Coquest Daily Energy Report for March 11, 2024

Posted on 2024-03-11

Crude Oil futures for April settled down -$.08, or -.10%, at $77.93. Oil prices showed minimal movement on Monday as concerns about disruptions in the Middle East supply diminished, and Chinese data indicated weak demand. Simultaneously, an uptick in U.S. refining activity prevented significant selling. Recent data revealed that China's crude oil imports increased in the first two months of the year compared to the same period in 2023, although they were lower than the preceding months. Despite initial perceptions of geopolitical tensions tightening global crude supplies, oil investors appeared to overlook these concerns. Over the weekend, U.S., French, and British forces intercepted dozens of drones in the Red Sea region after Houthis targeted a bulk carrier, Propel Fortune, and U.S. destroyers in the area, according to the U.S. military.


Natural Gas futures for April settled down -$.0059 or -3.24% at $1.759. Natural gas futures continue to slip, reaching a two-week low due to reduced gas flow to LNG export facilities and anticipated lower demand amid milder weather in the next two weeks. Freeport LNG witnessed a nearly 50% decline in feedgas intake last week due to the shutdown of one of its three trains. EQT Corp, the leading U.S. natural gas producer, announced on Monday its agreement to acquire Equitrans Midstream in an all-stock deal valued at approximately $14 billion, including debt. This move comes as companies seek strategies to navigate decade-low prices for the commodity.


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