In oil markets this week, participants will be monitoring the upcoming monthly oil market reports from OPEC and the International Energy Agency, scheduled for release on Thursday and Friday, respectively.
With Brent crude futures edging above the $90/b mark, the reports are expected to provide a global perspective on the recent attacks on Russian refineries.
Ukraine has extended the range of its drone strikes, with an April 2 strike on the Taneco refinery reaching a key location for Russia’s oil industry: the Volga-Urals region.
In the UK power sector, system operator National Grid will publish its Summer Outlook Report, helping the industry prepare for the season ahead.
Market participants expect solar power generation additions to reduce demand expectations on the grid. The operator may also have something to say about balancing costs.
Increasing constraints have cost consumers dearly in recent years, but falling wholesale power prices should offset some of that pain this summer.
In LNG, competition between the Atlantic and Asian basins is set to intensify. More attractive prices in Asia have pulled cargoes away from the Atlantic, providing support to prices in both regions.
In Europe, injection season is underway to replenish gas inventories depleted during the winter months.
Trading activity is expected to remain subdued, with eastern markets seen as premium destinations. However, offers could become more competitive this week to meet injection demand.
I’m Megan Gildea, thank you for kicking off your Monday with S&P Global Commodity Insights.
