All articles tagged with #supply concerns
Copper prices hit record highs in China and New York due to supply concerns and a weaker US dollar, with global markets rallying as investors anticipate tighter supplies in 2026 amid a year of geopolitical and supply shocks, and copper benefiting from the energy transition.
Copper prices are nearing a 15-month high due to supply fears and increased demand, particularly from China where manufacturing is picking up. The metal's role in the energy transition is also driving bullish calls, with analysts predicting potential explosive price upside in the next three years. Mine disruptions and a lack of new projects are compounding concerns about supply, leading to expectations of copper averaging $12,000 a ton by 2026.
Crude oil prices continue to rise in Asian trade, driven by supply concerns and bullish sentiment following an IEA report forecasting a swing into deficit and higher demand growth. Ukrainian drone attacks on Russian refineries have added a risk premium to crude prices, while geopolitical tensions between Israel and Hamas further contribute to market uncertainty. Traders are also keeping an eye on the upcoming Fed meeting and the start of CERAWeek in Houston.
Crude oil prices are on the rise due to concerns over tightening supply, with April WTI crude oil futures showing a 0.19% increase for the week, signaling a bullish sentiment in the market. The widening gap between spot prices and near-date futures indicates a strong short-term demand outlook, while the recovery of U.S. refineries, such as BP's Indiana and TotalEnergies’ Port Arthur, is expected to boost demand for crude oil, further enhancing the bullish signal in the market.
Oil prices fell after a U.S. Federal Reserve official suggested delaying interest rate cuts, with Brent crude futures down 0.5% at $83.29 a barrel and U.S. West Texas Intermediate crude futures 0.5% lower at $78.21. Concerns over supplies and healthy demand could support prices, as U.S. crude oil inventories rose less than expected and refinery run rates may increase. The Fed governor's comments on delaying rate cuts and geopolitical tensions in the Middle East influenced oil benchmarks, while JPMorgan's high frequency demand indicators show rising oil demand.
Natural gas markets plunged from the top of the overall consolidation range, indicating a potential selling opportunity as the market pulls back. With temperatures expected to normalize, demand is likely to decrease, highlighting the oversupply of natural gas and leading to a focus on pricing reflecting this concern. The market is anticipated to trade within a range for the rest of the year, with $3.33 as the top and $2 as the bottom, and a potential move towards the middle of the range in the near term.
Natural gas markets have shown signs of recovery as the 200-Day EMA provides support, indicating a potential upward trend. The market is currently in a consolidation range, with a possibility of reaching the top again. Breaking above the shooting star from Friday could lead to further gains, potentially reaching the $4.00 level. However, a breakdown below the 200-Day EMA may bring the 50-Day EMA into play as support, followed by the $3.00 level. Factors such as colder weather, supply concerns in Europe, disruptions in pipelines, and geopolitical tensions contribute to the market's volatility. Despite occasional pullbacks, the long-term outlook suggests a potential rise towards the $5.00 level.
Cameco, a Canadian uranium producer, has reported its third-quarter financial and operating results, highlighting the positive momentum in the nuclear energy industry. The company's gross profit has improved due to lower unit costs and higher average realized prices. The industry's contracting volume has reached a decade-high, and concerns over security of supply have boosted the full-year revenue outlook. Cameco also announced the appointment of Dominic Kieran as Global Managing Director of its subsidiary in the United Kingdom. The company remains committed to its long-term strategy and is focused on sustainable growth in the nuclear value chain.
Oil prices dropped over 2% as diplomatic efforts intensified in the Middle East to contain the conflict between Israel and Hamas, easing concerns about potential supply disruptions. European Union leaders are calling for a "humanitarian pause" in the conflict to allow aid to reach Palestinians in Gaza, while aid convoys have started arriving from Egypt. The release of two female civilian captives by Hamas in response to mediation efforts also contributed to the easing of supply concerns. Additionally, the suspension of sanctions on Venezuela by the US could potentially bring back Venezuelan crude exports to the market, although the impact on supply risks in the Middle East remains uncertain.
Oil prices surged over 4% as the U.S. tightened sanctions on Russian crude exports, exacerbating supply concerns in an already tight energy market. The move follows the imposition of sanctions on two shipping companies that violated the G7's oil price cap, aimed at curbing Russia's war funding while maintaining a reliable supply of Russian flows. The escalating Israel-Hamas conflict also adds uncertainty to the market, although it has not yet directly impacted physical supply. The International Energy Agency assured that it is prepared to take action to ensure adequate supply in the event of a sudden shortage.
Oil prices rose by $2 as the US tightened sanctions on Russian crude exports, raising concerns about supply in an already tight market. The Organization of the Petroleum Exporting Countries (OPEC) also forecasted a decline in global crude stockpiles this quarter. Despite fluctuations throughout the week, both Brent and WTI crude were set for weekly gains. The market remains concerned about potential supply constraints from the Middle East and Russia.
Oil prices rebounded and settled higher on Tuesday, recovering from a two-week low, as concerns over tightening supply outweighed worries about a sluggish economic outlook. Brent crude futures rose 0.7% to $93.96 a barrel, while U.S. West Texas Intermediate crude futures increased 0.8% to $90.39. Russia lifted its ban on gasoline and diesel exports, except for high-quality diesel and gasoline. The extension of production cuts by Russia and Saudi Arabia, along with expectations of underwhelming oil supply, supported the rebound. However, fears of higher oil prices and prolonged higher interest rates dampened demand for refined products. The U.S. dollar also reached a 10-month high, which could weigh on oil demand. Moody's warned that a U.S. government shutdown would harm the country's credit rating. Industry data showed a rise in U.S. crude oil stockpiles, while concerns about tightening supplies in the Cushing storage hub boosted prices.
Experts warn of "demand destruction" as oil prices are expected to breach $100 per barrel due to supply concerns. Market strategists are concerned about how high crude oil prices can go before they start affecting demand, as Goldman Sachs raises its oil price target to $100 again, citing lower OPEC output and higher demand outweighing increased US supply.
Oil prices have surged above $91 per barrel as concerns over a potential supply deficit arise after Saudi Arabia and Russia extended supply cuts. Brent and West Texas Intermediate (WTI) crude prices have reached their highest levels since November and are on track for their biggest quarterly gains since 2022. The spike in oil prices is causing pain at the pump, with companies that heavily rely on fuel, such as airlines and trucking companies, locking in oil prices for months in advance. A sustained increase in oil prices could benefit OPEC members but hinder industrialized economies' efforts to control inflation and lower interest rates.
Oil prices dropped below $90 a barrel due to a stronger dollar and concerns over high interest rates following strong economic data. The extension of voluntary oil cuts by Saudi Arabia and Russia also contributed to market uncertainty. However, the market remains cautious as the cuts will be reviewed monthly, and potential obstacles such as U.S. refinery maintenance and increased supply from Iran, Venezuela, and Libya could impact prices.