<urlset xmlns="http://www.sitemaps.org/schemas/sitemap/0.9" xmlns:video="http://www.google.com/schemas/sitemap-video/1.1"><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/050321-us-pipeline-disruptions-legal-challenges</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-05-03T14:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xGy5BPY6tBWduwUSvy1JFX</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/050321-us-pipeline-disruptions-legal-challenges-kotenko.jpg</video:thumbnail_loc><video:title>Market Movers Americas, May 3-7: US pipeline disruptions possible as courts weigh legal challenges</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Daryna Kotenko: * US pipelines face legal challenges * Supreme Court arguments spur RINs rally * New York likely to boost reliance on fossil fuels * Market watching Appalachian gas producers' outlook Related coverage US federal appeals court denies DAPL rehearing request New York nuclear plant retirement could increase natural gas-fired generation Appalachian producers see fundamentals shaping stronger natural gas prices]]></video:description><video:publication_date>2021-05-03T14:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/050321-india-covid-opec-oil-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-05-03T04:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wM8YMZGxnSnMxg7by6XKit</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/050321-india-covid-opec-oil.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 3-7: Weak demand, ample supply could weigh on oil market sentiments</video:title><video:description><![CDATA[On this week's Platts Market Movers Asia with Associate Editor Pankaj Rao: market observers say the combination of weak demand and more oil supplies could weigh on sentiments as the new trade cycle nears kick off. More highlights in the commodities market: * Refiners widely expect Mideast producers to lower June official selling prices on ample supply * Singapore bans crew change for seafarers from India * India's petrochemical chains face disruptions, delivery delays Related content: Factbox: India's COVID-19 resurgence clouds energy, metals and agriculture outlook Podcast: India's oil demand concerns and weathering the COVID-19 storm]]></video:description><video:publication_date>2021-05-03T04:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/042621-covid-fight-global-oil-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-26T15:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UXxbGWZp6UgVQJwhGHozFK</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/042621-covid-fight-global-oil-prices-alvarado.jpg</video:thumbnail_loc><video:title>Market Movers Americas, April 26-30: COVID fight putting a lid on oil prices</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Sergio Alvarado: * COVID fight putting a lid on oil prices * Federal lease sales ban to last through June * Sunk costs support trans-Atlantic Aframax freight * Global benzene prices surge to record highs * Agricultural markets testing higher price levels]]></video:description><video:publication_date>2021-04-26T15:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/042621-opec-oil-gas-results-gazprom-france-nuclear-germany-wind-solar-steel-coil-hrc</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-26T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JujTqvNfNfybRYH3SqvzH6</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/042621-opec-oil-gas-results-gazprom-france-nuclear-germany-wind-solar-steel-coil-hrc.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 26-30: Oil, gas, and steel enter results week; EU power prices soar</video:title><video:description><![CDATA[In this week’s highlights: It's results week for oil and gas majors; another key OPEC+ meeting; Gazprom holds investor day; French nuclear demand; and the continued surge in steel prices. Q1 results, OPEC+ cuts in spotlight Gazprom to hold key investor day EU nuclear and climate target in focus Hot rolled coil prices reach record-highs View Full Transcript In this week's highlights: another key OPEC+ meeting, Gazprom's investor day, French nuclear demand, and the continued surge in steel prices. But first, this week is set to be dominated by corporate results from the global majors and markets will be looking closely for indicators on the state of the oil and gas industry. The mood across the industry has significantly improved of late, with upstream oil and gas production rebounding on the back of higher oil and gas prices. Shell has already flagged that it will report its first positive earnings in the upstream for a year at its first quarter results. Results coverage kicks off with BP on Tuesday, followed by Shell, Total, Equinor and Repsol on Thursday, and finishing with results from the US majors -- Chevron and ExxonMobil -- on Friday. Also high up the agenda is an OPEC+ meeting taking place on Wednesday, led by Saudi energy minister Prince Abdulaziz bin Salman and Russian deputy prime minister Alexander Novak. OPEC+ faces the delicate task of easing production cuts introduced in response to last year's massive demand collapse, but not doing so too quickly, given the risk that a seasonal demand recovery normal in the northern summer could prove transitory. When you add in uncertainty over how much Iranian crude will be on the market, as talks on easing US sanctions take place in Vienna, OPEC+ has a formidable task. In addition, we'll be getting the Russian perspective on all the above issues as Russia's National Oil & Gas Forum gets underway Tuesday. Staying in Russia, gas giant Gazprom holds its annual investor day on Thursday, which is expected to give insight into the company's European gas sales strategy for the remainder of this year. Russia remains the dominant gas supplier in Europe and its sales behavior is a key signal for market participants. In the year to mid-April, its European gas sales were up by some 28% on the year to more than 60 billion cubic meters as cold weather triggered high demand. As Gazprom has withdrawn much of the gas it had stored in Europe for sale this winter, it remains uncertain whether it will be able to replenish stocks and whether it will book more short-term capacity via Ukraine to boost supplies. In power, France's Flamanville-1 reactor is scheduled to return from a 19-month outage on Wednesday. French nuclear, a key swing factor in European power pricing, is recovering from last year's record low output but power demand has also rebounded. Year-ahead power prices are now at the highest since the Fukushima crisis ten years ago. In neighboring Germany, meanwhile, the government is set to confirm a doubling in wind and solar auction volumes for 2022 this week, after coalition parties reached a compromise on Earth Day. The sector is being given the hurry-up in response to tough climate targets. Under burden sharing rules, the EU's goal to reduce emissions by 55% by 2030 equates to a 65% cut for Germany - hence the move to auction 10 gigawatts in 2022. And that takes us to our social media question for the week: What will the implementation of the EU's climate target mean for other member countries? Please tweet us your thoughts using the hashtag #PlattsMM. And finally, the first-quarter results season also kicks off this week for European steelmakers. Speciality steelmaker SSAB, stockholder Kloeckner and tubemaker Tenaris are set to report, followed by steelmakers ArcelorMittal, Outokumpu and Aperam next week. These companies are expected to see improved results amid continued high demand for steel as the recovery gathers pace. S&P Global Platts north European hot rolled coil price assessment reached its highest-ever last week, at 970 Euros per metric ton, in what appears to be a still-rising trend. Mills and traders are waiting to see if the psychological threshold of 1,000 Euros per metric ton is about to be breached. The Platts Atlas of Energy Transition is your map to the sustainable commodity markets of the future. You can explore the Atlas by visiting the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-04-26T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042621-india-covid-gasoline-demand-lng-prices-benzene</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-26T04:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DnPVaegtPuYLkzxyj8gHK9</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/042621-india-covid-gasoline-demand-lng-prices-benzene.jpg</video:thumbnail_loc><video:title>Market Movers Asia Apr 26-30: Indian demand in focus as COVID-19 cases spike</video:title><video:description><![CDATA[On this week's Platts Market Movers Asia with Editor Kshitiz Goliya : All eyes on India, the world's third largest oil importer, as surge in coronavirus cases prompted lockdown in several states. More highlights in the commodities market: * India's gasoline consumption is expected to drop; wheat prices surge, corn harvest continues; steelmakers divert oxygen supply to meet medical requirements * Steam crackers enter maintenance season, impacting supply * Asian demand drives LNG spot prices View Full Transcript This week: We’ll take a look at why LNG prices are unusually high for this time of the year, the widening spread between benzene and naphtha, and expectations ahead of the OPEC+ meeting. But first, all eyes are on India – the world’s third largest oil importer. The latest surge in coronavirus infections has prompted lockdowns in several states, impacting demand for oil and the movement of other commodities. Indian Prime Minister Narendra Modi has urged the states to focus on containment zones and use the option of a lockdown only as a last resort. Analysts are still hopeful to see India’s 2021 oil demand to grow over 2020, BUT the growth may be lower than previous expectations. With several states under lockdown, India's gasoline consumption is expected to drop in the near term. S&P Global Platts Analytics data showed that the country's gasoline demand is estimated to fall to around 700,000 barrels per day in April. That’s down about 11% from March. Hopes of recovery gaining traction are pegged from June onwards. Now while lockdowns are in place, agricultural activities such as corn harvesting are go without disruptions. Still, the spike in cases have led authorities to shut down some markets. This has led to supply tightening and a surge in wheat prices. Domestic demand for sugar has also been hit as bulk buyers remain out of markets, but export demand has remained. Steel producers are also operating normally. Several steelmakers have diverted their liquid oxygen supplies to meet medical requirements. It’s too early to say if the diversion will affect production but the impact could be limited. Moving on to petrochemicals, Asian steam crackers have entered turnaround season. This is due to last until the end of June. Olefin supplies are expected to tighten, which will in turn likely keep spot prices stable to firm. Meanwhile, the spread between benzene and naphtha prices has widened to a four-year high on the back of a global tightness in benzene supply. Market participants expect the spread to narrow this week, with benzene prices seen to correct. The spread was last wider in February 2017. It has remained above the breakeven level of $150/mt since February this year. Meanwhile, OPEC+ is set to meet on April 28. The group will review its decision earlier this month to gradually raise its collective output over the next three months. Sources do not expect them to cut supplies again despite the demand concerns from Asia. Bookmark spglobal dot com slash platts to get the latest OPEC updates. And finally in LNG, Asian spot prices are teasing the nine dollar per MMBtu level as the summer demand season looms. This is an unusually high level for spot LNG at this time of the year. To compare, prices were just at two dollars at this time last year, a record low for the season, as economies were hit by the early waves of the pandemic. Spot prices are currently driven by strong demand from Asian importers. So for our social media question this week: Do you expect LNG prices to remain high on the back of strong Asian demand? Share your thoughts with hashtag PlattsMM. China, for instance, is picking up several cargoes to fill new underground gas storage. There’s also demand from utilities in South Korea and Taiwan. But this brings us back to the situation in India. The pandemic situation there holds downside risk for the spot LNG market. There are reports of LNG terminals nearing tank tops, and the possibility of a sharp decline in gas demand similar to the decline seen in transportation fuels. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-04-26T04:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/041921-airline-earnings-point-toward-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-19T14:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bcGuiYxsgBANUqB8GVrwvm</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/041921-airline-earnings-point-toward-recovery-troner.jpg</video:thumbnail_loc><video:title>Market Movers Americas, April 19-23: Airline earnings point toward recovery</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Barbara Troner: * Airline earnings point toward recovery * US container ports strained by stimulus-fueled imports * More US sanctions against Russia * Permian gas market tries to recover from freeze * US steelmaker earnings expected to hit new highs * New law expected to limit refined products competition in Mexico]]></video:description><video:publication_date>2021-04-19T14:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/041921-earth-day-oil-iran-us-nord-stream-biden-paris-agreement-germany-elections-greens</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-19T12:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=q3a1nEyCFEdB4BJMKYSSvP</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/041921-earth-day-oil-iran-us-nord-stream-biden-paris-agreement-germany-elections-greens.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 19-23: Bright spots for oil demand, geopolitical tensions simmer</video:title><video:description><![CDATA[In this week’s highlights: The Earth Day summit could be the scene of new pledges on decarbonization; oil markets focus on US oil stock data; US sanctions hit entities involved in the Nord Stream 2 project, while the market focuses on the race to build up European gas stocks again during the summer. Eyes on US oil stock data, Iran talks Fresh sanctions aimed at Nord Stream 2 Earth Day , Biden climate strategy in spotlight Germany gears up for Sept election View Full Transcript In this week's highlights: The Earth Day summit could be the scene of new pledges on decarbonization. In gas, US sanctions hit entities involved in the Nord Stream 2 project, while the market focuses on the race to build up European gas stocks again during the summer. First, oil market fundamentals are looking stronger for now, but new lockdowns are a bearish factor to watch, and global demand recovery is likely to be very uneven. Europe's recovery remains sluggish but there are positive signs for UK oil demand due to easing lockdowns and a high vaccination rate. Markets will be acutely focused on US oil stock data, while global mobility indicators such as the pickup in global commercial flights, shown in the chart, will also be key for gauging the pace of the demand recovery. In the Middle East, indirect talks between Iran and the US are in the spotlight, and the sheer frequency of attempted attacks by Yemeni Houthi rebels on Saudi Arabia, the world's largest crude exporter, is also starting to unsettle oil markets and add to the anxiety in the region. Meanwhile, the US issued a new round of sanctions targeting Russian entities and individuals involved in the Nord Stream 2 gas pipeline project, which could have knock-on effects in the energy sector. And speaking of gas, a recent cold snap in Europe caused a switch to withdrawals from gas storage, bringing EU sites down to less than 30% full, as the chart shows. With concerns in the market about whether stocks can be refilled over summer, more LNG could be drawn to Europe on the current strong price signals. Elsewhere, the market's attention will turn to the Earth Day virtual summit on Thursday this week, with US President Joe Biden expected to announce a more ambitious national emissions reduction target under the Paris Agreement. America's diplomatic power is important for the global effort to cut greenhouse gas emissions as countries gear up for the COP26 United Nations climate talks in November. More ambitious emissions targets would indicate greater demand for carbon offset credits and, as you can see in this chart, Platts CORSIA-eligible carbon credits have made price gains in recent months. Finally, watchers of European energy and climate policy will be following political developments in Germany ahead of September's election. This week the two leading parties name their lead candidate in the race to replace Chancellor Angela Merkel. Merkel's conservatives remain the biggest party in the polls, but have lost ground to the Greens. The rise of the Greens, triggered by the Chernobyl accident exactly 35 years ago this week, has changed Germany's energy landscape fundamentally, with the last reactors to shut next year. Energy policy focus towards 2030 is shifting to decarbonizing transport and heating as the expansion of renewables has stalled. But higher wind and solar targets and greener energy imports will still be key with many difficult decisions referred to Brussels. The Platts Atlas of Energy Transition is your map to the sustainable commodity markets of the future. You can explore the Atlas by visiting the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-04-19T12:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/041921-earth-day-climate-change-us-china-energy</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-19T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=K6TtF38gC8oF28MZhJFWDE</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/041921-earth-day-climate-change-energy.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 19-23: Climate summit and potential impact on energy policies in focus</video:title><video:description><![CDATA[On this week's Platts Market Movers Asia with Associate Editor Vickey Du : top leaders from Asia are expected to join US President Joseph Biden's climate summit Apr 22-23. Over the weekend, the US and China released a joint statement committing to tackle the climate crisis. More highlights in the commodities market: * Japan expects jet fuel demand to rebound ahead of Golden Week holiday * Jet fuel flows from Asia to US seen to gain momentum * Wheat feed use in China raises concerns over corn, soymeal demand * Spike in COVID-19 cases surges in India seen dampening coal demand View Full Transcript This week: we’ll take a look at jet fuel flows from Asia to the US, India’s coal demand amid a fresh surge in coronavirus cases, and the price gap between wheat and corn. But first, top leaders from Asia are attending US President Joe Biden’s virtual climate summit on April 22 and 23. The summit is expected to mark a turning point in the global climate battle with the US taking the lead. The re-emergence of the US in tackling climate change is critical to how Asian countries frame the climate debate and create policies within their own borders. It also heavily influences the economic and political drivers that will require Asian countries to pull their weight. Asia’s positioning in the climate debate will in turn be critical to the evolution of markets for petroleum, natural gas, coal, power, renewables, hydrogen and carbon in the coming years. Ahead of the summit, China and the US released over the weekend a joint statement, committing to tackle the climate crisis. As the world shifts to a low-carbon economy, make sure to check out the Platts Atlas of Energy Transition, produced in collaboration with S&P Global Market Intelligence. In oil, market participants the region will be closely monitoring Japan's transportation fuel consumption trend. Japanese refiners see the latest measures to curb the spread of COVID-19 in several areas could negatively impact domestic gasoline demand during the Golden Week Holiday. On the other hand, jet fuel demand is expected to rebound. All Nippon Airways, Japan’s largest airline, sees its Golden Week domestic passenger flights reservations over April 28-May 5 at 40% of the demand level during the same holiday period 2019. But this still marks a significant improvement from the same period in 2020. Looking at the wider market, flows of jet fuel from Asia to the Americas are expected to gain momentum. This flow is seen as crucial to help mop up surplus barrels in Asia. Jet fuel demand is improving in the US as air traffic has been picking up. Fresh waves of COVID-19 in Asia, however, keep the region’s aviation scene depressed, with rigid travel restrictions in place weighing on jet fuel demand. Get more detailed information on this and on the wider oil complex at the complimentary Platts APAC Oil Forum – all happening online – on April 20. In the meantime, here’s our social media question this week: When do you expect jet fuel demand in Asia to fully recover? Share your thoughts with hashtag PlattsMM. Turning to agriculture, the rise in wheat feed use in China has raised concerns over demand for other feeds such as corn and soymeal. Market will continue to monitor the price gap between corn and wheat. Moreover, the reports of fresh ASF outbreaks raises question over feed demand in China. Any fresh cases of ASF can temper the current upward movement of soybean prices. And rounding up this episode, we take a look at coal. India’s seaborne demand is expected to show signs of slowdown as the country grapples with a spike in COVID-19 cases. Indian end-users are cautious in their buying, dampening any serious buying activities for Australian high ash thermal coal. ` Chinese demand, on the other hand, is expected to remain strong. There has been a sudden uptick in inquiries for May to July cargoes as domestic prices are on the rise. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-04-19T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/041221-us-gasoline-markets-priming-stock-build</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-12T16:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HaJtP48944PXVkcPMLZz6F</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/041221-us-gasoline-markets-priming-stock-build-syed.jpg</video:thumbnail_loc><video:title>Market Movers Americas, April 12-16: US gasoline markets priming for stock build</video:title><video:description><![CDATA[In this week's Market MoveIrs Americas, presented by Arsalan Syed: * Aframax, Panamax shipowners hoping for fog-related rate boost * Tight spreads sufficient to spur strong US LNG exports * US HRC demand strong despite high prices * US Northeast forward power prices move lower across the board]]></video:description><video:publication_date>2021-04-12T16:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/041221-opec-iran-libya-oil-carbon-co2-nord-stream-pipelaying-plastics-supply-suez</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-12T12:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nbsecnGGEqfR2rTGsKJfZR</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/041221-opec-iran-libya-oil-carbon-co2-nord-stream-pipelaying-plastics-supply-suez.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 12-16: OPEC+ oil output rebounds, Suez constrains plastics supply</video:title><video:description><![CDATA[In this week’s highlights: generating fuel markets will keep a close eye on European Carbon Allowances; the US is under pressure to intensify sanctions measures on Nord Stream 2; and the plastics market keeps tabs on supply constraints into Europe. Iran, Libya, challenge for oil markets Carbon price falls back from all-time highs Second vessel joins Nord Stream 2 pipelaying Plastics markets eye supply constraints View Full Transcript In this week's highlights: generating fuel markets will keep a close eye on European Carbon Allowances; the US is under pressure to intensify sanctions measures on Nord Stream 2; and the plastics market keeps tabs on supply constraints into Europe. But first, in oil, compliance with OPEC+ production cuts showed signs of slipping in March, while output rebounded in two crucial countries exempt from cuts process: Iran and Libya. According to the latest Platts survey of OPEC+ production, Iranian output reached its highest level since August 2019, with Libyan output at its highest since mid-2013, as Tehran pushes up output in anticipation of a possible easing of US sanctions. Over the last week, there have been talks in Vienna on the possibility of the US re-joining the 2015 nuclear deal that formally allowed Iran to resume oil exports. The US position is one to watch, and in the meantime, Iran is not waiting around. We expect two reports to shed more light on all of these processes: OPEC's monthly oil market report, published on Tuesday, and the International Energy Agency's monthly report, out Wednesday. Meanwhile, in the European carbon market, prices have just come back down off fresh all-time highs of over 44 euros per ton, as you can see in this chart. The market will be watching closely this week to see if further dips will attract buyers. Regulated carbon emissions fell by a record 12% in 2020, according to initial data from the European Commission. While this was clearly bearish for compliance demand, the market remains focused on much bigger reductions taking place on the supply side. The Market Stability Reserve continues to cut auction supply by 24% per year and further tightening is expected as the EU aligns its carbon market with a new stronger 55% emissions reduction goal for 2030. And that takes us to our social media question for the week: Do you think ETS prices have already hit their highest level of 2021 or is there further to go? Tweet us your thoughts using the hashtag #PlattsMM. In European gas, the timetable of the completion of the controversial Nord Stream 2 pipeline from Russia to Germany has swung back into sharp focus. A second Russian pipelaying vessel - the Akademik Cherskiy - has now joined the operation and is expected to significantly speed up pipelaying work, which could now be completed as early as this summer. The US is now --being urged to drive forward with more sanctions measures against the project to stop it from being completed. But the window of opportunity is narrowing. If Nord Stream 2 is completed and becomes operational in 2021, it means Russia's Gazprom can scale down the use of gas transit via Ukraine and also rely less on its storage position in Europe to meet customer demand. Buyers of plastics precursors will be keeping a close eye on supply this week, with April order books said to be nearly full for some polymer grades. The European market is struggling to meet plastics packaging demand, with limited domestic capacity caused by low inventory levels. At the same time, high container rates and the recent Suez Canal blockage have been disrupting Asia-to-Europe trade flows, exacerbated by the continued absence of US imports following significant supply interruptions since the Gulf Coast deep freeze earlier in the year. As you can see in the chart, with spot prices at record highs and expectations of tightness continuing into the second half of the year, some supply chains may be ill equipped to withstand further shocks. The Platts Atlas of Energy Transition is your map to the sustainable commodity markets of the future. You can explore the Atlas by visiting the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-04-12T12:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/041221-gasoline-demand-covid-lockdown</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-12T04:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=taRWXiJAA2Q4nMuHyymhgy</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/041221-gasoline-demand-covid-lockdown.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 12-16: Increased mobility drives gasoline demand </video:title><video:description><![CDATA[In this week's S&P Global Platts Market Movers Asia, with Associate Editor Parisha Tyagi : driving activity – a proxy for gasoline demand – is increasing; markets await cues on China's crude and steel demand, oil product exports. More from this episode: *Tighter credit conditions pose threat to China's steel demand *Coal producers struggle to meet China, India demand *Ethylene supply in focus amid cracker turnaround *Container markets continue to grapple with congestion, equipment shortage View Full Transcript This week: eyes on key trade data from China, supply crunch in coal and ethylene markets, and container shipping still reeling in the aftermath of the Suez Canal blockage. But first, Asia is on the move again – well, mostly. Driving activity – a proxy for gasoline demand – is increasing in the region, as governments roll out coronavirus vaccines and relax restrictions on movement. Apple mobility data shows that driving activity in Malaysia, Australia, New Zealand and Vietnam are back to above-baseline levels in late-March. Thailand and Indonesia also hit multi-month highs. Increased movement on the roads is giving gasoline demand and market sentiment a boost. For our social media question this week: Is the worst over for the gasoline market? Share your thoughts with hashtag PlattsMM. Now gasoline supply in the region has tightened, with the demand growth coupled by a series of unplanned and extended refinery outages in Asia. Asian physical gasoline crack spread surged to a 14-month high last week. The FOB Singapore 92 RON gasoline crack against front month ICE Brent crude futures hit its highest average since February 2020. In an attempt to fully capture the lucrative margins, South Korean refiners are planning to raise gasoline exports this quarter. South Korea, Asia's major middle distillate supplier, is expected to export more than 6.6 million barrels of gasoline this month and close to 7 million barrels in May. Meanwhile, Japan introduced new restrictions today in Tokyo, Kyoto and Okinawa to prevent the further spread of COVID-19. This is expected to hit Japan’s peak gasoline demand season – the Golden Week National Holidays, over late-April to early May. Moving on to China, markets await the economic giant’s data for Q1, including preliminary trade figures, set to be released this week. Market participants will closely track these releases to get cues about the country’s crude appetite and export prospects for Q2. The data will also be crucial to Asia’s metals industry. Market participants are waiting for indications on commodity imports and exports for March, and fixed asset investment in property and infrastructure. This becomes more crucial as China has been tightening up credit conditions, particularly in the property sector, posing a threat to steel demand. If the March numbers indicate liquidity is drying up, there could be a reaction in iron ore and steel futures markets. While metals industry is concerned about weak demand, the coal sector struggles to match supply for buyers in China and India. Indonesian thermal coal will continue to see tightness in supply, as the fasting period in the country approaches. In Australia, prices are expected to remain firm amid anticipation of tight domestic supply until June. Supply is also tight in the ethylene market amid planned cracker turnaround in South Korea. However, the healthy downstream margins supported the buying interest. Speaking of buying interest, many petrochemical traders in Asia continue to struggle with container vessel shortage. The container market, which was already grappling with congestion and equipment shortage issues, is likely to face more trouble in the aftermath of Suez Canal incident. Sources say higher surcharges, more blank sailings and severe congestion issues are imminent in the days to come. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-04-12T04:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/040521-oil-market-direction-uneven-demand-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-04-05T16:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EsAu5aQPTdDuf3XTNuKaHo</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/040521-oil-market-direction-uneven-demand-recovery-petras.jpg</video:thumbnail_loc><video:title>Market Movers Americas, April 5-9: Oil market searching for direction amid uneven demand recovery</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Kirstyn Petras: * Oil searches for direction amid rising supply, uneven demand recovery * US and Iran to initiate indirect treaty talks on April 6 * US metals groups welcome Biden infrastructure plan, funding remains issue * Suez Canal blockage latest challenge for container shippers]]></video:description><video:publication_date>2021-04-05T16:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/032921-suez-canal-blockage-brent-wti-spread-jet-fuel-arbitrage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-29T16:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EDQoKnF7q6pP9KaDwZorf6</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/032921-suez-canal-blockage-brent-wti-spread-jet-fuel-arbitrage-fisher.jpg</video:thumbnail_loc><video:title>Market Movers Americas, March 29-April 2: Suez blockage impacts Brent-WTI spread</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Joe Fisher: * Brent-WTI spread widens amid Suez closure * Traders watch US-Northwest Europe jet fuel arbitrage amid Suez blockage * US LNG output remains robust amid Suez blockage * US gas storage injection season set to start early * Kansas legislation unlikely to deter fuel switching]]></video:description><video:publication_date>2021-03-29T16:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/032921-suez-canal-reopening-opec-oil-cuts-carbon-power-gas-stocks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-29T13:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=haCnf6qmHveKTceXWWTvZ6</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/032921-suez-canal-reopen-opec-oil-cuts-carbon-power-gas-stocks.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 29-Apr 2: Suez Canal to reopen, OPEC+ reviews production cuts</video:title><video:description><![CDATA[In this week’s highlights: Suez Canal looks to reopen and address logjam; industry weighs long-term carbon concerns; it’s meeting week for the oil producing alliance OPEC+; and gas stocks in the European Union drop to less than 30% full. Suez blockage ripples through commodity markets OPEC+ to potentially ease production cuts Gas stocks low ahead of injection season Long-term carbon concerns drive power View Full Transcript In this week's highlights: industry weighs long-term carbon concerns; it's meeting week for the oil producing alliance OPEC+; and gas stocks in the European Union fall to less than 30% full. But first, all eyes remain on the container ship Ever Given, which has been blocking the Suez Canal for seven days now. Local media reports show that the ship has been refloated today, with traffic expected to resume to some degree. One report says that livestock carriers will be prioritised first. Early on March 23, the Ever Given ran aground in the canal, blocking traffic in both directions and sending ripples through global commodity markets. The canal is a key artery for many commodities travelling between Asia and Europe, accounting for almost 12% of global trade. At last report, over 320 ships were waiting to transit the canal -- a traffic jam that is expected to take a week or more to clear -- but there could be longer-term impacts on shipping traffic throughout the region. Some shipping re-routing has started around Africa via the Cape of Good Hope, which can cause delays of up to two weeks in deliveries and bring higher costs, including having to consume more marine fuel. Market participants are not expecting any long-term impacts on shipping rates, although a spike in Mediterranean tanker rates on Friday caused concern amongst traders. That takes us to our social media question for the week: What long-term impact do you think the Suez Canal blockage will have on the global commodity markets? Tweet us your thoughts using the hashtag #PlattsMM Aside from the drama in the Suez Canal, the oil market is also keeping a close eye on this week's OPEC+ meeting on Thursday, looking for any clues as to the future policy after April. The oil producing alliance previously slashed crude oil output in order to settle market conditions during the COVID-19 pandemic. Crude oil prices have fallen over the past week amid fears over a rise in coronavirus cases in many parts of Europe and this is playing into wider demand concerns for oil. Industry watchers will be particularly watching oil powerhouse Saudi Arabia and its approach to easing the current production cuts. In European gas, storage sites are now less than 30% full after a particularly strong demand over winter. Despite starting October -which is typically the beginning of the gas withdrawal season- at almost 100% full, European storage facilities have subsequently emptied at rates not seen since the Beast from the East weather event in 2018. Market players are now preparing to switch to what is known as "injection mode", in a bid to replenish these stocks. Estimates suggest 50% more gas will be needed this summer to build back stock levels, which were critical in meeting the record high demand triggered by cold weather earlier this year. The strong injection demand could provide support for prices. The market is likely to look to pipeline supplies from Russia as well as LNG to provide the necessary volumes. For the European power markets, one word to sum up conditions would be: strength, with contract values roughly doubling where they were this time last year. Driving the recovery have been record-high carbon dioxide prices and higher generation feedstock prices, supported by near-normal demand levels. Going into the second quarter, all eyes will be on whether carbon prices at Euro 40 plus can be sustained as fossil-fired generation backs off and solar ramps up. The carbon market, however, seems focused on the longer-term challenge of net zero rather than near-term physical fundamentals. And one thing we can be certain of: power demand will be higher this April than last. The Platts Atlas of Energy Transition is your map to the sustainable commodity markets of the future. You can explore the Atlas by vising the address displaying on your screen. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2021-03-29T13:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032921-suez-canal-blockage-ever-given-opec-meeting</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-29T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yVjac6JMi4tuhStp5guCJD</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/032921-suez-canal-blockage-ever-given-opec-meeting.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Mar 29-Apr 2: Markets watch in suspense as efforts to decongest Suez Canal continue</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers - Asia, with Senior Shipping Editor Sameer C Mohindru: *More than 320 ships are stranded as Suez Canal remained congested *Clean tanker freights seen to hit fresh year-to-date highs *Oil markets await OPEC+ production plans for May onwards *Thermal coal market participants continue monitoring supply situation following floods in Australia Get S&P Global Platts full coverage: Suez Canal blockage View Full Transcript Markets watch in suspense as efforts to decongest Suez Canal continue This week: all eyes are on developments at the Suez Canal after a grounded container ship brought traffic to a standstill. We’ll also take a look at expectations ahead of the OPEC meeting on April 1, as well as the state of thermal coal supply after floods in Australia. But first, energy, commodity and shipping market participants will be paying close attention to the ongoing efforts to free the Ever Given container ship that ran aground on March 23. The incident is causing a massive congestion at the Suez Canal. More than 320 ships carrying oil, petrochemical products, automotive parts, grains and consumer goods remain stranded. The Suez Canal is a critical commodity chokepoint that connects the Red Sea with the Mediterranean. As one of the world's busiest waterways, even the slightest delay in traffic can result in congestion and disturb the delivery of goods and commodities. Asian crude importers are already expecting a delay of around one week for some light sweet crude cargoes loaded from export terminals in the Mediterranean Sea . Most of the deliveries are via the Cape of Good Hope. But more importantly empty crude tankers moving from Asia across the canal to pick up North Sea barrels have also been delayed. Refined product exporters are also feeling the pinch. Gasoil and jet fuel from the Persian Gulf and India that cross the Suez Canal to Europe are now indefinitely delayed. As if this is not enough, naphtha shipments from the Mediterranean to North Asia are also running behind schedule. With these delays, clean tanker freights are expected to hit fresh year-to-date highs. Long Range 2 tankers typically enjoy a discount over the Long Range 1s on the benchmark Persian Gulf-Japan route. We’re now seeing a role reversal as supply of the bigger tankers has tightened significantly. Even the metals sector is not left untouched by the Suez Canal accident. While it is not expected to immediately impact supply, higher bunker prices, rising freight costs and squeezing of inventories could drive up prices of steel and copper in particular. So for our social media question this week: When do you expect the Suez Canal congestion to be cleared and for commodities to start flowing smoothly again? Share your thoughts with the hashtag PlattsMM. Meanwhile, coal market participants are monitoring the supply situation in Australia following floods in New South Wales and repairs at Newcastle port. These crippled the trade at a time when India was expected to sniff around for cargoes to build up the pre-monsoon inventories. And finally back in oil, market participants will be closely watching the upcoming OPEC meeting on April 1. The meeting is expected to provide guidance to the group’s production plan from May onwards. Analysts generally expect OPEC+ to roll over their production cuts, after panic sell-offs seen earlier this month highlighted the frailty of oil prices. Meanwhile, ICE Futures Abu Dhabi is launching on March 29 on which the Murban futures contract and 18 cash-settled derivatives and inter-commodity spreads will trade. Murban is ADNOC's largest crude by volume, and is popular with Asian refineries, with top destinations including Japan, Thailand and China. Stay ahead of the evolution of energy at Platts LIVE, the new professional platform built exclusively for the energy industry. Have your say and join the conversation at plattslive.com. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-03-29T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/032221-crude-oil-prices-retreat-after-recent-surge</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-22T16:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qwWwYHBZoXRn4EjBDFZHVT</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/032221-crude-oil-prices-retreat-after-recent-surge-hallahan.jpg</video:thumbnail_loc><video:title>Market Movers Americas, March 22-26: Crude oil prices retreat after bullish surge</video:title><video:description><![CDATA[In this week's Market Movers, presented by Kelsey Hallahan: * Crude prices retreat after bullish surge * US crude exports fall amid weak arbitrage opportunities * Aframax tides turn bearish * Market economics spur robust US LNG dispatch * Potential drilling ban threatens Permian output WEBINAR: Platts North America Natural Gas Methodology and Market Update]]></video:description><video:publication_date>2021-03-22T16:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/032221-aramco-covid-steel-coil-green-hydrogen-uk-grain-freight</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-22T12:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=KHMnzES7SoX9bvFh8Sw1Pj</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/032221-aramco-covid-steel-coil-green-hydrogen-uk-grain-freight.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 22-26: Steel price hike, UK hydrogen strategy in the spotlight</video:title><video:description><![CDATA[In this week's highlights: European steel markets reach all time-highs, green hydrogen advocates lobby UK government for better representation, and dry bulk Panamax rates surge to near pre-financial crisis levels. Aramco investor call, European pandemic resurgence in spotlight Steel prices rally as market gripped by shortage UK green hydrogen draws a blank Atlantic grain traders eye arbitrage as freight surges Also on Market Movers this week China oil majors' 2020 results, 5-year plans in focus View Full Transcript In this week's highlights: European steel markets reach all time-highs, green hydrogen advocates lobby UK government for better representation, and dry bulk Panamax rates surge to near pre-financial crisis levels. But first, in oil, attention will turn to Saudi Aramco's call with investors on Monday after it published 2020 results on Sunday. The expectation is for the Saudi giant to rein in spending, guided by a cautious approach to the recovery in demand. One issue for markets is what this means for Saudi spare capacity in the years to come when demand resurfaces above pre-COVID-19 levels in 2023, according to the latest predictions from the International Energy Agency. And that takes us to our social media question for the week: Will Aramco slash spending on international projects and refocus on domestic production? Tweet us your thoughts using the hashtag #PlattsMM. European steel markets continue facing severe material shortages, with mills reported struggling to secure volumes and protect supply chains in current circumstances. Shortages have led to new price records, with Europe's biggest steelmaker ArcelorMittal increasing hot-rolled coils offers to 850 Euros ex-works Ruhr on March 18, the highest offer level heard in the product's history. Platts daily assessment of hot-rolled coil ex-works Ruhr is close to its all-time high from 2008 at 800 Euros as Platts assessed 795 Eur/mt on March 19. In power markets, after the disastrous no-show in last week's industrial decarbonization competition, UK's green hydrogen advocates will be lobbying government for better representation in a formal hydrogen strategy, due soon. Oil and gas concerns swept the board in the latest funding round, which favoured carbon capture and storage over electrolysis. As our Dutch assessments show, a cost-plus calculation shows natural gas plus CCS-derived hydrogen is considerably cheaper today than green hydrogen from renewables and electrolysis. BP was emboldened to detail plans for a 1 GW hydrogen production facility on Teesside, reforming natural gas and capturing the emissions. In agriculture and shipping, grains traders across the Atlantic basin will be keeping a close eye on the arbitrage East this week as dry bulk Panamax time charter rates surge to near pre-financial crisis levels. Widespread delays in both the harvest and planting seasons in Brazil have disrupted the usual seasonality of the grains freight markets. The traditionally slow Q1 has instead seen the usual fourth quarter heights in both level and activity. Freight rates on the key Santos-to-Qingdao route settled above $55/mt - the highest rate in over a decade, further pushed by increasing bunker costs. Further upside is expected throughout April, as charterers seek out scarce scrubber-fitted ships to help minimize their freight costs. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-03-22T12:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032221-china-five-year-plan-oil-lng-worldsteel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-22T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wqpHBdMpRbkD7AphydhKhA</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/032221-china-five-year-plan-oil-lng-worldsteel.jpg</video:thumbnail_loc><video:title>Market Movers Asia Mar 22-26: China oil majors' 2020 results, 5-year plans in focus</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers - Asia with LNG Associate Editor Shermaine Ang: *5-year plans, emission control efforts of China’s oil majors in focus *First high-level meeting between US, China since Biden took over *Bearish signals lurk in spot LNG market *Seasonal demand drive coal prices *Eyes on global crude steel data View Full Transcript This week: markets assess developments from the US-China meetings, bearish signals emerge in LNG market, and eyes are on production figures from the World Steel Organization. But first, China’s carbon neutrality plan is back in the limelight as its oil majors are scheduled to hold briefings this week. Apart from 2020 results and 2021 operational plans, market participants will be closely watching Chinese oil giants’ five-year plan on green energy and carbon emission controls. These plans are expected to show how state-owned and private companies in China are working to help the country reach its carbon neutrality goal by 2060. Meanwhile, markets will digest news from a high-level meeting between US and Chinese officials late last week. It was the first meeting between top officials from both countries – currently entangled in a trade conflict – since the Biden administration took over. Officials from Beijing and Washington traded barbs during the meeting, suggesting a limited possibility of trade tensions easing between the world’s top economies any time soon. Still, market participants will assess signals from the meeting and evaluate how they will impact the flow of commodities moving forward. In LNG, end-user demand is expected to be tepid as offers continue to emerge in the spot market. Volatility in the European gas market has caused similar movements in the northeast Asian LNG market. Platts JKM continued to be propped up with the arbitrage window for US cargoes into Asia hovering around OVER the zero-dollar mark for a month. Many industry participants believe that JKM was approaching its ceiling for the summer pricing period. End-users, especially Chinese buyers, would be unable to pass higher import costs down with typically lower trucked LNG and pipeline gas prices during summer. S&P Global Platts Analytics expects the JKM to come under pressure again in the months ahead, as the price rally earlier this year already pulled a lot of destination flexible supply into the region. For our social media question: Do you think spot LNG prices will breach the $7/MMBtu mark this week? Still on generation fuels, demand for thermal coal in Asia is expected to see a slight uptick, on the back of summer demand as well as upcoming monsoon restocking activities. BUT, high ocean freight rates for smaller vessels like Supramaxes and Panamaxes are likely to persist. And this could impact seaborne trades. In metals, eyes are on the World Steel Association’s global crude steel production figures for February. Observers expect the numbers to show an increase despite the shorter month. Output was likely driven by Asia, which saw several new blast furnaces come online in the second half of 2020 and early 2021. But indications are emerging that manufacturing is slowing down as concerns continue to persist over the spread of coronavirus infections in the region. And circling back to China’s emission controls, 23 steelmakers in Tangshan are required to lower production starting from the weekend up to December 31. Some sources said that China’s adoption of a strong stance on emission controls and imposing steel output cuts mean that iron ore demand would weaken in the coming months. Other sources, however, are more optimistic about iron ore prices in the medium term on firmer steel prices and margins. And finally, stay ahead of the evolution of energy at Platts LIVE, the new professional platform built exclusively for the energy industry. Have your say and join the conversation at plattslive.com. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-03-22T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/031521-gasoline-prices-rally-inventories-plunge</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-15T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=TFeJ7i2Wd7hL1pjnuQtzEs</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/031521-gasoline-prices-rally-inventories-plunge-weber.jpg</video:thumbnail_loc><video:title>Market Movers Americas, March 15-19: US gasoline prices rally as inventories plunge</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Harry Weber: * RVO spike pressures USGC Colonial jet to 10-month lows * US natural gas prices likely to continue falling * Canadian natural gas imports to US Midwest to strengthen * US plate prices up as HRC premium sucks supply Related coverage RBOB cracks test fresh highs as Biden pledges faster US vaccine rollout US gasoline inventories plunge as demand outstrips storm-battered supply Price spreads support higher Canadian gas exports to US this injection season]]></video:description><video:publication_date>2021-03-15T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/031521-oil-recovery-iea-eu-emissions-germany-netherlands-elections-styrene-plastics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-15T12:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MJbrhfByVEqL3q1NFxCPP5</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/031521-oil-recovery-iea-eu-emissions-germany-netherlands-elections-styrene-plastics.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 15-19: Green policies, petrochemical feedstock prices in the spotlight</video:title><video:description><![CDATA[In this week's highlights: Oil markets focus on Europe’s slow pandemic recovery, EU environment ministers debate recovery funds, plastics recyclers fear feedstock shortages and the styrene market eyes imports amid a price surge. Europe’s slow recovery in focus EU Environment ministers debate recovery funds Elections in the Netherlands and two German states Styrene market eyes imports as prices surge Plastics recyclers fear feedstock crunch Also on Market Movers All eyes on oil, LNG, PVC price movements View Full Transcript In this week's highlights: EU environment ministers debate recovery funds, plastics recyclers fear feedstock shortages and the styrene market eyes imports amid a price surge. But first, in oil, market participants remain focused on the pace of the pandemic recovery. European demand has broadly been picking up, but progress has faltered in recent weeks, with mobility rates still around 35% below pre-pandemic levels, vaccine roll-outs proceeding slowly, and infection rates ticking up in some areas, such as northern Italy. The International Energy Agency will be giving its views on this and the medium-term outlook for oil when it publishes both its monthly oil market report and its five-year outlook, Oil 2021, on Wednesday. Turning to the upstream industry, North Sea industry group Oil & Gas UK publishes its annual outlook on Tuesday, with several speakers giving their views on the industry's recovery prospects at the launch event. And that takes us to our social media question for the week: Do you think European crude demand will recover to pre-pandemic levels by the end of 2021? Tweet us your thoughts using the hashtag #PlattsMM. Elsewhere, with energy production and use responsible for 75% of EU greenhouse gas emissions, all eyes will be on the EU Environment Council meeting on Thursday. Ministers are to debate the role of the 672 billion euro Recovery and Resilience Facility, of which at least 37 per cent is to support climate objectives. They will also discuss a Commission proposal for a single regulation covering the entire lifecycle of batteries, seen as key to establishing a sustainable battery industry in Europe. Meanwhile, the speed of Europe's energy transition may get a political reality check this week with elections in the Netherlands and two states in western Germany. The outcome of the German votes in Rhineland-Palatine and Baden-Wuerttemberg on March 14 may indicate who will lead the Conservatives into September's national election, with the cost of ambitious renewable targets a hot topic. The Dutch vote on March 17 meanwhile is the first serious contest since the Covid-19 pandemic took hold. The polls indicate a continuation of the current VVD coalition, promising continuity on the phase-out of coal, encouragement for carbon capture and potential support for small-scale nuclear. In petrochemicals markets, the European styrene market will be looking to other regions to ease supply tightness after further surges in spot prices last week extended already record high values amid unplanned outages and ahead of spring maintenance. Globally, low inventories have restricted the availability of material from outside Europe, and while several cargoes have been booked for Europe, laycans remain uncertain. As shown in the graph, current-month styrene spot prices climbed to $2700/mt FOB ARA on March 11, marking a threefold increase since the start of 2021 and affecting both upstream and downstream markets. Styrene is a key feedstock for end-uses such as packaging, white goods and automotive parts. Plastics recyclers meanwhile, will be keeping a close eye on plant operating rates amid discussions with customers for April volumes as fears of feedstock shortages increase. Demand for recycled polyethylene terephthalate and high-density polyethylene has ramped up in response to record high virgin polymer prices. However, sellers are increasingly uncertain that there will be enough material to satisfy all customers. Prices for post-consumer mixed HDPE and post-consumer PET bottle bales, the feedstocks for recycled HDPE and PET, have already increased 68% and 20% so far this year. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-03-15T12:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031521-china-oil-opec-supply-lng-price</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-15T04:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=69az4Xz4hs5KZBPjsjEj2n</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/031521-china-oil-opec-supply-lng-price.jpg</video:thumbnail_loc><video:title>Market Movers Asia, March 15-19: All eyes on oil, LNG, PVC price movements</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers - Asia with Petrochemicals Associate Editor Shilpa Samant: *Markets assess China's oil data for cues on its stock levels and export prospects *Tensions, rising oil prices add to Asian oil importers' woes *LNG demand robust despite recent rally *Steel demand from auto sector falls *Global supply shortage raises PVC prices in Asia to multi-year highs View Full Transcript This week: China Jan-Feb oil output data, robust LNG Demand, and Asian PVC prices on the rise But first, Beijing is expected to release oil product output data for January-February this week, which is the first set of official production data for 2021. Market participants will assess the data for cues on the country’s oil product stock levels and export prospects in the coming months. Also in oil, the recent rebound in prices to pre-pandemic levels of over $70 a barrel is already adding to the pain of the region’s oil importers. It threatens to squeeze the ability of the countries to find funds for rebuilding economy. Trends will be closely watched as geopolitical tensions have started mounting at a time when oil prices are already under upward pressure following OPEC+ decision to roll over supply cuts, despite recovering demand. As Saudi Arabia keeps a lid on supplies, the Asian market is already feeling the pinch. Saudi Aramco beat market expectations by raising the April official selling price differential for its Arab Super Light crude to $2.35/b, the highest since August 2020. With OPEC revising its 2021 oil demand up by 220,000 b/d to 96.27 million b/d, Asian buyers will be wondering if there is more price pain in store in the coming weeks. While oil prices going up, spot LNG prices remain attractive compared to oil-linked term contract prices. The April and May LNG markets have strengthened significantly with end-users in China and South Korea demonstrating strong buying interest to restock inventories, which pushed prices past the $6/MMBtu last week. This month has so far seen the strongest procurement by Japan, Korea, Taiwan, China, and India since the winter season ended, with over 20 spot and strip tenders issued so far. While some buyers believe that the market has bottomed out and prices could rise for May delivery, other market participants are of the view that the recent rally might not be sustainable as ample May supply is expected in the Asia-Pacific market.Will the rally in Asian LNG prices persist? Share your thoughts with the hashtag PlattsMM. In steel, demand from automakers is facing a slowdown. Semiconductor chip shortage threatens to stifle efforts to restore car production to pre-COVID-19 levels. China’s House Price Index is due as well, which will provide more clues on steel demand from the property sector. Finally, in petrochemicals, PVC market participants will closely monitor supply conditions for April, especially from the US, where steam crackers are slowly coming online. Prices in China, India and Southeast Asia, have all been at multi-year and record highs as the Asian PVC market continues to be driven by global supply shortage and bullish crude oil futures. While PVC offers from China continues to rise, some fresh offers for April this week from Taiwan. Stay ahead of the evolution of energy at Platts LIVE, the new professional platform built exclusively for the energy industry. Have your say and join the conversation at plattslive.com. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-03-15T04:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/030821-crude-backwardation-rig-count-spikes</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-08T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bBG9uYc593CJydCN6YeF7X</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/030821-crude-backwardation-rig-count-spikes-bush.jpg</video:thumbnail_loc><video:title>Market Movers Americas, March 8-12: Crude backwardation, US rig count see spikes</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Savannah Bush: * Crude backwardation spikes as OPEC+ extends cuts * Oil and gas rig counts see largest jump in 11 months * US LNG utilization rebound lifts benchmark talk * Gulf Coast petrochemical plants continue to recover from freeze Related coverage Saudi Arabia discipline pushes OPEC+ crude output to 4-month low in Feb: Platts survey US oil, gas rig count leaps 30 to 491 on week, as oil prices climb further: Enverus CERAWeek: LNG market debates new benchmarks amid long-term supply needs FACTBOX: MEGlobal restarts Texas MEG unit; TPC expects longer restart timeline]]></video:description><video:publication_date>2021-03-08T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/030821-oil-opec-lukoil-chevron-nord-stream-eu-carbon-border-adjustment-polymers-olefins</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-08T12:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PsmPkpJBv6on3pfJefc3ab</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/030821-oil-opec-lukoil-chevron-nord-stream-eu-carbon-border-adjustment-polymers-olefins.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 8-12: Oil markets react to OPEC+ surprise decision; Nord Stream 2 to speed up</video:title><video:description><![CDATA[In this week's highlights: Nord Stream 2 development picks up, polymers hit record high prices, and the EU is set to vote on carbon border adjustment. OPEC+ cuts, Russia-Middle East ties in focus Second vessel set to join Nord Stream 2 pipelaying European Polymer prices hit record highs EU Parliament to vote on carbon border adjustment Also on Market Movers this week Oil prices in focus after attacks at Saudi oil facilities Crude backwardation, US rig count see spikes View Full Transcript In this week's highlights: Nord Stream 2 development picks up, polymers hit record high prices, and the EU is set to vote on carbon border adjustment. But first in oil, the main focus this week will be the impact of the surprise decision by OPEC+ countries to maintain their production cuts at around 8% of the pre-pandemic market for another month through to the end of April, with a slight easing for Russia and Kazakhstan. The news sent prices sky-rocketing last week, putting pressure on countries in Europe looking to fire up their economies post-pandemic. The higher prices may also encourage US shale drillers. We're expecting a detailed assessment in OPEC's own monthly oil market report, published on Thursday, as well as reaction from Russia's Lukoil which publish annual results on Wednesday and from Chevron in the US, which holds an investor presentation on Tuesday. In a reflection of Russia's increasingly close ties with the Middle East, Foreign Minister Sergei Lavrov embarks on a tour of Gulf nations on Monday, stopping in the UAE, Saudi Arabia and Qatar. While a visit to Tehran is not on the agenda, we'd expect the unresolved issue of US policy on Iran and sanctions limiting its crude exports to figure in the discussions. In European gas, the timetable for completion of the controversial Nord Stream 2 pipeline from Russia to Germany has swung back into focus. Last week, Nord Stream 2's developer said a second Russian pipelaying vessel - the Akademik Cherskiy - is now going to join the operation to lay the pipeline in Danish waters. That is expected to significantly speed up pipelaying work, which could now be completed this summer. The US is being urged to drive forward with greater sanctions measures against the project to stop it from being completed, but the window of opportunity is narrowing. If Nord Stream 2 is completed and becomes operational in 2021, it will mean Russia's Gazprom can scale down the use of gas transit via Ukraine and rely less on its storage position in Europe to meet customer demand. And that takes us to our social media question for the week: Will Nord Stream 2 be up and running this year? Tweet us your thoughts using the hashtag #PlattsMM. Following record highs last week in both contract and spot pricing for a broad array of European polymer markets, increases are set to continue throughout March. A perfect storm of tight global supply following US Gulf production outages in February, significantly increased container freight, and high olefin feedstock costs in the first quarter has set polymer prices skyrocketing. This has challenged the economic viability of some plastic converters, who have already been struggling with a change in demand patterns following pandemic lockdowns. The record high price impact is expected to trickle down the supply chain into final demand. Consumers could start to see the record highs reflected in rising prices for groceries, appliances, and other consumer goods reliant on plastics. Meanwhile in the European carbon market, more price volatility could be on the cards this week as the European Parliament is set to vote on a proposed Carbon Border Adjustment Mechanism. The potentially far-reaching proposal could place a charge on the carbon content of goods imported into the EU, shifting the economics of international trade as well as driving climate action outside of the EU's borders. As you can see in this chart, EU carbon prices hit an all-time high of 40 euros per ton in February. If adopted, the CBAM could also allow EU regulators to halt free allocation of carbon allowances for Europe's emissions-intensive industries such as metals and chemicals producers and refineries, prompting them to become more significant buyers of carbon allowances. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-03-08T12:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/030821-oil-prices-saudi-attack-fukushima-nuclear-disaster</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-08T04:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ScUqQ9iAYxAPtYuVpXn6ED</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/030821-oil-prices-saudi-attack-fukushima-nuclear-disaster.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Mar 8-12: Oil prices in focus after attacks at Saudi oil facilities</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers - Asia with Agriculture Editor Mugunthan Kesavan: * Brent crude futures rise above $70/b as Ras Tanura attack extends rally *Asian refiners hopeful for resumption in Iranian oil trade *Ten years on, lessons from Fukushima in focus as Japan plans to become a carbon neutral country by 2050 *Strong ABS demand drives prices to record high *Buyers await Brazil's Conab and USDA's WASDE data for updates on grain and oilseeds supply and demand View Full Transcript This week: Oil prices in focus as Brent crude futures rise above $70, refiners start preparing for Iran oil’s return to the market, and we’ll also remember the 10th anniversary of Japan’s Fukushima nuclear disaster. But first, ICE front-month Brent futures start the week above $70 per barrel – the first time since January 2020 – after news of an attack at Saudi Arabian oil facilities. No damage was reported. The attacks come as oil prices continue to climb following the OPEC+ decision last week to rollover supply cuts amid recovering demand. The move will keep about 8 million barrels per day of crude production off the market. The approval of the US stimulus plan was also seen as a factor supporting the oil price rally. Fiscal relief in the US is widely expected to energize US economic recovery, improving demand for oil and energy. Meanwhile, Asian refiners and petrochemical makers have started to prepare for a possible resumption in buying Iranian crude. This is amid growing optimism that tensions between Washington and Tehran could improve under the Biden administration. Our sources said several Asian oil companies and trading firms have recently started to track back and study the recent months' Iranian crude OSP differentials and Platts South Pars condensate assessments, which you can see on this graph, to analyze the adequate market value of Iranian oil. Do you expect a thaw in the US-Iran relationship in the near future? Share your thoughts on Twitter with the hashtag PlattsMM. Now, March 11 marks the 10th anniversary of the Fukushima nuclear disaster. The incident was triggered by the Great East Japan Earthquake in 2011 and the subsequent tsunami that killed thousands and displaced millions. The Fukushima nuclear disaster was a turning point in Japan’s energy sector as it shut the country’s entire fleet of nuclear power plants. Fukushima was also a gamechanger for the global LNG market. It forced Japan to use gas-fired power generation at very high costs to make up for lost nuclear power. The incident pushed global LNG market mechanisms to evolve to meet sudden disruptions in supply and demand. Lessons from Fukushima are now significant as Japan plans to become a carbon neutral country by 2050. Later this year policy makers will decide on a revised Strategic Energy Plan by 2030 that lays out the roadmap for its energy future. Explore the state of nuclear power in Japan and beyond using the Energy Transition Atlas on our website. Moving to polymers, market participants in the styrenics chain will closely watch acrylonitrile-butadiene-styrene prices. The CFR China price reached a record high of $2,460/mt at the Asian close on March 3 -- the highest since the weekly assessment was first launched in 1996. The strength in CFR China ABS values was driven by persistently strong demand and feedstock prices. Asia has been experiencing a tightness in ABS supply since the third quarter of 2020 as demand continues to outstrip supply. Finally in agriculture, feed buyers in Asia, who account for over 40% of coarse cereals and 63% of major oilseeds imports, will be eagerly awaiting Brazil's Conab and USDA's WASDE data for any change in grain and oilseeds supply and demand projections, especially for soybean and corn. Also any fresh cases of African Swine Fever in China could weigh on soybean prices. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-03-08T04:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/030121-dakota-access-shutdown-widens-bakken-spread</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-01T17:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vnBUZALEm25Qqzdp7e15BT</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/030121-dakota-access-shutdown-widens-bakken-spread-pedrick.jpg</video:thumbnail_loc><video:title>Market Movers Americas, March 1-5: Potential Dakota Access shutdown widens Bakken spread</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Jennifer Pedrick: * Bakken differentials poised to widen * ASCE to issue grade for US infrastructure * Suezmax freight to see support amid Aframax rally * High feedstock costs bolster US biofuel prices]]></video:description><video:publication_date>2021-03-01T17:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/030121-crude-opec-quota-europe-gas-stocks-uk-power-auctions-sugar-beets-neonicotinoids</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-01T12:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7MogESDEU9pLcuVRP4KoB6</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/030121-crude-opec-quota-europe-gas-stocks-uk-power-auctions-sugar-beets-neonicotinoids.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 1-5: OPEC+ to decide this week whether it eases production cuts</video:title><video:description><![CDATA[In this week’s highlights: OPEC+ is set to decide production policy for April and beyond; power auctions begin in the United Kingdom; European gas stocks hit significant lows; and the UK sugar beet industry looks set to avoid pesticides. OPEC+ meeting and potential quota easing Gas stocks slump on strong withdrawals UK capacity market auctions open Neonicotinoids outcome for UK sugar beets Also on Market Movers: Spotlight on energy transition at China's Two Sessions, Asian Refining Summit Potential Dakota Access shutdown widens Bakken spread]]></video:description><video:publication_date>2021-03-01T12:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/030121-china-two-sessions-energy-transition-opec-meeting</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-03-01T04:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aKe38wCrZ9JXsR2qcwWaSc</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/030121-china-two-sessions-energy-transition-opec-meeting.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Mar 1-5: Spotlight on energy transition at China's Two Sessions, Asian Refining Summit</video:title><video:description><![CDATA[The highlights this week with Elizabeth Thang, S&P Global Platts managing editor for agriculture in Asia: *Carbon neutrality targets on spotlight as China holds Two Sessions *Refining margins, shift to clean energy in focus at Asian Refining Summit *Markets await OPEC+ production decision *Logistical challenges drive up container freight rates *High sugar prices prompt Thailand to issue its tender earlier than usual]]></video:description><video:publication_date>2021-03-01T04:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/022221-commodity-markets-impact-winter-storm</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-22T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Dfu42DwhM8hmQ7CkMExTpp</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/022221-commodity-markets-impact-winter-storm-mower.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Feb 22-26: Commodity markets feel the impact of winter storm</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Jeff Mower : * Winter freeze downs oil refineries, output * MEH/Midland WTI crude spread tightens * Lack of natural gas delays Mexican steel exports * Regulatory meetings to address ERCOT, winter storm]]></video:description><video:publication_date>2021-02-22T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/022221-london-energy-forum-ip-week-opec-lng-pertrochemicals-arcelormittal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-22T11:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=C6a2Zw4xrzqc28wj8oPmKs</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/022221-london-energy-forum-ip-week-opec-lng-pertrochemicals-arcelormittal.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 22-26: Platts London Energy Forum and IP Week at the fore</video:title><video:description><![CDATA[In this week's highlights: the S&P Global Platts London Energy Forum and IP week are set to dominate, ahead of the OPEC+ meeting; LNG deliveries into Europe are set to pick up; and storms in the US Gulf create uncertainty over European petrochemical imports. Platts Forum, IP Week to dominate, ahead of OPEC+ meeting LNG deliveries into Europe to pick up Respite for power traders Uncertainty in petrochemicals imports due to weather Steelmaker ArcelorMittal to restart blast furnace View Full Transcript In this week's highlights: the S&P Global Platts London Energy Forum and IP week are set to dominate, ahead of the OPEC+ meeting; LNG deliveries into Europe are set to pick up; and storms in the US Gulf create uncertainty over European petrochemical imports. But first, in oil, two major industry events this week will assess the market’s recovery so far and the wider energy transition away from fossil fuels. The Platts London Energy Forum takes place today and the IP Week conference gets underway Tuesday. Platts will be providing an update on its groundbreaking proposal to incorporate WTI Midland crude exports to Europe within the Dated Brent benchmark. IP Week features top representatives from a range of global oil and gas companies. As ever, we’re keeping a close eye on some fundamentals, including the recovery from last week’s disastrous cold snap in Texas, the easing of lockdowns in Europe, and of course the OPEC+ producer alliance, which is gearing up for its next meeting in just over a week, on March 4. With prices buoyant in recent weeks, the voices inside OPEC+ calling for quotas to be eased will surely become more insistent. We’re also expecting a smattering of industry updates this week, including annual press briefings from Germany’s Wintershall DEA and the Caspian Pipeline Consortium, taking place Wednesday and Thursday respectively. And that takes us to our social media question for the week: What were the highlights of the Platts London Energy Forum for you? Tweet us your thoughts using the hashtag #PlattsMM. After months in which the European gas market has seen fairly scarce LNG arrivals, cargo deliveries are set to pick up as the Asian LNG price premium continues to erode. The extreme cold experienced in Asia at the start of 2021 saw the JKM spot Asian LNG price hit an all-time high in mid-January, pulling most available LNG to Asian markets. But prices have since come off, with the cross basin JKM-TTF month-ahead spread having narrowed, thereby keeping US cargoes within the basin. As a result, Platts Analytics expects a further build in LNG cargo deliveries into Europe in the coming weeks. Power traders meanwhile are hoping for a more restful week after a rollercoaster start to the year. Rising temperatures in Western Europe have taken much of the bounce out of spot power prices, with French power demand forecast some 20 gigawatts lower this week than during the cold snap in Week 5. The arrival of spring-like temperatures has eased pressure on France’s vast nuclear fleet, which is still materially below normal availability due to early maintenance. French reactors have started 2021 maintenance early after record-lows in 2020. European petrochemical market participants are closely watching developments in the US Gulf Coast area, as concerns over potential disruptions to US-Europe trade flows mount. Of particular concern is monoethylene glycol, which is used for the production of polyethylene terephthalate for beverage bottles and also anti-freeze. The US is an important European supplier and European MEG prices have been rising in recent days. For material moving the other way, European traders are looking closely for signs of supply imbalances this week in the European benzene export market. And finally, the world's largest steelmaker, ArcelorMittal, is to restart its blast furnace number 2 in Ghent, Belgium, after a few delays due to the bad weather. As soon as the blast furnace is fully operational, ArcelorMittal will be back to pre-COVID-19 production levels. Furnaces that were idle in France, Spain, Germany and Italy in response to the pandemic are now all back online. For more on all of the issues affecting commodity markets wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-02-22T11:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/022221-asia-commodities-oil-olefins-soybeans</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-22T01:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=RYh63ksJU6qEVpDh5tv3F9</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/022221-asia-commodities-oil-olefins-soybeans.jpg</video:thumbnail_loc><video:title>Market Movers Asia Feb 22-26: US cold snap impacts Asian oil, petchem markets</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers in Asia, with News Editor, Agriculture, Asim Anand: * Asian gasoline suppliers look for prompt opportunities to US * Regional refiners shrug off Middle East allocation cuts * Olefin supply concerns in Asia after Texas shutdowns on cold snap * China's soybean demand to pick up as crushers return from holiday View Full Transcript This week: China returns to the market after a long holiday, and refiners focus on oil product management amid crude allocation cuts from the Middle East. But first, in oil, refiners in South Korea and trading houses in Singapore are actively looking at possible trading opportunities to sell prompt jet and gasoline cargoes to the US this week should it urgently need to cover any shorts. This comes as the power crisis and oil supply disruptions there due to a recent cold snap start to ebb. Middle distillate traders are also continuing to monitor the rise of Asian gasoline crack spreads, as a smaller-than-expected build in US gasoline stocks seen in recent data continues to underpin the US RBOB-Brent crack for multiple trading sessions. The Asian gasoline market has been on a bullish run since the start of last week, supported by gains in the US RBOB-Brent crack, after refineries there were shut due to freezing temperatures. So, our social media question this week is: Will the latest winter freeze prompt the US to stock up on gasoline from Asia? Share your thoughts on Twitter with the hashtag PlattsMM. The cold snap is also keeping petrochemical market players on their toes. Supply concerns are expected to continue spreading in Asia following the large-scale shutdown of several plants in Texas. Sources said olefins supply will be impacted the most, as around 50% of US cracking capacity was seen to have been affected by the severe winter storm. Meanwhile, the region’s key refiners in China, India, Japan and South Korea are unfazed by an upcoming drop in cargoes from the Middle East. Asian customers have received crude term allocation cuts for barrels loading in March from Saudi Aramco, while ADNOC has informed its buyers that nominations across its four crude oil grades will be trimmed by at least 10% next month. The cuts reflect OPEC’s strong commitment to curbing supply through the first quarter. Feedstock availability, however, is the least of Asian refiners’ worries, as they shift their focus to oil product stocks management. Companies plan to limit their oil products output in the first half of 2021, with China and India expected to produce middle distillates volumes that are lower than pre-pandemic 2019 levels. With trading in Asia back in full swing this week after the Lunar New Year holidays, China demand for soybeans is likely to pick up this week as crushers gradually resume operations. CBOT soybean futures prices, which have been oscillating in the mid- to high $13/bushel range since early February, are likely to receive support from China, with the world’s largest soybean importer and processor widely expected to buys more beans from the US and Brazil in the coming days. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-02-22T01:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021521-iran-oil-carbon-cold-france-nuclear-russia-grains-exports-steel-coil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-15T13:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nt8QuNYZ4CoQ1ArXE4KCt9</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/021521-iran-oil-carbon-cold-france-nuclear-russia-grains-exports-steel-coil.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 15-19: Signs of commodities bull run seen in oil, power, and carbon prices</video:title><video:description><![CDATA[In this week’s highlights: commodity prices rebound, with Dated Brent breaching the 60 dollar per barrel mark, European carbon prices reach all-time highs, and Russia is set to introduce export quotas and duty on grains from February 15th. Price ramp-up, Iranian resurgence in focus Carbon hits all-time high on cold weather French nuclear outlook takes centre stage Russia’s new cap on grains exports European steel market demand upturns]]></video:description><video:publication_date>2021-02-15T13:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/020821-natural-gas-prices-climb-colder-weather</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-08T16:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yAw7ngXY6vxJf1e4Qs84RR</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/020821-americas-cold-weather-natural-gas.