The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
1509 ET - U.S. natural gas futures pick up from two sessions of losses as a heat wave across much of the U.S. lifts demand, coupled with rising LNG exports. The electricity generating sector "is the clear primary demand driver at 47.6 Bcf/d," while LNG feedgas flows are second at 19.7 Bcf/d, Gelber & Associates says in a note. A modest warming in the 1-15 day temperature outlook adds support, although buoyant supply "remains capable of absorbing a meaningful share of that weather-driven lift," the firm adds. Nymex natural gas settles up 3% at $3.275/mmBtu, up 14% for the quarter. (anthony.harrup@wsj.com)
1430 ET - Oil futures give up earlier gains as the presence of U.S. and Iranian negotiators in Qatar puts focus back on oil flows through the Strait of Hormuz. "People are accepting the fact that maybe this will all be resolved soon," says Baron Lamarre, petroleum economist and Co-Founder of Index Litro as well as former head of trading at Petronas. Also, more oil could be getting through the strait than is being accounted for, with a lot of ships that cross the waterway turning off their tracking devices, he adds. "So you don't really know for certain how many vessels and what volume they're carrying. There's a question mark there." WTI is down 1.5% at $65.70 a barrel, and Brent is off 1% at $73.18. (anthony.harrup@wsj.com)
1106 ET - Inflation in Germany fell more sharply than expected in June, mainly on easing energy and food prices. Although core inflation stayed unchanged, there's little evidence of indirect effects from energy prices into costs of other goods, Commerzbank's Ralph Solveen says in a note. Based on available data, the eurozone's inflation rate for June is likely to be slightly lower than the consensus forecast of 3.0%, he says. However, oil prices are set to return to somewhat higher than current levels in the coming months, due to recurring bad news from the Middle East, Solveen says. That means inflation is likely to move sideways between 2.5% and 3%, and given companies will likely pass on higher energy costs to customers, core inflation may rise slightly again, he adds. (edward.frankl@wsj.com)
1101 ET - Geopolitical conflicts and the AI boom are driving up demand for energy supply, benefiting companies in the electricity supply chain, BlackRock Investment Institute say in a note. "Many governments and companies are prioritizing resilience [in energy supply]," they say. Assets such as power equipment, batteries, grids, and critical materials are gaining from the rising electricity demand, BlackRock Investment Institute say in a note. (miriam.mukuru@wsj.com)
1057 ET - Another interest-rate hike from the European Central Bank could become a policy mistake, ING global head of macro Carsten Brzeski says in a note. ECB President Christine Lagarde reiterated Monday that the June rate increase was driven by a higher inflation outlook. But with the recent drop in energy prices, chances have increased that forecasts could show inflation below 2% in 2027, Brzeski says. Judging from Lagarde's comments and other ECB officials in recent weeks, that wouldn't stop the ECB from hiking again, he notes. "As long as the core inflation forecasts aren't revised downwards, there appears little in the way to stop the ECB." But a new debate could emerge over looking through what could be a temporary energy-price shock, he says. (edward.frankl@wsj.com)
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)
(END) Dow Jones Newswires
June 30, 2026 15:09 ET (19:09 GMT)
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