WTI is trading just below $70 and Brent is near $73, following a resumption of shipping attacks in the Persian Gulf
ING Group’s head of commodities strategy said, “the latest vessel attacks in the Persian Gulf highlight that we are still far away from normalization”
Iran’s foreign minister said that discussions of a final agreement would not start if threats continued
Qatari LNG carrier and Saudi tanker attacked (Bloomberg)
While attempting to exit the Strait of Hormuz, a Qatari LNG carrier and a Saudi oil tanker were damaged, heightening risk
The attacks have led some vessels to reverse course, while others continue to transit the strait
A senior analyst at Kpler said, “the continued use of different shipping lanes suggests that traffic through the strait remains operational, but is fragmented as shipowners adopt different routing strategies”
Gas is down on mixed forecast shifts
Natural gas is down -5.3c to $3.192/MMBtu (As of 07:30 AM CDT)
There was a minimal overall shift in temperature forecasts over the forecast period (CWG)
The L48 gained 1.6°F, with gains in the Midwest partially offset by losses in the South Central and Rockies
The overall short term demand outlook remains relatively unchanged, with CDDs ticking up over the next week before hovering around 15 next week
LNG feedgas nominations pulled back 687 MMcf/d this morning to 18,189 MMcf/d (Criterion)
Sabine Pas lead the pullback across Creole Trail Main, NGPL, and Transco with a nomination change of around -700 MMcf/d
Heat wave drove power sector gas demand above 50 Bcf/d last week
There were four straight days of demand above 50 Bcf/d last week
NGI predicts a net injection of 55 Bcf for the week ending July 3
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