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Feb 8-12: Cold weather boosts natural gas prices, demand</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Amy Debayle: * Henry Hub rises as weather turns colder * Supply tightens, tanker owners expect rate hikes * USGC jet margins slip post-holiday travel * Biden making an impact on energy policy View Full Transcript In this week’s Market Movers: soybean prices remain volatile on Brazilian rains, US Gulf Coast fog takes its toll on shipping markets, natural gas prices weaken amid mild weather, and the spread between WTI Magellan East Houston and WTI Midland continues to narrow. After a sharp rally following a bullish World Agriculture Supply and Demand Estimates report earlier in the month, soybean prices have fallen from multi-year highs amid favorable weather reports from Brazil. The front-month CBOT soybean futures contract plunged nearly 60 cents/bushel, or nearly 4.5%, on January 22. Despite a large volume of soybeans still to be harvested in Brazil, prices have seen limited pressure as Brazilian producers have already sold about 60% of the expected crop and are holding out for higher prices to resume sales. Looking at shipping markets, Aframax shipowners are hopeful the coming week will bring cargoes into the market. Shipowners showed strong resistance to fixing at last-done levels after fog delays slowed fixing and inquiry in the second half of the week ended January 22. Freight for the US Gulf Coast-UK Continent route rose 15% over the previous week. However, non-ice class Aframaxes in the North Sea may decide to ballast over to the US Gulf Coast in search of higher rates, adding supply to a delicately balanced market. The spread between West Texas Intermediate crude at the Magellan East Houston terminal and Midland, Texas, fell to its narrowest point since November 2016 last week, with continued narrowness expected through the beginning of 2021. WTI Magellan East Houston, a market with access to the heart of US Gulf Coast refiners, sank to 40 cents/b over WTI in Midland near Permian Basin production. The spread remained narrow through most of 2020 as refiners processed a glut of the crude while lease operators slashed production amid the coronavirus pandemic. Production is set to continue to decline through the first half of this year, but the completion of ExxonMobil’s Wink-to-Webster pipeline in H2 2021 may help keep the spread narrow as field takeaway capacity expands. Turning to the Southeast, the Henry Hub balance-of-the-month natural gas contract remains under pressure amid muted demand and rising temperatures in Texas and the Southeast. The contract was trading at $2.45 per MMBtu on January 22 after settles averaged $2.70 per MMBtu through January 21. Total demand in the region is expected to dwindle to about 36 Bcf/d over the next two weeks as milder winter temperatures continue, about 5 Bcf below the levels during the second week of January. Heavy sea fog in the Texas and Louisiana Gulf Coasts last week lowered total deliveries to LNG facilities. Feedgas deliveries are expected to remain depressed until the fog clears. While the Southeast warms up, colder weather is forecast to hit the Northeast this week, driving up power demand in ISO-New England territory, which could lead to power price increases during peak hours. Mass Hub on-peak day-ahead prices jumped $16.50 on January 22 to trade in the low $50s per megawatt-hour for January 25 delivery on the Intercontinental Exchange. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2021-02-08T16:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/020821-oil-results-jet-gas-winter-heating-france-nuclear-plastics-polyethylene</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-08T12:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GbKp2XTMfAug96XEt63tKD</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/020821-oil-results-jet-gas-winter-heating-france-nuclear-plastics-polyethylene.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 8–12: Heating demand and financial results to dominate the week </video:title><video:description><![CDATA[In this week's highlights: The European gas market will be facing cold winter temperatures this week; maintenance in French reactors will challenge utilities; and plastics converters will see a hike in production costs. Oil majors’ quarterly results, recovery in focus European gas faces test as temperatures tumble French nuclear availability set to dip Tightness in downstream petrochemicals market Also on Market Movers: Myanmar energy investments in the spotlight amid coup View Full Transcript In this week's highlights: The European gas market will be facing cold winter temperatures this week; maintenance in French reactors will challenge utilities; and plastics converters will see a hike in production costs. But first, in oil, the industry is focused on the pace of demand recovery, and the possibilities particularly for aviation. But the reality on the ground remains challenging, with lockdowns and travel bans still very much in place in Europe, while refiners continue to minimize jet fuel yields against more profitable products such as naphtha. Among the most attractive oil products in Europe include very low sulfur fuel oil and low sulfur fuel oil, which continue to see support from exports to Asia, to satisfy strong winter heating demand. For European oil and gas companies the recovery from the pandemic is intertwined with questions about peak oil demand and energy transition, and we expect these issues to remain front and center as the last of the fourth quarter results are published in the next couple of weeks: Norway's Equinor reports on Wednesday, and Total on Thursday. Total, as Europe's largest refiner, tends to be revealing on the fuels outlook, but is also heavily involved in Africa, including traditional producer states such as Angola and Nigeria, and we can expect updates on new projects, in Uganda and Mozambique. Equinor was trumpeting good news last week with the first oil and gas discovery of the year in the heart of the North Sea, near the Troll field, but there is little hiding the damage to the sector in results published so far. Providing a broader perspective will be the monthly oil market reports of OPEC and the International Energy Agency, both published on Thursday. And that takes us to our social media question for the week: How do you think investment in fossil fuel exploration will evolve considering constraints around ESG? Tweet us your thoughts using the hashtag #PlattsMM. Moving on to European gas, the market faces a short-term test this week with temperatures across the continent set to tumble. This late winter blast could see Europe's remaining gas stocks drawn down further as demand for heating increases. Temperatures are set to fall to as much as 10 degrees Celsius below seasonal norms in Northwest Europe over the course of the week. Europe's natural gas stocks have been called on to meet demand in much bigger volumes this winter compared with the past two milder winters, leaving stocks less than 50% full, according to data from Gas Infrastructure Europe. However, this cold snap is expected to be short-lived, with temperatures expected to return to seasonal norms by the end of the week. The cold weather could pose more challenges for UK power supply as key power exporter France undergoes a dip in nuclear availability. An unprecedented 11 French reactors are going into maintenance this month, with Platts Analytics assuming February output of 46GW on average, a record low for this time of year, as you can see from the chart on your screen. The UK generally imports around 10% of its power needs but has become increasingly dependent on interconnectors this winter. The return of the BritNed link to Netherlands this week should help, but the UK is expected to maintain its healthy price premium over continental Europe. And finally, the recent surge in European polyethylene spot and contract prices is expected to intensify further in February. Supply tightness coupled with demand for food packaging and pharmaceutical applications during lockdowns has led to tense bilateral contract price negotiations, with producers heard to be seeking monthly increases of as much as Eur250/mt in February. Some plastics converters will be able to pass the higher costs, including those of feedstocks, through over the course of the month but others linked to low demand segments such as construction, automotive or travel and tourism are facing little choice but to accept margin loss, reduce output, or even close their plants. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-02-08T12:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/020821-myanmar-coup-energy-investments-oil-gas-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-08T03:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=cXEct8NaTPpAzNhBuKz6qt</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/020821-myanmar-coup-energy-investments-oil-gas-power.jpg</video:thumbnail_loc><video:title>Market Movers Asia Feb 8-12: Myanmar energy investments in the spotlight amid coup</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers in Asia, with Senior Oil News Editor Surabhi Sahu: * Myanmar coup threatens energy investments * US LPG flows to Asia to fall as arbitrage narrows *US LNG cargoes diverted to Europe with arb closed *Metals markets subdued ahead of Lunar New Year holidays *Spotlight on China's corn imports ahead of WASDE report View Full Transcript This week: Narrowing arbitrage impact Asia-bound LNG and LPG cargoes, eyes on global corn balance sheets as China’s demand grows, Lunar New Year holidays to keep some market activities subdued. But first, Myanmar takes center stage in the regional energy markets as the military coup threatens to disrupt investment in the country's oil, gas and power sectors. While there is no immediate stoppage of current oil and gas production, Japanese and Australian energy companies are concerned about reputational risks and ESG compliance issues, if the military government comes under a wave of international sanctions. Myanmar is one of the poorest countries in Asia, and a curtailment of energy investments would slow down its electrification. It would also jeopardize upstream projects that supply natural gas to Thailand and China. But some analysts say that sanctions from the West could pave the way for more Thai and Chinese investments in Myanmar’s energy sector, as they have been investing in the country even before it opened up. Zooming in to oil, up to 11 LPG cargoes loading this month from the US to Asia have been canceled as the arbitrage narrowed. This is due to a two-week retreat in Asian prices and disruptions caused by closures of the Houston Shipping Channel since January 20. The cancellations will reduce US cargo arrivals to Asia to 1.6 million mt in March from 2.3 million mt this month. Market impact, however, is seen to be limited as heating demand has fallen from January’s peak. Still on the theme of US-Asia arbitrage, at least 4 US LNG vessels were spotted diverting to Europe from delivering to North Asia, according to cflow, Platts’ vessel tracking tool. This was observed as the premium of Platts JKM, the benchmark for LNG spot prices in Asia, over the TTF has shrunk, as you can see on this graph. The ample supply in the market means that JKM prices could be capped as procurement moves into the spring season. The next trigger for demand will likely be restocking of gas inventories although there is enough supply in the system. Do you think the shipping and LNG market will test the record lows seen in 2020? Share your thoughts on Twitter with the hashtag PlattsMM. Meanwhile, Chinese gas demand could remain limited in the run-up to the Lunar New Year holidays later this week. Economic activity tends to slow down during the holiday season and this time COVID-19 related restrictions will further suppress energy demand. Manufacturing has also started to slow down ahead of the holidays, dampening activities in the metals markets. New waves of coronavirus infections are threatening to derail economic recovery efforts, creating uncertainties as to the direction of the metals sector after the holidays. Finally, in agriculture, markets will keep a close eye on the US WASDE report, due Feb. 9, with the spotlight on China’s corn imports. Markets will be also watching the overall corn balance sheet with global stocks already at multi-year lows. Chinese purchases continue to further tighten the supply pipeline. Outside of China, Asian demand has been muted due to high prices. Last week, South Korean feed buyers emerged for the first time this year to book cargoes as Argentinian corn became more competitive than that from the US. Will other countries follow suit? It remains to be seen. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-02-08T03:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/020121-us-natural-gas-freeze-offs-demand-spikes</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-01T16:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HfN7FuxMucoFnC3Wfu94q4</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/020121-us-natural-gas-freeze-offs-demand-spikes-love.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Feb 1-5: US natural gas freeze-offs hit as demand spikes</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Courtney Love: * US natural gas freeze-offs hit as demand spikes * Weak Q4 expectations for US coal producers * Brazilian ferrous scrap prices set to rise further in February * Container box increases unlikely in February View Full Transcript In this week’s Market Movers: soybean prices remain volatile on Brazilian rains, US Gulf Coast fog takes its toll on shipping markets, natural gas prices weaken amid mild weather, and the spread between WTI Magellan East Houston and WTI Midland continues to narrow. After a sharp rally following a bullish World Agriculture Supply and Demand Estimates report earlier in the month, soybean prices have fallen from multi-year highs amid favorable weather reports from Brazil. The front-month CBOT soybean futures contract plunged nearly 60 cents/bushel, or nearly 4.5%, on January 22. Despite a large volume of soybeans still to be harvested in Brazil, prices have seen limited pressure as Brazilian producers have already sold about 60% of the expected crop and are holding out for higher prices to resume sales. Looking at shipping markets, Aframax shipowners are hopeful the coming week will bring cargoes into the market. Shipowners showed strong resistance to fixing at last-done levels after fog delays slowed fixing and inquiry in the second half of the week ended January 22. Freight for the US Gulf Coast-UK Continent route rose 15% over the previous week. However, non-ice class Aframaxes in the North Sea may decide to ballast over to the US Gulf Coast in search of higher rates, adding supply to a delicately balanced market. The spread between West Texas Intermediate crude at the Magellan East Houston terminal and Midland, Texas, fell to its narrowest point since November 2016 last week, with continued narrowness expected through the beginning of 2021. WTI Magellan East Houston, a market with access to the heart of US Gulf Coast refiners, sank to 40 cents/b over WTI in Midland near Permian Basin production. The spread remained narrow through most of 2020 as refiners processed a glut of the crude while lease operators slashed production amid the coronavirus pandemic. Production is set to continue to decline through the first half of this year, but the completion of ExxonMobil’s Wink-to-Webster pipeline in H2 2021 may help keep the spread narrow as field takeaway capacity expands. Turning to the Southeast, the Henry Hub balance-of-the-month natural gas contract remains under pressure amid muted demand and rising temperatures in Texas and the Southeast. The contract was trading at $2.45 per MMBtu on January 22 after settles averaged $2.70 per MMBtu through January 21. Total demand in the region is expected to dwindle to about 36 Bcf/d over the next two weeks as milder winter temperatures continue, about 5 Bcf below the levels during the second week of January. Heavy sea fog in the Texas and Louisiana Gulf Coasts last week lowered total deliveries to LNG facilities. Feedgas deliveries are expected to remain depressed until the fog clears. While the Southeast warms up, colder weather is forecast to hit the Northeast this week, driving up power demand in ISO-New England territory, which could lead to power price increases during peak hours. Mass Hub on-peak day-ahead prices jumped $16.50 on January 22 to trade in the low $50s per megawatt-hour for January 25 delivery on the Intercontinental Exchange. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2021-02-01T16:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/020121-covid-energy-transition-oil-results-gas-lng-storage-winter-britned-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-01T12:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=B5U2UaPNjHfBYASRY6taBs</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/020121-covid-energy-transition-oil-results-gas-lng-storage-winter-britned-power.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 1-5: Covid impact and energy transition targets to be reflected in results season</video:title><video:description><![CDATA[In this week's highlights: Some of the biggest players in the European oil industry report results this week, reflecting on what was a very turbulent 2020; in the European gas market, storage levels are in focus after record-breaking withdrawals from facilities so far this year; and in power markets, the return of the BritNed interconnector after two months offline is likely to have a big impact on prices. Oil companies Covid impact in spotlight Rate of European gas withdrawals easing Relief for UK as BritNed due to return Also on Market Movers Medical device manufacturing drives feedstock condensate, naphtha demand]]></video:description><video:publication_date>2021-02-01T12:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/020121-covid-medical-manufacturing-condensate-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-02-01T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=F7VbgqdX9wgjSzZnNtY67E</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/020121-coronavirus-medical-manufacturing-condensate-demand.jpg</video:thumbnail_loc><video:title> Market Movers Asia, Feb 1-5: Medical device manufacturing drives feedstock condensate, naphtha demand</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers in Asia, with Head of Metals Insight Paul Bartholomew : *Medical device demand drives condensate and naphtha purchases *Metals raw materials market to take cue from China, India, and Japan's manufacturing data *China's thermal coal demand dwindles ahead of the Lunar New Year holidays *Tight supply seen to drive methanol prices View Full Transcript This week: Demand for bulk commodities such as iron ore and coal continue to cool ahead of the Lunar New Year holiday, while medical equipment manufacturing is boosting demand for petrochemicals products. Heightened health and infection concerns spurred by the still-raging coronavirus pandemic has seen demand for certain petrochemical products increase sharply in South Korea in January. Demand for polypropylene, low-density polyethylene and PVC to make medical equipment such as medical kits, shields and medicine packaging has surged. This has South Korean refiners and petrochemical makers scrambling to secure supply of base feedstock condensate and naphtha. That demand is proving a boon for Australia's ultra-light crude sales. Premiums have been trending sharply higher over the past few trading cycles, as you can see on this graph, with Asian buyers paying more for spot Australian condensate cargoes since early 2021. This reliance on Australian supply is expected to increase further in the coming months. In Japan, there are concerns that emergency measures to curb the spread of the pandemic may need to be extended beyond February 7. Some estimate that this move could result in a 10% year on year drop in Japan’s gasoline demand in February. Japan’s gasoline demand is estimated to have fallen to its lowest monthly level in 32 years in January, and the drop was attributed to the lockdown. Moving on to metals, eyes will be on manufacturing data from China, India and Japan. The manufacturing sector has been a star performer in recent months as economies recovered after the pandemic lockdowns. There have been some signs that China’s post-Covid rally may have plateaued. Steel and raw materials players will hope the data indicates this is not the case. The upcoming Lunar New Year holidays have started to have some effect on market activity. Imported iron ore prices lost almost $10 in a day last week, as restocking slowed. Finished steel prices in China have weakened, as some buyers prefer to wait until after the holiday to get a better sense of market direction. Will iron ore prices fall to $140/mt CFR China by the start of the Lunar New Year holiday? Share your thoughts on Twitter with the hashtag PlattsMM. China’s thermal coal demand is also expected to be lackluster ahead of the holidays, while loading conditions in Indonesia have improved. Indonesian export coal prices are expected to fall in line with Chinese domestic coal prices. And finally, Asian methanol prices could see some upside this week due to tight global supply. Middle Eastern producers have been allocating more cargoes to the higher-priced European methanol market. European methanol prices are 18% higher at $420/mt compared with a fortnight ago. A major Norwegian producer and a Russian producer remain offline, and there are no restart dates. Additionally, plant outages in Southeast Asia will also support Asian methanol prices. So with that, thanks for kicking off your Monday with us. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Have a great week ahead!]]></video:description><video:publication_date>2021-02-01T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/012521-soybeans-prices-fog-weather-impact-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-25T17:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QRVFy8pQWH5At5ekiJ6rUz</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/012521-soybeans-prices-fog-weather-impact-markets-josh-pedrick.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Jan 25-29: Soybean prices turn volatile; fog, weather impact several markets</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Joshua Pedrick: * Soybeans volatile after prices back away from highs * Fog prompts standoff in Aframax market * WTI MEH/Midland spread narrows despite production decline * Muted demand and heavy sea fog weaken Henry Hub * Cooler US Northeast weather pushes up power demand, prices View Full Transcript In this week’s Market Movers: soybean prices remain volatile on Brazilian rains, US Gulf Coast fog takes its toll on shipping markets, natural gas prices weaken amid mild weather, and the spread between WTI Magellan East Houston and WTI Midland continues to narrow. After a sharp rally following a bullish World Agriculture Supply and Demand Estimates report earlier in the month, soybean prices have fallen from multi-year highs amid favorable weather reports from Brazil. The front-month CBOT soybean futures contract plunged nearly 60 cents/bushel, or nearly 4.5%, on January 22. Despite a large volume of soybeans still to be harvested in Brazil, prices have seen limited pressure as Brazilian producers have already sold about 60% of the expected crop and are holding out for higher prices to resume sales. Looking at shipping markets, Aframax shipowners are hopeful the coming week will bring cargoes into the market. Shipowners showed strong resistance to fixing at last-done levels after fog delays slowed fixing and inquiry in the second half of the week ended January 22. Freight for the US Gulf Coast-UK Continent route rose 15% over the previous week. However, non-ice class Aframaxes in the North Sea may decide to ballast over to the US Gulf Coast in search of higher rates, adding supply to a delicately balanced market. The spread between West Texas Intermediate crude at the Magellan East Houston terminal and Midland, Texas, fell to its narrowest point since November 2016 last week, with continued narrowness expected through the beginning of 2021. WTI Magellan East Houston, a market with access to the heart of US Gulf Coast refiners, sank to 40 cents/b over WTI in Midland near Permian Basin production. The spread remained narrow through most of 2020 as refiners processed a glut of the crude while lease operators slashed production amid the coronavirus pandemic. Production is set to continue to decline through the first half of this year, but the completion of ExxonMobil’s Wink-to-Webster pipeline in H2 2021 may help keep the spread narrow as field takeaway capacity expands. Turning to the Southeast, the Henry Hub balance-of-the-month natural gas contract remains under pressure amid muted demand and rising temperatures in Texas and the Southeast. The contract was trading at $2.45 per MMBtu on January 22 after settles averaged $2.70 per MMBtu through January 21. Total demand in the region is expected to dwindle to about 36 Bcf/d over the next two weeks as milder winter temperatures continue, about 5 Bcf below the levels during the second week of January. Heavy sea fog in the Texas and Louisiana Gulf Coasts last week lowered total deliveries to LNG facilities. Feedgas deliveries are expected to remain depressed until the fog clears. While the Southeast warms up, colder weather is forecast to hit the Northeast this week, driving up power demand in ISO-New England territory, which could lead to power price increases during peak hours. Mass Hub on-peak day-ahead prices jumped $16.50 on January 22 to trade in the low $50s per megawatt-hour for January 25 delivery on the Intercontinental Exchange. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2021-01-25T17:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012521-davos-wef-biden-polymer-containers-power-ifa2-gas-storage-withdrawals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-25T12:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zy1RTDMdxhE5S1MnRSNFrb</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/012521-davos-wef-biden-polymer-containers-power-ifa2-gas-storage-withdrawals.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 25-29: World leaders come together online for the World Economic Forum</video:title><video:description><![CDATA[In this week's highlights: New US polices will be on the agenda during the online World Economic Forum, a global container shortage drives European polymers up, and the first new interconnector between the UK and France starts operating. US handover sets tone for Davos Agenda *Container shortage spurs multi-year polymer highs *New UK-France power link sparks up *European gas storage sites emptying fast More Market Movers: Asian oil markets await US signals View Full Transcript In this week's highlights: New US polices will be on the agenda during the online World Economic Forum, a global container shortage drives European polymers up, and the first new interconnector between the UK and France starts operating. But first, to the oil market, where industry participants are keeping a close eye on energy-related policy emanating from the new administration in the US, and particularly any international ramifications, such as changes to the policy on Iran and Russia, as well as on climate change. The change of administration will inevitably set the tone for the Davos World Economic Forum, taking place online starting Tuesday, with the speakers set to include German Chancellor Angela Merkel and French President Emmanuel Macron. Both their countries are keen to influence US policy on issues such as sanctions and the Nord Stream pipeline. And that takes us to our social media question for the week: What will the new US administration bring to the oil market? Tweet us your thoughts using the hashtag #PlattsMM. Also speaking, on Wednesday, is International Energy Agency Executive Director Fatih Birol, who has already voiced enthusiasm for the US again signing up to the Paris Agreement on climate change. We will also hear from the UK's Alok Sharma, president of this year's COP26 climate talks, who will be setting out his goals, in the face of the current pandemic, when he appears on a number of panel discussions this week. On Wednesday, some prominent CEOs such as Shell's Ben van Beurden, Trafigura's Jeremy Weir, and Occidental Petroleum's Vicki Hollub will be giving industry perspective. Moving further downstream, EMEA polymer markets look set to reach fresh multi-year highs this week amid expected bullish upstream contract price settlements, as markets continue to battle an ongoing global container shortage, with a heavy backlog of availability in the Far East. The shortage has contributed to substantial rises in polymer costs, with synthetic rubber exporters paying some 3-5 times normal freight rates to send material east, and European PP buyers unable to import any material from major suppliers in Asia. Increased demand for container freight looks set to extend beyond the first quarter, with some carriers sending empty containers to Asia on backhaul voyages in order to alleviate delays. In power, the first week of operation of the new IFA2 interconnector between the UK and France should help ease the UK's generation tightness, graphically illustrated in recent price spikes It's been a patchy winter for Europe's subsea cables, with three sizeable outages, and the UK is still having to do without power imports from the Netherlands on the BritNed line. With BritNed not due back until February 7, we will have to wait to see the full effect of the UK's expanded interconnected capacity with the Continent in play. And finally, in European gas, an important trend for the market to monitor is the rate of gas storage withdrawals. Storage sites have been emptying quickly in recent weeks, and are now just 58% full, as traders look to benefit from strong storage economics. With European gas prices now up around the Eur20/MWh mark, the incentive to take gas out is strong, resulting in significant rates of withdrawal. Traders will be keeping a close watch on storage site activity in the coming weeks, given that more late winter cold weather could hike gas demand again. For more on all of the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-01-25T12:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012521-asia-commodities-oil-markets-await-us-signals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-25T01:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=x3dvrxVFh3hG7FQufHULZr</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/pmm-fred-wang.png</video:thumbnail_loc><video:title>Platts Market Movers Asia Jan 25-29: Asian oil markets await US signals </video:title><video:description><![CDATA[Highlights: * Japan's 2021 crude oil imports seen falling 5-10% * US President Joe Biden’s next steps on Iran, Venezuela sanctions in focus * JKM closes below $9/MMbtu as LNG cargo shortage eases * China's domestic thermal coal prices set to ease as demand slows View Full Transcript This week: Oil markets await clarity on sanctions from the Biden administration, LNG prices cool down as temperatures improve in North Asia, and Chinese seaborne thermal coal demand expected to dip ahead of the Lunar New Year holidays. But first, a grim outlook on crude imports and pandemic-related developments in countries such as Japan and China will keep the market on tenterhooks this week. The Petroleum Association of Japan expects the country’s crude oil imports are likely to drop 5-10% this year. This highlights Japan's difficulty in increasing its crude oil imports without a meaningful recovery from the pandemic, which has slashed its domestic demand for transport fuels. In China, markets will be closely watching moves by Beijing as the country sees a resurgence in cases, which could also dampen demand for transport fuels. The Chinese government has called for citizens not to travel during the coming Lunar New Year holidays, when transport fuel demand generally picks up. Meanwhile, Asian oil markets will be closely watching for clearer signals from new US President Joe Biden’s next steps on Iran and Venezuela sanctions. Any sanctions relief could unleash crude volumes that would complicate OPEC's efforts to rebalance the market amid a still fragile global recovery from the pandemic. Sanctions relief is also expected to bring back competition in the Asian markets that have seen oil from Iran and Venezuela slowing to a trickle, while other suppliers like the US, Iraq and the UAE have increased sales to certain Asian markets. S&P Global Platts Analytics forecasts that Iranian crude supply could grow 500,000 b/d between June and December, assuming a new agreement is forged by late 2021, and that the Biden administration is not as stringent about policing sanctions enforcement as the Trump administration. So for our social media question this week: Will the Biden administration be more stringent in policing sanctions than the Trump administration? Share your thoughts on our various social media platforms with the hashtag PlattsMM. In Asian LNG, March delivery prices have fallen, with the JKM closing last week below $9/MMbtu as cargo shortages seen in February have eased, as you can see here. The outlook for winter temperatures in March has also improved. Indian LNG aggregators returned to the spot market, seeking February-March cargoes during the week of Jan. 23, attracted by the price correction for March delivery and to meet pent-up demand. The front-month West India Marker, the Platts LNG benchmark for spot cargoes into India and the Middle East, dropped from an all-time high of $23/MMBtu on Jan. 12 to $8.875/MMBtu on Jan. 22. Still on a warmer note, Chinese domestic thermal coal prices are expected to fall further as demand from the country’s utilities is slowing. However, rains and loading delays across Indonesia may cushion the decline in Indonesian seaborne prices. And finally in metals, squeezed steel margins may result in some pushback on imported iron ore prices this week, and steel prices may soften slightly as trading activity winds down ahead of the holidays. Thanks for kicking off your Monday with us. Stay safe and have a great week ahead!]]></video:description><video:publication_date>2021-01-25T01:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/011821-nord-stream-oil-energy-forum-iea-sustainability-week-french-nuclear</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-18T11:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kK8QCThTqLwH32nzgEN15B</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/011821-nord-stream-oil-energy-forum-iea-sustainability-week-french-nuclear.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 18-22: Nord Stream 2 works resume; the future of oil and energy in focus</video:title><video:description><![CDATA[In this week's highlights: Oil market attention is on the long-term outlook following Saudi Arabia’s move to unilaterally slash output; it’s Abu Dhabi sustainability week; Nord Stream 2 works resume; and the reliability of French nuclear generation remains in focus. Long-term recovery outlook in spotlight Abu Dhabi Sustainability Week Nord Stream 2 getting back to work French nuclear maintenance looms Also on Market Movers: LNG prices remain on spotlight; eyes on policies as Biden takes office Biden brings sharp change in energy policy, traders eye pre-inauguration protests View Full Transcript In this week's highlights: Oil market attention is on the long-term outlook following Saudi Arabia’s move to unilaterally slash output; it’s Abu Dhabi sustainability week; and the reliability of French nuclear generation remains in focus. But first, in oil, all eyes are on the pace of the pandemic recovery and the easing of OPEC+ production cuts, after Saudi Arabia’s decision to unilaterally cut 1 million b/d of output helped support prices at the start of the year. The International Energy Agency gives its assessment in its monthly oil market report on Tuesday and we’ll have comments the same day from a host of top officials at the Global Energy Forum organized by the Washington-based Atlantic Council. Speakers include IEA Executive Director Fatih Birol, OPEC Secretary General Mohammad Barkindo, the chairman of Libya’s National Oil Company Mustafa Sanalla, and the UK’s Secretary of State for Business, Energy and Industrial Strategy Kwasi Kwarteng, whose country hosts the United Nations’ COP26 conference in November. Getting underway the same day and addressing the long-term outlook for oil and energy is Abu Dhabi Sustainability Week. UAE Minister of Industry and Advanced Technology Sultan Ahmed Al Jaber is the top speaker, and likely to be discussing his country’s plans both to raise oil output, and attempts to mitigate climate change. In European gas, the market will be monitoring the expected restart of work to lay the Nord Stream 2 gas pipeline to Germany in Danish waters. Nord Stream 2 is crucial for Russia’s Gazprom to be able to scale back the use of Ukrainian gas transit and avoid the need to book expensive Ukrainian capacity on a short-term basis. As can be seen near the top of the graph, a little over 150 km of the pipeline remains to be laid in German and Danish waters, with the larger section required off the Danish island of Bornholm. The threat of US sanctions had led to work being halted in December 2019, and there is still concern that those involved in laying the Danish section could fall foul of sanctions. And that takes us to our social media question for the week: Will Nord Stream 2 be completed before the threat of further US sanctions derails the project again? Tweet us your thoughts using the hashtag #PlattsMM. The dependability of French nuclear generation remains in focus this week as European power markets grapple with raised winter demand. Some 11 French reactors are nearing the start of annual maintenance this month, with the risk of tighter margins if temperatures drop again. The forecast has turned milder, but sharp swings in wind production can still test system flexibility, particularly in the UK where nuclear availability is currently poor. Nuclear remains top of Europe’s generation mix, despite a massive drop in 2020 as seen on your screen. Progressive closures in Germany and Belgium this and next year will further undermine its status, accelerating the need for new flexibility. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-01-18T11:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/011821-washington-biden-change-energy-policy</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-18T03:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3Y42ZqQpGbPNv79NHJ5KmC</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/011821-washington-biden-change-energy-policy-newkumet.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Jan 18-22: Biden brings sharp change in energy policy, traders eye pre-inauguration protests</video:title><video:description><![CDATA[This week's Market Movers Americas, presented by Christopher Newkumet: * Oil traders eye pre-inauguration protests * USGC refinery margins seek demand recovery queues * Gulf Coast LNG netbacks from Platts JKM on autopilot * Clean freight hits 2021 high amid tonnage crunch * US automakers face disruptions on semiconductor shortage Related coverage: * US energy policy * 2020 US elections * Energy transition View Full Transcript In this week’s Market Movers: Crude prices weather the protests; Gulf Coast refinery margins are on the upswing; US LNG to Asia remains a market plum; freight rates are setting new records; and the metals market is wary of production disruptions. But first – All eyes will be on Washington this week, as President-Elect Joe Biden is set to take the oath of office, replacing Donald Trump in the White House. Sharp changes for energy policy and regulation are expected from the new leadership, but early progress on the Biden agenda could be slowed by the unsettled and ongoing impeachment process. Oil traders will be among those paying close attention to planned protests across the country leading up to the inauguration on Wednesday. Futures have remained above $50/b since the violent protests at the US Capitol on January 6, as traders seemed to focus on OPEC plus production cuts. A possible new wave of protests is seen as unlikely to impact oil prices, unless they escalate to the point of delaying Biden’s planned coronavirus pandemic relief package or distribution of COVID-19 vaccines. Pandemic risk continues to stalk the oil bulls. Initial US unemployment claims jumped to a five-month-high of 945,000 during the week-ended January 9, the Labor Department reported late last week. A weak labor market creates headwinds for demand recovery of refined products, especially gasoline. The US Gulf Coast is watching refinery margins and product stocks as they gear up for spring. Margins have steadily risen since October, led by key light-end product crack spreads. So far in January, Platts Analytics reported the five-day rolling average of margins at $7.68/b on Jan. 12, up $2.26/b from October. Conversely, refined product stocks were reported higher last week, with gasoline inventories up 4.4 million barrels and total distillate stocks up 4.79 million barrels the week ended Jan. 8. Should margins see a repeat of trends in the first few months in 2020, margins could surge around $2 to $4/b. But 2021 is unlike any other year, and margins hang in the balance of refiner discipline and the pace of coronavirus-related recovery. Meanwhile, the incentive to ship US LNG to Asia has never been stronger. The only complication involves persistent extended wait times at the Panama Canal that have forced offtakers from the Gulf Coast to chart a longer route around the Cape of Good Hope. Gulf Coast LNG netbacks from the Platts JKM benchmark recently hit an all-time high of $23.36/MMBtu, on the back of a record bull run of the spot price. The JKM for February was assessed at $26.99 on Jan. 15, almost 15 times higher than the benchmark's historic low recorded in April of last year. Platts assessed the first half of February at $33.49 and the second half of the month at $20.48. Turning to the clean tanker market, freight rates returned to levels not seen since the end of December, feeding on tightened tonnage in the US Gulf Coast late in the week ended January 15. However, upward momentum looks delicate as open ships were in position to refill the position list this past weekend. Freight for the Medium Range US Gulf Coast-Brazil route traded at $22.35/mt January 14, the highest level observed so far this year. Shipping sources anticipate that open tankers could arrive this week from East Coast Mexico, where bad weather delayed loads and discharges in PA HA RITOS and TUXPAN in the first 10 days of January. The US metals market this week will continue to the lookout for potential production disruptions among domestic automakers amid a global shortage of semiconductor microchips. Due to supply issues, Ford paused operations at its Louisville plant last week, with Honda North America telling Platts it expects production issues to persist over the next few weeks. At the same time, US hot-rolled coil prices hit an all-time high Jan. 13, breaking the previous mark set in 2008, to close at $1,089.75 per short ton, with buyers reporting more room for prices to rise. US HRC prices have increased a staggering 147.5% since early August as buyers depleted stocks to multiyear lows. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2021-01-18T03:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011821-lng-prices-biden-inauguration-china-gdp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-18T02:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=z4WeirZyZCcEkpnzm2ibL1</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/011821-lng-prices-biden-inauguration.jpg</video:thumbnail_loc><video:title>Market Movers Asia Jan 18-22: LNG prices remain on spotlight; eyes on policies as Biden takes office</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers Asia, with senior analyst Crystal Hao: * Factors keeping LNG prices high persist * Asia refiners hopeful for easing of US-Iran tensions with Biden at the helm * Metals market to take cue from China GDP data * Chinese power utilities restock ahead of Lunar New Year holidays View Full Transcript This week: Markets to take cues from China’s GDP figures, the cold winter in the northern hemisphere keeps pressure on energy prices, and eyes are on potential policy changes as the Biden administration takes the helm in the US. But first, LNG prices remain on the spotlight. Asian spot prices for February peaked at 32 dollars and 50 cents per MMBtu last week as the North Asia region continues to face fuel and energy shortages. The Platts JKM price assessment will roll into March this week. But there are indications of weakening sentiment for March delivery as buyers are getting more offers. Many of the factors that have kept prices high continue to persist, along with the threat of even colder weather in the US and Europe in coming weeks. This could see the Atlantic basin and Pacific basin compete for LNG cargoes at higher prices. Meanwhile, eyes will be on the inauguration of US President Joe Biden. Asian trading sources and refinery officials say US foreign policy won't change much under the new leadership. But the relationship between Washington and Tehran is expected to improve compared to the situation under the Trump administration. Asia’s refining and downstream petrochemical sector is hopeful that tensions between the US and Iran will ease and allow Iranian oil trades to partially resume within the next two years. South Korean end-users in particular are looking forward to procuring highly popular Iranian South Pars condensate again in the future. This graph shows South Korea’s crude and condensate imports from Iran. South Korea was the biggest customer of Iran’s ultra-light crude oil before the international sanctions on Iran prompted the country to completely halt oil purchases since May 2019. This leads us to our social media question this week: Will the new Biden administration help generate commodity demand? Share your thoughts on Twitter with the hashtag PlattsMM. Turning to metals, the market digests China’s macroeconomic announcements today. Q4 and therefore full year GDP is the headline number, of course. But weak growth for property and infrastructure investment in Q4 could further dampen sentiment and construction steel prices. Iron ore prices may start to ease from their recent elevated levels due to shrinking steel margins, as you can see on this chart. Also, raw materials restocking will start to slow ahead of the Lunar New Year holidays. Asian steel and aluminum companies will be seeking any signs from the incoming Biden administration that the Section 232 import tariffs may be phased out. Also, any economic stimulus measures could have a positive impact on exports of Asian manufactured products to the US. In thermal coal, seaborne traders will be hoping for some relaxation around importing Australian material into China. Rains in Kalimantan and Sumatra in Indonesia have slowed loading. Chinese power utilities are restocking ahead of the Lunar New Year, and miners have raised their offer prices due to the northern hemisphere winter. On that chilly note, thanks for kicking off your Monday with us. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Have a great week ahead!]]></video:description><video:publication_date>2021-01-18T02:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/011121-polar-vortex-us-power-gas-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-11T17:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UQi4y6uV2Dd7g7hpJU4Wdx</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/011121-polar-vortex-us-power-gas-prices-carvalho.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Jan 11-15: Polar vortex could drive up US power, gas prices</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Adriana Carvalho : * US braces for possible polar vortex * China looking into US, Canada met coal * Container box rate increases likely amid operational capacity crunch * US steel market sentiment bullish for January * Latin America steels see nonstop price rally View Full Transcript Hello and Happy New Year. In this week’s Market Movers Americas: Power and gas prices could rise in the US due to a forecast polar vortex; container box rate increases are likely amid an operational capacity crunch; and Latin American steel prices reach 10-year highs. Starting off with power and gas markets … Weather forecasts in the US are indicating potential polar vortex conditions for the third week of January, which brings Arctic air into the Midwest and Northeast. These conditions pose upside risk to Northeast gas and power prices for the balance of January and February, although futures reflect some market skepticism, according to S&P Global Platts Analytics. The upcoming major pattern change for many of the Central and Eastern states could also lead to a dramatic heating cost increase in the second half of January. Moving to mining & metals … China’s ban on Australian coal exports continues to support US metallurgical coal prices, with the value for Platts Low Vol Hard Coking Coal FOB US East Coast spiking 33% since December 1. Most of China’s coking coal imports come from Australia, so the ban benefits other producers like the US and Canada, which may see met coal prices at levels not seen since the summer of 2019. In the container market, box rates may see another uptick this week as capacity continues to lag demand. Consumer demand for containerized goods has not begun to taper off as many market participants had previously thought, and big-box retailers are scrambling to restore pre-pandemic inventories. As for now, Hapag-Lloyd has nominated a $1,200 per FEU increase effective January 15. Yet some carriers may hold off, due to scrutiny from regulators. Platts container rate 13 – North Asia to West Coast North America – rose $1,000 per FEU on January 4 and was assessed at $4,900 per FEU. Bullish sentiment is expected to persist in January in the US steel market, according to the latest monthly survey of the market by S&P Global Platts, with most participants expecting higher steel and raw material prices in the coming weeks, as well as increased production, but unchanged inventory levels on average. For the third month in a row, the raw materials index was the most bullish indicator at 91 points. In Latin America, finished steel prices are expected to continue climbing to record highs as local and global supply-demand imbalances continue. In Brazil and Mexico, both longs and flat steel prices have faced multiple hikes since the beginning of the month, as the restocking period coincides with a period of extended lead times. Brazilian steel export-oriented slab prices are marching toward $800 per metric ton, while the Mexican hot-rolled coil surpassed the $1,000 mark – both reaching the highest levels in 10 years. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2021-01-11T17:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/011121-winter-fundamentals-covid-uncertainties-platts-jkm-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-11T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JcrjUe8tLYS84mA9HpHrQp</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/011121-winter-fundamentals-covid-uncertainties-platts-jkm-lng-grains.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 11-15: Winter fundamentals battle with COVID uncertainties</video:title><video:description><![CDATA[In this week's highlights: Are oil prices getting ahead of the facts? How many UK generation shocks will the market absorb this winter? And how are European power traders responding to the cold temperatures in the region? *Demand question marks for recovering oil * Rising JKM Asian spot LNG price *Power nerves set to ease? *US grains report due View Full Transcript In this week's highlights: Are oil prices getting ahead of the facts? How many UK generation shocks will the market absorb this winter? And how are European gas traders responding to reduced LNG shipments? First, to oil prices. The crude market was buoyed by Saudi Arabia's surprise decision last week to voluntarily cut its output by a million barrels a day, even as some other OPEC+ nations start to ease output cuts. With front month futures prices reaching $55 a barrel in response, the question is whether these price rises are getting ahead of the fundamentals. After all, it's less than a month since oil was languishing below $50, and the signs on the demand side are not exactly encouraging, in the short term at least, as the coronavirus crisis deepens. Also taking stock this week is the Norwegian Petroleum Directorate, which provides its annual update on Thursday. Europe's largest oil-producing nation looks increasingly confident it can withstand the current crisis, even as it pledges conformity with long-term energy transition goals. In European gas, the remarkable rally in Platts JKM spot LNG prices in Asia will remain a key focus this week, with demand in the region expected to continue drawing cargoes away from Europe. The Platts JKM benchmark for Asian spot LNG has risen more than ten-fold since early May, as supply-side issues coincide with strong Asian demand and a tightening LNG shipping market. With gas demand high across Europe due to a cold snap, pipeline suppliers need to step up to fill any LNG gap. Traders will be keeping a close watch on weather forecasts, both in northeast Asia and Europe, to get a handle on likely demand evolution in the coming weeks. European power traders are also tracking temperature and wind forecasts closely after demand spiked last week to two-year highs, with nuclear powerhouse France switching to a net import position. Across the Channel, hourly prices in Great Britain hit one-thousand-pounds a megawatt-hour last week after the system operator once again warned of a possible generation shortfall. Milder and windier weather this week could ease that tension - but fuel and carbon prices remain high, and, as we've seen many times before, unscheduled outages can aggravate the situation. That takes us to our social media question for the week: Are current power price spikes a one-off case of cold winter wobbles, or are plant closures and growing renewables making volatility the new normal? Tweet us your thoughts using the hashtag #PlattsMM. European ethanol producers will be keeping a close eye on the US Department of Agriculture's World Agriculture Supply and Demand Estimates report, published on Tuesday, for changes in global grains balance sheets. Rallying grains prices due to unfavorable weather conditions and Chinese demand have turned ethanol crush margins negative. EU lockdown restrictions saw a 44% drop in T2 ethanol prices over Q4 2020. Lower run rates are expected if current margins persist on a more bullish US report, offering support for T2 ethanol FOB Rotterdam. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2021-01-11T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011121-coronavirus-asia-lng-price-record-high</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2021-01-11T04:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hAvHF2ptxVmatc4KEqYXhc</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/011121-coronavirus-asia-lng-price-record-high.jpg</video:thumbnail_loc><video:title>Market Movers Asia Jan 11-15: Energy prices spike in N Asia; new coronavirus outbreaks weigh on transportation fuels </video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers Asia, with Eric Yep, Asia Content Lead for Generation Fuels: * LNG spot prices spike on surge in heating fuel demand * Coronavirus -related restrictions dampen transport fuel demand * Japan power utilities face coal shortages * Corn , soybean futures rally Also on Platts Market Movers EMEA: Winter fundamentals battle with COVID uncertainties Americas: Polar vortex could drive up US power, gas prices Related content: Video: Five commodity themes for 2021 Topic: Commodities 2021 Insight Magazine: The New Energy Landscape View Full Transcript This week: Freezing temperatures in North Asia send power-generating fuel prices to record highs, and coronavirus infections trigger more restrictions across Asia, threatening transportation fuel demand. Spot LNG start the week on a high note after prices surged to an all-time high of 21 dollars 45 cents per MMBtu on January 8. This is the highest for Platts JKM, the LNG price benchmark, since it was launched in early 2009. The previous high for JKM was 20 dollars 20 cents in February 2014. Prices were lifted as temperatures dropped in Asia, boosting demand for heating fuel. Temperatures in Beijing dropped below minus 18 degrees Celsius last week -- the lowest in 20 years. Japan’s winter conditions remain below the 30-year average and South Korea has logged the lowest temperature in 35 years as a cold wave sweeps the country. So for our social media question: Do you expect LNG prices to hit another record high this week? Share your thoughts with hashtag PlattsMM. The cold weather has sent electricity prices in Japan to more than 100 Yen per kilowatt hour which is nearly 20 times more than December levels, as Japanese utilities ration power supply and burn through gas inventories. In China, trucked LNG prices surged to around $28/MMBtu in the northern region around Beijing, Tianjin and Hebei at the start of this year, nearly doubling in a single week due to a third cold snap and local supply disruptions. End-users in North Asia have been scouring the market for prompt cargoes but supply is tight due to the lack of shipping and supply issues in producers like Malaysia. Panama Canal restrictions have contributed to shipping rates for LNG hitting a multi-year high with prices in the Atlantic hitting $300,000/day at the end of last week. Power utilities in Japan and China have been fighting coal shortages. Tensions with Australia have shifted Chinese coal demand to Indonesia and Russia, eating into Japan’s supplies, but supplies in Russia, Indonesia and Australia have also become tight. Meanwhile, transportation fuel demand is expected to slow again due to outbreaks of COVID-19 throughout Asia. Japan last week announced a month-long state of emergency in Tokyo and three adjacent prefectures, and China is battling new infections in northern provinces. Southeast Asia’s largest economies -- Malaysia, Indonesia and Thailand – are also seeing cases rise amid concerns about the new UK strain. Analysts said weaker fuel demand expectations contributed to Saudi Arabia’s decision to make a unilateral production cut of 1 mb/d in February and March. Many forecasters have already begun dialing down oil demand expectations for the first quarter of 2021 due to the lockdowns and movement restrictions, and as vaccinations programs could take months to implement. Finally, in Asian agriculture markets the corn bulls are expecting a production cut in Argentina to be offset by an increase of US corn exports. Both corn and soybean futures have rallied at the start of 2021 and many are watching to see if funds will cash out or drive markets even higher to defend their largest long positions since the drought of 2012. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2021-01-11T04:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/122120-americas-outlook-commodities-2021-oil-climate-policy-gas-coal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-21T17:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GZLpRczFgD6zLpF3L8PXHL</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/122120-americas-outlook-commodities-2021-oil-climate-policy-gas-coal-oconnell.png</video:thumbnail_loc><video:title>Market Movers Americas: Oil production, climate policy to be key energy themes in 2021</video:title><video:description><![CDATA[In this week's Market Movers, we will be taking a look ahead to 2021 and some of the themes S&P Global Platts sees driving commodity markets in the Americas. * Oil fundamentals: Middle class to remain under pressure * Permian Basin: Lower production to continue in 2021 * Climate policy: Biden’s picks show focus on clean energy future * Natural gas: Production weakness to keep Henry Hub elevated * Coal: Prices to get a boost from natural gas market Related content: Video: Five commodity themes for 2021 Topic: Commodities 2021 Insight Magazine: The New Energy Landscape Also on Market Movers: Asia: China, India to lead post-COVID demand recovery in 2021 Europe: Oil demand recovery and sustainability goals to drive commodity markets in 2021 View Full Transcript In this week’s Market Movers, we’ll look ahead to 2021 and some of the themes S&P Global Platts sees driving commodity markets in the Americas. First off, oil fundamentals. 2021 demand is expected to rebound by over 6 million b/d, but consumption is forecast to remain more than 2 million b/d below 2019's 102 million b/d, according to S&P Global Platts Analytics. Why so? Well, the real engine of oil demand is the global middle class – and they continue to face pressure from dual headwinds of wealth inequality and the ongoing COVID-19 crisis, according to Chris Midgley, our Global Head of Analytics. Permian Basin crude production has declined this year, primarily due to lower demand caused by the pandemic. With investors shying away from fossil fuels, market watchers are now debating if the Permian has peaked or whether it’s just a temporary blip. The Permian produces about 4 million b/d, down from its 5 million b/d peak in April. Our analytics division sees the basin's production continuing to fall in 2021 and remaining lower until 2023, when the trend should reverse. By 2025, Permian output is projected to climb to around 6.5 million b/d. But how much are buyers willing to pay for the oil? President-elect Joe Biden’s energy team is already confirming his election promise to focus on climate impacts and be proactive in moving to a cleaner energy future. His picks, unveiled last week, to lead the Energy, Interior and Transportation departments, and the EPA have records promoting renewable energy development and emissions regulations. For a new climate czar post, he tapped former EPA Administrator Gina McCarthy, the architect behind the Obama-era Clean Power Plan and ambitious fuel efficiency standards. S&P Global Platts Analytics has estimated that Biden’s policy goals on electric vehicles could increase the number of light duty electric vehicles on the road by 10% while presenting a downside risk to refined product of less than 240,000 barrels of oil equivalent per day. Elevated price volatility and trade volume at the US benchmark Henry Hub this autumn will likely continue into 2021 as domestic production weakness keeps the market off balance. In December, daily changes in the Henry Hub settlement price – calculated in absolute value – are elevated compared to recent history. For a cash-market index that has seen minimal volatility in recent years, the trend during this fourth quarter has been notable. In September and October, when the uptick in market volatility began, daily changes in the Henry Hub cash settlement averaged 12 cents and 13 cents/MMBtu, respectively. In the 17 months prior to that, daily price changes at Henry Hub ranged from a monthly average low of 2.3 cents to a high of 6.1 cents. While price volatility has moderated a bit this month, it still ranks among the highest recorded levels since January 2018, when extreme cold weather and strong heating demand moved the Henry Hub daily price index an average of 41 cents each day. The US thermal coal market is expected to experience a modest recovery in 2021, driven by a rise in natural gas prices. The EIA projects a 20% jump in production year on year to 624 million st, along with a 23% increase in power burn, as Henry Hub is forecast to average $3.13/MMBtu throughout the year, $1 above the 2020 average. However, the long-term outlook for thermal coal remains grim as gas and renewables continue to increase their power generation share and ESG initiatives push for more coal-fired power plant retirements. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a safe festive period.]]></video:description><video:publication_date>2020-12-21T17:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/122120-emea-outlook-commodities-2021-oil-opec-carbon-plastics-esg-metal-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-21T10:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=U1FuMoKbEnyV2HoHDJtoct</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/122120-emea-outlook-commodities-2021-oil-opec-carbon-plastics-esg-metal-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe: Oil demand recovery and sustainability goals to drive commodity markets in 2021</video:title><video:description><![CDATA[In this week’s Market Movers, we will be taking a look ahead to 2021 and some of the themes S&P Global Platts sees driving commodity markets in Europe, the Middle East and Africa. * Oil fundamentals : Middle classes to remain under pressure * OPEC under pressure: Will the alliance with Russia last? * Net zero targets: Carbon markets and regulation in focus * Plastics cleans up: New taxes and ESG rules inbound * Metals eye recovery: Demand for steel in Europe tied to stimulus Related content: Video: Five commodity themes for 2021 Topic: Commodities 2021 Insight Magazine: The New Energy Landscape Also on Market Movers: Asia: China, India to lead post-COVID demand recovery in 2021 Americas: Oil production, climate policy to be key energy themes in 2021 View Full Transcript In this week's Market Movers, we will be taking a look ahead to 2021 and some of the themes S&P Global Platts sees driving commodity markets in Europe, the Middle East and Africa. First off, oil fundamentals. Demand will rebound by more than 6 million b/d in 2021, but consumption is still expected to be more than 2 million b/d below 2019's 101.9 million b/d, according to S&P Global Platts Analytics. The reason? The global middle class, the real engine of oil demand, faces continued pressures from wealth inequality and the ongoing COVID-19 cloud, according to Chris Midgley, Global Head of S&P Global Platts Analytics. 2021 offers no respite for OPEC+ producers, which were forced into historic output cuts by the spread of the pandemic. The new year will see the group of major oil producers hold a crucial meeting on Jan. 4. Acting as the world's collective swing producer, the alliance has typically set production levels for at least six months at a time. But members have followed a more active approach during the pandemic to respond to rapidly changing market conditions. Eyes will be on international policy makers in 2021, with postponed global talks around climate change due to finally take place in Glasgow in November. Before then, a new Democrat administration in the US led by President-elect Joe Biden is expected to immediately recommit the world's largest economy to the Paris Agreement signed in 2015 by almost 200 countries to control greenhouse gas emissions to limit global warming to 2 degrees Celsius by 2100. This comes as S&P Global Platts launches a new benchmark for carbon credit prices. The assessment, reflecting the CORSIA-eligible carbon credit market and to be called Platts CEC, will begin publishing on January 4. And that takes us to our social media question for the week: Could 2021 be a turning point for sustainability regulation in Europe and globally? Tweet us your thoughts using the hashtag #PlattsMM. The new year will see a plastics tax introduced in Europe, with each EU member state set to make contributions to the bloc's budget based on the amount of non-recycled plastic packaging used. It will be up to each member state to decide whether it comes out of a national budget, or if they impose a direct tax on companies within their own country. Market participants expect surging demand for recycled plastics in response, already in the fourth quarter of 2020, recycled high-density polyethylene pellet prices have risen 10% as sellers across Europe report a shortage of high-specification R-HDPE suitable for consumer packaging applications from the new year. Metals markets in Europe ended the year on a roll, as strong expected demand from infrastructure spending and stimulus supported the demand outlook. This optimism looks set to continue into 2021 as the region's governments rebuild their economies and target growth. Prices for steel, used mainly in the construction and automotive industries, jumped in recent weeks on market tightness, reaching multi-year highs mid-December. On the non-ferrous side, copper, often considered a barometer of economic health, reached a seven-year high, pushed up on demand for charging infrastructure for electric vehicles and parts for wind turbines in a "green" recovery. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. That's it for Market Movers Europe for 2020, thanks for tuning in with us this year, and we look forward to you joining us again in the new one.]]></video:description><video:publication_date>2020-12-21T10:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/122120-asia-outlook-commodities-2021-oil-lng-iron-ore-copper-grains</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-21T03:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vkVT2iLXZv6CbTeKWg6mtK</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/122120-asia-outlook-commodities-2021.jpeg</video:thumbnail_loc><video:title>Market Movers Asia: China, India to lead post-COVID demand recovery in 2021</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers Asia, with Mriganka Jaipuriyar , head of news: * China, India to lead post- COVID demand recovery * Qatar, US LNG suppliers to battle for Asian market * China's trade relations with the US and Australia to remain in the spotlight * Food security concerns likely to remain * Manufacturing will be a major driver of metals demand Related content: Video: Five commodity themes for 2021 Topic: Commodities 2021 Insight Magazine: The New Energy Landscape Also on Market Movers: Europe: Oil demand recovery and sustainability goals to drive commodity markets in 2021 Americas: Oil production, climate policy to be key energy themes in 2021 View Full Transcript It is with cautious optimism that we bid farewell to 2020 with the rollout of coronavirus vaccines altering the outlook for the global economy. S&P Global Ratings recently said that its forecasts have stabilized for the first time since the pandemic began and while considerable uncertainties remain, the risks to growth are more balanced. So what does this mean for commodities in the coming year? One thing is clear, Asia, more specifically China and India, will lead the post-COVID demand recovery in 2021. S&P Global Platts Analytics expects oil demand growth in China and India to be a little over 1 million b/d, accounting for 16% of total global oil demand growth next year. China had a good run with crude oil imports, lifting them by 9% in 2020 as rock bottom prices prompted strong buying in the year. But will this trend continue in 2021? On the one hand, China’s refining capacity continues to expand, but higher crude oil prices and high domestic inventory levels may cap import. Middle East crudes will remain in favor in with refiners in China, Japan and South Korea. The three countries put a brake on their import diversification efforts in 2020 and, as you can see on this chart, refiners there continue to see Middle Eastern grades as the most reliable and economical feedstock options in times of market uncertainty. This is good news for OPEC producers who have a tough balancing act to play next year. Like much of the energy sector, 2021 will be the year that the LNG industry returns to normalcy. Spot JKM prices, which recently hit multi-year highs of over $12/MMBtu, are likely to prompt emerging Asian buyers to reassess their procurement strategies, and trigger a fresh round of negotiations with producers. LNG supply projects, many of which failed to clear FID in 2020 due to the pandemic could finally see the light of day in 2021. New sources of LNG demand from small-scale LNG to LNG bunkering will continue to emerge. Big suppliers like Qatar and the US will intensify efforts to capture the Asian market. India and China will remain the cornerstone of Asia’s LNG demand growth, with key policy frameworks taking shape to build downstream markets. Countries like Vietnam, Philippines and Myanmar are expected to make some significant moves towards new regasification in 2021 and gas market liberalization over much of Asia Pacific will accelerate. On to the metals space, eyes are on iron ore after prices soared to seven-year highs in December on strong restocking, stoked by supply shortage fears and high Chinese steel prices. Manufacturing will be a major driver of metals demand and prices as the sector recovers globally from the pandemic. Even as China tightens its property markets potentially lowering metals demand for property construction. Platts expects China’s crude steel production to rise 2% on year in 2021 to around 1.07 billon mt. Meanwhile, China is not expected to reverse a ban on Australian coal and copper imports in the near-term, and that relationship could get worse before it gets better. As Australian iron ore accounts for more than 60% of China’s 1 billion mt of annual imports, the steelmaking raw material should be safe from any bans. But China can choose to buy thermal coal from Indonesia, Russia and others, while it has its own metallurgical coal supply. The growth spurt seen in Asian grain demand in the second half of 2020, led by China, is expected to maintain the momentum heading into 2021, but concerns over food security are likely to remain due to the pandemic-induced economic slowdown and unfavorable weather in some key producer regions. For example, grain supply curbs from major exporter Russia in the early part of 2021 are expected to add to market jitters. Markets will continue to keep an eye on China’s increasing appetite for grains on the back of growing feed demand and trade relations between China and the US and Australia will continue to be in the spotlight. And that's a wrap for Platts Market Movers Asia in 2020. Thanks for kicking off your Monday with us. Happy holidays and have a great year ahead!]]></video:description><video:publication_date>2020-12-21T03:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121620-martin-fraenkel-five-commodity-themes-2021-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-17T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mgM1kwr99UTNT9CQC3EWv2</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/platts-snapshot/121620-martin-fraenkel-five-commodity-themes-2021-outlook.jpg</video:thumbnail_loc><video:title>Five commodity themes for 2021</video:title><video:description><![CDATA[S&P Global Platts President Martin Fraenkel lays out his five themes to focus on in commodity markets in 2021 . This year has been unlike any other in recent history. The coronavirus pandemic has left the commodities industry reeling, disrupting supply chains and slashing demand. What impact will the pandemic have on the energy transition? What might the commodities industry look like in the future? Insight Blog: Five commodity themes for 2021 View Full Transcript This year has been unlike any other in recent history. The coronavirus pandemic has left the commodities industry reeling, disrupting supply chains and slashing demand. Performance has varied across the commodities sector, with some—such as metals and agriculture—experiencing effects that are likely to be short-lived when the economy begins to rebound. In others, the fallout of the pandemic could have more lasting implications, as the chaos of COVID-19 has exposed existing weaknesses or the need for structural change. The power and transport industries have been hit particularly hard at a time when the decline in hydrocarbon demand is looming on the horizon, resulting in a pivotal moment for policy makers, trade flows and energy companies the world over. While challenging, the current climate creates opportunities and two, intertwining developments—the ever-increasing focus on ESG and rapidly evolving technology—are key factors in driving change. During this period, I have been asked countless times "What impact will the pandemic have on the energy transition?" and "What might the commodities industry look like in the future?" The answers, of course, are not simple, particularly when one considers the implications of ESG, which we at S&P Global see across each of our divisions. But here is my view through five commodity themes to watch as we move into 2021. 1. The path of energy transition The coronavirus pandemic has not only altered near-term energy supply, demand, and prices, but also, to some extent, their long-term trajectories. There is debate as to whether coronavirus will accelerate the energy transition. S&P Global Platts Analytics believes that, while coronavirus has reduced long-term global oil demand by 2.5 million b/d, this is not enough to substantively bring forward the year of peak oil demand that we project for the late 2030s. In addition, while the pandemic is forecast to cut energy sector CO2 emissions by 27.5 gigatons over 2020-2050—equivalent to almost one full year of emissions—more than 10 times this reduction is needed to meet a scenario in which global warming is limited to 2 degrees through 2050. In short, for both long-term global oil demand and supply, the impact of coronavirus is a decided step down, but not a step change. Looking out to 2050, and as global demand for energy continues to grow, there will be an extensive focus on renewable/clean energy, but fossil fuels will continue to provide most of the energy supply. However, there is an expectation that green recovery plans, launched by national governments seeking to pivot toward decarbonization and sustainability as they emerge from the crisis, could change the state of play. 2. Reducing and valuing carbon Existing markets and technologies alone will not be enough to reach net-zero targets in the coming decades. Cross-sectoral pathways to climate neutrality will have to include energy efficiency, electrification, sustainable hydrogen, advanced biofuels and carbon capture. Under the Paris Agreement, more countries will have to adopt carbon targets, forcing out CO2-intensive processes and encouraging sustainability. This creates the need for a global carbon price to understand the broader picture. Unlike other technological leaps necessary for new markets to evolve, carbon pricing is a proven means of incentivizing lower-carbon solutions. While power generation has been the main arena for carbon pricing so far, looking ahead, we must consider that coal use will begin to shrink after 2021. Therefore, we need to identify whether transportation, industrial and agricultural processes could become the marginal generator of carbon reductions. Hydrogen could play a key role due to the abundance of supply sources and its wide-ranging applicability. The vast potential for global renewables can be harnessed via electrolysis to produce this zero-carbon energy carrier, for injection into gas grids, for fuel cells, and for applications from power generation to industrial and domestic heat. Establishing hydrogen supply lines will be critical in 2021, with projects testing different modes of transportation by vessel, truck or pipeline. For these markets to scale, we will need policy drivers from governments to bring down costs. Similar advances will be needed in carbon capture and storage technology used in the manufacturing of so-called "blue hydrogen", which unlike "green hydrogen" is produced from fossil fuels like natural gas. This makes up the bulk of existing supply and will likely provide a pathway for those early adopter companies. Europe is a leading proponent, with an ambitious hydrogen strategy, supporting projects and driving development of regulation as it seeks to establish 6 GW of electrolysis capacity by 2024. Meanwhile, the fourth phase of the EU emissions trading system will tighten the supply of allowances in 2021, supporting carbon prices and potentially narrowing the price gap between conventional and renewable hydrogen. 3. Commodities supercycle 2.0 Many of these clean energy technologies require substantial investments over the next few years. Central banks are setting ultra-low interest rates as an important part of monetary policy towards recovery. This may help those clean energy technologies to find their first investments, while we see that companies putting into practice ESG standards are compensated by their investors. The makings of the next commodity supercycle are perhaps falling into place in 2021 and beyond, but with many caveats, which makes this cycle somewhat different to those seen after previous price falls. Oil demand is relatively price inelastic and much more responsive to shifts in trend regarding income—and by extension—fiscal stimulus, tax incentives and other economic drivers. As such, the pace of economic recovery remains critical. The global economy has been recovering from its lowest point in April 2020, but it is not likely to reach 2019 levels before the third quarter of 2021. In addition, we forecast global GDP will contract by 3.8% this year, compared with a 0.1% contraction during the 2009 global financial crisis, creating further headwinds. There are some bullish undertones to watch out for, however, with a weaker US dollar and a possible coronavirus vaccine providing some support in the short term, while so-called green recovery funds unveiled by the EU (€225 billion dedicated to the energy transition over the next three years in July), the US (a $2 trillion energy transition plan under the Biden administration), and China (further details are expected in the 14th Five Year Plan in Q1 2021) provide some long-term buoyancy. Interestingly, the Chinese government has a new twist to its traditional five-year infrastructurebased stimulus package, with the focus on 5G, data centers, AI, the industrial internet and EV charging infrastructure. This will accelerate the construction of the data and communications networks needed to support smart manufacturing and smart cities, with internet-enabled transport and energy networks. This aims to shore up the economy, which S&P Global economists forecast has dipped 3.8% in 2020 and will grow by only 1.5% in 2021 compared with 2019. 4. Innovative disruption: 5G and AI Disruptive technologies will play an increasingly transformative role in the coming years, particularly in the context of the energy transition. As 5G, AI, big data, blockchain, smart metering and the Internet of Things become ubiquitous, they have huge potential to change how and when energy is generated, how trading occurs and how data is ingested and acted upon. This year S&P Global Platts partnered with Blocklab, the Port of Rotterdam's blockchain subsidiary, to launch Distro Energy . This is a high-frequency, decentralized energy market that uses AI and blockchain's distributed ledger technology to enable energy consumers in the port to manage their power consumption by trading renewable energy from solar and battery storage. In the two months after launch, consumers reduced their costs by 11%, while the renewable producers saw a 14% improvement in their revenues. While this is a small pilot scheme, it has exciting potential to be rolled out more extensively. Increasingly, we see demand for real-time data analysis to optimize production and reduce costs among industry participants. But in order to be truly transformative, these technologies need to function not only along individual energy value chains—from production through to distribution and consumption—but also across them, where the oil, gas, coal and electricity energy systems interface and interconnect. 5. The future of unilateralism Global lockdowns have provided a further accelerator for "deglobalization", as business and governments attempt to "reshore" global supply chains where possible, reducing dependencies on imports and exports, and focusing on domestic markets. Food security is expected to be a key theme for 2021 as a result, with exporters that have already curbed outgoing supplies in 2020 still looking to meet domestic demand and maintain internal price stability. Experts believe that, while there is no shortage of food and grain supplies, several factors have created unease among buyers. This was highlighted by stockpiling of grain reserves in 2020 by state buyers in China, the Middle East, Turkey, Southeast Asia and Africa: at times some were forced to sell imported grains at a loss in domestic markets to limit food price rises. The return of China as a major force in the global corn and soybean markets may add a further bullish factor to sentiment, as the restocking of the hog population affected by the 2018 swine flu outbreak could increase the country's corn import quota threefold from 2020's 7 million mt. Agencies such as the Food and Agriculture Organization of the United Nations have predicted that rising prices, coupled with economic turbulence, leave lowincome countries in a precarious position, further undermining food security.]]></video:description><video:publication_date>2020-12-17T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>07:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/121420-crude-moves-higher-caution-vaccine</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-14T17:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EKKJbWaSFqzTy5Y4fywbaF</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/121420-crude-moves-higher-caution-vaccine-alvarado.