Our Energy Chart Pack has been updated with the latest data and our analysis of recent developments.
The fall in oil prices since Iran and Israel’s back-and-forth attacks suggests that some of the risk premium in prices has now unwound. Prices continue to be supported by OPEC+ production cuts but we suspect that members will gradually unwind these cuts from July, pushing oil prices lower. In natural gas markets, prices in the US remain low thanks to ample storage. However, faltering production and greater LNG exports should raise US gas prices by the end of Q4. In Europe and Asia, prices have spiked recently but should fall back by the end of this year and next year as clean power capacity grows and global LNG supply increases with the opening of new LNG terminals. Coal prices should decline this year too with prices in Asia trading at a premium to those in Europe due to strong demand in India and declining consumption in the EU.
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