The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
0957 ET - German inflation shows very few signs of any knock-on effects from higher energy prices so far, ING's Carsten Brzeski says in a note. EU-harmonized price growth fell to 2.7% in June from 2.4% in May. What's even more important, he says, is that compared with last month, prices dropped again, the first time since the summer of 2024 that prices dropped for two months in a row. Inflation should accelerate again next month, given the end of the German government's tax rebate on fuel. However, there is still little evidence of any self-reinforcing inflationary spiral. "After last night, the sales of Germany's national football team merchandise could be another unexpected disinflationary driver in July," he adds. (edward.frankl@wsj.com)
0947 ET - U.S. natural gas futures pick up from losses the previous two sessions as this week sees the hottest weather so far of the summer. LNG feedgas demand is at its highest in three months, and power demand could set records for parts of the U.S. in the next two weeks, Dennis Kissler of BOK Financial says in a note. The Nymex August contract remains technically bullish with near-term resistance around $3.36 and support at the 50-day moving average of $3.183, he adds. Nymex gas is up 2.5% at $3.259/mmBtu.(anthony.harrup@wsj.com)
0939 ET - Oil prices tick higher in early U.S. trade, but are on pace for their largest quarterly decline since early 2020 as investors await clarity on a potential U.S.-Iran meeting in Doha. "Discussions could be indicative of the appetite from both sides to honor the agreed 60-day road map, or the situation in the Middle East could quickly take a turn for the worse," says Achilleas Georgolopoulos from XM. "Oil prices appear to have reached a plateau following the aggressive selloff, maintaining a small 'conflict' premium." Brent crude for August delivery is up 0.2% to $73.31 a barrel, while WTI futures are up 0.3% to $70.95 a barrel. (giulia.petroni@wsj.com)
0923 ET - Oil futures move higher with the U.S. and Iran expected to resume talks in Qatar following weekend military exchanges. "Although meetings are scheduled to take place as early as today, Iran is less clear as to the timing and scale of such talks," Ritterbusch & Associates says in a note. Significant movement of ships through the Strait of Hormuz could resume following a brief disruption, but "we feel that the resumption of military activities so soon after the Memorandum of Understanding will be demanding a much larger risk premium than currently exists." WTI is up 0.7% at $71.24 a barrel, and most active Brent gains 0.8% to $74.49. (anthony.harrup@wsj.com)
0844 ET - The capital goods sector looks increasingly positive, with demand from data centers still being underestimated across major industrial players, Bank of America analysts say in a research note. These companies include Schneider Electric, ABB, Siemens and Siemens Energy, they say. Structural growth in artificial intelligence-related infrastructure will significantly expand the size of the addressable market over the coming years, the analysts say. Stronger power-generation investment is a leading indicator for future orders in electrical equipment, which should support sustained growth in grid and electrification businesses, they say. The analysts expect the most attractive opportunities to come from high-value areas such as power conversion, grid equipment, and cooling systems. Schneider Electric shares are up 2.6%, ABB rises 2.2%, Siemens gains 4% and Siemens Energy is up 4.8%. (nina.kienle@wsj.com)
0554 ET - Global air passenger demand fell 2.2% in May due to the war in the Middle East, the International Air Transport Association says. Demand was lead by Africa, and Latin America and Caribbean, where numbers grew 6.6% and 6.1% respectively as measured in revenue passenger kilometers. However, Middle East passenger demand fell 28.4% in the month but improved compared with April's 46.6% drop. Demand in Asia-Pacific was down 1.4%, but up 2.7% in Europe, the industry body says. "While the recent sharp drop in oil prices is an encouraging development, the challenges created by the war will likely persist for some time," IATA's Director General Willie Walsh says. (ian.walker@wsj.com)
0458 ET - Eurozone inflation is set to remain "significantly above" the European Central Bank's 2% target, Bundesbank President Joachim Nagel says. "I think the energy price shock that started with that conflict in the Middle East is not over," he told CNBC in an interview on the sidelines of the ECB's forum in Sintra, Portugal. The bank's move to hike its key interest rate this month was "the right decision" given that the bank forecasts inflation to only return to target in 2028, he says. The fall in oil prices after the U.S.-Iran ceasefire agreement earlier this month was a surprise, though the inflation picture remains "very opaque". It remains too early to make a call about when the next rate move would be, Nagel said. (edward.frankl@wsj.com)
0326 ET - Maersk's improved guidance stems from higher shipping rates driven by the Middle East conflict and fuel surcharges, but strong cargo demand has also helped, with freight rates rising even as fuel prices fell, Bernstein says in a note. The U.S. brokerage isn't clear whether demand reflects genuine economic growth or if companies are pulling orders forward to sidestep upcoming tariffs and surcharges. The Danish shipping group's upgraded volume growth outlook suggests a mix of both, analyst Alex Irving says. The long-term threat of oversupply looms over the industry, and some shipping lines continue to order massive new vessels, which could hurt future profitability. Shares open 3.7% higher at 16,470 kroner. (sarah.sloat@wsj.com)
0320 ET - The U.K. economy grew by 0.6% in the first quarter of 2026, data confirmed Tuesday, indicating solid momentum at the start of the year, Quilter Cheviot's Jonathan Raymond says in a note. However, GDP growth could be set to slow due to geopolitical tensions in the Middle East, as well as domestic political uncertainty, Raymond says. "The first quarter may prove to be a peak for growth rather than the start of a sustained recovery," he says. (miriam.mukuru@wsj.com)
0319 ET - European indexes are all in the green at the open as technology and industrial stocks surge. The Stoxx 600 rises 0.6%. Germany's industrial heavy DAX gains 0.9%, led by Siemens Energy. The gas turbine-maker gains 4.6%. In Paris, the CAC 40 is up 0.4% despite weakness in luxury names, as industrials rally. Schneider Electric rises 2.3%. London's FTSE 100 is 0.3% higher as miners gain after selling sharply in recent sessions on lower precious-metals prices. Antofagasta is up 2.3%. The Dutch AEX rises 0.7% on strong gains for AI-linked stocks, including a 3.3% surge for ASML. The Spanish IBEX 35 gains 0.2%, while the Italian FTSE MIB rises 0.6%. (josephmichael.stonor@wsj.com)
0259 ET - Oil prices could stay higher than prewar levels as energy firms and governments rebuild their inventories, European Central Bank Chief Economist Philip Lane says. Brent crude prices have fallen back to prewar levels in the last week. But demand for oil for restocking purposes could keep the oil price elevated and push inflation higher, Lane told Bloomberg on the sidelines of the ECB's forum at Sintra, Portugal. "From our point of view, it's very welcome that we see this decline in the price of oil. But in terms of the overall inflation impulse, the fact that we do have, maybe for a couple of years, oil prices above the prewar level, that essentially is a cost increasing impulse to the economy," he says. (edward.frankl@wsj.com)
0239 ET - Iwatani's earnings are likely to benefit from higher prices of liquefied petroleum gas in the near term, Jefferies says in a note. Tensions in the Middle East are providing a tailwind for LPG prices, the U.S. bank says. Lower helium output from the Middle East is also a positive for the company as it improves supply and demand in Southeast Asia. For material upside to the stock, Iwatani should address its weak shareholder return policy and demonstrate that its investments in hydrogen are paying off, Jefferies says. The bank maintains a hold rating on the stock and raises its target price to 2,000 yen from Y1,800. Shares closed 0.2% higher at Y1,899. (kosaku.narioka@wsj.com; @kosakunarioka)
(END) Dow Jones Newswires
June 30, 2026 09:57 ET (13:57 GMT)
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