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Dec 14-18: Crude moves higher, but caution required amid vaccine hopes</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Sergio Alvarado: * Crude prices higher but caution is required * Crude structure strengthens amid vaccine hopes * Grain markets digest WASDE report * Aframax freight sees upside ahead of holidays View Full Transcript In this week’s Market Movers: Crude prices move higher but caution is required; Libyan output increase weighs on US crude exports; Aframax freight sees upside ahead of holidays; and the grains market digests the latest WASDE report. Starting with crude markets … Oil prices are trading at their highest values since the beginning of March and coronavirus vaccines are on the way. But that doesn’t mean all is right in the world. For the industry to be considered even remotely healthy, WTI prices need to rise above $50/b for an extended period, and we’re not there yet. Front-month Brent pricing keeps flirting with the $50/b psychological threshold, but more upward movement is needed. The OPEC+ group is keeping a floor on prices, but it remains an uneasy alliance. Crude oil demand should rise by the end of 2021, but that doesn’t mean we’ve returned to life as we knew it. We may still be wearing masks and avoiding crowded indoor spaces even after being vaccinated. The forward structure for crude oil has turned more bullish in recent weeks as longer-term demand outlooks have improved following the development of multiple COVID-19 vaccines. To date in December, year-ahead Brent and WTI futures have maintained a roughly 70 cents/b and 30 cents/b backwardation, respectively, compared with front-month contracts. This is significantly more bullish than in November, when the same spread was in contango by $1.66/b and $1.58/b. While Brent futures have gleaned support from the rollout of a COVID-19 vaccine in the UK, the threat of more lockdowns in the US has weighed on WTI. As a result, while Brent’s structure is now backwardated throughout the curve, the front end of the WTI curve remains in contango. South America corn premiums are expected to be well-supported this week due to concerns about dry weather, lower corn ending stocks in the US Department of Agriculture’s latest World Agricultural Supply and Demand Estimates report, and farmers already in holiday mode. Traders in the South America grains market were quiet last week, waiting for the release of the latest WASDE report. Sources said the report was neutral, although the USDA lowered its production estimates for Argentinian corn and lifted its estimate for Chinese corn imports. Aframax freight rates are expected to rise in the coming week, as charterers rush to book ships for outstanding cargoes ahead of the holidays. Freight expectations ticked higher toward the end of the week beginning December 7 after a slew of charterers seeking to cover cargos on December 9 and 10 turned the market tide bullish. The weeks following the Thanksgiving holiday, an ample position list and a holdout by charterers in the region from booking ships in the US Gulf Coast had brought rates back to near yearly lows from the end of November. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-12-14T17:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121420-opec-oil-reports-carbon-prices-container-brexit-germany-renewable-spain-metals-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-14T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XhEw4DspikUpHPHHequvHy</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/121420-opec-oil-reports-carbon-prices-container-brexit-germany-renewable-spain-metals-power.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 14-18: Energy legislation announcements expected; Brexit stockpiling hits container rates</video:title><video:description><![CDATA[In this week's highlights: Container shipping rates are set to hit record highs; and details of new energy legislation are to be revealed in Germany and Spain. *Key meeting, data for oil market *Can carbon prices maintain their momentum? *Container rates grow in line with UK port delays *Germany expands renewable ambitions *Spanish energy scheme to benefit metals, steel producers View Full Transcript In this week's highlights: Container shipping rates are set to hit record highs; and details of new energy legislation are to be revealed in Germany and Spain. But first, the oil market will be closely monitoring key meetings and data releases this week. On Wednesday the Joint Ministerial Monitoring Committee that advises OPEC+ on production policy will meet. On Saturday there will be a meeting of the key players in the OPEC+ producer alliance when Russian energy minister Alexander Novak heads to Riyadh to consult with his Saudi counterpart, Prince Abdulaziz bin Salman. OPEC and the International Energy Agency will release their widely watched monthly oil market reports on Monday and Tuesday. Just as OPEC+ will be closely eying prices, the EU carbon market will be looking to see if prices can continue their momentum after hitting an all-time high of over Eur31.00/mt on December 11, as you can see in this chart. This week marks the end of daily carbon auctions for 2020, with no more supply coming into the market until late January or early February. Other bullish factors include the EU agreeing a stricter 2030 target to cut greenhouse gas emissions by 55% below 1990 levels. Record high prices will also be on the container freight market's mind. General Rate Increases, due to come in on Tuesday are set to push rates to a record high of around $7,500 per forty-foot container from Asia to the UK, a three-and-a-half-fold increase on the month. This comes ahead of the UK's exit from the EU customs union, with importers stockpiling on fears of increased delays at ports, coupled with seasonal pre-Christmas demand. Across the North Sea, a reform to Germany's green energy law is set to be approved on Friday. Germany's response to a higher EU carbon-reduction target is to legislate for a 65% share for renewables in the power mix target by 2030. As you can see from the chart, German renewables growth is ahead of target, with 50% in the 2020 mix. However, from 2021 first-generation wind and solar assets will begin to exit subsidy periods, and wind growth in recent years has been greatly reduced. However, solar additions are growing at their fastest rate since 2013. And that takes us to our social media question for the week: Is Germany going far enough to reach its ambitious climate targets? Tweet us your thoughts using the hashtag #PlattsMM. And finally, Spain's Industry Ministry is expected to announce details of a new mechanism for large energy consumers to be approved by the government by year-end. This will allow users in the steel and metals sectors to mitigate rising energy costs. Spanish metal groups, led by aluminum producer Alcoa, Spain's largest single electricity consumer, have lost access to subsidized energy prices since a previous mechanism ended in June. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-12-14T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121420-oil-prices-eia-forecast-opec</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-14T04:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zZDx8haZz9vcGpb1QawW6D</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/121420-oil-prices-eia-forecast-opec.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 14-18: All eyes on oil prices after crude touches 9-month highs</video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers Asia with Shikha Singh : all eyes are on benchmark crude oil prices this week, after front-month ICE Brent futures rose to almost $50/b last week for the first time since early March, while Asian refiners as they look to conclude term contract negotiations for 2021 crude supply with major Middle Eastern producers. Also on this week's episode: * Seaborne thermal coal demand remains firm * Panamax rates firm on China coal demand * Iron ore prices surge on demand from China * Methanol supply tightens in Asia View Full Transcript This week: Crude oil prices touch 9-month highs, iron ore prices surge for delivery to China, and Asia’s methanol supply tightens further But first, all eyes are on benchmark crude oil prices this week, after front-month ICE Brent futures rose to almost $50 per barrel last week for the first time since early March. This comes as advances in vaccines increase hopes of containing the pandemic. The US Energy Information Administration has also revised up its forecast for crude prices by almost $2 per barrel. It now expects Brent prices to average $48.50 per barrel in 2021, up $1.91 from its November forecast. The EIA cited the OPEC+ decision to lift production by just 500,000 barrels per day in January, instead of by 1.9 million barrels per day as earlier scheduled, as the reason. However, refinery sources in Asia said the price uptrend may not be sustainable, as demand for transportation fuels remains weak. It’s going to be a busy week for Asian refiners as they look to conclude term contract negotiations for 2021 crude supply with major Middle Eastern producers. China's Norinco Huajin refinery recently secured up to 16 million barrels of Basrah crude from Iraq for 2021, in line with its contract for 2020. Asian suppliers are also seeking to boost fuel exports to South Africa, as around half of its crude refining capacity is expected to remain shut until at least early next year. In the latest development, the country’s second-largest refinery was shut after a fire on December 4. With Northeast Asian refiners grappling with tepid transportation fuel demand due to the pandemic, the demand from South Africa offers a great opportunity. South Korea has already stepped up fuel sales to South Africa this year, sending 823,000 barrels of oil products to date, up almost tenfold from 2019. In coal, China’s domestic prices could edge higher this week as supply falls short of demand, while high-ash Australian coal prices are expected to remain firm amid steady demand from India. Indonesian mid- to high-CV thermal coal demand remains strong amid a flurry of purchases from China, coupled with pockets of supply tightness in Kalimantan amid the rainy season. The dry bulk market is also awaiting news of China’s coal import quotas for the new year, after the quota for December was raised to 35 million mt from 20 million mt. Charter rates in the Pacific are unusually high for this time of year, supported by China’s strong appetite for Indonesian coal since Australian coal imports were rejected in November. In metals, active restocking by Chinese steel mills, and fears of supply shortages, have propelled prices of iron ore delivered to China by 34% since the start of November. It’s the most rapid price rise seen for many years. Domestic Chinese steel margins remain very healthy, suggesting there is further room for seaborne iron ore prices to rise. This brings us to our social media question for the week. Will iron ore prices delivered to China reach $170/mt? Share your thoughts on Twitter with the hashtag PlattsMM. And finally, in petrochemicals, methanol supply in Asia, especially China, is expected to tighten further this week as several plants in the Middle East shut for long turnarounds in December and January. Zagros, Kaveh, Marjan and Sipchem all have maintenance planned in the next six weeks. This has pushed methanol prices in Asia to a year-to-date high of $272/mt CFR China on December 10, and further price rises are likely. Thank you for starting your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-12-14T04:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/120720-opec-extension-bullish-crude</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-07T17:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ph8Y79N3qZxJaPemkAReqn</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/120720-opec-extension-bullish-crude-mcgurty.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Dec 7-11: OPEC+ quota extension bullish for crude</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Janet McGurty: * Crude prices reach six-month highs after OPEC+ agreement * World refinery downtime remains historically high * Post-Thanksgiving freight bends under tonnage weight * US steel market expects price climb to continue as HRC soars * Asian price surge aids US LNG export momentum as 2021 nears View Full Transcript In this week’s Market Movers: US Gulf Coast sour crude flows may soon see rebalancing; pre-Thanksgiving short-covering boosts Aframax freight rates; a supply shortage of US steel leaves buyers scrambling; and US biofuels markets expect further delays before 2021 blending mandates are released. But first and foremost, the worsening coronavirus pandemic and any progress on the economic stimulus front captivates market attention. Starting off … Market watchers this week will continue to pay close attention to the rise in coronavirus cases, and any progress on the economic stimulus front. While crude has been given a lift by recent advances on the vaccine front, upside resistance remains at around $42 a barrel for NYMEX crude and $45 a barrel for ICE Brent. Positive vaccine test results will continue to provide support for crude, but the delayed timing of a widespread vaccine release remains baked into the market. Turning to the tanker markets … Since the US Thanksgiving holiday has charterers working hard to cover outstanding cargoes, freight market watchers expect mid-size tanker freight to trend higher this week. This will lend a further boost to historically low rates. As the graph shows, Aframax freight has spiked as regional position lists have thinned on the back of the fixing spree. On November 20 Platts assessed freight for the benchmark 70,000 mt US Gulf Coast-UK Continent route at Worldscale 62.5, or $12.74/mt, up 39% from November 6. Rates for long-haul voyages on Suezmax and VLCC tankers are poised to remain rangebound. The current pandemic destocking cycle leaves global tonnage long for these larger tankers, while fixing for end-December and early-January laycans has already occurred. Meanwhile, in the US Gulf Coast crude market … Sour crude flows may soon see rebalancing after Genesis Energy announced on November 18 a plan to reopen the Cameron Highway Oil Pipeline System. The pipeline was closed in late August, and sour Southern Green Canyon barrels were diverted from Texas delivery points to Southern Louisiana. The region typically sees ex-pipe deliveries of Mars crude and other Gulf of Mexico-produced medium sour grades. Updates on the pipeline system have contributed to a gradual decline in front-month differentials. The line graph on the screen shows that the front-month Mars to cash WTI differential reached a low of minus 5 cents/b on October 20, but has since rebounded with December Mars trades. Looking at biofuel blending mandates …. US biofuels markets expect further delays before the Environmental Protection Agency releases 2021 biofuel blending mandates, keeping traders uncertain about fundamentals for renewable identification numbers. EPA administrator Andrew Wheeler said in mid-November that the agency would miss a November 30 deadline to release mandates and did not give a firm timeline for an announcement. Finally, in the US steel coil markets …. A supply shortage of US steel has left buyers scrambling and caused prices to skyrocket. The daily S&P Global Platts US hot-rolled coil price is up nearly 70% in just over three months, with lead times at flat-rolled mills reaching historic levels. There is no relief on the immediate horizon, as buyers face limited options into the first quarter of 2021. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-12-07T17:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/120720-opec-quota-oil-nord-stream-gas-nordlink-energy-rhine-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-07T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nWwiRGb2jjEbQZdRFQ6TPB</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/120720-opec-quota-oil-nord-stream-gas-nordlink-energy-rhine-petrochemicals.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 7-11: Nord Stream 2 works resume amid sanction worries, as new power interconnectors come online</video:title><video:description><![CDATA[In this week's highlights: OPEC+ cuts January production ahead of online event; work resumes on the controversial Nord Stream 2 gas pipeline; a power interconnector between Norway and Germany is due to start full operation; and low Rhine water levels complicate petrochemicals logistics. **Reactions eyed to OPEC+ quota easing **Work restarts on Nord Stream 2 pipeline **NordLink subsea cable enters operation **Logistics challenge European petrochemical markets View Full Transcript In this week's highlights: Work resumes on the controversial Nord Stream 2 gas pipeline; a power interconnector between Norway and Germany is due to start full operation; and low Rhine water levels complicate petrochemicals logistics. But first, the oil market will be monitoring the fallout from the OPEC+ group's decision to ease production cuts by 500,000 barrels a day in January, with further revisions on a month-by-month basis. Further reactions and insight into the hoped-for recovery may emerge on Tuesday from an FT Global Energy Outlook online event. OPEC Secretary General Mohammad Barkindo is due to speak at the forum. He will be joined by International Energy Agency chief economist Laszlo Varro and Goldman Sachs' global head of commodity research, Jeffrey Currie. The S&P Global Platts survey out this week will also offer an insight into OPEC+ production in November. And talking of fallout, the European gas market will be watching the resumption of work on the controversial Gazprom-led Nord Stream 2 gas pipeline after the threat of US sanctions led to it being halted last December. As you can see from the map, Nord Stream runs across the Baltic from Russia directly to Germany, avoiding neighboring countries. Nord Stream 2 is crucial for Gazprom to be able to reduce gas transit via Ukraine from 2021. A small section is expected to be laid in shallow waters off Germany during December. A little over 150 kilometers of the line remain to be laid, with the larger section required off the Danish island of Bornholm. It remains to be seen whether that section can be completed without triggering sanctions. And that takes us to our social media question of the week: How can Nord Stream 2 navigate US sanctions and pipelaying? Tweet us your thoughts using the hashtag #PlattsMM. Another energy export route to Germany will be in focus on Wednesday when the 1.4-gigawatt NordLink electricity interconnector from Norway is due to start full operation. Elsewhere the 1-gigawatt IFA 2 interconnector between France and Great Britain is in final testing. Like NordLink, it will offer much-needed flexibility. French nuclear availability has risen, but demand in France is forecast to peak at a season high this week, likely requiring imports. And finally, moving material around is also proving difficult for the benzene, toluene, styrene and olefins markets. Low water levels on the Rhine have made the problem worse. Olefins market sources said gas barges are underloading by 25%, with liquid barges underloading by over 50% on the upper reaches of the river, causing minor delays. With generally stable weather forecast, water levels are not expected to change much early into next week. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-12-07T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/120720-iraq-basrah-crude-launch</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-12-07T03:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bh9rgZ45FGga9AcxQ6Ykmc</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/120720-iraq-basrah-crude-launch.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 7-11: Refiners set to benefit from new Iraqi crude</video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers Asia: refiners will be paying pay close attention to Iraq’s monthly official selling price announcement this week as the State Oil Marketing Organization is set to launch a new Basra Medium crude for sale in 2021, while clean tankers expect freight rates to rise amid strong demand. Also on this week's episode: * Coal prices eye support from China * Asia buyers expect reduced US and South American corn stocks View Full Transcript This week: The launch of a new Middle Eastern crude grade set to benefit Asian refiners, clean tanker freight rates to test 6-month highs, and coal prices eye support from China. But first, in oil, Asian refiners will be paying pay close attention to Iraq’s monthly official selling price announcement this week as the State Oil Marketing Organization is set to launch a new Basrah Medium crude for sale in 2021. For Asian customers, SOMO last set Basrah Light for loading in December at a premium of 45 cents per barrel to the Oman/Dubai average and Basrah Heavy at a discount of 95 cents per barrel to the same average. For cargoes to load in January, SOMO is expected to price the new Basrah Medium crude at around 40-50 cents per barrel below Basrah Light, and it should be cheaper than Abu Dhabi's Upper Zakum and Saudi Arabia's Arab Light and Medium, according to feedstock managers at Asian refineries surveyed by S&P Global Platts. Asian refiners are poised to benefit from the sale of the new Iraqi crude in 2021 as the medium-heavy sour grade would enable them to align their Middle Eastern feedstock procurement options with their refinery models to help with costs. Given the current ample supply and weak refining margins, competitive pricing would be a driving factor when refiners source crude feedstocks, and a new crude typically needs to be priced at a discount to attract buyers, according to Platts Analytics. This brings us to our social media question this week: Do you think Asian refiners will benefit from the launch of the Basrah Medium grade? Share your thoughts with the hashtag PlattsMM In the clean tankers market, rates on some key East Asia routes are expected to hit more than 6-month highs this week on strong demand from Australia, where the Kwinana refinery is being shut down. Australia is increasingly purchasing from China, Japan and the Middle East, in addition to its traditional sources such as Singapore and South Korea, as its import demand shoots up. This comes at a time when China is producing an estimated one million barrels per day of surplus refined products, and its exports are providing much-needed support to clean tanker freight rates. Medium Range rates are expected to rise for voyages from North and Southeast Asia this week as China looks for destinations for its surplus. Rates on the key South Korea-Singapore route are at their highest since May and are expected to rise further in the next few days. In related news, surging container freight costs are spurring significant price gains in aluminum and aluminum alloy markets in December. Container freight costs typically do not feature strongly in price discussions for either product, but the recent bullishness in container freight demand, and the challenges in finding both empty containers and space on ships, has pushed it to the fore. The Platts Container Index was assessed at almost 2,757 dollars per forty foot equivalent unit on December. 2, the highest since the index was launched in mid-2017. Meanwhile, China’s domestic coal prices are also expected to rise this week on supply shortages heading into winter. High-ash Australian coal prices are also expected to be supported by demand from India amid a high price environment for high-CV seaborne coal. Indonesian mid-high cv coal prices are expected to remain resilient after a flurry of procurements from China and pockets of supply tightness in Kalimantan as heavy rain slows down production. India’s interest in imported coal is set to dip as seaborne FOB prices rise, while lifting from Indian port stockpiles is expected to continue. And finally, in agriculture, Asian market participants have told a Platts survey they are expecting a reduction in US and South American ending stocks for corn when the USDA releases its World Agricultural Supply and Demand estimates report on December 10, due to poor weather caused by La Nina. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-12-07T03:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/113020-opec-crude-output-decision-arcelormittal-ilva-ifa2-gas-recycled-plastics-hdpe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-30T12:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3WzN7ocWkz74oLfjLbpfLe</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/113020-opec-crude-output-decision-arcelormittal-ilva-ifa2-gas-recycled-plastics-hdpe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 30-Dec 4: OPEC+ to make crucial decision, as European steel expects Italian announcement</video:title><video:description><![CDATA[The highlights this week on S&P Global Platts Market Movers EMEA: **OPEC+ in the driving seat with crucial output decision ** ArcelorMittal Italia’s looming public-private stake **Second UK-France subsea cable in testing **European gas storage withdrawals pick up **Recycled plastics new tax boosts demand View Full Transcript In this week’s highlights: The steel market keeps a close eye on ArcelorMittal Italia’s imminent public-private partnership; a new subsea French-UK power cable could alleviate the pressure during winter tightness; gas traders monitor storage withdrawals due to the colder weather; and plastic markets scramble as the new EU Plastic Tax fast approaches. In oil, this week is all about the OPEC+ meeting taking place Monday and Tuesday, again in a virtual format. Crude markets have joined in the worldwide financial rally in recent weeks, on the assumption that new vaccines mean the worst could be over with regard to COVID-19, and OPEC+ countries, led by Saudi Arabia and Russia, would probably extend their production cuts, amounting to nearly 8 million bd, or roughly 8% of pre-pandemic demand, into 2021. All that is looking a little less certain, however, as objections to the cut extension have started to emerge, not just from perennial skeptics such as Iraq, but even from the UAE, arguably Saudi Arabia’s closest ally within OPEC. As ever, some of the objections may be discounted as posturing, but there are clearly worries about a potential lack of agreement and flood of extra production, exacerbated by Libya’s remarkable comeback in recent weeks. A little closer to home, here in Europe, we should also get a view on the longer-term prospects for North Sea oil when Oil & Gas UK releases an economic report on how well, or badly, the industry has weathered this year’s COVID-19 price collapse. North Sea oil output levels have been remarkably resilient so far, but that’s by no means certain to continue as investment levels fall. The steel market is expecting imminent news on the size of the stake the Italian government will take in ArcelorMittal Italia, which operates the troubled Taranto steelworks in the south of the country, formerly owned by Ilva. Prime Minister Giuseppe Conte last week confirmed a public-private partnership is to be set up via the Invitalia agency to revitalize and decarbonize the steelworks, Italy’s largest, with the aim of boosting its output to 8 million metric tons per year of crude steel. ArcelorMittal agreed to buy Ilva in 2018 under a lease-and-purchase agreement for Eur1.8 bil and to invest another Eur2.4 billion to clean up and modernize the plant. A year ago, the major steelmaker announced plans to pull out but has apparently been persuaded to stay by the government. And that takes us to our social media question for the week: Will the Italian government’s participation help solve the steelworks’ environmental issues? Tweet us your thoughts using the hashtag #PlattsMM. In power markets, a new subsea power cable linking the UK and French markets has just begun to provide some welcome flexibility between two markets prone to periods of winter tightness. As you can see from the chart, the French month-ahead contract has remained below its UK counterpart since October. The 1 GW IFA 2 link is now in testing and should enter full commercial operation within a few weeks. High pressure over northwest Europe in late November has seen much reduced wind generation, with the UK importing heavily on existing links to France, Belgium and the Netherlands. Twinned with commissioning of IFA 2, an improved French nuclear situation is set to ease UK system operator National Grid’s generation adequacy headaches. In European gas, traders will be closely monitoring the level of storage withdrawals, which have picked up strongly due to the first real cold weather of the winter. Withdrawals across the EU reached more than 375 million cu m/day last week on strong demand, the highest withdrawal level since February. Despite the strong draw-down on stocks, European storage levels remain healthy, having been built to almost capacity ahead of the winter. According to data from Gas Infrastructure Europe, storage sites in the EU are currently still 90% full. And finally, buyers in the recycled high-density polyethylene market will continue to scramble to secure material this week as the January 1 deadline for the new EU Plastic Tax fast approaches. Sellers are expecting a surge of activity in December, which is usually a quiet time in the market, as buyers seek to lock in volumes ahead of the Eur800 mt tax that will be levied on non-recycled plastic packaging. Already in the fourth quarter of 2020, recycled HDPE premiums to virgin HDPE have doubled to 100 mt. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have great week ahead!]]></video:description><video:publication_date>2020-11-30T12:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/113020-opec-meeting-asia-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-30T04:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8G4d3aH7k12SCCKumteyhh</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/113020-opec-meeting-asia-demand.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 30-Dec 4: Markets await OPEC+ decision over oil production cut extension </video:title><video:description><![CDATA[The highlights this week on S&P Global Platts Market Movers Asia with Senior Oil Analyst Oceana Zhou: ** Asia, home to the world's largest crude buyers, awaits OPEC+ decision on production cuts ** Beijing to start allocating 2021 quotas ** Australian coal imports unable to land at Chinese ports as geopolitical tension between the two countries persists ** Metals market participants focus on China's November manufacturing data ** Colder winter seen supporting LNG purchases, but COVID-19 resurgence in Japan could dampen demand ** Toluene 2021 term negotiations underway ** Clean tankers eye fresh highs in freight rates View Full Transcript All eyes on OPEC+ meeting as markets await group's decision over oil production cut extension This week: Uncertainties surround LNG winter demand, metals players to take cue from China’s manufacturing data, and toluene term talks for 2021 underway. But first -- Asia, home to the world’s largest crude buyers, will focus on the OPEC+ ministerial meeting on Dec. 1, where discussion will focus on the current market conditions and the group’s coordinated action in 2021. Decision made at this meeting will give direction to crude prices. Brent crude prices have pushed near $50/b in recent days - the highest levels since March. In mid-November, an advisory panel of delegates recommended delaying the group’s supply increase for up to six months, given the strong consensus view that surging COVID-19 cases in many western countries and the revival of Libya’s crude production will pressure oil prices through early next year. At the same time, vaccines in development have demonstrated strong preliminary testing results. This is buoying hopes for an oil demand-boosting end to the pandemic if the injections become widely available in 2021. So, here’s our social media poll question for the week. Will the OPEC+ extend the output cut in the first half of 2021? Share your thoughts on social media with the hashtag PlattsMM. Still in oil, Beijing is expected to soon release the first batch of 2021 oil import and export quotas. The crude import quota allocation will give an indication of China's crude appetite in the first few months of next year. The Ministry of Commerce has lifted the import quota limit volume by 20% to 243 million mt for 2021 from this year, setting an upward tone. But questions surround export quota trends for gasoline, gasoil and jet fuel, as over 10 million metric tons of allocations are unlikely to be used this year due to lower global demand. Now, a decent report on China's November manufacturing data could spur sentiment and provide more buying confidence in the metals and raw materials space. Seaborne iron ore prices have been getting back to around 130 dollars per metric ton CFR China. Restocking and some supply tightness could further support prices this week. Tensions between China and Australia around coal imports has heightened, leaving millions of tons of Australian coal are sitting on boats off Chinese ports unable to land. Australian thermal coal, on the other hand, could see strong demand from India and Japan amid supply woes from other high-CV coal origins such as Russia and Colombia. In Indonesia, Kalimantan thermal coal prices could maintain its upbeat momentum on the back of a slew of Chinese seaborne procurements with additional import quotas released for the remainder of 2020. In LNG, winter demand is in focus after spot prices jumped last week due to supply disruptions. South Korea's LNG demand and imports could get a boost from Seoul's announcement to close of 9 to 16 coal-fired power plants in the country from Dec. 1 to Feb. 28 to reduce pollution during the winter period. South Korea and Japan expect below-average to average temperatures this winter. Cooler weather traditionally supports LNG consumption but pandemic resurgence in both countries could dampen demand. In petrochemicals, toluene producers in the Far East vie to ink higher premiums next year. This is mostly a reaction to Taiwan’s CPC sealing a premium levels in the 20s per metric ton versus Platts FOB Korea toluene assessment for 2021 term supply. BUT traders were reluctant, and this resulted in a stalemate on the term talks. The FOB Korea toluene physical price rebounded to 446 dollars per metric ton on Nov 26, posting the strongest level in eight months. And finally in shipping, rates on some East Asia routes are expected to hit fresh one-month high as China is estimated to send one million b/d of refined products to overseas. At a time when refineries across East Asia are cutting output due to poor margins and sourcing the required products from elsewhere, this implies that those Chinese barrels may find their way to Singapore, Japan and South Korea and support clean tankers freight. Thanks for kicking off your Monday with us. Stay safe and have a great week ahead!]]></video:description><video:publication_date>2020-11-30T04:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>06:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/112320-markets-coronavirus-stimulus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-23T15:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HeVak7sdhKLWw1DpQo8YNZ</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/112320-markets-coronavirus-stimulus-troner.png</video:thumbnail_loc><video:title>Market Movers Americas, Nov 23-27: Markets watch coronavirus surge, progress on stimulus</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Barbara Troner: * All eyes on coronavirus rise, status of stimulus talks * Dirty tanker fixing flurry ahead of Thanksgiving holiday * USGC sour market awaits CHOPS reopening * Policy uncertainty leaves RINs traders restless * US steel coil availability tightens further View Full Transcript In this week’s Market Movers: US Gulf Coast sour crude flows may soon see rebalancing; pre-Thanksgiving short-covering boosts Aframax freight rates; a supply shortage of US steel leaves buyers scrambling; and US biofuels markets expect further delays before 2021 blending mandates are released. But first and foremost, the worsening coronavirus pandemic and any progress on the economic stimulus front captivates market attention. Starting off … Market watchers this week will continue to pay close attention to the rise in coronavirus cases, and any progress on the economic stimulus front. While crude has been given a lift by recent advances on the vaccine front, upside resistance remains at around $42 a barrel for NYMEX crude and $45 a barrel for ICE Brent. Positive vaccine test results will continue to provide support for crude, but the delayed timing of a widespread vaccine release remains baked into the market. Turning to the tanker markets … Since the US Thanksgiving holiday has charterers working hard to cover outstanding cargoes, freight market watchers expect mid-size tanker freight to trend higher this week. This will lend a further boost to historically low rates. As the graph shows, Aframax freight has spiked as regional position lists have thinned on the back of the fixing spree. On November 20 Platts assessed freight for the benchmark 70,000 mt US Gulf Coast-UK Continent route at Worldscale 62.5, or $12.74/mt, up 39% from November 6. Rates for long-haul voyages on Suezmax and VLCC tankers are poised to remain rangebound. The current pandemic destocking cycle leaves global tonnage long for these larger tankers, while fixing for end-December and early-January laycans has already occurred. Meanwhile, in the US Gulf Coast crude market … Sour crude flows may soon see rebalancing after Genesis Energy announced on November 18 a plan to reopen the Cameron Highway Oil Pipeline System. The pipeline was closed in late August, and sour Southern Green Canyon barrels were diverted from Texas delivery points to Southern Louisiana. The region typically sees ex-pipe deliveries of Mars crude and other Gulf of Mexico-produced medium sour grades. Updates on the pipeline system have contributed to a gradual decline in front-month differentials. The line graph on the screen shows that the front-month Mars to cash WTI differential reached a low of minus 5 cents/b on October 20, but has since rebounded with December Mars trades. Looking at biofuel blending mandates …. US biofuels markets expect further delays before the Environmental Protection Agency releases 2021 biofuel blending mandates, keeping traders uncertain about fundamentals for renewable identification numbers. EPA administrator Andrew Wheeler said in mid-November that the agency would miss a November 30 deadline to release mandates and did not give a firm timeline for an announcement. Finally, in the US steel coil markets …. A supply shortage of US steel has left buyers scrambling and caused prices to skyrocket. The daily S&P Global Platts US hot-rolled coil price is up nearly 70% in just over three months, with lead times at flat-rolled mills reaching historic levels. There is no relief on the immediate horizon, as buyers face limited options into the first quarter of 2021. For more on all the issues affecting commodity markets, check out Platts Live, a section of our website created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-11-23T15:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/112320-opec-uae-jet-fuel-covid-vaccine-nuclear-reactors-gas-storage-mild-weather</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-23T12:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=E4CUuDs6gFrLxmd6vA69Sp</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/112320-opec-uae-jet-fuel-covid-vaccine-nuclear-reactors-gas-storage-mild-weather.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 23-27: Fuel demand sees hope in vaccine, as continent endures power surplus</video:title><video:description><![CDATA[In this week's highlights: OPEC+ members itch to break free of output constraints; the jet fuel market welcomes news of a potential coronavirus vaccine; returning French nuclear generators contribute to a continental power supply glut, and mild weather is keeping European gas storage withdrawals unusually low. OPEC+ keeps markets guessing Jet market looks to vaccine boost Returning reactors add to continental glut Gas storage withdrawals stay low on mild weather View Full Transcript In this week's highlights: the jet fuel market welcomes news of a potential coronavirus vaccine, returning French nuclear generators contribute to a continental power supply glut, and mild weather is keeping European gas storage withdrawals unusually low. But first, in oil news, market participants are very much attuned to next week’s OPEC+ meeting, starting Monday the 30th, and any advance signals that the group may decide to maintain production cuts of around 7.7 million b/d, or 8% of the pre-pandemic market, rather than easing the cuts from the start of next year as planned. Key protagonists have been non-committal so far, but there are signs of some players are itching to break free of output constraints, with a lot of attention on the UAE recently. Africa is also in focus, as the International Energy Agency holds an online forum Tuesday with African energy ministers, led by South Africa’s minerals and energy minister Samson Gwede Mantashe. It comes amid much interest in the possibility of a new deepwater gas province off the coast of South Africa, potentially rivalling Mozambique, following recent discoveries by Total and others. One long-standing African investor, Tullow Oil, holds a capital markets day on Wednesday, updating investors on its efforts to claw its way back from recent difficulties, boosted by a sale of Ugandan assets to Total, and with the Turkana oil project in Kenya in focus. Here in Europe, Germany’s Wintershall Dea is giving a press briefing Monday on its third quarter results and pandemic response, ranging from the North Sea to Russia to the UAE. The European jet fuel market will be monitoring all the latest news on COVID-19 vaccines and timelines for their roll-out even more keenly than most, as the aviation sector continues to struggle with unprecedently tough market conditions. While the news of vaccines has been welcomed by the sector, any sustained rebound in jet demand is likely to have to wait until the spring of 2021, according to traders. Despite widespread restrictions on movement, jet fuel prices have found some support due to reduced supply resulting from refinery run cuts. And that takes us to our social media question for the week: How has Coronavirus changed your perspective on transport? Tweet us with your thoughts using the hashtag #PlattsMM. In European power, meanwhile, French nuclear generation could hit 50 GW this week as more reactors return to service after an extended period of reduced availability. Continental Europe is increasingly awash with power, with hydro stocks high and thermal availability good. This has caused considerable weakness in spot and curve prices, with only a prolonged cold snap combined with low wind levels likely to force a correction. The exception has been the UK market, where tightness on low wind days has become worryingly frequent. Imminent commissioning of a new interconnector cable to France, however, should ease these concerns. In the European gas market, traders will be keeping a close eye on how storage levels develop as the ongoing mild weather and healthy supply keep a lid on withdrawals. In northwest Europe, storage withdrawals have been down on previous years, and with forecasts for a warmer-than-normal start to December, activity could remain low. European stocks were built up to almost 100% of capacity over the summer, so a lack of withdrawals would have a bearish impact on European gas prices both on the prompt and the curve. It comes as demand also seems to be taking something of a hit from the lockdowns imposed in a number of countries across Europe. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-11-23T12:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/112320-rice-futures-cme-oil-gas-winter-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-23T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xpTboBCCKdpRfDZnUprUsz</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/112320-rice-futures-cme-oil-gas-winter-demand.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 23-27: Winter oil and gas demand, world-first rice derivatives launch in focus</video:title><video:description><![CDATA[The highlights this week on S&P Global Platts Market Movers Asia with Agriculture Editor Takmila Shahid: ** Heating demand could boost Japan's crude throughput ** COVID-19 spike in Japan could impact gas demand ** Unplanned outages boost ethylene to new high ** CME launches world-first rice derivatives contract based on S&P Global Platts price assessments View Full Transcript Market Movers Asia, Nov 23-27: Winter oil and gas demand, world-first rice derivatives launch in focus This week: all eyes are on winter buying activities for countries in Northeast Asia, the impact of a spike in coronavirus cases on gas demand in Japan, and launch of the world’s first PRA-based rice derivative contract. But first, in oil, Japan's crude oil imports are expected to hit a seven-month high in November. Local refiners have boosted their crude procurement from the Middle East in preparation for a rise in heating demand over the winter. S&P Global Platts Analytics forecasts Japanese refiners to process 2.5 million b/d of crude oil on average in November, 2.65 million b/d in December and 2.8 million b/d in January 2021. In LNG, markets are also focused on the winter demand outlook in North Asia, as well as the recent surge in COVID-19 cases in Japan that could impact gas demand. Last week, Tokyo raised its COVID-19 alert to the highest level which could lead to tighter restrictions on gatherings, although the government has not imposed any major restrictions on the movement of people yet and remains wary of its economic impact. Meanwhile, a colder weather outlook from the La Nina phenomenon for Japan and South Korea in December has boosted spot LNG price sentiment in Asia. In petrochemicals, a sharp upswing in Asian ethylene prices from supply tightness amid unplanned plant outages pushed the key CFR Northeast Asia marker to a 15-month high, S&P Global Platts data showed. Going forward, market participants expect further increases to take place, especially as concerns over supply in the northeast Asian region persist in H1 December. Cargoes from the Middle East and the US arriving in late December may help to alleviate some of the supply tightness, but those cargoes are likely to arrive only towards the end of December or early January. Finally in agriculture, the Asian rice market is taking a step into a new world with the launch of the world’s first PRA-based rice derivatives contract. CME's new cash-settled Thai 5% broken white rice futures contract, based on the Platts assessment, is launching Monday, November 23. Its launch gives the market its first opportunity to manage risk using derivatives instruments. The Asian rice market has a lot of risks to manage at the moment, with coronavirus, climate change and geopolitics having all disrupted traditional patterns of trade in 2020. Drought in Thailand has now given way to concerns that tropical storms could damage the crop. Rice supplies are tight and trading has slowed, aggravated by current strength in the Thai Baht. Any early signs of activity in the new futures contract this week will suggest that the Thai rice market is starting to evolve to find new ways of managing this kind of risk. In wheat, a bumper harvest is in place in Australia, following three consecutive years of drought. This has boosted its price competitiveness internationally and recently pushed prices below Black Sea and Argentinian wheat prices on CFR basis in Southeast Asia. Australian suppliers have already gained back a significant portion of market share in Southeast Asia for first quarter of next year. A massive wheat crop, estimated to be between 30-33 million mt for 2020/21 season, means these suppliers are likely to explore markets beyond Asia, and into the more traditional markets of Middle East and North Africa. Market players are also keeping a close eye on trade tensions between China and Australia, as wheat is a possible next target. So, here’s our social media poll question for the week. Going forward, will Australian wheat gain price competitiveness over Black Sea and European wheat and increasingly price into Middle East and North African wheat tenders? Share your thoughts on social media with the hashtag PlattsMM. Thanks for kicking off your Monday with us. Stay safe and have a great week ahead!]]></video:description><video:publication_date>2020-11-23T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/111620-market-movers-coronavirus-surge-refined-products</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-16T15:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7Zv3qMnUEaLTep5CCyKw7P</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/111620-market-movers-coronavirus-surge-refined-products-love.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Nov 16-20: Coronavirus surge reverses rally in refined products</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Courtney Love: * Coronavirus surge reverses rally in refined products * E&Ps see split views on US Gulf upstream auction * USGC diesel supported amid continued stock draw * Pandemic caps clean tanker freight at breakeven earnings View Full Transcript In this week’s Market Movers: Increasing coronavirus cases create uncertainty around demand for refined products; the coming Biden Administration brings uncertainty as companies fear the halt of new drilling on federal lands; pandemic lockdowns cause Americas shipowners to watch the potential revival of floating storage interest for middle distillates; and US Gulf Coast diesel markets remain supported as regional stock drawdowns continue. Starting off … Market watchers this week will be paying close attention to the global rise in coronavirus cases, and the reaction from refiners to any further reduction in demand. The oil complex got a lift last week from some positive news on the coronavirus vaccine front, but the move higher was stalled as cases increased, specifically in Europe and the United States. The rise has already prompted some government restrictions on business hours, and stricter lockdowns could be put in place, pushing demand for gasoline, jet fuel and diesel lower. If refined products demand fails to recover, or falls again, refiners will likely need to cut runs, or close plants, to protect margins. S&P Global Platts Analytics does not see US oil demand returning to pre-coronavirus levels until 2022. In this week’s US Gulf of Mexico lease sale, E&P companies may be of two minds. The auction will offer hundreds of blocks in both deep and shallow waters across the US Gulf – mainly offshore Louisiana, Texas and a slice of Mississippi and Alabama. Participants may want to pick up some new offshore leases, fearing that the incoming and less oil-friendly Biden administration may keep his promise to halt new drilling on federal lands, which includes millions of acres in the US Gulf. Other companies may simply look to shore up their existing leases and seek to accumulate more acreage near their producing platforms. Uncertainty over the intentions of the Biden administration, coupled with cloudiness on oil demand recovery from the pandemic, could prompt some operators to shy away from this sale and wait until the next auction in March. Turning to diesel markets … US Gulf Coast diesel markets have held support in November as regional distillate stock drawdowns continued last week, according to the US Energy Information Administration. Averaging a $2.59/gal discount to prompt NYMEX ULSD futures this month as of Nov. 12, the US Gulf Coast pipeline ULSD differential peaked at minus $1.25/gal on Nov. 6, its strongest assessment since September 2017. Heightened values coincided with the US EIA announcing it estimated PADD 3 distillate stocks drew 974,000 barrels to just over 42.1 million barrels the week ended Nov. 6.This figure marks a continued decline from the all-time high of 56.1 million barrels reported in the second half of August, a trend continued amid limited refinery capacity during an active hurricane season. Meanwhile, in the tanker market … Pandemic demand destruction and a counter-seasonal destocking cycle during the fourth quarter will depress US Gulf Coast loading clean tanker freight this week. Renewed lockdowns across the Atlantic have Americas shipowners closely watching the potential revival of floating storage interest for middle distillates. That would prompt tonnage ballasting away to Europe rather than to the USGC after delivering gasoline on the USAC and shorten tonnage here. But for now, clean tanker freight is set to continue the breakeven earnings rut at best. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-11-16T15:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111620-covid-19-recovery-opec-lockdowns-gas-eu-green-investments-steel-thyssenkrupp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-16T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tLeLdTtD6jqY3KztMiouxy</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/111620-covid-19-recovery-opec-lockdowns-gas-eu-green-investments-steel-thyssenkrupp.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 16-20: COVID-19 recovery plans at the top of the agenda</video:title><video:description><![CDATA[In this week's highlights: OPEC+ meeting to focus on the possibility to extend production cuts; lockdowns set the pace for European gas demand; the EU is to discuss green industry investments; and steel markets await the results of Germany’s ThyssenKrupp. Oil markets revise their outlook European gas demand trends in focus EU to discuss green industry investments Liberty looks to acquire Steel Europe View Full Transcript In this week's highlights: Lockdowns set the pace for European gas demand; the EU is to discuss green industry investments; and steel markets await the results of Germany’s ThyssenKrupp. But first, in oil markets there will be much talk of a delayed recovery and the possibility of OPEC+ producer nations potentially having to extend their production cuts at the current level of 7.7 million b/d into 2021, rather than easing the cuts at the end of the year. It’s a question that will be at the top of the agenda as the OPEC+ ministerial monitoring committee meets on Tuesday, ahead of a full OPEC+ meeting at the end of the month. Market participants will be closely watching for any early signals. The prospects for recovery and what this would mean for the Middle East will be also in focus at the Middle East Petroleum & Gas conference, under way virtually on Monday and Tuesday and hosted by Bahrain. The event features top figures from the trading community, including from Chevron, Shell and Total, as well as the UAE’s ADNOC, and trading company Vitol, to name but a few. We’ll also get an insight into Russia’s perspective on the state of the markets when Gazprom Neft provides its Q3 results on Wednesday. In the European gas market, traders will be keeping a close eye on demand trends amid new country lockdowns. In October, consumption rose due to the "double heating" impact of only partial lockdowns, with many people working from home but some offices also remaining open. With full lockdowns now in effect across Europe, and mild temperatures forecast this week, demand may be impacted as workplaces are closed and industrial activity curtailed. Pipeline supplies into Europe from Norway, Russia and North Africa are also continuing at relatively high rates this month. Moving on to greener matters, EU ministers are virtually meeting this Thursday to discuss internal energy market and industry matters. The agenda will focus on how Europe can recover from the COVID-19 pandemic through green transformation and clean industry investments. The European Commission will be seeking political guidance on a new industrial strategy, backed by the Eur672 billion Recovery and Resilience Facility agreed in October to support public investments and reforms in the aftermath of the current crisis. And that takes us to our social media question for the week: Can Europe use the transition to green initiatives as a way out of the COVID-19 crisis? Tweet us your thoughts using the hashtag #PlattsMM. Now to another industry affected by the pandemic. All eyes in the steel market will be on Germany’s ThyssenKrupp, announcing its fiscal full-year results on Thursday. The Thyssenkrupp Steel Europe division is expected to report a slightly improved Q4 performance, following Q3 losses as European steel demand slumped amid COVID-19-related lockdowns. Negotiations are under way with Liberty Steel Group, which has put forward a non-binding bid for Thyssenkrupp Steel Europe, and talks are understood to have taken place with other potential suitors after ThyssenKrupp said it would be searching for a potential buyer for the steel unit following the collapse of merger talks with Tata Steel in 2019. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-11-16T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111620-rcep-trade-bloc-energy-sokol-sakhalin</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-16T03:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yadeXvkDgEHCjAftqFo7pu</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/111620-rcep-trade-bloc.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 16-20: All eyes on RCEP's potential impact on Asia-Pacific commodities trade</video:title><video:description><![CDATA[This week's highlights on S&P Global Platts Market Movers Asia, with Steel Markets Editor Ashima Tyagi : ** Leaders from ASEAN and the larger Indo-Pacific region ratify the Regional Comprehensive Economic Partnership agreement ** Northeast Asian refineries look to Russia for light sweet crude supply this winter ** China's infrastructure investment and house sales data seen impacting steel market sentiment ** Dry bulk shippers hope for post-holiday Indian demand to boost market]]></video:description><video:publication_date>2020-11-16T03:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/110920-market-movers-americas-biden-win-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-09T17:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Jdhim1j159acEHmCKRtcCC</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/110920-market-movers-americas-biden-win-oil-cook.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Nov 9-13: Biden, potential GOP Senate could be a win for oil</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Matthew Cook: * Biden, GOP Senate could be a win for oil * Crude rallies on prospects of OPEC+ quota extension * USGC sour crude falters ahead of Louisiana refinery closure * US Steel restarting Minnesota iron ore operations * Petrochemical exports fall in first nine months of 2020]]></video:description><video:publication_date>2020-11-09T17:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/110920-utilities-renewables-libya-oil-lockdown-lng-uniper-germany</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-09T12:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vW74Y4G97UXyPU54fybpsH</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/110920-utilities-renewables-libya-oil-lockdown-lng-uniper-germany.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 9-13: Utilities up their renewables game</video:title><video:description><![CDATA[In this week's highlights: Several closely watched oil market reports are due to land while industry players will gather to discuss the outlook for a fast-changing market; the LNG market will be digesting the implications of Uniper’s announcement that is re-evaluating plans for an LNG terminal in Germany because of lack of interest; and two of Europe’s biggest energy companies will publish revised goals for renewables build-out. Libyan output surge Europe back in lockdown Uniper challenges German LNG plans Power giants update renewable energy plans]]></video:description><video:publication_date>2020-11-09T12:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/110920-biden-us-election-asia-crude-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-09T04:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pGpCQcCqAeSQT2SX425gs5</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/110920-biden-us-election-asia-crude-imports.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 9-13: Markets digest US election results, assess potential impact of Biden win on US-Asia trade</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers with Rohan Somwanshi, editorial team leader for agriculture in India: * Markets assess impact of Joe Biden's victory in the 2020 US election on US-Asia trade flows * Australian coal prices under pressure on geopolitical tensions with China * Dry bulk freight rates to remain in check for the rest of 2020 * Eyes on China's liquidity, car production data and impact on steel markets * USDA WASDE puts China's corn and soybean imports in focus View Full Transcript Market Movers Asia, Nov 9-13: Markets digest impact of Biden's win on US-Asia trade This week: Markets digest US election results, Australian coal under pressure and USDA agricultural estimates report in spotlight. Energy markets are closely monitoring the situation in US, after election results showed Joe Biden clinching the presidency as the vote count progressed in several states. The outcome is expected to have a profound impact on US-Asia trade flows, and will determine global economic and energy policies. As for the US-China trade relations, the general expectation was that tensions will remain while the rhetoric gets dialed down. However, the results are not expected to have an immediate impact on Asia's crude oil procurement trend. Still, major Asian refiners are closely tracking the developments to assess the future of US crude production and exports. According to S&P Global Platts Analytics, Biden's plans to sunset drilling permits on federal lands could shrink US oil output growth by up to 2 million barrels per day by 2025. A more solid stance by Biden on fossil fuels may prompt many Asian crude importers to return focus to their staple, Middle Eastern sour crude. You can read more on the latest on the US election and its impact on Washington's energy policies on spglobal.com/platts. Now for our social media question this week: Do you think Asian crude importers will make a big U-Turn on their crude import diversification strategies in 2021? Share your thoughts with the hashtag PlattsMM. In bunker markets, eyes are on Singapore's bunker sales October data. Singapore's bunker sales are expected to be steady to slightly higher for the rest of the year with its strategic location and strong infrastructure making it a favorable bunkering hub, industry sources have told Platts. Port data shows total marine fuel sales in Singapore between January and September have remained strong, registering a 5.6% year-on-year growth. This comes at a time when global bunker sales are estimated to drop 7 to 17% in 2020, as the industry transitioned to the IMO's low sulfur mandate in the midst of market uncertainty. In dry bulk shipping, fewer disruptions to ship supply and overall lower demand are expected to keep freight rates in check over the rest of this year. Australian iron ore exporters are also keeping an eye on the rising trade tensions between China and Australia, after an apparent ban was verbally communicated to traders, covering different commodities including coal. High-ash Australian coal prices are expected to lose steam as political uncertainties loomed large in China. Chinese domestic coal prices are likely to gain amid limited import quotas for seaborne coal and domestic supply shortfall. Meanwhile, Indian seaborne thermal coal procurements are expected to remain limited ahead of the Diwali festival this weekend. In metals, China will be releasing its car production numbers for October this week. The sector has improved in recent months, helping to support flat steel prices. Focus will be also on its money supply, loan growth and social financing numbers, which will show the extent of liquidity in Chinese markets. Moving to agriculture, markets will be keenly watching the USDA’s WASDE report this Tuesday, with spotlight on China’s corn and soybean imports, and US soybean stocks. The USDA's attache in China raised its corn import s level projections for 2020-21 to 22 million mt, sharply up from the official estimates of 7 million mt. Markets are keeping an eye on the official numbers as China’s corn commitments for US alone are above 10.6 million mt so far this season. China’s 2020-21 soybean imports were also cut by 5 million mt, down from the official estimates of 100 million mt. This has come despite decent pig herd recovery in the country. In wheat, Australia is expected to make a big production comeback this season. But the focus remains on the above-average rainfall seen in the eastern parts of the country, especially in New South Wales and Queensland. Forecast of wet weather in the coming weeks is expected to delay the dry down of wheat in the region, and could possibly impact the protein quality. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-11-09T04:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/110220-us-crude-exports-steel-supply</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-02T17:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VSXHiDhceG9kxErTYYR5Qm</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/pl-oil-744823-market-movers-americas-nov-2-6-v1.00_18_33_22.still001-thumb-v1.png</video:thumbnail_loc><video:title>Market Movers Americas, Nov 2-6: Crude prices, exports fall amid coronavirus lockdowns</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Grace Parker: * Crude prices test five-month lows * US crude exports pressured by poor economics * US galvanized steel availability tightens * Illinois River reopens, biofuels barge traffic rises]]></video:description><video:publication_date>2020-11-02T17:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/110220-opec-libya-oil-hydrogen-snam-uk-energy-white-paper-polymers-africa</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-02T11:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4Bz8vPtqdbP92BZosHntUm</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/110220-opec-libya-oil-hydrogen-snam-uk-energy-white-paper-polymers-africa.png</video:thumbnail_loc><video:title>Market Movers Europe, Nov 2-6: OPEC+ faces new lockdowns, Europe talks clean energy</video:title><video:description><![CDATA[In this week's highlights: OPEC+ faces Libya's resurgence and a new wave of lockdowns, the hydrogen market awaits Italy’s Snam’s third quarter results; the UK government could publish its Energy White Paper; and the West African polymer market hopes for calm in Ivory Coast. *OPEC+ decision point looms as Libya rebounds * Italy’s Snam announces Q3 results *UK due to publish Energy White Paper *Polymer traders watching Ivory Coast election Related podcast: Energy Transition in the time of COVID-19 View Full Transcript In this week's highlights: The hydrogen market awaits Italy's Snam's third quarter results; the UK government could publish its Energy White Paper; and the West African polymer market hopes for calm in Ivory Coast. But first, the oil market, will be keeping a close eye on Libya's resurgence, and plans by the OPEC+ countries to ease their production cuts starting in January. Libyan output has quintupled in the last month to 600,000 barrels a day after an 8-month blockade with more to come, putting renewed pressure on prices. It's one of the complexities facing OPEC and its partners, along with resurgent lockdowns, amid signs the group may pull back from plans to reduce its current official production cut of 7.7 million barrels a day by 25%. State owned oil giant Saudi Aramco may address the topic in its third-quarter results on Tuesday. There's also the matter of US elections, adding to market volatility. And sticking with corporate results, on Wednesday Europe's largest natural gas transporter, Italy's Snam, announces third-quarter results with the hydrogen eying any updates. Italy wants to become a green hydrogen hub between Europe and North Africa, Snam CEO Marco Alverà has said. The company has just announced a 100-megawatt electrolysis agreement plus a stake acquisition in ITM Power. ITM is about to open a 1 gigawatt a year electrolysis manufacturing unit in Sheffield in northern England, with a second unit on the drawing board. Also in the UK, the government could publish its long-awaited Energy White Paper this week, but don't hold your breath. The document, due this autumn, is to provide a framework for achieving net zero emissions by 2050. It is likely the ban on new combustion engine cars from 2040 will be brought forward. As you can see from the chart the UK has ambitious plans for offshore wind. However, the UK must also beef up renewable energy support and accelerate the development of carbon capture clusters and energy storage solutions. Finally, while hydrogen and new nuclear are bound to be mentioned, with a possible go-ahead for two reactors at Sizewell C in Suffolk, we may have to wait into the new year for concrete plans. And that takes us to our social media question for the week: How can the UK government improve its support for renewable energy? Tweet us your thoughts using the hashtag #PlattsMM. Polymer traders in West Africa are hoping trading in Ivory Coast will resume after elections last weekend without a repeat of the violence in the 2010-2011 poll, which led to a brief civil war. Demand has been limited in the build-up to the election because of widespread factory closures There have been violent pre-election clashes reported and many city inhabitants have taken refuge in the countryside until after the election. Incumbent Alassane Ouattara is seeking a third term after ten years in power, a move his opponents say is unconstitutional. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-11-02T11:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/110220-asia-commodities-us-presidential-result</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-11-02T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=m6T94DXX6GuEecjKGu7TSt</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/110220-pmm-asia-surabhi-sahu.jpg</video:thumbnail_loc><video:title>Market Movers Asia Nov 2-6: Global markets await US election result</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers, with Senior Editor Surabhi Sahu: * US presidential election result to influence sentiment across commodity sectors * Asian refiners U-turn on crude import strategies * Malaysia crude sales under pressure as Australian refiners struggle * Dry bulk shipping activity muted in lead-up to Diwali View Full Transcript This week: Global markets await the outcome of the US Presidential Election, crude trade flows in Asia seen changing, and dry bulk freight rates come under pressure from a decline in Brazil’s iron ore exports But first, all eyes are on the US Presidential Election on November 3, as the outcome will influence sentiment across many commodity markets, and may unleash changes in the US energy sector. This could have repercussions on crude oil prices, as well as potentially determine the future direction of the US-China trade deal. The US became China's fourth-largest crude supplier in September, and ample flows are expected to continue in the fourth quarter, as the Phase 1 trade deal between Beijing and Washington provides a push to the flow of energy products. China's crude import volumes from the US in September surged 75% month on month to a record high of 3.9 million mt, customs data showed This brings us to our social media question this week: Do you think the heightened crude exports from the US will continue? Share your thoughts with the hashtag PlattsMM. In other oil news, Saudi Arabia and other major OPEC crude producers will likely cheer a recent change in Asia’s crude oil procurement patterns, as some of the region’s major oil consumers make U-turns in their refinery feedstock diversification strategies. South Korean refiners for one, said they will now heavily favor Saudi crude oil over US or other arbitrage barrels for the rest of the year, as staple medium sour Middle Eastern crudes are proving the most economical feedstock option in a time of volatile refining margins and tepid consumer demand for fuel. Thirdly in oil, Malaysia's crude oil exports to Australia are under threat as the major buyer of its light sweet crude grades struggles to keep refining operations viable due to slim product margins and weak fuel demand. Australia's light sweet crude imports from Malaysia are forecast to fall 33% on year to 22 million barrels in 2020, according to traders and distributors surveyed by Platts. BP Australia in recent days has announced plans to shut its Kwinana refinery in Western Australia and convert it into a fuel import terminal, leaving Australia with just three operating refineries. In dry bulk shipping, market activity is expected to remain muted in the lead-up to Diwali festivities in India in mid-November. Winter in China is a seasonal bearish period for the market, and exports from Brazil are also weakening. Vale’s iron ore exports from Brazilian ports fell almost 18% in the week to October 30, pressuring down the Capesize T4 low sulfur index by over $3,000 in just four about days to $15, 689 per day on October 30. In agriculture, all eyes are on the outcome of the US presidential election result due to its impact on the Phase 1 trade deal agreement between the US and China. China has accelerated its buying of US agricultural products in recent months after falling behind early in the year, purchasing soybeans, corn, wheat, barley, sorghum and pork at well above year-ago levels. Market experts say China intends to fulfill its commitments under the deal, noting its commitments for US corn remain at an historic high of 10.6 million mt to date in 2020-21. And finally in thermal coal, seaborne traders are keeping an eye out for Chinese power utility tenders for winter restocking this week, as Kalimantan export sentiment remains dull. Buyers in India are also mostly postponing procurements due to the impending Diwali festival, to avoid a clash in the delivery periods. In addition, benchmark October negotiations between Australia’s Glencore and Japanese utility Tohoku for 6,000 kcal/kg NAR Australian coal are making slow progress, with the bid-ask spread narrowing to $5/mt. This comes as recovering power demand in Japan is lending some support to seaborne high-cv thermal coal prices. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-11-02T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/102620-us-refinery-earnings-mergers-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-26T17:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=trp8FoiSyTigXHiif4h1wn</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/pmm10-26_thumbnail.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Oct 26-30: US refinery earnings to shed light on demand recovery</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Harry Weber: Refinery earnings to shed light on demand recovery Major mergers highlight oil's coronavirus struggles North American gas pipeline flows outlook in focus Days of coal burn likely to remain near record highs New power projects outlook to become clearer]]></video:description><video:publication_date>2020-10-26T17:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102620-oil-results-glencore-cobalt-steel-petrochemicals-uk-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-26T12:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XNnfNnRvveDaES9Cu2VpAp</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/102620-oil-results-glencore-cobalt-steel-petrochemicals-uk-power.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 26-30: Oil, metals markets eye Q3 corporate results</video:title><video:description><![CDATA[In this week's highlights: It’s corporate results season for oil majors; Glencore is due to release its third-quarter production report; global steel overcapacity is on the agenda; and a possible lack of capacity is exercising the UK power market. Oil majors results, reconstruction in focus Glencore's cobalt plans eyed Meeting of the European Steelmakers Association Coronavirus worries petrochemical markets UK power capacity margins causing concern View Full Transcript In this week's highlights: Glencore is due to release its third-quarter production report; global steel overcapacity is on the agenda; and a possible lack of capacity is exercising the UK power market. But first, in oil, it's corporate results season. Third-quarter results from Italy's Eni are due Wednesday, followed by BP, Shell and Norway's Equinor on Thursday, with Total on Friday. Oil companies have been hit not only by rock-bottom prices but also upstream production cuts. But CEOs are likely to focus on post-pandemic reconstruction plans through mass job cuts and divestments. They're also likely to detail emerging bright spots from slightly higher oil prices to the gradual increase in US rig counts. And that takes us to our social media question: What do you think the impact will be of the oil majors' reconstruction plans? Tweet us your thoughts using the hashtag #PlattsMM. For the metals markets corporate reports will be in the spotlight too. Mining giant Glencore will release its third-quarter production report on Friday. With some global operations suspended in the first half of the year due to lockdowns, the third quarter should indicate whether the company made up for production lost in the second. The cobalt market will pay particular attention to Glencore's production of the rare battery metal at its Katanga Mining operations in the Democratic Republic of the Congo, where it was expected to commission a delayed acid plant in the second half of this year. Glencore previously placed its Mutanda cobalt operations there under care and maintenance at the end of 2019, cutting off 20% of global cobalt supply. Moving on to a more common metal, on Wednesday, the European Steelmakers Association will host a webinar on the challenges facing the European steel market, before releasing its report on the first half of 2020. The association will discuss the perennial problem of global steel overcapacity, the focus of a G20 ministerial meeting Monday and a factor behind the so-called "unlevel playing field" affecting the competitiveness of steelmakers in higher-cost environments such as the EU. Capacity will also be in focus in the European ethylene and propylene markets. As the number of coronavirus cases grows the demand outlook for both petrochemicals is becoming increasingly uncertain. Buyers are becoming cautious with volume commitments, taking a wait-and-see approach. As a result, there is talk in the market of plant rates being cut. And let's end with a blackout, or at least the prospect of one. Power traders are warning of potential supply deficits possibly leading to blackouts in the UK this winter. As you can see from the chart, the UK has surplus supply when low pressure systems bring windy, mild conditions. But when high pressure hits, the UK displays vulnerability, illustrated by price spikes in mid-September and October. Tightness increased with the withdrawal in August of three large gas plants after Calon Energy went into administration. National Grid argues that, when prices rise, interconnectors will deliver. But the market isn't so sure. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-10-26T12:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/102610-china-five-year-plan-siew-2020</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-26T03:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pFPZCoCYpvRGhifYJXWHgB</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/102610-china-five-year-plan-siew-2020.png</video:thumbnail_loc><video:title>Market Movers Asia Oct 26-30: China's five-year plan, SIEW 2020 in focus</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers, with India Desk Editor Aastha Agnihotri : * Eyes on China's five-year plan and how it could shape the commodities markets * Japan aluminum premiums surge * Thermal coal producers focus on Chinese power utility seaborne tenders * SIEW 2020 tackles strategies for a low-carbon energy future S&P Global Platts Metals Trade Review: Met coal prices rebound from multi-year lows as Q4 outlook firms Soaring iron ore prices bring buying flexibility to the fore China's steel winter balancing act to decide Asia's fortunes Alumina anticipates calm Q4 after bumpy Jul-Sep Ferrous scrap eyes firmer Q4 on steel recovery, slower collection View Full Transcript This week: Singapore International Energy Week kicks off, Japan aluminum premiums hit 14-month high, and thermal coal seen stable. But first, China's top leadership will meet in Beijing Oct. 26-29 to settle on the next five-year economic plan. The conclave is a closed-door affair, but its implications are far reaching. Oil markets will be closely monitoring China's plenary meeting. The plan will set the tone of China's development focus which will reshape its demand for commodities in the next five years. The plan will be approved in March next year during the fourth session of the 13th National People's Congress. The meeting will also be keenly watched by metals markets participants for any signs that the new 5-year plan will support metals demand. The feeling is that China will focus on what it calls new infrastructure. So this means 5G, new digital networks and other technology-related initiatives – none of which is particularly metals intensive. If there’s any indication that traditional infrastructure -- such as roads, bridges, railways etc –- will also be supported, metals prices might jump. Elsewhere in Asia, CIF Japan aluminum premiums surged to 14-month high last week. The rally was on the back of LME aluminum price spikes, continuous demand recovery from automotive manufactures, and structural supply tightness in Asia. The Platts FOB Australian alumina index gained 4% week on week. Will alumina continue its stellar run? And will aluminum sustain its healthy demand? More insights on aluminum and other steel and metals markets are in the latest Platts Metals Trade Review on spglobal.com/platts. In thermal coal, Asian thermal coal traders are keeping a wary eye for any seaborne tenders from Chinese power utilities this week to further support the Indonesian export sentiment. Buyers from India are lifting coal supply from their existing port stockpiles and postponing seaborne trades to avoid coinciding the cargo delivery period with the Diwali festival. Meanwhile, high-ash Australian coal prices are expected to stabilize amid uptick in seaborne demand outside China while supply of the grade turned tight. Chinese domestic coal prices are likely to be stable ahead of winters while mines in Inner Mongolia ramped up their production. And finally, for all energy watchers, one of the biggest energy conferences in Southeast Asia is here. Singapore will hold the Singapore International Energy Week this week. More than a dozen energy ministers from Asia Pacific will discuss how countries plan to combat climate change, even though COVID-19 has caused a temporary drop in emissions, and the decarbonization of fuels like oil and natural gas. Saudi Arabia's energy minister is expected to talk about the state of oil markets, the country’s fuel supply relationships with Asian consumers, and its future in a low-carbon world. Another key event will be the S&P Global Platts LNG and Hydrogen conference that will outline the trajectory of LNG, natural gas and hydrogen markets in Asia. The virtual event will tackle major issues such as the impact of COVID-19 on LNG markets and the risks to an emerging hydrogen economy, long-term contract expirations, trade flow dynamics; and the latest developments in the industry’s flourishing spot market. With that it's a wrap up. