EUROPEAN COMMODITIES UPDATE: Crude regains composure and gold is caged pre-CPI

Analysis details (11:05)

WTI and Brent front-month futures are nursing some of yesterday’s losses with Brent June back above USD 101/bbl after settling sub-100/bbl yesterday, whilst WTI trades around USD 97.50/bbl from a USD 94.84/bbl low. News flow for the complex has been plentiful. Recent reports suggested Russia's Energy Ministry has suspended the monthly publication of oil production and export data, according to Interfax citing a letter – note, last week the publications were delayed. Over in the States, US President Biden will lay out plans today to extend the availability of higher biofuels-blended gasoline during summer in a bit to control fuel costs, according to Reuters sources. In Europe, a German network regulator said German gas reserves would last until late summer or early fall should Russia stop supplies now, although German households would have to give up on heating privileges in case of a gas supply emergency. Earlier in the session, some downticks in the complex were seen after a Chinese Health Official said COVID infections in Shanghai are yet to come under effective control and are likely to remain high over the coming days. Sticking with energy, UBS expects US natgas inventories to enter the next northern hemisphere winter under their five-year average and have lifted their 2022 US natgas forecast by USD 0.6mmbtu and the March 2023 forecast by USD 0.3mmbtu. Elsewhere, spot gold is caged to a USD 10/oz range between USD 1,950-1,960/oz ahead of US CPI. Base metals are marginally firmer but gains are somewhat capped ahead of the afternoon risk events.

12 Apr 2022 - 11:05- EnergyResearch Sheet- Source: Newsquawk