The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
0920 ET - BP's new simpler organizational structure is positive and restores upstream accountability, Barclays's Lydia Rainforth writes. The shift to a more conventional two-segment model brings the British energy company in line with peers, she adds. "The focus from now is on execution." BP's shares fall 1% to 540.40 pence. (adam.whittaker@wsj.com)
0908 ET - Treasury yields slip amid signs of declining optimism among U.S. small-business owners. Tensions remain high in the Middle East, but oil prices fall around 2% and the WSJ Dollar Index is down 0.2%. The NFIB small-business optimism index falls 0.6 points to 95.3 in May, below its 98.0 52-week average. Economists polled by WSJ expected 96.2. The U.S. April trade deficit shrinks to $55.9 billion from a revised $56.6 billion. The 10-year yield is at 4.544%, down from 4.550% yesterday. The two-year declines to 4.139% from 4.156%. (paulo.trevisani@wsj.com; @ptrevisani)
0803 ET - An interest rate rise by the Bank of Japan on June 16 is unlikely to trigger a significant reversal of the yen's weakness, MUFG Bank's Lee Hardman says in a note. That is because such a move is nearly fully priced in, he says. The BOJ is also considering pausing the tapering of its government bond purchasing program from April 2027, according to media reports. "Overall, the latest developments have not changed our view that the yen is likely to remain weak in the near-term until the worst of the energy price shock begins to fade." The dollar trades flat at 160.15 yen, near the five-week high of 160.39 reached Monday, LSEG data show. (renae.dyer@wsj.com)
0547 ET - Siemens Energy's outlook is strong despite some harbouring concerns about the outlook for gas turbines, Deutsche Bank's Gael de-Bray writes. There have been concerns about the sector hitting peak orders in the coming quarters as some data center projects in the U.S. struggle to obtain approvals, de-Bray saysA. At the same time, Elon Musk has outlined a vision for orbital data centers while Mitsubishi Heavy Industries plans to boost production, raising fears of oversupply, de-Bray adds. However, the new equipment turbine business is only 15% of group revenue and its aftermarket business has upside potential, de-Bray writes. Elsewhere, the market underestimates the group's grid investments and the turnaround of Gamesa, de-Bray adds. Shares are flat at 157.76 euros.(adam.whittaker@wsj.com)
0512 ET - The Russian ruble is being supported by a recent significant improvement in Russia's oil and gas revenues on elevated energy prices due to the Iran war, Commerzbank's Tatha Ghose says in a note. However, energy prices will likely drift lower by year-end while refinery damage from Ukrainian strikes and the re-imposition of U.S. sanctions should prevent Russia from utilizing the newly expanded OPEC+ output quota in the medium term, he says. "Once the oil-price bonanza is out of the way, we expect the [ruble] to resume depreciating." The dollar falls 1.9% to a one-week low of 71.4205 rubles, according to LSEG. Commerzbank expects the dollar to reach 75.0000 rubles by the end of 2026 and 90.0000 by end-2027. (renae.dyer@wsj.com)
0509 ET - A.P. Moller-Maersk faces increasing downside risk to earnings from overcapacity, Nordea analyst Lars Heindorff writes. Container-vessel owners continue to order new vessels, and Nordea now estimates gross supply of 5.0%, 8.9% and 12.0% for 2026, 2027 and 2028, respectively. In addition, a return to the Suez Canal will release around 5% of global capacity, possibly adding further downward pressure, the bank adds. While Maersk is cheap, Nordea expects further rate pressure to weigh on the share price, which is likely to become more visible as 2026 progresses and investors look to 2027-28. Nordea maintains its sell rating on the Danish transport company and increases its target price on its stock to 13,500 Danish kroner from 13,100 kroner. Shares fall 1.1% to 17,505 kroner. (dominic.chopping@wsj.com)