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-10-26T03:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/about-platts/media-center/press-releases/2020/10262020-energy-transition-gea-award-finalists</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=</video:player_loc><video:thumbnail_loc /><video:title>S&amp;P Global Platts Announces Finalists for 'Leadership in Energy Transition Award'</video:title><video:description><![CDATA[Winner to be announced December 10 at 22nd Annual S&P Global Platts Global Energy Awards Emceed by Emmy Award-Winning Jason Alexander, Program to Benefit New York and India Food Banks NEW YORK (October 26 2020) – S&P Global Platts has announced by video the finalists for “L eadership in Energy Transition”, one of nearly two dozen awards of the 22nd annual S&P Global Platts Global Energy Awards to be presented December 10 th in a live-stream, virtual gala celebration. Emceeing what are often described as the “Oscars of Energy,” will be Emmy and Tony awards winner, actor and comedian Jason Alexander (Cinema’s Pretty Woman , Broadway’s Fish in the Dark , Television’s Seinfeld ). “Some ten finalists have been shortlisted for the Leadership in Energy Transition Award , now in its third year and which aims to recognize a power generating company that is at the forefront of efforts to transition away from high greenhouse-gas-emitting sources of energy,” said Richard Mattison, chief executive officer of Trucost, part of S&P Global. It is Trucost, a leader in carbon and environmental risk analysis, which developed a data-led methodology to select the finalists and, ultimately, the winner, of this important environmental, social and governance (ESG) award ( see details ). This makes the Leadership in Energy Transition award distinct from the other 20 honors of the Global Energy Awards, which are determined by the votes of an independent panel of judges. The S&P Global Platts/Trucost award criteria encompass the following: taking steps to report and reduce greenhouse gas (GHG) impacts publishing robust targets to improve performance aligning with global energy transition commitments demonstrating true leadership in innovative ways The COVID-19 pandemic is one of the most severe economic and energy shocks in modern history. On top of the massive disruptions to business, mobility, and everyday life, there will be longer-lasting implications for the energy transition away from fossil fuels. As Mattison notes in the video, the global power sector is touted to be largest contributor to greenhouse gas emissions globally, responsible for approximately one-quarter of global emissions. “As the largest emitter, the power industry has the opportunity to be at the forefront of efforts to reduce emissions and to limit climate change to between 1.5°C and 2°C of global warming, the goal of the Paris Agreement set in December 2015,” emphasized Mattison. “That’s why Trucost is proud to participate in the S&P Global Platts Global Energy Awards, that recognize exemplary achievement in not only energy transition, but also in innovation, efficiency, green infrastructure and leadership, all especially noteworthy in these challenging times of the Covid-19 pandemic.” More than 10 times the emission reductions resulting from COVID-19 will be needed to meet the 2 degree target through 2050, according to joint analysis of S&P Global Platts and S&P Global Ratings. However, the pandemic's effects will cumulatively lower energy sector CO2 combustion emissions by 27.5 gigatons over 2020-2050—equivalent to almost one full-year of emissions. “We’re pleased to be partnering with Trucost, with its deep experience assessing risks relating not only to climate change, but natural resource constraints, and broader environmental, social, and governance factors, on this important ESG leadership Award,” said Murray Fisher, producer of the Global Energy Awards program. “And in the history of the Award, we’re pleased to see the continually increasing number of nominations and entries that are specifically focused on achievements in creating and consuming energy more responsibly – be it reduced emissions and sustainable energy or environmental and operational safety.” The 2020 finalists for the Leadership in Energy Transition Award are: Contact Energy CPFL Energia Dominion Energy Enel Energias de Portugal Engie NextEra Energy Scottish & Southern Energy Sempra Energy Xcel Energy Last year’s winner of the Leadership in Energy Transition honors was Iberdrola of Spain, recognized for having one of the lowest emissions intensities of the diversified power industry, for its demonstrated innovation in green financing, and its science-based targets for short- and long-term greenhouse gas emissions reductions. To view the full list of finalists across all categories of the Global Energy Awards program, visit: https://www.spglobal.com/platts/global-energy-awards/finalists Energy, financial and business executives are invited to attend the virtual S&P Global Platts Global Energy Awards; registration will open soon. Accredited media may attend as guests of S&P Global Platts with advance registration through the media contacts listed below.]]></video:description><video:publication_date>2020-10-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/101920-us-midstream-2020-elections</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-19T16:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=T9h6HfNkr4RBxtMU9PAUn8</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/101920-us-midstream-2020-elections-mccord.png</video:thumbnail_loc><video:title>Market Movers Americas, Oct 19-23: US midstream watching election runup, COVID resurgence threatens gasoline demand</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Shea McCord: * US crude industry awaits election results * Gasoline cracks retreat, COVID resurgence threatens demand * Higher temperatures could push up PJM prices * US coal producers likely to report lower earnings View Full Transcript In this week’s Market Movers: Hurricane Delta’s impact on power demand and prices, the US Gulf Coast petroleum complex comes back online following the storm as US crude exports slide, and the United States debuts a new steel import monitor. Delta is expected to lower power demand after it knocked out electricity service to thousands, which could decrease power prices as with other recent hurricanes. Outages totaled 575,000 on Oct. 10, the day after the storm made landfall, and were still above 200,000 on the morning of Oct.12. Warmer tropical air and precipitation will bring about lower electric heating loads in the PJM region, and ultimately put further downward pressure on power prices. This week, the US oil complex is focused on restarting supply operations along the US Gulf Coast after the landfall of Delta on October 9. Prior to the storm, the Bureau of Safety and Environmental Enforcement estimated over 90% of offshore oil production was shut by October 8. Meanwhile, over 800,000 of the 2.4 million barrels/d of refinery capacity in Delta’s path remained offline from storms before Delta’s arrival. Combined with the closures of several ports near the Texas-Louisiana border, a vital outlet for crude and products, producers and refiners will be looking for clear recovery timelines. The oil market will also be looking at crude export trends this week. Exports fell to 2.66 million b/d by October 2, according to the US Energy Information Administration, and could slip further amid a tighter arbitrage and thinning refining yields overseas. Platts Analytics sees US Gulf waterborne exports at just 2.1 million b/d by October 9, led by a drop in exports to Europe. While crude exports have been steady to China, refinery margins in Europe have been favoring non-US crude grades. Platts Analytics data shows margins favoring West African Bonny Light and North Sea Forties over US export grade WTI MEH. The Department of Commerce plans to debut an online platform on Oct. 13 for the US’ Steel Import Monitoring and Analysis System, the first update since 2005. The updated SIMA system will offer free analytic tools to the public that allow for customized data analysis, which Commerce said will aid in the identification of changing trade patterns and surges in US imports of steel products. The move comes as the US, Mexico and Canada agreed to step up trade enforcement efforts with the adoption of the US-Mexico-Canada Agreement, which entered into force July 1. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week!]]></video:description><video:publication_date>2020-10-19T16:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/101920-coronavirus-oil-prices-libya-lme-week-battery-metals-wind-interconnector</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-19T11:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1m5pQk4nTE6QPrA8BGJWPu</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/101920-coronavirus-oil-prices-libya-lme-week-battery-metals-wind-interconnector.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 19-23: Coronavirus caps oil prices as Libyan production rebounds</video:title><video:description><![CDATA[In this week's highlights: How smooth will the return of Libyan oil production be? LME Week gets underway with a difference; and Europe's first interconnector linking two offshore wind farms in the Baltic is to be opened. OPEC+ assesses recovery, Libya on the up LMEWeek goes virtual Europe’s first hybrid wind interconnector opens]]></video:description><video:publication_date>2020-10-19T11:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/101920-china-australia-trade-tension</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-19T04:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=D1qZiMK4ES9L5T22ttKpNn</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/101920-china-australia-trade-tension.jpeg</video:thumbnail_loc><video:title>Market Movers Asia Oct 19-23: Concerns mount over trade between China and Australia as political relations sour</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers, with Associate Editor Jenny Ma: * China-Australia relations spark concerns in commodities trading space; no immediate impact seen in LNG sector * Activities stalled at Chinese ports , shipping terminals * South Korea maintains condensate imports * Styrene hits 7-month high * Freight rates seen lower on weak transportation fuels demand]]></video:description><video:publication_date>2020-10-19T04:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/101220-power-oil-hurricane-delta</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-12T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=u5MVjjgFddMVNViR3t2TcZ</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/101220-power-oil-hurricane-delta-rivera.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Oct 12-16: Power markets, oil complex on the rebound from Hurricane Delta</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Karen Rivera: * Hurricane Delta could decrease power demand, prices * USGC petroleum complex restarts after Delta * US crude exports slipping * US to debut new steel import monitor View Full Transcript In this week’s Market Movers: Hurricane Delta’s impact on power demand and prices, the US Gulf Coast petroleum complex comes back online following the storm as US crude exports slide, and the United States debuts a new steel import monitor. Delta is expected to lower power demand after it knocked out electricity service to thousands, which could decrease power prices as with other recent hurricanes. Outages totaled 575,000 on Oct. 10, the day after the storm made landfall, and were still above 200,000 on the morning of Oct.12. Warmer tropical air and precipitation will bring about lower electric heating loads in the PJM region, and ultimately put further downward pressure on power prices. This week, the US oil complex is focused on restarting supply operations along the US Gulf Coast after the landfall of Delta on October 9. Prior to the storm, the Bureau of Safety and Environmental Enforcement estimated over 90% of offshore oil production was shut by October 8. Meanwhile, over 800,000 of the 2.4 million barrels/d of refinery capacity in Delta’s path remained offline from storms before Delta’s arrival. Combined with the closures of several ports near the Texas-Louisiana border, a vital outlet for crude and products, producers and refiners will be looking for clear recovery timelines. The oil market will also be looking at crude export trends this week. Exports fell to 2.66 million b/d by October 2, according to the US Energy Information Administration, and could slip further amid a tighter arbitrage and thinning refining yields overseas. Platts Analytics sees US Gulf waterborne exports at just 2.1 million b/d by October 9, led by a drop in exports to Europe. While crude exports have been steady to China, refinery margins in Europe have been favoring non-US crude grades. Platts Analytics data shows margins favoring West African Bonny Light and North Sea Forties over US export grade WTI MEH. The Department of Commerce plans to debut an online platform on Oct. 13 for the US’ Steel Import Monitoring and Analysis System, the first update since 2005. The updated SIMA system will offer free analytic tools to the public that allow for customized data analysis, which Commerce said will aid in the identification of changing trade patterns and surges in US imports of steel products. The move comes as the US, Mexico and Canada agreed to step up trade enforcement efforts with the adoption of the US-Mexico-Canada Agreement, which entered into force July 1. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week!]]></video:description><video:publication_date>2020-10-12T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/101220-risk-oil-supply-demand-german-green-power-worldsteel-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-12T11:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=R9tiF28HihhpvnUCRkhkCm</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/101220-risk-oil-supply-demand-german-green-power-worldsteel-outlook.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 12-16: Risks to oil supply and demand in the spotlight</video:title><video:description><![CDATA[In this week's highlights: Key players in the world of oil are set to speak at the Energy Intelligence Forum; German power operators are due to set the green levy component of 2021 consumer bills, and the World Steel Association will release its 2021 steel industry outlook against an uncertain backdrop. Libya supply eyed as OPEC+ tries to hold the line Energy Intelligence Forum to host top oil execs, officials Steel market looks to 2021 Germany's power operators set 2021 green levy]]></video:description><video:publication_date>2020-10-12T11:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/101220-lng-supply-platts-jkm-china-golden-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-12T03:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Yoe8jZpW5wL4XjsH8n9c3o</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/101220-lng-supply-platts-jkm-china-golden-week.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 12-16: Supply concerns grip LNG markets; China's tightening credit conditions start to bite</video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers, with Dry Bulk Shipping Associate Editor Isaac Eio: ** LNG market to continue tightening on supply outages, winter demand ** Pakistan boosts LNG purchases ** China's tight credit conditions start to bite, impacting steel sector ** Dry bulk market anticipates flurry of activities after China's holiday Related event: S&P Global Platts Dry Bulk Virtual Forum View Full Transcript This week: eyes on China's market activities as the country returns from a long holiday, India's oil demand recovery, and dry bulk market trends. But first, Asia’s LNG market is expected to continue tightening due to global producer outages and an uptick in winter procurement from regional buyers. The Platts JKM for November was assessed at $5.535/MMBtu at last week’s close on stronger buying interest and higher pricing indications. This is the highest level for JKM in 11 months, after languishing in the two to three dollar range for most of 2020. Buying interest has emerged from North Asian buyers like Japan and South Korea, with indications of healthy downstream demand, but high storage inventories are capping demand growth. Analysts say much of the peak winter demand will depend on colder temperatures going forward. The LNG market is also seeing flurry of activities from Pakistan, with tenders being issued for at least nine spot LNG cargoes for this winter in a single week. The ramp-up in Pakistan's spot LNG procurement comes in anticipation of higher demand, as the government has allowed unutilized LNG terminal capacity to be auctioned and domestic gas production has been on the decline. However, a key reason for tighter supply concerns is disruptions at gas producers. Norway’s hydrocarbon projects have been affected by strikes and accidents, and US LNG terminals and gas production facilities have been shuttered ahead of Hurricane Delta making landfall over the weekend. In oil, markets will be monitoring China’s transportation sector to gauge how recent travels for the Golden Week holiday is impacting domestic gasoline and jet fuel inventories. Eyes are also on China's preliminary trade data for September. China's crude oil imports slowed down in August and July from the record high of 12.99 million b/d in June amid high inventories. Market participants will be keenly awaiting September figures to get cues on China’s appetite to import crude oil in the fourth quarter while domestic stockpiles are still high. Still in oil, the market will be digesting India's oil data for signs of demand recovery. The easing of lockdown restrictions and the increasing preference for personal mobility over public transport has been helping demand for gasoline. Senior refining officials expect demand for automotive fuels to reach pre-coronavirus level by December, but jet fuel demand would take much longer to bounce back. In metals, markets weakened in September as the impact of Beijing tightening credit conditions from July started to bite. China’s vehicle sector has improved in recent months, along with manufacturing as a whole, helping to support prices of flat steel and other metals. The metals markets may be spooked if cash is shown to have tightened further in September – as it likely points to a weaker Q4. So for our social media question this week: do you expect credit conditions in China to tighten further? Share your thoughts with hashtag PlattsMM. Meanwhile in shipping, dry bulk market participants anticipate a hike in activity after China’s holiday. The Capesize market saw the Platts Cape T4 index rise to a year-to-date high of over 33 thousand dollars per day last week. Panamax freight rates were also on an uptrend, supported by the larger sizes, while smaller vessels saw a decline in the Indian Ocean, due to an oversupply of vessels and China’s hiatus. Do join us for the annual Platts Dry Bulk Shipping Forum, which will be held virtually this year. Let’s discuss the latest market trends, the challenges emerging from COVID-19, trade tensions and the impact of IMO 2020. Thanks for kicking off your Monday with us. Have a great week ahead.]]></video:description><video:publication_date>2020-10-12T03:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/100520-market-movers-wti-crude-freight-rates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-05T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=A4Wefi5SvbfyrsaPJGWMTE</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/100520-market-movers-wti-crude-freight-rates-kohlman.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Oct 5-9: Weaker WTI puts stress on crude freight rates</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Matthew Kohlman: * US crude production holds breath amid futures dip * Crude demand destruction weighs on Aframax freight * Global LNG spreads signal US terminal ramp-up to persist * Availability seen boosting US steel plate prices View Full Transcript In this week’s Market Movers: California electric customers brace for potential power outages, the US Gulf Coast crude oil export market comes under pressure, and US hot-rolled coil prices stabilize as lead times extend. Pacific Gas and Electric warned electric customers about potential power outages as hot, dry conditions mixed with strong winds over the weekend and into the coming week could increase the risk of wildfires. During a Labor Day heat wave, PG&E, along with other California utilities, initiated Public Safety Power Shutoffs, which are proactive outages when severe weather threatens a portion of the electric system. The event caused Southern California power price spikes into the $160s/MWh. Five of the top 20 largest wildfires in California history have occurred in 2020 with more than 8,000 wildfires burning over 3.6 million acres in California so far. In what could be a good sign for US coal markets, the price for delivered thermal coal into Northern Europe last week pushed to new highs for the year, driven by supply tightness in Colombia, Australia and Indonesia, as well as increased Chinese import demand. Stronger global markets will open export opportunities for US producers, who have been struggling with low domestic power and steel demand. In crude, the US Gulf Coast export market has been under pressure with values moving to a discount to the local terminal market, an unusual price dynamic potentially caused by oversupply. Platts American Gulf Coast Select averaged over a 26 cents/b discount to WTI at the Magellan East Houston terminal in the month leading up to September 25, down from a 4 cents/b premium the month before. Weakness in Platts’ new waterborne benchmark has coincided with narrowness in the spread between Brent and WTI and weak demand abroad. This week the market will be watching for improved demand in Northwest Europe and Asia to help restore values on the water to at least parity with the local market. Gasoline cracks have strengthened as US inventories have returned to normal with the front-month ICE New York Harbor RBOB crack versus Brent climbing to above $8/b on Sept. 25, the strongest since August. Total US gasoline stocks fell to 227.5 million barrels in the week ended Sept. 18, US Energy Information Administration data showed Sept. 23, putting stocks just 0.9% above the five-year average. This is the narrowest supply overhang since mid-March and deflates a surplus of as much as 10.4% seen in early June. In US mills, tight supply led US hot-rolled coil prices to stabilize around $600 per short ton last week, with market sources indicating that extending lead times at US flat-rolled mills should help mills keep offer levels firm in the coming week. Platts data showed that average hot-rolled coil lead times extended to 7.2 weeks and both cold-rolled coil and hot-dip galvanized products saw their longest lead times since early June 2018 last week, with cold-rolled coil lead times stretching to 7.9 weeks and hot-dipped galvanized sheet lead times at 8.8 weeks. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week!]]></video:description><video:publication_date>2020-10-05T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100520-eu-emissions-africa-oil-norway-strike-sverdrup-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-05T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bjmhh1tuT4vmnY4jjggDAy</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/100520-eu-emissions-africa-oil-norway-strike-sverdrup-petrochemicals.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 5-9: EU to set new emissions target as oil sector meets for Africa Oil Week</video:title><video:description><![CDATA[In this week’s highlights: The downstream sector gathers online for Africa Oil Week; oil and gas strike looms in Norway; key votes are expected on the EU’s emissions target; the winter winds will be blowing through the power market; and the European petrochemical sector will be discussing the outlook for next year virtually. African oil and gas prospects in spotlight Norwegian strike threatens oil, gas output EU Parliament vote on 2030 emissions reduction target European Petrochemical Association looks ahead View Full Transcript In this week's highlights: An oil and gas strike looms in Norway; Key votes are expected on the EU's emissions target; the winter winds will be blowing through the power market; and the European petrochemical sector will be discussing the outlook for next year virtually. But first, it's Africa Oil Week, held online this year, starting with the African Refiners & Distributors Association conference, focused on the downstream sector on Monday, before the main Africa Oil Week conference starts Wednesday. Speakers include US Assistant Secretary for Fossil Energy Steve Winberg, the CEO of Nigeria LNG, Tony Attah, and representatives of various countries and companies, such as BP, Tullow Oil and Kosmos Energy. A close eye will be also kept on Libya's resumption of oil exports, after the lifting of a blockade last month that had slashed shipments for much of the year. The return of Libyan oil has been weighing on futures prices, adding to the headaches of rivals particularly around the Mediterranean region. Further north, a strike by one of Norway's smallest trade unions from Monday threatens to shut down about 8% of oil and gas production in Western Europe. A pay deal was reached with two of the largest unions on September 30th, but Lederne, which represents offshore managers, has been holding out. Around 330,000 barrels a day of oil equivalent at stake. That takes us to this week's social media question: How will the oil market respond to all this disruption? Tweet us your thoughts with the hashtag #PlattsMM. And on the subject of asking for more, the European Parliament set to vote Tuesday and Wednesday on its position on the EU's higher emissions reduction target for 2030. This has created expectations of further price volatility in the EU carbon market. Some lawmakers want a 60% cut from 1990 levels - more than the European Commission's proposed 55%. As the chart shows, European carbon prices have had a volatile year. The market first reacted to lower demand due to the coronavirus lockdowns, only to rebound as the EU looked to cut CO2 emissions out to 2030. Tougher targets mean tighter caps, and potentially, even higher prices. And speaking of turbulence, Storm Alex has just given the power markets a first taste of winter winds after a largely subdued summer, with all eyes on how Europe's burgeoning wind power sector will perform in the weeks ahead. Fears of capacity shortages due to low French nuclear availability, however, have eased with the return of two large gas-fired plants in Germany and the Netherlands. And finally, the European petrochemical industry will be looking to 2021 contract negotiations this week as buyers and producers gather for the annual European Petrochemical Association conference, taking place for the first time in a virtual format. Buyers and sellers will be keen to use the meeting to agree price formulas and volumes for next year, with pressure mounting from buyers in some markets to shift price mechanisms toward greater spot indexation as spot discounts to the contract market grow ever wider. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-10-05T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100520-asian-refiners-mideast-crude-osps-trump-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-10-05T03:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hmwmHURBMDiK5ckp9Q5c3R</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/100520-asian-refiners-mideast-crude-osps-trump-recovery.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct. 5-9: Asian refiners eye Middle East crude OSPs, Trump's COVID-19 recovery </video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers, with Digital Editor Barbara Lorenzo Caluag : ** Asian refiners expect slight increase in Middle East crude prices ** Progress of Trump's COVID-19 recovery to dominate market direction ** Fundamentals in Asia’s transportation fuel markets seen muted in Q4 ** Benchmark Glencore-Tohoku coal price talks seen bumpy ** India extends 5% GST waiver on export freight View Full Transcript Asian refiners expect slight increase in Middle East crude OSPs for Nov This week: Trading muted in Asia amid an 8-day holiday in China, coal price negotiations continue between Australia and Japan, and India issues a last-minute waiver on GST for export freight. But first, Asian refiners widely expect major Persian Gulf crude producers to slightly raise their official selling prices. OSPs for cargoes loading in November are expected to be announced this week. The expected price hike is on the back of the mild recovery staged by the benchmark Dubai price structure last month, as shown here. Still, refinery officials across Northeast and Southeast Asia said attractive OSPs will not lure them to increase crude purchases from Middle Eastern suppliers, as oil products demand remains fragile. Refinery run rates also remain relatively low after the recent resurgence of COVID-19 in the region. This brings us to our social media question this week: Do you expect all Middle Eastern producers to raise official selling prices for crude? Share your thoughts with the hashtag PlattsMM. The market will also be closely monitoring the recovery of US President Donald Trump from COVID-19, after his diagnosis late last week sent crude prices tumbling. The progress of Trump’s fight against the virus will dominate market direction in the coming days. On to refined products, where supply-side fundamentals in Asia’s transportation fuel markets are likely to stay muted. South Korean motor fuels exports are estimated at around 60 million barrels in Q4. According to a recent Platts industry survey, and as shown here, that figure is down 14% from Q4 2019, and 9% lower than in Q3. On the other hand, Chinese gasoline exports are expected to remain heavy, with refiners seeking to use the regional market as an outlet to offset domestic inventory pressures. Chinese oil companies are expected to export as much as 1.4 million metric tons of gasoline in October. In LNG, China's environment ministry has proposed replacing coal with clean energy as feedstock in the heating systems of 7 million households in northern provinces by end-October. This move could boost natural gas demand and LNG imports this winter. The last time coal-based boilers in Chinese cities were switched to gas, in the winter of 2017, it triggered severe gas shortages. However the region's gas supply infrastructure has expanded since then, and China's gas supply has increased. S&P Global Platts Analytics said the key will be the weather – if this winter is colder than average, as some forecasts indicate, there could be more demand for heating, which could see coal used for heating in tandem with gas. More on coal, eyes are on the ongoing benchmark price negotiations between Australia’s Glencore and Japan’s Tohoku Electric Power for high-calorific value coal. Market sources are currently expecting a bumpy settlement process amid a wide bid-ask spread of more than 10 dollars per metric ton. Meanwhile, China’s domestic coal prices are looking firm amid winter stocking activity by utilities, while high-ash 5,500 NAR Australian coal prices are seen stable to lower during China’s ongoing holiday. Market participants in the metals space are awaiting China’s return to the market to get a clearer sense of price direction. China’s finished steel prices were on a downtrend in September, while raw material prices held up reasonably well. This had squeezed steel margins hard and Chinese mills and traders will try to lift prices. Whether higher prices will be accepted is another thing. Finally, in shipping, we go to India where the government has extended the waiver of the 5% Goods and Services Tax on export freight until September 2021. This move comes as a relief to exporters grappling with weak demand and high container rates. The waiver applies to both air and ocean export freight, and comes after weeks of speculation the government was not planning to extend the waiver. The announcement came on September 30, much later than in previous years. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-10-05T03:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04.18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/092820-market-movers-americas-california-outages-rbob</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-28T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rmqQQ6mMdHp47B3ekVwjg6</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/092820-market-movers-americas-california-outages-rbob-trier.png</video:thumbnail_loc><video:title>Market Movers Americas, Sep 28-Oct 2: California wildfire risk could lead to outages, RBOB cracks test one-month high</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Anna Trier: * PG&E warns customers about potential power shutoff * European coal prices could boost US market * USGC FOB crudes at discount to pipeline values * RBOB cracks test one-month highs following stock draw * US hot-rolled coil prices stabilize as lead times extend View Full Transcript In this week’s Market Movers: California electric customers brace for potential power outages, the US Gulf Coast crude oil export market comes under pressure, and US hot-rolled coil prices stabilize as lead times extend. Pacific Gas and Electric warned electric customers about potential power outages as hot, dry conditions mixed with strong winds over the weekend and into the coming week could increase the risk of wildfires. During a Labor Day heat wave, PG&E, along with other California utilities, initiated Public Safety Power Shutoffs, which are proactive outages when severe weather threatens a portion of the electric system. The event caused Southern California power price spikes into the $160s/MWh. Five of the top 20 largest wildfires in California history have occurred in 2020 with more than 8,000 wildfires burning over 3.6 million acres in California so far. In what could be a good sign for US coal markets, the price for delivered thermal coal into Northern Europe last week pushed to new highs for the year, driven by supply tightness in Colombia, Australia and Indonesia, as well as increased Chinese import demand. Stronger global markets will open export opportunities for US producers, who have been struggling with low domestic power and steel demand. In crude, the US Gulf Coast export market has been under pressure with values moving to a discount to the local terminal market, an unusual price dynamic potentially caused by oversupply. Platts American Gulf Coast Select averaged over a 26 cents/b discount to WTI at the Magellan East Houston terminal in the month leading up to September 25, down from a 4 cents/b premium the month before. Weakness in Platts’ new waterborne benchmark has coincided with narrowness in the spread between Brent and WTI and weak demand abroad. This week the market will be watching for improved demand in Northwest Europe and Asia to help restore values on the water to at least parity with the local market. Gasoline cracks have strengthened as US inventories have returned to normal with the front-month ICE New York Harbor RBOB crack versus Brent climbing to above $8/b on Sept. 25, the strongest since August. Total US gasoline stocks fell to 227.5 million barrels in the week ended Sept. 18, US Energy Information Administration data showed Sept. 23, putting stocks just 0.9% above the five-year average. This is the narrowest supply overhang since mid-March and deflates a surplus of as much as 10.4% seen in early June. In US mills, tight supply led US hot-rolled coil prices to stabilize around $600 per short ton last week, with market sources indicating that extending lead times at US flat-rolled mills should help mills keep offer levels firm in the coming week. Platts data showed that average hot-rolled coil lead times extended to 7.2 weeks and both cold-rolled coil and hot-dip galvanized products saw their longest lead times since early June 2018 last week, with cold-rolled coil lead times stretching to 7.9 weeks and hot-dipped galvanized sheet lead times at 8.8 weeks. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week!]]></video:description><video:publication_date>2020-09-28T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/092820-libyan-oil-gas-season-europe-chooz-turkey-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-28T12:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=N6DReB8YQSghQkHRPA3LU1</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/092820-libyan-oil-gas-season-europe-chooz-turkey-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 28-Oct 2: Oil markets see the return of Libyan oil; new gas season starts in Europe</video:title><video:description><![CDATA[In this week's highlights: The first Libyan oil exports in eight months are returning to the market; gas market participants watch closely the start of the new European gas year; power markets tackle low river levels; and a WTO panel meets to consider Turkish complaints over steep import safeguard curbs. Libyan oil flows as demand ebbs Europe to see start of new gas year Power markets await Chooz restart WTO sits on Turkey’s EU steel complaints View Full Transcript In this week's highlights: Gas market participants watch closely the start of the new European gas year; power markets tackle low river levels; and a WTO panel meets to consider Turkish complaints over steep import safeguard curbs. But first, oil markets will be closely monitoring high-frequency data for signs that new lockdowns to flow pandemic infection rates in key demand markets in the Europe and the US are once again hitting oil demand. At the same time, the first Libyan oil exports in eight months are returning to the market amid a fragile truce between regional forces. The prospect of over 1 million barrels a day of light, sweet, Libyan oil hitting the market in the coming weeks as the demand outlook weakens will be bearish for oil prices and force OPEC and its allies to look closely at their current moves to ease agreed production cuts. Key OPEC ally Russia is due to report its September oil production and export data on Friday and market watchers will be looking for evidence of compliance with its commitments under the OPEC+ agreement, as well as details of supply volumes to Belarus after a dispute lead to supply disruptions earlier this year. And that takes us to our social media question for the week: How long do you think Libyan oil's return to the market will last? Tweet us your thoughts using the hashtag #PlattsMM. Talking of returns, this week marks the start of the new European gas year on October 1st, with market players watching for any change in flow behavior. It also marks the start of the "winter" gas season and, with EU storage stocks around 94% full, as seen in this graph, the market will be looking to see whether there are withdrawals early in the season or whether milder weather will mean limited stock drawdowns. Stocks across the EU were slightly fuller at this time last year, but that was when the market was fearful of disruption to Russian gas flows via Ukraine at the end of 2019, a scenario that did not play out. Also, this year there is some 10 billion cubic meters of additional stocks in Ukraine, which has acted as an "overflow" for European gas storage when it looked like sites would hit tank-top earlier this summer. That surplus gas held in Ukraine is also expected to start coming to Europe through the fourth quarter on top of expectations of more Russian and Norwegian gas, as well as LNG, as winter demand starts to kick in. Moving from an overflow to a drought, power traders are focusing on low river levels - not on the Rhine, where traditionally this issue affects coal deliveries - but on the Meuse in France, where EDF's huge Chooz nuclear plant has been offline since late August. It is scheduled to return early October, assuming river levels rise, allowing for a more normal cooling regime. Northwest European power supply should also get a boost from the emergence of two gas plants from mothballs - RWE's Claus C plant in the Netherlands, and two units at Uniper's Irsching plant in Germany. European power prices spiked twice in September to levels not hit for years as low wind output tightened capacity margins, as you can see on the chart. That all changes if and when wind levels pick up into winter and the threat of negative prices rise in oversupplied offpeak hours. And finally, a World Trade Organization panel will start to consider Turkey's complaint over EU steel import safeguard curbs on Monday. Turkey says these are protectionist and that there is insufficient proof of harm to EU steel mills to justify them. If the grounds for Turkey's complaint are approved by the panel, which includes representatives of 13 third nations, this could set a precedent for other nations to present complaints, especially as EU steel imports have recently fallen. A final report from the panel is expected within six months. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-09-28T12:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/092820-asia-jet-fuel-gasoline-golden-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-28T03:16:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=F8AsePhKVxinEf6r3uU6vh</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/092820-asia-jet-fuel-gasoline.jpeg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 28-Oct 2: Refiners reshuffle oil product slate as jet fuel outlook remains bearish</video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers, with Associate Editor Joyce Zhang : ** Oil refiners slash jet fuel output on bearish outlook ** China holiday to support gasoline, gasoil demand ** Winter restocking to drive seaborne coal market activities ** China's post-COVID recovery starts to ease ** Polyethylene market faces oversupply concerns View Full Transcript Refiners reshuffle oil product slate as jet fuel outlook remains bearish The highlights in Asia this week: activities in several markets are expected to be subdued as China’s eight-day holiday draws near, tanker freight rates outlook bearish, and winter stocking activities seen to keep the seaborne thermal coal markets busy. But first, Asian refiners are finding more reasons to reshuffle their oil product slate and slash jet fuel output, as industry experts maintain a bearish outlook on the aviation front, with international flights still heavily curtailed following the resurgence of COVID-19. Major refiners across East Asia including South Korea's GS Caltex and Thailand's PTT said they are planning to slash their Q4 jet fuel production volume by at least 35% from the same period last year and around 10% less than their Q3 output. As this graph shows, the jet fuel market structure has recovered from the trough around April and May, but it remains under pressure. The International Air Transport Association said passenger travel so far this year has plunged 92% from 2019 levels. In a recent report, the Centre for Asia Pacific Aviation said that the aviation industry is "headed for a previously unimagined level of disruption" in the next few months. Continued lockdowns and travel restrictions are expected to keep a lid on jet fuel prices with vaccines and effective COVID-19 spread control measures presenting the only glimmer of hope. Now, many Chinese oil traders are expected to be absent from international market during the country’s Golden Week holidays. However, domestic demand for oil products such as gasoline and jet fuel are expected to witness an uptick in the coming days, with holiday trips during this period likely reduce inventories. China’s refiners capped jet fuel output at 3.42 million mt in August, a 27.6% year-on-year reduction, to keep domestic inventory at comfortable levels, data from National Bureau of Statistics showed. Trading is also expected to be subdued in the metals market ahead of the holidays. But the steel market will be watching the data on China’s manufacturing performance for August which will be released later this week. Recent macroeconomic data had suggested that China’s post-Covid recovery is starting to ease. Weaker steel prices are squeezing margins and putting pressure on raw material prices. Seaborne iron ore prices fell to around $115/dry mt delivered to China last week, down around 11.5% from the week before. With the market slowing ahead of the holidays, observers doubt there will be much price upside before activity resumes after the break. This brings us to our social media question of the week: Will iron ore prices weaken before the holidays? Share your thoughts with the hashtag PlattsMM. Meanwhile, coal traders are expected to stay active in the first half of the week to take position for cargoes loading in November and December. We’re also observing some post-monsoon demand from India, which could lend support to prices. In petrochemicals, Asian polyethylene faces oversupply concerns over weak demand and new capacities. Asian PE price may soften during the holidays due to weak demand in early October, sources said. And finally in shipping, the Long Range II clean tanker freight looks headed towards a two-month low in the next few days as lack of LR2 size cargoes in the Persian Gulf is resulting in the piling up of ships. Refineries are producing fewer products and inter-region trade has slowed down drastically and is mostly taking place on the smaller Medium Range tankers. With the coronavirus pandemic still raging, global refining is forecast to hit a seven-year low in 2020, which in turn is reducing demand to move oil products on tankers. However, since the freight of smaller ships is much higher than the Long Range II ships, some of the parcels may now be combined together to load on the bigger ones. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2020-09-28T03:16:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/092120-market-movers-americas-us-crude-china</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-21T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nUxk4hPAUoJgP3GemdsZp8</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/092120-market-movers-americas-us-crude-china-hallahan.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Sep 21-25: Flotilla of US crude heads toward China</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Kelsey Hallahan: * VLCC flotilla of US crude heads toward China * Higher netbacks bolster US LNG feedgas demand * NYMEX RBOB futures rise as hurricanes reduce refinery runs * US hot-rolled coil prices approach $600/st View Full Transcript In this week’s Market Movers: an armada of tankers loaded with US crude sails toward China, US LNG feedgas volumes recover amid European price strengthening and the extended outage at Cameron LNG, NYMEX RBOB gets a boost from lower US Gulf Coast refinery runs, and US hot-rolled coil prices approach heights last seen in January. Starting off with crude oil flows … A fleet of Very Large Crude Carriers loaded with US crude is en route to China as traders had booked cargoes this summer ahead of the Phase 1 one trade deal review. About 21 million barrels departed the Gulf Coast for China over the last seven weeks, according to cFlow data. The Chinese buying spree of US crude may continue during the Coronavirus pandemic following China’s affirmation to the trade deal as the arbitrage for WTI into Northeast Asia remains open, according to Platts Analytics. Turning to another kind of waterborne commodity … US liquefaction terminal utilization has seen a healthy recovery since feedgas volumes bottomed out August 26. The recovery is expected to continue this week despite the ongoing outage at Sempra’s Cameron LNG and the possibility of disruptions from a storm in the Gulf of Mexico. With the US Henry Hub October contract now trading in the low $2/MMBtu range, and European gas prices finding support on the extended Cameron outage, LNG netbacks from the Dutch TTF have widened to near year-to-date highs. This recent development could incentivize incremental spot LNG loadings in October. Cancellations of cargoes scheduled to be loaded on the Gulf Coast in October were previously said to be the fewest since May. Meanwhile, in gasoline markets … NYMEX RBOB futures have seen a sharp increase as the recent hurricane activity along the US Gulf Coast limits the region’s refinery runs, threatening East Coast supply. The US Gulf Coast remains the main source for East Coast RBOB supply, but inventories there have tightened in recent weeks as a veritable parade of tropical storms and hurricanes have taken refinery capacity offline. S&P Global Platts Analytics does not expect US Gulf Coast offline crude distillation capacity to fall below the 1.64 million barrels per day seen in the week ended August 21, the week prior to the first refinery shutdowns ahead of Hurricane Laura, until the week ending October 23. The supply tightness in the US Gulf Coast has helped push front-month RBOB futures up more than 10% from their September 8 th lows, even as gasoline demand continues to trend downward. Finally, turning to steel markets … Limited availability and tight inventories could help US hot-rolled coil prices surpass $600 per short ton this week, marking the first time US HRC prices have crossed that threshold since January. US hot-rolled coil prices have risen more than $150 since early August, as higher end-user demand coupled with planned mill outages pressured prices and lead times. The average lead times for hot-rolled coil lengthened to 7 weeks as of September 16, achieving the longest level since late July 2018. Buyers last week were debating the resiliency in flat-rolled sheet pricing, but noted that most mills were holding offers firm at $600. For more on all the issues affecting commodity markets, check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thank you for kicking off your Monday with us and have a great week!]]></video:description><video:publication_date>2020-09-21T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/092120-opec-compliance-nord-stream-navalny-tesla-germany-renewables</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-21T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LmhoRU4uyRHXHUGbvj8qt7</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/092120-opec-compliance-nord-stream-navalny-tesla-germany-renewables.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 21-25: OPEC+ compliance takes the spotlight; Nord Stream 2 meets political controversy</video:title><video:description><![CDATA[In this week's highlights: Compliance with OPEC+ commitments will be at the forefront of the oil market’s mind; the West African oil market will be looking for signs of a pick-up in demand from Chinese refiners; the German government is expected to pass a reform of the renewable energy law; and the row intensifies over a controversial gas pipeline. View Full Transcript In this week's highlights: The West African oil market will be looking for signs of a pick-up in demand from Chinese refiners; The German government is expected to pass a reform of the renewable energy law; and the row intensifies over a controversial gas pipeline. But first, compliance with OPEC+ commitments will be at the forefront of the oil market's mind this week after the group's top ministers vowed strict management of the market. The spotlight will fall on those countries which are due to submit plans by the end of the month for compensating for their failure to comply fully with production cuts in August. Under-compliance by various members of the group amounted to between 300,000 and 800,000 barrels a day between May and August, with Iraq moving into compliance last month, but being replaced by the UAE as a flouter of production quotas. On the demand side, market participants will be watching the trading cycle for November-loading West African crude cargoes which is set to start this week. Sources say demand for West African crude could rise as Chinese independent refiners begin to use their import quotas for the first quarter of 2021, with many having already exhausted their 2020 quotas. Another factor which might encourage purchases of West African crudes grades is the fact they are priced against Brent. As you can see from the chart, Brent has been falling in relation to Dubai crude. Traders say this could incentivize Far Eastern refiners to look at buying Brent-linked crudes. On Tuesday, the focus will turn to Tesla, as it hosts its annual Battery Day. Musk made waves in the nickel market recently when he said he'd be willing to pay out for ethically sourced material, which many think is a hurdle in itself. Other metals likely to get pulled into the debate will be copper and cobalt. Copper is already trading at highs not hit since 2018. And that takes us to our social media question for the week: Which commodities do you think will benefit most from the push for electric vehicles. Tweet us your thoughts using the hashtag #PlattsMM. Elsewhere, Germany's coalition government will be dealing with how to provide renewable power to drive those electric vehicles among other purposes on Wednesday. The coalition is set to pass a reform of the renewable energy law amid intense debate on the details of how to achieve 65% renewables in the power mix by 2030. An energy ministry draft envisaged 40 gigawatts of subsidized solar and wind contracts to be tendered between 2021 and 2025 with government forecasts targeting annual generation of 377 terawatt-hours of green electricity in a decade. The key focus will be on future support for first-generation wind and solar, with some 10 gigawatts running out of contracts by 2023 when Germany will have shut its last nuclear reactors. And finally let's end where we began, with some countries asking others to stick to the rules. The European gas market will be monitoring the growing political controversy over the Nord Stream 2 gas pipeline from Russia to Germany. As you can see from the map, the 55 billion cubic meter a year pipeline is crucial to Russia's plans to scale down its use of Ukraine as a transit country for its gas supplies to Europe from 2021. However, there have been increasing calls for Germany to halt the project in response to the poisoning of Russian opposition politician Alexei Navalny in August. The pipeline is almost complete with just 160 kilometers left to lay in Danish waters. The threat of US sanctions has caused pipelaying work to be suspended since December last year, and there are increasing signs that its completion may be in serious doubt. For more on all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking of your Monday with us and have great week-ahead!]]></video:description><video:publication_date>2020-09-21T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/092120-opec-oil-strategy-asia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-21T03:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JQ2XWESx3bXP53Qq6ENVqJ</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/092120-opec-oil-strategy-asia.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 21-25: Oil producers rethink Asia-Pacific sales strategies </video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers, with Associate Editor Shilpa Samant : ** Oil producers reassess sales strategies as Japan's crude imports drop ** Winter demand to drive LNG prices ** Close watch on Chinese import quotas for seaborne coal ** Steel and iron ore markets on wait and watch mode ** China surprises market with grain quota roll over ** New paraxylene capacity coming online in October View Full Transcript Oil producers rethink Asia-Pacific sales strategies This week: winter demand seen driving LNG prices, possible relaxation of Chinese import quotas on coal, and steel buyers on "wait and watch" mode ahead of China's National Day holiday. But first, crude oil producers across the Middle East and Asia Pacific will be reassessing sales strategies in Asia, after Japan -- the region's third biggest petroleum consumer -- said its crude imports are on course to fall to the lowest level in decades for the rest of 2020. Japan's July crude imports, plunged nearly 32% on year to just over 2 million b/d, the lowest in a month in more than 50 years, as a second wave of coronavirus infections hits demand. The scramble for Asia's market share comes after Saudi Arabia's energy minister on Sept. 17 said he has secured commitments from OPEC+ deliver on their pledged crude production cuts by the end of the year. The OPEC+ coalition in August rolled back its historic 9.7 million b/d production cut accord to 7.7 million b/d and is scheduled to relax it further to 5.8 million b/d at the start of 2021. This brings us to our social media question of the week: Do you think OPEC+ countries' latest commitent to honor supply cuts by December will support crude prices? Share your thoughts with the hashtag PlattsMM. On to generating fuels, coal market participants will keep a close eye on any possible relaxations of Chinese import quotas. This may further support seaborne coal prices, as Chinese domestic coal continues to tick higher on winter stocking. According to sources, supply constraints in the mid-high heating value segment of seaborne Newcastle and Kalimantan coal may help to buoy FOB export prices. Australian coal prices may also inch higher amid firm demand from northeast Asia and China. In LNG, eyes are also on winter demand which is likely to support Platts JKM prices through February, according to Platts Analytics. Platts JKM rose above $4.8/MMBtu last week and analysts forecast winter highs of over $6/MMBtu. For now, high inventories and fewer US cargo cancellations are keeping markets well supplied. And a contraction in industrial activity could put as much as 40 million cu m/d of Chinese natural gas demand at risk. But prices are expected to recover globally once winter demand sets in. Now in metals, buyers are likely to take a "wait and watch" approach ahead of China's National Day holidays next week, which could see steel and iron ore prices weaken further. Chinese steel and seaborne iron ore prices have weakened in the past couple of weeks partly due to China's tightening credit conditions and trying to take the heat out of the country's property sector. Steel inventories have risen quickly as demand has tapered off. China is also the main focus grain market participants as they keep a close watch on the latest developments after Beijing kept its tariff rate quota for importing corn, wheat and rice in 2021 unchanged from 2020 levels, amid its recent buying spree of US agricultural products. The move has surprised many analysts who were expecting easing of the quota in the range of 10-25 million mt. China is already seeing tight supply situation as corn demand has been increasing while its auctions from state reserves are getting sold out, leading to record high domestic prices. And finally in petrochemicals, new paraxylene capacity in China could further impact an already oversupplied market. The latest addition to China's paraxylene capacity will be Sinochem Quanzhou's Fujian unit with 800,000 mt/year expected to come online in October. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2020-09-21T03:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/091420-market-movers-naptha-arbitrage-usgc-diesel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-14T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=r1uDVGVDX9BnetA1NNqCpa</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/091420-market-movers-naptha-arbitrage-usgc-diesel-baquerizo.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Sep 14-18: Naphtha arbitrage opens, USGC diesel at six-month high</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Nicole Baquerizo: * Naphtha arbitrage opens on low clean freight * USGC diesel eyes refinery returns with six-month highs * RBOB backwardation collapses as demand outlooks dim * Corn and soybean yields drop in WASDE View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-09-14T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091420-opec-bp-oil-tanker-floating-storage-sugar-expiry-appec</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-14T12:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jgFkUGZM7RB97S6wj2Ygox</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/091420-opec-bp-oil-tanker-floating-storage-sugar-expiry-appec.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 14-18: Demand in focus for oil, tanker and sugar markets</video:title><video:description><![CDATA[In this week's highlights: Major conferences will be watched for key corporations' views on the oil market. The European Commission is expected to propose tougher carbon target for 2030; and all eyes will be on who has a sweet tooth at the London white sugar futures expiry. BP, IEA, OPEC to present oil market outlooks Top execs speak at major Asian, African oil conferences EC to propose tougher 2030 carbon target Delivery size focus for October white sugar expiry]]></video:description><video:publication_date>2020-09-14T12:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091420-platts-appec-oil-demand-recovery-roadmap</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-14T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CrY8EDLTSNcuvuFVWgnpqT</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/091420-platts-appec-oil-demand-recovery-roadmap.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 14-18: All eyes on #PlattsAPPEC as key stakeholders tackle oil demand recovery roadmap </video:title><video:description><![CDATA[The highlights in Asia this week with S&P Global Platts Editor Fred Wang: ** Oil demand recovery in focus at #PlattsAPPEC as oil consumption drops in Asia ** Corn market eyes China's demand after typhoons hit crops in key Chinese regions ** Seaborne coal traders watch for further easing in China's import restrictions ** Steel and iron ore markets await the release of China's key economic and investment growth data for price direction ** Dry bulk sentiment remains bearish on sluggish movement of grain cargoes from US Gulf Coast and South America Get #PlattsAPPEC updates in realtime on Twitter and LinkedIn View Full Transcript All eyes on #PlattsAPPEC as key stakeholders tackle oil demand recovery roadmap The highlights in Asia this week: Platts APPEC conversations keep oil markets abuzz, thermal coal traders eye further easing in Chinese import quotas, and bearish sentiments grip the dry bulk shipping sector. But first, the roadmap for oil demand recovery is in focus at the 36th Asia Pacific Petroleum Virtual Conference organized by S&P Global Platts. The conference is taking place at a time of plummeting oil consumption in Asia. The coronavirus pandemic had exposed weaknesses in regional refineries, and a slew of fuel producers have been constantly reviewing their 2020 operation plans in the face of falling margins and fast filling onshore storage. Now, dire economic forecasts in Asia signal more demand destruction for a range of transportation and power generation fuels in coming months. Chinese refineries are optimizing their resources to secure overseas orders and expand their scale of product exports, as they have been grappling with high oil product inventories due to dismal domestic fuel consumption. Tepid crude imports by Japan, South Korea and India could also raise alarm bells among major Persian Gulf producers, as many Asian refiners determined to keep their run rates low as fuel demand recovery remains fragile across the region. Other highlights at Platts APPEC this year include insights from OPEC Secretary General Mohammed Barkindo as the market looks for cues on the effectiveness of the OPEC+ production cut framework at a time when global oil demand remains sluggish. The conference also features CEOs of Vitol, Indian Oil Corp and other leading companies. Industry thought leaders lay out their strategies that might aid the oil market's recovery and share their views on the future of oil at a time when markets are witnessing a strategic shift as the world prepares for energy transition. So for our social media question this week: When do you expect world oil demand to return to pre-pandemic levels? Share your thoughts on our various social media platforms with the hashtag PlattsMM. In agriculture, markets will keep a close eye on the pace of China’s corn purchases after a typhoon flattened corn crops in key regions, leading to supply tightness. China’s auctions from state reserves are getting sold out, while domestic prices remain at multi-year high. China has been on a corn buying spree recently with most of the focus on US purchases. CFR corn prices into North East Asia have also risen to pre-COVID levels on the back of emerging strong demand from China. On to thermal coal, seaborne traders are keeping a close tab on any further relaxations in China’s import restrictions. Shenzhen and Xiamen customs opened up 3 million metric tons of thermal coal import quotas last week. Eased restrictions are expected to support FOB Kalimantan prices, amid surging Qinhuangdao coal prices and domestic supply constraints. Chinese domestic coal prices were expected to inch up amid winter restocking ahead of an upcoming Daqin railway maintenance. In metals, market participants will be eagerly watching China’s macroeconomic data, as well as August house price figures, and fixed asset investment growth in property and infrastructure. China’s steel market has surged in Q3 on expectations of further government stimulus. But domestic prices cooled last week on the basis that prices had run up too high, if the end-user growth numbers for August are softer than expected, it could dent sentiment and result in weaker steel and iron ore prices this week. And finally, on what moves these commodities around, in dry bulk shipping iron ore loadings on east coast of India are expected to pick up amid visible weather improvement. The overall sentiment in Asia-Pacific Panamax and Supramax markets is still quite bearish as grain cargoes from the US Gulf and east coast South America have been sluggish. Judging from the limited ballasters to the region, our dry bulk team expects the market’s underperformance to continue. Thanks for kicking off your Monday with us. Stay safe and have a great week ahead!]]></video:description><video:publication_date>2020-09-14T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/090720-crude-demand-covid-germany-wind-power-petchems-gas-storage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-07T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=TJ6mxZkgLsA1iW8zL5xuMV</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/090720-crude-demand-covid-germany-wind-power-petchems-gas-storage.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 7-11: Crude demand remains uncertain; Germany pushes for cleaner wind energy</video:title><video:description><![CDATA[In this week's highlights: The oil market hopes for demand recovery as coronavirus infections ease; the German parliament is set to debate offshore wind options; gas flows into Ukrainian storage will be eyed; and the petrochemicals market will look for demand cues from the auto industry.]]></video:description><video:publication_date>2020-09-07T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/090720-us-china-trade-deal-soybeans-crude-imports-appec</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-09-07T04:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9rW1g1BNXMQgEQk1GfjENw</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/090720-us-china-trade-deal-soybeans-crude-imports-appec.jpg</video:thumbnail_loc><video:title>Chinese demand drives up US soybean prices; crude oil imports seen dipping</video:title><video:description><![CDATA[The highlights in Asia this week with S&P Global Platts Senior Editor Nora Juma'at : ** China soybean crushes look to US for prompt bargains for November demand ** LNG stakeholders to tackle post-COVID response ** Clean tanker demand seen easing ** Capesize dry bulk rates seen making a turn after dropping last week ** Ethylene prices rise on supply concerns ** Asian coal demand remains tepid Related: Event: Platts APPEC View Full Transcript Chinese demand drive up US soybean prices; crude oil imports seen dipping The highlights in Asia this week: China’s September crude oil imports are likely to dip, supply concerns impact ethylene prices, and clean tanker freight rates are headed for another decline. But first, further indications of Beijing’s commitment to the requirements of its trade deal with Washington emerge as China's private soybean crushers are returning to the US looking for prompt bargains to fulfill November demand. The robust Chinese demand has pushed US bean prices higher, while the number of US soybean cargoes headed to China is on the rise. Apart from soybeans, the US has also sold more corn, wheat and pork to China compared with previous seasons. Still on China, the country’s oil, crude and bitumen blend imports in the coming months are set to extend the downtrend from the third quarter, given the high crude inventories, thinning margins and quickly depleting import quotas. In August, these imports had fallen by close to 10% to 4.22 million barrels per day, from the record high 4.68 million barrels per day in July. Meanwhile, the number of new crude oil cargoes arriving in China in September is expected to fall. This will continue to reduce China's total crude imports, which had peaked at a record high 12.99 million barrels per day in June. This week in LNG the Gastech Virtual conference is expected to keep the market abuzz as issues such as how the industry will respond to the post-pandemic environment will be addressed. Last week, LNG prices in Asia had stayed above the 8-month high of $4/MMBtu after Cameron LNG in the US notified off-takers of more than a week-long delay and following Australia’s Gorgon LNG’s announcement that maintenance at Train 2 will extend into October. Prices are likely to remain supported, especially if the Sabine Pass terminal, which is to come back online this week, faces further delays. This brings us to our social media question: Will Asia’s LNG prices stay above the 4-dollar mark this week? Share your thoughts with the hashtag PlattsMM. Moving on, ethylene prices in Asia’s petrochemical markets have gained on concerns of a supply crunch as US plants shut in the aftermath of Hurricane Laura. As a result, Asian steam crackers are likely to switch feedstocks from naphtha to liquefied petroleum gas as LPG is able to produce more ethylene. In thermal coal, prices are expected to stay firm as buyers stock up for the coming northern hemisphere winter. But Asian demand remains weak as power plants in China and India are sufficiently stocked. On the shipping front, clean tanker freight rates are headed for another round of declines, as planned maintenance at Middle East refineries will reduce output. The slowdown in demand is already reflected in rates, which have fallen from recent highs. Now in dry bulk, Capesize freight rates dropped even further last week but is expected to be making a turn soon. Given iron ore’s firm prices, all major shippers are expected to ship out in full swing and clear out the spot market. In the coming weeks, market participants are slightly bearish on the back of condensed Chinese coking coal demand and a possible domino effect from the waning rates of the larger sizes. Finally, you still have the whole week to register for the thirty-fourth Asia Pacific Petroleum Conference happening from September 14 to 16. This year’s conference features six sessions that will take you through a complete journey along the supply chain. Check out spglobal.com/appec to know more about the sessions and our stellar line up of speakers. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-09-07T04:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/083120-market-movers-oil-gas-hurricane-laura</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-31T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=SLvYzfqXVsXfRWKzxL71Ho</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/083120-market-movers-oil-gas-hurricane-laura-mower.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Aug 31-Sep 4: Oil, gas producers in recovery mode after Hurricane Laura</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Jeff Mower : * US Gulf of Mexico offshore output returning * Texas, Louisiana refiners ramping up * Chemical producers see limited damage * US LNG cargo cancellations expected * Grain prices rally on poor crop quality View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-08-31T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/083120-japan-shinzo-abe-coronavirus-gasoline-jet-fuel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-31T03:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=STGaNALuks1Jmt5S7mtbka</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/083120-japan-shinzo-abe-coronavirus-gasoline-jet-fuel.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 31- Sept 4: Transport fuels demand outlook remains weak; Japan's energy policy in focus</video:title><video:description><![CDATA[The highlights in Asia this week, with S&P Global Platts Associate Editor for Asia LNG Masanori Odaka : ** Japan's renewable energy and decarbonization policies to remain in place despite Prime Minister Shinzo Abe's resignation ** Surge in new coronavirus cases dampens transport fuels demand recovery ** Japan's gasoline and gasoil demand in August lowest in decades ** Asia spot LNG prices seek direction ahead of winter peak season ** Hurricane concerns in the US brew mixed sentiments in Asian petrochemical markets Related: Event: Platts APPEC View Full Transcript Transport fuels demand outlook remain weak; Japan's energy policy in focus The highlights this week: motor fuels demand outlook remain weak due to rising cases of COVID-19 in numerous countries, LNG markets seek price direction, and hurricane concerns in the US draw weak sentiments in Asian petrochemicals. But first, markets are digesting news about Japanese Prime Minister Shinzo Abe’s resignation, which he announced late last week. Refining and renewable energy industry sources said Abe's decision to step down wouldn't necessarily lead to any major shift and changes in the country's energy policies. But any possible shift in Abe's strong push for the Olympics could potentially derail the pickup in construction activities and housing property prices seen over the past few years. This could in turn dampen industrial diesel consumption to some extent. Looking at the wider market now, a second wave of surging COVID-19 cases across Asia and Oceania will likely inject fresh weakness and hinder demand recovery for the transportation fuel markets, as various governments race to prevent further spread of the virus. Japanese refiners' estimated domestic jet fuel shipments were down by close to 20% in the four weeks to August 22, indicating a slow recovery in aviation fuel demand during the peak summer holiday season. The country’s motor fuel demand also hit its lowest in decades this month. In South Korea, industry sources expect the country’s gasoline, diesel and commercial jet fuel demand to take a tumble in the next few weeks. The rise of new cases has prompted the government to call for tightened social distancing measures that is greatly reducing population mobility. Australia, which imports more than 60% of its gasoline and gasoil requirements, has also re-imposed COVID-19-related restrictions earlier in the month. Bearish fundamentals have been reflected in the steady decline in the FOB Singapore 10 ppm sulfur gasoil cash differential, which is averaging at minus 31 cents/b month-to-date to MOPS gasoil assessments, slipping sharply from the July average of plus 63 cents/b. In LNG, the bullish sentiment has somewhat eased after spot prices neared a seven-month high in mid-August. Uncertainty stems from the lack of firm buying interest in Asia, US export constraints due to hurricanes and cargo cancellations, high European gas prices and supply disruptions in the Asia- Pacific region. Looking ahead into the winter, S&P Global Platts Analytics expects spot LNG prices to hit $6/MMBtu during the peak season. Do you share this price forecast? Share your thoughts on social media with the hashtag PlattsMM. Similarly, in petrochemicals, market participants are closely monitoring the Asian toluene market as weak demand and hurricane concerns in the US are brewing mixed sentiments. Languid demand had shoved the Asian toluene-naphtha spread deeper into the negative terrain, with the lowest level in more than two decades having registered at minus $24.25/mt on August 25. In coal, spot enquiries from Southeast Asia were mostly below market price indications with few firm commitments as traders await import prices to bottom out. Delivered prices for the seaborne low-cv materials to Southeast Asia dipped almost $7/mt over the past three months amid tepid Asian demand fundamentals and lukewarm power consumption requirement in the region. Finally, we hope to see you at the virtual Asia Pacific Petroleum Conference from September 14 to 16. This year's conference features six sessions, which will take you from the macroeconomic environment and the pandemic depression, price volatility, and market uncertainty, to the products markets and petrochemical markets, and even view points from the financial sector. Go to spglobal.com/appec for details and registration. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-08-31T03:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/082420-market-movers-americas-us-crude-tanker-markets-storms</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-24T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ni9mjxyyCsiHoCQx56RKKe</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/082420-market-movers-americas-us-crude-tanker-markets-storms-torres.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Aug 24-28: US crude, tanker markets keeping a close eye on approaching storms</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Astrid Torres: * Crude tankers watch USGC storms * Oil markets await double-punch from storms * China ups US crude purchases before trade talks * Record California heat boosting power prices View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-08-24T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/082420-lukoil-crude-gas-cooling-opec-coronavirus-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-24T12:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2jJyfCfSK52ykyEg6vBx9u</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/082420-lukoil-crude-gas-cooling-opec-coronavirus-petrochemicals.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 24-28: Energy and commodity markets brace for September; Europe burns gas to stay cool</video:title><video:description><![CDATA[In this week's highlights: Lukoil may detail OPEC+ and coronavirus impact; gas-fired power generation rises with the mercury; where next for carbon prices after their return to pre-pandemic levels? And key contract price talks loom the petrochemicals market. View Full Transcript In this week's highlights: Gas-fired power generation rises with the mercury; where next for carbon prices after their return to pre-pandemic levels? And key contract price talks loom the petrochemicals market. But first, Russia's second largest crude producer, Lukoil, is set to release its second quarter and first-half results Thursday. The company said earlier that its second-quarter oil output was down 11.6% on the year as deeper OPEC+ cuts hit production in May and June. Management are likely to field questions on the impact of the coronavirus pandemic, OPEC+ cuts, and taxation during a conference call on the results. Elsewhere in the CIS, civil unrest continues in Belarus, where the Naftan and Mozyr refineries have joined national strikes, and any leadership changes could affect terms and flows of Russian oil and gas exports to Europe. And that takes us to our social media question for the week: How do you think events in Belarus will affect energy trade between Russia and Europe? Tweet us your thoughts using the hashtag #PlattsMM. And let's stay with European gas where there will be a power struggle of a different kind. Fluctuations in demand from the electricity sector will be driving prices as power consumption for cooling grows with temperatures soaring to over 10 degrees Celsius above average. So far in August, Northwest European, non-household gas demand has averaged around 230 million cubic meters a day. This is the highest for an August in at least four years, according to data from S&P Global Platts Analytics. Above-average temperatures are forecast in both Northwest and Southern Europe until at least the start of September, which is likely to support gas-fired power generation for the rest of August. And while we're on the subject of hot air, EU carbon allowance prices have held above 25 euros a metric ton in August, after easing off a 14-year high of over 30 euros in July, as you can see in this chart. The market will be watching this week to see if prices can hold firm. Dramatic gains since a March crash to 15 euros a metric ton have taken prices back above their pre-coronavirus trading range, supported by an expected increase in the EU's 2030 emissions reduction target due in September, which will tighten supply after 2021. However, carbon prices may come under pressure as September approaches, with monthly auction volumes set to rebound to over 86 million metric tons, compared with just 37.5 million in August. And finally, the petrochemical sector will be cautious ahead of the September European ethylene and propylene contract price talks later this week. September is seen as a defining month for the petrochemicals market ahead of the fourth quarter. Rising coronavirus cases in Europe have increased economic uncertainty and made it hard to predict September demand for major plastics. After a period of high demand from packaging and medical applications during the peak of the pandemic, demand for both polyethylene and polypropylene remains contingent on continued economic recovery after the summer. To stay in touch with all the issues affecting commodity markets from wherever you are, make sure to check out Platts LIVE at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-08-24T12:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/082420-us-china-trade-crude-lng-soybeans</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-24T03:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9H59A7hpp4vUULQM5tzEqf</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/082420-us-china-trade-crude-lng-soybeans.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 24-28: China boosts US crude purchases in line with trade deal</video:title><video:description><![CDATA[The highlights in Asia this week, with Paul Bartholomew , S&P Global Platts Head of Metals News & Insight for Asia-Pacific: * China to ramp up crude oil and agricultural product purchases from the US to comply with Phase 1 of trade deal * LNG prices rise on uncertainties in Gorgon LNG supply * Seaborne iron ore prices hit 6-year high * Demand fundamentals weigh down Indonesian thermal coal prices * September contract talks for paraxylene and benzene set to kick off * Long Range tanker freight rates inch closer to three-month highs View Full Transcript China boosts US crude purchases in line with trade deal The highlights this week: China eyes buying more oil and agricultural products from the US, a heatwave in Japan impacts LNG and coal buying, and iron ore prices continue to soar. China is on track to receive a record monthly volume of US crude in August, which is expected to surpass 30 million barrels, as a flurry of tankers head towards Chinese ports. China has stepped up its purchases of North American crude grades in an effort to comply with the Phase 1 trade deal that the two countries signed in January. However, low global oil prices in 2020 means the value of China's crude imports from the US in the first three quarters may only reach $3.42 billion, which is far below its Phase 1 commitment. Our social media question this week is: Do you think China will import a record volume of oil from the US in August? Share your thoughts with the hashtag PlattsMM. China is also ramping up its purchases of US agricultural goods as part of the Phase 1 deal, buying more corn, sorghum and wheat than expected in recent weeks, along with a large volume of soybeans. Inquiries for soybeans from the US Gulf Coast were limited last week, but demand from Chinese buyers is expected to return this week to cover requirements from November. Moving to LNG, spot prices in Asia are expected to continue climbing this week after the Platts JKM crossed the $4/MMBtu mark last week on the back of supply uncertainty from Australia’s Gorgon LNG project. A heatwave in Japan is boosting its energy demand with all those air conditioners switched on, but the recent increase in LNG prices is making coal prices look very competitive. Platts Analytics also says there are signs the JKM rally could be losing steam as the spread between it and other global gas benchmarks widens for October and November, which could bring more supply back into the market. In thermal coal, production cuts across the Kalimantan archipelago are offering limited support to Indonesian export prices this week as sluggish seaborne demand fundamentals weigh on sentiment. A lack of clarity on China's import quotas and patchy inquiries from India are also keeping prices in check. In shipping, clean tanker freight rates appear to be heading for strong gains this week due to an uptick in demand. The expected gains will come after prices hit multi-year lows and provide a much-needed boost in earnings for owners, who a month ago were barely covering their operating expenses. An increase in road travel in Europe as lockdown restrictions ease is boosting demand to move Middle East gasoil to Europe, while demand for feedstock naphtha from petrochemicals units is supporting eastbound freight. In petrochemicals, negotiations for September Asia contracts for paraxylene and benzene are expected to begin this week. And finally in metals, seaborne iron ore prices hit a 6-year high of more than $120/mt delivered to China last week, but could come under pressure this week if Chinese steelmakers are unable to pass on the higher costs. In Japan, aluminum buyers will start to negotiate Q4 term premiums with suppliers this week. Buyers are expected to point to high aluminum port stocks and try to negotiate premiums below $80/mt for the next quarter. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-08-24T03:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/081720-market-movers-us-lng-cancellations</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-17T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MDUdmjYPFfMJZ1j4w88vmH</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/081720-market-movers-us-lng-cancellations-hernandez.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Aug 17-21: Markets await news of US LNG cargo cancellations</video:title><video:description><![CDATA[In this week's Market Movers Americas, presented by Sarah Hernandez: * Market awaits October cargo cancellations from US LNG facilities as recovery eyed * Coronavirus effects extend to seasonal gasoline trends * Clean tanker freight strong on back of high ULSD stocks * Aluminum tariffs take effect for Canada View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-08-17T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081720-norway-gas-maintenance-opec-output-cuts-carbon-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-17T12:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GCgrPDjvsYUUksNpdPKxSF</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/081720-norway-gas-maintenance-opec-output-cuts-carbon-prices.