechanized and 12th special operations brigades. The enemy lost as many as 455 personnel, a 122mm Gvozdika motorized artillery system and a US-made 105mm M119 artillery gun," the ministry said.

 

Ukrainian drone attack causes fire at Russian oil terminal

A Ukrainian drone strike caused a large fire in a fuel tank at an oil terminal in Russia's southern port of Azov on Tuesday, according to Russian officials and a Ukrainian intelligence source.

Russia's ministry of emergency situations said a large fire-fighting team was tackling the blaze. Regional channels of the Telegram messaging app said a tank with methanol was on fire.

The Ukrainian source told Reuters the attack had been carried out by the Security Service of Ukraine (SBU).

"Powerful fires broke out at the facilities after the successful deployment of SBU drones," the source said, adding that the SBU agency would keep attacking Russia's oil refining complex in order to hinder its war effort.

The port of Azov has two oil product terminals, DonTerminal and Azovproduct, which handled a total of about 220,000 tons of fuel for export during the period from January to May 2024.

 

Tass/Reuters

Nvidia has become the world’s most valuable company following a staggering rally in its shares, underlining the outsized role investors expect artificial intelligence to play in the global economy over coming years.

Nvidia shares rose 3.5% on Tuesday, giving it a market value of about $3.34 trillion. That pushed the semiconductor bellwether past Microsoft and Apple, which had been jostling for the top spots in recent days.

The surge in Nvidia's market value has been driven by demand for its chips, which are the gold standard in the AI space. The company's shares are up more than 170% this year and have risen about 1,100% since their October 2022 low.

Blockbuster earnings and broadening investor enthusiasm over AI are supercharging Nvidia's rally. That fervor has been reflected in Nvidia’s market value, which took only 96 days to go from $2 trillion to $3 trillion.

Microsoft, one of the two other companies to reach those rarefied levels, took 945 days to go from $2 trillion to $3 trillion while Apple took 1,044 days to make the leap, according to Bespoke Investment Group.

Previously, just 11 U.S. companies since 1925 have reached the top spot in market value on a closing basis, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.

Fortunes have diverged for past holders of the top position in recent decades. Microsoft reached No. 1 in the late 1990s but then its shares struggled for years during the early 2000s following the dotcom bubble, only to come roaring back in the latter half of the last decade.

Exxon Mobil became the world’s most valuable company in the 2000s but its shares retreated following a downturn in oil prices.

To some, Cisco is the cautionary tale. The company’s shares peaked at over $80 in March 2000 in the midst of the dotcom boom, during which investors often assigned dizzying valuations to internet-related companies.

Bespoke’s analysts recently contrasted the trajectories of Nvidia and Cisco, whose products were seen as essential in supporting the internet's infrastructure.

"NVDA's run has been incredible, but it will need to keep growing from here and stave off competition if its stock is going to keep putting up stellar returns," Bespoke said in a recent note.

For now, Nvidia’s earnings are supporting its stock price. Revenue more than tripled to $26 billion in the latest quarter, while net income jumped seven-fold to $14.9 billion.

Revenue for the current fiscal year is expected to roughly double to $120 billion, and then rise another 33% in fiscal 2026, to $160 billion, according to LSEG data.

Nvidia's impressive financial performance and forecasts have led its stock valuation, by some measures, to moderate despite the surge in its share price.

For example, Nvidia's forward price-to-earnings ratio last stood at 43, according to LSEG Datastream. That is higher than the 25 level it stood at to start the year but below levels it reached for much of last year. By contrast, the S&P 500 trades at 21 times earnings.

While Nvidia has been the standout performer, it is not the only stock to benefit from enthusiasm about the profit potential for AI. Shares of other technology companies, including Super Micro Computer and Arm Holdings , have also risen sharply this year.

 

Reuters

Long hours, heavy workloads, tight deadlines, job insecurity, a lack of control over your schedule and generally feeling unsupported can leave you feeling unhappy and discontented with your work environment. If gone unchecked for too long, this kind of chronic workplace stress can lead to job burnout.

