MARKET MOVEMENTS:
–Brent crude oil is flat at $65.40 a barrel
–European benchmark gas is down 0.3% to 35.12 euros a megawatt-hour
–Gold futures are up 1.6% to $3,236.80 a troy ounce
–LME three-month copper futures are up 0.9% at $9,524 a metric ton
TOP STORY:
Clean Energy Is Under Attack Even Where It's Booming
President Trump has made no secret of his disdain for renewable energy. Just as challenging for the industry is fighting policy battles in parts of the U.S. where business has flourished.
Tax credits for clean-electricity generation and manufacturing are set to vanish under a plan proposed last week by congressional Republicans. Meanwhile, lawmakers in states such as Texas and Arizona-home to some of the country's biggest renewable-energy projects-are considering clamping down with tougher permitting and rules.
OTHER STORIES:
New Hope 3Q Coal Output Up a Tad On-Quarter; Cuts FY25 Guidance
Australian coal miner New Hope reported a slight rise in output quarter on quarter, but revised its full-year guidance lower because of challenges with rail capacity and performance.
New Hope on Monday said its saleable coal output totaled 2.8 million metric tons in the three months through April, its fiscal third quarter, up 1% on the quarter immediately prior. Coal sales were 3% higher at 2.7 million tons.
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Sable Offshore Stock Soars to All-Time High With Production Restart
Shares of Sable Offshore surged to a record high after the company said it has restarted production at one of its sites off the coast of California.
The stock surged 21% to a new high of $35 in early trading. Shares have risen more than 50% since the start of the year.
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Angus Energy Enters Potential Reverse Takeover, Suspends Trading
Angus Energy said it entered into a nonbinding agreement to purchase a group of producing assets located in the Gulf of America.
The U.K energy company said Monday that given the nature of the transaction, this would constitute a reverse takeover, resulting in its shares being suspended from trading.
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Schneider Electric Invests More Than $123 Million in French Sites
Schneider Electric said it will invest more than 110 million euros ($122.8 million) into its production sites in France.
The French group said Monday that the investment is to support Europe's energy transition and digital transformation, and is scheduled to be completed by 2027.
MARKET TALKS:
Oil Slips on Demand Concerns, With U.S. Outlook in Focus -- Market Talk
1509 GMT - Oil prices trim earlier losses but remain slightly lower amid persistent concerns over the demand outlook, with investor focus on the U.S. economy after Moody's credit-rating downgrade. Brent crude and WTI are both down 0.4% to $65.15 and $61.74 a barrel, respectively. Market sentiment is pressured by fears of slowing consumption growth due to global trade tensions and OPEC+'s decision to speed up supply hikes. Meanwhile, traders continue to closely monitor developments in Ukraine peace talks and U.S.-Iran nuclear negotiations. Goldman Sachs maintains its Brent and WTI forecasts at $60 and $56 a barrel for the rest of the year, respectively, citing expectations of increased oil supply from Iran and higher-than-expected oil inventories in developed countries. (giulia.petroni@wsj.com)
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U.S. Ethanol Demand Prospects Warm Up -- Market Talk
1108 ET - Prospects for corn-ethanol demand are improving, according to Daniel Flynn of Price Futures Group. "With the current price of corn and crude oil, ethanol margins remain in the black and revenues are promising for producers," Flynn says in a note. He adds that ethanol exports are expected to rise if and when trade deals are signed and enacted. Increased ethanol exports were a feature of the U.S.-UK deal announced earlier this month. However, the EIA has reported decreasing average daily ethanol production in the U.S. in recent weeks, with last week dropping under the 1-million barrels a day threshold for the first time since Sep. 2024. CBOT corn is up 0.1% in morning trade. (kirk.maltais@wsj.com)
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Corn and Wheat Higher on Reports of Growing Short Positions -- Market Talk
1019 ET - Corn and wheat futures on the CBOT are both higher in early trading, with corn up 1.2% and wheat rising 2%. In the latest Commitment of Traders report, fund traders were shown cutting long positions in both grains, and adding short positions. "Friday's CFTC Report showed the funds beating down corn to their lowest net position since last October, with [soy]meal and KC wheat at record net short levels and Chicago wheat carrying a large net negative as well," says Matt Zeller of StoneX in a note. This appears to have spurred some traders to engage in short covering in early trading. CBOT soybeans are down 0.2%. (kirk.maltais@wsj.com)
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U.S. Natural Gas Futures Extend Losses -- Market Talk
