The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
0310 GMT - LG Innotek could benefit from increased shipments by its major client and reduced price competition among suppliers, Nomura's Eon Hwang and Y.J. Kim say in a note. The analysts expect the South Korea-based Apple supplier's average selling price for smartphone cameras to increase on image-sensor upgrades and wider adoption of variable apertures. The company also stands to gain from favorable forex conditions, they add. Nomura raises its 2026 operating-profit forecast for LG by 38%. Nomura raises its target price for the stock by 93% to 540,000 won but keeps a neutral rating, noting that it remains conservative about meaningful margin expansion. Shares are recently 8.4% higher at 581,000 won. (kwanwoo.jun@wsj.com)
0245 GMT - West African Resources bull Macquarie says it will be watching closely for a maiden dividend or buybacks, or both, in the second half of 2026. "Kiaka ownership uncertainty has been resolved, and WAF finally has some clean air," says Macquarie in a note. "Moving forward, capital management key to watch." The company could also look for M&A opportunities elsewhere in West Africa now that its balance sheet is in a robust position, Macquarie says. The bank has an outperform rating and A$4.00 target on the stock. Shares are down 3.8% at A$3.08. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
0157 GMT - MISC's earnings are likely to be driven by higher tanker rates, says Aimi Nasuha Md Nazri at AmInvestment Bank. The analyst notes that the energy shipping company's unit AET is seen benefiting from stronger spot rates and longer shipping distances, particularly in the Atlantic basin. Her calculation suggests every 10% increase in tanker spot rates lifts earnings by about 5%. Its long-term charter deals with QatarEnergy remain secure, giving MISC steady income and clearer earnings visibility, she says, and raises MISC's 2026-2028 core earnings estimates by 8%-13%. AmInvestment Bank upgrades MISC's rating to buy from hold and raises the target price to 9.40 ringgit from 8.80 ringgit. Shares are 0.4% lower at 8.05 ringgit. (yingxian.wong@wsj.com)
0103 GMT - Whitehaven's 3Q drop in managed saleable coal output to 8.4 million metric tons is still 9% better than market expectations, says Ord Minnett analyst Tim Elder. Equity sales of 6.8 million tons are also above expectations, Elder says. "This was offset by lower realized pricing," with a higher proportion of thermal sales, he says. "We expect WHC to trade ahead of peers today with this outperformance to consensus estimates," says Elder. The broker has a buy rating and A$10.10 target on the stock. Shares are up 2.6% at A$7.90. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
0008 GMT - Oil prices are mixed in early trade as traders weigh the latest news about the Strait of Hormuz. Iran has offered to halt attacks in the strait in exchange for a full end to the war and a lifting of the U.S. blockade of Iranian ports, The Wall Street Journal reported, citing officials familiar with the matter. However, President Trump and his national-security team are skeptical of Iran's offer. The "to-and-fro" between the two sides seems to be a sign that they remain well apart, and an imminent end to the conflict looks unlikely, ANZ Research analysts say in a research report. Front-month WTI crude oil futures are 0.3% higher at $96.70 a barrel; front-month Brent crude oil futures are 0.1% lower at $108.14 a barrel. (ronnie.harui@wsj.com)
0007 GMT - The outcome of Santos's strategic review could make any future effort to acquire the energy company easier. Macquarie expects Santos's investor day on May 26 to highlight that its domestic assets have become less of a priority. It expects management will chart a path to those assets being sold. "This has ability to remove any possible takeover impediment (i.e. FIRB concerns) and enable a full market valuation of the long duration assets," Macquarie says. FIRB is Australia's Foreign Investment Review Board. Santos was last year a takeover target of a consortium led by Abu Dhabi National Oil Co. unit XRG. The deal foundered on disagreements over terms given the length of time it could take for a transaction to complete. (david.winning@wsj.com; @dwinningWSJ)
