Crude slides as Hormuz reopening signals easing tensions
The WTI prompt-month contract fell $4.83 to $89.86/bbl on Friday morning (7:30 AM CT)
Iran stated that the Strait of Hormuz is now open to commercial shipping, pointing to a potential de-escalation in the conflict with the US and Israel
President Donald Trump announced a 10-day ceasefire between Lebanon and Israel on Thursday evening, helping to reduce broader regional tensions
“In line with the ceasefire in Lebanon, passage for all commercial vessels through the Strait of Hormuz is declared fully open for the duration of the ceasefire,” Foreign Minister Abbas Araghchi said on X
Bal 26 and Cal 27 strips have pulled back from recent highs as geopolitical risk premium fades
Gas Jumps on slipping production despite warmer temperatures
Natural gas is up 2.2c to $2.669/MMBtu (As of 07:30 AM CDT)
Production continues to fall lower, as total supply now sits around 113 Bcf/d (Criterion)
Demand is modeled by Criterion for the day at 104.1 Bcf/d, for a 9.0 Bcf implied injection
Weather models warmed today, as the 6-15 day range gained around 10°F across the L48, pushing this part of the forecast period even closer to the 10- year normal
CDDs have fallen off for the time being, as HDDs are now expected again through the remainder of April (Criterion)
Kinder Morgan project to boost Elba Island LNG output (S&P)
The overall project will increase feed gas demand at Elba from 330 MMcf/d to around 400 MMcf/d
Enterprise raises Permian Basin gas production forecasts (S&P)
Due to higher GOR in the Permian Basin, Enterprise expects the Permian to produce 27.5 Bcf/d of dry gas by 2030, up from 22.4 Bcf/d last year
Get market insights delivered to your Inbox every day!
