Ours is a geopolitically charged world. The unfortunate events in the Middle East are fueling concerns, inter alia, of an impending supply risk. So far the oil markets didn’t react to Iran’s drone strikes. But if Israel strikes back or there is further escalation even it is just a war of words, we might see more geopolitical risk premium being added to the prices. This changes everything from expectations of an interest rate cut to lower Inflation.
1. Monday Macro View: Oil Markets Post Iran Attack – FREE
In this week’s Monday Macro View we explore why oil prices didn’t rally after Iranian attack. A few reasons: According to the International Energy Agency (IEA), Iran’s oil production reached 3.25 million barrels per day in March 2024, the highest in over five years, despite the international sanctions targeting its energy sector. OPEC+ has a 5 million bpd of cover. Straits of Hormuz was unaffected. To find out more details, please read the full article!
2. Primary Vision Insights – ENTERPRISE
The crude market remains volatile in a tight range as competing forces push the futures market around. The IEA has reduced their oil demand forecast for this year and estimated even slower growth in 2025 due to weak economic outlook. Oil imports into China were strong as refiners took advantage of some pricing, and to bring in crude ahead of maintenance season. This Insight by Mark Rossano talks about this and everything related to global economy, it is a must read!
3. Liberty: Q1 Take Three – PREMIUM
Liberty Energy’s management emphasized the shift towards low-emissions, capital-efficient natural gas-fueled technologies in the fracking industry. In the recent past, crude oil prices have gained strength while natural gas prices have gone south. However, the divergence did not affect the demand for North American frac services. Fin out more as our analyst Avik does a deep dive for Liberty in this article.
4. Market Sentiment Tracker: Global economy in flux – PREMIUM
Analyzing the economic pulse across the United States, China, and Europe through recent Market Sentiment Trackers offers a glimpse into a global economy at a crossroads of recovery and uncertainty. In the U.S., the sentiment is cautiously optimistic. China’s landscape is a blend of concerns and strengths. Europe’s narrative is mixed.
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