As a Harvard-trained psychologist, one of the best ways to cope with these stressors is to set healthy boundaries. It might sound like a tall order. You may worry that you will make yourself seem difficult or unprofessional. But setting healthy boundaries is key to mental health and stress-relief. 

Simply put, boundaries are relationship expectations. 

They establish who you are, what you’re willing to do — and not do — as well as how you want to be treated and what you’ll do if someone violates those expectations. Boundaries reflect your values as a person. Establishing them helps you feel a sense of belonging, competence, safety, fairness and meaning in your work environment.

Although we don’t have the power to change other people or a company’s culture on our own, communicating our boundaries promotes a healthier professional environment for all. Here are eight phrases you can use to start setting clear boundaries today. 

1. ‘I need more time’

Setting reasonable timelines is helpful for managing stress. When asked to do a task or project that’s going to require more time than requested, communicate that as early as possible.

This boundary sets the expectation that you’re both willing to do what’s required and reasonably need the time it takes to do it well.

2. ‘I’m not available’

Establishing when you’re on the clock and when you aren’t is also key to reducing stress. If you find yourself continuing to check work-related emails or taking calls when you’re on vacation or supposed to be “off-duty,” this communicates to those around you that you’re always available. 

Setting a boundary that there are times that you will be unavailable because other aspects of your life will sometimes take priority, is critical to self-care.

3. ‘I need help’

When a task becomes overwhelming or is outside of the scope of what you know how to do, asking for help is reasonable and warranted. It sets the boundary that you need some assistance to do a job well, and that you care enough to ask for it.

4. ‘Please speak to me respectfully’

Some work environments can be toxic — negative, unsupportive or downright abusive. But even in healthy environments, stress can make people speak in unintentionally disrespectful ways.

If you find yourself in an emotionally heated situation that’s derailing into a tense moment, or even a full-blown argument, it’s important to set a boundary around communication itself. Stating that you’d like people to speak to you respectfully or you will walk away, is a healthy boundary to set in any relationship, including with coworkers and colleagues.

5. ‘I have a suggestion’

When confronted with a situation that’s not going well, one way to set a boundary is to describe your observations and suggest an alternative strategy for handling it. 

In this way, you’re communicating that you don’t like the way a current situation is being handled while taking a proactive, problem-solving approach about how to handle it in a way that could work better for you.

6. ‘I feel underappreciated’

Work-related stress is often elevated when your effort doesn’t seem noticed, acknowledged or appreciated. If that’s happening to you, it’s very reasonable to talk to colleagues or high-ups that you’re working hard but feel undervalued. 

This sets an expectation that when you think you’re doing a great job, it’s important to you to have that acknowledged.

7. ‘This doesn’t seem fair’

The perception of unfair treatment is a key predictor of work-related stress and burnout. When a policy or experience doesn’t seem ethically handled, directly communicating your experience not only makes your perspective of unfairness clear, it also creates a mechanism for change.

8. ‘I want to be more engaged’

Work-related engagement is the opposite of burnout. It’s being part of a workplace that feels like a good fit for who you are. This includes thinking that your career is meaningful, feeling connected to your colleagues, experiencing positive feelings towards your job and being valued or competent in your work community.

When you don’t feel engaged at work, communicating that directly conveys that you want to be a more connected, productive member of your organization or group.

Don’t be afraid to set boundaries at work 

Establishing boundaries at work can sometimes feel uncomfortable for many people because it can be vulnerable and feel risky. But ultimately, communication is key to developing and maintaining positive work relationships. 

Although we don’t have control over other people and how they respond to us, we have control over our own behavior. If a productive conversationdoesn’t seem possible, walking away and processing your experience with someone who can listen, support you and validate your experience is always a good option.

 

CNBC

For patients in Nigeria, the outrageous cost of life-saving drugs is a daily burden. Several people are now forced to take a risk with their health by extending or missing doses, settling for less potent substitutes, resorting to self-medication or traditional healers, or stopping medication entirely.

