U.S. benchmark WTI rose almost 2% Tuesday to settle at $85.43/bbl, a seven-year high, over supply concerns sparked by a Yemeni rebel attack on the UAE. Futures gained in late morning trading, with WTI up another 2.3% at $87.35/bbl and Brent up 1.6% at $88.88/bbl. U.S. natural gas dipped 3.2% lower at $4.15/MMBtu.
OPEC is sticking to its forecast for robust growth in global oil demand next year despite planned U.S. interest rate hikes and the potential for rising COVID-19 cases. The cost of $100/bbl Brent call options for December hit a record high yesterday as more traders bet that the price will hit triple digits this year.
The forecast share of electricity generation from non-hydropower renewable sources in the U.S. has grown from 13% in 2021 to 17% in 2023:
Chinese diesel exports were down more than 75% year over year in December amid diminishing export quotas and curbed refiner activity due to lagging domestic demand. Total refined fuel exports were down 45% for the month.
Electric vehicles need to comprise 63% of vehicle sales in China by 2030 and 87% of sales by 2035 for the country to meet its long-term net-zero emissions targets, analysts say.
40-foot container spot rates topped $20,000 at their peak last year, up from just $2,000 several years ago, launching full-year profit estimates for ocean-freight carriers to a record $150 billion.
Hong Kong consumer prices are forecast to rise at a faster clip this year as airlines slash cargo flights over the city’s zero-COVID strategy, Citigroup warned. Cathay Pacific Airways is offering bonuses up to $3,700 to pilots willing to endure the island’s ultra-strict quarantine regime in a bid to get more planes in the air.
The logistics of getting COVID-19 vaccines to far-flung and underserved populations across the globe could prolong the pandemic by making it more likely that new variants will emerge.
A new partnership between the International Chamber of Shipping and the International Renewable Energy Agency will promote “future fuels” such as green hydrogen and ammonia for both nation states and the global shipping industry.
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The U.S. reported more than 1 million new COVID-19 infections and 1,896 virus fatalities Tuesday. One in every five Americans has now been infected at some point, new data shows, while the COVID-19 Omicron variant accounts for 99.5% of all new infections.
The U.S.’s COVID-19 surge will continue to expand despite cases plateauing in several large East Coast cities, federal health officials say.
Inflation fears resurfaced Tuesday after JPMorgan Chase’s CEO predicted as many as seven interest rate hikes before the end of this year. The yield on 10-year Treasuries hit a two-year high, sending stock markets lower.
The federal government ran a $21 billion deficit in December, the smallest monthly gap in two years as higher tax revenues offset narrower gains in spending.
Puerto Rico received court approval to leave bankruptcy through the largest restructuring of U.S. municipal debt ever at more than $30.5 billion, ending five years of conflict caused by high joblessness, outward migration and unsustainable borrowing.
The most recent data shows women and minorities are making substantial gains in leadership representation at large U.S. firms.
Microsoft agreed to buy video game maker Activision Blizzard for around $70 billion, the tech giant’s largest acquisition ever and the highest deal valuation so far in the video game industry.
The widespread out-migration of urban dwellers during the pandemic is expected to reverse this year, causing higher prices for single-family homes, co-ops and condos in large U.S. cities.
While new COVID-19 cases in the U.K. subside, the nation reported more than 430 virus fatalities Tuesday, an 11-month high. The nation’s prime minister is facing calls to resign after hosting a party during the first week of the nation’s most recent lockdown.