Coquest

Your Daily Energy Report for January 28, 2026

Posted on 2026-01-28

Crude Oil

Crude Oil futures for March settled up $.82 or 1.314% at $63.21. Oil prices jumped this Wednesday, hitting a four-month peak as an intensifying geopolitical risk premium swept the market following aggressive new rhetoric from President Trump toward Tehran. The commander-in-chief’s warning of a massive secondary fleet positioned in the Middle East has reignited fears of a structural supply shock, propelling prices more than 10% higher for the month despite persistent warnings of a global supply glut. While regional actors like Saudi Arabia and Qatar have issued calls for restraint, the White House's "time is running out" messaging has kept the risk premium firmly embedded in the front-month contract. On the domestic side, the rally was further validated by EIA data revealing a surprise 2.3 million-barrel decline in commercial stockpiles, a sharp contrast to the significant inventory build analysts had anticipated.

​​​​​Natural Gas

Natural Gas futures for February settled up $.506 or 7.276% at $7.460. Natural gas prices concluded their final session with a powerful late-day surge, to a level not seen in over three years. Despite a morning dip caused by warming forecasts for the first week of February, the contract rallied into the close as the market reassessed the massive supply deficit carved out by winter storm Fern. The lingering impact of nearly 50 bcfd in frozen wellhead losses over the weekend has forced a sharp revision in seasonal expectations, with domestic output only sluggishly recovering to 93.5 bcfd. Market participants are now braced for tomorrow’s EIA report, which is projected to confirm a staggering 233 Bcf withdrawal as LNG feedgas demand simultaneously rebounds to 13.7 bcfd.
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