For those battling chronic ailments such as diabetes, high blood pressure or cancer, the affordability crisis has pushed essential medications and treatment out of reach for many Nigerians and strained the public healthcare system.

Experts are worried that a significant number of patients who are not taking their medications as prescribed, stand to develop complications and incur even more expensive interventions later.
Some patients, who spoke with our correspondents bemoaned the negative effects that rising drug costs are having on their well-being, financial situation, and survival.

Ngozi Uchenna, a petty trader, was concerned about her 10-year-old daughter’s persistent cough. At the neighbourhood health centre in Ikeja, Lagos, she was visibly worried at the high cost of the prescribed cough mixture. “I cannot afford the drugs, so I’m taking my child back home,” she stated.
James Akor, who had been coping with sporadic coughs and chest pains, said he resorted to taking herbal mixtures because the hospital treatment bills were outrageous.

“One of the drugs the doctor said I shoud buy costs N120,000 and I will need to buy it two or three times every month. Another drug is about N55,000. Where will I get the money? I don’t have it,’’ he lamented.
‘I can’t afford N1.2m for one drug’

Dayo A. who was diagnosed with prostate cancer in 2023, has not purchased any of the drugs prescribed for him.

He lamented: “The cancer was detected mid-stage, I am only on palliative treatment. One of the drugs prescribed for me was Lupron Depot. The doctor said I should take it once every six months, but it cost N1,200,000.

“I am self-employed and not on health insurance, so I could not afford it. I was placed on another drug, Zoladex, but one vial costs about N750,000, which was also unaffordable for me.”

For Olu F., a father of three, who lamented that paying his hospital bills was a nightmare, said: “I’m a civil servant with a heart problem. Actually, I’m on a basic health insurance plan, but it does not cover the full cost of treatment for my condition, so I’m paying out of pocket.

“I’m usually sacrificing one for the other. It is either I buy my drugs and not pay for one other need or I skip my medication. Either way, it’s not in my favour.”

Kate B. who is diabetic also has a sad story; and many older adults like her are particularly impacted by the rising costs of diabetes drugs, rationing their medication just to make it last.

Hers is a plight of being forced to choose between buying medicine and putting food on the table.

A market survey by Vanguard in Lagos revealed that the prices of common medications such as painkillers, antibiotics, anti-hypertensives and anti-diabetics have been increasing steadily since the beginning of the year.

Hardest hit are prescription drugs, the cost of some of which runs into millions of naira in some instances.

Causes of high cost of drugs

At the pharmacies, it was gathered that in addition to the naira devaluation, price adjustments by drug manufacturers, government regulations, taxes, availability and demand for specific medications are factors driving price increases.

Towards the attainment of the United Nations Sustainable Development Goal, SDG3, and Universal Health Coverage, UHC, the Federal Government assented to the 2014 National Health Bill aimed at providing increased access to basic health care for the vulnerable population.

But even this has failed because many Nigerians still pay out of pocket for medical expenses, pushing more families into experiencing burgeoning health expenditures.

With hospital care gradually becoming financially out of reach, Nigerians are turning to cheaper but largely untested options such as home remedies, herbal medicines, among others.

But experts are worried by this development. The consensus was that out of pocket expenditures will prevail until the gaps in financing essential health care services, particularly preventive health services, is addressed.

Worry over traditional, herbal medicine

A general practitioner at a General Hospital in Lagos, Femi Akintunde, cautioned that though traditional medicine practices and herbal treatments are prevalent and offer familiarity and cultural relevance, their effectiveness can vary significantly.

“When treatment costs become too high, people are forced to seek affordable and untested alternatives. Although traditional medicine practices and herbal treatments are widely used in Nigeria, their effectiveness can be unpredictable,” Akintunde warned.

Further he said: “While going to the pharmacy is okay for consultations for minor ailments and over-the-counter medications, relying on them for serious conditions can be risky due to limitations in diagnosis.

“Though public clinics offer affordable care, they may face resource limitations and longer wait times. The bottom line is that the inability to access proper diagnosis and treatment from qualified professionals can worsen health outcomes.”

