The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
1524 ET - Nymex natural gas futures return early gains to end the session lower with the expiring July contract falling 3.4% to $3.231/mmBtu and the most-active August contract slipping 0.5% to $3.279/mmBtu. "The next test is whether the new prompt month can hold the recent gains as traders move past expiration and focus more directly on July heat, LNG strength, and whether injections begin to slow enough to challenge the storage surplus," Gelber & Associates says in a note.(anthony.harrup@wsj.com)
1513 ET - Oil futures resume their slide on optimism about flows through the Strait of Hormuz, with key benchmarks settling at or near pre-war levels. "Recent data show that crude flows have recovered to high levels, helping restore confidence among market participants," Antonio Di Giacomo of XS.com says in a note. Thursday's attack on a cargo ship temporarily raised concerns about maritime security, but "traders viewed it as an isolated event and remained focused on the broader improvement in transportation and export conditions." Brent settles down 4.3% at $71.99 a barrel, its lowest since Feb. 26. WTI falls 3.7% to $69.23, its lowest close since Feb. 27. (anthony.harrup@wsj.com)
The number of rigs drilling for oil in the U.S. rose by seven this week to 440, the most since June 6, 2025, Baker Hughes reports. The U.S. has added 33 oil rigs since the start of the U.S.-Iran conflict. U.S. crude production averaged 13.8 million barrels a day in recent weeks, according to the EIA which expects higher prices to contribute to an increase to 14.2 million b/d in 2027. The U.S. has been exporting record amounts of crude amid the loss of Middle East supply. "Never before have we been exporting this amount of oil," says Phil Flynn of the Price Futures Group. "I believe that when we get through this we're going to find out that U.S. producers are producing a lot more oil than has been reported. I think you're going to see the numbers get adjusted to the upside." (anthony.harrup@wsj.com)
1048 ET - With oil flows through the Strait of Hormuz back to around 80% of pre-war levels, Barclays trims its Brent price estimates to $96 a barrel from $100 for 2026 and to $85 from $88 for 2027. "The recovery in oil flow through the Strait of Hormuz has been very strong, but the backlog has been largely depleted and Iran's insistence on fees and coordination might slow further progress," Amarpreet Singh says in a note. He expects inventory withdrawals to continue for at least a few more weeks, largely due to a lag in production recovery. "It might take almost a year to fill the inventory void created by the war, and it might take longer still for inventories in OECD to fully recover, based on the historical trend," he adds.(anthony.harrup@wsj.com)
0955 ET - A wave of above-normal temperatures moving across the U.S. the next two weeks is keeping a bid in natural gas as the July contract is set to expire. "While trader positioning into July final settlement will dictate today's session, next week could see record heat into the start of the 4th of July holiday weekend and strengthening physical demand to create an upward bias for Nymex futures," Eli Rubin of EBW Analytics says in a note. Production is rising, however, leaving a softer medium-term outlook, he adds. The Nymex July contract is up 0.5% at $3.360/mmBtu and gas for August delivery rises 1% to $3.328. (anthony.harrup@wsj.com)
0907 ET - Oil futures resume their decline and are again probing pre-war levels as the market focuses on increased flows out of the Persian Gulf. "Traffic through the Strait of Hormuz has improved but it has not been plain sailing," Kieran Tompkins of Capital Economics says in a note, pointing to yesterday's attack on a cargo ship and reports that Iran turned several tankers around. The firm expects half of the region's shut-in production to be back within a month and to reach pre-war levels in 4Q. "National oil companies are gearing up to sell more oil in July, suggesting that their outlook has become more positive," Tompkins adds. WTI is down 3.5% at $69.40 a barrel and Brent is off 3.9% at $72.34. (anthony.harrup@wsj.com)
0727 ET - Italgas's strategic plan through 2032 meets--but doesn't exceed--high buyside expectations, BofA analysts write. The Italian gas distribution company's total shareholder returns target of 14% is an attractive equity story, and may even be higher after M&A activity, they write. The analysts leave their buy rating on the stock unchanged. Shares rise 1.2% to 10.45 euros.(adam.whittaker@wsj.com)
0717 ET - Yields on U.K. two-year gilts fall to the lowest since March as investors cut back their bets on the Bank of England interest-rate rises. The prospects of the BOE increasing interest rates in the coming months have dropped as oil prices continue to fall, easing concerns about inflation risk. Investors currently price in a total of 19 basis points of BOE rate rises in 2026, down from 25bps of hikes priced in a week ago, LSEG data show. Two-year gilt yields are down 2 basis points to last trade at 4.098%, having dropped to a three-month low of 4.080% earlier in the session, Tradeweb data show. (miriam.mukuru@wsj.com)
0631 ET - Palm oil prices ended higher, supported by stronger export estimates, according to David Ng, a trader at Kuala Lumpur-based Iceberg X. However, falling crude oil prices may have a negative impact on palm oil, Ng says. He sees prices of crude palm oil supported above 4,500 ringgit a ton and resistance at 4,700 ringgit a ton. The Bursa Malaysia Derivatives contract for September delivery rose 9 ringgit to 4,566 ringgit a ton. (tracy.qu@wsj.com)
0629 ET - Schneider Electric's share price doesn't reflect the French group's growth prospects and strong returns, leaving the stock attractively valued despite a recent rally, Citi analyst Martin Wilkie says in a research note. The energy-management company's margins in the first half of the year should come in slightly below market consensus, but stronger-than-expected sales growth should offset this, Wilkie says. The analyst also expects Schneider to continue passing higher costs on to customers through pricing, helping protect profitability. The company could raise its full-year organic revenue guidance while maintaining its margin outlook, the analyst adds. Shares trade 1.9% lower at 274.2 euros. (nina.kienle@wsj.com)
0409 ET - Singapore's manufacturing growth will likely continue to be driven by the electronics segment in the coming months, DBS senior economist Chua Han Teng says in a note. Headline manufacturing growth moderated to 13% on year in May from 16.5% in April. "The global AI-driven technology cycle, which has supercharged Singapore's stellar electronics performance in the past few quarters, appears to have further room to run," Chua says. The de-escalation of U.S.-Iran tensions have also lowered the risks of rising input cost pressures and persistent severe supply chain disruptions. (amanda.lee@wsj.com)
0358 ET - Markets are cutting back expectations of the Bank of England raising interest rates in 2026 as oil prices fall. Since the U.S. and Iran agreed on a peace deal, Brent crude has dropped to $73 a barrel from around $90 a barrel. The decline has eased concerns about inflation and lowered the need for the BOE to increase interest rates to tackle inflation. Investors price in a 78% chance of a BOE rate rise in December, down from fully pricing in one rate hike prior to the U.S.-Iran deal, LSEG data show. (miriam.mukuru@wsj.com)
(END) Dow Jones Newswires
June 26, 2026 15:24 ET (19:24 GMT)
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