0456 ET - CSE Global's share selloff following the resignation of its lead independent director seems unwarranted to UOB Kay Hian's John Cheong and Heidi Mo. They note that the Singapore-listed stock has shed about 20% since the director left in early June, citing "unresolved differences of views with regard to working with controlling shareholders." The analysts acknowledge the governance gap but maintain their investment thesis, as the systems integrator's operational growth remains intact. They also expect results to recover in 2H after a likely softer 1H, as the company's roughly S$700 million order book should convert into revenue. CSE Global provides electrification, communications and automation solutions. UOB KH maintains its buy rating and S$1.79 target price. Shares fall 1.5% to S$1.31. (megan.cheah@wsj.com)
0428 ET - The cost of insuring euro-denominated credit against default is steady as geopolitical tensions moderate. Israel and Iran's agreement to halt attacks on each other has reduced "immediate fears of a deeper regional conflict and a more disruptive energy shock," Tickmill Group's Patrick Munnelly says in a note. The iTraxx Europe Main index of euro investment-grade credit default swaps is unchanged at 54 basis points, S&P Global Market Intelligence data show. The iTraxx Europe Crossover index of euro high-yield CDS declines 1bp to 263bps. (miriam.mukuru@wsj.com)
0427 ET - Sterling rises as risk sentiment recovers and oil prices ease after Israel and Iran halted strikes. With little on the economic calendar Tuesday and the Bank of England not meeting until June 18, sterling is likely to remain driven by risk appetite and energy prices in the near term, Monex Europe analysts say in a note. Sterling's prospects are still unfavorable due to the impact of elevated energy prices on the U.K.'s terms of trade, a cooling labor market, softer recent inflation data and persistent political uncertainty around Prime Minister Keir Starmer's future, they say. Sterling rises 0.2% to $1.3371 and the euro falls 0.2% to a two-week low of 0.8625 pounds, LSEG data show. (renae.dyer@wsj.com)
0420 ET - Chip-related stocks rebounded in Asia after a market rout in the previous session. Samsung Electronics and SK Hynix, which account for about half of the South Korea's Kospi market capitalization, jumped 9.0% and 16%, respectively. In Taiwan, MediaTek surged 10% and Delta Electronics advanced 7.1%. Japan's Tokyo Electron added 8.9% and Kioxia Holdings was 6.4% higher. Patrick Munnelly, market strategy partner at Tickmill Group, thinks investors remain willing to buy AI dips, especially when oil prices fall and geopolitical risk moderates. However, valuation sensitivity has increased, and each rally is less immune to disappointment than a few weeks before. (sherry.qin@wsj.com)
0349 ET - Oil prices erase most of the previous session's gains after Israel and Iran halted attacks on each other following a recent escalation that threatened regional negotiations to end the war. In early European trading, Brent crude is down 1.2% to $93.08 a barrel, while WTI futures decline 1.8% to $89.68 a barrel.Meanwhile, the latest trade data from China shows crude oil imports fell further in April as refiners increasingly draw down inventories rather than sourcing additional barrels from abroad. "The 29% year-on-year drop together with a surge in U.S. exports, releases from SPR [strategic petroleum reserve], and a degree of demand destruction, helps explain why oil prices failed to rally more aggressively during last month's supply disruptions," analysts at Saxo Bank say. (giulia.petroni@wsj.com)
0258 ET - Indian utilities stand to benefit from improving power demand in the country, Jefferies analysts say in a research report. On-year power demand growth of 7% in April-May looks strong versus Jefferies's 6% growth estimate for FY 2027. Potential below-average monsoon if the El Nino phenomenon occurs could add to upside for Indian power demand growth. Jefferies's top picks are JSW Energy, Adani Energy Solutions and NTPC, which are all rated buy. The bank raises its target price on JSW Energy to 745.00 rupees from 675.00 rupees and on Adani Energy Solutions to 1,905.00 rupees from 1,665.00 rupees, while maintaining the target price on NTPC at 470.00 rupees. Shares of JSW Energy, Adani Energy Solutions and NTPC are last quoted at 573.20 rupees, 1,585.95 rupees and 356.65 rupees, respectively. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
June 09, 2026 09:20 ET (13:20 GMT)
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