Roadblocks to good healthcare

Another consultant medical practitioner, Bola Akinlolu, identified three major roadblocks to receiving good healthcare in Nigeria today: exorbitant costs for medications and treatment, long distances to reach medical facilities, and sometimes dismissive attitudes from healthcare providers.

Akinlolu emphasised that high cost remained the most critical hurdle, saying without health insurance or the ability to pay out-of-pocket, necessary treatment or medication might be out of reach.

“Of these, the issue of high cost is the most significant, because even if the patient succeeds in getting to the healthcare facility, and there are health workers to attend to them, there is little that can be done if such patient is not covered by health insurance, and cannot pay the treatment bill out of pocket or cannot afford to buy the required drugs,” he remarked.

Titilola Lawal, a registered nurse and midwife at a Lagos government hospital, blames skyrocketing medication prices as a key reason patients struggle to stick with their treatment plans.

While acknowledging that side effects could also make treatment compliance difficult, Lawal argued that cost was the biggest hurdle.

“Several factors can affect medication adherence but nowadays, high cost is number one. Medications in general are expensive, but some prescriptions, especially ‘orphan drugs’ for chronic illnesses like cancer, heart disease, and diabetes, can cost millions of naira,” she said.

Lawal explained that even with health insurance, the cost of these drugs could be overwhelming, leading patients to skip doses or ration their medication.

She added that some patients might even start treatment but abandon it halfway when the costs become unbearable.

She expressed particular concern for patients on multiple medication, saying managing such regimens could be challenging, and that high costs could increase the risk of accidentally skipped doses or medication errors.

Tolu Adetola, a pharmacist also regretted the development, warning that delay is dangerous.

“When people delay seeking medical attention, their condition can worsen and become more difficult to treat. This can lead to complications, increased healthcare costs, and even death.

“Worse still, if people with infectious diseases don’t seek medical attention, they can unknowingly spread the illness to others. This can be a particular risk for vulnerable populations.

“The rising costs of medical treatments and drug prices, exacerbated by the weakening value of the naira against foreign currencies, are negatively impacting families.

“Many households struggle to manage their healthcare expenses, which in turn affect their allocation of funds for necessities such as food and transportation.

“The general lack of reliable health insurance coverage by significant number of Nigerians further complicates the situation. Even where insurance is available, insurance companies are grappling with higher costs due to expensive medications,” Adetola said.

Catastrophic health expenditure

Launched in 2005, Nigeria’s National Health Insurance Scheme, NHIS, aimed to make healthcare affordable and accessible.

However, many Nigerians still face out-of-pocket medical expenses, risking financial hardship due to high costs. “What most Nigerians are facing today as a result of the economic downturn is catastrophic health expenditure.

‘’This is the health care payment beyond a certain fraction, that incurs negative economic consequences, ranging from sacrifice of basic goods and services, depletion of savings by individuals and families, to loss of income, and productivity, as well as disruption of welfare and living standards.

“Narrowing economic status gap across households, and increasing the depth of insurance are crucial mechanisms to reduce the probability of incurring catastrophic health expenditures in Nigeria,” he stressed.

 

Vanguard

Nigeria took eleven years to add just 760 megawatts of power to the national grid, while the Dangote refinery doubled that output, generating 1,500mw in a shorter time.

For decades, the country has suffered from chronic power shortages, and repeated promises to fix the problem have long dominated election campaigns.

Data sourced from the Nigeria Electricity System Operator showed Generation Companies (Gencos)’ delivery to the Distribution Companies (Discos) via the Transmission Company of Nigeria (TCN) has increased by 22 percent from an average of 3,400mw in November 2013 to an average generation of 4,160mw, as at 12 June 2024.

However, Dangote’s oil refinery produced 1,500mw of power after construction in 2018, surpassing the total national grid expansion achieved in over a decade.

