U.S. natural gas futures dropped nearly 7% Wednesday, retreating from seven-year highs on forecasts for milder weather over the coming weeks and an expected large storage build. Prices were up 3.9% in mid-day trading at $5.69/MMBtu.
Crude futures were mixed mid-day, with a potential boost in demand caused by the global energy crunch tempered by a stronger dollar. WTI was up 1.1% at $75.65/bbl and Brent was up slightly at $78.65/bbl.
Despite oil rising above three-year highs of $80/bbl Tuesday, OPEC+ has indicated it will stick to its plan of increasing output by just 400,000 bpd in November as part of a broader return from pandemic-induced production cuts.
Goldman Sachs predicts Brent crude could reach $90/bbl by the end of the year.
India is expected to return to pre-pandemic oil demand of 4.9 million bpd by the end of this year, with demand forecast to more than double to 11 million bpd by 2045.
The U.K. deployed 150 soldiers as oil tanker drivers to help refuel empty gas pumps and ease queues at filling stations in the nation, the result of a week’s worth of panic-buying amid a severe gas shortage.
China’s Shanxi province, the nation’s biggest coal producing region, will begin supplying 14 additional regions with the fuel in the fourth quarter amid nationwide power shortages and even unexpected blackouts.
Saudi Arabia’s Arab Petroleum Investments Corporation made its first sale of $750 million in green bonds Wednesday, as ESG concerns continue to grow in popularity among oil-heavy Gulf nations.
Norwegian refiner Equinor and Russia-based Rosneft announced broad new goals to lower their methane and CO2 emissions, boost carbon capture and storage, and explore alternative fueling for joint plants in Russia.
A large group of investors managing a combined $30 trillion in assets has called on 1,600 of the world’s most polluting companies to set science-based emissions reduction targets to help cap global warming at no more than 1.5°C over pre-industrial levels by 2050.
With just 1% of the world’s population, the Philippines generates over 36% of plastic waste in oceans, with Asia accounting for over 80% of ocean plastic waste.
Our most recent list of force majeure and allocation announcements from suppliers is here.
Supply Chain
Category 4 Hurricane Sam continued to churn northwest across the Atlantic Wednesday and is expected to bring dangerous surf conditions along the U.S. East Coast this weekend, including potential flooding.
New data suggests children born in 2021 will see seven times more heat waves, twice as many wildfires, and almost three times as many droughts, river floods and crop failures than people born 60 years ago.
The backlog of cargo ships at the Port of Los Angeles and Long Beach is continuing to grow, with roughly 500,000 containers waiting to be offloaded between the two ports.
Tight capacity and high costs in the logistics industry continue to drive expansion, with a managers’ index dipping only slightly from July to 73.8 in August, a near-record high.
Canadian pension fund CPP Investments inked a $4 billion deal with Oaktree Capital Management to take 100% ownership of Ports America, North America’s largest marine terminal operator.
First-class mail delivery is expected to slow beginning tomorrow as the U.S. Postal Service cuts office hours as part of a controversial restructuring plan.
The Baltic Exchange’s main dry bulk sea freight index jumped 4.7% to 5,197 Wednesday, its highest level in 13 years.
China’s power crunch ended the nation’s 18-month manufacturing expansion in September, with an index of sector activity falling to contraction territory at 49.6. The ensuing power cuts have prompted several smelters to cut production over the past several weeks.
A high-level meeting between U.S. and EU trade officials in Pittsburgh led to agreement on the need for greater cooperation to boost semiconductor supplies and on ways to address the global shortage without contentious government subsidies.
Paint is the latest product to face industry-wide shortages due to global supply chain disruptions, prompting manufacturer Sherwin-Williams to lower revenue and profit forecasts.
Dollar Tree will begin selling some items above $1 to offset cost increases caused by supply chain disruptions and inflation.
The U.S. Agriculture Department will send $1.5 billion in aid to help ease supply chain issues wreaking havoc on school meal programs, as cafeterias throughout the country experience product shortages, delivery delays and difficulties hiring new workers.
