Oil Prices Fall as US, Iran Consider Ceasefire Proposal Framework
Oil prices retreated in choppy trade on Monday, as investors awaited clarity on the status of indirect talks between the U.S. and Iran, wary about sustained supply losses due to shipping disruptions.Brent crude futures were down 0.22% to $108.79 a barrel at 11:49 a.m. CDT (1649 GMT). U.S. West Texas Intermediate crude futures were trading down 0.08% to $111.45 per barrel.The price moves on Monday were dwarfed by an 11% surge for WTI and an 8% rise for Brent during the previous trading session on Thursday…
China's Xi calls for faster development of new Energy System as Middle East War continues
Xi Jinping, the Chinese president, has called for a rapid planning and construction of a new energy infrastructure to ensure 'the?country’s energy security. This comes weeks after the Iran War that has triggered energy shocks around world. According to CCTV, the leader of the second largest economy in the world also stressed hydropower development, ecological protection and urged the safe and orderly growth of nuclear energy.
VEGOILS - Palm slips in profit-taking and Thailand's export restriction caps fall
Malaysian palm futures fell a little on Monday as profit-taking pressured markets, but Thailand's crude oil export restrictions stopped the fall. The benchmark palm oil contract for June delivery at the Bursa Malaysia Derivatives Exchange fell 27 ringgit or 0.56% to 4,812 Ringgit ($1,195.53) per metric ton. Anilkumar bagani, head of commodity research at Sunvin Group in Mumbai, stated that some profit-taking occurred as the majority of bullish factors had already been priced into the market, leaving it without any new guidance.
Palm exports to Thailand are being curtailed as a counter-profit-taking measure.
Malaysian palm 'oil futures traded at a tight range?Monday as Thailand's crude oil export restrictions offset the profit-taking pressure. By midday, the benchmark palm oil contract for?delivery in June on?the Bursa Derivatives exchange had gained 4 ringgit or 0.08% to 4,843 Ringgit ($1,201.74) per metric ton. Anilkumar bagani, the head of commodity research at Sunvin Group in Mumbai, explained that some profit-taking occurred as bullish factors had already been priced into the market, leaving it without new guidance.
Thailand will control crude palm oil imports and bottle prices beginning April 7
The Thai Commerce Ministry announced on Monday that it would tighten?palm oil crude exports, and regulate bottled palm oil prices starting?April 7. This is due to a rise in 'biodiesel' demand as a result of the soaring fuel prices worldwide caused by the Middle East conflict. The ministry stated that these measures, which include the maintenance of energy reserve, will not affect farmers. They will continue to be protected by the government.
Lee, South Korea's Lee, says the country must balance risks as disruptions to oil supply from Hormuz threatens the country.
South Korea must accept some risk when importing crude oil from Middle East due to the blockade of the Strait of Hormuz. This was the message of President Lee Jae Myung on Monday. In a cabinet discussion, Lee stated that there are few alternative routes and if the shipments were to be stopped altogether due to increased risk, this could have a severe impact on South Korea’s crude supply. It would also pose a significant risk to the general public. We?need a balance, and accept a degree of risk," Lee added.
India buys Iranian oil for the first time in seven years without any payment issues
The oil ministry announced on Saturday that Indian refiners had purchased Iranian oil?amid a Middle East conflict which has?disrupted supplies via the Strait of Hormuz. India, the world's third largest oil importer and user, hasn't received a shipment from Tehran since May 2019. This is due to U.S. pressure against buying Iranian crude. However, supply disruptions caused by the U.S. - Israel?war, have affected the South Asian nation severely.
Turkish hydroelectric output reaches a peak of 40%, which eases war-related pressures on energy
Official data show that the power produced by Turkey's hydroelectric plants in 'March' nearly doubled compared to a year earlier, to 40%. Heavy rainfall also helped ease the pressure on one of Europe's biggest natural gas importers' energy bills. According to the market regulator EPDK, Turkey imported 16 billion cubic meters of natural gas last year, which is more than one-quarter. The largest part of Turkey's energy import bill last year was made up by natural gas and crude oil.
VEGOILS - Palm closes on 15-month-high, logs 5th straight weekly gain
Malaysian palm futures rose almost 1% on Friday, logging a fifth consecutive weekly gain, driven by expectations for lower inventories and Indonesia's plans to produce B50 biodiesel, as well as heightened Middle East tensions. The benchmark palm oil contract on Bursa Derivatives Exchange for 'June' delivery gained 47 ringgit (0.98%) to 4,838 Ringgit ($1,201.09), the highest closing price since December 13, 2024. The contract rose 4.47% in the past week.