“We don’t put pressure on the grid. We produce about 1,500 megawatts of power for self-consumption,” Aliko Dangote said at the Afreximbank Annual Meetings and AfriCaribbean Trade & Investment Forum in Nassau, The Bahamas.

This development has raised concerns about the snail pace of growth in Nigeria’s power sector despite billions of dollars in investment and an 11-year-old privatisation exercise.

“The government and some operators in the sector may say there has been some form of growth since 2013, but in actual terms, how many people are benefiting from the privatised power sector? most conglomerates are generating their power,” Charles Akinbobola, a senior energy analyst at Sofidam Capital said.

He added, “The challenge of the power sector has not entirely been the scarcity of funds, several trillions of naira have been pumped into that industry. The sector has been plagued by the shortcomings of its managers”.

Nigeria can produce 13,000mw of power compared with more than 58,095mw for South Africa, which has a similar-sized economy and a quarter of the population.

Nigeria’s ageing grid however delivers only about 4,000mw of power to its over 200 million citizens — roughly what the city of Edinburgh provides for 548,000 residents.

BusinessDay analysis shows that although Nigeria’s transmission capacity has increased by 20 percent to an average of 4,200mw since 2013, Nigeria’s population has soared by 57 percent within the same period from 131 million people to 206 million, according to the latest World Bank estimates.

While Nigeria seems to be moving at a snail pace, other African countries are racing ahead.

For instance, Egypt, a country with a population of 114 million inhabitants, added a total of 28,229mw to its national grid between December 2015 and December 2018, resulting in a total installed capacity of 58,818mw.

According to the United States Department of Commerce, International Trade Administration, this has been achieved through a fast-track project that worked on installing 3,636mw of electricity in 8.5 months and is worth $2.7 billion.

Egypt also signed another project with Siemens in March 2015, which added 14,400mw in 2.5 years by building three mega combined power cycle stations.

“By converting old simple cycle power plants to combined cycle, another 1,850mw was installed,” the US report said.

In Ghana, between 2000 and 2020, electricity generation capacity increased at a rate of 6.4 percent a year from 1,358mw to 4,695mw, according to data from the country’s energy agency.

“While other countries seem to be getting it right in terms of power; Nigeria’s power sector issue has become a major conundrum in the economy. There is a major funding and liquidity crisis which is posing significant risk to investments in the electricity value chain,” Muda Yusuf, the chief executive officer, the Centre for the Promotion of Private Enterprise said.

He added, “Some fundamental issues need to be addressed in the electricity value chain. There are issues of technical and commercial losses which are yet to be addressed. These are inefficiencies costs that consumers are compelled or expected to pay for as part of the cost recovery argument. And these costs are in billions of naira”.

BusinessDay’s findings showed that rising energy costs are disrupting productive activities in Africa’s most populous nation as factories self-generate more than 14,000 megawatts of electricity due to poor supply from power distribution companies.

According to documents compiled by the Manufacturers Association of Nigeria, member companies spent N639 billion on alternative energy sources between 2014 and 2021.

Manufacturers spent N25 billion in 2014, N59 billion in 2015 and N129.95 billion in 2016.

Moreover, they spent N117.38 billion in 2017; N93.11 billion in 2018; N61.38 billion in 2019; N81.91 billion in 2020, and N71.22 billion in 2021.

Findings showed the figures have varied over the years due to the effects of inflation and the number of member companies in the association, among other factors.

 

Businessday

Oil refiners are making less money selling their gasoline as demand during the peak summer driving season has fallen short of what they expected when many of them boosted production.

Softness in gasoline markets have upended years of record profits on selling transportation fuels. In the U.S., the world's largest gasoline market, refiners ramped up sharply, expecting demand that never materialized. U.S. gasoline demand was 9 million barrels per day (bpd) in the first week of June, 1.7% below last year and seasonally the lowest since 2021, government data showed.

In Asia, weakness in the gasoline market has already led to run cuts, and refiners elsewhere are also likely to pull back in weeks ahead. This could reduce global demand for crude oil.

