Oil prices fell slightly Monday amid concerns about the effect of COVID-19 variants on the global economic recovery, while a dispute between Saudi Arabia and the United Arab Emirates continues to stall OPEC’s progress in increasing oil output.
Crude futures were higher in late morning trading, with WTI up 0.9% at $74.74/bbl and Brent up 1.0% at $75.94/bbl. Natural gas was 1.0% lower at $3.71/MMBtu.
Liquefied natural gas prices are rising across the world and could remain elevated for another year or more, a result of various extreme weather events and countries rapidly reopening economies.
Royal Dutch Shell inked a five-year contract to supply PetroChina with “carbon-neutral” liquefied natural gas. Shell plans to offset its emissions by investing in nature-based projects such as reforestations and land restorations. Separately, Shell announced plans to join a clean hydrogen project in Norway.
Our most recent list of force majeure and allocation announcements from suppliers is here.
The U.S. West faced another day of record high temperatures Monday, with over 18 million people under heat alerts.
More than 1 million acres of land in California, Oregon, Washington and western Canada have fallen victim to wildfires this season:
The Bootleg wildfire in southern Oregon nearly doubled to more than 150,000 acres, forcing some evacuations and severely straining a power grid the state shares with California.
California has twice as many acres burning in the first six months of 2021 than in the same period last year. The state’s Sugar Fire north of Sacramento is the largest of the season, spreading to more than 90,000 acres with only 8% containment, while the River Fire in the state’s center grew from 10 to 4,000 acres since Sunday.
China’s export volumes rose 32.2% in June from a year earlier, crushing expectations and accelerating gains from the previous month despite concerns over rising raw material prices and global shipping delays.
German energy exchange EEX launched a zero-carbon freight index Monday, allowing investors to see for the first time how the cost of carbon emissions could affect freight prices.
Our logistics team reports that bulk trucking firms are often declining to book long-haul, out of network loads due to extreme capacity constraints.
Logistics conditions remain strained, with trucking demand exceeding availability and continued congestion at ports primarily due to increased volume of ships and containers. Clients are advised to provide expanded lead times on orders to help ensure delivery dates.
The FDA issued a new warning that Johnson & Johnson’s single-shot COVID-19 vaccine could heighten risk for a rare neurological condition causing weakness and tingling in the arms and legs.
With 71% of the state’s employers eyeing a hybrid work model, New York’s bus, trains and subway systems are at risk of losing key revenue generated by commuters.
U.S. consumer prices rose 5.4% in June from a year earlier, the biggest year-over-year jump since 2008, with a 10.5% rise in used car and truck prices leading the increase.
A survey by the New York Federal Reserve shows the general public expects U.S. inflation to hit 4.8% a year from now, up from projections of 4% recorded in May, while economists point to reversals of recent trends in globalization, demographics and e-commerce that could increase inflationary pressures.
Boeing will halt production of 787 Dreamliners for roughly three weeks over a newly discovered problem, the company’s third production stoppage in the past year for the jets.
The share of U.S. restaurant and hotel workers leaving their jobs hit a two-decade high in May at 5.7%, as employment in the industry remains down roughly 1.3 million jobs since the start of the pandemic.
To attract scarce workers, McDonald’s franchises are offering higher wages, paid time off and tuition reimbursement.
Indian health officials are warning state governments and citizens to stay vigilant against COVID-19, saying that a third wave of the virus is unavoidable, as the country reported more than 37,000 new cases and 700 virus deaths Monday.
Sydney reported 112 new COVID-19 cases Monday, its highest one-day total since the start of the pandemic, prompting officials to warn that the city may need to extend its current lockdown.
A Mexico health official proclaimed the country has entered a third wave of COVID-19, with average daily infections up 84% in July compared with June and cases among unvaccinated younger people driving the surge.
Chinese drugmakers Sinopharm and Sinovac pledged to provide up to 550 million COVID-19 vaccines to the COVAX vaccine sharing initiative through mid-2022.
Japan will let domestic spectators and crowds of up to 10,000 people attend the Tokyo Olympic Games later this month. Starting July 26, the nation will also start accepting vaccine passports allowing its citizens to travel abroad.
World hunger surged last year during the pandemic to its highest levels since 2005, with roughly 811 million, or 10% of the global population, undernourished.
The EU announced that it would delay plans to move forward with a levy on digital tech companies in favor of a higher global corporate tax.
India’s industrial output in May rose 29.3% compared to the same time last year.
Air France-KLM is holding talks with Boeing and Airbus to secure 160 single-aisle planes, as the airline hopes to increase its low-cost operations.
Chinese electric vehicle maker Nio is planning to build 4,000 battery-swapping stations worldwide by 2025, a quicker alternative to charging that could boost the appeal of electric vehicles.
Volvo increased its stake in electric vehicle maker Polestar, now controlling 49.5%. The company reported an 11% global sales increase in June year over year, with plug-in sales accounting for 25% of all cars sold in the first half of the year.
The Spanish government announced plans to invest over $5 billion in electric vehicle production, hoping to register 250,000 of the vehicles by 2023.
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