Energy Markets

Valero Energy in the United States, which is kicking off earnings season for refiners on Thursday, reported better-than expected third-quarter results as refining margins were supported throughout the quarter, and refinery throughputs in the Gulf Coast region and North Atlantic region reached new heights. On Thursday, shares of the company rose 6.8% to $172.90. Fuel producers have seen their margins rebound from the multi-year lows of 2024, as supply shortages linked to geopolitical tensions with Ukraine boosted pricing. On a Thursday conference call, Lane Riggs, Chief Executive Officer of Lane Riggs Corporation told analysts that "refining margins were well supported...

Vladimir Putin warned on Thursday that Russia will not bow to the pressure of the United States, or any other country. He also said that any attacks deep inside Russia would receive a very serious and overwhelming response. Putin stated that the U.S. Sanctions are "unfriendly". They "will have certain effects, but will not affect our economy in a significant way," he said. He said that the Russian energy sector is confident. Putin stated that "this is, ofcourse, an attempt at putting pressure on Russia." "But no country or people with any self-respect ever makes a decision under pressure." Putin...

Valero Energy, a U.S. refiner, beat Wall Street's expectations for the third quarter profit on Thursday. This was due to a rebound in refinery margins as well as record refinery output in the Gulf Coast region and North Atlantic. In premarket trading, shares of the company rose by 3% to $166.51, kicking off the earnings season in the United States. After two years of record profits, the refining margins recovered in 2024 from their multi-year lows, as supply shortages linked to geopolitical tensions with Ukraine supported higher pricing. U.S. refinery profit margins measured by the 3-2-1 Crack Spread In the...

Data from Canada's National Statistics Agency showed that retail sales in Canada rebounded during August, as consumers increased their spending on new cars, supermarkets, and clothing, among other things. Statista Canada reported that retail sales increased by 1% in August to C$70.40 Billion ($50.20 Billion) from a downwardly revised 0.7% drop in July. A preliminary estimate of September sales showed a likely decline of 0.7%. Analysts polled had predicted retail sales growth of 1.3% in August, excluding automotive and part sales. StatsCan's data shows that sales increased by 0.7% excluding the automotive category which accounts for as much as 28%...

Rosen Zhelyazkov, the Prime Minister of Bulgaria, said that although U.S. sanctions have been imposed on Russia's Lukoil, which operates Bulgaria's largest refinery, there is still enough fuel to meet demand. The U.S. President Donald Trump has imposed sanctions against Russia's biggest oil companies Lukoil, and Rosneft over Moscow's conflict in Ukraine. This has sent global oil prices up and prompted India to cut Russian imports. Lukoil operates the Burgas refinery in Bulgaria which produces 190,000 barrels per day. It also has more than 200 petrol station and a network of fuel depots and transport. Zhelyazkov, speaking to journalists in...

Russia, which is the second-largest oil exporter in the world, is considering how it will respond to U.S. sanction against top oil companies Rosneft, and Lukoil, and to the possibility of reduced sales to India, its largest buyer. Since months, President Donald Trump and Vladimir Putin have been discussing a way to end the conflict. However, there has not yet been a breakthrough. What did the U.S. do? The U.S. Department of the Treasury’s Office of Foreign Assets Control, or OFAC, imposed sanctions against Rosneft, Lukoil and several of their subsidiaries on October 22, while calling on Moscow to agree...

CenterPoint Energy, a U.S. utility, posted higher-than expected third-quarter profits on Thursday, driven by regulatory recoveries and increasing industrial demand. This included new AI data centers in Houston, Texas. Houston Electric's industrial throughput has increased by over 11% in the past year. The Greater Houston region is experiencing strong economic growth, which is supported by the most diverse set of growth drivers within the sector. The impact of the CenterPoint CEO Jason Wells's initiative is not dependent on a single industry. U.S. Public power utilities are increasing their spending to meet the demand, as Big Tech builds more data centers...

Chemicals company Dow reported a smaller-than-expected adjusted quarterly loss in the third quarter on Thursday, as cost cuts and higher volumes from new U.S. Gulf Coast assets helped offset weakness in global chemical prices. In premarket trading, Dow shares were up 6.5% to $23,10. The company said that it had achieved more than half its $6.5 billion planned near-term cash assistance, including $1 billion of capital expenditure cuts and an accelerated delivery of costs reduction targets by the end of 2026. Jim Fitterling, Dow's CEO, said that Dow's cost-discipline and its new polyethylene and alkoxylation facilities in the U.S. Gulf...