0926 ET - Natural gas futures are lower for a fourth straight session with the market awaiting hotter weather to lift demand, while large week storage injections continue. Ritterbusch expects "limited downside follow-through from here," on prospects of a hotter summer and a pickup in exports. "We are still not seeing much in the short-term temperature forecasts that would stretch the supply overhang by more than 100 Bcf, even when looking out toward the middle of next month," the firm says, adding that past summers have shown a sharp rise in power-sector demand "can easily erase a double-digit surplus." Nymex natural gas is down 5% at $3.166/mmBtu. (anthony.harrup@wsj.com)
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Oil Futures Lower in Broad Risk-Off Trade -- Market Talk
0915 ET - Oil futures are lower after two straight weeks of gains as the Moody's downgrade of the U.S. gives global markets a dose of risk aversion, while the market looks to President Trump's planned phone call with Russian President Putin to gauge prospects for Russia-Ukraine peace talks. "With summer on the horizon, demand expectations remain supportive of oil prices," Razan Hilal of Forex.com says in a note. While risks of WTI pulling back below $60 and $58 may resurface on trade tensions or oversupply concerns, "such scenarios don't appear imminent," she adds. WTI is down 0.5% at $62.19 a barrel, and Brent is off 0.6% at $65.02 a barrel.(anthony.harrup@wsj.com)
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Gold Gains on U.S. Dollar Weakness, Trade Uncertainty -- Market Talk
1451 GMT - Gold prices continue to trade higher, supported by a weaker U.S. dollar and safe-haven demand as Moody's credit-rating downgrade fuels U.S. economic outlook concerns. Futures rise 1.4% to $3,233.50 a troy ounce in afternoon trading, while the dollar index is down 0.7% to 100.35 against a broad basket of currencies. Prices fell sharply last week after the U.S. and China reached a deal to temporarily slash tariffs. However, "trade and policy uncertainty remain incredibly elevated, and the clock is ticking on the 90-day relief on tariffs due to expire in early August," says Benjamin Hoff, global head of commodity research at Societe Generale. (giulia.petroni@wsj.com)
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Palm Oil Ends Higher; Tracking Soybean Oil -- Market Talk
1011 GMT - Palm oil closed higher, following strength in the soybean oil market, said David Ng, a trader at Kuala Lumpur-based Iceberg X. A weaker ringgit is also seen as a supporting factor for near-term sentiment, he added. Crude palm oil futures are likely to find support at 3,800 ringgit/ton and face resistance at 4,000 ringgit/ton, he added. The Bursa Malaysia Derivatives contract for August delivery rose 69 ringgit to 3,895 ringgit/ton. (jiahui.huang@wsj.com; @ivy_jiahuihuang)
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European Gas Prices Rangebound With Focus on Ukraine Talks, Trade -- Market Talk
0934 GMT - European natural gas prices are broadly rangebound in early trade as investors closely monitor negotiations to end the war in Ukraine, with President Trump set to speak with Russian President Vladimir Putin later on Monday. A peace deal could potentially reopen the door to Russian gas flows to Europe, but that prospect clashes with the European Union's plan to phase out Russian fossil fuels by the end of 2027. Meanwhile, uncertainty over the future of trade negotiations between the U.S. and China remains a key area of focus. "Lower-than-expected economic growth could impact top-line energy demand within China," potentially freeing up more LNG for Europe to replenish its storage facilities, analysts at ANZ Research say. The benchmark Dutch TTF contract is down 0.2% to 35.10 euros a megawatt hour. (giulia.petroni@wsj.com)
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Copper Rises on Weaker Dollar, Inventory Draws -- Market Talk
0825 GMT - Copper prices edge higher in early trading, supported by a fourth straight weekly decline in inventories and a softer U.S. dollar. "Base metals started the week on the front foot, gaining moderate momentum and breaking through near-term resistance levels that had previously capped upside moves," Daria Efanova, head of research at Sucden Financial, says. "This occurred in the absence of a strong fundamental or a macroeconomic driver, suggesting that the speculative sentiment towards base metals remains constructive overall." LME three-month copper rises 0.6% to $9,493 a metric ton, while the U.S. dollar index slips 0.75% to 100.33, making commodities more attractive to holders of other currencies. Still, gains are limited by persistent uncertainty over the future of trade negotiations following the latest U.S. warnings against countries that don't negotiate "in good faith." (giulia.petroni@wsj.com)
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Gold Gains on Softer U.S. Dollar, Tariff Warnings -- Market Talk
(MORE TO FOLLOW) Dow Jones Newswires
May 19, 2025 11:51 ET (15:51 GMT)
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