"Given the retreat from elevated margins, we cite risk to refiners' continued maximum output strategy to reap record profits," BMI, a unit of Fitch Solutions, said in a note last month.

Brent oil prices are down about 9% from a mid-April peak to around $83 a barrel, most recently on concerns that the OPEC+ producer group will add supply to the market. The producer group last week warned that a slow start to the summer driving season and low margins are weighing on sentiment.

Even with crude prices slipping, Asian refiners' profit on making gasoline from a barrel of Brent halved in the last week of May to about $4 per barrel. A glut of fuel supplies prompted the fall in refining margins, Wood Mackenzie analyst Priti Mehta said.

Overall refining margins fell under $2 a barrel in Singapore in May, compared with an average of $5 a year ago.

European gasoline refining margins fell to $10.80 a barrel on June 13, the lowest since January 25. U.S. gasoline crack spread, the difference between gasoline futures and the cost of WTI crude oil , was under $22.50 a barrel for the first time since February.

PULLBACK

Taiwan's Formosa Petrochemical Corp, one of Asia's largest refined products exporters, plans to cut run rates at its crude distillation units in June to 440,000 bpd, down 40,000 bpd from its original plan to process 480,000 bpd.

"Increased flows from the Middle East to Asia and increased Indian exports are weakening the cracks, otherwise demand in Asia is healthy," a spokesperson for Formosa told Reuters.

U.S. demand has been pressured by a mix of factors, including more people flying instead of driving long distances and more fuel-efficient cars and electric vehicles, UBS analyst Giovanni Staunovo said last month.

Higher output from American refineries, combined with weak demand, has lifted U.S. gasoline stockpiles by 5.7 million barrels since the start of April to 233.5 million barrels by June 7, the highest for this time since 2021.

U.S. refiners cut run-rates to 95% in the week ended June 7, after utilizing a one-year high of 95.4% in the prior week, U.S. Energy Information Administration (EIA) data showed. That was the first cut since April.

They will need to lower rates further if demand remains lackluster, Mizuho analyst Robert Yawger said.

"We're looking at the potential for one of the worst years for summer U.S. gasoline demand in the post-Covid world. No way that refiners can continue to crank fuels at 95% utilization," he said.

The EIA on Tuesday lowered its forecast for U.S. gasoline consumption this year to 8.89 million bpd from an earlier estimate of 8.91 million.

OVERWHELMING SUPPLY

Margins should improve as U.S. gasoline rises as it typically does throughout the summer, Rabobank strategist Joe DeLaura said. Yet he warned the market has consistently underperformed.

Margins should get some support from a slower-than-expected ramp up of new refineries such as Mexico's Olmeca refinery in Dos Bocas, which is aiming to lower the country's import needs. As of May, however, Dos Bocas was behind schedule and did not produce commercially viable gasoline and diesel. In Nigeria, the Dangote refinery delayed gasoline deliveries until July.

The market must still adjust to overwhelming supply growth from new refineries ramping up and expansions of existing plants which have boosted fuel exports from the Middle East, India and China.

Gasoline exports from the Middle East have been at seasonal records over the last six months, according to Kpler data.

Indian and Chinese refiners are taking advantage of access to discounted Russian oil, Mehta said. Their higher supplies are likely to keep Asian gasoline cracks under pressure through the summer, she said.

"The peak for gasoline (cracks) was already reached in April, when cracks averaged $17.3/bbl Dubai crude in Asia. We don't expect them to strengthen a lot through the summer period," Mehta said.

Chinese gasoline exports grew by about 100,000 bpd in May from April, ending last month at around 350,000 bpd, according to WoodMac. Indian gasoline exports averaged 360,000 bpd in May, up 50,000 bpd on the month.

 

Reuters

The escalating costs of pharmaceuticals in Nigeria have thrust the nation into a severe healthcare crisis, exacerbating the hardships faced by millions. As drug prices soar, many Nigerians are forced to forgo essential medications, resort to less effective herbal remedies, or self-medicate, putting their health at considerable risk. This dire situation is a significant factor in Nigeria's low life expectancy and declining productivity amidst the current economic turmoil.