South Korea and France agree to intensify defence cooperation amid Middle East conflict
South Korean President Lee Jae Myung said that he and French President Emmanuel Macron planned to 'boost defence co-operation and work together in order to address 'the economic and energy crisis triggered by war i Iran. After a visit to Japan, Macron arrived in South Korea for a 2-day state trip on Thursday. He held a Seoul summit on Friday. The first visit of a French President since 2015, officials said that the visit aims…
Palm oil to rise for fifth week on lower stock expectations and biodiesel optimism
Malaysian palm oil futures were up on Friday and headed for a fifth consecutive weekly gain. This was due to expectations of lower inventories, Indonesia’s B50 biodiesel plans, and increased Middle -East tensions. By midday, the benchmark contract for palm oil delivery in June on the Bursa Derivatives Market gained 25 ringgit or 0.52% to 4,816 Ringgit ($1,194.44) per metric ton. This week, it has gained 3.76%. Lower March-end stocks ?in Malaysia…
Bangladesh reduces working hours in order to save energy during Middle East crisis
Bangladesh has taken new measures to reduce energy consumption, including cutting office hours and reducing public spending. Conflict in the Middle East is disrupting global fuel markets and straining power supply across South Asia. Officials say the steps approved on Thursday by the cabinet aim to stabilize the energy situation in Bangladesh. Bangladesh is heavily dependent on fuel imported and has been battered with price volatility and uncertainty due to the US-Israeli conflict with Iran.
Sources say that oil giants have shown early interest in US Gulf Deepwater Field stake
TotalEnergies, a European energy giant, and Shell are among the companies that want to buy a majority stake at one of?U.S. Three sources familiar with the process have said that the Gulf is one of the most promising sites. This is because the Middle East conflict has heightened 'interest in North American energy prospects. Two people, including a fourth, said that BP, a London-listed company, is also interested. Repsol of Spain is, too, a fifth said. Two people have said that Chevron will also consider a bid.
Baker Hughes reports that US drillers have added oil and gas rigs to their fleet for the first time in 3 weeks.
Baker Hughes, a?energy services firm?, said on Thursday that U.S. firms added to the number of oil and gas rigs operating for the first time since three weeks. The number of oil and 'gas rigs, an early indicator for future production, increased by five in the week ending April 2. Baker Hughes reported that despite this week's increase in rigs the total count is still 42 rigs or 7.1% lower than this time last year. Baker Hughes reported that oil rigs increased by two this week to 411, while gas rigs increased by three to 130.
Verbio CEO: Middle East war drives demand for local biofuel
Verbio's chief executive said that the rising fuel prices are "extraordinarily advantageous" for its biofuel producer. The company is experiencing a rise in demand as countries and companies look to cut energy costs and secure supplies. Verbio, a German company, produces biomethane, bioethanol, and other renewable fuels from local organic materials such as agricultural wastes and food scraps. It is thus protected from the negative impacts of the Middle East Conflict.
As the Middle East conflict shakes markets, global companies are delaying IPOs and cutting dividends.
The Middle East conflict is affecting global financial markets. It has also affected logistics and hampered the supply of raw materials that are essential to many industries. In alphabetical order, here is a list of some of the companies that have reacted to the crisis by delaying their initial public offering or withdrawing dividend proposals. The Swedish outdoor technology firm has withdrawn its dividend proposal for SEK 1,00 ($0.11) per share and instead proposed no dividend?for 2025.
India may reduce import duties and exports to ensure local supply
India's director of foreign trade announced on Thursday that it would reduce import duties or regulate exports to ensure adequate supplies at home for a number of?essential goods whose availability has been restricted due to the war in the Middle East. The conflict that began in February when the United States and Israel attacked Iran has closed the Strait of Hormuz. This is the usual route of about 20% of world oil. As a result of the conflict…
Palm prices rise on Mideast unrest and weak supply outlook
Malaysian palm futures rose a day after falling in the previous session. This was boosted by the uncertainty surrounding the Middle East conflict and the expectation of a fall in March's output. The benchmark palm oil contract on Bursa Derivatives Exchange for June delivery gained 25 ringgit or 0.52% to 4,794 Ringgit ($1,187.81). According to Paramalingam Supramaniam of Selangor brokerage Pelindung Bestari, the palm oil market is still uneasy due to ongoing negotiations.
Sources say that OPEC+ is likely to increase oil production on Sunday.
Two OPEC+ source said that OPEC+ will likely consider a new oil production increase at their meeting on Sunday. This would allow key producers to 'add more barrels' if the Strait of Hormuz reopens, the world’s most important oil route which is currently closed by the U.S./Israeli war against Iran. OPEC+ decided to 'adjust' its output to 206,000 barrels a day in April at their?last meeting, held on March 1. This was after the group had kept output constant during the first quarter due to concerns about oversupply.
Energy ministry reports that Morocco has enough diesel to last for 51 days.
The 'energy' ministry announced on Thursday that Morocco, which is heavily dependent on imports, has enough diesel to last for 51 days or 55 days respectively, and that gas and coal supplies are?secured until the end of the month. The war in the Middle East has caused an unprecedented disruption in energy supplies, leading to record gains in crude oil prices. This is especially painful for Morocco because it has no refining capacity at home.