The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
1858 ET - Pipeline owner APA Group gets a new bull in Citi, which lauds its secure, high margin, CPI-linked income and strong customer base. Citi starts coverage of APA with a buy call and A$11.10/share price target. "With gas expected to play an important role in Australia's energy transition, we see scope for expansion and further pipeline capacity," analyst Suraj Nebhani says. He points to the potential for APA to expand its footprint in Australia's Beetaloo basin. "Behind the meter power solutions for data centers is a potential growth avenue, via the contract power generation business developing gas and renewable power projects," Citi adds. APA ended Tuesday at A$10.36. (david.winning@wsj.com; @dwinningWSJ)
1807 ET - FedEx recorded better-than-expected results in its latest quarter, but shares are taking a hit in after-hours trading. The stock move likely reflects elevated expectations among investors heading into the report, Citi analysts say, noting shares have gained about 75% in the past year. Confusion related to the spinoff of the company's freight division, which took effect June 1, the analysts say, could also be playing a role. The analysts say they are looking to hear how management expects earnings to build through the year to reach its full-year target as it looks to establish a consistent earnings and a free cash flow growth trajectory post-spinoff. Shares slip 5.9%, to $298.39, in late trading. (kelly.cloonan@wsj.com)
1615 ET - The Senate Ag Committee has released its draft of the Agricultural Act of 2026, branded "Farm Bill 2.0." The bill appears to avoid the most "divisive issues," says Jim Wiesemeyer of Ag Bull Trading in a note, skipping proposals like Proposition 12 and year-round sales of E15 fuel - or gasoline blended with 15% ethanol. Instead, the bill appears to be focused on bolstering and modernizing existing programs, says Wiesemeyer. "The strategy appears designed to attract bipartisan support while avoiding provisions that could fracture the coalition needed to move a farm bill through the Senate," he says. Also included in the bill is the creation of a full-time Crop Input Economist within the USDA's Office of the Chief Economist, monitoring the cost of needed materials like fertilizer and fuel. (kirk.maltais@wsj.com)
1510 ET - Oil futures settle lower in a cautious market as investors weigh a possible flood of oil out of the Middle East against the risk of U.S.-Iran talks running into obstacles. Energy markets are pricing a partial normalization rather than a complete return to pre-war conditions, Siebert Financial's chief investment officer Mark Malek says in a note. He sees the market assigning "too much confidence to a favorable outcome" and too little weight to the risks around unresolved nuclear issues and inspection disputes. "The most likely outcome is neither a breakthrough nor a collapse but a prolonged period of managed uncertainty that keeps a modest risk premium embedded in energy prices," he adds. WTI settles down 0.9% at $73.21 a barrel and Brent falls 1.1% to $77.08. (anthony.harrup@wsj.com)
1508 ET - U.S. natural gas futures give back gains of the previous two sessions, with the market looking mostly to the weather to generate demand. Midday models shed some heat while still maintaining a hot outlook moving into July, NatGasWeather.com says in a note. "It will be up to a hot late June and early July weather pattern coming through without trending cooler, or it could lead to disappointment," the forecaster says, adding that the market becomes "more focused on weather trends and weather patterns as we progress deeper into the core summer months." Nymex natural gas settles down 3.3% at $3.147/mmBtu.(anthony.harrup@wsj.com)
1412 ET - The slide in tech stocks looks like repositioning as positive macro data prompt a move to cyclical parts of the economy, says David Russell, global head of market strategy at TradeStation. "We're at the end of the best quarter that tech stocks have had this century. There's a lot of chopping and consolidation," he says. "My sense is we're seeing a shift away from a lot of the tech, not because it's overall bad but because it's a quarter end, and we're starting to see a real argument in favor of things like banks and retail stocks and some of the consumer non-growth stocks." Those could benefit if there is a sustained drop in oil and diesel prices that lower inflation and the market starts to see a potentially less hawkish or somewhat dovish Fed, he adds. (anthony.harrup@wsj.com)
1357 ET - Carnival CEO Josh Weinstein says booking trends appear to be normalizing, after extreme geopolitical volatility disrupted typical patterns during the recent quarter. The cruise line reports strong bookings for 2027 and beyond: "This strength has been broad-based and includes our European deployments next year, where bookings were up year-over-year in mid-teens percentages at higher prices," Weinstein says on a call with analysts. Booking trends were most disrupted across the Mediterranean region during the recent quarter, in areas closest to the Middle East. "As conditions continue to normalize, we expect to benefit from the strong underlying demand, pricing and operational improvements that remain embedded in our business," Weinstein adds. (connor.hart@wsj.com)
1250 ET - The ending of the conflict in Iran and a more hawkish Federal Reserve will pull the US economy in opposite directions, Oxford Economics says in a note. For consumers, "Lower global energy prices and reduced supply-chain stress will translate into cheaper gasoline prices and reduced second-round effects on prices for food, travel, and other energy-intensive sectors," Oxford says. However, higher interest rates present another headwind to the recovery of non-AI business investment. In addition, even as energy prices decline, Oxford expects headline inflation to run more than 3.2% through December, meaning real income growth will be flat for much of the rest of the year.(jessica.coacci@wsj.com)
1105 ET - Bank of Canada Governor Tiff Macklem says he expects the Canadian economy to return to growth mode after two straight quarters of contraction. However, he tells an audience in Paris that growth would be modest. "The economy is weak," he says during an question-and-answer session after a speech focused on global imbalances. He says the uncertainty posed by US trade policy and hefty tariffs on specific sectors such as steel, aluminum, automobiles and forest products are weighing on economic activity, in particular business investment--which has declined for five straight quarters.(paul.vieira@wsj.com; @paulvieira)
1007 ET - Bank of Canada Governor Tiff Macklem says the deal reached between the US and Iran to end the conflict and get crude oil moving through the Strait of Hormuz is a welcome development for the global economy. "Global energy prices have begun to come down, though much remains to be worked out," says Macklem, in a brief mention in a speech focused on global imbalances. Inflation accelerated in Canada in May to its highest level since 2023, fueled by rising gas prices. Economists argue the immediate pullback in energy prices should lead to a softening in headline inflation, providing further comfort to the BOC given that core CPI appears contained. (paul.vieira@wsj.com; @paulvieira)
0943 ET - U.S. natural gas futures are lower in choppy trade with a warmer weather outlook for early July supporting prices while solid production and comfortable inventories limit gains. "Storage remains at a 5.8% premium to the five-year average, which is keeping the sellers present on rallies," Dennis Kissler of BOK Financial says in a note. "Hotter weather forecasts will be needed to lift prices into July." Nymex natural gas is down 1.8% at $3.195/mmBtu. (anthony.harrup@wsj.com)
0934 ET - Oil futures are lower as the U.S. waives sanctions on Iranian oil, which along with a reopening of the Strait of Hormuz is seen freeing more oil into the market. Further price weakness can't be ruled out as the market focuses more on the loosening of oil balances than on the drop in oil stocks to "critically low levels" which could continue for several weeks, Ritterbusch & Associates says in a note. "Once the sharp supply downtrend begins to reverse, the process of refilling both commercial and SPR storage will provide a source of support through the rest of this year and well into next as far as the SPR is concerned." WTI is off 0.6% at $73.41 a barrel as the August contract debuts at the front of the curve. Brent is down 0.7% at $77.33 a barrel.(anthony.harrup@wsj.com)
(END) Dow Jones Newswires
June 23, 2026 18:58 ET (22:58 GMT)
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