For individuals battling chronic diseases such as diabetes, hypertension, or cancer, the affordability crisis has placed life-saving medications out of reach. Patients like Ngozi Uchenna, who cannot afford the prescribed cough mixture for her daughter, and James Akor, who turns to herbal mixtures due to prohibitive drug costs, illustrate the desperate choices many Nigerians face daily. These decisions often lead to complications requiring more intensive and expensive interventions, further straining the healthcare system and personal finances.

The implications of this crisis are severe and far-reaching. Nigeria's life expectancy, already one of the lowest globally, is at risk of further decline as more people are unable to access necessary treatments. The rise in untreated chronic conditions will inevitably lead to a surge in morbidity and mortality rates, which could have been prevented with timely medical intervention.

Moreover, the economic impact cannot be overstated. Healthy citizens are the backbone of a productive workforce, and as more Nigerians fall ill due to lack of proper medical care, the country's productivity suffers. The inability to afford medication forces many to either reduce their work hours or quit their jobs entirely, thereby affecting household incomes and overall economic growth. The situation is further compounded by the financial strain on families who must divert funds from other critical needs such as food and education to manage healthcare expenses.

The underlying causes of the high drug prices are multifaceted, including naira devaluation, regulatory challenges, and the monopolistic tendencies of some drug manufacturers. Despite the government's efforts to improve healthcare access through initiatives like the 2014 National Health Bill and the National Health Insurance Scheme (NHIS), these measures have fallen short. Many Nigerians still pay out-of-pocket for medical expenses, leading to catastrophic health expenditures that push families into deeper poverty.

The shift towards traditional and herbal medicines, while culturally significant, raises concerns about the reliability and effectiveness of these treatments. As noted by healthcare professionals, the unpredictable nature of these remedies can exacerbate health issues. The reliance on untested alternatives due to unaffordable conventional treatments is a perilous path that could lead to worsened health outcomes and increased mortality.

Addressing this crisis requires a multifaceted approach. Reducing the cost of medications through subsidies, improving the efficiency and coverage of health insurance schemes, and ensuring more robust regulation of drug prices are critical steps. Additionally, increasing investment in the healthcare sector to enhance the availability and accessibility of medical facilities and services is essential.

The government at all levels must prioritize healthcare funding and implement policies that protect the most vulnerable populations. By narrowing the economic status gap and deepening insurance coverage, Nigeria can reduce the likelihood of catastrophic health expenditures. Ensuring that all citizens have access to affordable and effective healthcare is not only a moral imperative but also a strategic necessity for the nation's social and economic stability.

The skyrocketing drug prices in Nigeria are not just a health issue—they are a profound economic and social crisis. Immediate and decisive action is needed to prevent further deterioration of the nation's health outcomes and to support the well-being and productivity of its citizens.

There was confusion in Ewehko community in Kajuru Local Government Area of Kaduna following an attack by bandits, which led to the killing of five villagers.

The villagers were said to have been gunned down while attending a local meeting.

Daily Trust obtained pictures of the victims killed and that of the motorcycles set ablaze by the attackers.

Local sources told our correspondent that the attackers also set ablaze motorcycles of some of the victims during the operation which happened at approximately 2:14 pm on Monday.

A resident who simply identified himself as Benjamin Maro said the bodies of five people were recovered from the scene of the incident.

“Another tragic incident occurred in our community today (Monday). In broad daylight, bandits launched a deadly assault on Ewehko, popularly known as Unguwar Paul, a village under Maro Ward in Kajuru Local Government Area of Kaduna State.

“The attack happened at approximately 2:14 pm on 17/06/2024. As of this report, the bodies of four men and one woman have been discovered. Search efforts are ongoing in the surrounding bushes for others who may still be missing,” he said.

Another resident, Reuben Maro, said houses were also torched, including the motorcycles of the people killed.”

He said the bandits attacked the innocent villagers in broad daylight.

“Although the area where the incident happened is a remote village, about six people were killed,” he said.

