The WTI prompt-month contract gained $0.18 to $64.54/Bbl on Tuesday morning (7:30 AM CT)
US officials cautioned American-flagged vessels on Monday to keep maximum distance from Iranian waters while transiting the Strait of Hormuz
The advisory arrived even as diplomatic engagement between Washington and Tehran shows tentative progress on nuclear negotiations
At the same time, a significant US military presence remains in the Middle East alongside ongoing diplomatic outreach
Carlyle flags structural underinvestment in crude
Carlyle CEO Jeff Currie said global oil markets remain “materially underinvested,” arguing that persistent oversupply concerns have been overstated
“If you are having to scrape the data to find evidence of the glut, it is not an oil supply glut,” Currie said
The January EIA STEO still points to inventory accumulation through 2026, implying stock builds of roughly 2.8 MMBbl/d as supply growth exceeds demand
Natural gas prices are mostly unchanged, following yesterday’s 31c decline
Lower-48 population-weighted temperatures continue to look slightly elevated to the ten-year average over the next two weeks, suppressing gas demand
Dry gas production remains below 108 Bcf/d, about 2 Bcf/d lower than what was seen at the start of 2026
The Northeast region is the source of the production weakness
FERC approves 10 Bcf gas storage expansion (S&P)
Federal regulators have authorized NGPL to begin construction on a 10 Bcf expansion of the North Lansing Storage Field in Harrison County, Texas
The storage facility is located north of Carthage and near the Haynesville region
The project is expected to enter service in the first half of 2027
While demand and supply have both climbed over the last ten years, storage capacity has been relatively stagnant, but about 250 Bcf of new storage is planned over the next decade
Most new storage capacity will be in the South Central region, along the Gulf Coast
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