Market Insights > First Look

Oil falls below $60/Bbl as Gaza peace deal takes effect

Oil slides below $60/Bbl after Israel-Gaza peace deal
- The prompt contract is down more than $1/Bbl this morning, as the focus remains on declining geopolitical risk premium in the Middle East (8:15 AM)
- WTI prices fell yesterday after the announcement that a peace deal had been reached between Israel and Hamas, with prices continuing to slide this morning and falling below $60/Bbl shortly after 8 AM
US sanctions key Chinese oil terminal (Bloomberg)
- The US treasury announced sanctions on Rizhao Shihua Crude Oil Terminal Co, in a move to target firms involved in the Iranian oil trade
- The terminal is one of the largest remaining outlets for Iranian crude, with the US action signaling increased interest in curbing Iranian energy revenues
- Meanwhile, China urged the US to stop using sanctions, saying cooperation with Iran was legitimate and that China will take steps to uphold its own energy security

Regional Market Insights

Updated regularly with the most important market moves and outlooks.

Natural gas prices trade lower, heading for a weekly loss
- Lower-48 weather forecasts continue to show a switch to heating demand from cooling demand within the next few days, although demand is expected to be very limited for the next two weeks
- Gas production remains low, around 104.6 Bcf/d, with supply this week being the tightest since early this year, as maintenance reduces pipeline volumes
ICE lists new Texas trading hub on exchange (NGI)
- Intercontinental Exchange executed the first trade for a new financial trading point tied to the Trinity Gas storage facility
- Trinity Storage, located in East Texas, became the state’s first greenfield gas storage facility in more than a decade when operations began earlier this year
- The hub is located close to the western Haynesville, and is expected to attract interest from trading firms, power generators, and pipelines