It's a busy week for earnings, with Exxon Mobil, Chevron and Shell kicking off Big Oil's earnings season, and Nucor, Cleveland-Cliffs and United States Steel focusing on the metals sector. The OPEC+ monitoring committee will also meet to discuss production levels.
Here are five notable charts to consider in global commodity markets as the week begins.
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huge oil revenues
Giants Exxon and Chevron will report their fourth quarter results on Friday. While investors await details on the oil refining and chemicals business, which had disappointing results in the first quarter, attention will also be focused on the consolidation of large deals announced last year. The financial results were released against a backdrop of abundant global supply, uncertain demand and continuing risks from the Israel-Hamas war. Exxon is one of his 11 companies out of 23 in the S&P 500 Energy Index to see its stock rise this year, while Chevron is little changed.
crude oil
After a lackluster start to the year, oil prices are starting to regain some momentum. West Texas Intermediate and Brent futures both fell for the first time in four months due to escalating tensions in the Middle East, policymakers' expectations for increased demand in China to support the economy, and an unexpectedly large decline in U.S. crude oil futures. recorded a monthly increase. Latest reporting period. The OPEC+ Joint Ministerial Monitoring Committee is scheduled to meet online on Thursday, with several participants saying the cartel does not plan to make any changes to its policies.
liquefied natural gas
With less than 10 months to go until the U.S. presidential election, President Joe Biden has announced that he is suspending approvals for new liquefied natural gas export facilities while his administration reviews standards for issuing permits. appealing to voters. The move does not affect existing or previously approved facilities and does not undermine the country's position as the world's largest LNG exporter, but it does cast a significant cloud over a number of proposed projects. There is. Here are the top 10 countries that were the biggest recipients of American gas last year, which was monopolized by Europe following Russia's invasion of Ukraine. Even though the end of winter is nearing, you can see that the area is full of supplies.
metal
As Nucor, Cleveland-Cliffs and US Steel report earnings this week, all eyes will be on US Steel following Nippon Steel's $14.1 billion takeover offer. U.S. Steel stock has doubled since the iconic steelmaker announced a strategic review in August. The company's stock is currently above 70 on the 14-day Relative Strength Index, a technical indicator used to identify turning points, indicating it may be time for the stock to take a breather. It is also well above the three major moving averages.
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Electric car
Although the cost of electric vehicles is coming down, there are still hurdles to widespread adoption. It's a charging network. Globally, networks have barely kept up with the uptake of EVs, creating serious problems, writes David Fickling of Bloomberg Opinion. One of the main reasons prospective EV buyers are deterred is poor charging infrastructure, prompting a wide range of automakers to slow their electric vehicle transition goals. This could become a vicious cycle, as lower-than-expected battery vehicle fleets shrink future revenue pools for charging companies, causing investment setbacks and exacerbating consumer concerns about finding an outlet. there is. The two-day BloombergNEF Summit San Francisco begins Tuesday and will focus on EVs in general, other advanced transportation technologies, and the energy transition.
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