The price of bacon is up 28% in the past 12 months to the highest level in four decades due to supply chain issues and other factors.
Our Automotive team informs us of the following plant updates:
GM’s Lansing, Michigan, Grand River Assembly Plant, maker of the Chevy Camaro and Cadillac CT4 and CT5 models, will resume regular production on Oct. 4.
GM’s Ramos Assembly Plant in Mexico will extend the production shutdown of the Chevy Blazer through the week of Oct. 11.
For a partial list of automotive disruptions caused by semiconductor and component shortages, click here.
Domestic Markets
The nation suffered 123,269 new COVID-19 infections and 2,531 deaths yesterday.
Forty-seven states and the nation’s capital have reported a COVID-19 reproduction level below one, suggesting the U.S.’s most recent virus wave has peaked.
The FDA is considering authorizing half-dose booster shots of Moderna’s COVID-19 vaccine. Nearly 1 million Americans have scheduled appointments to get boosters so far.
A second hospital in Alaska has begun rationing care due to surging levels of COVID-19 patients.
A Montana hospital system has hit 150% capacity in its ICU unit, with National Guard troops on hand to help care for and screen an increasing number of younger and sicker patients with COVID-19.
Florida reported 5,819 new COVID-19 cases and four additional virus fatalities Wednesday.
The Los Angeles City Council is considering a sweeping proposal that would require vaccines to enter indoor businesses and venues.
New York City’s mayor announced the permanent establishment of the NYC Public Health Corps and the launch of the city’s Pandemic Response Institute, a long-term strategy to be better prepared for future health emergencies.
Flyers have a 59% higher risk of catching COVID-19 during a one-hour meal service on airlines compared with staying fully masked for the duration of the flight, a new study shows.
The COVID-19 Mu variant, which caused concerns over its potential to evade vaccines, has been eradicated in the U.S.
Older adults vaccinated against COVID-19 are more worried about the virus and take more precautions in protecting themselves compared to unvaccinated older adults, a new survey shows.
A growing number of Hispanic adults are getting vaccinated against COVID-19, with the share of those vaccinated growing to 73% in September, up from 61% in July.
A new COVID-19 antiviral pill developed by Merck is likely to be effective against all the known virus variants, new studies show.
COVID-19 patients are 1.4 times more likely than flu patients to experience persistent symptoms.
Though still below pre-pandemic numbers, rides booked through Uber were up 16% and rides booked through Lyft were up 21% through July compared to the same period last year.
First-time jobless claims, though expected to drop, rose by 11,000 to 362,000 last week.
The U.S. Senate may vote this morning to extend government funding until Dec. 3 and avert a potential shutdown tonight at midnight. The head of JP Morgan, America’s largest bank, warned of “potentially catastrophic” consequences if Washington fails to lift the nation’s $28.4 billion debt ceiling and causes a federal default.
Charitable donations from wealthy Americans increased during the pandemic, with average giving rising by 48% to $43,195 from $29,269 in 2017.
An all-time high of 10.9 million U.S. jobs are waiting to be filled, while roughly 8.4 million workers are unemployed.
IHS Markit projects U.S. GDP to grow at a 3.6% annual rate in the third quarter as COVID-19 infections ease and the nation’s economic rebound accelerates.
Walmart announced plans to add 150,000 store employees for mostly permanent and full-time roles ahead of the holiday season.
Soaring real estate values are making it harder for young renters and minority groups to purchase new homes in the U.S., with the average mortgage rising by more than $50,000 last year, while rent prices soared above 11%, including over 25% for some cities in Florida, Georgia and Washington state.
Contracts to purchase previously owned homes rose to a seven-month high in August, with the National Association of Realtors Pending Home Sales Index jumping 8.1% to 119.5 and snapping a two-month decline.
Luxury carmaker Rolls-Royce announced that it will produce only electric cars by 2030, with its first fully electric vehicle to hit the market in the fourth quarter of 2023.
International Markets
The U.K. reported 36,722 new COVID-19 cases and 150 virus deaths Wednesday, with nearly 7,000 people currently hospitalized with the virus.