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 17-21: Norway’s gas industry set for maintenance, OPEC+ assesses output cuts</video:title><video:description><![CDATA[In this week's highlights: The oil market will be focusing on the next OPEC+ meeting; Norway's gas industry is set for the start of major summer maintenance; and will the European carbon market continue its downtrend? S&P Global Platts Launches First Sustainable Aviation Fuel Price Assessments in Europe View Full Transcript In this week's highlights: Norway’s gas industry is set for the start of major summer maintenance; and will the European carbon market continue its downtrend? But first, the oil market will be focusing on the next meeting of the OPEC+ group of producers’ Joint Ministerial Monitoring Committee set for Wednesday. The meeting’s aim is to assess the effectiveness of output cuts by the group, which accounts for nearly 40% of global production. Brent crude futures have largely stuck to $40-$45 a barrel range over the last couple of months, but the group faces the twin challenges of weak demand and discipline among its own members. Some countries are not meeting their cut commitments, and Russia has long wavered on the issue. We should get views this week from one Russian producer on a growth path, Gazprom Neft, which has a number of Arctic oil projects, when it publishes its results on Thursday. And that takes us to our social media question for the week: How long do you think OPEC-plus can maintain discipline on production? Tweet us your thoughts using the hashtag #PlattsMM. Moving from oil to European gas, Norway is set to begin its heaviest period of planned 2020 maintenance at a number of offshore fields this week. The series of planned maintenance work is set to have a major impact on Norway’s gas production capacity until the end of September. An average of around 50 million cubic meters a day of gas output will be curtailed, or around one seventh of its approximate 350 million cubic meters a day capacity. At times, however, the impact is set to be much greater and as you can see in this chart, is expected on some days to be as high as 140 million cubic meters a day. The traditional summer maintenance period on the Norwegian Continental Shelf comes as European gas prices remain historically low despite a small rally in recent weeks. And finally, to the EU carbon market, where emissions allowance prices have just dropped briefly below 25 euros a metric ton after July’s rally to a 14-year high of over 30 euros. As the chart shows, August has been lackluster for carbon prices so far, and market participants will be watching closely this week to see if the recent downward pressure on prices intensifies. Underlying compliance demand is still very low, with cheap natural gas keeping the cleaner fuel competitive against coal for power generation. Industrial demand is also weak due to the coronavirus lockdowns across Europe. On the supply side, monthly auction volumes in September through November are set to rebound above 85 million metric tons a month, keeping the market well supplied. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Elsewhere on our website you can find out all the details of our new Sustainable Aviation Fuel price assessment, launched Monday. Thank you for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-08-17T12:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/081720-opec-oil-demand-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-17T05:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JYUaKegM2uQPM2dmk11FSr</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/081720-opec-oil-demand-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 17-21: Oil demand recovery remains fragile; key OPEC+ meet in focus </video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers - Asia this week with Petrochemicals Editor Sophia Yao : ** OPEC lowers oil demand projection for 2020, 2021 ** Heavy rains expected to hit South Korea's Q3 gasoline demand ** Clean freight market expects further upside ** LNG prices hit 7-month high on supply outages]]></video:description><video:publication_date>2020-08-17T05:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/081020-market-movers-americas-pvc-demand-bounces-back</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-10T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qDABZRex1sdUfRcS33AmCX</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/081020-market-movers-americas-pvc-demand-bounces-back-melinek.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Aug 10-14: PVC demand bounces back from six-week decline</video:title><video:description><![CDATA[In this week’s Market Movers, presented by Jacquelyn Melinkek * PVC demand bounces back from a six-week decline * Midland WTI could see boost from stepped-up exports * Slow flight recovery hampers US jet exports * Expectations for higher corn yields pressure futures View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-08-10T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081020-key-oil-reports-german-steel-gas-storage-french-nuclear</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-10T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6ENugrfi28joHxX2H6re2k</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/081020-key-oil-reports-german-steel-gas-storage-french-nuclear.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 10-14: Key oil reports and state of German steel market eyed</video:title><video:description><![CDATA[In this week's highlights: Russia’s largest oil company Rosneft will publish its results; German largest steel maker Thyssenkrupp will give an update on its steel unit; and the UK government ends a consultation on biofuel regulations. Oil market deals with data gusher All eyes on Thyssenkrupp's steel unit Ukrainian gas storage injections step up sharply Power market eyes French nuclear plant availability UK govt eyes hike in biofuel mandate buy-out price View Full Transcript In this week's highlights: Russia's largest oil company Rosneft will publish its results; German largest steel maker Thyssenkrupp will give an update on its steel unit; and the UK government ends a consultation on biofuel regulations. But first, there will be an abundance of data and analysis for the oil market to get its teeth into this week, starting with Platts own survey of production by the OPEC+ group, on Monday, followed by OPEC's monthly oil market report on Wednesday, and the International Energy Agency's monthly oil market report on Thursday. Oil prices crept up last week, helped by a weaker dollar. However, the IEA and OPEC are also likely to consider the fears about demand that continue to stalk the market as the US summer driving season peters out, US-China tensions rise, and coronavirus spikes persist. As you can see from the chart, driving activity in Europe is making a slow recovery from its lockdown slump, and there are fears it could slow further or even go into reverse if there is a major second wave of coronavirus infections. We'll also be getting the view from Moscow, or at least one view, with second-quarter results due Friday from state-controlled oil company Rosneft. Early signs are the company won't book massive impairments along the lines of the oil and gas majors. Rosneft, as the country's largest oil producer, may have views on the future of OPEC+ production cuts, and the state of the European market, given its refining capacity. And that takes us to our social media question for the week: How do you see the recovery in European fuel demand developing. Tweet us your thoughts using the hashtag #PlattsMM. And talking of major companies giving an insight into the state of the market, Germany's largest steelmaker, Thyssenkrupp will be releasing its results on Thursday. Following the successful closing of the sale of its elevator unit at the end of July, the market will be looking for updates on the much-needed restructuring of the steel unit. Workers and unions have been urging more clarity on who a potential partner for the steel unit might be. Swedish steelmaker SSAB, Germany's Salzgitter or even a revived joint venture with Tata Steel have been discussed. But the pandemic has left steel mills struggling to maintain cash flow amid widespread capacity cuts and rising raw material costs. This makes it uncertain whether other companies would be willing to take the unit on. Returning to the former Soviet Union, the European gas market will be watching the rate of injections into Ukrainian storage sites, which have ramped up sharply since the start of August. The sites are capable of holding nearly 31 billion cubic meters of gas. As you can see, with the daily rate of injections accelerating in August, gas stocks in Ukraine are likely to end the storage season significantly higher than in previous years. Ukraine's storage sites are able to act as a European gas storage overflow, given that storage in the EU is currently 87% full. Demand for gas to be put into Ukrainian storage has curtailed Russian flows into Europe since the start of August as more gas flows from west to east, which has been bullish for prices. Ukraine halted direct purchases of Russian gas in November 2015 and has pledged never to resume imports, saying Russia was not a reliable supplier following the countries' well-documented gas disputes over the past decades. Capacity will also be on the European power market's mind this week. French nuclear availability remains the key swing factor in Northwest Europe, with a second long-term reactor outage set to end mid-August. This could, however, be offset by cooling water restrictions in southern France if there are heatwaves in areas where reactors use river water for cooling. As far as fossil-fired generation goes, power traders will be monitoring spreads this week as rising gas prices reduce the premium of using gas-fired over coal-fired plants. Gas has been trumping coal all summer. This is forecast to continue into the fourth quarter, with only the most efficient coal units in Germany and the Netherlands likely to be competitive this winter. With EU carbon prices stable at around 26 euros a metric ton, Europe's ageing, carbon-intensive coal fleet is being side-lined by renewables and gas, with 2.5 gigawatts of new gas-fired capacity due on line in October. And finally, after all those fossil fuels, let's go green! On Tuesday, a two-week consultation by the UK government ends on a proposed increase in the Renewable Transport Fuel Obligation buy-out to either 50 or 40 pence a litre from 30 pence. Paying the buy-out means transport fuel suppliers don't have to blend biofuels. The government says it is seeking the increase to ensure the continued delivery of greenhouse gas savings as well as the decarbonisation of road fuels. Recent increases in biofuels relative to gasoline and diesel mean that there is a risk companies will buy out of their obligations to blend biofuels on economic grounds. European ethanol prices hit an all-time high and a record premium to gasoline at the end of last week on tight supply caused by low run rates by producers and demand for ethanol for use in disinfectant and hand sanitizer. The government said its preferred buy-out price of 50 pence a litre would lead to a maximum additional cost of 2 pence a litre which is likely to be passed onto consumers. Any changes will apply from January 1, 2021. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-08-10T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>06:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/080320-market-movers-brent-wti-spread-widest-since-may</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-03T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VuKcy9xUpUtvBgYNARhJTw</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/080320-market-movers-brent-wti-spread-widest-since-may-carvvalho.jpg</video:thumbnail_loc><video:title>Market Movers Americas, Aug 3-7: Brent-WTI spread at widest since May</video:title><video:description><![CDATA[In this week’s Market Movers: * Brent-WTI spread hits 2-month high as US economic recovery stumbles * Earnings season to offer oil production forecast insight * August cargo cancellations go into effect as biggest US LNG exporter gives outlook * Quarterly coal production likely to fall * Brazilian steelmakers start bringing capacity back online View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-08-03T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/080320-oil-demand-opec-plus-supply-german-coal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-08-03T11:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6jfNwXFgAcUSkvaDzDJKB7</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/080320-oil-demand-opec-plus-supply-german-coal.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 3-7: Will oil demand mirror OPEC+ supply? German coal phase-out starts</video:title><video:description><![CDATA[In this week's highlights: Will oil demand keep up with more OPEC+ supply? BP will outline how it’s going to build back better; it’s the beginning of the end for coal-fired power generation in Germany; and contract price negotiations start in the polymers sector. Will oil demand keep up with more OPEC+ supply? Coal phase-out starts in Germany Upper Rhine water levels sink Contract settlements for plastics expected View Full Transcript In this week's highlights: BP will outline how it's going to build back better; it's the beginning of the end for coal-fired power generation in Germany; and contract price negotiations start in the polymers sector. But first, in the oil market, the focus will be on the pace of demand recovery and how that matches up with the easing of crude oil production cuts by OPEC-plus nations that officially got underway on August 1. From Saturday, the group, led by Russia and Saudi Arabia, was set to ease cuts that were reducing the world's oil supply by about a tenth, providing an additional couple of million barrels a day. The OPEC-plus nations are keen to regain market share lost as a result of their cuts, begun in May. However, the actual change may be blunted by a number of countries having to maintain cuts to compensate for earlier under-compliance. In this context, signals on global demand such as mobility data will be closely watched to see whether higher production is warranted. We may get a steer on Saudi Arabia's thinking on that when Saudi Aramco unveils quarterly earnings on August 9. Talking of results, BP rounds off a torrid corporate results season on Tuesday. The market is arguably well prepared for bad news. BP flagged back in June that it expects financial impairments of between 13 billion and 17.5 billion dollars. It also said it plans radical change in an effort to 'build back better,' and reposition for a greener future. Several of the majors have been hit not only by lower prices, but production cuts in OPEC-plus nations where they operate. BP, which operates in countries such as Angola, may be no different. And talking of a greener future, Germany's phase-out of coal-fired power generation starts in earnest this week with a first plant closure compensation auction. Up to 165,000 euros per megawatt has been made available for four gigawatts of hard coal plant closures. Bids have to be in by September 1, with the winners announced in December. Almost immediately afterward the capacity will close, regional grid security notwithstanding. As you can see, this is hardly an issue at present, as coal plant spreads are lower than those for gas-fired generation, which for now has assumed the role of first-call back-up plant in Germany. A second coal compensation auction will then follow at the end of the year, followed by six more over the proceeding four years. Germany will also be a focus for Northwest European oil-product traders. Water levels on the Upper Rhine are falling toward levels that mean barges are not able to carry full loads at the key chokepoint of Kaub. This could lead to logistical problems. Diesel supply could be affected. Consumption has surged over the last few weeks as consumers hop back into their cars now lockdown restrictions have been eased. However, diesel traders say they are confident inland inventories are sufficient to meet local demand. And that takes us to our social media question for the week: What you think the impact on the commodity complex will be of low Rhine water levels? Tweet us your thoughts using the hashtag #PlattsMM. And finally, European producers of polyolefins such as polyethylene and polypropylene will be negotiating August contract price settlements with plastics converters this week. They will have to reconcile an around 12% rise in feedstock naphtha prices in July, on one side, against renewed concerns about a second wave of coronavirus infections across Europe, as well as expected low demand across various polymer grades. A further factor will be the more bearish outlook for the European naphtha market heading into this week, with widespread expectations of constrained demand across all grades given the weak macro-economic backdrop. Lower demand from Asia is also adding to the bearish sentiment. And before you go, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-08-03T11:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/072720-market-movers-americas-ulsd-discount-rbob-narrows</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-27T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VXhNTiXoiEg2ePggE8qhA5</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/072720-market-movers-americas-ulsd-discount-rbob-narrows-wood.jpg</video:thumbnail_loc><video:title>Market Movers Americas, July 27-31: ULSD's discount to RBOB narrows as diesel supply thins</video:title><video:description><![CDATA[In this week’s Market Movers: an unusual discount held by NYMEX ULSD futures versus NYMEX RBOB is narrowing as a glut in US Atlantic Coast diesel supply thins, and US steel mill utilization is returning as automotive production recovers. * Weather delays may tighten tanker tonnage * New export terminals load first cargoes * Hot weather driving up PJM prices View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-07-27T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/072720-gold-price-highs-opec-plus-cuts-energy-nuclear-beet-sugar</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-27T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DyNSFxSJ9SAkdYfuifGaig</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/072720-gold-price-highs-opec-plus-cuts-energy-nuclear-beet-sugar.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 27-31: Gold price hits new highs; OPEC+ countries plan to dial back cuts</video:title><video:description><![CDATA[In this week’s highlights: Gold continues to be a safe haven for investors; the energy and metals markets will track results from key companies; the OPEC+ oil producer pact is set to dial back its production cuts; and European sugar beet gets a health check. Will gold lose its lustre at $2,000/oz? Energy majors’ investment plans under scrutiny OPEC+ takes foot off the brake a little Net-zero, nuclear top EU power agenda Will the weather be sweet or sour for EU sugar? View Full Transcript In this week's highlights: The energy markets will track results from key companies; the OPEC+ oil producer pact is set to dial back its production cuts; and European sugar beet gets a health check. But first, for investors looking for a safe haven in turbulent economic times it could be gold that glistens. As the chart shows, the precious metal continues to hit new highs as the world contends with increasing coronavirus cases and ballooning government debt, leading demand from physically backed exchange traded funds to soar. As a result, speculation has grown about whether it will hit 2,000 dollars an ounce. Many are betting that level will be hit at some point in 2020. However, the charts are giving mixed messages, and some market participants say that technically, gold looks overbought. Second-quarter results are due from a number of oil and gas majors this week, and look set to be far from golden. These will show the impact of April's market meltdown, and the difficult choices on the road to recovery in the months ahead. Most oil and gas companies have been drastically reducing their investment plans, with several also hit by production cuts in OPEC+ countries. Household names such as BP, ExxonMobil and Shell face numerous questions, ranging from their future role in US shale, to the pace of diversification into LNG and renewables. On Wednesday, Russian LNG pioneer Novatek reports its results, followed on Thursday by Europe's heavy-hitters: Shell, Total and Italy's Eni. Norway-focused Lundin Energy, Austria's OMV, and Kurdistan-focused DNO will also report during the week, before results season rounds off on August 4 with BP. The fundamentals affecting the performance of the energy sector include the unsteady recovery in mobility rates in Europe and plans by OPEC+ countries to dial back their production cuts. The producer group led by Russia and Saudi Arabia is due to reduce its headline cut level from 9.7 million barrels a day over the last three months to 7.7 million starting Saturday, but tensions remain over some countries' compliance The chart shows some of the countries that failed to stay within their production quotas in May and June. Iraq, Nigeria, Kazakhstan and Angola have now committed to compensating for previous overproduction with extra cuts in July, August and September. That brings us to our social media question of the week. Will OPEC+ be able to maintain discipline in the coming months or will there be another drift into overproduction? Share your thoughts on Twitter using the hashtag #PlattsMM In European electricity, it's also a busy week for results, with Enel, Engie and EDF all making first-half statements on Wednesday or Thursday. On Monday the UK's National Grid publishes its Future Energy Scenarios report, exploring routes to net-zero carbon emissions over the next 30 years. Net zero is the strategic focus for all these utilities, but In EDF's case a pressing short-term issue is the company's nuclear reactor maintenance plan, and the market will be looking out for any updates. Recent improvements in availability have taken the wind out of the sails of fourth-quarter power prices which have fallen over 16% so far this month. And finally, turning to agriculture, the European sugar market will be closely monitoring the results of the first round of beet sampling. Market participants will be looking for clues about the impact on beet yields from virus yellows, a disease spread by aphids. A mild winter and the ban on neonicotinoid pesticides to protect bees has meant a particularly high aphid population this year. S&P Global Platts Analytics forecasts EU-28 sugar production for the new season starting in October to be just over 1% higher on the year at 17.65 million metric tons. This is down to good weather offsetting a lower planted area. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-07-27T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072720-us-china-trade-tension</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-27T04:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bbymuNkvvKfSv9wZU6afC9</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/072720-us-china-trade-tension.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jul 27-31: Escalating US-China tensions may hit recovering commodity trade flows</video:title><video:description><![CDATA[This week on S&P Global Platts Market Movers in Asia with Geetha Narayanasamy , head of Asia-Pacific Editing Desk: * US-China tensions on the rise * China on US soybean buying spree * Chinese demand for Russia's ESPO blend wanes * Metals market await details on China's PMI * Clean tanker market hope for recovery View Full Transcript Market Movers Asia, Jul 27-31: Escalating US-China trade tensions may hinder oil demand recovery This week: the impact on US-China trade amid rising tensions, declining price differentials of Far East Russian crude grades and China’s shopping spree for US soybeans. But first, escalating tensions between Washington and Beijing will keep oil, LNG and other commodity markets on tenterhooks this week. Traders will be looking out for the next political development after China ordered the closure of the US consulate in Chengdu, in a tit-for-tat move after the US forced the Chinese consulate in Houston to cease operations. This rise in tensions could damage recovering commodity trade flows between the world’s top two economies. This brings us to our social media question this week: Will rising US-China tensions dampen recovery in the oil market? Share your thoughts on Twitter with the hashtag PlattsMM. US-China tensions are also the agriculture market’s main focus this week. China has been on a buying spree for US agricultural products, in a signal seen as fulfilling its commitments under the Phase 1 trade deal with the US. The Asian country has been making large US soybean purchases, with flash sales hitting almost 3 million metric tons in July alone. It remains to be seen if this trend will change amid the escalating tensions. With Brazil close to running out of exportable soybean supplies, analysts expect China to continue seeking US-origin new crop beans to cover its demand. Chinese demand is also key in crude oil markets this week. Price differentials for several Far East Russian grades, including ESPO Blend, could extend their declines this week, as China's independent refiners have curtailed purchases for the September-loading cycle. This is due to high stockpiles, and weak domestic refining margins. ESPO crude is especially sensitive to Chinese demand. More than 70% of its monthly term and spot supplies are typically exported to China. The ongoing port congestion in China due to record-high crude imports in the second quarter, has deterred many independent refiners from actively picking up feedstocks for September. This has put immediate pressure on ESPO spot prices. On metals, market participants will be keeping a close eye on China's Purchasing Managers Index for July, sincethe manufacturing sector is a major metals end-user market. It will also give some clarity on the country's economic situation. China’s GDP growth had flipped to positive territory in the second quarter with a 3.2% rise, following a 6.8% contraction in Q1. Another positive result, will further support steel and metals prices in China, which in turn, will give a boost to raw materials such as iron ore and alumina. On July 30th, the last of the major iron ore producers – Fortescue Metals Group – will report shipments and production for the April to June quarter. Data from cFlow, Platts trade-flow software, indicates it will be a strong export quarter for FMG, which is usually the case in the quarter that rounds out the Australian financial year. Now, some positivity is expected in the shipping market as clean tankers head for a revival. This, after rates slumped to multi-year lows in the last month. Once again, there is demand to move oil products from China to other Asian countries. This is expected to give the much needed boost to shipowners, who have been reeling under paltry earnings. Finally, please check out Platts Live. Platts Live is a virtual alternative to our face-to-face events and forums. It has been created to allow our customers to continue to engage with us and each other. You can access it at spglobal.com/platts-live. Thank you for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-07-27T04:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/072220-harold-hamm-continental-resources</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-22T16:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FRFcvzyuqT5V4u6P2vuNTs</video:player_loc><video:thumbnail_loc /><video:title>Insight Conversation with Harold Hamm, Executive Chairman of Continental Resources</video:title><video:description><![CDATA[Harold Hamm, founder and chairman of Continental Resources , talks to S&P Global Platts Global Head of Pricing and Market Insight Dave Ernsberger about benchmarks, the Bakken, and a backlog of wells. Harold Hamm founded Continental Resources in 1967 and was Chairman of the Board of Directors and Chief Executive Officer until January 2020, when he was named Executive Chairman. Based in Oklahoma City, Continental Resources is the largest leaseholder and one of the largest producers in the United States’ premier oil field, the Bakken of North Dakota and Montana.]]></video:description><video:publication_date>2020-07-22T16:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>27:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/072020-dakota-access-pipeline-critical-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-20T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=emhQ78bvzDFf5JDXQQGkMY</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-americas/072020-dakota-access-pipeline-critical-week-oconnell.jpg</video:thumbnail_loc><video:title>Market Movers Americas, July 20-24: Dakota Access Pipeline faces critical week</video:title><video:description><![CDATA[In this week’s Market Movers: a pivotal week for the future of the Dakota Access Pipeline, a severe tonnage crunch in the Americas clean tanker market is having a bullish impact on pricing sentiment, and a hot weather alert could see record power demand. * LNG market on tenterhooks * Clean tanker crunch * Differentials rally on Dakota shutdown * MISO hot weather alert * Stronger US distillate demand View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-07-20T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/072020-opec-cuts-jet-fuel-inventories-palm-oil-equinor-carbon</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-20T12:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1MFEMGiGTLp7j6pBDZ7X9J</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/072020-opec-cuts-jet-fuel-inventories-palm-oil-equinor-carbon.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 20-24: OPEC+ reviews production cuts as jet fuel inventories begin to draw</video:title><video:description><![CDATA[In this week's highlights: OPEC+ reviews production cuts, Equinor kicks off Q2 earnings season. Will high jet fuel inventories in Europe begin to draw? European palm oil prices look to Malaysian production data, while carbon allowances look for support. OPEC+ reviews production cuts Equinor kicks off Q2 earnings season Narrowing contango could release jet fuel stocks European palm oil market looks to Malaysian data EU carbon prices ease back from 14-year high View Full Transcript In this week's highlights: Will high jet fuel inventories in Europe begin to draw? European palm oil prices look to Malaysian production data, while carbon allowances look for support. But first, in oil, the market is keeping a close eye on demand and whether a second coronavirus wave could derail last week's decision by the OPEC+ group of producer countries to relax their drastic cuts to global output. From next month, the group has said it will ease the production cut agreed in April, which took about a tenth of supply off the global market, to a more modest cut of around 8 million b/d, or about 8% of pre-coronavirus demand. Saudi Arabia has voiced confidence the pandemic can now be contained. One point of tension is over-producers - countries such as Angola, Iraq, Kazakhstan and Nigeria - which are expected to submit plans by the end of the month to compensate for having exceeded their quotas. And on the corporate front, it's the start of the second-quarter earnings season, with the balance sheets of the oil and gas majors under strain due to the collapse in oil prices. However, the early signs are some will try to strike a positive note, having already announced massive financial impairments and cuts to their spending and dividends. Equinor, which publishes its results on Friday, could be among these. Its giant Johan Sverdrup field, which came on stream last October, is boosting Norwegian oil output at a time when others are cutting back, while government tax cuts are helping revive investment levels. Downstream, the oil product hit hardest by the pandemic has been jet fuel. The collapse in demand has meant jet being put into storage. The amount in floating storage in Northwest Europe totals around 1.6 million mt, or around one month's worth of pre-coronavirus imports, Platts and Kpler data show. However, when stocks will be released is uncertain. Some traders are saying before the end of 2020, due to quality concerns associated with storing jet fuel for too long, but also because traders are reluctant to hold onto stock into the New Year. Others argue the timing of the release of stocks is just a question of demand. The chart shows that as demand has crept up from rock-bottom levels, the contango in European jet fuel cargoes has narrowed, but traders will be looking to see how much further the market structure changes in the coming week. A contango market structure is one in which prices for delivery of a product at some point in the future is greater than the price for delivery of that product now. In theory, with the jet fuel market in contango, a trader may buy jet fuel now, store it and sell it for higher price for delivery in the future, locking in a profit. As you can see, the front-month/second-month contango in jet fuel CIF Northwest European cargoes was at $5.50/mt on July 16, its narrowest since March 3 and down from a record $34.00/mt on April 14. Given the lack of jet fuel demand, floating storage is driving fluctuations in market structure. If the contango narrows then jet might be released from floating storage, which could put pressure on the nearby prices, and in turn widen the contango. Moving on to oil of a very different kind, European palm oil prices are expected to consolidate or increase based on production data released on Friday. Malaysia is a major supplier of palm oil to Europe, and Malaysian palm oil data for July 1-20 will be released by the Malaysian Palm Oil Association. Market participants are expecting production to contract based on a slower output recovery in Asia, symptomatic of heavy rain and floods hitting palm oil production in Malaysia and Indonesia. Rotterdam prices are expected to continue to increase on the production data as well as rallying soybean oil prices. European traders do not expect palm oil supply to recover until August and September. And finally, the carbon market will be looking to see if there is a recovery or a further fall this week. As the chart shows, European carbon allowance prices have just come off a 14-year high of over 30 euros a metric ton. An allowance allows for the emission of 1 ton of CO2. Many analysts have said the price surge, in which prices doubled in the space of four months, had been overdone, particularly in view of very bearish fundamentals. Market players will be watching closely this week to see where the next support level may be. Primary supply of allowances from government auctions will be slashed by 50% in August, but is set to rise again in September through November. Traders will also be watching in September for the European Commission's expected proposal to tighten the EU's 2030 emissions target. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-07-20T12:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072020-low-sulfur-crude-oil-iron-ore-vale-bhp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-20T03:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=r3HDExDsBCjGKESthNnx8B</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-asia/072020-low-sulfur-crude-oil-iron-ore-vale-bhp.jpg</video:thumbnail_loc><video:title>Market Movers Asia, July 20-24: Cheaper crudes, freight recovery in focus</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers in Asia this week, with analyst Yi-Jeng Huang : * Asian refiners eye cheaper European crude oil * Clean freight market eyes recovery from 20-year lows * Vale and BHP to release production and export figures for the April to June quarter Also in this episode: traders anticipate update in China's thermal coal import policy, refinery outages could give Southeast Asian methanol prices a boost, and LNG markets watch for US cargo cancellations. Related event: Platts China Webinar Series China's leap in the dark: Navigating an uncharted energy territory Join us for the final episode of the China Series for a vibrant discussion with CNPC, UNIPEC & S&P Global Platts on China's energy economy, policy and trade patterns against the backdrop of COVID-19. Register here . View Full Transcript Market Movers Asia, July 20-24: Cheaper crudes, freight recovery in focus This week: easing coronavirus-related restrictions could support commodities and shipping demand recovery, LNG markets watch for cargo cancellations, coal market participants await updates on China’s import policy. Asian refiners eye cheaper European crudes But to kick things off, crude oil traders in the region will be closely monitoring South Korean and Chinese refiners’ spot cargo purchases from the North Sea and Arctic Russia. Narrow Brent-Dubai spreads make low sulfur European grades more attractive versus Persian Gulf crudes. South Korean majors are especially interested in North Sea Forties and Russian arctic condensates, while ChemChina recently received Arctic Russian Novy Port crude, for the first time. Now, more refineries are expected to ramp up their output after seasonal maintenance, and product demand is also expected to increase as coronavirus related lockdowns ease. Clean freight market eyes recovery from 20-year low This could mean a modest recovery for key clean tanker freight rates, which have been reeling at their lowest in about 20 years. Market participants said freight rates are close to bottoming out, and they are expecting a slight improvement from the current lows. Meanwhile, in the dry bulk markets, Capesize freight rates have likely bottomed out last week. Owners pulled back on their offers and expect better demand this week, with more participation expected from all major iron miners in the spot market. Iron ore majors' output, export data in focus Speaking of iron ore, Vale and BHP’s production and export numbers for April and June are expected to be released this week. Vale’s output will be especially scrutinized as its operations were temporarily sidelined due to rising coronavirus cases in Brazil. Data from cFlow, Platts’ trade flow software, indicates that Vale has increased its shipments for Q3, but are likely to fall short of its targets this year. So for our social media question this week: Do you think iron ore supply recovery has gathered pace? Share your thoughts on Twitter with hashtag PlattsMM. China's coal import policy in focus Now, adding potential support to dry bulk rates, market participants are anticipating a near-term relaxation of China’s thermal coal import policy. With domestic China coal supply a bit short and hydroelectric generation expected to be weak, further coal imports may be in the cards to meet strong power demand expected in July and August. Outages may boost SE Asia methanol price Moving on to petrochemicals, Southeast Asia’s methanol prices are expected to be bullish this week, due to two major unexpected production outages. Malaysia’s Petronas and Brunei Methanol Company, which have a combined total output of over 2 million mt/year, are expected to resume production only in early August. With hardly any spot cargo from the Middle East, and reverse trade flow shipments from China an expensive proposition -- participants expect prices to rise this week. LNG markets watch for US cargo cancellations And in LNG, the market could be looking at the possibility of yet another round cancellations for US LNG, October loading. Over the last few months as many as 40 cargoes from the US have been canceled per month. But with the upcoming winter and an increased interest in floating storage plays, demand for US LNG may be rebounding – reducing the expected cancellation volume that will be known this week. Finally, please check out Platts Live. Platts Live is a virtual alternative to our face-to-face events and forums, featuring content on the coronavirus outbreak. It has been created to allow our customers to continue to engage with us, and each other. You can access it at: spglobal.com/platts-live Do join us for the final episode of the Platts China Webinar Series for a discussion with CNPC and UNIPEC on China's energy economy, policy and trade patterns against the backdrop of COVID-19. Register online today! Thank you for joining us this Monday, and have a great week ahead.]]></video:description><video:publication_date>2020-07-20T03:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/071320-nymex-rbob-coronavirus-gasoline-demand-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-13T17:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1kK3scBUjAFzuwjGA4mDgL</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-americas/071320-nymex-rbob-coronavirus-gasoline-demand-recovery.jpg</video:thumbnail_loc><video:title>Market Movers Americas, July 13-17: NYMEX RBOB returns to backwardation, but coronavirus threatens gasoline demand recovery</video:title><video:description><![CDATA[In this week’s Market Movers: NYMEX RBOB returns to backwardation, but the coronavirus threatens gasoline demand recovery; US biofuel markets await key announcements from the EPA; and open season begins for shipping on Brazil’s largest natural gas import pipeline. Sugar market keeping close eye on expiry of London August whites contract RBOB backwardation returns as gasoline demand rebounds Biofuel markets waiting on EPA USGC VLCC freight up on delays Open season to bring competitive gas imports to Brazil Dakota Access pipeline fate uncertain View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-07-13T17:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/071320-opec-plus-output-cuts-us-sanctions-nord-stream-sugar</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-13T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=N7gzZXB8zHEurJBW1GyiMW</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/071320-opec-plus-output-cuts-us-sanctions-nord-stream-sugar.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 13-17: OPEC+ will decide on output cuts, as US sanctions target Nord Stream 2</video:title><video:description><![CDATA[In this week's highlights: OPEC nears decision point on future cuts; question marks still hang over the Nord Stream 2 gas pipeline; can carbon allowances sustain their upward momentum? And the London August white sugar contract is due to expire.]]></video:description><video:publication_date>2020-07-13T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/070620-energy-transition-lockdown-recovery-hydrogen-opec-gas-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-06T12:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VrGqCMNE99py8NpmfhJ9mn</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/070620-energy-transition-lockdown-recovery-hydrogen-opec-gas-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 6-10: Energy transition, and post-lockdown recovery in focus</video:title><video:description><![CDATA[In this week’s highlights: The EU is to unveil its ambitious hydrogen strategy; the S&P Global Platts OPEC+ survey will give some insight into compliance; Europe’s dwindling gas storage capacity will be in focus; and an update is due on the state of the European steel market. EU to unveil ambitious hydrogen strategy OPEC+ compliance in the spotlight Ukraine, LNG hold key to crammed EU gas storage Eurometal to provide update on EU steel market Signs of demand recovery in European methanol market View Full Transcript In this week's highlights: The S&P Global Platts OPEC+ survey will give some insight into compliance; Europe's dwindling gas storage capacity will be in focus; and an update is due on the state of the European steel market. But first, on Wednesday the European Commission is due to publish its official hydrogen strategy. The strategy is widely anticipated to shoot for a hugely ambitious global leadership role for Europe in sustainable hydrogen production. A draft indicates the EU may need to invest more than 300 billion euros by 2030 to develop and deploy large-scale renewable and low-carbon hydrogen. It includes a goal for the EU to produce up to 1 million metric tons of renewable hydrogen by 2024, with at least 4 gigawatts of electrolyzer capacity installed, rising to between 5 and 10 million metric tons by 2030, with at least 40 gigawatts of electrolyzers installed. While the European Commission is looking out into the wide blue or green yonder, S&P Global Platts will be publishing its OPEC+ oil production survey for June this week. As the coalition tightens the market through its historic production cut accord, the issue of who is in compliance and who is not will be in sharp focus. Saudi Arabia, the UAE, Kuwait and Oman pledged additional voluntary cuts totaling some 1.2 million b/d in June, which should boost the compliance rate. While the issue for the oil market is where flows are coming from, for the gas market it is where they are going. The amount of gas in European storages has ballooned, causing all eyes to focus on the rate of injections. Looking at this chart EU stocks are currently more than 80% full, leaving only limited space for injection, with three months of the traditional injection season left. However, injection rates have slowed significantly over the past few weeks as European gas prices have risen from their mid-May lows, making the seasonal storage play less attractive. Ukraine remains an option for traders looking to find a home for their gas because it has vast, cheap storage capacity. This is despite planned maintenance on a pipeline from Slovakia potentially making it more difficult to flow gas into Ukraine. Also crucial will be whether US LNG cargoes start arriving in Europe in greater volumes again from the end of August. This could cause storage injections to pick up. And that brings us to our social media question: How do you see gas storage injection rates developing in Europe in the coming weeks? Send us your feedback by tweeting with the hashtag #PlattsMM. Finding homes for products will also be on the agenda when European steel distributors and stockholders' association, Eurometal, holds a webinar on Thursday about current conditions in the steel market. Eurometal's webinar comes as some in the market say the steel sector is showing early signs of recovery as the easing of coronavirus lockdowns means the European construction and automotive sectors are starting up again. However, any rebound will be from a low base. Flat steel product shipments from EU steel service centers fell by 18.5% on the year in January-April, while long products shipments fell 8.7%, with only rebar shipments increasing. And finally, to petrochemicals, where signs of demand recovery are also emerging in the methanol market. Inventory levels in Rotterdam are also normalizing with healthy water levels along the River Rhine making it easier it to move the product to inland consumers as demand generally grows Manufacturers of key plastics commodities such as polyethylene, PVC and polypropylene are digesting last week's delayed industry-settled July olefins contract price settlements, reviewing margins and looking to see if any of these increases can be passed downstream. The contract prices of ethylene and propylene increased by around 12%. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-07-06T12:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/070620-oil-prices-ineos-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-07-06T03:38:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bkfXyXhxgXPhqsMpY8bjdo</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/070620-oil-prices-ineos-petrochemicals.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jul 6-10: Mideast Aug official selling prices in focus; LPG discount to naphtha widens</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers Asia this week, with Editor Tess Tseng : ** Market participants expect Saudi Aramco, ADNOC to raise August official selling prices amid stronger crude price structure ** LPG seen as choice feedstock for steam crackers ** BP's sale of petrochemicals business to Ineos to have minimal impact on markets Also in this episode: Seaborne iron ore prices are seen to be under pressure on lower demand, LNG demand fundamentals remain weak, and Platts launches Asia price assessments for R-PET or recycled polyethylene terephthalate as the demand for recycled plastics in the region grows. View Full Transcript Market Movers Asia, Jul 6-10: Mideast Aug official selling prices in focus; LPG discount to naphtha widens This week: LPG continues to attract steam crackers, LNG demand fundamentals remain weak, and iron ore prices come under pressure. But first, oil importers in the region will be closely monitoring official selling price announcements from key Middle Eastern crude producers. An S&P Global Platts survey showed that market participants expect Saudi Aramco and Abu Dhabi’s ADNOC to raise OSPs in August – the third month in a row – on the back of a strong uptick in the region’s benchmark crude price structure. With higher prices, combined with an uncertain fuel demand recovery outlook, Asian refiners would remain cautious not to overcommit their feedstock purchases, while keeping a lid on fuel output volumes. Speaking of cautious buying, demand fundamentals remain weak in the LNG markets. Any confidence in a rebound has been overshadowed by new outbreaks of COVID-19 in some parts of the region. An improvement in netbacks for US Gulf Coast LNG to Asia from September onwards has also increased the chance of more US LNG cargoes arriving in the region. But Platts Analytics said US cargoes hitting the water before demand ramps up into winter is a distinct downside risk for LNG prices, especially if Asian demand fails to pick up in the coming months. In petrochemicals, producers in North Asia and Southeast Asia are loading up on LPG to take advantage of the feedstock, which is now cheaper than naphtha. This move is seen as a profitable option for refineries, as light feed cracking increases the production yield for ethylene and propylene, both of which are expected to boast healthy margins in July. Still in petrochemicals, UK-based petrochemical giant Ineos will acquire all of BP's petrochemicals businesses, which produced 9.7 million mt of products in 2019. Sources said the long-term impact of the sale will hinge on which of BP's petrochemical businesses Ineos focuses on, which for the moment is unclear. For now, they are expecting the transaction to have a minimal impact on the market. An excess of supply of benzene and slow demand recovery for paraxylene has pressured margins to naphtha to record lows. This has prompted refineries across Asia to reevaluate their production plans for July. For our social media question this week: Do you expect this trend in the aromatics market to continue this quarter? Share your thoughts with #PlattsMM. Now with an increasing demand for recycled plastics in the region, Platts has launched new Asia price assessments for recycled polyethylene terephthalate. This aims to provide greater price transparency and completes Platts’ global coverage for the market, in addition to existing assessments in Europe and US. In metals, the market is focusing on seaborne iron ore prices, which have been around $100/mt CFR China since end-May. On one hand, the price may under pressure due to softer Chinese domestic steel prices and slower demand due to the rainy season. On the other hand, July stocks are seasonally tight, with low exports from Australia. Miners usually rush to export as much as possible before the end of the Australian financial year on June 30. A short supply could help to offset any weakening of demand. Finally, please check out Platts Live. Platts Live is a virtual alternative to our face-to-face events and forums, featuring content on the coronavirus outbreak. It has been created to allow our customers to continue to engage with us, and each other. You can access it at: spglobal.com/platts-live. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-07-06T03:38:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/062920-rig-count-rises-pandemic-pressures-us-commodities</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-29T17:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kHdb9ntP21ub6gPe6V5iV4</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-americas/062920-rig-count-rises-pandemic-pressures-us-commodities.jpg</video:thumbnail_loc><video:title>Market Movers Americas, June 29-July 3: Rig count rises, but pandemic continues to pressure US commodities</video:title><video:description><![CDATA[In this week’s highlights: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. New benchmark for US crude oil : Platts AGS US oil rig count on the rise LNG market hurt with Domino effect Trump eyes tariffs on Canadian aluminum Key power price formation deadline nears Rainy weather weighs on US grain prices View Full Transcript In this week’s Market Movers: rising US oil rig counts might signal drilling declines have reached a bottom; President Donald Trump may raise tariffs on Canadian aluminum imports; and rainy weather continues to weigh on US grain prices. But first, Platts has launched a new benchmark for US crude oil, Platts American GulfCoast Select, or AGS. The assessment reflects light, sweet crude supplied direct from the Permian Basin on specified pipelines. AGS uses the Platts Market on Close assessment process with an end-of-day value, with bids, offers and transactions reflecting prices as determined by buyers and sellers in the open markets. Platts AGS reflects the value of the crude loading FOB US Gulf Coast, 15 to 45 days ahead. In crude, the Brent/WTI spread reached its lowest level since 2017 in June, as you can see in the graphic. The spread had averaged just over $2.30/b this month, suggesting that US crude exports loading in late July and August could see a dip. That said, export economics will get some help from lower freight costs with the US to UK Aframax rate falling to as low as $1.31/b earlier this month, the lowest level since July 2018. At the same time, the US oil drilling rig count had its first week-on-week increase since late February, according to rig data provider Enverus. It ended June 24 with 195 rigs total, one more than a week earlier. The uptick could signal that the rig count has hit bottom and the downturn from the pandemic may be in the rearview mirror, although observers say new drilling likely won't begin to recover until next year. In LNG, US liquefaction terminal utilization will face new pressure this week, with customers having canceled approximately 45 cargoes scheduled to be loaded during the month starting July 1. Fewer loadings mean less feedgas delivered to those terminals and that trickles down to interstate pipeline operators, shale drillers and tanker owners. Terminal utilization was recently at its lowest level in over a year due to the coronavirus pandemic effects. President Donald Trump is considering whether to reimpose Section 232 aluminum tariffs on Canada as early as July 1, the same day the USMCA trade agreement is set to start. This has drawn backlash from many industry leaders, including the Aluminum Association, which represents US aluminum companies throughout the value chain. Section 232 tariffs on steel and aluminum imports were first implemented in 2018. Canada and Mexico were granted exemptions from the tariffs last year, but the American Primary Aluminum Association has lobbied US Trade Representative Robert Lighthizer to remove Canada’s exemption status. They claim that Canadian imports have harmed the US industry. The grid operator of the largest US wholesale power market is making multiple changes to power price formation that will impact its markets, as a July 6 deadline for a key piece of the puzzle nears. PJM Interconnection has been working toward using forward power and natural gas prices to calculate an important metric used in some of its largest markets, including the energy and capacity markets. Approval from federal regulators will be key in getting its delayed annual capacity auction schedule back on track. The PJM markets, power generation and transmission network supply power to 65 million people in all or parts of 13 states and the District of Columbia. Rain forecasts across many of the US crop growing states will continue to weigh on prices, as corn and soybeans receive mid-growing season moisture. Market participants expect a June 30 crop estimate from the USDA to show corn acreage lower, at 95 million acres. At the same time, lower demand driven by the pandemic continues to push corn stock levels higher, leaving exporters trying to entice business before September’s harvest in the US. Rising US ethanol production continues to provide an outlet for corn supply, though uncertain demand for biofuels in the third quarter has sidelined some buyers. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-06-29T17:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/062920-russia-germany-opec-coal-ukraine-gas-global-metals-awards</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-29T14:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fNXcgzCotbXajVg76sifSa</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/062920-russia-germany-opec-coal-ukraine-gas-global-metals-awards.jpg</video:thumbnail_loc><video:title>Market Movers Europe, June 29-July 3: Russia and Germany in the spotlight, as Platts Global Metals Awards go virtual</video:title><video:description><![CDATA[In this week's highlights: OPEC, Russia and the production cut laggards in focus; Germany’s energy ties with Russia will be the focus at a session of the Russian-German chamber of commerce; political negotiations on Germany’s coal exit law are entering the final stage; and access to Ukrainian storage will pre-occupy the European gas market. OPEC, Russia and the production cut laggards in focus German coal exit law enters final straight Ukraine-Slovakia gas spat deepens Platts Global Metals Awards go virtual *Platts brings US market a Brent of its own with new Platts American GulfCoast Select benchmark View Full Transcript In this week's highlights: Germany's energy ties with Russia will be the focus at a session of the Russian-German chamber of commerce; political negotiations on the German's coal exit law are entering the final stage; and access to Ukrainian storage will pre-occupy the European gas market. But first, for the oil market, the pace of recovery in both supply and demand remains very much the focus. The supply issue will come to the fore on Thursday when Russia publishes its production data. Russia is the key player in the OPEC plus group which is set to maintain its commitment to cut nearly 10 million barrels a day of output through July. The cuts could in fact go deeper in the month ahead by as much as 1 million barrels a day. This is because countries that struggled to meet their commitments earlier - notably Iraq and Kazakhstan - have committed to extra cuts. Similar catch-up plans by Angola and Nigeria are still awaited, but loading schedules indicate their production will be lower. And that takes us to our social media question of the week: Who needs whom more, OPEC or Russia? Tweet us your thoughts using the hashtag PlattsMM. Underlining Russia's role in European energy supply, the CEO of Austria's OMV, Rainer Seele, will be discussing ties with Russia during a session of the Russian-German chamber of commerce, of which he is president, during an online forum on Tuesday. OMV is a financial backer of the controversial expansion of the Nord Stream gas pipeline from Russia to Germany. Staying in Germany, political negotiations on the country's coal exit law are entering the final straight after the coalition government approved contract details for the lignite exit on June 24. Now parliament has to approve the final details for hard coal closures before the summer break. The coal exit law seeks to phase-out nearly two-thirds of German coal generation capacity by 2030. As you can see, even the most modern hard coal units are barely in the market this summer. In June, production from German hard coal power stations shrank 85% from what it was four years ago. Generation margins have turned decisively in favour of gas-fired power stations due to low natural gas and high carbon prices. And many traders have taken advantage of those low prices by buying natural gas to store. However, those who hoped to inject it later this summer into Ukraine's under-utilized gas storage facilities via Slovakia may struggle to do so. The Ukrainian gas grid operator has unexpectedly scheduled maintenance at the Budince interconnection point with Slovakia from August 11 until October 1. This week the markets will be watching closely for further developments. If the closure goes ahead it will mean traders will now have to find different routes to get their gas into Ukrainian storages later this summer or offload it somewhere else. However, with European gas storage sites already at close to 80% full, there is only limited availability. Continuing with the theme of the unexpected, the coronavirus pandemic means that on Tuesday the eighth annual S&P Global Platts Global Metals Awards will be celebrated virtually this year. There are around 98 finalists and the award categories include CEO of the Year, Deal of the Year, Corporate Social Responsibility and Breakthrough Solution of the Year. Also in response to events going virtual, Platts has also created Platts Live, a new section of our website for our customers to continue engaging with us and each other. You can find it at the address displayed on your screen. You can also check out our latest US crude assessment, Platts American GulfCoast Select, launched June 26 on our website. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-06-29T14:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/062920-plattsags-energy-demand-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-29T03:38:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=b6pmpCV9zF7GCDWhfhs56p</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/062920-plattsags-energy-demand-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Asia, June 29-July 3: China's oil buying spree leads to port congestion</video:title><video:description><![CDATA[The highlights on S&P Global Platts Market Movers this week, with Associate Editor Avantika Ramesh: ** Port congestion at Shandong Province in China could affect refinery operations and fuel output ** Platts brings US market a Brent of its own with new Platts American GulfCoast Select benchmark ** Supply cuts from the US and Malaysia help to rebalance Asian LNG markets Also on this week's episode: seaborne coal prices under pressure and metals market awaits signs of further economic recovery in China and Japan.]]></video:description><video:publication_date>2020-06-29T03:38:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-americas/062220-natural-gas-prices-power-sector-heat-wave</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-22T20:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=j5s6NJynna3sXAPFQaaW7K</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-americas/062220-natural-gas-prices-power-sector-heat-wave.jpg</video:thumbnail_loc><video:title>Market Movers Americas, June 22-26: Natural gas prices under pressure as power sector braces for heat wave</video:title><video:description><![CDATA[In this week’s Market Movers, for the first time coming from the Americas: growing supply will continue to pressure natural gas prices, the power sector braces for a heat wave, and coal stockpiles grow amid falling demand. Production cuts, weather weigh on crude exports Jet fuel demand on the rise LNG cargo cancellations Heat wave to boost Northeast power demand Coal stockpiles continue to grow]]></video:description><video:publication_date>2020-06-22T20:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/062220-compliance-green-credentials-opec-plus-coronavirus-gas-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-22T13:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YDfUEz4TgjVwqZzTKakR9q</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/062220-compliance-green-credentials-opec-plus-coronavirus-gas-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 22-26: Compliance and green credentials in the spotlight</video:title><video:description><![CDATA[In this week’s Market Movers: the rise in emissions prices will be watched closely by a wide range of industries, the world’s biggest steelmaker will unveil plans to go green, and storage injections are the focus of the gas market. OPEC+ eyes compliance with cuts Oil market plots path to recovery Carbon price rally in focus ArcelorMittal to reinforce its climate goals Where to put all that cheap gas?]]></video:description><video:publication_date>2020-06-22T13:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/062220-coronavirus-oil-demand-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-22T03:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Y6XfrNZc4KYpH87tjuPF8C</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/062220-coronavirus-oil-demand-recovery.jpg</video:thumbnail_loc><video:title>Market Movers Asia, June 22-26: New wave of coronavirus infections raises concerns on oil demand recovery</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers this week with Abache Abreu, Regional Pricing Lead - India: ** New wave of coronavirus infections keep global commodity markets on tenterhooks ** Crude oil producers watch developments in China amid Beijing's plan to clamp down on tax-evading private refineries ** Traders expect US LNG cargo cancellations amid unfavorable economics for deliveries to Asia Also on this week's episode: strong steel output seen supporting iron ore prices, petrochemical operators face potential expansion delays, and freight rates languish in year-to-date lows. View Full Transcript New wave of coronavirus infections raises concerns on oil demand recovery This week, a new wave of coronavirus infections is keeping global commodity markets on their toes, US LNG exporters face more cancellations, and steel markets continue to rebound. But first, crude oil producers are keeping a close eye on China's decision to impose heavy penalties on refiners found guilty of tax evasion. Independent refiners could see their license to import crude oil suspended, which could pose yet another risk for global oil demand recovery. This week China is also releasing international trade data for May, and strong recoveries are expected for both gasoil and gasoline demand. The breakdown of China’s imports will likely to affect supply and demand forecasts for the third quarter, already lifted by deep production cuts from OPEC and its allies. But the rebalance of commodity markets is anything but certain, and further economic lockdowns remain significant risks to a full recovery. Markets for LNG and transportation fuels are on edge after new breakouts emerged in Beijing and India, with analysts saying a pandemic resurgence is almost inevitable. In the LNG markets, all eyes are on the US, where traders are expecting around 45 cargoes for August loading to be canceled. Unfavorable economics for deliveries to Asia, where prices remains at record lows of $2/MMBtu, suggest US LNG volumes will remain depressed in the weeks to come. In the coal markets, low demand from India and China could be cushioned by lower production from Indonesia, while petrochemical operators are looking at project expansion delays as a means to counter demand destruction, with 2 million mt/year of Asia’s polyethylene capacity at risk. Meanwhile, China’s steel market remains the standout global performer, supporting iron ore prices above the hundred-dollar mark, and the support looks set to continue on low stocks, strong steel output and weaker exports from Brazil. Will the iron ore rally hold? Share your thoughts on Twitter with the hashtag PlattsMM. And in shipping, this week brings little hope for clean tanker owners of any uptick in demand for gasoil and jetfuel, with freight rates at their lowest levels for 2020. Finally, please check out Platts Live, a virtual alternative to our face-to-face events, featuring content on the coronavirus outbreak, and allowing our customers to continue to engage with us, and each other. You can access it at: spglobal.com/platts-live. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2020-06-22T03:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/061520-opec-plus-oil-demand-recovery-trade-flows-covid</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-15T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FPNrcvetTNJk8Q33Azcuho</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/061520-opec-plus-oil-demand-recovery-trade-flows-covid.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 15-19: OPEC+ monitors oil demand recovery as trade flows remain in focus</video:title><video:description><![CDATA[In this week's highlights: OPEC+ expects to meet again for further output cuts; European power markets will look for signs of demand recovery; the European gas market will be eying Ukrainian storage use; and the EU is expected to make a key announcement on steel trade policy. View Full Transcript In this week's highlights: European power markets will look for signs of demand recovery; the European gas market will be eying Ukrainian storage use; and the EU is expected to make a key announcement on steel trade policy. But first, the oil markets will be keeping an eye on the pace of demand recovery following April's shock collapse, estimated at over 20 million barrels a day. The 23-nation OPEC-plus producer group, fresh from a June 6 accord on extending production cuts of 9.7 million b/d into July, expects to hold another meeting on further cuts in just a few weeks' time. A preparatory ministerial monitoring meeting takes place this Thursday. Providing insights into the recovery will be the IEA's monthly oil market report, due Tuesday, and OPEC's own report, on Wednesday. In addition, BP will be giving its view on trends across all energy markets when it publishes its annual Statistical Review on Wednesday. And that takes us to our social media question for the week: What do you think the shape of the oil demand recovery will be? Tweet us your thoughts using the hashtag #PlattsMM. Russia, meanwhile, one of the key instigators of the emergency cuts, is taking steps to protect its industry, and should unveil stimulus measures on Monday. Tax support for fuel oil production is being considered, as is support for the oil field services sector. Energy minister Alexander Novak will share his thoughts on Wednesday during a World Energy Council Webinar on the coronavirus crisis. Another market keeping its finger firmly on the pulse of demand will be European electricity. Traders are watching to see if working-day spot prices stabilize at the higher levels hit in early June, supported by a nuclear deficit in France. With hydro stocks at a 10-year high, upside is probably limited. However, demand is creeping back up towards normality. French system operator RTE puts current demand at around 7% less than normal. That compares with up to 20% less at the height of the coronavirus crisis. The Nordic region, though, has been untouched by the current uptick in price, as you can see from the chart on your screen. A late, plentiful snowmelt season has prompted a record run of low Norwegian spot prices. With increased precipitation forecast for this week, the signs remain bearish. Turning to another over supplied market, Russia's Gazprom Export has been making record high gas sales on its Electronic Sales Platform so far in June. A large amount of the gas sold in recent weeks is for delivery into Slovakia in the third quarter. This suggests market participants are securing Russian gas volumes for delivery to the Slovakian virtual trading point with a view to then sending it to Ukraine for storage. Ukraine has around 13 billion cubic meters of spare storage capacity. It has made it easier and cheaper for European traders to store gas there instead of quickly filling storage sites elsewhere in Europe. The European gas market remains oversupplied despite a fall in LNG supplies and Norwegian exports. This means Ukraine is now seen as an overflow for European gas storage. This could help prevent a further drop in prices in the coming months. Finally, sticking with imports, this week, the European Commission is expected to announce the results of a review of its steel safeguards system. This was formally introduced in February 2019 to stem a flood of imports. Following approval by a majority of member states June 12, the review is expected to be passed and includes changes that are likely to tighten steel imports further. This should support domestic demand and prices as EU buyers will have to turn to the bloc's producers. Criticism of the review has come from downstream steel users who may incur higher costs as a result. Italian trade body Assofermet said the changes would be detrimental to importers and that the EU would be protecting steel producers at the expense of steel-consuming industries' competitiveness. There may be further reaction to this when World Steel Association Director General Edwin Basson speaks with Platts this week about the sector. The industry group's short-range outlook in June cut its forecast for global steel demand in 2020 due to the coronavirus. For more on all the issues affecting commodity markets, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-06-15T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061520-china-coronavirus-recovery-crude-trading</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-15T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hQCtAvvFhzu8riWV8BkcXG</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/061520-china-coronavirus-recovery-crude-trading.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jun 15-19: China's key indicators to help market gauge post-COVID-19 economic recovery</video:title><video:description><![CDATA[The highlights in Asia this week on Platts Market Movers, with Sebastian Lewis, head of content in China: ** Brisk trading expected for August-loading crude cargoes from the Middle East ** Steel markets keep an eye on China's infrastructure and property investment data ** Weak demand drags freight rates to lowest levels this year Also in this episode: healthy olefins margins could drive naphtha crackers' LPG use and Australian coal prices seen firming up ahead of summer.]]></video:description><video:publication_date>2020-06-15T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/060820-oil-market-opec-plus-deal-shipping-coronavirus-power-gas-esg</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-08T14:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=cDziMNC4TcjFGbx4w24XNQ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/060820-oil-market-opec-plus-deal-shipping-coronavirus-power-gas-esg.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 8-12: Oil market eyes implications of OPEC+ deal as shipping markets sink</video:title><video:description><![CDATA[In this week’s highlights: OPEC+ producer nations plan to extend a major production cut, tanker rates are expected to sink; Rhine water levels are sinking; and gas eases out coal in the German power generation mix. View Full Transcript In this week's highlights: Tanker rates are expected to sink; Rhine water levels are sinking; and gas eases out coal in the German power generation mix. But first to the oil market, where the main focus is on the implications of the weekend agreement by OPEC-plus producer nations to extend a major production cut, of 9.7 million b/d, from June through to the end of July, rather than an earlier plan to moderate the cuts to 7.7 million b/d. As ever compliance will be an issue, and the market will be monitoring participants' actual output closely. The decision raises lots of questions, not least for non-OPEC producers such as the US, and closer to home in the North Sea, which hopes that the worst of the slump in prices is over and activity can resume. The protracted talks delayed Saudi Arabia's publication of official crude oil selling prices for July. The differential for its Arab Light crude headed to Asia was set at 20 cents against the average of the Dubai and Oman benchmarks. That is up by six dollars ten cents per barrel from the June price - far above a two to five dollars-per-barrel increase expected by traders in a Platts survey. The Saudi prices are closely watched as a cue for other Middle Eastern exporters. Despite the recent slump in crude prices, the hit to demand from the coronavirus pandemic means European refiners are expected to continue to shift their focus to sweeter grades this week, as they seek to boost margins. Sweet grades cost less to refine. A gradual recovery in consumer demand following the easing of national lockdowns has caused product cracks, which are the difference in price between an oil product and the crude from which it is derived, to rise. This is despite quite high stocks of oil products as participants anticipate continued end-user product demand, causing refiners to emerge from their recent crude purchasing hibernation. According to S&P Global Platts Analytics, total outages at European crude distillation units reached 2.13 million barrels a day in May, the highest average for any month on record. It now forecasts crude distillation outages in Europe will fall in June, with that trend accelerating in July. Despite this, tanker rates are expected to come under increasing downward pressure as a lack of outgoing cargoes weighs on both clean and dirty markets as we enter the traditionally quieter summer months. Clean tankers transport finished oil products, dirty tankers transport crude and fuel oil. Aframax rates in dirty markets are now approaching close to operating costs as tonnage grows in the absence of outgoing cargoes. Clean tanker markets could fall in the weeks ahead because of fewer cargoes for long haul shipments and growing competition between medium- and long-range tankers for available cargoes. Moving inland, the oil-product and petrochemical markets will be keeping a close eye on Rhine water levels this week. Last week water levels dropped to as low as 100 centimeters at the key chokepoint of Kaub in Germany last week. Gas barges were underloaded by at least 25%, while liquid barges were underloaded to a greater degree. However, weak demand across petrochemicals markets will likely minimize the impact of the low Rhine. Normally low water levels can have a major impact because barge availability quickly vanishes. While the water levels on the Rhine may be falling, the country's gas-fired power stations could set new generation records this summer and beyond according to S&P Global Platts Analytics. June should be the first month on record in which German gas-fired generation exceeds that in the UK - a symbolic moment. Gas in Germany has always played a back-up role to coal, with a phase out not scheduled until the mid-2030s at the earliest. And that takes us to our social media question for the week: How do you see the role of gas developing in the German power mix? Tweet us your replies with the #PlattsMM. And finally, mining companies, traders, equipment suppliers and authorities active in the Democratic Republic of Congo will start holding online meetings as a prelude to DRC Mining Week, which will run on until June 19th. The DRC, which supplies more than 60% of global cobalt supplies and has rich copper reserves exploited by major miners including Glencore, Ivanhoe Mines and China Molybdenum Company, is striving to address problems relating to artisanal or wildcat mining amid an environmental, social and governance push by international companies. DRC initiatives to formalize artisanal mining, including training and educating local citizens to contribute meaningfully to a mining operation, will be showcased in some of the online events. While you're here, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your week with us, have a great week ahead!]]></video:description><video:publication_date>2020-06-08T14:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/060820-opec-oil-cuts-us-china-trade</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-08T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=A9CCE9ZTfhqoZDY9RNQBjj</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/060820-opec-oil-cuts-us-china-trade.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jun 8-12: OPEC+ extends output cuts; Asia awaits July OSPs from Mideast producers</video:title><video:description><![CDATA[The highlights in Asia this week with S&P Global Platts Middle East crude oil editor Eesha Muneeb : OPEC+ extends oil production cut agreement to July Middle East oil producers are expected to follow Saudi Aramco's OSP hike Demand slump seen slashing tanker earnings Also in this week's episode: paraxylene prices hit record lows, US-China friction keeps agriculture sector on tenterhooks, and June metals trading seen to be stronger than usual.]]></video:description><video:publication_date>2020-06-08T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/060120-supply-demand-generating-fuels-oil-opec-steel-coal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-01T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=M2rw1LLzQNa7P3BmtwRfvt</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/060120-supply-demand-generating-fuels-oil-opec-steel-coal.jpg</video:thumbnail_loc><video:title>Market Movers Europe, June 1-5: Supply, demand and generating fuel mixes in flux</video:title><video:description><![CDATA[In this week’s highlights: OPEC+ group gears up for a crucial three-day virtual meeting; steel markets will be looking for signs of production rebounding; and a last hurrah for German coal. Oil production cuts return to the agenda Traders eye prospects of fuel demand rebound Focus on steel production recovery Green pioneer Germany opens new coal power plant View Full Transcript In this week's highlights: steel markets will be looking for signs of production rebounding; and a last hurrah for German coal. But first, pressure is again building on the OPEC-plus group of producer nations led by Russia and Saudi Arabia as they gear up for a crucial three-day virtual meeting. Though the meeting is scheduled for next week, ministers are now considering kicking off on Thursday, so July nominations can factor in any changes to oil production quotas. Following an almighty falling-out in March, relations within the OPEC-plus group have improved as production cuts have lifted prices. However, differences remain on the best approach to clearing the oil glut, and much will depend on mutual goodwill. OPEC-plus is due to reduce its current formal production to 7.7 million from 9.7 million barrels a day at the end of June, but differences are already emerging. Russia is forecasting oil markets will be back in balance by July, while some OPEC countries are much less bullish. We should get a taste of Russia's views when the country's largest producer, Rosneft, holds its AGM on Tuesday. CEO Igor Sechin is a noted skeptic about collaboration with OPEC. Toward the end of the week, S&P Global Platts will release its monthly survey of OPEC oil production in May, giving an indication of compliance levels so far. Doing its bit for the cause of market rebalancing, Norway is due to implement its own voluntary production cuts starting Monday, with a 250,000 barrel-a-day cut through June, easing to 134,000 in the second half. This could be tough on some of the country's smaller producing companies, some of which are already complaining of strained finances. Equal attention is being paid to the demand side of the oil market as Europe emerges from its coronavirus lockdown. Traders have begun to eye a surge in demand for diesel and jet fuel as Mediterranean countries re-open their borders from July and encourage holiday travel. Nonetheless, stocks have a long way to go before being drawn down as floating and onshore inventories built up at the height of the lockdowns are still high. Data last week showed driving levels in the continent's largest economies were about 80% of what they were in mid-January before the lockdowns began. But statements from European car manufacturers in recent days show they expect long-term demand to be reduced. And demand is the subject of our social media question this week: How quickly will European oil demand recover? Tweet us with your thoughts at hashtag #PlattsMM. And it's not only the oil markets where progress on a return to a more normal supply and demand balance will be monitored. Austrian steelmaker Voestalpine is expected to announce in its earnings press call Wednesday whether it will ramp up production again following restarts in the automotive industry. The tier-one supplier to the car industry has been hit hard by the pandemic. It halted a blast furnace at its main mill in Linz in mid-March, cutting pig iron production capacity by 20%. Around 20,000 employees have been put on reduced shifts at sites in Austria, with another 6,000 in Germany. Voestalpine's announcement will be watched closely as an indication of the European steel market's health. In power, it looks like it's "Back to the Future"! Datteln 4, Germany's last new coal-fired power plant, started operation over the weekend. The plant began generating electricity for a market now changed beyond recognition since 2008, when Chancellor Angela Merkel started construction at the site in northwestern Germany. The project, delayed to the extent many doubted it would ever see the light of day, may only operate for 15 years as the government continues to debate the final details of a coal-exit law. Operator Uniper, meanwhile, has just decided to restart two modern gas-fired units at Irsching, mothballed for over four years. This is more in step with the times. Record low gas prices have boosted margins for combined cycle gas plants, with year-ahead spreads for gas and coal generation now neck and neck. In a similar vein, Berlin is to open a new gas-fired power plant on June 3, with both the city and operator Vattenfall targeting carbon reductions from previous coal and lignite supply. Finally, with onshore wind struggling to expand, offshore wind has become Germany's go-to technology to achieve climate-change goals, with Merkel set to sign off on a new 40-gigawatt target by 2040 this week. While you're here, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your week with us, and have a great week ahead!]]