The State Government and the Police Command are yet to issue a statement to that effect.

The State command Public Relations Officer, Mansir Hassan, couldn’t be reached on phone and is yet to reply a text message sent to him.

 

Daily Trust

Netanyahu disbands war cabinet as pressure grows on Israel's northern border

Israeli Prime Minister Benjamin Netanyahu has dissolved the six-member war cabinet, an Israeli official said on Monday, in a widely expected move following the departure from government of centrist former general Benny Gantz.

Netanyahu is now expected to hold consultations about the Gaza war with a small group of ministers, including Defence Minister Yoav Gallant and Strategic Affairs Minister Ron Dermer who had been in the war cabinet.

The move was announced as U.S. special envoy Amos Hochstein visited Jerusalem, seeking to calm the situation on the disputed border with Lebanon, where Israel said tensions with the Iran-backed Hezbollah militia were bringing the region close to a wider conflict.

The Israeli military said on Monday it had killed a senior operative in one of Hezbollah's rocket and missile sections in the area of Selaa in southern Lebanon.

The military also said its operations were continuing in the southern parts of the Gaza Strip, where its forces have been battling Hamas fighters in the Tel Sultan area of western Rafah, as well as in central areas of the enclave.

Hochstein's visit follows weeks of increasing exchanges of fire across the line between Israel and Lebanon, where Israeli forces have for months been engaged in a simmering conflict with Hezbollah that has continued alongside the war in Gaza.

Tens of thousands of people have been evacuated from their homes on both sides of the so-called Blue Line that divides the two countries, leaving eerily deserted areas of abandoned villages and farms hit by near-daily bombardment.

"The current state of affairs is not a sustainable reality," government spokesperson David Mencer told a briefing.

Netanyahu had faced demands from the nationalist-religious partners in his coalition, Finance Minister Bezalel Smotrich and National Security Minister Itamar Ben-Gvir, to be included in the war cabinet. Such a move would have intensified strains with international partners including the United States.

The forum was formed after Gantz joined Netanyahu in a national unity government at the start of the Gaza war in October. It also included Gantz's political partner Gadi Eisenkot and Aryeh Deri, head of the religious party Shas, as observers.

Gantz and Eisenkot both left the government last week, over what they said was Netanyahu's failure to form a strategy for the Gaza war.

PROTESTS

An agreement to halt the fighting in Gaza still appears distant, more than eight months since the Oct. 7 attack on Israel led by Hamas fighters that triggered Israel's military offensive in the Palestinian enclave.

The Oct. 7 attack killed some 1,200 people and about 250 were taken hostage, according to Israeli tallies. Israel's offensive has killed more than 37,000 Palestinians, according to Palestinian health ministry figures, and destroyed much of Gaza.

Although opinion polls suggest most Israelis support the government's aim of destroying Hamas, there have been widespread protests attacking the government for not doing more to bring home around 120 hostages still being held in Gaza and against Netanyahu's handling of the war.

Protesters calling for new elections clashed with police in Jerusalem on Monday. By sundown, a crowd of thousands had gathered outside the Knesset, Israel's parliament, before marching to Netanyahu's private home.

Some protesters tried to break through barriers set up by the police, who pushed them back. At one point a bonfire was lit in the street, and police used a water cannon to disperse the demonstration.

The northern border was relatively quiet on Monday, the second day of the Muslim Eid celebration, compared with previous days, when rocket fire set off widespread brush fires in heatwave conditions.

A survey for the Jewish People Policy Institute, a Jerusalem-based think tank, found 36% of respondents favouring an immediate strike against Hezbollah, up from 26% a month earlier.

Israeli aircraft and artillery have pounded southern Lebanon and last week killed a senior Hezbollah commander in a strike against a command and control centre that drew a further intensification of attacks.

In addition to attacks by missiles and anti-tank rockets, there has been a marked increase in drone attacks that have underlined the strength of the arsenal Hezbollah has built up since the last major conflict between the two sides in 2006.

 

Reuters