Valero Energy, a U.S. refiner, surpassed Wall Street's expectations on Thursday for its third-quarter profits. This was due to a rebound in the refining margins. After two years of record profits, the refining margins rebounded in 2024 from their multi-year lows. This was due to refiners taking advantage of supply shortages that were caused by geopolitical tensions affecting Ukraine. U.S. refinery profit margins measured by the 3-2-1 Crack Spread In the third quarter, grew by nearly 29% in average compared to a year ago, aided by high diesel and gasoline margins, boosted both from robust demand and low inventory. The...

On Thursday, Ukrainian President Volodymyr Zelenskiy welcomed the "very important" energy sanctions imposed by the United States and European Union on Russia. However, he said that more pressure was needed to be applied on Moscow in order to achieve a ceasefire. On Wednesday, the United States announced sanctions against Russia's largest oil companies. This comes a day after the collapse of plans for a meeting between U.S. president Donald Trump and Russian president Vladimir Putin. On Thursday, the EU officially adopted its 19th set of sanctions. This included a ban on Russian imports of liquefied gas. Zelenskiy told reporters in...

On Wednesday, the United States imposed sanctions on Russia's largest oil companies and accused Russia of not being committed to ending the conflict in Ukraine. This was as Moscow carried out a large-scale nuclear weapons training exercise. New sanctions were announced one day after the collapse of plans for a meeting between U.S. president Donald Trump and Russian president Vladimir Putin. Trump told reporters that he cancelled the summit because "it just didn't feel right." The U.S. Treasury Department stated that Russia's largest oil companies Rosneft, and Lukoil were targeted to hinder Moscow's ability fund its war machine. This was...

On Wednesday, gold prices fell again, just a day after it had experienced its biggest single-day decline in five years. Most major stock indices also declined, with Netflix's shares falling after disappointing outlook. Investors booked profits, and gold, which was one of the best performing trades for the year, fell. The price of gold is still on track to have its best year since 1979's oil crisis. It has risen more than 50% this year. Spot gold dropped 1.49%, to $4.062.39 per ounce. In afternoon trading, shares of Netflix fell about 10% and Wall Street's major indexes plunged sharply. Tesla's...

A lobby leader said that the nuclear industry in Japan wants more support for building new reactors under the newly elected pronuclear prime minister Sanae Takaichi. This includes state-run auctions of capacity, according to a Thursday statement. Only 14 of the 54 reactors that operated in Japan prior to the Fukushima nuclear disaster in 2011 have been brought online. Takaichi said reviving the nuclear power was key to Japan's security. Japan has focused on restarting reactors that have been shut down - the government extended the operating life from 40 to 60 year - and only one new plant is...

Oil prices rose more than 5% on Thursday to a new two-week high after Washington imposed sanctions against major Russian companies for the Ukraine War. Major stock indexes also climbed, as gains in U.S. energy stocks and European energy shares offset mixed earnings reports. The sanctions were announced late on Wednesday and targeted major Russian suppliers Rosneft, as well as Lukoil. The European Union approved the 19th set of sanctions against Moscow, which included a ban on Russian gas liquefied imports. Britain imposed sanctions on Rosneft & Lukoil last week. Wall Street stocks closed higher with indexes gaining strength after...

The global stock market got a boost Thursday thanks to a series of positive earnings reports that helped offset some of the gloom in Wall Street due to a lacklustre performance by tech megacaps. Oil prices also rose following U.S. sanction against Russia. Oil prices rose 5% following Washington's sanctions against major Russian companies Rosneft, and Lukoil for the Ukraine conflict. The STOXX 600 index rose 0.3% for the day, as positive earnings helped to boost the domestic indices. The MSCI All-World Index, however, fell 0.1% and is now heading towards its third consecutive day of decline. Chinese stocks recovered...

Analysts say that the Russian rouble could be supported in the short term by the United States' sanctions against Russia's largest oil companies. In his latest policy change on Moscow's conflict in Ukraine, U.S. president Donald Trump imposed sanctions against Rosneft (Russian oil company) and Lukoil (Indian oil company). This caused global crude prices to increase by over 4%. India also considered cutting Russian imports. The rouble had been trading flat against the Yuan at the Moscow Stock Exchange at 0950 GMT. Sofya Donnets, T-Investments, said that sanctions are a factor in foreign currency revenues. However, until November 21, a...

