The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
0727 GMT - Yields on U.K. government bonds fall after weak U.K. labor market data reduce the chances of the Bank of England increasing interest rates in the coming months. U.K. average wage growth, excluding bonuses, slowed to 3.4% in the three months to March, from 3.6% in the three months to February. "Absent a further surge in oil prices, it is hard to see interest rates being increased much if at all in this environment," Aberdeen's Luke Bartholomew says in a note. Ten-year gilt yields fall 7 basis points to 5.069%, Tradeweb data show. (miriam.mukuru@wsj.com)
0724 GMT - Oil prices recoup some losses following a 2% slide after President Trump said he would hold off on a planned U.S. attack on Iran to make room for peace negotiations. Brent crude falls 1.6% to $110.32 a barrel, while WTI futures are down 0.5% to $103.9 a barrel. "The oil market continues to trade in wide ranges, and it remains extremely sensitive to Iran-related headlines," analysts at ING say. "ICE Brent traded almost in a $6/bbl range yesterday." Meanwhile, the U.S. extended a sanctions waiver allowing countries to purchase Russian oil currently stranded at sea for another 30 days--a move that analysts say will be welcomed by Asian buyers, who are more exposed to supply disruptions in the Middle East. (giulia.petroni@wsj.com)
0713 GMT - Eurozone government bond yields edge lower in early trade as global bond markets stabilize after Monday's selloff. This comes after U.S. President Trump said he will put off a strike on Iran Tuesday, raising hopes of de-escalation and the potential for progress on peace talks. Government bond supply will be modest from the eurozone, with Germany selling 5 billion euros in April 2031 Bobl and Finland auctioning up to 1.5 billion euros in April 2030- and April 2041-dated bonds. The 10-year German Bund yield falls 1 basis point to 3.150%, according to Tradeweb, having hit a 15-year high of 3.193% on Monday. (emese.bartha@wsj.com)
0652 GMT - Pan Ocean is seen expanding its portfolio as a major energy shipper, Hana Securities' Dohyun Ahn says. The analyst points to the South Korean shipping company's recent purchase of 10 second-hand very large crude carriers from SK Shipping. Ahn says the vessels' existing long-term contracts will expire within two to four years, paving the way for Pan Ocean to begin full scale VLCC operations. He expects the company to sign new contracts with state utility Korea Gas to bring in more liquefied natural gas from the U.S. Ahn sees tankers and chemical carriers as major drivers of its earnings growth this year. (kwanwoo.jun@wsj.com)
0634 GMT - The dollar falls as markets stabilize after President Trump said that he would hold off on a planned U.S. attack on Iran at the request of Gulf leaders. This causes oil prices to fall amid prospects of a potential peace deal. "The news helped remove some of the risk premium that had built up over the course of yesterday," Deutsche Bank analysts say in a note. Moves are limited, however, as the Middle East situation remains uncertain. Trump also warned that he had instructed military officials to be ready for "a full, large-scale assault of Iran, on a moment's notice," if an acceptable deal wasn't reached. The DXY dollar index falls 0.1% to 99.098. (jessica.fleetham@wsj.com)
0553 GMT - Interest rates have become very sensitive to energy prices and should come down meaningfully once flows through the Strait of Hormuz resume, says Navellier & Associates' Louis Navellier says in a note. Until then, the pressure remains on higher inflation, he says, adding that any interest rate cuts by the Federal Reserve will be postponed until the recent surge in energy inflation dissipates. "If a month from now, flows haven't resumed through the Strait of Hormuz, energy prices will almost certainly be higher, fueling higher inflation and higher interest rates," Navellier says. This will also create problems for the U.S. midterm election cycle, which has a long history of creating downward volatility, he says. "Trump is under pressure to 'fix' the Iran situation soon." (emese.bartha@wsj.com)
0545 GMT - U.S. Treasury yields edge lower in overnight trade as oil prices ease, but overall remain at elevated levels, signaling the lack of meaningful progress towards a Middle East resolution. "The sell-off in global fixed income markets has stabilized in the last 24 hours with importantly the short-end of the USD curve even coming lower driving a slight steepening of the curve," Danske Bank's Kristoffer Kjaer Lomholt says in a note. The relief comes after U.S. President Trump said he will "hold off" on attacking Iran on a Tuesday plan to attack Iran, citing request from several Gulf Arabic countries because "serious negotiations" are underway. The two-year Treasury yield falls 1.8 bps to 4.071%, while the 10-year yield is down 1.4 bps at 4.608%, according to Tradeweb. (emese.bartha@wsj.com)
(END) Dow Jones Newswires
May 19, 2026 03:27 ET (07:27 GMT)
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