The energy sector is set for a higher start, supported by strength in the major equity futures and underlying...
The energy sector is set for a higher start, supported by strength in the major equity futures and underlying commodities. U.S. stock index futures surged this morning on signs of progress in Ukraine-Russia peace talks, while investors braced for a widely expected Federal Reserve interest rate hike later in the day. The U.S. Federal Reserve is expected to raise rates for the first time in three years and give guidance on future tightening. Investors are expecting the central bank to raise rates by at least 25 basis points.
WTI and Brent crude oil futures turned higher this morning following three straight days of heavy declines, hovering around the $100-mark. Futures however initially came under pressure from signs of progress in Russia-Ukraine peace talks, Chinese lockdown concerns and a closely-watched report that cut its forecast of world demand. On the heels of OPEC’s announcement yesterday which held its forecast steady, the IEA issued its monthly report this morning and cut its oil demand forecast for 2022. Ukraine's president said the positions of Ukraine and Russia were sounding more realistic, but time was needed while Russia's foreign minister said some deals with Ukraine were close to being agreed upon.
US shale operators are increasingly walking away from hedging future production amid expectations...
US shale operators are increasingly walking away from hedging future production amid expectations that oil prices will remain high in the near future, according to analysts. "Fortified corporate balance sheets, reduced debt burdens, and the most constructive market outlook in years have sapped producer hedging programs," says RBC Capital Markets analyst Michael Tran.
US shale oil, gas production expected to grow in April
The Energy Information Administration predicts that US shale oil production will climb by 117,000...
The Energy Information Administration predicts that US shale oil production will climb by 117,000 barrels per day to 8.7 million bpd in April, driven by gains in the Permian Basin, where output is seen increasing by 70,000 bpd to a record 5.2 million bpd. Shale gas production is also projected to jump by 0.6 billion cubic feet per day to an all-time high of 92.3 Bcf/d in April, with output in Appalachia, the Permian, and the Haynesville Shale, all set to hit records.
MarketWatch: Dow finishes up 600 points as oil extends pullback from 14-year highs
Stocks ended sharply higher Tuesday as oil prices continued to pull back from 14-year highs. The Dow...
Stocks ended sharply higher Tuesday as oil prices continued to pull back from 14-year highs. The Dow Jones Industrial Average DJIA, +1.82% jumped around 599 points, or 1.8%, to close near 33,544, according to prelminary figures, while the S&P 500 SPX, +2.14% advanced around 89 points, or 2.1%, finishing near 4,262. the Nasdaq Composite COMP, 2.92% rose around 367 points, or 2.9%, to end near 12,948.62. Crude prices, which saw the U.S. benchmark soar to a 14-year high near $130 a barrel last week as investors reacted to Russia's invasion of Ukraine and the resulting sanctions against Moscow, have pulled back sharply. Front-month Nymex crude for April delivery CL.1, -7.89% lost $6.57 per barrel, or 6.4% to close at $96.44 a barrel. Investors continued to monitor developments in the Russia-Ukraine war and prepared for the two-day Federal Reserve policy meeting that's expected to conclude with an increase Wednesday with a rise in benchmark interest rates for the first time since 2018.