On Thursday, Asian stocks fell a second time as Wall Street was stung by disappointing earnings reports for tech giants. Meanwhile, U.S. sanctions on Russia and China rekindled geopolitical fears. Oil prices surged. The broadest MSCI index of Asia-Pacific stocks outside Japan fell 0.3% last week, while Japan’s Nikkei225 dropped 1.5%. Chinese stocks fell 0.4% in Hong Kong following reports that the White House was considering a plan aimed at curbing a range of software-powered products exported to China as retaliation against Beijing's recent round of export restrictions on rare earths. Charu Chanana is the chief investment strategist for Saxo...

Sanae Takaichi, the new Japanese Prime Minister, is working on an economic stimulus package which is expected to be larger than last year's $92billion to help families combat inflation. Government sources familiar with this plan told Reuters that it is being prepared to surpass last year's $92billion. Takaichi, who advocates big fiscal expenditures, took office Tuesday. This is her first major economic initiative. It reflects her commitment to "responsible fiscal policy". Sources declined to identify themselves because it was a private matter. They said that the plan will be built on three main pillars - measures to combat inflation, investments...

Automakers formed alliances with electric vehicle companies to avoid heavy fines from the European Union for carbon emissions. Several legacy automakers could face fines, as the transition from ICEs to EVs has been slower than expected. As of Tuesday, here are the details on the regulations and alliances that will be in place by 2025. Initial EU fines were based on carbon emissions levels in 2025. The European Commission, under pressure from the automakers, allowed compliance in March based on average emissions between 2025 and 2027. All alliance agreements currently in existence, as identified by their pool managers, will expire...

Asian shares rose Tuesday, as the prospect that trade tensions would ease between the two largest economies in the world boosted risk sentiment. Sanae Takaichi is set to be elected Japan's new prime minister. This will lift the Nikkei, but weigh on the yen. U.S. president Donald Trump said he expected to reach a fair deal with Chinese President Xi Jinping, and downplayed the risks of a conflict over Taiwan. In recent weeks, trade tensions between China and the U.S. have weighed heavily on the markets. Investors are now focused on Trump's meeting with Xi next week on the sidelines...

Wayne Cole gives us a look at what the future holds for European and global markets. Since the Liberal Democratic Party and the Japan Innovation Party formed a coalition to form a government, the Takaichi Trade has been in full flow. This brings Japan closer to the first female Prime Minister. Analysts believe Sanae Takaichi will be in favor of stimulus and against any further interest rate hikes. This is a negative for the Japanese yen, but positive for stocks. The Nikkei jumped to an all-time record high of 2,9%, and the yen fell modestly. Even the ultra-long JGBs attracted...

China's crude output of steel fell to a 21-month low last September as mills struggled with a sluggish market and declining margins. Data from the National Bureau of Statistics revealed that the world's biggest producer of crude steel produced 73.49 millions metric tons of it last month. This is the lowest level recorded since December 2023. This was a 4.6% decrease from the previous year and a 5% drop compared to August's 77.37 millions tons. Calculations based on data show that the average daily production in September was 2,45 million tons. This is down from 2.5 millions tons in August....

Nicola Willis, New Zealand's Finance Minister, said that regional and bilateral trade relationships would continue to grow in the face of the U.S.-China Trade War. Small countries such as hers will have to adjust to a different reality and maintain their priorities. Willis stated in an interview with The New Zealand Herald on Thursday that New Zealand is acutely aware of geopolitical risks and economic challenges. However, her discussions this week at the World Bank and International Monetary Fund annual meetings showed the strength of international institutions as well as trade agreements among other countries. She said that New Zealand...

The stock market retreated to all-time highs on Friday as strong corporate earnings offset the simmering U.S. China trade tensions. Meanwhile, the euro edged up as France's Prime Minister passed the first crucial vote of confidence. Gold's appeal as a safe haven showed no sign of waning, as it continued its record-breaking run. The dollar fell for a third consecutive day and oil climbed from soaring lows of five months after U.S. president Donald Trump announced that India had promised to stop purchasing oil from Russia. Europe's bond market cooled meanwhile after a rally lasting four days that drove regional...