1914 GMT - U.S. natural gas futures edge higher with the market seemingly oblivious to events in the Middle East and awaiting signs of greater weather-driven demand. "Near-term fundamentals continue to look mostly bearish," Andy Huenefeld of Pinebrook Energy Advisors says in a note. "Weather patterns remain mild overall, with only modest lingering heating demand in northern markets and little meaningful cooling load elsewhere." Still, lower production, softer imports from Canada and solid LNG flows mean "the broader supply picture is not as loose as headline storage data alone would suggest," he adds. Nymex natural gas settles up 1.1% at $2.55/mmBtu.(anthony.harrup@wsj.com)
1910 GMT - Oil futures settle higher as U.S.-Iran talks were postponed again this weekend and the market doubts the Trump administration would accept an Iranian proposal to open the Strait of Hormuz on condition the U.S. lift its blockade and leave Iran's nuclear activities for later discussion. "The trade is increasingly skeptical that anything is going to get done anytime soon, and the move to the upside is gaining traction," Mizuho's Robert Yawger says in a note. "The longer the strait stays closed, the higher the price will rise." WTI settles up 2.1% at $96.37 a barrel and Brent rises 2.8% to $108.23 a barrel. (anthony.harrup@wsj.com)
1842 GMT - High near-term oil prices offer "strong single-well economics" that could spur marginal activity among smaller U.S. producers, while larger players are likely to maintain a high degree of discipline, Macquarie Group energy strategist Walt Chancellor says in a note. But even assuming low rates of marginal reinvestment of excess cash flows, at current prices "we see scope for a step-wise increase in '26 growth from larger companies." He notes that the U.S. raised liquids production by around 800,000 barrels a day in 2025 "even in a maturing shale industry and generally falling oil price environment." And as geopolitical risk could support longer-dated pricing, U.S. producers could "ultimately embrace a moderate increase in medium-term growth targets while remaining focused on capital discipline." (anthony.harrup@wsj.com)
1801 GMT - After a nearly three-year hiatus from strategic dealmaking, one of the energy majors has an acquisition in hand with Shell's planned buy of Arc Resources, says Enverus Intelligence Research's Andrew Dittmar. The analyst says the takeover will boost Shell to being the second-largest producer in Canada's Montney based on gross operated volumes, behind Ovintiv, from the company's current seventh-place position. The premium on the cash-and-stock offer looks relatively attractive for Arc shareholders, particularly compared with the sub-20% premiums generally offered in U.S. corporate consolidation, Dittmar says. "That reflects the relative value of Canadian producers in the market, and of Arc in particular, with the company screening attractive relative to peers on valuation." (robb.stewart@wsj.com)
1523 GMT - Oil prices extend gains as traders await clarity on the U.S.-Iran negotiations, with escalating tensions over the Strait of Hormuz keeping prices elevated. "The situation remains as clear as mud," says Fawad Razaqzada, market analyst at Forex.com. "For oil traders, it's not the rhetoric that matters any more, but the actual physical flow of crude oil through the Strait of Hormuz, and right now, that flow remains constrained." In afternoon trading in Europe, Brent crude for June delivery rises 3.4% to $108.90 a barrel, while WTI futures for June are up 2.8% to $97.10 a barrel. (giulia.petroni@wsj.com)
1521 GMT - Chinese buyers are unlikely to face immediate oil supply disruptions despite a U.S. naval blockade on Iranian oil flows and tighter sanctions, says Muyu Xu from Kpler. Over the weekend, the U.S. sanctioned the Hengli Petrochemical refinery, a major Chinese refinery importer. However, operations are unlikely to be derailed in the near term and the refinery is likely to avoid costly Middle East crude, according to the data provider. Meanwhile, "Beijing's directive for independent refiners to maintain run rates and prioritize domestic supply points to potential policy support from the government--at least for the duration of the war," Xu says. While immediate supply risks are limited for the next two to three months, slower Iranian flows are expected to tighten availability over time, supporting oil prices and putting pressure on already weak refinery margins. (giulia.petroni@wsj.com)
(END) Dow Jones Newswires
April 27, 2026 23:11 ET (03:11 GMT)
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