M. Holland’s 3D Printing group offers a rapid response alternative for producing selected parts where resin availability is tight during prevailing force majeure. For more information, email our 3D Printing team.
Market Expertise: M. Holland offers a host of resources to clients, prospects and suppliers across nine strategic markets.
For all COVID-19 updates and notices, please refer to the M. Holland website.
We and selected third-parties use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL third-party cookies. For more details about cookies and how we use them, read the full Data Privacy Policy.
This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience. For more details about cookies and how we use them, read the full Data Privacy Policy.
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
Cookie
Duration
Description
cookielawinfo-checkbox-advertisement
1 year
Set by the GDPR Cookie Consent plugin, this cookie is used to record the user consent for the cookies in the "Advertisement" category .
cookielawinfo-checkbox-analytics
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional
11 months
The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy
11 months
The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Cookie
Duration
Description
__cf_bm
30 minutes
This cookie, set by Cloudflare, is used to support Cloudflare Bot Management.
bcookie
1 year
LinkedIn sets this cookie from LinkedIn share buttons and ad tags to recognize browser ID.
bscookie
1 year
LinkedIn sets this cookie to store performed actions on the website.
lang
session
LinkedIn sets this cookie to remember a user's language setting.
lidc
1 day
LinkedIn sets the lidc cookie to facilitate data center selection.
UserMatchHistory
1 month
LinkedIn sets this cookie for LinkedIn Ads ID syncing.
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Cookie
Duration
Description
_ga
2 years
The _ga cookie, installed by Google Analytics, calculates visitor, session and campaign data and also keeps track of site usage for the site's analytics report. The cookie stores information anonymously and assigns a randomly generated number to recognize unique visitors.
_ga_S6SF7JZ2WY
2 years
This cookie is installed by Google Analytics.
_gat_UA-7828007-1
1 minute
A variation of the _gat cookie set by Google Analytics and Google Tag Manager to allow website owners to track visitor behaviour and measure site performance. The pattern element in the name contains the unique identity number of the account or website it relates to.
_gcl_au
3 months
Provided by Google Tag Manager to experiment advertisement efficiency of websites using their services.
_gid
1 day
Installed by Google Analytics, _gid cookie stores information on how visitors use a website, while also creating an analytics report of the website's performance. Some of the data that are collected include the number of visitors, their source, and the pages they visit anonymously.
CONSENT
2 years
YouTube sets this cookie via embedded youtube-videos and registers anonymous statistical data.
vuid
2 years
Vimeo installs this cookie to collect tracking information by setting a unique ID to embed videos to the website.
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Cookie
Duration
Description
_fbp
3 months
This cookie is set by Facebook to display advertisements when either on Facebook or on a digital platform powered by Facebook advertising, after visiting the website.
fr
3 months
Facebook sets this cookie to show relevant advertisements to users by tracking user behaviour across the web, on sites that have Facebook pixel or Facebook social plugin.
IDE
1 year 24 days
Google DoubleClick IDE cookies are used to store information about how the user uses the website to present them with relevant ads and according to the user profile.
personalization_id
2 years
Twitter sets this cookie to integrate and share features for social media and also store information about how the user uses the website, for tracking and targeting.
test_cookie
15 minutes
The test_cookie is set by doubleclick.net and is used to determine if the user's browser supports cookies.
VISITOR_INFO1_LIVE
5 months 27 days
A cookie set by YouTube to measure bandwidth that determines whether the user gets the new or old player interface.
YSC
session
YSC cookie is set by Youtube and is used to track the views of embedded videos on Youtube pages.
yt-remote-connected-devices
never
YouTube sets this cookie to store the video preferences of the user using embedded YouTube video.
yt-remote-device-id
never
YouTube sets this cookie to store the video preferences of the user using embedded YouTube video.
yt.innertube::nextId
never
This cookie, set by YouTube, registers a unique ID to store data on what videos from YouTube the user has seen.
yt.innertube::requests
never
This cookie, set by YouTube, registers a unique ID to store data on what videos from YouTube the user has seen.