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Daily Update — February 25, 2026

Oil’s Offshore Wind Dilemma; AI Leasing in Rural America; and Uncertainty for US Grains, Beef

Today is Wednesday, February 25, 2026, and here’s your curated selection of Essential Intelligence on global markets from S&P Global. Subscribe to be notified of each new Daily Update.

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Energy Transition & Sustainability

Listen: Big oil’s offshore wind dilemma

 

Offshore wind once looked like a natural play for oil majors, given their experience with big offshore projects, complex engineering and familiar operating conditions. But rising costs and interest rates have caused the sector's economics to clash with companies' return expectations. This has revealed a business model that requires up-front investment, offers slow payback, and rewards power market and contracting expertise rather than just offshore execution.

 

In this episode of the “Energy Evolution” podcast, Alex Blackburne, senior reporter at S&P Global Energy, joined host Eklavya Gupte to unpack the shifting strategies of European oil majors in offshore wind. Julio Dal Poz, managing director at FTI Consulting’s energy transition practice, also explained why offshore wind has been a challenge for companies accustomed to quicker returns and greater upside potential.

Artificial Intelligence

AI Training: The Search For Power Extends To Rural America

 

One of the most prominent trends in the US since mid-2025 is the rise of data center construction in rural markets where power is available and land is cheap. Demand from global tech companies has fueled AI-driven new leasing activity to unprecedented levels. Given the inaccessibility of primary data center markets, demand is spilling into rural locations, where projects can deliver lead times of one to two years and offer relatively low power costs. To date, AI training workloads have not been sensitive to latency, giving parties seeking additional capacity the flexibility to move to rural markets.

 

In many cases, cryptocurrency miners are leading this new wave of development as they pivot to become AI data center companies by signing long-term leases with AI tenants. Often, tenants are emerging neocloud providers that have strategic relationships with chipmakers and AI labs. These developers and tenants will supplement robust construction activity from established data center operators, supporting strong demand from traditional hyperscale tenants.

Global Trade

Court ruling on tariffs, Trump's response fuel market uncertainty for US grains, beef

 

The US Supreme Court’s ruling that President Donald Trump's country-specific tariffs are illegal and the president's decision to implement a 10% global tariff have raised concerns among US grains and beef market participants. In a 6-3 decision, the justices said broad tariffs imposed under the 1977 International Emergency Economic Powers Act were beyond the president's legal authority. The court's majority held that only Congress has clear constitutional authority to impose tariffs, and that the emergency-powers law cited by the administration did not grant the executive branch the authority to impose extensive import duties.

 

While the ruling limits the administration's use of emergency powers, it does not eliminate other tariff authorities, causing uncertainty for exporters, importers and commodity traders.

In case you missed it

  • The auto sales outlook of the top five US automakers at the NADA Show 2026 reflects affordability concerns and expectations for a better year than 2025.
  • Indonesia has committed to purchasing about $15 billion of US energy under a new reciprocal trade agreement, which will lead to reduced Southeast Asian imports, the country’s energy minister said.
  • The total value of global IPOs has increased for three straight quarters, with worldwide IPO proceeds up 46.6% year over year to $184.12 billion in 2025.

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