U.S. benchmark WTI rose 3.2% to settle at $119.40/bbl yesterday after earlier surpassing $130/bbl. Brent rose 4.3% to close at $123.21/bbl.
In mid-morning trading today, WTI futures were up 7.4% at $128.30/bbl, Brent was up 7.1% at $131.90/bbl and U.S. natural gas was 4.0% lower at $4.64/MMBtu.
Only one of Russia’s two biggest state-controlled energy companies made scheduled bond repayments due on Monday, adding to uncertainty facing investors holding Russian assets.
European leaders are laying out an ambitious plan today to cut the bloc’s reliance on Russian gas imports by 80% by the end of the year, as Russian officials threaten pipeline closures to the bloc.
U.S. natural gas prices have doubled over the past year, sending the typical household’s electricity payments skyrocketing.
The recently announced merger of North Dakota shale rivals Oasis Petroleum and Whiting Petroleum will form a company valued at $6 billion, executives say.
Supply Chain
More supply chain news related to the war in Europe:
An estimated 50,000 Russian and Ukrainian sailors are stuck waiting to be replaced at sea or at ports around the world as shipowners scramble to find replacement crews.
Port workers from locations in the U.S., Canada and Australia are calling for more bans on Russian ships, moves that could potentially blacklist over 1,700 vessels connected to the country.
The World Container Index compiled by London-based Drewry has ticked down since the conflict started, with the largest rate drop measuring 5% on the Shanghai-Rotterdam route.
The London Metal Exchange suspended trading in its nickel market after prices for the metal surged as much as 250% from Monday to early Tuesday, briefly trading above $100,000 a ton before easing.
The index for inventory levels in the Logistics Managers’ Index rose 9.1 points to 80.2 in February, the highest level in the index’s five-year history.
U.S. coal carloads rose 21.3% in February from the same time last year, the Association of American Railroads said.
Container volumes at Germany’s Port of Hamburg rose 2.2% last year following a 7.9% decline in 2020.
A 19-day sit-in at the headquarters of South Korea’s largest parcel delivery firm ended last week.
Freight forwarder Kuehne+Nagel saw a threefold jump in fourth-quarter operating earnings to about $1.2 billion, while revenue doubled to more than $6 billion.
The ports of Seattle and Tacoma are the latest to join the Northwest Seaport Alliance, a new data-sharing project spearheaded by the Port of Long Beach.
48forty Solutions, North America’s largest pallet management firm, expanded its network with the acquisition of rival Nazareth Pallet.
The EPA unveiled tighter standards for engine makers to lower nitrogen-oxide emissions from big rigs, cement mixers, trash trucks and other commercial vehicles starting in 2027.
Domestic Markets
The U.S. reported 67,516 new COVID-19 infections and 1,686 virus fatalities Monday.
New COVID-19 cases in Los Angeles County are down over 60% the past two weeks.
The White House is asking lawmakers to approve another $22.5 billion to purchase COVID-19 antibody treatments, with existing inventory set to run out by May.
New York rent prices were up 33% in January from a year ago, nearly double the national rate. Survey results show more Americans believe their rents will rise sharply this year.
Used car prices in the U.S. fell 2.1% in February, the first monthly decline since August.
Gross bookings for Uber rides to and from airports were up 50% at the end of February compared to a month earlier, suggesting passenger plane travel is quickly picking up after Omicron.
Intel’s self-driving car unit Mobileye is set to go public and could be valued as high as $50 billion, traders say.
The U.S. will give $2.2 billion in COVID-19 relief money to public transit agencies in 18 states, with another $1.5 billion released for purchases of low-emissions, U.S.-made buses.
International Markets
More news related to the war in Europe:
JPMorgan Chase removed Russian debt from its most widely tracked fixed-income indexes.
Procter & Gamble halted all investment, advertising and promotion in Russia and sales of everything but basic health care products, while Siemens AG halted all new business and deliveries to the nation.
Moderna will invest $500 million to build its first African site for manufacturing COVID-19 vaccines in Kenya, the firm said. The company pledged not to enforce its COVID-19 patents in 92 low- and middle-income countries.
More than one-third of foreign companies surveyed said they plan to reduce investment in China due to its uncertain policy environment and continued strict COVID-19 controls.
GM is partnering with a South Korean firm on a $393-million plant in Quebec to produce electric vehicle battery materials.
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