></video:description><video:publication_date>2020-06-01T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/060120-opec-june-meeting-china-recovery-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-06-01T03:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9f4QJxHtUgavxzRLCmiDRP</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/060120-opec-june-meeting-china-recovery-coronavirus-eric-yep.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jun 1-5: OPEC+ meeting, commodities demand recovery in focus</video:title><video:description><![CDATA[The highlights in Asia this week: ** OPEC+ ministers are considering to move up their meeting to June 4, from the previously scheduled June 9-10, so that July nominations can factor in any changes to oil production quotas ** Faster-than-expected recovery seen in China's crude imports rekindles expectations that Asia's commodity demand could soon normalize ** Phase 1 trade deal between US and China remains intact but Asian markets on the edge Also in this episode: rise in construction activities in China could support steel and iron ore demand, Australian coal prices face geopolitical uncertainties, LNG prices remain under pressure.]]></video:description><video:publication_date>2020-06-01T03:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/051820-commodity-complex-starts-to-move-out-of-lockdown-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-05-18T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hy9rx7CsLRvjn277QzB9ap</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/051820-commodity-complex-starts-to-move-out-of-lockdown-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Europe, May 18-22: The commodity complex starts to move out of lockdown</video:title><video:description><![CDATA[In this week’s highlights: Prospects of a modest oil price recovery in the coming months are growing; how low can European gas prices go? US crude is set to be delivered to Belarus; and updates on French nuclear power availability will be closely monitored. End of lockdowns, storage eyed for oil market direction Will it be a low five for European gas? European ethylene market seeks balance Belarus imports oil from US after Russia dispute French nuclear availability exercises power market Germany looks to post-coronavirus era View Full Transcript In this week's highlights: How low can European gas prices go? US crude is set to be delivered to Belarus; and updates on French nuclear power availability will be closely monitored. But first, the prospects of a modest but sustained oil price recovery in the coming months are growing as output curbs and a demand rebound from the easing of coronavirus lockdowns drain the world's oil surplus faster than expected. This will remove some of the pressure on both onshore and floating storage. However, jitters about storage still remain after the lack of tank space at the key US hub of Cushing in Oklahoma caused the benchmark May US light, sweet crude contract to go off the board in negative territory. Flare-ups of the coronavirus pandemic as countries emerge from lockdown could also have a bearish influence on oil prices. Storage will also be one of the key factors in the price dynamics of the European gas market. A perfect storm of bearish factors following two mild winters, sky-high stocks, an oversupplied global LNG market and weak demand driven by the coronavirus pandemic has battered prices. The price for day-ahead delivery of gas at the Dutch TTF hub has now dipped below 5 euros a megawatt-hour, the lowest in 14 years. This has left traders wondering how much further the contract could fall. Russian and Norwegian gas supplies to Europe have dropped in recent weeks due to low demand and prices. However, LNG cargoes have continued to land in Europe given limited demand for it elsewhere. This has kept a lid on prices. Injections into storage have been healthy since the start of April, and traders will be keen to see how quickly it will fill up. Market participants expect sites to reach capacity well before the start of the withdrawal season in October. Some are even predicting full storages as early as July. This could lead to further cuts in Norwegian and Russian exports to Europe as the market tries to find some kind of balance. Another market seeking to find its balance is European ethylene. Demand is set to increase following a fire at Borealis' cracker in Stenungsund, Sweden last week. The site's unaffected downstream units' usual ethylene demand is around 50,000 metric tons a month. Borealis entering the market as a buyer will supplement extra demand for ethylene from food, medical and packaging applications caused by the coronavirus pandemic. Other supply issues such as maintenance and slower restarts because of coronavirus-related restrictions on working practices mean Europe is expected to turn away from exports for the time being and instead seek cheaper imports from the US. And talking of imports from the US, Belarus is in the process of importing Bakken crude. Belarus borders Russia, one of the world's largest oil producers. A tanker is on its way across the Atlantic carrying 80,000 metric tons of oil and is expected to arrive at the Lithuanian port of Klaipeda at the beginning of June. The crude will be processed at Belarus' Naftan refinery. Belarus is looking for alternative crude suppliers after a dispute with Russia led to supply disruptions at the start of 2020. It has received crude from Saudi Arabia, Norway and Azerbaijan so far this year. Deliveries from Russia have also recovered, doubling on the month to around 361,000 barrels a day in April. On Friday, Russia's largest oil company by output, Rosneft, said it had agreed to ship around 66 million barrels of crude to Belarus between April and December this year. And that brings us to our social media question for the week: What do you think the implications are of the US exporting oil into RussiaÕs backyard? Send us your feedback by tweeting with the hashtag #PlattsMM. Availability of supply will be a key factor in the French power market. Traders will be glued to their screens for utility and plant operator EDF's daily updates on reactor availability. You can see what happened from the chart on your screen when EDF said last Wednesday that it was 'cautious' on the outlook for its winter reactor availability. The fourth-quarter French power contract plunged 12%. There is no let-up in sight not least because of other hard-to-predict outcomes relating to the easing of lockdowns and the timing of new interconnection projects between France, the UK and Italy. And finally, with the coronavirus pandemic increasingly under control in Germany, the government has to decide how to stimulate the economy without endangering climate targets. This will be a difficult balancing act, with the coalition split on many issues from hydrogen strategy to details of the coal exit and carbon pricing. Specifics on the restart package and what type of cars can hope for cash incentives are expected in early June, while the hydrogen strategy is still expected to pass cabinet this month. This will give a clearer idea of how Europe's largest economy plans to decarbonize heavy industries such as steel and petrochemicals. Calls to cut electricity taxes and the green power levy have grown louder, with electricity expected to drive the energy transition. Cabinet meetings from which something may emerge will be held on May 20th and 27th as well as June 3rd. And while you're here, please check out Platts Live, a new section of our website that has been created for our customers to continue engaging with us, and each other. You can find it at the address displayed on your screen. Thanks for kicking off your Monday, with us. Stay safe and well and have a great week ahead!]]></video:description><video:publication_date>2020-05-18T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/051820-crude-supply-coronavirus-recovery</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-05-18T03:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4u85hCaHzniu8Q3nqkrY9S</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/051820-crude-supply-coronavirus-recovery.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 18-22: Buyers face potential crude allocation cuts as suppliers aim to balance market</video:title><video:description><![CDATA[The highlights in Asia's commodity markets this week: ** Oil refiners expect to receive notices from Middle Eastern crude producers on potential crude allocation cuts for June ** Key meetings in Beijing are expected to tackle China's green energy plan ** India's oil product demand recovery in focus, with its nationwide lockdown extended until May 31 ** Steel and metals industry turn to China data on house prices for indication on the extent of its post-COVID-19 recovery Also in this episode: Biofuels market turn to Indonesia for potential changes in its palm oil export duties, arbitrage window opens for Atlantic LNG cargoes to flow to the Pacific basin, and the rise of Indonesian thermal coal prices could face resistance.]]></video:description><video:publication_date>2020-05-18T03:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/051120-oil-price-us-china-trade-deal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-05-11T02:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LYJ3bHKywJgee3R2nJtq5P</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/051120-oil-price-us-china-trade-deal.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 11-15: Mideast crude OSPs to Asia, US-China trade deal in focus</video:title><video:description><![CDATA[The highlights in Asia's commodity markets this week: Market eye Middle East crude official selling prices after hikes by Saudi Aramco and ADNOC China to receive first US crude cargo since December 2019 Asian importers await production forecasts for US corn and soybeans Also in this episode: Indonesian thermal coal prices are expected to remain rangebound, while China's appetite for copper is expected to impact prices as demand outside of the country remains lackluster.]]></video:description><video:publication_date>2020-05-11T02:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/050420-refined-oil-products-storage-power-demand-recovery-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-05-04T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=464QQ95ZVUX5E42guLXFLq</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/050420-refined-oil-products-storage-power-demand-recovery-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Europe, May 4-8: Refined oil products face dwindling storage as power markets look for signs of demand recovery</video:title><video:description><![CDATA[In this week’s highlights: Oil and gas dwindling storage options pose a major challenge; Norway’s Equinor is set to unveil its first-quarter results; and European electricity markets keep a sharp eye on signs of demand recovery as lockdowns begin to ease. View Full Transcript In this week's highlights: Norway's Equinor is set to unveil its first-quarter results; and European electricity markets keep a sharp eye on signs of demand recovery as lockdowns begin to ease. But first, to the European oil markets, where dwindling storage options are expected to pose a major challenge in the week ahead. Huge surpluses of refined products are being pumped into onshore tanks as well as onto tankers being used as floating storage after the collapse in demand for transportation fuels caused by the coronavirus pandemic. The gasoline and jet fuel markets have been in a race to store product by any means possible. As a result, refiners are left with no other option but to cut production. The time lag between the plunge in product demand and refiners adjusting their production is now playing out in crude markets, with demand for many European crudes expected to remain weak for some time to come. Weak demand and its effects, are likely to be in the spotlight when Norway's state-controlled oil and gas company Equinor publishes its first-quarter results on Thursday. There will be a particular focus on any updates to its European gas export strategy, given record low prices. Day-ahead prices at Europe's main gas hubs continue to trade well below 2 dollars a million British thermal units, which is putting significant pressure on the main suppliers to the continent. As you can see in this chart, Norwegian gas flows to Continental Europe and the UK have been well below 300 million cubic meters a day in recent weeks despite limited planned and unplanned maintenance. Such flows are significantly below Norway's export capacity, indicating Equinor is reducing output from its flexible gas producing fields of Troll and Oseberg. In its results, Equinor will give an indication of how much Norwegian gas it has deferred in the first quarter due to low prices and likely update the market on its plans for the summer. The company last summer cut production significantly in line with its "value over volume" strategy where it defers output during periods of low prices with the aim of achieving higher prices for gas later on. Equinor has said it can get its Norwegian gas to Europe for well below 2 dollars per million BTU, but the UK NBP hub price, for example, has fallen closer to just 1 dollar per million BTU in recent weeks. It hit a 17-year low of just $1.14 in mid-April. With European storage likely to fill quickly over the summer, prices could stay under pressure, and the market will be keeping a close eye on how Norwegian gas supply behaves. By contrast, European power markets will be focusing more on the demand side, looking for any signs of recovery in the next few weeks as lockdowns begin to ease. Spanish and Italian electricity demand ticked up in April after a partial lifting of restrictions, while French, UK and German demand stabilised or rose due to changing weather. Year on year, however, demand is 10 to 20 percent lower, with any full recovery a long way off. In addition, historic falls in coal fired power generation are set to be confirmed when Italian utility ENEL and its Spanish subsidiary Endesa release their first-quarter results on Wednesday and Monday, respectively. And that brings us to our social media question: How do you see electricity demand in Europe developing in the next few weeks? Send us your feedback by tweeting with the hashtag #PlattsMM. And finally, European carbon emissions market participants will be watching out for potential price falls in May after the April 30 annual deadline to surrender allowances for 2019 carbon emissions has passed. However, more price volatility is likely, as the market weighs the short-term demand collapse due to the coronavirus lockdowns against a longer-term tightening of supply as Europe's regulators take aim at tougher climate targets for 2030, with proposals expected after the summer. And don't forget to check out Platts Live, a virtual alternative to our face-to-face events and forums, featuring content on the coronavirus outbreak. It has been created to allow our customers to continue to engage with us, and each other. You can access it at the address at the bottom of your screen. Thanks for kicking off your week with us, and have a great week ahead.]]></video:description><video:publication_date>2020-05-04T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/042720-opec-cuts-oil-results-coronavirus-petrochemicals-wind-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-27T12:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZMjtrYerJYguCqe3JJZg1s</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/042720-opec-cuts-oil-results-coronavirus-petrochemicals-wind-power.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 27-May 1: OPEC+ cuts to kick in as results season begins for European oil, gas majors</video:title><video:description><![CDATA[In this week’s highlights: OPEC+ cuts are to start on Friday; oil and gas company results begin to stream in; the butadiene contract price’s fall spells trouble for olefins; a Dutch wind auction closes; and a German hydrogen strategy emerges. View Full Transcript In this week's highlights: The butadiene contract price's fall spells trouble for olefins; a Dutch wind auction closes; and a German hydrogen strategy emerges. But first, this week, all eyes in the commodity markets will be on oil and whether output cuts by the OPEC plus group of countries, led by Russia and Saudi Arabia, can stem the price slide after US crude futures plunged into negative territory last week. Friday is when the OPEC plus cuts kick in, reducing supply by some 9.7 million barrels a day, or about a tenth of global production before the coronavirus crisis, over May and June. There are some indications of individual countries in the group cutting early. But a tidal wave of Saudi crude hitting the US at the moment can only add to doubts about the deal's effectiveness in the face of an unprecedented collapse in demand caused by the coronavirus pandemic. And indications of the state of the oil market will not only be emerging from producer countries. The results season for European oil and gas majors gets going in earnest this week. Already we know this isn't going to be pretty, with capital expenditure cuts in the region of 25% now becoming routine. BP publishes its first-quarter results on Tuesday, Austria's OMV on Wednesday, and Shell and Total on Thursday. Some oil and gas producers in the North Sea face a particularly tough fight for survival, along with the myriad drilling and other supply companies that service the sector. We expect an update on that score from industry group Oil & Gas UK on Tuesday. And that takes us to this week's social media question: What will have the biggest impact on oil the prices in the next few weeks? Tweet us your thoughts using the hashtag #PlattsMM. The nervousness in the oil market is also spilling over downstream into the petrochemicals sector. There the focus will be on the settlements of key ethylene and propylene May contract prices this week. This follows last week's 200 euro drop in cracker co-product butadiene's May contract price to 325 euros a metric ton, a near 13-year low. In addition, European export prices FOB Rotterdam for butadiene have plunged to their lowest since Platts began assessing them in 1985. The market will be watching to see if there are any further drops or signs of a rebound. As far as ethylene and propylene go, there is an oversupply of ethylene in Europe as refineries' focus has shifted to petrochemicals due to the collapse in demand for gasoline and other transportation fuels. However, demand for co-product propylene has held up. Olefins such as ethylene, propylene and butadiene are used in a wide variety of ways, feeding into downstream polymers and additives that touch all areas of everyday life. For the plastics recycling sector, hopes are for waste collections and sorting facilities will continue to ramp up production this week, despite lockdowns across Europe. May orders are starting to arrive and buying demand is set to be firm. And talking about going green, in the Netherlands the latest offshore wind power auction closes Thursday with the government seeking unsubsidized bids for an up to 760-megawatt project. The winner of the previous two auctions, Sweden's Vattenfall, pulled out of the race for coronavirus-related reasons, leaving the field open to the likes of Orsted, Shell and Equinor. The Netherlands' target is for 40% of its power to come from offshore wind in 10 years' time. Germany is another country looking for ways to bring about an energy transition. On Wednesday the government may finally agree on a national hydrogen strategy. The policy has been delayed by an inter-departmental tussle on whether sustainable production from electricity should be prioritized over conventional reforming of gas with carbon capture. Both pathways are considered necessary to decarbonize hard-to-abate sectors such as steel and chemicals. And finally, please check out Platts Live. Platts Live is a virtual alternative to our face-to-face events and forums, featuring content on the coronavirus pandemic. It has been created to allow our customers to continue to engage with us, and each other. You can access it at spglobal.com/platts-live Thanks for kicking off your Monday with us, stay safe and have a great week ahead!]]></video:description><video:publication_date>2020-04-27T12:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042720-asia-oil-prices-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-27T04:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=WkGKFzdofUjr95P6C4EHCS</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/042720-asia-oil-prices-imports.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 27-May 1: Asian oil imports in focus on low crude, fuel prices</video:title><video:description><![CDATA[The highlights in Asia's commodity markets this week: Indonesia's Pertamina is ramping up crude and gasoline imports Vessel supply squeeze lifts tanker freight rates LNG cargo deferments emerge Also in this episode: India mulls 15% COVID-19 tax on petrochemical imports, prices of Indonesia's coal exports sink below production costs, and China PMI to confirm strength of steel market rebound.]]></video:description><video:publication_date>2020-04-27T04:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/042020-floating-storage-tankers-oil-coronavirus-eni-polyethylene-gas</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-20T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XohHgVkoj5RnBHUFCzZrVv</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/042020-floating-storage-tankers-oil-coronavirus-eni-polyethylene-gas.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 20-24: Surge in floating storage hits tankers amid oil demand destruction due to coronavirus</video:title><video:description><![CDATA[In this week’s highlights: European energy major Eni’s earnings will be closely watched; polyethylene producers are set to expand production margins; and how low can UK natural gas prices go?]]></video:description><video:publication_date>2020-04-20T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042020-opec-asia-saudi-aramco-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-20T04:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QCeknXk15qhGCMurMmAebY</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/042020-opec-asia-saudi-aramco-oil.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 20-24: Tussle for Asian oil market share ahead?</video:title><video:description><![CDATA[The highlights in Asia's commodity markets this week: All eyes on official selling price announcements India's extended lockdown has been a boon for the clean tankers Bearish sentiment is expected in the Asian palm market Also in this episode: Seaborne thermal coal traders are looking out for news on potential output cuts in Kalimantan, spot LNG prices in Asia remain under pressure, and BHP to release its iron ore exports report.]]></video:description><video:publication_date>2020-04-20T04:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/040620-oil-power-markets-production-cuts-demand-drops-covid19</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-06T13:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1JRsXGu359XaX2CUqK9M98</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/040620-oil-power-markets-production-cuts-demand-drops-covid19.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 6-10: Oil and power markets brace for production cuts and demand drops amid COVID-19</video:title><video:description><![CDATA[OPEC+ oil producers will hold a virtual meeting; European gas prices start summer on a downward trend; Restaurant closures put biodiesel producers in a feedstock quandary; and European power markets brace for a further drop in demand. View Full Transcript In this week's Market Movers: European gas prices start summer on a downward trend; Restaurant closures put biodiesel producers in a feedstock quandary; and European power markets brace for a further drop in demand of at least 10%. But first, the week will be dominated by a virtual meeting of OPEC+ oil producers. However, when exactly this will happen remains unclear after it was postponed from Monday. The meeting was called after prices plunged on pressure from both supply and demand sides. The coronavirus battered global demand, and supply grew after the breakdown in OPEC+ production curbs and the start of a price war between Saudi Arabia and Russia. Plans for the meeting were thrown into disarray after President Donald Trump said he was not inclined to force US producers into mandatory output cuts. Trump had earlier offered to mediate a resumption of the OPEC+ deal. Ministers had been contemplating plans to cut 10 million b/d or about 10% of global supply. This was contingent on the US and other countries, such as Canada and Brazil and Norway, joining in. Norway has said it will consider cutting its output as part of a broad international effort. Preparations for the meeting were also not helped by a war on words breaking out between Saudi Arabia and Russia over who was to blame for oil prices plummeting. In a sign of the uncertainty surrounding the talks, state oil companies Saudi Aramco and Abu Dhabi's ADNOC delayed publishing the May official selling prices for their crude oils until after the OPEC+ meeting, sources told Platts. And that brings us to our social media question: What do you think the oil market will look like after the coronavirus outbreak? Send us your replies via Twitter using the hashtag #PlattsMM. The fall in oil prices combined with the coronavirus eating into demand has hit the European gas market. As it enters its summer season participants be watching for any shifts in fundamentals that could change an extremely bearish picture. As you can see from the chart, global gas prices have again converged, this time around record lows. In addition to the coronavirus, they have been dragged down by the mild northern hemisphere winter, high gas stocks and a still oversupplied global market. The JKM benchmark LNG price has fallen to an all-time low of just $2.26/MMBtu for the front month, bringing it down closer toward the prompt TTF and Henry Hub prices. With the start of the LNG shoulder season, most in the market think a recovery in prices is unlikely. This is because European stocks are significantly higher than in previous years and the coronavirus is hitting demand. Part of the lockdowns in Europe to curb the spread of the coronavirus has been the closure of restaurants, cafes and fast-food outlets. A knock-on effect of this has been a lack of used cooking oil as feedstock for biodiesel. The market will be looking to see how producers of biodiesel from used cooking oil, known as UCOME, will cope. Looking to imports could be problematic, with China, an important supplier of used cooking oil, only now slowing, returning to normal. UCOME is an important part of the biodiesel complex due to its higher greenhouse gas savings of 87% compared with 50% for biodiesel from unused vegetable oil. Demand for biodiesel has fallen, with producers not looking to buy further feedstock. However, with lockdowns showing no sign of easing and the summer peak demand season for UCOME on the horizon it remains to be seen how producers will deal with a lack of feedstock. And European power markets are braced for further falls in demand as widespread lockdowns combine with longer days, warmer temperatures and the Easter break set to erase any remaining commercial activity. Demand is forecast to fall by at least 10% on the year in the second quarter due to coronavirus restrictions. As you can see from the chart on your screen Italy has been one of the countries hit by lockdowns imposed on all non-essential activities. Supply from thermal generation - particularly gas - will bear the brunt of demand losses, boosting renewables' share. That in itself poses a challenge for system operators charged with maintaining frequency. Finally, please check out Platts Live. Platts Live is a virtual alternative to our face-to-face events and forums, featuring content on the coronavirus outbreak. It has been created to allow our customers to continue to engage with us, and each other. You can access it at by navigating to the link on your screen. Thanks for kicking off your Monday with us, stay safe and well, and have a great week ahead!]]></video:description><video:publication_date>2020-04-06T13:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/040620-opec-meeting-oil-production-covid-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-04-06T03:23:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jVoVaacPwq4LgeHEoRFGDZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/040620-opec-meeting-oil-production-covid-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 6-10: OPEC+ delays oil output cut talks; COVID-19 continues to disrupt markets</video:title><video:description><![CDATA[The highlights in Asia's commodity markets this week: OPEC+ producers postpone emergency meeting to discuss production cuts Floating storage demand drive tanker rates to multi-year highs Steel markets await clarity on China's mill activities since the domestic lockdowns eased Also in this episode: LNG supply glut is set to increase, China's utilities are set to issue thermal coal tenders, and tightening quarantine measures affect soybean logistics. Don't miss this week's #PlattsMM Poll: #PlattsMM Poll: Do you think #OPEC + producers will agree to a production cut? Watch our latest video: https://t.co/inB7J1TtYP #OOTT — Platts Oil (@PlattsOil) April 6, 2020]]></video:description><video:publication_date>2020-04-06T03:23:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/033020-energy-prices-coronavirus-steel-output-jet-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-03-30T14:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VmLriLfMW5e8znqaSAZyN3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/033020-energy-prices-coronavirus-steel-output-jet-petrochemicals.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 30–Apr 3: Energy prices hit by coronavirus; steel producers revise output levels</video:title><video:description><![CDATA[Prices fall across the oil complex due to the coronavirus pandemic; the jet market eyes storage space; petrochemicals contract prices are expected to come in low; and steel producers are revisiting their production plans. View Full Transcript This week: The jet market eyes storage space; petrochemicals contract prices are expected to come in low; and steel producers are revisiting their production plans. But first: high on everyone's agenda will be the large price falls across the oil complex caused by the coronavirus pandemic, and the effects of any moves by governments and central banks to support the global economy. ICE Brent futures have crashed from more than 50 dollars per barrel at the beginning of March to less than half that level, with the front-month contract trading at under 24 dollars per barrel in Asia trading this morning. Traders will be watching and waiting to see if prices slide further, or whether moves by policymakers or major oil producing countries can put a floor under the market. Jet fuel prices could be in for another turbulent week. The coronavirus has curtailed nearly all demand for air travel, just about wiping out demand from European buyers. The market will be looking for updates on how much storage space might be available for the glut of airplane fuel. Jet fuel cracks - or the price of jet fuel relative to the crude oil from which it has made - are a good indicator of the situation. With plane fleets grounded and borders closed, financial swaps linked to jet fuel cracks in Northwest Europe turned negative last week. In normal times, jet fuel is the highest-value product compared with crude. In Europe, gas is sharing oil's fate as lockdowns across the continent slash demand and prices. The month-ahead price at the Dutch TTF hub has fallen to the lowest level since Platts began assessing it in 2004. On Friday it stood at just 7 euros and 15 cents per megawatt hour. As you can see from the chart, European prices were already at 10-year lows before the coronavirus outbreak due to an oversupplied global gas market. With lockdown end dates uncertain, the bearish sentiment is not expected to lift, especially as maintenance work on gas fields and pipelines offshore Norway has been largely shelved because of restrictions on groups of people working in close proximity to prevent the spread. This means more gas production when the market least needs it. Even the bright weather will bring no comfort to European power prices. While high-pressure weather patterns are forecast to keep temperatures below norms into early April, they are also keeping conditions sunny. Solar output has been seen ramping up now to midday peaks that are having a material impact on hourly prices. This is adding to impact of the lockdowns which have cut demand by up to 20% week on week. That has prompted a collapse in day-ahead prices - with every prospect of further declines this week as days lengthen. One market suffering a knock-on effect from the rout is carbon emissions. Wednesday will be a key date for the EU carbon market, when the European Commission's data in underlying demand for carbon allowances in 2019 will be published. An 8 to 9% drop is expected. Emissions allowance prices crashed to a two-year low last week. Prices have fallen almost 40% since a February peak. Prices seemed to find a new base at around 15 to 17 euros last week. The outlook for the market is now heavily tied to the spread of the virus and its curtailment. Moving on to petrochemicals, monthly contract settlements will be coming in for some products this week. As with energy, some markets are bracing for steep falls following price routs in the last two weeks. That includes the benzene market, where spot prices have hit all-time lows in extremely volatile markets. Drops are expected for the ethylene contract price as well, showing a bearish start to April for two commodities that feed into a wide array of polymers and consumer products. On the consumer side, some products are bucking the downward price trend and this is expected to continue. In the UK, demand for virgin and recycled PET used to package food and for drinks bottles is soaring. This is because packaged food and soft drinks are being stockpiled by consumers. And finally back to one commodity which is firmly following the coronavirus trend, steel. The market will be looking for any further announcements of production cuts across Europe. Companies including ArcelorMittal, Thyssenkrupp, Tata Steel and Liberty Group said last week they would be seeking to reduce output as demand melts away. However, blast furnace-based operations throughout Europe are expected to be maintained, as in Italy, where ArcelorMittal's Taranto plant was on Friday the only Italian steelworks still in operation. Thanks for kicking off your Monday with us, stay safe and well, and have a great week ahead.]]></video:description><video:publication_date>2020-03-30T14:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/030220-opec-meeting-vienna-coronavirus-covid19-oil-production-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-03-02T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tDWepuiufxaghRXGCEiX2y</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/030220-opec-meeting-vienna-coronavirus-covid19-oil-production-cuts.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 2-6: OPEC+ meets in Vienna to discuss coronavirus, further production cuts</video:title><video:description><![CDATA[In this week’s Market Movers: OPEC+ group will meet in Vienna on the back of the coronavirus outbreak ; commodity markets are monitoring the growing spread of the virus; UK power plant closures could boost Capacity Market auction prices, and a Milan court will rule on the former Ilva steelworks’ future. View Full Transcript In this week's highlights: Commodity markets are monitoring the growing spread of the coronavirus outbreak; UK power plant closures could boost Capacity Market auction prices, and a Milan court will rule on the former Ilva steelworks' future. But first, this week's big fixture for oil markets is the meeting of oil and energy ministers from OPEC and non-OPEC countries in the OPEC-plus group. This is due to go ahead on Thursday and Friday in Vienna, against a backdrop of the worldwide coronavirus outbreak, now close to the group's doorstep. As the outbreak sends shockwaves through the global economy, the question in the market is: Should OPEC-plus countries deepen production cuts? The current cut is 1.7 million barrels a day, or around 1.7% of daily global output. Saudi Arabia has pledged an extra 400,000 barrels a day cut, or roughly 4% of its total output. However, non-OPEC kingpin Russia has been cautious on committing to further reductions, putting it somewhat at odds with the Saudis. A technical committee set up to support the ministers' decision-making recommended an additional 600,000 barrels per day cut when it met in early February. Estimating the size of the impact of the coronavirus on global oil demand, and the speed of recovery for the global market is a hard question, with estimates varying widely. OPEC has forecast 2020 demand will be reduced by 230,000 barrels per day due to the outbreak. S&P Global Platts Analytics puts the reduction at more than double that, around 470,000 barrels per day. Beyond demand impact, the virus is also affecting work forces. Companies have begun taking staffing precautions and sending employees home, from trading offices in London to oil fields in Iraq. A similar situation is developing in the petrochemicals sector, with attendance at the European Petrochemical Luncheon expected to be much reduced this week. And that takes us to this week's social media question: The coronavirus will also be on the European gas market's mind. Participants will be watching closely whether LNG cargoes diverted away from Asia could land on European shores, putting further pressure on an already low spot price. Global gas prices have converged further as demand concerns weigh on prices due to the continued impact of the coronavirus. Spot Asian gas prices traded at an all-time low in mid-February, even dipping below spot prices at the Dutch TTF hub. European hub prices are again below 10 euros a megawatt-hour despite some cold weather, given extremely high storage stocks and an oversupplied global LNG market. The shipping market too will be looking to see if dry bulk Panamax time-charter rates for the East Coast South America to China route will take a hit from the coronavirus outbreak. The lockdowns in China as a result of the outbreak have hit demand there for imports from South America such as coal and iron ore. As you can see from the chart, rates rallied over the past week because of strong demand for grains cargoes loading in the second half of March. Demand for loadings in the first half of April has yet to emerge fully. However, the supply of ships has tightened, pushing rates to a three-month high. Whether this marks a short-term ceiling, given the effects of the coronavirus on demand, will be closely watched. Moving from gas to power; on Thursday, the power sector will be watching the UK's latest Capacity Market auction to see if coal and nuclear closures ahead of delivery in October 2023 could support the clearing price. The capacity market auction is there to guarantee security of electricity supply. Generators bid, and on success are paid a fee to be available during the set period. Because of considerable oversupply in recent years, auction clearing prices have been low. But Drax's decision to close two, 660-megawatt coal units next year will mean capacity margins starting to tighten. And finally, on Friday, steelmaker ArcelorMittal and the Italian government are due to face each other in a Milan court to draw up an agreement on the future of the former Ilva steelworks, Italy's largest steel coil and plate maker. Since November 2018 the works has been operated by ArcelorMittal Italia. One year on in November 2019, ArcelorMittal announced its intention to pull out of the venture, which has been beset by environmental and cost problems. Negotiations have been underway with the government since then to ensure continued operation. It is now expected that the world's largest steel producer will continue to produce at the Taranto site with the government taking a golden share. Production levels may still need to be thrashed out. The facility's current crude steel production rate is put at 4.1 million metric tons a year: ArcelorMittal Italia has said it could produce 6 million metric tons a year there by 2023. The government, however, was recently quoted as saying it wants the plant to produce 8 million metric tons a year to safeguard jobs, closer to the plants nameplate capacity at around 10 million metric tons a year. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2020-03-02T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/022420-ip-week-goes-ahead-coronavirus-fears-environmental-protests</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-24T12:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qGHDXJEi5SePKRxRfg5yaP</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/022420-ip-week-goes-ahead-coronavirus-fears-environmental-protests.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 24-28: IP Week goes ahead despite coronavirus fears and risk of protests</video:title><video:description><![CDATA[In this week’s Market Movers: The global energy industry meets in London for International Petroleum Week; the UK’s National Farmers Union will discuss post-Brexit trade; in Greece, Monday marks the deadline to bid for new LNG; and the UK is set to restart carbon auctions after a 14-month delay linked to Brexit. Which IP Week events are going ahead, and which are not? Click here to find out . View Full Transcript In this week's Market Movers: The UK's National Farmers Union will discuss post-Brexit trade; in Greece, Monday marks the deadline to bid for new LNG; and the UK is set to restart carbon auctions after a 14-month delay linked to Brexit. But first, it's International Petroleum Week, when the movers and shakers of the global energy industry traditionally gather in London to discuss the latest trends and challenges at a whole series of meetings, receptions and networking events. Something of a cloud hangs over the event this year, with some attendees pulling out citing coronavirus fears and in some cases the risk of protests by environmentalists. Some of the biggest fixtures of a typical IP Week, such as Azerbaijani state company SOCAR's bash at the Savoy Hotel, have been cancelled. For updates check our website, where among other things, you can find a page detailing which IP Week events are going ahead, and which are not. You'll find the link below this video. The Energy Institute, organiser of the main IP Week Conference, says the event is "full steam ahead." S&P Global Platts' own London Oil and Energy Forum will be going ahead as planned on Monday. Kicking off the Platts event will be deputy chair of the UK's Committee on Climate Change, Julia King. The committee advises the government on energy and climate policy. On Tuesday, the IP Week Conference gets underway, the theme this year being "Defining the Industry's Role, Delivering a Low-Carbon Future." Opening the discussion will be IEA Executive Director Fatih Birol. He is followed by other prominent figures including Total's upstream director, Arnaud Breuillac and trading company Vitol's CEO, Russell Hardy. This year's guest speaker is new BP CEO Bernard Looney, who has been making waves with his promises to steer the company to net-zero carbon emissions, including from the fuel it produces, by 2050. And that brings us to our social media question of the week: How serious do you think the major energy companies are about the energy transition? Send us your feedback by tweeting with the hashtag #PlattsMM. Staying in the UK, the National Farmers Union annual conference will take place in Birmingham this week. The farming community will follow President Minette Batters' keynote address closely. Batters has been consistently lobbying the government not to allow imports of food in potential trade deals after Brexit, which has been produced to standards that would be illegal in the UK. Brexit provides a potential opportunity to negotiate new trade deals for agricultural products with the US and other significant producing countries. However, there will be trade-offs to allow access to foreign markets for other sectors of the UK economy such as the auto industry Sugar beet farmers will be closely monitoring the session titled "protecting UK sugar beet production," where representatives from British Sugar, NFU Sugar and Royal Cosun from the Netherlands will debate the future of the industry. UK sugar beet farmers currently produce around 1.2 million metric ton of sugar a year, meeting 60% of the UK consumption. However, growing sugar beet has become increasingly challenging, given a Europe-wide ban on neonicotinoid pesticides and far-from-ideal weather. Despite Brexit, the UK will loom large in the EU carbon market this week. The UK is set to restart carbon auctions March 4 after a 14-month delay linked to Brexit and this could make prices volatile. As you can see from the chart on your screen, the market has been very choppy in January and February. Prices have swung from a four-month low of almost 23 euros a metric ton on February 4 to nearly 26 euros a ton on February 20. This looks like a battle between short-term bearish demand-side elements including a very mild winter, strong wind as well as cheap natural gas, which emits less greenhouse gases than coal, and longer-term, bullish, supply-side factors including potentially stronger EU emissions reduction targets for 2030 and beyond. And finally, Monday marks the deadline for binding bids for capacity in a planned new LNG import terminal in Greece. Greece already has one operating LNG import terminal, which started operations in 2000 and expanded its capacity last year, but the government is supporting a second plant at Alexandroupolis as part of efforts to become a regional gas hub. In the first, non-binding market test, 20 companies submitted expressions of interest for a total of up to 12.2 billion cubic meters a year of reserved regasification capacity at Alexandroupolis LNG. That is well in excess of the technical capacity of the project of 5.5 billion cubic meters a year. Developer Gastrade has said companies that expressed interest in the first non-binding market test - and new interested parties- would be eligible to submit binding offers for capacity. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-02-24T12:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>06:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022620-sustainability-shift</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-24T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NDDATreG4oJ6W8YKs2x7xn</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/platts-snapshot/022420-sustainability-shift.png</video:thumbnail_loc><video:title>How will oil be affected by the energy transition?</video:title><video:description><![CDATA[While a future beyond oil remains hard to picture, investors and consumers around the world are demanding more focus on sustainability. Oil companies are responding by writing off long-cycle investments and moving into alternatives. Governments are continuing to tighten regulations on a range of transport fuels, pushing refiners towards lower sulfur products and biofuels blending, while sectors such as marine and aviation face a challenge to decarbonize. For more insight, read our special report: Sustainability shift: Oil's future in the energy transition View Full Transcript Energy markets are awakening to climate risks. The debate around the energy transition has shifted from whether one will occur to when it will happen and what it will look like. Governments, investors and consumers around the world are demanding more focus on sustainability. This pressure is being felt in the oil industry, and some companies show they are listening. And yet a future beyond oil remains very hard to picture, given current demand projections. Even as oil remains central to the energy mix in the near and medium term, supply and demand shifts are already happening. Many governments are tightening fuel regulations to cut greenhouse gas emissions in the transportation sector. In the US, refiners faced a hard deadline in January to meet EPA’s Tier 3 regulations limiting sulfur content in gasoline. Biofuel blending is on the rise across Europe, as countries gradually introduce legislation to comply with EU directives. China and India are rolling out stricter fuel standards as they try to clean up polluted skylines. Change is also occurring in the marine and aviation sectors. With a global sulfur cap in place for shippers, a more protracted battle begins over finding cleaner fuels to cut the sector's emissions in half by 2050. No clear replacement has yet emerged, with options like LNG, methanol, hydrogen and ammonia all facing challenges. Aviation will be one of the toughest sectors to decarbonize, as weight, distance and safety concerns limit the alternative fuel options available to other transportation sectors. While drop-in biofuels are advancing, the ultimate solution to reducing jet fuel emissions might rely on continued aircraft efficiency gains, together with policies limiting short-haul flights and curbing freight. Biofuels will play a key role in many countries' efforts to reduce their carbon emissions. Global biofuels policies are evolving – with governments adopting carbon-intensity targets and shifting away from volume-based blending goals to address questions of land use and life-cycle emissions. Non-crop feedstocks stand to benefit from this shift, while traditional crop-based biofuels are expected to stick around. More than half of growth in gasoline demand is expected to be absorbed by ethanol between 2019 and 2025. Will the refining sector be able to keep pace with a relatively rapid energy transition? Refiners face slowing demand for gasoline and diesel while demand from the aviation and petrochemical sectors continues rising. The refining sector has shown agility in the past to adapt to changing crude supplies and demand shifts. Investors, too, are becoming more concerned with climate and sustainability risks. Companies are responding with measures such as tying executive pay to carbon reductions, writing off long-cycle assets, and setting targets for reaching carbon neutrality. It all adds up to a major change – a sustainability shift that will have widespread effects on supply, demand and trade flows for decades to come.]]></video:description><video:publication_date>2020-02-24T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021920-future-european-gas-after-groningen</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-19T12:58:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nJCyY8By3hTqCZwWpwC7np</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/021920-future-european-gas-after-groningen.jpg</video:thumbnail_loc><video:title>The future of European gas after Groningen</video:title><video:description><![CDATA[Gas production at Groningen, Europe's largest gas field, will end in 2022, eight years earlier than planned due to the risk of earthquakes. The move will leave the continent's gas market 54 Bcm/year short compared with 2013. S&P Global Platts latest special report, The future of European gas after Groningen , we examine how the European gas market will change and the consequences of the shutdown for the energy industry. View Full Transcript Natural gas production at Europe's largest gas field will end in 2022, eight years earlier than planned, because of the risks of earthquakes in the region triggered by drilling. Production at the giant onshore Groningen field in the Netherlands began in the 1960's and hit a record high of almost 88 billion cubic meters 13 years later. Infrastructure around the field was developed to supply consumers in the Netherlands, Germany, Belgium and northern France. Unlike gas from Russia and Norway, as well as LNG, Groningen's gas is classed as low-calorific, and Europe relies heavily on it. You can see Groningen's extensive L-gas network from the pink pipes in this map. The Groningen phase-out will create a deficit of low calorific gas across all those European markets, and sooner than expected. Work has long been underway to prepare Europe for the transition, including projects to convert more H-gas into L-gas, since L-gas networks are unable to accommodate H-gas. The Groningen phase-out will leave the European gas market 54 billion cubic meters short compared with 2013. The gas shortage is likely to be partially covered by an increase in Russian gas, which can currently reach Europe via three entry points. In addition to that, Nord Stream 2 is expected to start flowing gas early next year. Gazprom aims to invest in around 250 billion cubic meters a year of new production capacity to come online in the next five years. LNG is another source of supply. The loss of Groningen volumes comes as the global LNG market looks to remain oversupplied, with a surge of new production coming online in the US Gulf Coast and Australia. This leaves plenty of supply to fill the upcoming shortage in Europe. Speaking of European gas prices, Groningen's phase-out is likely to have a moderately bullish impact, since the market will be less flexible and more dependent on pipeline imports and LNG. As shown on this chart, the trend can already be seen in the 2022-21 contango on the pivotal Dutch TTF trading hub, with 2022 prices almost 2 Euros megawatt hour above the 2021 price during 2019. Producing at more than 50 billion cubic meters a year in 2013, it would have been inconceivable then to imagine Groningen being completely closed within 10 years. However, the hole left by Groningen doesn't seem to be worrying the European gas market as a whole. With sufficient LNG and Russian imports, Groningen can be easily displaced. Across the industry, the narrative for natural gas is changing from excelling as a partner to renewables over the next few decades, to being part of the problem now. Please find more information about the Groningen phase-out in our special report 'The Future of European Gas After Groningen'. Thanks for watching. For more Platts insight, visit spglobal.com/platts]]></video:description><video:publication_date>2020-02-19T12:58:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021720-coronavirus-covid19-pressure-oil-lng-ethylene-nuclear-reactor-closure</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-17T12:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=99ZgtbK2ZyWVqgevRJ5uoq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/021720-coronavirus-covid19-pressure-oil-lng-ethylene-nuclear-reactor-closure.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 17-21: Coronavirus exerts pressure on oil, LNG, ethylene; Europe loses another nuclear reactor</video:title><video:description><![CDATA[In this week’s Market Movers: The coronavirus outbreak in China and its effect on demand will remain the focus for most commodity markets, and the European power market will look at the impact on the supply side of reactor closures. View Full Transcript In this week's Market Movers: The corona virus outbreak in China and its effect on demand will remain the focus for most commodity markets; and the European power market will look at the impact on the supply side of reactor closures. The oil market will this week be looking for further clarity on the effect of the coronavirus outbreak on Chinese demand and how producers will respond. Last week the International Energy Agency forecast that the first quarter of 2020 would mark the first quarterly contraction in global oil demand in more than a decade. Various crude suppliers from West Africa, the Far East of Russia and the Americas will look poised to lower their offer prices to the Asian market as major refineries in Northeast Asia continue to slash their run rates and crude throughput because of the virus. OPEC has been dithering alongside Russia on whether to implement further cuts in production in response to the fall in demand. However, it looks like the next meeting of OPEC and its partners in OPEC plus will go ahead as planned on March 5 in Vienna. Data on exports from OPEC kingpin Saudi Arabia is expected to be out this week from oil information provider the Joint Organisations Data Initiative. This should shed a little more light on the impact of the virus. The coronavirus' impact on demand can be seen in the LNG market as well .On Thursday, Shell will release its much anticipated global LNG outlook. This is regarded by market players as a key report on market conditions in the short-to-medium term. As you can see from the chart on your screen, the JKM Asian spot LNG price has fallen to its lowest level since S&P Global Platts began assessing it in 2009. The coronavirus has compounded the factors driving the price down. However, before the outbreak, the global LNG market was already oversupplied. LNG from new projects in Australia and the US more than offset demand growth, which itself was crimped by mild winters in Asia and Europe. As well as the Shell report, the market will be looking for more details on how supply to China is being managed. Qatar, the world's top LNG exporter after Australia, has said it is talking with Chinese customers to redirect supplies because of the coronavirus situation. Other suppliers, such as Indonesia have also deferred supplies under a contract that was supposed to start deliveries in January. It now expects cargo deliveries to begin by April. Back in Europe, the petrochemical market will be looking to see whether cracker operators will cut run rates to curb the growing oversupply of ethylene. The coronavirus is the main culprit here because it has seriously eroded demand in China for downstream polyethylene and glycols. Glycols are used in antifreeze and polyester fibres. This has meant the loss of export opportunities for European producers and competition from imports diverted to Europe from China. Should cracker runs be cut, this would tighten the European propylene market. Polypropylene is widely used in the automotive industry. And that takes us to our social media question: How likely do you think it is European crackers will cut run rates? Tweet us your reply using the hashtag #PlattsMM. And talking about supply reductions, the European power market is about to lose a third reactor in a matter of weeks with the closure this coming Saturday of France's oldest nuclear unit, Fessenheim 1. This follows closure of Germany's Phillipsburg 2 and Switzerland's Muehlberg reactors at the end of 2019 You would think removal of 2.6 gigawatts of capacity within a 120-kilometer radius would prompt a price response. However, record-low nuclear generation this winter has barely dented European markets due to the mild winter and renewables stepping into the breach. During recent storms the hourly prices have turned into negative territory in several countries. And finally, the weather will also be in focus when the International Maritime Organisation meets in London this week to assess the change to bunker fuel specifications it imposed globally on 1st of January, capping the sulphur in bunker fuel at 0.5%, and discuss what the next steps might be. One topic of discussion will be a possible switch of focus from local emissions to wider carbon emissions and climate change, and whether the shipping industry can do more on this issue. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2020-02-17T12:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021020-china-crude-jet-coronavirus-iea-opec-reports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-10T13:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UZZf2dyePHX512YERQ9fy7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/021020-china-crude-jet-coronavirus-iea-opec-reports.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 10-14: China to cut crude throughput on coronavirus as market holds breath on IEA &amp; OPEC reports</video:title><video:description><![CDATA[In this week’s Market Movers: oil prices continue to be buffeted by the coronavirus, French electricity utility EDF’s 2019 results are due; the sugar industry will be gathering in Dubai; and metals traders will be looking at whether palladium will continue its rise or fall. View Full Transcript In this week’s Market Movers: French utility EDF’s 2019 results are due; the sugar industry will be gathering in Dubai; and metals traders will be looking at whether palladium will continue its rise or fall. But first – oil prices continue to be buffeted by the coronavirus. Platts Analytics expects China’s refineries expected to slash crude throughput by around 8% or 1 million barrels a day in February. Fears of demand destruction last week caused a key committee to recommend that the OPEC plus producer group cut 600,000 barrels a day of oil output on top of the 1.7 million previously agreed. However, key non-OPEC member Russia has held off agreeing to additional cuts. Two reports out this week will include in-depth analysis of the situation. OPEC publishes its monthly oil market report on Wednesday, and the International Energy Agency publishes its report on Thursday. On the corporate front, new BP CEO Bernard Looney will hold his inaugural press event, outlining his ambitions, on Wednesday. BP announced the departure of downstream chief executive Tufan Erginbilgic on Friday. This week’s event should provide a better steer on how Looney plans to tackle some of the big challenges facing BP. And that takes us to this week’s social media question: What do you think the biggest challenge will be for the new BP CEO. Tweet us your replies under the hashtag #PlattsMM. Gas demand too has been hit in China by the coronavirus outbreak. This means the European gas market will be watching closely for a fresh influx of LNG cargoes diverted away from China. These expectations have been fueled by major Chinese oil and gas company CNOOC declaring force majeure on some of its LNG import contracts. Europe can act as a sink for surplus LNG cargoes, given its liquid trading hubs and plentiful LNG import capacity. The CEO of Austrian oil and gas company OMV, Rainer Seele, said last week that because of the coronavirus outbreak, he expects more LNG cargoes to land in Europe hitting the hub prices, especially in Northwest Europe. As you can see from the chart on your screen, European hub prices have already slipped below 10€ per Megawatt given the extremely warm winter, high stocks and an oversupplied global LNG market. Spot Asian gas prices are currently trading at an all-time low and on a par with spot prices at the Dutch TTF hub. One commodity which has bucked the bearish trend caused by the corona virus is sugar. This week the industry will be gathering for the Dubai Sugar Conference. As you can see from the chart on your screen, the conference comes at a time when global sugar prices are ignoring bearish headwinds and have climbed 15% since start of 2020. However, the rally may soon be capped at the point where ethanol’s premium to sugar in Brazil erodes completely. This should make for lively discussions about the proportions of the cane that will go to either sugar or ethanol for the new season, which starts in April in the world’s largest sugar exporting region, Center-South Brazil. Given the recent meltdown in ethanol’s premium to sugar, the Brazilian industry is expected to depart from the maximum ethanol scenario of the past two seasons and raise sugar production. On the other side of the equation, the threat of possible sudden deaths to the crops in Thailand and the Indian state of Maharashtra will be under the spotlight at the conference as they will remain the key supportive factors in the weeks ahead. And speaking of drops in production, Europe's biggest power generator, France’s EDF will report its 2019 earnings on Friday, offering guidance for the first time on 2020 nuclear output. Last year, EDF’s 58-reactor strong fleet stuttered to record-low output in the fourth quarter. The first quarter of 2020 is looking similar. Most attention, however, will center on anything EDF says about market reform and the ARENH regulation. This involves the mandatory sale by EDF of a large slice of its nuclear output to smaller competitors. It is under government review, both in terms of price - currently 42 euros a megawatt hour -- and volume. The government has made positive noises around the reform, with greater volume release to be coupled with a more supportive, sustainable price structure – for EDF at least. In the meantime, falling wholesale prices are now neck and neck with the regulated rate for the first time in three years – making any talk of a higher rate in future politically awkward. Another bullish commodity is palladium. The metal is a key ingredient in emissions-reducing auto-catalysts. However, market participants will be looking to see if a price of $2,300 per ounce can be sustained, up 28% from three months ago, after top producer Nornickel last week said it would release three tons of the metal back onto market in an attempt to cool prices. The market is mixed on what happens next, with some saying tight fundamentals justify the price. Others have described the surge in prices as a bubble caused by panic buying from the auto industry and speculators weighing in. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-02-10T13:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020620-lng-insight-us-lng-exporters-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-06T16:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oq5FqgiBAgR9hqaK3KKB7v</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/020620-lng-insight-us-lng-exporters-europe.jpg</video:thumbnail_loc><video:title>Can US LNG exporters count on Europe?</video:title><video:description><![CDATA[As US LNG export capacity continues to grow and the demand outlook remains weak, utilization rates at US export terminals could become squeezed if the now top-ranking European buyers of US LNG fail to maintain the current import growth levels required to keep up with the new supply. Who are these importers and what are the growth prospects? Madeline Jowdy of S&P Global Platts Analytics takes a look at the forces shaping the market.]]></video:description><video:publication_date>2020-02-06T16:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020520-brent-crude-oil-volatility-february-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-05T16:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xJPRD2MqtDV9qLkSTjEdek</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/020520-brent-crude-oil-volatility-february-outlook.jpg</video:thumbnail_loc><video:title>2020 Brent crude oil volatility: February outlook</video:title><video:description><![CDATA[S&P Global Platts latest Insight video outlines our quantitative analysis team's expectations for Brent crude oil volatility during the month of February 2020. If you are interested in using volatility to leverage and optimize trading and hedging opportunities, please email us at pl_risk@spglobal.com and get the Oil Volatility Analytics.]]></video:description><video:publication_date>2020-02-05T16:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/020320-energy-industry-uk-brexit-opec-coronavirus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-03T11:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2kgiZKzrJigQ7wq596beet</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/020320-energy-industry-uk-brexit-opec-coronavirus.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 3-7: The energy industry seeks answers as the UK fulfils Brexit and oil markets face coronavirus</video:title><video:description><![CDATA[In this week’s market movers: The oil industry meets to discuss long-term plans; the electricity industry seeks answers on the short-term impact of Brexit; ArcelorMittal and Equinor’s 2019 results are due; and demand for medical gloves in Asia due to the coronavirus could open an arbitrage for petrochemical butadiene from Europe. View Full Transcript In this week’s market movers: The oil industry meets to discuss long-term plans; the electricity industry seeks answers on the short-term impact of Brexit; ArcelorMittal and Equinor’s 2019 results are due; and demand for medical gloves in Asia due to the coronavirus could open an arbitrage for petrochemical butadiene from Europe. As coronavirus weighs on global markets and OPEC and its partners consider their response, issues of energy security will be in the spotlight at the Baker Hughes Annual Meeting industry conference in Florence, Italy, that starts Monday. International Energy Agency executive director Fatih Birol and US assistant secretary for fossil fuels Steven Winberg are set to address the energy security issue and the current state of oil markets alongside an array of government ministers and company executives. The event though, is also designed to addresses the long-term future of the global energy industry, including technological efforts to stay competitive and reduce carbon emissions. These topics will be discussed by Shell projects and technology director Harry Brekelmans, and Total upstream director Arnaud Breuillac, as well as representatives of national oil companies and regulators from Angola to Colombia to Nigeria. Also up for discussion will be the prospects and challenges of the global LNG market. We can expect insights from Egypt’s petroleum and mineral resources minister Tarek El-Molla, the chief strategist of JERA, the world’s largest LNG buyer, Hendrik Gordenker, and from US LNG developers such as Tellurian chief executive Meg Gentle. Another key contributor will be David Stover, CEO of Noble Energy, which has just launched Israel’s first gas exports to Egypt. With the UK’s exit from the EU finally achieved, and trade negotiations now underway, UK and European power traders want some answers. First – how will access to the internal energy market change? What about governance and arbitration in the event of disputes? Will the UK have any say in EU agencies which regulate the sector? Any move from implicit to explicit cross-border capacity auctions is going to add cost. While this is currently a minor concern, it will grow. In 2019 power imports met under 10% of UK demand, but they’re forecast to double by 2025. Brexit also matters for the EU emissions market, with the UK now set to stay in the system until the end of 2020 under a transitional arrangement. This is important for carbon allowance prices because the UK will soon bring all of 2019’s supply of allowances -- held back last year because of Brexit uncertainty -- into the market this year through auctions and free allocation. The exact timing still needs to be agreed between the UK and European Commission. This has been a key factor curbing the upside for prices in the first quarter, adding to other bearish elements including a mild winter and low natural gas prices. A low price makes less emissions-intensive gas more competitive against coal for electricity generation, reducing demand for carbon allowances. And that takes us to our social media question: What do you think the implications of Brexit will be for your market? Tweet us your replies using the hashtag #PlattsMM. As the 2019 results season gets into full swing, traders and analysts will be keeping their eyes peeled for indications of market direction for 2020. ArcelorMittal will be one company publishing on Thursday, closing a difficult year for the world’s largest steel maker. The outlook for its key markets remains subdued, with European steel industry association Eurofer trimming EU growth expectations to 1.2% from 1.4% last week. Gas production strategy will also be in focus when Norway’s state-controlled oil and gas company Equinor releases its results the same day. Norway is a key supplier to Europe, meeting around a quarter of EU gas demand. As you can see from the chart on your screen flows of Norwegian gas into the UK and Northwest Europe have fallen by 10 to 15 percent so far this winter, and talk of deferred production could be confirmed in the results. The European butadiene market will watching to see if greater demand for medical-grade rubber gloves due to the coronavirus outbreak will materialize. Nitrile grade rubber gloves are made from butadiene. Asia is a major export market for European sellers. However, despite an uptick in demand for the end-product, trading has been limited due to the outbreak and the Lunar New Year. Any increase in demand could open up an arbitrage opportunity. Also in petrochemicals, the European polyethylene terephthalate industry will be meeting this week in Brussels for the annual industry body meeting. Top of the agenda will be a focus on circularity and recycling ahead of tough EU legislation on recycled plastics in packaging. The European PVC industry is set to announce higher prices for February this week in an effort to recoup margins and bring European prices into line with the global market. Other polymer markets have a chance to follow upwards, as demand is expected to grow moving into February. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2020-02-03T11:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/020320-coronavirus-commodities</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-02-03T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=KV7DR4SjHJK6F7YoTqg92P</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/020320-coronavirus-commodities.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Feb 3-7: Coronavirus shakes commodity markets</video:title><video:description><![CDATA[Asian traders assess the extent of how the coronavirus outbreak might affect commodity trade flows and prices, particularly after the China Council for the Promotion of International Trade offered force majeure certificates to domestic companies that be unable to meet international contractual obligations due to the health emergency.]]></video:description><video:publication_date>2020-02-03T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012920-brent-crude-oil-volatility-looking-back-2019</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-29T15:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DPPbqV687n2DDctfJ6D3ZZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/012920-brent-crude-oil-volatility-looking-back-2019.jpg</video:thumbnail_loc><video:title>Brent crude oil volatility: looking back at 2019</video:title><video:description><![CDATA[Vito Turitto, S&P Global Platts Lead Quantitative Analyst, looks back at the events that shaped Brent crude oil volatility throughout 2019.]]></video:description><video:publication_date>2020-01-29T15:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012720-oil-demand-coronavirus-wuhan-china-uk-nuclear-funding</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-27T11:58:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3bRdEr6L9fSzRz3BYApH8j</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/012720-oil-demand-coronavirus-wuhan-china-uk-nuclear-funding.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 27-31: Oil market assesses impact of coronavirus outbreak, as UK reviews nuclear funding</video:title><video:description><![CDATA[In this week’s Market Movers: Oil and shipping markets monitor the impact of the coronavirus outbreak on crude oil demand from China; oil markets will be looking to see if the blockade of Libyan ports continues; a key report on the state of the European steel industry is due out; and the petrochemicals industry will be keeping a weather eye on Rhine water levels. View Full Transcript In this week’s Market Movers: Oil markets will be looking to see if the blockade of Libyan ports continues; a key report on the state of the European steel industry is due out; and the petrochemicals industry will be keeping a weather eye on Rhine water levels. But first, the oil and shipping market participants will be closely monitoring the potential impact of the coronavirus outbreak and its impact on crude oil demand from China. The Chinese authorities’ response of locking down cities and restricting travel since the disease broke out in the city of Wuhan has sparked concerns about demand destruction. These have been exacerbated by the outbreak coinciding with the Lunar New Year festivities when demand for transport fuel usually rises as people travel to celebrate with their families. Flights in and out of the regions affected have been cancelled. Should the travel restrictions last excess jet fuel will be expected on the global market. European jet fuel prices fell 5% last week for hit a 4-month low. Events in China have also had an impact upstream on both crude prices and tanker rates falling. As you can see from the chart on your screen, the rates for very large crude carriers from the Persian Gulf to China fell sharply, taking the drop in the last 10 days of trading to 25%. Moving from oil demand to oil supply, Libya's five main oil export ports have been blockaded since January, with force majeure declared on more than 1 million barrels a day of sweet crude. If the blockade continues more than a week, traders say there will be no spare storage capacity and the National Oil Company will have to cut production. They say that this cut could even boost March ICE Brent futures by 10%. In the second half of 2019, there were two force majeures in Libya but the stakes are now are higher. The leader of the self-styled Libyan National Army, Khalifa Haftar, who is running the blockade, may not relent until he has control of the entire country. Haftar is fighting the UN-backed Government of National Accord. Many traders are in wait-and-see mode, but traders offering sweet grades loading in the Mediterranean - such as Azeri – are seeking premiums of around 6 dollars a barrel, which would be a multi-year highs. The UK government is due any day now to announce a new funding model for nuclear power projects, with lobbying intensifying as a decision comes closer. As you can see from the map on your screen, the building of new nuclear capacity in the UK has lagged behind closures, making a decision all the more pressing. Last year’s consultation on the matter focused on a regulated asset base model akin to that used for large transmission projects. EDF is reportedly pushing for a quick resolution so it can move workers from the in-construction Hinkley site to proposed new site Sizewell in an efficient manner. Meanwhile Rolls Royce has been touring the studios promoting its small modular reactor program, which it says can produce sub 60 pounds per megawatt-hour power by 2029. European Steel Association Eurofer is set to give a market update as the prospects of higher steel demand have improved slightly so far this year. European steel prices have risen from the multi-year lows last year. Prices were mainly driven up by production cuts, which started to be announced from May 2019 to help relieve overcapacity problems, and operational changes at major Italian works Ilva. It is expected that European steel products prices may rise further due to strikes in France, which last week resulted in major steelmaker ArcelorMittal declaring force majeure at its Fos sur Mer plant. The company has also announced a reline of a blast furnace in Ghent in Belgium, and that it will be making further production cuts in Italy. Finally, while steel prices may be rising, Rhine water levels are falling. This is causing problems for olefins plants upstream. Water levels are approaching the 1-meter mark at the key chokepoint of Kaub in Germany. They are expected to hover around that level this week. Barges delivering upstream are travelling under loaded. Gas barges are currently under loaded by 25% with liquid barges under loaded by 50%. Thanks for kicking off your Monday with us, and have a great week ahead]]></video:description><video:publication_date>2020-01-27T11:58:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012220-seaborne-metallurgical-coal-prices-2020</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-22T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JAozRyKefJ86DrujuqNAwR</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/012220-seaborne-metallurgical-coal-prices-2020.jpg</video:thumbnail_loc><video:title>Will seaborne metallurgical coal prices rebound in 2020?</video:title><video:description><![CDATA[The seaborne metallurgical coal and coke markets enter 2020 in the wake of a transformative year in 2019, which saw shifts in trade flow and positive Chinese import arbitrage economics keeping demand strong and prices low. What's in store for 2020? Jeffery Lu , S&P Global Platts managing editor for Asian metallurgical coal markets, examine the factors that could affect seaborne prices this year.]]></video:description><video:publication_date>2020-01-22T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012020-davos-trump-thunberg-merkel-russia-pm-mishustin</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-20T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bKB2NkvgG2r8Fs7gR2Bz3K</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/012020-davos-trump-thunberg-merkel-russia-pm-mishustin.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 20-24: Davos 2020: Trump, Thunberg, Merkel speak, while focus falls on new Russian PM</video:title><video:description><![CDATA[In this week’s Market Movers: carbon traders eye the German government’s plans to cancel allowances from its coal phase-out; the spotlight will be on a new government in Russia; and will the container shipping market enjoy a happy Chinese New Year? View Full Transcript In this week’s Market Movers: carbon traders eye the German government’s plans to cancel allowances from its coal phase-out; the spotlight will be on a new government in Russia; and will the container shipping market enjoy a happy Chinese New Year? All eyes will be on Switzerland this week, as the World Economic Forum holds its annual meeting in Davos of 3,000 of the world’s most influential politicians, economists, business leaders, and activists. Key speakers this year include US President Donald Trump, Saudi Aramco chief executive Amin Nasser, and the environmental activist Greta Thunberg. Topics under discussion include “society and the future of work”, climate change and “how to save the planet”, as well as “better business”, “tech for good” and “fairer economies.” Among the speakers at Davos is German Chancellor Angela Merkel, as carbon traders look for clarity on her government’s plans to cancel carbon allowances from its coal phase-out. A landmark agreement last week detailed closure dates for lignite units that accounted for 50% of German power sector emissions in 2019. There was little doubt the certificates would be cancelled, but questions remain about the dates of cancellation. Also, with a Brexit date now in clear focus, details about 2019 and 2020 allocations remain outstanding, which could be a bearish factor for prices as details emerge on the timing of the additional volume to be brought to market. Whether or not he appears at Davos, the spotlight is also likely to fall on another leader, Russia’s new prime minister, Mikhail Mishustin. Since he replaced Dmitry Medvedev last week, the markets will be looking for changes in Russian energy policy and the country’s relationship with OPEC. Russia has been keen on the new diplomatic ties it has forged with Middle Eastern producers such as Saudi Arabia since their landmark production cut agreement in 2016. But on the actual production cuts themselves, Russia has been lukewarm. Decisions will have to be made fairly soon as the OPEC-plus group of ministers meets in less than 7 weeks in Vienna. The climate change being discussed by the great and the good at Davos has caused a lack of winter ice at key ports in the Baltic Sea. This may push down clean tanker freight rates this week as shipowners idle ice-class ships stationed in the North Sea. This is expected to build up the availability of ships for larger vessel classes, which now face closed arbitrage opportunities for transatlantic and eastbound shipments. In the dirty tankers market, it’s a different story: participants will be looking closely at the Persian Gulf, as Iraq’s Basrah crude loading programs are expected to be released before Friday. Any increase in volumes in the region is expected to spur freight even higher, after rates corrected on a return to relative stability in the region in the aftermath of the killing by the US of Iranian general Qassem Soleimani. The relatively warm European winter will also be on the gas market’s radar this week. Gas prices in Europe are low partly due to the lack of heating demand but mainly because of sky-high inventories. As you can see from the chart on your screen, gas stocks across the EU are currently around 77 billion cubic meters, around 18 billion more than a year earlier. To put that surplus into context, the additional stocks represent only a little less than the total pipeline exports from key supplier Algeria to Europe in 2019. Withdrawals across the EU have stepped up since the start of 2020 to some 450 million cubic meters a day as Russian deliveries slumped. Storage across Europe was built up to record highs by the end of 2019 on fears that Russian gas transit via Ukraine to Europe could be disrupted. Moscow and Kiev did reach a last-minute deal on transit, but Russian gas flows are still much lower than in 2019. Russian gas company Gazprom itself built up more than 11 billion cubic meters of stocks in Europe and may be withdrawing that gas rather than flowing via Ukraine to avoid keeping gas in storage any longer than necessary to mitigate the cost. Finally, with Chinese New Year approaching at the end of the week, the outlook appears bearish for the container freight market, especially for the trade lanes from North Asia into Europe. The shutters coming down across North Asia could pose significant problems with supply chains into Europe – as short-term demand has grown significantly, resulting in a significant number of containers being left in ports in North Asia. Despite rates being supported as the holiday approaches, they are expected to tumble as demand dries up for several weeks. As you can see from the chart on your screen, last year, it took until mid-March for demand to pick up again. However, with Chinese New Year earlier this year, demand is expected by most market participants to recover by the end of February. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2020-01-20T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012020-us-china-deal-soybeans-crude-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-20T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qcUDvzKnvW8AeJTPx6EHFp</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/012020-us-china-deal-soybeans-crude-lng.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 20-24: Markets assess impact of US-China deal</video:title><video:description><![CDATA[The highlights in Asian commodity markets this week, with Commodity Associate Rason Chen: markets start assessing the impact of the US-China phase one trade deal, slow down in trades expected ahead of the Lunar New Year holiday, maintenance at refineries in the Middle East hits tanker rates, Asian refiners compete for Australian heavy sweet crudes, and China imposes new import restrictions for thermal coal.]]></video:description><video:publication_date>2020-01-20T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011520-china-lng-imports-2020</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-15T06:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9tafs8q1jdbacrYWq7Q1Y6</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/011520-china-lng-imports-2020.jpg</video:thumbnail_loc><video:title>Chinese LNG imports face headwinds in 2020</video:title><video:description><![CDATA[China's LNG import growth slowed in 2019 compared the pace set in the previous three years but was still one of the fastest-growing markets globally. S&P Global Platts LNG Analytics - Asia Manager Jeffrey Moore explains that with competing supplies from domestic production and the newly-commissioned Power of Siberia pipeline, LNG imports are at further risk of slowing in the country. However, with new infrastructure and historically low JKM, the benchmark price for Asian spot LNG, the market could see some tailwinds for Chinese LNG imports in 2020.]]></video:description><video:publication_date>2020-01-15T06:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/011320-uncertainty-middle-east-hits-oil-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-13T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Nhgody87esGCoffg8Y14CF</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/011320-uncertainty-middle-east-hits-oil-markets.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 13-17: Uncertainty in the Middle East hits oil markets</video:title><video:description><![CDATA[In this week’s Market Movers, the tensions in the Middle East supports oil prices and keeps gold in focus; the fallout of IMO 2020 is a hot topic for shipping and bunker markets; and the weather and French nuclear power station maintenance will loom large for the power market. View Full Transcript In this week’s Market Movers, the tensions in the Middle East supports oil prices and keeps gold in focus; the fallout of IMO 2020 is a hot topic for shipping and bunker markets; and the weather and French nuclear power station maintenance will loom large for the power market. The extraordinary rise in tensions in the Middle East following last week’s killing by the US of Iran's General Qassim Soleimani in Baghdad and Iran’s ballistic missile retaliation on bases in Iraq housing US forces will be in the spotlight Monday at the International Petroleum Technology conference in Dharan. Top Saudi officials, including energy minister Prince Abdulaziz bin Salman and the CEO of state-controlled oil company Aramco, Amin Nasser, will be giving their views. The security situation will no doubt feed into mounting speculation over the future of the supply cut agreement between OPEC and its partners, as the next OPEC meeting in Vienna is less than eight weeks away, on March 5. Despite the heightened concern over the Middle East, the expectation has been for an over-supplied oil market in the first half of the year. Market participants will be looking for guidance on whether this will hold true from two oil market reports due out this week. OPEC and the International Energy Agency will publish their monthly reports on Wednesday and Thursday, respectively. And it’s not only the oil market which will be keeping a close eye on the Middle East. Gold briefly hit a seven-year high of more than 1,600 dollars an ounce last week as Iran-US tensions came to a head. Despite shedding some of its rise as tensions have eased, some analysts expect gold to maintain a support level of around 1,550 dollars an ounce in the near term because of its safe haven appeal in an uncertain world. This has been illustrated by central banks bolstering their gold reserves. Gold bulls will be pleased by the array of glittering price forecasts, with Citi Research seeing 2,000 dollars an ounce as a possibility in the medium term. How high or how low do you think the gold price will go in the next three months and why? Please tweet us your feedback under the hashtag #PlattsMM. A much less shiny commodity, bunker fuel, has also made a volatile start to the New Year. The dry bulk shipping markets will be keeping a close eye on 0.5% sulfur marine fuel oil prices this week as ship owners evaluate the long-term efficiencies of the scrubbers installed to comply with the IMO 2020 sulfur cap. As you can see in this chart, the Platts Scrubber Premium Indices for Supramax and Panamax ships closely tracks the price of Rotterdam delivered 0.5% marine fuel, which has fallen 12% since January 3. As fuel prices drop, the cost-savings of scrubbers decreases, making the initial 1 to 2 million dollar capital expenditure on the exhaust gas cleaning systems more difficult to recoup. However, slower-than-expected uptake of scrubbers on high-consumption container ships in the Atlantic is supporting demand for 0.5% sulfur fuel oil and is contributing to cracks for the new fuel rising. Cracks are the difference between the price of an oil product and crude oil. Staying with the subject of whether a market can sustain its start to 2020, the European gas markets will be keeping a close eye this week whether sales of Russian gas on Gazprom’s Electronic Sales Platform can maintain their momentum after starting the year 2020 at record highs. As you can see from the chart on your screen, sales on January 9 hit a new daily record of almost half a billion cubic meters. Gazprom launched the ESP to sell gas outside of its traditional long-term contract model in September 2018 and over time has increased the number of delivery points and delivery periods. Buyers can now secure gas on a within-day basis, as well as on a season-ahead basis. S&P Global Platts Analytics expects sales on the ESP to remain high as Gazprom looks to make up for smaller than usual sales in December. The auctions in December only offered gas for prompt delivery on concerns that Russian gas flows via Ukraine could be disrupted in the event of a “no deal” on transit between Moscow and Kiev. The two sides finally signed a new five-year transit deal on December 30, allaying fears of a cutoff in Russian deliveries to Europe via Ukraine. Talking of disruption to supply, this week marks the start of a wave of 10-year overhauls to French nuclear reactors. The overhauls coincide with reduced availability across Europe’s dominant nuclear generation fleet. Normally this would have a bullish impact on the power price, but the reality is that the near-term curve contracts are under pressure from the unseasonably mild and windy weather. These factors mean the Week Three German power contract is 30% lower than for the same week in 2019. European wind generation records have been tumbling this winter, with stormy weather forecast for this week presaging further spikes in renewable generation. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2020-01-13T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011320-us-china-trade-deal-japan-shinzo-abe-middle-east</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-13T03:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gcTwKz11aGQtvFNjmcMwwX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/011320-us-china-trade-deal-japan-shinzo-abe-middle-east.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 13-17: US, China to seal phase one of trade deal</video:title><video:description><![CDATA[The week ahead in Asian commodity markets on S&P Global Platts Market Movers, with Yuchen Huo , metals associate editor: Markets await signing of US-China phase one trade deal, Japan’s Prime Minister Shinzo Abe visits the Middle East to ensure energy and shipping security, China’s economic indicators in focus, and LNG prices under pressure.]]></video:description><video:publication_date>2020-01-13T03:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011020-brent-crude-oil-volatility-january-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-10T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jBrCzsYJrt7DQUJQgK49z7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/011020-brent-crude-oil-volatility-january-outlook.jpg</video:thumbnail_loc><video:title>2020 Brent crude oil volatility: January outlook</video:title><video:description><![CDATA[Vito Turitto, S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of January 2020.]]></video:description><video:publication_date>2020-01-10T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/010620-oil-market-on-edge-due-to-geopolitical-risk-iran-us-tensions</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-06T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5Xf14jqWR8dKBpMtAp1pRD</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/010620-oil-market-on-edge-due-to-geopolitical-risk-iran-us-tensions.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 6–10: Oil market on edge due to geopolitical risk</video:title><video:description><![CDATA[In this week’s Market Movers, the new year brings concerns about availability of compliant fuel for ships, while market players predict a decline in Russian gas flows via Ukraine. The oil market remains on edge due to increased geopolitical risk in the Middle East. View Full Transcript In this week’s Market Movers, the new year brings concerns about availability of compliant fuel for ships, while market players predict a decline in Russian gas flows via Ukraine. But first: the oil market remains on edge due to increased geopolitical risk in the Middle East. The US killing of Iran's General Qassim Soleimani last week in Baghdad has increased the likelihood of further attacks on Middle East energy infrastructure. Market watchers and analysts say it has also heightened the possibility of a direct military conflict between the US and Iran. Iran has vowed to exact "harsh revenge" for the US airstrike that killed its top military commanders. The US State Department warned on Sunday of heightened risks of attacks around oil facilities in Saudi Arabia’s Eastern Province. Meanwhile, Iraq’s parliament voted to expel US forces from the country in a non-binding vote. US President Donald Trump in a series of tweets over the weekend threatened further military action against Iran, should Tehran strike back as promised. Brent crude oil prices leapt by almost 5% in early European trading Friday, hitting a high of nearly $70 dollars per barrel – and in Asia trading on Monday morning they again broke the $70/b mark. S&P Global Platts Analytics expects Brent to be capped at $70/b, unless a major source of supply is significantly damaged. Over in the shipping markets, participants told S&P Global Platts they expected a retaliation and fear tankers could be among the targets. Most participants said they were erring on the side of caution, although a number of outstanding cargoes from the region are expected to fetch higher prices due to higher war risk premiums being factored in. Staying on the high seas, the shipping market will be focused on low-sulfur marine fuel availability, and prices, after the introduction of the IMO global sulfur cap. Since January 1, shippers have been required to burn bunker fuel with a maximum sulfur content of 0.5%. And as demand for these new marine fuels has risen in recent weeks, so have prices. 0.5% marine fuel typically trades at a premium over the dirtier 3.5% fuel oil. The premium of 0.5% FOB Rotterdam marine fuel barges over 3.5% fuel oil barges surged to a little over $314/mt last week. This is the highest level since Platts began assessing 0.5% marine fuel in January 2019. With supply at major ports said to be relatively tight, the question on the shipping market’s lips is for how much longer prices can rise. And that’s our social media question for this week: How much higher can low-sulfur marine fuel prices go? Tweet us your thoughts using #PlattsMM. Increased shipping costs are expected to be widely distributed across the commodities sector. An early example of this comes from the metals industry, where major miners are indicating that higher costs will be passed on to customers in markets such as iron ore and coal. The likes of Anglo American, BHP Billiton and Vale are pursuing various options for coping with the rules, all of which come at a price. Anglo American has said it will burn only compliant 0.5% fuel, Vale has said it will introduce scrubbers that reduce sulfur emissions on board, while BHP Billiton has released the world’s first bulk carrier tender for LNG-fueled transportation. Turning to the gas market, participants will be keeping a close eye on Russian exports to Europe via Ukraine this week. These have fallen since the start of the year, despite Gazprom agreeing a new five-year transit deal with Kyiv. Gazprom may be choosing to meet customer obligations through storage withdrawals from its 11 Bcm of gas stored in Europe, instead of flowing it via Ukraine. The volumes held in storage are more than double those from previous years as Gazprom looked to mitigate any possible disruption to Ukrainian transit. Demand across Europe is also low due to mild weather throughout the continent, with prices at the main European hubs down in the range of around €11-12/MWh. Gazprom agreed to send 65 Bcm of gas via Ukraine this year, though Platts Analytics sees this as a peak volume rather than a minimum, so assumes transit of only 52 Bcm in 2020. This would be a decline from recent years. As you can see from the chart on your screen, annual Russian gas exports to Europe via Ukraine have been around 87 Bcm over recent years. Switching from gas to power, there are concerns that further strike action could in France could disrupt supplies on Thursday. However, mild and windy weather has almost entirely negated the impact of industrial action to date – and this week is not expected to be much different. French power currently carries a premium of roughly €10/MWh over that of Germany. But this has more to do the unprecedented level of French nuclear reactors offline due to maintenance delays. Any changes in the weather pattern would accentuate this, but for now conditions are unusually benign. Thank you for kicking off your year with us, and have a great week ahead.]]></video:description><video:publication_date>2020-01-06T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/010620-us-iran-iraq-oil-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2020-01-06T02:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zVk6wbfc4h1rDkR3BjUXzT</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/010620-us-iran-iraq-oil-markets.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 6-10: Mideast tensions jolt crude oil markets</video:title><video:description><![CDATA[The highlights in Asia this week, with associate editor Melvin Goh on S&P Global Platts Market Movers: Geopolitical tensions circling the Middle East and the US will be the focus of markets this week, IMO 2020 kicks in, Japan finalizes Q1 aluminum premiums and Newcastle coal prices find support.]]></video:description><video:publication_date>2020-01-06T02:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121919-global-olefins-polymers-market-h1-2020</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-19T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7z3qCGhSJbmdSrgj6b9rZ7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121919-global-olefins-polymers-market-h1-2020.jpg</video:thumbnail_loc><video:title>Factors shaping the global olefins and polymers market in H1 2020</video:title><video:description><![CDATA[Join S&P Global Platts’ Sr. Pricing Specialist Stergios Zacharakis as he talks about how additional olefins and polymers capacities in US and Asia, geopolitical tensions, and greater environmental awareness emphasizing on sustainable plastics will affect global chemicals market in the first half of 2020. Download our latest special report: Global petrochemical trends H1 2020]]></video:description><video:publication_date>2019-12-19T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121819-aromatics-market-2020-insight</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-18T04:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=b4gKAL5oKN1axk8rC5EgSr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121819-aromatics-market-2020-insight.jpg</video:thumbnail_loc><video:title>New refinery capacity in China, US-China trade relations to shape global aromatics market in H1 2020</video:title><video:description><![CDATA[S&P Global Platts managing editor Samar Niazi examines how refinery capacity additions in China and the volatile trade relationship between Washington and Beijing will affect global aromatics market in the first half of 2020. Download our latest special report: Global petrochemical trends H1 2020]]></video:description><video:publication_date>2019-12-18T04:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121619-imo2020-putin-press-conference-coal-exit</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-16T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=axaLdbw2bwVZRAXqw7kYws</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/121619-imo2020-putin-press-conference-coal-exit.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 16-20: Commodity and energy markets brace in the run-up to 2020</video:title><video:description><![CDATA[In this week’s Market Movers we take a look at the potential impact on oil demand of the fast-approaching IMO sulfur cap in marine fuels; Russian President Vladimir Putin’s annual press conference; and the likely sign-off by Germany’s cabinet of the country’s coal exit law on Wednesday. View Full Transcript In this week's Market Movers we take a look at the potential impact on oil demand of the fast-approaching IMO sulfur cap in marine fuels; Russian President Vladimir Putin's annual press conference; and the likely sign-off by Germany's cabinet of the country's coal exit law on Wednesday. In London, oil markets are approaching the holiday season with some sense of optimism after last week's general election results somewhat quelled recent political uncertainty, prompting a bounce in share prices for mid-sized oil and gas companies. But there is little sign of any uptick in oil demand entering the new year, with the International Energy Agency's latest oil market report on Friday predicting that global oil stocks will rise by about 700,000 b/d in the first quarter of next year. The report also predicted that the International Maritime Organization's new cap on sulfur levels in bunker fuel from January 1 would result in a 4.6% drop in fuel oil demand globally next year, although there is uncertainty over whether producers have judged oil demand correctly, or whether there will be fuel oil supply shortfalls. And that brings us to our social media question of the week: How do you think IMO 2020 will affect commodity markets? Send us your feedback by tweeting with the hashtag #PlattsMM. This week's main news event, though, may well be Russian President Vladimir Putin's annual press conference on Thursday. This marathon Q&A in the Kremlin is sure to throw up some energy-related questions, including whether Russia can agree gas-transit terms with its western neighbor Ukraine, with the current 10-year supply and transit deal expiring on December 31. The mood music has improved after a face-to-face meeting between the two countries' leaders on December 9, but time is running out, and supplies to a number of European countries are at risk. Chancellor Angela Merkel's cabinet is expected to sign off on Germany's coal exit law Wednesday, with the market focusing on how and when the government intends to cancel CO2 allowances linked to plant closures. Up to 10 GW of capacity is set to close by 2022 - a huge cut in dispatchable power capacity that will reduce German export surplus and push prices up in Europe's biggest power market. Several refineries in France continue to operate albeit at reduced runs this week, amid a nationwide general strike called by labor unions. Deliveries of oil products from four out of the country's eight refineries were impacted by the action as of last week, although if the protests continue, all refineries may be hit and could eventually decide to halt units. For now, there has been little impact on the oil products market, but tighter olefins supplies are expected as run rates at the Lavéra steam cracker, jointly owned by Total and Ineos, have been cut, limiting the amount of material that will come to market. And that marks the end of this year's Market Movers series. Our next Market Movers video will be on Monday, January 6. From everyone at S&P Global Platts, we hope you have a great Christmas and New Year. See you in 2020!]]></video:description><video:publication_date>2019-12-16T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121619-us-china-trade-deal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-16T03:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=428ujhK9LMXRU6RWohvNM5</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/121619-us-china-trade-deal.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 16-20: Markets seek clarity around phase one of US-China trade deal </video:title><video:description><![CDATA[This week on Platts Market Movers in Asia, with Metals Associate Editor Joyce Zhang : further details on phase one of the US-China trade deal are expected to unfold in the coming days, China’s key macroeconomic indicators to be released, Russian wheat prices seen consolidating further, and new export policy in Argentina could have ripple effects on Asian markets.]]></video:description><video:publication_date>2019-12-16T03:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121319-global-gas-balances-2020-worst-is-yet-to-come-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-13T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rbQNBc93mEWQFCacAQ7whd</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/131219-global-gas-balances.jpg</video:thumbnail_loc><video:title>Global Gas Balances: the worst is yet to come</video:title><video:description><![CDATA[2019 has been an unusual year for global gas markets, but for those thinking the worst is over, think again. 2020 is setting itself up to be the headline act, as the US continues its record shattering LNG expansion and keeps pressure on a European balance already on the brink. LNG senior analyst Samer Mosis tells us more in our latest Platts Insight video.]]></video:description><video:publication_date>2019-12-13T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121019-martin-fraenkel-five-commodity-themes-2020-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-11T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CvZxmpQvshkbsoQZEZCn7d</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/platts-snapshot/121019-martin-fraenkel-five-commodity-themes-2020-outlook.jpg</video:thumbnail_loc><video:title>5 Commodity Themes to watch in 2020</video:title><video:description><![CDATA[S&P Global Platts President Martin Fraenkel lays out his five themes to focus on in commodity markets in 2020 . The landscape for commodity markets is marked by geopolitical tensions and macroeconomic concerns, rangebound commodity prices and rising consumer awareness of climate change. As we look ahead to 2020, we think the year will bring some of these themes into even sharper focus.]]></video:description><video:publication_date>2019-12-11T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>07:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/120919-ukraine-gas-transit-paris-eu-green-deal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-09T11:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uy6x1xBGTMa1HYuxwTRvFy</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/120919-ukraine-gas-transit-paris-eu-green-new-deal.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 9-13: Leaders meet in Paris to try to break Ukraine gas transit impasse</video:title><video:description><![CDATA[In this week’s highlights: The European Commission unveils its new Green Deal; the oil markets digest the latest output cuts by OPEC and its allies; and it’s election day in the UK and Algeria. View Full Transcript In this week's highlights: The European Commission unveils its new Green Deal; the oil markets digest the latest output cuts by OPEC and its allies; and it's election day in the UK and Algeria. But first, the gas market will be closely monitoring a four-way summit on Monday for any signs of an end to the impasse over the continuing transit of Russian gas via Ukraine. The summit between French President Emmanuel Macron and German Chancellor Angela Merkel, Russian President Vladimir Putin, and his Ukrainian counterpart Volodymyr Zelenskiy, takes place in Paris. The agreement on gas transit expires on December 31st. This means Moscow and Kiev have just over three weeks to reach a new agreement or run the risk of Russian gas flows through its western neighbor being stopped again at the height of winter. As you can see from the chart on your screen, at the moment between 40 and 50 percent of Russian gas heading for Europe transits via Ukraine. There have been bilateral talks between Moscow and Kiev in the past few weeks, suggesting a breakthrough could be imminent. With the Russian gas supply cut-offs of 2006 and 2009 still fresh in the mind of the European gas market, the risk of further disruption in 2020 has led to storage facilities across Europe being filled to capacity. Moving away from gas in every way, on Wednesday the European Commission will present a European Green Deal strategy to help the EU become a net-zero carbon economy by 2050. The EC wants to expand the bloc's Emissions Trading System to shipping, tighten its 2030 carbon reduction target to at least 50% below 1990 levels, and write the net-zero target in law. Formal EC proposals on this will start next year - the immediate impact is likely to be on carbon markets. EU leaders then meet in Brussels on Thursday and Friday to decide whether to back the Commission's net-zero 2050 ambition. Talking of ambition, the oil market will be looking at whether OPEC and its allies have succeeded in bolstering the oil price with their latest output cuts. As you can see from the chart on your screen, prices jumped in the wake of last week's announcement by OPEC plus in Vienna. The OPEC-plus group came up with a package of deep production cuts, in effect totaling 2.1 million b/d. However, Saudi Arabia again shoulders much of the burden, and Russia won a concession with an agreement to exclude condensate volumes from consideration. As the dust settles, we'll get some pointers on how this is all going to work out from the monthly oil market reports of OPEC itself and the IEA on Wednesday and Thursday, respectively. And that brings us to our social media question for the week: How successful will the OPEC+ cuts be in supporting oil prices? Tweet us your replies under the hashtag #PlattsMM. Looking at another production basin, North Sea oil and gas explorers meet for their annual PROSPEX conference in London on Wednesday, with the UK regulator, the Oil & Gas Authority, providing an update on the country's lackluster exploration efforts. And Friday the 13th is the deadline for the European Commission to rule on the competition implications of Polish refiner PKN Orlen's planned takeover of Number 2 refiner Lotos The Commission has been conducting an in-depth probe into whether the deal, which would create a single Polish refiner, with additional assets in neighboring countries, would hurt competition. Back in the UK, there may also be some disappointed faces on Friday 13th after the country goes to the polls on Thursday. The oil and gas industry will be looking at the environmental policies of the incoming government, and the opposition Labour Party has pledged to take utilities into public ownership if it wins power. However, the key issue will be Brexit and the UK's future relationship with the EU, its largest trading partner. And finally, the UK is not the only oil and gas producer where elections are being held on Thursday. Algeria will be holding presidential elections. The energy markets will be eying any signs of policy changes closely. The same applies to the steel market which will be looking for clues about any changes in trade policy. Algerian steel importers will be anxious to see whether the incoming regime will maintain new legislation requiring imports of all goods to be made on a free on board basis from December 31, instead of the current cost and freight basis. The move is designed to save the nation's foreign currency reserves as it will require freight to be paid in Algerian dinars instead of dollars or euros. This means importers will need to use Algerian state-owned vessels. Some fear this may result in disruption to the flow of steel imports into Algeria. Thanks for kicking off your Monday with us and, regardless of your politics, have a great week ahead!]]></video:description><video:publication_date>2019-12-09T11:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/120919-opec-output-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-09T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vBJuywL4ReGMaVkv9VpKqb</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/120919-opec-output-cuts.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 9-13: Refiners downplay crude oil supply concerns amid deeper OPEC+ output cuts</video:title><video:description><![CDATA[The highlights in Asian commodity markets this week, with S&P Global Platts Agriculture Managing Editor Liz Thang : Refiners expect their flexible feedstock strategies would insulate them against a potential oil supply reduction following OPEC+'s decision to deepen output cuts from January to March 2020. Also in focus: waiting game on US-China trade spat continues, Singapore bunker sales data out later this week, and China to publish key data which may affect decisions on iron ore purchases.]]></video:description><video:publication_date>2019-12-09T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120519-brent-crude-oil-volatility-december-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-05T17:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jaBH1NfRUWbPQp3t56Y7qi</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/120519-brent-crude-oil-volatility-december-outlook.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: December outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of December 2019.]]></video:description><video:publication_date>2019-12-05T17:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/120219-opec-vienna-cop25-madrid-climate-change</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-02T11:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PtAMguo1Bj9sUDXteuM4Z3</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/120219-opec-vienna-cop25-madrid-climate-change-copy2.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 2-6: OPEC and allies meet in Vienna, as COP25 tackles climate change in Madrid</video:title><video:description><![CDATA[Petrochemicals and iron ore are among this week’s commodities highlights, while traders will also be keeping a close eye on the final offer price for Saudi Aramco shares. The oil market is waiting for the next meeting of OPEC and its allies in Vienna, and COP25 annual climate summit kicks off in Madrid. Click here to see Platts latest Infographic on greenhouse gas emitting countries View Full Transcript Petrochemicals and iron ore are among this week's commodities highlights, while traders will also keep a close eye on the final offer price for Saudi Aramco shares. But first: the oil market is waiting for the next meeting of OPEC and its allies in Vienna on Thursday and Friday. The oil-producing countries will gather to decide on the future of their 1.2 million barrel a day supply cut agreement, which is due to expire in March. Rather than expand the size of its production cuts, the bloc is leaning toward extending its production quotas for three to six months. There is some pressure on OPEC to make deeper cuts to balance the oil market ahead of an impending crude supply glut in the first half of 2020. Another talking point will be how to tackle condensate production, especially from non-OPEC countries. Non-OPEC kingpin Russia is expected to press the coalition to change its oil output calculations. Quotas for OPEC members only cover crude production, while non-OPEC participants in the deal were allowed to include their condensate production when determining their baseline for cuts. Russian condensate output is expected to increase as new gas production comes on stream. Energy Minister Alexander Novak has been arguing that because condensate is not exported, it should not be included in the deal. Moving from Vienna to Madrid, where the COP25 annual climate summit gets underway Monday. Delegates from more than 190 countries are aiming to thrash out the rules that will make the Paris climate agreement work. In particular, a key item left outstanding from last year's summit in Poland is Article 6 - the part of the deal that sets out a global system of emissions trading. Making full use of flexible mechanisms such as emissions trading is estimated to slash the cost of decarbonizing economies by half, according to the International Emissions Trading Associations. This herculean effort is also boosted by the falling cost of renewable energy and other emerging technologies. But country pledges so far are falling well short of what is needed to avert serious environmental damage. If you click on the link below you can see that, of the eight major economies which account for 67% of global greenhouse gas emissions, only Europe is gearing up to extend its Paris commitments. It is conference season in the petrochemicals market. The European Petrochemicals Lunch will be held in Rome on Thursday and Friday; The Gulf Petrochemicals and Chemicals Association conference will take place in Dubai on Tuesday to Thursday, and PlastEurasia in Istanbul from Wednesday to Saturday. The focus will be on a wide range of issues, including the fallout from the explosion at TPC Group's Texan butadiene facility and challenges in the polymer markets caused by the continued weakness of the Turkish economy. The conferences are also expected to give some insight into further reductions in 2020 contract volumes as well as the low cracker margins and operating rates of European producers. In London, Brazilian iron ore company Vale will host its annual investor day on Wednesday when the company is expected to give an outlook for iron ore pellet premium settlements for next year. It will also provide details on its iron ore fines and pellet production and sales strategy by product and region. This should give the steel industry an indication of whether iron ore prices will fall back below 80 dollars a metric ton CFR China next year. As you can see from the chart on your screen, iron ore prices have been high this year due to supply constraints caused by the Vale dam disaster in Brazil in January. And that brings us to our social media question: Are seaborne iron ore prices going to fall below $80 and stay there in 2020? Tweet us your thoughts with the hashtag #PlattsMM. Finally, another price in the spotlight. Saudi Aramco will announce the final offer price of its share listing on the domestic stock exchange, the Tadawul The valuation of the world's largest oil producer has been set at 1.6 to 1.7 trillion dollars, making Aramco the biggest publicly traded company in the world. All eyes are now on whether Crown Prince Mohammed bin Salman can deliver on his Vision 2030 roadmap and transform the change-resistant kingdom into a dynamic, diverse economy that can persevere once the world has moved beyond oil. Thanks for tuning in and have a great week ahead.]]></video:description><video:publication_date>2019-12-02T11:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/120219-opec-vienna-oil-output</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-12-02T02:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=eCPLuHHHxdeWEeze7tJyGu</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/120219-opec-vienna-oil-output.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 2-6: OPEC+ meeting, US-China trade spat in focus</video:title><video:description><![CDATA[The highlights in Asia this week, with Masanori Odaka , S&P Global Platts associate editor for Asia LNG: industry players are seeking cues on oil market fundamentals from a key OPEC/non-OPEC meeting in Vienna on Thursday and Friday, markets continue to watch developments surrounding the US-China trade talks, LNG sector assesses the impact of energy policies in South Korea and Taiwan, and butadiene imports in focus after an explosion at a petrochemical plant in Texas. #PlattsMM POLL: Do you expect #OPEC + to decide to extend their #oil output agreement this week? — Platts Oil (@PlattsOil) December 2, 2019]]></video:description><video:publication_date>2019-12-02T02:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112619-insight-bright-prospects-lng-bunkers</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-26T19:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xUT6LywfML3wRgUS8S1hzV</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/112619-insight-bright-prospects-lng-bunkers-jowdy.jpg</video:thumbnail_loc><video:title>Bright prospects for LNG bunkers on wider oil/gas price spread</video:title><video:description><![CDATA[In just over a month, International Maritime Organization restrictions on the amount of sulfur allowed in fuel oil for ship bunkering will go into effect. The prospects for LNG as a compliant alternative for commercial-scale, oceangoing vessels -- such as such as large cruise ships, container ships, car carriers and dry bulk carriers -- have become much brighter in the past six months.]]></video:description><video:publication_date>2019-11-26T19:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/112519-gas-exporting-countries-gecf-summit-eu-green-deal-emissions</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-25T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VV5UBMpEKUoGr3a3L3U3pr</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/112519-gas-exporting-countries-gecf-summit-eu-green-deal-emissions.png</video:thumbnail_loc><video:title>Market Movers Europe, Nov 25-29: Gas exporting countries meet at GECF's Summit, as EU starts work on Green Deal</video:title><video:description><![CDATA[In this week’s Market Movers, we look at upcoming major energy meetings including OPEC, its gas equivalent, GECF; Saudi Arabia showcasing its mining industry; and the EU’s plans for a green Europe. View Full Transcript In this week's Market Movers, we look at upcoming major energy meetings including OPEC, its gas equivalent, GECF; Saudi Arabia showcasing its mining industry; and the EU's plans for a green Europe. First: The Gas Exporting Countries Forum sees heads of state and government meeting in Equatorial Guinea this week to discuss the state of the global gas market. With prices having been especially low globally in 2019, the GECF - whose members include heavyweights Russia, Qatar and Iran - will have much to ponder. As the chart shows, GECF members exported some 515 billion cubic meters of gas and LNG last year, around 42% of the world's total exports. They also make up 70% of the world's gas reserves. Unlike its sister organization in the oil sector, OPEC, the GECF does not get involved in coordinated market action, instead focusing on promoting the use of gas. But with prices in the doldrums - largely due to an oversupplied global LNG market - and an increasing backlash against fossil fuels from environmentalist groups, GECF members may also look at ways to preserve the role of gas in the global energy mix. While the group is unlikely to make the switch to coordinated market intervention, the conclusions of the summit will still make for very interesting reading. And talking of that sister organization, we're watching the build-up to next week's meeting of OPEC and its allies in Vienna on December 5 and 6. Again, Russia will figure prominently. Moscow, a participant in production cuts as part of the OPEC-plus pact, is proposing a re-jig of the agreement to exclude new volumes of gas condensate. Russia is expecting to ramp up condensate production as its LNG industry expands. Energy minister Alexander Novak is expected to discuss the government's position with Russian oil companies this week. That brings us to this week's social media question: How successful will Russia be in excluding gas condensate from OPEC's production cut? Tweet us your thoughts with the hashtag #PlattsMM. Moving away from fossil fuels, literally, on Wednesday in Strasbourg the European Parliament is due to vote in a new college of EU Commissioners. This is likely to trigger an intense 100-day period of policy activity as Commission President-elect Ursula von der Leyen pursues her core aim for a new European Green Deal. She aims to make Europe "the world's first climate-neutral continent." Staying with the theme of reducing dependence on fossil fuels, Saudi Arabia will showcase its new mining initiatives at the annual Mines and Money conference in London. Earlier this year, the Kingdom launched a major drive to develop its varied mineral resources as part of its Vision 2030 plan, as it seeks to diversify its economy away from oil. Thousands are expected to attend the three-day event which starts on Monday. This is despite a fall this year in global non-ferrous metals exploration budgets and a climate of increased resource nationalism. That's not only in Africa, but worldwide. Other topics being discussed will include M&A activity in the gold sector, environmental, social and governance criteria, as well as the latest projections for battery metals and electric vehicle demand. And finally we're holding a conference of our own. The inaugural S&P Global Platts European Shipping Seminar takes place in Athens this Wednesday. Freight market participants from around the world will gather to discuss the impact of the cut in marine fuel sulfur to 0.5% from 3.5% from January 1, known as IMO 2020. With talks and panels covering tankers, dry bulk, and container shipping, the focus will be on fleet developments, marine fuels of the future, and growing digitalization across the sector. Thanks for tuning in, and have a great week ahead!]]></video:description><video:publication_date>2019-11-25T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/112519-us-china-trade-lng-winter-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-25T02:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9jdLhwMeEhpcQv7xvHjGQs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/112519-us-china-trade-lng-winter-demand.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 25-29: US-China trade talks back in focus, LNG market faces headwinds</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers with Kenneth Foo , managing editor, LNG: Markets will be digesting reports over the weekend about the US and China sending positive signals that an initial trade deal could be signed before end-2019, LNG market hits a major inflection point, thermal coal prices seen stronger, China data in focus, and Australian wheat faces price pressures.]]></video:description><video:publication_date>2019-11-25T02:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:40</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111819-russia-ukraine-gas-transit-deal-winter-europe-power-sector</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-18T10:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QCbR2PYpUB4SCzjGXMjX6Q</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/111819-russia-ukraine-gas-transit-deal-winter-europe-power-sector.png</video:thumbnail_loc><video:title>Market Movers Europe, Nov 18-22: Russia-Ukraine gas transit deal on the line, as winter hits European power sector</video:title><video:description><![CDATA[In this week’s highlights, we look at major energy meetings involving Russia, the outlook for French power demand this winter, along with the expected return of two major European petrochemical facilities. View Full Transcript In this week's highlights, we look at major energy meetings involving Russia, the outlook for French power demand this winter, along with the expected return of two major European petrochemical facilities. In European gas, technical talks between Russia, Ukraine and the European Commission are set to take place this week to hammer out possible new terms for gas transit for 2020 and beyond. But no date has yet been set for a new round of ministerial-level talks after the last meeting at the end of October ended in deadlock. With only six weeks to go before the end of the year, the pressure is on to reach a deal, and the market will be watching the outcome closely. The European Commission is worried that without a deal Russian gas supplies to the EU via Ukraine could be disrupted from January the 1st. As the chart shows, Ukraine is Russia's biggest single transit route to the EU, carrying over 40% of Russian supplies in 2018, and heading for a similar share this year. Russia's Gazprom is sticking firmly to its long-standing position that all outstanding legal issues with Ukraine's Naftogaz must be settled before a new transit deal can be signed. But Naftogaz has said it would press on with its legal challenges against Gazprom regardless. This is one of the key sticking points in the negotiations. In other areas, Russia will be on a charm offensive. President Vladimir Putin and energy minister Alexander Novak will host the Russia Calling investment forum in Moscow. The talks are part of a pattern of Russia continuing to improve ties with countries to which it hasn't historically been particularly close, especially in the Middle East. Novak will co-chair a meeting with counterparts from Qatar, which is likely to revolve around cooperation in the oil and gas sector. Qatar has taken on added importance for Moscow despite withdrawing from OPEC-led production cuts as its Investment Authority stepped in to buy 19% of Russia's biggest oil producer, Rosneft, last year. The Middle Eastern delegates may find the reception warm but the weather chilly in Moscow at this time of year. And the seasonal chill will be on the power market's mind, when French electricity system operator RTE issues its Winter Outlook this week as the country's dominant nuclear generator, EDF, struggles to get its reactor fleet into shape ahead of the peak demand season. An earthquake last week in the Rhone Valley took EDF's huge Cruas nuclear plant out of service, removing around 5% of France's generating capacity at a time when nuclear availability needs to be ramping up and 13 other reactors are offline for maintenance. EDF plans to bring the four Cruas reactors back through the first half of December. However, with restart clearances prone to bureaucratic delay, any volatility in prompt prices could intensify as winter deepens. France has the highest proportion of electric heating in Europe. For every 1 degree Celsius fall in temperatures below the winter average, French power demand ratchets up 2.2 GW, roughly equivalent to the output of two nuclear reactors. An economic chill is blowing through the European steel industry. A weather check will come on Thursday when ThyssenKrupp publishes its third-quarter results. Sluggish European demand and high imports have been weighing on the sector so far this year. ThyssenKrupp's results come on the heels of a management reshuffle and the introduction of a new strategic plan after the European Commission blocked its planned merger with Tata Steel earlier this year. An update is expected on the planned IPO of the German steelmaker's more lucrative elevators division, as well as the plan to cut costs in its steelmaking division. And finally, oversupply and weak demand will feature in the styrene market this week as two major European production facilities are set to come back on line. The Maasvlakte and the Ellba Moerdijk facilities will restart following maintenance that began in September. The added volumes are expected to put downward pressure on the market as stocks in Europe are already unseasonably high due to lackluster end-user demand for styrene products, from the automotive and construction sectors in particular. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-11-18T10:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111819-china-oil-steel-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-18T02:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6VRUJJHKiwfQySLHsqhh63</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/111819-china-oil-steel-outlook.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 18-22: Clarity on China's oil import quotas, steel outlook in focus</video:title><video:description><![CDATA[The highlights in Asian commodity markets with Paul Bartholomew , S&P Global Platts Head of Metals News & Insight in Asia Pacific: application for China's crude oil import allocations ends this week, rebound seen for prices of Chinese domestic thermal coal, petrochemical markets enter negotiations for 2020 term contracts, and steel market seeks clarity on China's production cut policy over the winter.]]></video:description><video:publication_date>2019-11-18T02:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111119-iea-global-energy-outlook-adipec-grain-eisbeinessen</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-11T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=J61K7GtU3af8dYHjoqg3yL</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/111119-iea-global-energy-outlook-adipec-grain-eisbeinessen.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 11-15: All eyes on the IEA's global energy outlook; conference week for shipping, grains and oil</video:title><video:description><![CDATA[In this week’s highlights: All eyes are set on the IEA as it weighs long-term scenarios for global energy; it’s conference week for the worlds of grains and shipping; and in precious metals the question is: how brightly will palladium shine?]]></video:description><video:publication_date>2019-11-11T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111119-asia-commodities-crude-emissions-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-11T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZfhojzXEh42Ej5VVfgRKHy</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/111119-asia-commodities-crude-emissions-lng.jpg</video:thumbnail_loc><video:title>Market Movers Asia Nov 11-17: US, China edge closer to ending trade dispute</video:title><video:description><![CDATA[The US and China – the world’s largest commodity consumers – are edging closer to ending their trade dispute. China’s commerce ministry says both sides have agreed to remove some tariffs, but in phases. Also this week, Asian refiners trim crude stockpiles, a South Korean emissions policy could impact LNG and coal, and China’s steel sector looks for signs of stimulus after weak third quarter GDP growth.]]></video:description><video:publication_date>2019-11-11T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110819-brent-crude-oil-volatility-november-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-08T12:11:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nh85UCfwHhJjt7bEeX6FYr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/110819-brent-crude-oil-volatility-november-outlook.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: November outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of November 2019.]]></video:description><video:publication_date>2019-11-08T12:11:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/110419-africa-oil-week-refining-lng-uk-grid-opec-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-04T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mPozyxAVtiH37YD71xw86r</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/110419-africa-oil-week-refining-lng-uk-grid-opec-outlook.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 4-8: Africa Oil Week explores opportunities in oil production, refining and LNG</video:title><video:description><![CDATA[In this week’s Market Movers: all eyes are on Africa Oil Week in Cape Town, French nuclear winter power sector will be in focus, and steel giant ArcelorMittal fears lower gains in Q3. View Full Transcript In this week's Market Movers: all eyes are on Africa Oil Week in Cape Town, French nuclear winter power sector will be in focus, and steel giant Arcelor Mittal fears lower gains in But first: Numerous floating LNG cargoes are set to keep the market well supplied in the next few weeks, despite a recent turndown in Qatari liquefaction. The UK was Europe's leading importer of LNG in October, prompting a surge in sendout to the gas grid. On October 30, the rate rose to 105 million cu m/d, the highest seen in over eight years. This resulted in the UK gas market switching to a discount to the benchmark Dutch TTF gas market, as UK prices for the front month November tanked. November is forecast to start with slightly warmer temperatures across Northwest Europe and strong winds in the UK, suggesting that the UK's NBP gas market will maintain its current discount to the Continent. For the oil sector, this week's main event is Africa Oil Week, an annual forum for the oil and gas sector that takes place in Cape Town. Amid doubts over global growth and oil demand, Africa's importance is hard to overestimate, as it is seen by many as one of the surest opportunities for the industry. Countries such as Nigeria are rushing to bring their refining facilities up to speed and reduce dependence on imported oil products. The continent is also the focus of a wave of LNG projects, from Mozambique in the east to Mauritania and Senegal in the west. And West African crude remains vital for both international oil companies, and the consumer nations of East Asia, with Kenya, Sudan and Uganda also trying to boost their contributions. That leads us to this week's social media question: How fast will the African oil market develop its refining facilities? Tweet us your thoughts, as always, with the hashtag #PlattsMM Looking to the longer term, OPEC awaits on Tuesday when it presents its annual World Oil Outlook in Vienna. The event, hosted by Secretary-General Mohammed Barkindo, is the counterpart to the International Energy Agency's World Energy Outlook, which comes out the following week, on November 13th . These two hefty research documents are a chance to step back from the near term and look at the long-term evolution of the sector. Providing a corporate perspective alongside Barkindo will be Rainer Seele, CEO of Austrian oil company OMV. Turning back to the energy sector, power traders will be perusing French grid operator RTE's winter outlook this week. The country's nuclear availability deteriorated sharply over the past two months. At least 16 reactors are offline, with availability more than 5 gigawatts below 2018 levels. Ten units are scheduled to return over the next two weeks, but delays are becoming almost a daily market-moving news item. Meanwhile, in Italy, the focus is on the country's first capacity market on November 6. Generators are bidding to receive payments for 2022, in return for which they must be available to the market, helping grid operator Terna ensure security of supply. Finally, the steel market is anxiously awaiting the reporting, due Thursday, of third-quarter results by ArcelorMittal. ArcelorMittal is the world's largest steelmaker. An estimate made last week by 20 analysts put the steel giant's Q3 EBITDA at $930 million. That's a significant reduction from the $2.7 billion EBITDA the company reported in Q3 2018. The news comes against a continued troubled backdrop in European steel. Apparent steel demand in the EU is expected to sink 3.1% to 158 million metric tons. That's the biggest drop since 2012, European steel association Eurofer said last week. After a consumption fall of 7.7% year-on-year in the second quarter, preliminary data for Q3 suggests that apparent steel consumption may have declined by approximately 2.5% year-on-year, due to continuing weakness in the manufacturing sector, with an upturn glimpsed only in 2020. And on that downbeat note, thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-11-04T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/110419-china-trade-imports-exports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-11-04T03:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LRjfJicFyB3TDSNspTKje4</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/110419-china-trade-imports-exports.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 4-8: China trade data to drive market sentiment</video:title><video:description><![CDATA[The highlights in Asia this week, with S&P Global Platts Senior Analyst Oceana Zhou: Markets will be looking at China's import and export data due to be released this week, in search for indications on the country's economy and its potential impact on commodity trade, Japanese refiners hunt for light crudes, Asian corn buyers set to return and Indian thermal coal demand picks up after Diwali.]]></video:description><video:publication_date>2019-11-04T03:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102819-metals-lme-week-london-russia-ukraine-gas-transit</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-28T11:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vcZKyKrwfVpSjqhwM9kuKC</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/102819-metals-lme-week-london-russia-ukraine-gas-transit.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 28-Nov 1: Metals take over London on LME Week; Russia and Ukraine initiate key talks on gas transit</video:title><video:description><![CDATA[In this week’s highlights: It’s earnings week for oil and gas majors; the world of metal will descend on London for LME Week ; and there will be key talks between Russia, Ukraine and the EU on gas transit. View Full Transcript In this week's highlights: It's earnings week for oil and gas majors; the world of metal will descend on London for LME week; and there will be key talks between Russia, Ukraine and the EU on gas transit In oil, it's the corporate results season and the market will be looking to see how oil and gas companies have coped with significantly lower prices, with Brent down about 13 dollars a barrel in the third quarter compared with a year earlier. Gas prices too were sharply lower. Just as importantly, companies should provide a view on the outlook for the months to come. BP, Shell, Total and a host of smaller European companies publish their results starting Tuesday, along with Chevron and ExxonMobil in the US. Some have already flagged difficulties such as hurricanes that hampered operations in the third quarter. But companies such as OMV and Total have also been reporting fairly strong refining margins in recent months, traditionally a busy period for the refining industry. This week will mark a very busy period for the metals market as the industry gathers in London for the annual LME week. The topics of discussion will include whether the recent nickel rally is looking overdone. Another talking point, as you can see from the chart, will be whether copper could be due a break out of its tight trading range and is the electric-vehicle revolution finally starting to warm up. That brings us to our social media question of the week: How can transparency in the battery metals supply chain can be increased, ensuring that metals are ethically sourced? Tweet us your thoughts with the hashtag #PlattsMM. Moving from metals to plastic, the petrochemical complex is braced for November contract discussions this week against a bearish backdrop. The end of cracker maintenances and weak downstream derivatives demand has caused an oversupply of feedstock olefins. Ethylene is a raw material used in the production of plastics such as polythene, bottle material PET, PVC, polystyrene and others. Contract price drops are not just contained to olefin markets, with a large fall expected in the benzene contract price. Benzene is an aromatic also used in plastics production. Spot prices at the end of last week were trading 160 dollars a metric ton lower than the October benzene contract price, with no strong support expected to develop in the short term In European gas, there is a key meeting in Brussels on Monday between Russia, Ukraine and the European Commission to hammer out gas transit terms for 2020 and beyond. The European Commission is worried that without a deal Russian gas supplies to the EU via Ukraine could be disrupted from January 1. Ukraine is currently Russia's biggest single transit route to the EU, carrying over 40% of Russian supplies in 2018, and heading for a similar share this year, as this chart shows. Gazprom though has said it cannot sign a new transit deal with Naftogaz until all legal issues between the parties are resolved. This looks unlikely, given that arbitration appeals are expected to be heard into mid-2021. Ukraine also needs to complete the creation of a new gas grid operator in time to sign a new deal by the end of the year. So the pressure is on to reach some kind of a deal, and the market will be watching the outcome closely. Thank you for kicking off your Monday with us, it's always a pleasure, and have a lovely week ahead!]]></video:description><video:publication_date>2019-10-28T11:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/102419-lng-asia-stocks-spot-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-24T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2wNfVpAd1rsC5TZQToi7W4 </video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/102419-lng-asia-stocks-spot-demand.jpg</video:thumbnail_loc><video:title>Asia LNG stocks: High storage levels yield low spot buying potential</video:title><video:description><![CDATA[The market is looking at the winter heating season to help support LNG spot prices after the Platts benchmark JKM fell close to historic lows in 2019. While LNG demand in Northeast Asia is expected to pick up with cooler temperatures, S&P Global Platts LNG Analytics Manager in Asia Jeffrey Moore says another important aspect to watch will be storage levels in the region. Both Japan and South Korea are expected to enter the winter with higher than normal storage stocks, which could limit spot procurement needs in the coming months. Meanwhile, China has built new infrastructure to help meet their increasingly seasonal demand.]]></video:description><video:publication_date>2019-10-24T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102119-putin-russia-africa-summit-brexit-eu-carbon-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-21T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1kDEfnjdsEFtsAyJsvpXCT</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/102119-putin-russia-africa-summit-brexit-eu-carbon-market.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 21-25: Putin hosts heads of state at Russia-Africa Summit, as Brexit taints EU carbon market</video:title><video:description><![CDATA[In this week’s highlights: Russia’s role in global commodities will be a major focus; the EU carbon market will be eying Brexit developments; the thermal coal industry will be meeting in Lisbon from Monday at the Coaltrans event, and the International Energy Agency publishes its 2019 renewables outlook . View Full Transcript In this week's highlights: Russia's role in global commodities will be a major focus; the EU carbon market will be eying Brexit developments; and the IEA publishes its 2019 renewables outlook. Russia's global ambitions are in the spotlight this week as President Vladimir Putin hosts heads of state and ministers from across Africa at a Russia-Africa Summit in the Black Sea resort of Sochi on Wednesday, encompassing topics from science to housing, and of course commodities. Among those present will be Egyptian President Abdel Fattah el-Sisi, courting more Russian investment on top of Rosneft's stake in the giant Zohr gas field in the Mediterranean. From the Russian side, Lukoil CEO Vagit Alekperov will be discussing his company's longstanding efforts to build a presence in West Africa in countries such as Cameroon and Ghana. Russia's overseas role is again under discussion on Thursday at a Eurasian Economic Forum in Verona. Speakers include Rosneft CEO Igor Sechin, whose company was forced to halt work in Iraqi Kurdistan last week due to Turkish incursions into nearby Syria. Novatek chairman Leonid Mikhelson, whose company spearheads Russia's Arctic LNG exports, will also address the event. Elsewhere, Iraq's southern oil infrastructure is the topic of a "Basra Mega Projects" conference in Istanbul on Tuesday, with several top officials in attendance. Sticking with political difficulties, all eyes in the EU carbon market will be on Brexit developments this week after the UK and EU agreed a deal, but the UK parliament withheld its approval. As you can see from this chart, the market has been highly sensitive to all the twists and turns in the Brexit saga. The deal would mean the UK would be likely to stay in the EU Emissions Trading System until the third trading phase ends on December 31, 2020. This would maintain demand from UK-based companies this year and next. While bullish on the surface, there are factors that could limit the upside for prices, including decisions by the UK on when it would bring to market its free allocation and auction supply for 2019. On Saturday, a vote on the Brexit deal in the lower house of the UK parliament was withdrawn after members backed an amendment withholding parliamentary support from the deal until both houses of parliament have approved the legislation to enact it. This has thrown the expected date of Brexit up in the air. Parliament earlier passed a law forcing Prime Minister Boris Johnson to request an extension from the EU of the Brexit process beyond the planned date of October 31st. Johnson has complied with the law and sent the letter but without signing it. He also sent two other letters to the EU. One saying the first letter was from parliament, not the government, and a third saying the government does not think an extension is in either side's interest. This means the carbon market will be watching whether the EU offers an extension, and - if it does - how long it will be. The UK government has said it will either hold a meaningful vote on the deal or try and pass the legislation implementing the bill this week. Should the parliament approve the deal or the implementation legislation in time, the UK might be able to leave the EU with a deal by October 31st. However, the other wild card might be parliament attaching an amendment to any legislation, making approval of the deal dependent on a referendum. For a referendum to be held, there would have to be a delay to Brexit. Moving on to a major source of emissions, the thermal coal industry will be meeting in Lisbon from Monday at the Coaltrans event. Delegates will discuss the upcoming winter demand season, supply-side rationalization and demand shift from Europe to Asia, after a near 40% year-on-year fall in seaborne thermal coal prices. Also at the event, steel mills and coking coal market participants will discuss the outlook for steel raw materials demand. This comes after a slowdown at steel plants in Europe and Brazil this year, and Chinese GDP growth falling to a 6% rate. As you can see from the chart on your screen, benchmark coking coal prices in September fell to their lowest in three years. That brings us to our social media question of the week: How much downside is there for coking coal prices for the rest of 2019? Tweet us your view with the hashtag #PlattsMM. Now, let's end this Market Movers on a more environmentally friendly note. The IEA is due to publish its Renewables 2019 report today, offering analysis and forecasting out to 2024. European power market watchers will want to test their own assumptions against the agency's 46% capacity growth outlook, with distributed solar in the driving seat. The report is also expected to include insight into the future of hydrogen as European states grapple with decarbonizing heat and transport. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-10-21T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/102119-russia-crude-oil-asia-refiners</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-21T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=TT4YS24dfo8SAXj6KSqgds</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/102119-russia-crude-oil-asia-refiners.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 21-25: Lower logistics costs make Russian crude more attractive to Asian refiners</video:title><video:description><![CDATA[The highlights in Asia on S&P Global Platts Market Movers this week, with Commodity Associate Shermaine Ang: more Russian crude oil cargoes are seen heading to Northeast Asia on lower logistics costs, the LNG market is starting to move into peak winter demand, Japan and Saudi Arabia ministers are set to meet, and paraxylene plants lower operation rates. View Full Transcript The highlights in Asia this week: the LNG market starts to move into peak winter demand, Japan and Saudi Arabia ministers set to meet, and paraxylene plants lower operation rates. But first, in oil Asian refiners may find Far East Russian crude oil highly attractive this week as they increasingly favor short-haul crude supplies amid a recent sharp uptrend in international dirty tanker freight rates. Far East Russian export crudes including Sokol, ESPO Blend and Sakhalin Blend should appeal to many Asian refiners due to the grades' cheaper logistics costs. More than 15 spot cargoes of ESPO Blend crude for loading in December will be on offer this week. Meanwhile, all eyes will be on potential Saudi-Japan tie-ups in the energy sector this week. Japan will hold the fourth round of the Saudi-Japan Vision 2030 ministerial meeting and the Saudi-Japan Vision 2030 Business Forum in Tokyo on Wednesday. In LNG, eyes would be on the JKM/TTF spread as the market moves into peak winter demand. Tight supply in Pacific after the outage in the Northwest Shelf and maintenance at Gorgon along with the surging freight rates would mean that North Asian buyers need to pay more to move cargoes eastwards during winter. Demand from South Korean and Chinese end-users along with shipping rates hitting 2019 highs of 120 thousand dollars per day caused the Japan Korea Marker to breach the 7 dollar per MMBtu mark last week, for the first time since January this year. How much higher do you expect LNG Asia prices to climb? Share your thoughts on Twitter with the hashtag PlattsMM. Conversely in coal, Chinese domestic prices are expected to head south as more Chinese mines resume its full operation and demand is expected to remain tepid. Indonesian thermal coal prices are looking to trade stable to higher backed by pockets of Chinese tenders Q4 delivery cargoes, however lingering concerns over Chinese import restrictions have limited some price upside. Indian seaborne demand is expected to wane ahead of the Diwali festive season, amid high power plant stockpiles sufficient for about 10 days of coal burn. Next, narrowed margins for paraxylene production is starting to manifest itself in lowered operating rates and also shutdowns at primarily older, smaller or non-integrated Asian paraxylene plants recently. Several plants in China and South Korea have lowered operating rates over the last couple of months, and some also closed down plants, hoping for margins to improve. However, there may not be any light in the tunnel anytime soon with more new PX plants in China and Southeast Asia about to start, which has led to reduced import demand for PX in China, as well as crunched margins for PX producers. On October 15 the PX-naphtha spread hit more than a 5-year low of $260/mt. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-10-21T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101619-national-oil-companies</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-16T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4uqDak253VZM1KzappY87y</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/platts-snapshot/101619-national-oil-companies.jpg</video:thumbnail_loc><video:title>National oil companies: Energy champions evolve to face future</video:title><video:description><![CDATA[National oil companies are adapting their strategies to the changing global energy market, explains Robert Perkins , senior editor at S&P Global Platts. From refineries to petrochemicals to trading, these national champions are making significant investments and growing in size and sophistication. Read more in our special report: National champions: State oil companies evolve to face the future]]></video:description><video:publication_date>2019-10-16T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/101419-putin-visit-saudi-arabia-brexit-looms-eu-carbon</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-14T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qVSTGAWjWP2dtys8VcCJnZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/101419-putin-saudi-arabia-brexit-looms-eu-carbon.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 14-18: Oil markets focus on Putin's Saudi Arabia visit; Brexit looms over carbon market</video:title><video:description><![CDATA[In this week’s highlights: The oil market focuses on Vladimir Putin's visit to Saudi Arabia, EU carbon prices eye the next Brexit developments; the troubled EU steel sector will be in focus at the worldsteel meeting in Mexico; and the power and gas markets await a key report on French nuclear reactors. Infographic: Iran tanker trouble in Red Sea highlights oil risks View Full Transcript In this week’s highlights: EU carbon prices eye the next Brexit developments; the troubled EU steel sector will be in focus at the worldsteel meeting in Mexico; and the power and gas markets await a key report on French nuclear reactors. First up though, the oil market, where the focus will be on the Middle East and Russia’s role in the region, as President Vladimir Putin visits Saudi Arabia Monday. The visit is taking place at a time of heightened tensions over Middle Eastern oil supplies. For the market, the main question is: Will OPEC and Russia continue, and deepen, their cooperation on curbing production? Look out for deals to be signed during Putin’s visit, and a general Russian effort to promote itself as a power broker, able to talk to all sides and ease tensions. Russian officials will then head to Vienna on Friday for an ‘OPEC-Russia Energy Dialogue’ event. Whatever messages come out of the meetings, the risks to trade in oil and other commodities in the Middle East will be at the forefront of traders’ minds. The market was reassured by the speed of Saudi Arabia’s recovery from an unprecedented attack on oil facilities on September 14. But the explosion on an Iranian tanker in the Gulf at the end of last week has caused a renewed attack of the jitters. For an infographic on geopolitical risks, follow the link below this video. Staying with geopolitical roller-coaster rides, Europe’s carbon markets will be focused on the next installment of the Brexit saga. Thursday’s summit of EU leaders is seen as the last chance for a deal to stop the UK falling out of the EU carbon market October 31. In the event of a no-deal Brexit, UK-based companies would be expected to sell surplus allowances they would no longer need to cover calendar 2019 emissions and unwind forward positions in the futures market. You can see the market’s sensitivity to Brexit from the chart on your screen. EU carbon allowance prices rebounded from a six-month low last week to hit 24 euros a metric ton, on tentative signs that the EU and UK could yet hammer out a Brexit deal. While all eyes in the carbon market will be on London and Brussels, the steel industry will cast its eyes further afield to the World Steel Association’s annual meeting in Monterrey, Mexico. As the event kicks off, the market will be seeking direction from worldsteel’s updated global short-range steel demand outlook announcement, due to be presented Monday. The EU steel industry has been struggling with global trade policy upheavals and a high level of protectionism. You can see from the chart the toll weak demand has taken EU hot-rolled steel coil prices over the last two years. Research by S&P Global Ratings has found that EU producers are suffering more than their global peers. The latest expectations are that steel demand in the bloc may fall 2% this year before stabilizing or showing a modest recovery in 2020. That brings us to our question of the week: How much downside is there for EU steel prices for the rest of 2019? Tweet us your view with the hashtag PlattsMM. Finally, power traders are awaiting a decision by French nuclear safety regulator ASN on the issue of substandard steam generators at six nuclear reactors. The issue rattled power and gas markets when operator EDF first flagged the problem in September. Winter contracts still have a risk premium despite EDF’s assurances that no immediate repairs were necessary as the ASN has overruled EDF’s preferred options in a number of cases recently.]]></video:description><video:publication_date>2019-10-14T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/101419-us-china-trade-iran-tanker</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-14T02:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=q8hQcGoN7qMRrhppt4Tp8M</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/101419-us-china-trade-iran-tanker.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 14-18: US-China's partial trade deal, Mideast oil risks in focus</video:title><video:description><![CDATA[The highlights in Asia this week, with Andrei Agapi, S&P Global Platts associate pricing director for APAC Agriculture: The US and China agreed on a partial trade deal that would suspend a US tariff escalation set for this week and increase Chinese imports of US agricultural products, oil spill from a Suezmax tanker in the Red Sea unsettles oil market , the Asian palm oil market is bearish on expectations of higher Malaysian supply, and LNG shipping in focus as freight rates in Asia Pacific shot up last week to $100,000/day after US sanctioned China's COSCO. Related Platts events Dry Bulk Shipping Forum Grains and Oilseeds Forum]]></video:description><video:publication_date>2019-10-14T02:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100819-brent-crude-oil-volatility-october-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-08T15:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ECBBNFsEUKTG6DKAUD8Lst</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/100819-brent-crude-oil-volatility-october-outlook.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: October outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of October 2019.]]></video:description><video:publication_date>2019-10-08T15:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>01:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100719-oil-and-money-london-water-levels-rhine</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-07T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ka1EBBkJQruAMrtJNsbvVw</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/100719-oil-and-money-london-water-levels-rhine.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 7-11: All eyes on London’s Oil &amp; Money conference and the low water levels on the Rhine</video:title><video:description><![CDATA[In this week's highlights: Bob Dudley makes his last conference appearance as BP CEO; the petrochemical markets watch the Rhine fall, while the steel markets watch Polish production rise; and UK generators await a key EU announcement. View our infographic on how low water levels on the Rhine affected European commodities markets in 2018. View Full Transcript In this week's highlights: Bob Dudley makes his last conference appearance as BP CEO; the petrochemical markets watch the Rhine fall, while the steel markets watch Polish production rise; and UK generators await a key EU announcement. But first, in London, this week the oil and gas markets will be examined from all angles at the Oil & Money conference. Qatar's energy minister, Saad Al-Kaabi, will be the opening speaker on Tuesday. Qatar's location and role as Number 1 LNG producer means he is well placed to kick off discussion of two over-arching themes: geopolitics in the Middle East, and the energy transition. The array of speakers also includes Saudi Aramco CEO Amin Nasser, providing a perspective on last month's attack on Saudi oil facilities, and ADNOC CEO Ahmed Al-Jaber. Corporate speakers include the heads of the European oil and gas majors, BP, Shell and Total, and the heads of trading companies Trafigura, Gunvor and Vitol. Rounding off on Thursday is OPEC Secretary General Mohammad Barkindo, who faces pressing questions on how international production cuts are to be coordinated against the backdrop of US sanctions on Iran, and the recent hit to Saudi production. Providing a US perspective, alongside Barkindo, is the head of the US State Department's Bureau of Energy Resources, Frank Fannon. For BP's Bob Dudley it will be his last appearance at this conference as CEO, as he stands down in February. And that brings us to our social media question of the week: What do you think Bob Dudley's legacy at BP will be? Send us your feedback by tweeting with the hashtag #PlattsMM. Coming on the heels of the event are two closely watched reports that should provide further in-depth analysis, particularly on the demand side: OPEC publishes its monthly oil market on Thursday, and the International Energy Agency publishes its monthly oil market report on Friday. Downstream, petrochemical markets this week will be closely monitoring the level of the Rhine in Germany. Water levels at the Kaub chokepoint have dropped to 110 centimeters. Sources say methanol barges are already limited to 80% loads. Lower water levels also have the potential to hit MTBE, a high-octane blendstock for gasoline, with key production sites along the waterway. Toluene and mixed xylenes markets could also face disruption. However any disruption to these markets would be limited by the lack of demand from the chemical. Rain is forecast for next week in Germany, but this is expected to be in areas that won't return water to the river. If you want to see what happened when water levels on the Rhine plunged last year, visit our infographic by clicking the link at the bottom of this page. While the water levels on the Rhine have been falling, steel production in Poland is expected to rise. Polish plate mill Huta Czestochowa is expected to restart operations Thursday after being idle for five months as the result of insolvency. The mill's new operator, Warsaw-based financial services company Sunningwell, aims to bring production back up to 600,000-650,000 metric tons a year, with up to 400,000 tons destined for the domestic market. The Polish plate market absorbs about 1.2 million to 1.4 million tons a year, and Sunningwell will be looking to displace roughly a third of plate imports into Poland. EU steel industry analysts however consider the timing for re-entering the plate market to be unfavourable given weak demand and low prices. This can be seen in ArcelorMittal's decision to halt production for several days this week at its steel production lines in Aviles, Spain, due to a drop in orders. And finally, UK generators are primed for an announcement from the European Commission soon on the suspended capacity market in Great Britain, while across the Channel on Thursday France's latest capacity market auction opens for bids. Capacity markets pay power stations to remain available during set periods of time, keeping the lights on and reducing the risk of frequency shocks. A go-ahead from the commission on the UK mechanism would release around a billion pounds of monthly back payments, the lack of which has been lamented by major beneficiaries such as SSE and EDF Energy. Whatever the outcome, it's too late for vintage coal plants at Cottam and Fiddlers Ferry, both of which continue to run down coal stocks ahead of imminent closure. And that marks the closure of this edition of Market Movers. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-10-07T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100719-us-china-trade-talks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-10-07T02:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UPJinrQ4LL6V2zLAx9QbY8</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/100719-us-china-trade-talks.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 7-11: US crude, LNG flow to China remain under pressure; Washington-Beijing trade talks resume</video:title><video:description><![CDATA[The highlights in Asia this week on S&P Global Platts Market Movers, with thermal coal associate editor Fred Wang : US and China return to negotiating table for high level talks as the flow of crude and LNG from the US to China remain under pressure, trading activities in thermal coal and petrochemicals seen picking up as China returns from its Golden Week Holiday, and eyes on the Indian Joint Plant Committee's official monthly data for cues of the industry bottoming out in September. View Full Transcript This week: Asian importers keep eyes peeled on Saudi Arabian crude allocations, Chinese polyester production enters critical period for winter apparels, and negotiation for Japan-Australia October thermal coal contract talks yet to reach consensus. But first, a high-level ministerial meeting between US and China is expected to take place in Washington later this week, according to media reports, in a sign that trade negotiations between the two economies could be back on track. The talks are the first high level discussions being held in several months, the tense backdrop of the talks raise concerns about a positive and timely agreement. US-China trade relations have been volatile with the hiking of tariffs on both sides earlier this year. But tensions had eased around the anniversary celebrations and National Day holiday in China, with China exempting some US good from tariffs and the US delaying the implementation of some tariffs on China. Soybean traders will be watching for progress of the talks on fresh Chinese purchases. Trade flows of US crude oil and LNG to China remain under pressure, however, with Beijing imposing a 5% tariff on US crude and 25% on US LNG currently. US-China energy relations have also been further complicated with the US targeting of Chinese shipping companies for transporting Iranian crudes. This has sent tanker shipping rates surging in recent weeks and disrupted Chinese crude import and chartering activities, and impacted freight rates for the whole market. So for our social media question this week: will the US and China finally reach a consensus after the high level talks this week? Share your thoughts with the hashtag PlattsMM. While it remains difficult to find an arbitrage for US LNG supplies to China at the moment, some US crude cargoes continue to make their way to China, partly because of the brief disruption in Saudi Arabian crude supplies. Asian refiners will wait for Saudi Aramco's official confirmation of their allocations for November-loading term crude cargoes this week. Aramco has managed to supply most of the term volumes nominated by its Asian buyers for September and October-loading crude cargoes as it recovers from attacks on key oil facilities and replenishes stocks. But Asian buyers are expected to continue adopting a cautious stance as it remains unclear whether the refiners will receive their full term volumes beyond November. Aramco's ability to supply crude of the specified quality also remains uncertain. Also this week, China returns from its Golden Week holiday, and activities in different markets are expected to pick up. The petrochemicals market will closely monitor the sales of the polyester and textile products for cues on the demand on the entire polyester chain for the rest of the year, including upstream paraxylene, purified terephthalic acid and monoethylene glycol. The overall rate of Chinese polyester production is currently healthy at around 90%, and it is a critical period to prepare for winter apparels for year-end holidays. Chinese participants in the Asian seaborne thermal coal market are also expected to return to the trading desk, but the market continues to keep a close watch on China’s import policy. The price of Australian 5,500 kcal/kg NAR grade of coal is expected to be range-bound as Chinese buyers are still cautious of the import curbs. Japanese-Australian October reference price for term contract shipments of Newcastle 6,300 kcal/kg GAR thermal coal have yet to be settled amid slow negotiation, market sources are expecting some Japanese spot buying for Q4 due to limited coal-to-oil switch. And finally in metals, India's steel industry will look at the Joint Plant Committee's official monthly data for cues of the industry bottoming out in September . Market sentiment remains weak amid bearishness in the automobile and consumer durables sectors. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-10-07T02:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/093019-saudi-oil-production-restored-europe-gas</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-30T10:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pr5C4HK4tD78pxagf3YsCk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/093019-saudi-oil-production-restored-europe-gas.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 30-Oct 4: Saudi oil production fully restored as Europe is awash with gas</video:title><video:description><![CDATA[In this week’s highlights: The European petrochemical industry meets in Berlin; the new gas year kicks off in Europe; a 10% ethanol blend in gasoline is launched in the Netherlands, and Tuesday marks the start of the new sugar campaign in Europe. View Full Transcript In this week's highlights: The European petrochemical industry meets in Berlin; the new gas year kicks off in Europe; and a 10% ethanol blend in gasoline is launched in the Netherlands. But first, this week, the oil market will swoop on any updates from Saudi Arabia on its progress on restoring its oil-production capacity to its full around 11 million barrels a day, by the end of September, following a major attack on crucial oil facilities on September 14th. The first opportunity to learn more on this will come on Monday at the Gulf Intelligence Energy Markets Forum in the UAE port of Fujairah. Speakers include Aramco Trading CEO Ibrahim Al-Buainain, Total Oil Trading CEO Thomas Waymel and the Asia head of trading company Vitol, Mike Muller. Just as important are the wider implications of the attack and risk of further incidents. That risk will be the focus at Russia's annual Energy Week conference in Moscow, as energy minister Alexander Novak hosts Iranian oil minister Bijan Zanganeh, on Wednesday, and Saudi energy minister Abdulaziz bin Salman, on Thursday. Bin Salman took up his post just days before the September attacks and is the man responsible for reassuring the world as to the Kingdom's reliability. Iran is looking to have US sanctions on its exports eased, but both Washington and the Saudis have blamed Tehran for the September 14th attacks, something Iran denies. And that brings us to our social media question of the week: Do you think Saudi Arabia will meet its own deadline to restore crude output? Send us your feedback by tweeting with the hashtag #PlattsMM. And it won't only be the oil industry holding important meetings. Europe's petrochemical industry will be meeting in Berlin on Sunday for the European Petrochemical Association's annual conference. The impact of the new low-sulfur marine fuel rules from January 1st, known as IMO 2020, on petrochemicals, the US-China trade war, and the tensions in the Middle East will all likely feature as major topics. An important date in the gas market's diary will be the start of the new Gas Year in Europe on Tuesday, and the end of the summer maintenance period across gas assets on the Norwegian Continental Shelf. This week also marks the start of the new gas production quota for the giant Groningen field in the Netherlands, which has been slashed to just 11.8 billion cubic meters from 19.4 billion in the last Gas Year. Luckily though, Europe is currently awash with gas, with LNG expected to come to European shores in ever greater quantities in the fourth quarter, and storage filled to brimming. And talking of the seasons changing, Tuesday also marks the start of the new sugar campaign in Europe. As you can see in the chart on your screen, Platts Analytics is forecasting EU sugar production at 17.5 million metric tons, some half a million tons lower than the previous campaign. The drop is down to a reduced planted area in the main sugar beet growing countries. The hot, dry early summer meant growing conditions were tough for a second consecutive year. The ban on neonicotinoid pesticides also combined with the weather to hit beet yields. The European Commission's crop monitoring center forecasts EU sugar beet yields at 72.2 metric tons a hectare, up 4.3% on the year, but still 4% below the five-year average. This fall in production should remove the European sugar surplus and therefore limit the amount of sugar available for export. After the sweets let's round off this Market Movers with some alcohol. On Tuesday the 10% ethanol gasoline blend known as E10 will be launched in the Netherlands. Previously only a 5% blend was available at the pump. This will boost Dutch ethanol demand by essentially doubling the volume that can be blended into a liter of gasoline. This is not only good news for producers but also blenders supplying the Netherlands as the increased blend should help them meet ever higher mandates from 2020. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-09-30T10:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/093019-saudi-attacks-asia-crude</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-30T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=peYX77Gu1w1Tmubb3qV6Dt</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/093019-asia-crude-premiums-hydro-alunorte.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 30-Oct 4: After Saudi attacks, Asian refiners seek crude oil supplies closer to home</video:title><video:description><![CDATA[This week in Asia on S&P Global Platts Market Movers with LNG pricing specialist Srijan Kanoi: the uptrend in price differentials for mainstay Asia Pacific sweet crudes will likely remain on center stage after hitting multi-year highs last week, crude charterers remain cautious following sanctions imposed by the US on Chinese companies and executives for trading oil with Iran, supply overhang could grip the LNG spot market, aluminum and alumina prices are in focus after a Brazilian federal court ruled to lift the final embargo on Norsk Hydro's Alunorte bauxite operations, and Platts to launch a new coal price assessment for Southeast Asia on October 1.]]></video:description><video:publication_date>2019-09-30T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/092319-saudi-attacks-ripples-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-23T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wMkns4Z792cNBu6zk5uNcs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/092319-saudi-attacks-ripples-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 23-27: Uncertainty around Saudi attacks ripples through Europe</video:title><video:description><![CDATA[In this week's highlights: The attacks on Saudi Arabia and the ensuing supply disruption dominate the energy market's focus, and maintenance season draws to a close for European gas markets. View Full Transcript In this week's highlights: The attacks on Saudi Arabia and the ensuing supply disruption dominate the energy market's focus, and maintenance season draws to a close for European gas markets. In oil, the market continues to grapple with the ramifications of the unprecedented strikes on Saudi oil facilities. This includes the country's effort to restore supplies, the degree of resilience in the wider market and the political backdrop of US sanctions on Iran and the risk of an escalation of Middle East tensions. The efforts of OPEC and its partners to manage the crude oil market are likely to be complicated by the attack, although talk of an emergency meeting has been dismissed for the time being. OPEC Secretary General Mohammed Barkindo may provide some insights when he attends Kazakhstan's annual upstream oil conference this week. And the UN General Assembly may also provide fresh impetus, with US President Donald Trump due to speak Tuesday and Iranian President Hassan Rouhani thought likely to attend on Wednesday. The message for Europe, at least as far as the International Energy Agency is concerned, is that markets remain well supplied, with ample stocks in reserve. S&P Global Platts will keep a close eye on this highly fluid situation. The attacks also sent a ripple through the European high sulfur fuel oil market last week, as Saudi Arabia is a producer and consumer of fuel oil. Market participants expect this supply tightness to persist going forward with high sulfur fuel oil stocks being run down throughout the world ahead of the rapidly approaching global 0.5% sulfur cap on marine fuel. As you can see, the 3.5% FOB Rotterdam barge physical-to-paper backwardation has hovered around historical highs in recent days supported by the Saudi Arabian issues, and market participants say the supply tightness could remain until shipowners begin to properly transition to 0.5% fuels in the fourth quarter of the year. In the short-term however, traders expect the market to exhibit signs of unusual strength, particularly if uncertainty continues to hang over Saudi Arabian crude and fuel production. This strength has also percolated into the distillates markets, with European jet and diesel cracks hitting six-year highs last week on expected supply disruption. Europe is reliant on imports of diesel and jet fuel from Asia and the Persian Gulf and trading sources expect this strength to persist on supply competition over the next few weeks. Finally, in European gas, this week will see this year's final period of heavy maintenance across gas assets on the Norwegian Continental Shelf. Most planned maintenance on the Shelf is carried out over the lower-demand summer months, with 2019 seeing significant work across gas fields, processing plants and terminals. This week some 120 million cu m/d of production will be impacted by the planned maintenance, with assets affected including the giant Troll field, the Aasta Hansteen field in the Norwegian Sea, and the Karsto processing plant. From the start of the new gas year on October 1, work on the Shelf will more or less come to a halt, meaning Norway could return to producing close to its capacity of more than 350 million cu m/d. This comes at a time when Europe is awash with gas. LNG is expected to come to European shores in ever greater quantities in Q4 and storage is filled to capacity. And that's the subject of our social media question of the week: What's your expectation for gas prices this winter? Tweet us your thoughts with the hashtag #PlattsMM. We'll have more on gas, oil and many other commodities next Monday. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-09-23T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/092319-saudi-attacks-us-china-trade-talks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-23T02:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mU6gGxRfBc26hDdWyDhXHz</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/092319-saudi-attacks-us-china-trade-talks.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 23-27: Markets assess supply risks after Saudi attacks; US-China talks back in focus</video:title><video:description><![CDATA[The highlights in Asia this week, with S&P Global Platts senior quality and digital editor Norazlina Jumaat: Asian refiners assess risks after a volatile week following the attacks on Saudi Arabian oil facilities. China, Japan, India and South Korea account for 83% of Saudi Arabia's crude oil exports to Asia, according to S&P Global Platts Analytics . Several state-run refiners in the region have received notices of how the attacks in Saudi would affect crude allocations. Asia is also bracing for any development around the US-China trade talks, winter emission controls in China which could impact steel and aluminum production, and the negotiations between Australian thermal coal producers and Japanese buyers. View Full Transcript The highlights in Asia this week: markets brace for US-China trade talks set for early October, China’s winter emissions controls in focus, and negotiations between Australian thermal coal producers and Japanese buyers continue. But first, Asian refiners assess risks after a volatile week following the attacks on Saudi Arabian oil facilities. According to S&P Global Platts Analytics, the “Big Four” account for 83% of Saudi’s crude oil exports to Asia. China has seen the highest growth in oil imports from Saudi Arabia this year. But after the attacks, several Chinese state-run refiners were notified that some of their September and October term crude supplies would be affected. Unlike Chinese buyers, end-users from India, Japan and South Korea have said that their near-term Saudi crude allocations are unaffected. Now apart from supply concerns, Nobuo Tanaka, former head of the International Energy Agency, said that organizations like the IEA must be prepared for an escalation of military conflicts between Saudi Arabia and Iran, as well as the impact it could have on the supply of oil. Meanwhile, markets are on the lookout for any development prior to the planned US-China trade talks in Washington next month. A Chinese delegation visited the US last week to lay the ground for a potential agreement in October. Trade tensions have thawed in the last few weeks with China allowing some US goods to be exempted from tariffs, while the US has delayed imposing some. With the first of October marking the 70th anniversary celebrations of the People's Republic of China, analysts say Beijing will be keen to avoid an escalation. So for our social media question this week: Do you think the October talks will result in the US and China finally agreeing to put an end to their trade dispute? Share your thoughts with the hashtag PlattsMM. In thermal coal, negotiations for the October benchmark prices between Australian producers and their Japanese customers forge ahead in Tokyo. Both sides are wrestling over bids and offers ranging from as low as 63 dollars per metric ton to as high as 73 dollars. In Indonesia, miners plan to cut output to support prices in Kalimantan ahead of China’s long holiday, while their Indian counterparts have made a slow return to restocking post-monsoon given the slowing economy and stockpiles on the east coast. In agriculture, Australian wheat prices remain firm as dry weather conditions in Western Australia push farmers to hold back from selling new crop. Western Australia makes up for about 50% of the country’s total wheat output. And more than 95% of the wheat Australia exports ends up in Asia and the Middle East. Australian farmers are cautious of over-selling for fear their crop may not be as big as earlier anticipated. Suppliers, on the other hand, are concerned that if they have to pay higher prices, they will be uncompetitive in the export market. And finally, China’s steel market will be poring over the latest details of the country’s winter season emissions controls. This will determine how much steel and aluminum can be produced. In the past, prices have risen after such announcements on expectations of a supply shortage. But buying interest in iron ore is likely to weaken this week with China’s National Day holidays just around the corner. Most mills and traders are well stocked up for the week-long holiday, which means that iron ore prices are unlikely to climb higher. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-09-23T02:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091819-europe-gas-market-us-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-18T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fEa3QNv3rw6hQBKnjMicBJ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/091819-europe-gas-market-us-lng.jpg</video:thumbnail_loc><video:title>European gas markets: On a knife's edge</video:title><video:description><![CDATA[As the gas industry meets at Gastech, global gas markets sit on a knife's edge. Bloated European balances, coupled with a massive expansion in US LNG export capacity in the next few months means a race to the bottom is not out of the picture, especially if Asian winter demand starts slowly.]]></video:description><video:publication_date>2019-09-18T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091619-europe-commodities-saudi-attacks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-16T10:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=L8EWXfQM8iHyYHBZgaMMje</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/091619-europe-market-movers-eklayve.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 16-20: Attacks on Saudi oil facilities, temporary loss of 5.7 mil barrels</video:title><video:description><![CDATA[State-run oil company Aramco said the attacks on oil facilities at Abqaiq and the kingdom’s second-largest oil field, Khurais, has led to the temporary loss of 5.7 million barrels a day of output. In August Saudi Arabia produced 9.77 million barrels a day in August, of which it exported around 7 million, according to the latest S&P Global Platts survey. However, Saudi energy minister Prince Abdulaziz bin Salman has said the country’s export customers will be supplied from stocks. View Full Transcript In this week’s highlights: Key talks are due on the transit of Russian gas to the EU via Ukraine; Germany is set to change its emissions policy; and the European gasoline market grapples with a combination of a spec change and IMO 2020. But first, the oil market will be focused on the ramifications of Saturday’s attacks on key facilities in Saudi Arabia. State-run oil company Aramco said the attacks on oil facilities at Abqaiq and the kingdom’s second-largest oil field, Khurais, has led to the temporary loss of 5.7 million barrels a day of output. In August Saudi Arabia produced 9.77 million barrels a day in August, of which it exported around 7 million, according to the latest S&P Global Platts survey. However, Saudi energy minister Prince Abdulaziz bin Salman has said the country’s export customers will be supplied from stocks. According to the Joint Organization Data Initiative figures, Saudi Arabia in June has enough stocks to cover around 27 days of exports. The International Energy Agency has also said markets are well supplied with crude and that commercial stocks are ample. But front-month Brent futures were up by more 15% Monday with ICE Brent trading between $66-72/b. The attacks have brought the geopolitical risk in the Persian Gulf region back into focus. Yemen’s Iranian-backed Houthi rebels claimed responsibility for the operation. A Saudi-led coalition is backing the internationally recognized government militarily against the Houthis. However, the US, a key ally of the Saudis, has accused Iran of directly carrying out the attacks, something Tehran strongly denies. Earlier in the year there were several attacks on tankers in the Gulf, for which the US blamed Iran. Tensions are already high between Washington and Iran over the Trump Administration’s decision to re-impose sanctions on Tehran. Market participants will be monitoring responses from all sides carefully to see whether or not tensions escalate further. You can keep up with all the events in the Gulf on our website. And that takes us to our social media question this week: What do you think the main implications of the attacks on the Saudi oil facilities are? Tweet us your thoughts with the hashtag #PlattsMM. And it’s not only the Middle East where the focus will be on geopolitics and energy supply. On Thursday there will be a key meeting in Brussels between Russia, Ukraine and the European Commission. The three sides will be seeking to hammer out gas-transit terms for 2020 and beyond. Without a deal, the European Commission is worried that Russian gas supplies to the EU could be disrupted from January 1. That’s a problem because Ukraine is currently Russia’s biggest single transit route to the EU. It carried over 40% of Russian supplies in 2018, and is heading for a similar share this year, as this chart shows. Russia’s access to alternative routes to Ukraine for 2020 is looking limited. Its planned Nord Stream 2 pipeline to Germany is still waiting for a key planning permit from Denmark. An EU court ruling last week restricted its access to Germany’s OPAL gas link, which will limit how much Russia can flow through its Nord Stream 1 pipeline. So the pressure is on to reach a deal, and the market will be watching the outcome closely. And a change in policy will be on the agenda in Germany on Friday when Chancellor Angela Merkel's cabinet is set to make a major decision on climate-change policy. The key question is whether a carbon tax or a national carbon trading scheme would better for achieving emissions targets. The measures are aimed at transport and heating -- areas currently exempt from EU emissions trading. A wider review of energy taxation is also planned. The market will also be looking for details of the country’s planned coal-fired power plant closures and how it is planning to boost renewable energy ahead of a UN climate summit later this month. European refiners, however, will be looking at transport fuels in a different way. They will be paying close attention to the difference between gasoline and crude oil -- known as the crack spread -- looking to optimize their output ahead of a seasonal specification change from October 1. This is when a less stringent and in turn cheaper gasoline is needed in Europe as temperatures drop, allowing lighter material to be used. This time of year often causes much uncertainty in the market place. This has been compounded this year by refiners already adjusting their production in response to the upcoming marine fuel sulfur limit – also known as IMO 2020. European diesel crack swaps recently hit a six-month high against gasoline cracks, reflecting the increased profitability of diesel production. However, there are signs of tightness emerging in the gasoline market. That wraps up this edition of Platts Market Movers. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-09-16T10:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091619-saudi-attacks-oil-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-16T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oQQzZZuyAPzbuf6cCsRNWf</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/091619-saudi-attacks-oil-prices.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 16-20: Oil prices surge after Saudi attacks; major buyers in Asia hold adequate oil reserves</video:title><video:description><![CDATA[This week on S&P Global Platts Market Movers, with agriculture associate editor Brian Ng : All eyes are on oil prices after the attacks on Saudi Arabia's oil facilities over the weekend. Saudi Arabia confirmed that the attacks resulted in a temporary loss of 5.7 million b/d of oil output, which is close to 60% of their production, putting a dent on global supply. In the initial reaction to the news, ICE front-month Brent rallied nearly 20% to $71.95 a barrel while NYMEX front-month crude futures surged by as much as 15% to $63.34 per barrel. But prices pulled off their highs as the market digested a tweet from US President Donald Trump saying he has authorized a release of US strategic oil stocks "if needed, in a to-be-determined amount" to keep the oil market well-supplied. Related content: Factbox: Crude futures rally following attacks on Saudi oil infrastructure Trump says SPR release may be needed to keep oil market supplied after Saudi attack View Full Transcript This week: all eyes are on oil prices after the attacks on Saudi Arabia’s oil facilities over the weekend. Saudi Aramco confirmed that the attacks resulted in a temporary loss of 5.7 million barrels per day of oil output, which is close to 60% of their production, putting a dent on global supply. In the initial reaction to the news, ICE front-month Brent rallied nearly 20% to $71.95 a barrel while NYMEX front-month crude futures surged by as much as 15% to $63.34 per barrel. But prices pulled off their highs as the market digested a tweet from US President Donald Trump saying he has authorized a release of US strategic oil stocks “if needed, in a to-be-determined amount” to keep the oil market well-supplied. With geopolitical risk back in focus, S&P Global Platts Analytics estimates oil prices could test $80/b in the coming days. With the impact of the Saudi attacks becoming clearer, how high do you think crude prices could go? Share your thoughts with the hashtag PlattsMM. Zooming in on Asia, major buyers of Saudi crude in the region are unlikely to press the panic button just yet. Crude consumers in both Northeast Asia and India hold adequate oil reserves to cover any shortage of Saudi oil for a few months, and refining companies have a wide range of alternative supply sources. Still in oil, China's expected cutback in crude imports from Venezuela may provide heavy crude suppliers in other regions an opportunity to sell additional cargoes into Asia's biggest oil consumer over the coming days and weeks. China's state-run PetroChina will suspend directly buying crude oil from Venezuela, in accordance with US sanctions on the South American producer, company and industry sources said on the sidelines of the S&P Global Platts Asia Pacific Petroleum Conference in Singapore last week. To compensate for the potential shortfall in Venezuelan heavy sour crude, a slew of exotic and rare heavy crude brands, including Singma Blend and Malaysian Blend, as well as multiple Canadian grades including Cold Lak and Borealis Heavy Blend, emerged in the latest shopping list of Chinese independent refiners. In agriculture, the focus remains on China after Beijing reportedly purchased 5 to 10 cargoes of soybeans from the US as a goodwill gesture, following the announcement that US will be delaying additional tariffs on Chinese goods by two weeks. Grain and oilseeds futures moved higher, reacting to China’s surprising soybean purchases, along with a bearish supply-demand report from the US Department of Agriculture. In the steel markets, China’s National Bureau of Statistics is expected to publish its August fixed asset investment data. This will give the market some indication of the strength of investments in infrastructure, construction, and property markets – which are key drivers of China’s steel demand. And finally in LNG, market participants expect the spot market to likely be supported amid uncertainties in the European gas market and supply concerns from the Cameron project in the US. But market fundamentals could also show some resistance due to lackluster buying interest from North Asian buyers, coupled with the supply glut situation. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-09-16T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/091219-alex-schneiter-lundin-petroleum-johan-sverdrup</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-12T17:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LtDwasREqTiWdA81HaNnGz</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/091219-alex-scheiter_provisional.png</video:thumbnail_loc><video:title>Insight Conversation with Alex Schneiter, CEO of Lundin Petroleum</video:title><video:description><![CDATA[North Sea oil production, long written off as a 1970s relic, is on the rise, with Norway’s Johan Sverdrup field set to up-end the narrative of decline as it comes on stream in October and ramps up to output levels of around 440,000 b/d just in the first phase. What better time to speak to the head of the company that actually made the Johan Sverdrup discovery back in 2010, Sweden’s Lundin Petroleum ? In S&P Global Platts latest Insight Conversation, CEO Alex Schneiter discusses the changes the industry has had to undertake to ensure its survival, and what may lie ahead as it expands northward into the Arctic waters of the Barents Sea.]]></video:description><video:publication_date>2019-09-12T17:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>21:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091219-china-steel-mills-margins</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-12T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=a5EwAPVq33baWtRz5U5FUd</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/20190904_china_steel_margin.jpg</video:thumbnail_loc><video:title>Chinese steel mills hoping for margin reprieve</video:title><video:description><![CDATA[Global steelmakers have been helped by the fall in iron ore and metallurgical coal prices. But they are still battling weak downstream demand, particularly in the manufacturing sector. Will Chinese steel mill margins recover? S&P Global Platts senior managing editor Paul Bartholomew examines the market.]]></video:description><video:publication_date>2019-09-12T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/090919-world-energy-congress-saudi-minister-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-09T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VF1nMg6mTU6B1Dy3Bi7cPJ</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Sep 9-13: World Energy Congress meets as Saudi minister makes debut</video:title><video:description><![CDATA[Good morning, in this week’s highlights: Russian wheat is set to make its debut in a Saudi purchasing tender; and an EU court ruling is expected on Gazprom’s access to a crucial German pipeline. View Full Transcript Good morning, in this week’s highlights: Russian wheat is set to make its debut in a Saudi purchasing tender; and an EU court ruling is expected on Gazprom’s access to a crucial German pipeline. But first, the oil markets will be eagerly awaiting any signs of a change in Saudi Arabia’s production policy following the replacement of oil minister Khaled al-Falih. Falih has been replaced by a son of King Salman, Prince Abdulaziz bin Salman, who has been a long serving member of the Saudi delegation to OPEC. The appointment marks the first time in Saudi history that a member of the royal family has been made oil minister. Prince Abdulaziz is the half-brother of the powerful Crown Prince Mohammed bin Salman, who is anxious to press ahead with an initial public offering of a 5% stake in state oil company Aramco. Analysts say the change of oil minister may have come about because of Falih’s behind-the-scenes resistance to the IPO . The prince's first public appearance as oil minister is scheduled to come Monday when he delivers a keynote speech at the World Energy Congress in Abu Dhabi. The congress will bring together top officials from the UAE and its OPEC allies, as well as Russian energy minister Alexander Novak, and IEA executive director Fatih Birol. Corporate delegates include the CEO of state oil company ADNOC as well as his counterparts from European energy majors Total and Eni. Discussion will range from oil prices to LNG markets and climate change On Thursday Prince Abdulaziz will make his OPEC debut as minister also in Abu Dhabi when a key group of oil ministers from the OPEC/non-OPEC production cut pact is set to meet. The joint Ministerial Monitoring Committee will discuss weak demand and an oil price lower than many members would like. OPEC/non-OPEC has already agreed on a 1.2 million barrel-a-day cut. Analysts say they expect the new Saudi minister to maintain the kingdom’s policy of reining in production to support prices. That takes us to our social media question for the week: What do you think the change of oil minister mean for energy markets? Tweet us your responses under the hashtag #PlattsMM Further insight into the state of the global oil market will come from the IEA’s monthly oil market report on Thursday and OPEC’s own report on Wednesday. One of Khaled al-Falih’s achievements as oil minister was the alliance on oil production with Russia, which in turn led to closer economic ties. And on Monday the results of the first Saudi grain tender for which Russian wheat qualified are expected. Wheat from the Black Sea region was able to participate after state purchasing agency, Saudi Grains Organization, known as SAGO, lowered its pest-damage specifications. The tender is for 595,000 metric tons of hard wheat for November to January arrival. Russia, the world’s largest wheat exporter, is struggling to find buyers in an over supplied market. Black Sea wheat prices are now around 17% lower than a year earlier, and SAGO’s tender is expected to be supportive. However, Saudi Arabia’s less stringent rules on pest damage could mean European, and in particular German, wheat producers losing out to their Black Sea competitors who are able to offer lower prices. Finally, staying with the theme of market access, on Tuesday, the European Court of Justice will deliver its ruling on whether to annul a European Commission decision of October 2016 allowing Russia's Gazprom access to more capacity on the OPAL gas pipeline in Germany. Polish gas company PGNiG and the Polish government appealed against the ruling, arguing that allowing Gazprom increased access to OPAL boosted gas flows through the Nord Stream pipeline at the expense of existing routes, causing a threat to Poland's security of supply. Nord Stream runs directly from Russia across the Baltic Sea to Germany, bypassing Poland and Ukraine, and is linked to OPAL. As you can see from pink line on the chart representing flows on Nord Stream, the pipeline can only run at full capacity when it has access to the additional capacity on OPAL. That’s because the gas needs to move on after it reaches the German end of Nord Stream. Under the EC decision, Gazprom has been allowed to bid for the extra capacity in OPAL – up to 12.8 billion cubic meters a year – on top of the 12.8 billion already reserved for Gazprom's use. If Poland is successful in the case, it could mean Gazprom's access to OPAL would be cut back to just the original 12.8 billion cubic meters a year. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-09-09T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/090919-appec-al-falih-saudi-energy-wti-midland</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-09T02:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8kpFiVNM4e5RnECJkgog1i</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/090919-appec-al-falih-saudi-energy-wti-midland.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 9-13: Saudi Arabia replaces energy minister; APPEC 2019 kicks off in Singapore</video:title><video:description><![CDATA[The highlights in Asia this week, with S&P Global Platts senior editor for bunker fuels Surabhi Sahu : oil market to watch for any change in Saudi Arabia's policy after it replaced its energy minister , Khalid al-Falih, with Prince Abdulaziz bin Salman, a son of the king and a veteran OPEC insider. The crude oil and bunker fuel markets are also in focus as the 35th Asia Pacific Petroleum Conference, or APPEC , kicks off in Singapore, and following Platts' announcement on launching price assessments for WTI Midland cargoes. In other commodities, the Asian corn market is seeking price direction from the USDA's new crop year harvest report, while the steel market is looking at India's latest steel data for signs of a recovery. Related subscriber note: Platts to launch spot assessments of WTI Midland DES Singapore, N Asia]]></video:description><video:publication_date>2019-09-09T02:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090319-oil-volatility-insight-september</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-03T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nCHQRKyR29TVHkUF3p4MmH</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/090319-oil-volatility-insight-september.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: September outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of September 2019.]]></video:description><video:publication_date>2019-09-03T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>1:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090319-global-oil-demand-growth</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-03T07:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6k3UFeWLewq2ymCRcYAn1N</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/090319-global-oil-demand-growth.jpg</video:thumbnail_loc><video:title>Oil demand growth worries take center stage</video:title><video:description><![CDATA[Oil prices are now 20% below their 2019 high seen in late April. What does the road ahead look like for oil? Mriganka Jaipuriyar , S&P Global Platts Head of News in Asia, explores some of the factors influencing prices and trade flows, including the US-China trade dispute , the changes ahead of IMO 2020 , and geopolitical tensions in the Middle East.]]></video:description><video:publication_date>2019-09-03T07:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/090219-oil-gas-conferences-set-tone-for-september</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-02T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=R2CJCCofQUUtsmc5TBJ44q</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/090219-oil-gas-conferences-set-tone-for-september.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 2-6: Oil and carbon conferences set the tone for commodities in September</video:title><video:description><![CDATA[In this week’s highlights: Asian leaders will be discussing importing oil from Russia with President Vladimir Putin; Carbon capture and storage comes under scrutiny in Oslo; and new guidance on output from the earthquake-prone Groningen gas field is expected from the Dutch government. View Full Transcript In this week's highlights: Asian leaders will be discussing importing oil from Russia with President Vladimir Putin; Carbon capture and storage comes under scrutiny in Oslo; and new guidance on output from the earthquake-prone Groningen gas field is expected from the Dutch government. But first, the oil market is bracing for turbulence as Hurricane Dorian hits the Southeastern US, and the US-China trade dispute continues. Yesterday, a 15% US tariff on more than $125 billion of goods from China kicked in. Meanwhile, China imposed additional tariffs on some US goods, including a 5% levy on crude oil cargoes. In contrast, calm is likely to prevail in Aberdeen, where the North Sea oil industry will hold its biggest gathering of the year - Offshore Europe - from Tuesday. The conference is expected to exude confidence in the ageing oil province. Industry heavyweights such as Total CEO Patrick Pouyanne will discuss new fields bolstering output, including the giant Johan Sverdup oil field offshore Norway. Last week it was announced that the field will start up in October, a month earlier than planned. It is set to become the largest producing oil field in the North Sea by mid-2020. In the UK, industry group Oil & Gas UK should match the sentiment in Aberdeen in its annual economic report due on Wednesday. Second-quarter data shows continued recovery in oil output due to recent field developments, such as Clair Ridge and Catcher. However, Brexit could churn up the waters and we will see whether the industry maintains what has been a fairly low-key stance. Moving away from the North Sea, Russian oil output data for August will be published Wednesday. The data will come out on the same day as President Vladimir Putin hosts the Eastern Economic Forum in Vladivostok. With Indian Prime Minister Narendra Modi and Japanese Prime Minister Shinzo Abe in attendance, Russian oil exports to Asia are bound to be on the agenda. In downstream petrochemical markets, the focus this week will be on the changing outlook for September. Expectations had been for supply to tighten in September in olefin and derivative markets, due to a spate of planned and unplanned maintenance across Europe as the third quarter approaches. However, the fall in the upstream crude market and a slowdown in demand have left downstream markets cautious and olefin markets caught in the middle. That brings us to our social media question: What do you think will drive petrochemical markets in September? Tweet us your replies using the hashtag #PlattsMM. A high-level meeting on carbon capture and storage in Oslo on Thursday will be looking further ahead, than September. The European Commission along with the Norwegian government are hosting the event, which aims to assess the role of CCS in the EU's strategic, long-term vision for a carbon-neutral economy. Despite repeated failures to support demonstration in the power sector, the EC still sees a vital role for CCS in energy-intensive industrial processes and in the transitional phase for producing carbon-free hydrogen. The Dutch economy ministry is expected to shed light on future production limits on the giant onshore Groningen gas field. The ministry should publish the results of work by Dutch gas grid operator Gasunie into the feasibility of lowering the production quota from the field for the next gas year, which starts on October 1st. The quota was provisionally set at 15.9 Billion cubic meters - a big drop from the current level of 19.4. But it could be lowered to as little as 12. As you can see from the chart, output from the field has been dropping more rapidly as the quotas have been cut. A much lower quota for Groningen will make the Netherlands and other parts of Northwest Europe more dependent on imports as soon as the new gas year starts. The economy ministry does not just have to take into account the feasibility of a lower Groningen quota - it also has to weigh the economic and social impact of less domestically-produced gas against the risk of earthquakes caused by drilling at the field. That's it for now. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-09-02T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/090219-us-china-crude-oil-soybeans-trade</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-09-02T02:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MrsHZHa793pqbv9E5XD1Me</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/090219-us-china-crude-oil-soybeans-trade.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 2-6: US-China trade dispute remains on market's radar; Chinese refiners expected to resell US cargoes</video:title><video:description><![CDATA[The week ahead in Asia on S&P Global Platts Market Movers, with refined products associate editor Mark Tan : the US-China trade tension keeps the market on its toes even as fears of further escalation seem to have been abated, Chinese refiners are expected to resell US crude cargoes arriving after Beijing's September 1 tariff deadline, Chinese soybean traders limit buying activities, and demand outlook tepid for Kalimantan thermal coal. View Full Transcript The highlights in Asia this week: Chinese refiners expected to resell US crude cargoes; Chinese soybean traders limit buying activities, and outlook tepid for Kalimantan thermal coal miners. But first, commodity markets continue to eye trade tensions between the US and China, even as earlier fears of the dispute escalating have abated. There have been reports saying that the Chinese government will not immediately retaliate against US President Donald Trump's most recent tariff announcement. Trump had also said that the US and China were meeting at a different level, further downplaying worries of an escalation. Still, over $125 billion of goods from China have been subjected to a 15% tariff rate as of September 1. The tariffs, which apply mainly to Chinese consumer goods, will have its second tranche kick in later this year. On the other side of the dispute, Beijing’s 5% tariff on US crude oil imports were also implemented yesterday. Chinese refiners this week are expected to resell some of the US crude cargoes initially bought for September and October deliveries. These cargoes could go to refiners in South Korea, Thailand, India and Taiwan who are all keen to increase crude imports from the US. Singapore-based traders said seaborne shipments will be tough to resell as prompt cargoes have to be heavily discounted due to the last-minute sale, and it may be cheaper for buyers to simply pay the tariff. This brings us to our social media question for the week: How much US crude do you expect to be resold by Chinese refiners? Share your thoughts with the hashtag PlattsMM. Moving on to agriculture Chinese soybean buyers have slowed down their spot purchases for Brazilian soybeans due to prolonged discussions between the US and China. In addition, the recent inquiries from Chinese crushers for Brazilian new crop 2020 soybeans have stopped as traders sought more direction ahead of trade discussions. And finally, trade tensions have also kept the outlook for thermal coal dim, as a weakened Chinese Yuan as a result of trade tensions have been a drag. Kalimantan thermal coal miners have seen tepid seaborne demand sentiment this week from China, which is one of the largest buyers of thermal coal in the region. While Indian buyers are expected to begin their post monsoon restocking, expectations are for a slow return amid a weakened Rupee and some existing inventories at Indian power plants. Also in thermal coal markets, Australian producers will be starting the negotiation process for annual supply contracts with their Japanese customers for deliveries from October 1. Initial offer prices in the talks are around $80/mt FOB Newcastle for the 6,000 NAR grade of Australian thermal coal. With spot prices for the grade currently trading around $60/mt, last October’s benchmark price of $109.77/mt FOB Newcastle looks out of reach this year.]]></video:description><video:publication_date>2019-09-02T02:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:40</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/082619-us-china-trade-tension</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-26T02:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xjwG5mied7HBpwidkyw9YE</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/082619-us-china-trade-tension.jpg</video:thumbnail_loc><video:title>Washington, Beijing trade dispute escalation spooks markets; analysts expect little change in crude flow from US to China</video:title><video:description><![CDATA[On S&P Global Platts Market Movers in Asia this week, Asia LNG Content Lead Abache Abreu tackles the impact of the US-China trade dispute escalation on crude oil trade, potential export delays for Japanese refiners, and sales opportunities ahead of a refinery shutdown in Indonesia. The upcoming Platts Gas Asia Markets Conference in Singapore also comes in to focus amid high LNG inventories and evolving trading patterns. Related content: China to impose 5% tariff on US crude from Sep 1: State Council US to raise tariffs on $550 billion of Chinese imports by 5 percentage points: Trump Indonesian Pertamina's Sep gasoline imports seen rising to 10-11 mil barrels Japan to impose more controls on exports to South Korea, including oil products Also see: New horizons: The forces shaping the future of the LNG market | Special report LNG & Natural Gas Markets Asia | Event View Full Transcript This week: Japanese refiners brace for export delays, Indonesia readies to step up gasoline imports, and LNG traders gather at Platts Asia LNG Conference. But first, market participants will be closely watching Asian markets Monday following the latest tit-for-tat escalation in the trade tensions between China and the US. The Trump administration Friday announced plans to raise tariffs on Chinese imports by five percentage points after China's announcement early that day that it planned to tax an additional 5% on US crude imports from September. This is the first set of tariffs imposed by China on US crude so far, despite other key US energy products such as LNG already facing a 25% tariff by Beijing since the trade conflict began last year. Analysts said this 5% is unlikely to have a significant impact on the crude oil markets for three reasons: US sales are well diversified, Chinese refiners are not particularly suited to US light sweet, and bilateral oil trade has already declined over trade tension fears. But renewed concerns caused oil futures to plummet Friday, and weighed on global commodity market prices and sentiment. The G7 summit over the weekend failed to offer any reassurance to oil markets. On Sunday, US President Trump appeared to signal regret for his trade conflict with China, only to have the White House reverse his position hours later. Only one of the numerous surprises on a day when markets had hoped for greater clarity or consensus. So for our social media question this week: Will the Trump administration backtrack on its trade spat with China? Share your thoughts with the hashtag PlattsMM. Meanwhile, gasoline suppliers across Asia will be looking for opportunities to boost their sales to Indonesia over the coming days as Southeast Asia's biggest auto fuel consumer plans to ramp up purchases ahead of a planned refinery shutdown next month. Elsewhere, Japan’s decision to delist South Korea from its "white list" will take effect Wednesday, which could cause delays in Japanese refiners' oil product exports to its neighbor. And last but not least, LNG traders will be gathering at Platts Gas Asia Markets conference in Singapore this week, with all eyes on the demand outlook in the region, as plentiful Pacific supply and high inventories continue to weigh on spot prices. Another cargo exchanged hands on the Platts Asian LNG eWindow Thursday, with Vitol and BP agreeing a mid-October spot deal at $4.30/MMBtu. Trading patterns continue to evolve in global LNG markets, as commoditization gathers pace. What lies ahead? Grab a copy of our latest LNG special report, New Horizons, an overview of the forces shaping the LNG industry over the next decade. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-08-26T02:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/082219-chris-midgley-mideast-tensions-trade-conflicts-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-22T14:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rwmm46S3ZF3DU3HGTAnVXX</video:player_loc><video:thumbnail_loc /><video:title>Insight Conversation with Chris Midgley, Global Director at Platts Analytics</video:title><video:description><![CDATA[How are global commodities markets dealing with rising Mideast tensions, multiple trade conflicts and slowing global demand growth? Chris Midgley, global director of S&P Global Platts Analytics, sits down with Beth Evans, S&P Global Platts global director of news, to tell us more.]]></video:description><video:publication_date>2019-08-22T14:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>13:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081919-global-uncertainty-oil-gas-steel-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-19T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8JaNARxoWzETjWHe6c5zkB</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/081919-global-uncertainty-oil-gas-steel-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 19: Global uncertainty taints European oil and gas; steel battles for survival</video:title><video:description><![CDATA[In this week's Market Movers Europe with Nick Coleman : Demand weakness continues to stalk many markets, from oil to petrochemicals. European gas storage facilities are brimming, due partly to uncertainty over Russian supplies through Ukraine. And the future of two European steelmakers hangs in the balance. View Full Transcript In this week’s highlights: Weak demand continues to stalk many markets, from oil to petrochemicals. European gas storage facilities are brimming, due partly to uncertainty over Russian supplies through Ukraine. And the future of two European steelmakers hangs in the balance. The overall theme is the faltering outlook for a range of commodities. Brent front-month crude oil prices continue to dip below the $60 mark, prompting renewed pressure on OPEC and its partners to take tougher action to rein in production. We should get some early indications on the latest Saudi crude exports in a statistical release today from the Joint Organisations Data Initiative. There is also the geopolitical backdrop to keep in mind, including whether tensions surrounding shipping in the Persian Gulf will now ease following Gibraltar’s release of an Iranian tanker; Tehran continues to hold the UK tanker Stena Impero and its crew. And US crude inventories are under scrutiny, with the next data due Wednesday after two successive weeks of increase, which contradicts the normal seasonal trend. These global trends are reflected in steep backwardation in Europe’s gasoline market, with scant gasoline moving out of Europe to the US. Asia is also not pulling gasoline cargoes from Northwest Europe, while deliveries are expected to arrive from the US Gulf Coast at the end of August. The result is greater-than-normal backwardation in the gasoline price curve, which you can see in this chart: For European refiners, one consolation is plentiful supplies of cheap US crude arriving in the region, meaning lower feedstock prices. Valero’s Pembroke refinery in Wales has become a regular buyer of this crude. But in petrochemical markets, despite this cheap feedstock, demand still appears to be tepid, reflecting tough global competition, particularly from US petrochemical manufacturers. There are some pockets of tightness, particularly in Germany, due to planned and unplanned outages at steam cracker units. High-sulphur fuel oil prices are also declining, after appearing remarkably robust in the face of the new curb on high-sulphur fuel oil as a bunker fuel, by the International Maritime Organisation, which comes into force in January. Despite the looming date, supplies of high-sulphur fuel remain plentiful, and the front-month Rotterdam barge crack for FOB high sulphur fuel oil has dropped by more than $10/b since the end of July. We’ll watch to see if that continues this week. Gas markets are also showing weakness, reflecting ample LNG and efforts by European suppliers to build up stored volumes. Europe’s TTF day-ahead price is barely above its 10-year low, seen in early July, of 9.30 euros per megawatt-hour. Building up gas stocks has been a particular priority for Hungary and its neighbours due to uncertainty about gas shipments through Ukraine once Gazprom finishes building its Nord Stream 2 pipeline under the Baltic, at the end of the year. You can see how early the summer build-up of stocks has taken place in the chart here. S&P Global Platts Analytics sees the near-term price risk as heavily weighted to the downside. But we also expect some impact from heavy maintenance in Norway, as both the Kollsnes processing plant and the giant Troll field are due to be out of action from August 24 into early September. As a footnote, new EU rules come into force on Thursday limiting coal power plants’ access to capacity payments by national governments -- all part of an EU drive to squeeze coal out of the system. Underlying weaknesses in steel markets will also play out this week in the battles for survival of two European steel manufacturers, British Steel and Poland’s Huta Czestochowa. The British company appeared to win a reprieve last week when Turkish pension fund OYAK signed an exclusivity agreement aimed at a purchase. Meanwhile the Polish steel plate producer halted operations in May and filed for bankruptcy, but there are reports of discussions – late in the day – with global company Liberty Steel that might just save the Polish company before a court rules on bankruptcy at the end of the month. And so our Social Media Question this week is: What would it take to ensure a future for Europe’s steel manufacturing industry? Tweet us your response with the hashtag #PlattsMM That’s it for now. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-08-19T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/081919-us-china-trade-tariffs-oil-soybeans</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-19T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CJMEYGC6LjXY1kVwCh4gXA</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/081919-us-china-trade-tariffs-oil-soybeans.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug. 19-23: China veers from US crude as trade tension persists</video:title><video:description><![CDATA[On S&P Global Platts Market Movers this week, managing editor Jeffery Lu highlights the continuing trade spat between the Washington and Beijing, and how this has affected China's appetite for supplies of US crude and soybeans , among other commodities. Also in focus: LNG winter restocking for approaches in North Asia, steel mills hope to see improved margins if iron ore prices continue to fall, and Indonesian thermal coal prices may find price support after a major producer reportedly declared force majeure last week. View Full Transcript The highlights in Asia this week: the LNG market’s winter restocking approaches, iron ore price and steel mill margins in focus, and Australian thermal coal producers feel price pressure. But first, energy and commodity markets continue to keep a close watch on the US-China trade dispute that risks further escalation in coming weeks. The Trump administration last week announced plans to delay to December 15 the imposition of new tariffs on about $156 billion worth of goods from China. Tariffs on other goods are expected to go into effect from September 1. As recently as Friday, the Chinese government reiterated that it would take measures to respond to the new tariffs on Chinese goods, which Beijing says violated a truce agreed in July. US crude is still in the crosshairs as it remains one of the key imports that have not been targeted by China yet. But Chinese oil traders have already been avoiding purchases of US crude due to the volatile tariff situation. Market observers said US soybean offers don’t seem to spark interest in Chinese soybean buyers. The Chinese consumers are still looking to Brazil for soybean purchases to cover their near-term demand, and prices of soybeans are expected to stay firm this week on tightening Brazilian stock. This brings us to our social media question for the week: Do you expect China to announce retaliatory tariffs anytime soon? Share your thoughts with the hashtag PlattsMM. Moving on to LNG, market participants expect a persistent contango for forward spot prices over September-October as the winter restocking season approaches. But this contango may be limited by prompt demand from Japanese utility companies like Tohoku Electric and JERA as temperatures remain near record highs in Japan over the weekend. In metals, steel mills will be keeping an eye on iron ore prices, which have been declining in the past few weeks. This is important for market participants to watch because continued decline could mean a change in the direction of the steel mill margins, which are already in a negative territory. S&P Global Platts published steel mill margin is currently estimated to be a negative 23 dollars per metric ton for hot rolled coil and a negative 5 dollars per metric ton for rebar. Meanwhile, benchmark metallurgical coal prices are currently at a 2 year low, and traders will keep an eye on the Indian demand that is expected to start to come back to the market this coming week. Market participants will also watch the development of China’s port-related restrictions for price directions. The Australia FOB alumina price fell to a new low since 2017. Spot trade was thin amid the western summer holidays, and as Chinese importers shied away after the yuan broke below 7 against the US dollar. Market players will be watching if the downtrend continues this week. And finally thermal coal, Australian producers are feeling the pressure. Spot Newcastle prices slump to their lowest since mid-2016 due to depressed demand from China and Japan. Japan is using fewer coal, and more gas and renewables for power generation, China’s demand continue to be affected by reported its import restrictions. Meanwhile, reports of force majeure declared by a major Indonesian producer may support the price of coal from Kalimantan in Indonesia. Market sources said force majeure was declared after low water levels in the Kedang Kepala River in East Kalimantan affected barging. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-08-19T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081519-us-lng-global-pricing</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-15T21:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bhsfPu2G2TNUigSxFHRNV3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/081519-jowdy-us-lng-global-pricing.jpg</video:thumbnail_loc><video:title>As US liquefaction projects come online, lower European and Asian prices are possible</video:title><video:description><![CDATA[The large-scale injection of US supplies to global LNG markets in a relatively short period of time has significantly contributed to lower gas prices around the world. With the last two large-scale US liquefaction projects in the final commissioning stages, the specter of even lower European and Asian pricing hovers beyond the coming winter. Madeline Jowdy , senior director, global gas and LNG for S&P Global Platts, examines the forces shaping the market.]]></video:description><video:publication_date>2019-08-15T21:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081219-global-economy-oil-market-gas-storage-injections</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-12T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9zB8Cn7HXGFEvbFazMbih5</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/081219-global-economy-oil-market-gas-storage-injections.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 12: Global economy concerns keep oil market on alert; gas storage injections in focus</video:title><video:description><![CDATA[In this week's Platts Market Movers with Sarah-Jane Flaws , global economy concerns have translated into downgrades in oil price forecasts and demand, while the discount in prompt gas prices is incentivising storage injections. New EU emission limits come into effect this week, as Germany seeks to phase out coal. Finally, trans-Atlantic trips are expected to continue to be attractive to ship-owners in Q4. View Full Transcript In this week's highlights: Concerns about the global economy will keep the oil market on its toes; Saudi Aramco is set to hold first earnings call; New emissions rules in Europe are set to limit coal-fired power plants This week the oil market is set to remain under pressure as concerns around the global economy cause analysts and agencies to downgrade demand and oil price forecasts. Participants will be on high alert for further verbal intervention or talk of policy responses from Saudi Arabia and its OPEC and non-OPEC allies. In that context, Russian energy minister Alexander Novak will meet his Iranian counterpart Bijan Zanganeh in Sochi, Russia, with the OPEC and non-OPEC deal under discussion along with the Caspian energy cooperation. State oil company Saudi Aramco will hold its first earnings call in a bid to boost transparency as the kingdom plans to offer a stake in the company in the world's biggest stock market listing by 2021. Saudi Arabia values the company at 2 trillion dollars. Aramco was recently merged with petrochemicals giant Sabic. Aramco is the world's most profitable company and has more than 260 billion barrels in reserves, but the valuation is in doubt, especially with oil prices under pressure. Talking of prices under pressure, in European gas, the current discount in prompt prices to September prices should incentivize the injection of more gas into storage in the coming weeks. Day-ahead prices at some of the key European gas hubs are trading at a discount of more than 2 euros a megawatt-hour to September prices. However, the problem is European gas storage sites, which have filled more quickly than usual over the summer, leaving limited capacity. Stocks in Austria, Belgium, France, Germany, Italy and the Netherlands combined are nearly 26% above the five-year average. A pick up in August injections would hit demand for gas to store in September. This could be bearish for prices. In power, new EU rules limiting coal power plants' access to capacity payments apply from Thursday. The rules set emission limits which will effectively block new coal plants from receiving capacity payments from national governments, unless contracts are concluded before the end of this year. The new rules come into force one day after Western Europe's largest coal-fired generator RWE is set to report second-quarter earnings on Wednesday. Market interest will be focused on the German utility's evolving production strategy as the country seeks to phase out coal. RWE is under pressure to close 3 gigawatts of lignite or brown coal-fired plants by 2022, with compensation talks with the government set to conclude in the autumn. Traders will also be keeping an eye on German GDP data Wednesday to see if Europe's biggest economy did indeed shrink in the second quarter. Adjusted power demand fell over 3% on the year in the first half of 2019. This takes us to our social media question: What impact do you think the German GDP data will have on the commodities complex? Tweet us your reply under the hashtag #PlattsMM And finally, in the dry bulk shipping market, trans-Atlantic trips are expected to continue to be attractive to ship-owners. The short duration means the route still has an advantage ahead of bullish predictions for fourth-quarter freight rates. This could have the potential ramifications of lowering short-route freight rates in the Atlantic as the availability of ships will outweigh that of cargoes. However, ship-owners will likely be well positioned to take longer, more lucrative, fixtures into the fourth quarter. This will also come at a time when rates are expected to be higher ahead of the reduction in sulfur emissions limits from 3.5% sulfur to 0.5% for shipping, known as IMO 2020. The new rules effective from the start of 2020 are expected to raise fuel costs. That's it for this week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-08-12T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-snapshot/080819-oil-volatility-snapshot</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-08T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hysZzKvsJRG69Bc9XYtyqN</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/080819-oil-volatility-snapshot2.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: August outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts Lead Quantitative Analyst, outlines his expectations for Brent crude oil volatility during the month of August 2019. View Full Transcript The Dated Brent market experienced a good deal of volatility in July. Nevertheless, despite the market uncertainty, good arbitrage conditions managed to push many cargoes of Forties towards the Far East. On the other hand, though, North Sea crudes were pressured by competitive US barrels trading at a discount to BFOE grades. In fact, the Dated Brent CFD forward curve went from a steep backwardation in the first 15 days of July to a contango in the second half of the month. Internationally, geopolitical concerns took the center stage even in July. In fact, China has reported its slowest GDP growth rate since 1992, the trade conflicts between Washington and Beijing are still unresolved, and the International Monetary Fund has revised down by 0.1% its global growth projections for both 2019 and 2020 to 3.2% and 3.5% respectively. Furthermore, the slow global growth forced the US Federal Reserve to cut its base rate by 25 basis points and the current macroeconomic scenario will certainly have a significant impact on Brent volatility. Thank you for your interest. For a more comprehensive look at oil market volatility, please email us at pl_risk@spglobal.com]]></video:description><video:publication_date>2019-08-08T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>01:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/080519-oil-market-reports-earnings-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-05T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1Xq6auePv6KhLp8mJXzn88</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/080519-oil-market-reports-earnings-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Aug 5: Oil market reports expected; difficult earning season for steel</video:title><video:description><![CDATA[In this week's Platts Market Movers with Mark Pengelly , oil markets are on the lookout as the IEA is to publish its monthly report on Friday, and Platts OPEC survey is expected on Tuesday. Steel giant Thyssenkrupp's quarterly result will shine light on a difficult earning season for steel. EU carbon prices continue trending up, as thermal coal market is oversupplied. Finally, the sugar market closely watches the results of the first round of sugar beet sampling announced this week. View Full Transcript In this week's highlights: A difficult earnings season for Europe's steelmakers continues; carbon emissions prices are set to remain buoyant; and will sugar beet tests leave a sweet or a sour taste in the market's mouth? But first, the oil market will be eying the publication of the International Energy Agency's monthly oil market report Friday for indications of market direction. It comes as supply and demand are both under pressure. US President Donald Trump announced last week he would be levying a 10% tariff on 300 billion dollars' worth of Chinese goods from September 1. He threatened future levies unless Chinese President Xi Jingping accelerates steps to reach a trade deal. The comments triggered the sharpest one-day drop in crude prices in four years on demand fears. Elsewhere, there's reduced production from OPEC and continued uncertainty around maritime security in the Strait of Hormuz. Iran said it had seized a vessel carrying 700,000 liters of smuggled fuel in the Persian Gulf Sunday. S&P Global Platts may shed some light on the supply outlook with the publication of its monthly OPEC survey Tuesday. This should give some indication as to whether Saudi Arabia is cutting any further and the impact of an outage at the key Sharara field on Libyan production. In European steel, earnings season continues this week with results generally affected by weak demand as well as high imports and costs. The main focus will be on engineering and steel giant Thyssenkrupp when it publishes its earnings Thursday. The market will be looking for signs of how the company's strategy will develop after the European Commission blocked its plans to merge with Tata Steel Europe in May on competition grounds. Any clues from ThyssenKrupp on when it might hold an IPO for its elevators business will be eagerly sought. Analysts have described the unit as the German company's "crown jewel." As far as steel goes, CEO Guido Kerkhoff said the company may seek partners for some operations after the proposed merger with Tata fell apart. One cost Europe's steelmakers have to worry about is the price of emissions allowances. EU allowance prices hit a 13-year high in July, and traders will be watching closely this week to see if prices break above the psychologically important 30 euros a metric ton mark. The carbon market faces tight supply in August, with governments set to cut auction supply by 56% from July. Total primary supply in August is expected to drop to a little over 29 million metric tons from slightly over 67 million in July. Higher carbon prices are already pushing Europe's power generators away from coal and lignite toward cleaner fuels, including natural gas, wind, solar, nuclear and hydroelectric. No surprise then, that the European thermal coal market is oversupplied. This week, the coal market will be closely watching imports of Russian coal from the Baltic region. Tighter supply is expected, which market sources say could lift thermal coal prices from close to multi-year lows. The supply cut is understood to be a result of Russian export prices being close to, or even below, the cost of production. Sources say this could be part of a wider supply-side rationalization in the global thermal coal market. Russian coal accounted for more than half of imports into the Amsterdam-Rotterdam-Antwerp hub in 2018, so any cut from the region should provide some support. And finally, the sugar market will be closely watching the results of the first round of sugar beet sampling, which will be announced this week. Tough growing conditions during the recent heatwave have threatened to reduce sugar beet yields, in a year in which European planted area has also been reduced. If yields do fall on the year, it could leave production below the 17.6 million metric tons produced in the 2018-19 season, pushing the market into a deficit. MARS, the European Commission's crop monitoring unit, has already forecast sugar beet yields will be 1.7% below the five-year average. That's 73.9 metric tons a hectare. That's it for now. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-08-05T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/080519-asia-commodities-china-us-trade-iran-ship</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-08-05T02:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ziR4W79bQFVWCWZRZWcEGR</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/080519-asia-commodities-china-us-trade-iran-ship.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 5-9: China to take measures vs new US tariffs, Iran claims seizing foreign ship in Persian Gulf</video:title><video:description><![CDATA[The highlights in Asia this week, with S&P Global Platts editor Miranda Zhang : commodity markets are on alert as participants wait for China's countermeasures after US President Donald Trump announced a 10% tariff on $300 billion worth of Chinese goods from September 1, Iran claims to have seized a foreign vessel at the Persian Gulf, Indonesia is pushing back on the implementation of the International Maritime Organization's 0.5% sulfur cap regulation, and petrochemical markets expect the spread between paraxylene and mixed xylene to remain below breakeven levels. View Full Transcript The highlights in Asia this week: tensions heat up as Iran claims to have seized another tanker, Indonesia pushes back on IMO 2020, and spread between paraxylene and mixed xylenes seen to remain below breakeven levels. But first, commodity markets await China’s countermeasures after US President Donald Trump announced last week that he would impose a 10% tariff on the remaining 300 billion dollars worth of Chinese goods, starting September 1. The oil market in particular will keep an eye on whether crude oil trade flows will be affected. So this leads us to our social media question this week: do you expect China to slap tariffs on crude oil imports from the US? Share your thoughts with the hashtag PlattsMM. Latest data from China’s General Administration of Customs show that Beijing imported 796,000 metric tons of crude from the US in June. China's crude oil imports stood at 9.7 million barrels per day in June. Asian oil buyers will be keenly awaiting China’s July preliminary trade data release scheduled on Thursday to get cues on China’s prospective appetite for oil products in the coming months. Meanwhile, heightened tension in the Middle East is another factor leading markets to focus on trade flows. Iran claimed on Sunday that it had seized a small foreign ship carrying 700,000 liters or 4,400 barrels of fuel oil in the Persian Gulf on Wednesday. Iran has repeatedly threatened to close or disrupt the Strait of Hormuz should US sanctions block its oil shipments. Hormuz is a critical chokepoint through which about 30% of the world's seaborne oil transits. In the bunker market, Indonesia has decided to allow domestic shipping to continue burning 3.5% sulfur fuels after January 1, 2020 - the day when the International Maritime Organization is scheduled to implement the 0.5% sulfur cap on marine fuels. Indonesia’s decision has raised concerns about unfair competition and some observers have said this could potentially lead to non-compliance to the IMO 2020 rule on a wider scale. Industry participants will be monitoring the market to see if other countries will follow suit. In petrochemicals, market participants expect the spread between paraxylene and isomer-grade mixed xylene to hover around the 100 dollar per metric ton level this week. This is after the spread hit an eleven-year low of 92 dollars and 42 cents per metric ton on July 29. With increasing PX supply in the region and a firm demand for prompt MX cargoes, PX prices are expected to remain underpressure. The breakeven level for non-integrated producers in the region is between 160 and 180 dollars per metric ton. And finally in agriculture, the fall in Chicago traded corn futures last week marked the end of market lull in South Korea, which lasted almost a month. Platts CFR Northeast Asian prices shed 10% within 2 weeks and the drop saw a slew of queries from the buyers at the end of last week. South Korean buying groups were seeking close to 400,000 mt of corn for December delivery. Sellers are expecting the rest of Southeast Asian buyers to also start looking to book more cargoes in the coming week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-08-05T02:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/072919-european-low-gas-prices-markets-under-pressure</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-29T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fLDrpt6RRb63Wirtzg61xx</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/072919-european-low-gas-prices-markets-under-pressure.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 29-Aug 2: European low gas prices have markets under pressure</video:title><video:description><![CDATA[In this week's Platts Market Movers, with associate editor Gary Clark , Nord Stream gas pipeline is set to return from its maintenance shutdown as gas prices in Europe reach a 10-year low, with thermal coal prices facing considerable downward pressure due to cheap gas and shipping delays. Middle distillates traders will be watching the diesel arbitrage to Europe, and steelmakers announce earnings this week amid weak demand and high production costs. View Full Transcript In this week's highlights: European thermal coal prices will be under pressure; oil products face logistical challenges in the Turkish Straits; and market weakness could take the shine off steel sector earnings. But first: the 55-billion-cubic-metres-per-year Nord Stream gas pipeline from Russia to Germany is set to return from its annual two-week maintenance shutdown on Wednesday. That will bring the strategic link to Europe back into service at a time of very low gas prices. During the outage, Russia's Gazprom has supplied its European customers with more gas via the Ukraine route, as well as through storage withdrawals from its key European storage sites. Sales on Gazprom's electronic sales platform have also been subdued during the Nord Stream maintenance. With Nord Stream's return, the European gas market will be watching closely how much Russian gas flows to Europe in the coming weeks, with European gas storage already well stocked and coal-to-gas switching in the power sector maxed out. Sales on Gazprom's electronic sales platform could also recover once Gazprom has its full suite of export options open once again. With European gas prices back at 10-year lows, more Russian gas would likely add to the bearish market sentiment. As you can see on your screen, the Dutch TTF natural gas price has fallen to less than €10 per megawatt-hour from over €22 per megawatt-hour at the beginning of the year. That brings us to our social media question: What could trigger a resurgence in European gas prices? Tweet us your thoughts with the hashtag #PlattsMM. While we're on the subject, weak natural gas prices are also expected be reflected in earnings this week, with BP reporting on Tuesday, and Shell to follow on Thursday. Total and Eni have already reported their earnings, and pointed to weak natural gas prices as a key driver of lower profits. Also feeling the effect of low gas prices is European thermal coal. European thermal coal prices will be facing considerable downward pressure this week as cheap natural gas prices, surging freight rates and bearish indicators from China and India are all keeping demand low. In addition, low water levels on the Rhine could create a bottleneck and cause coal stockpiles in the Amsterdam-Rotterdam-Antwerp region to balloon. That would add further downward pressure on prices. Trade sources expect the market to fall back below $60 per metric ton, after hitting this level only last week. From coal to oil products now. Strong demand from Egypt, Libya and Tunisia, combined with delays in the Turkish Straits, could further tighten Mediterranean ultra-low sulphur diesel and gasoil cargo markets this week. Delays at the Turkish Straits have been a recurring theme since new shipping rules were implemented there in September last year. The delays have been acute in recent days. The total passage time through the Dardanelles and Bosporus for northbound and southbound tankers is currently two to four days. The shipping rules require tankers over 250 meters in length to have compulsory pilotage and a tug escort in the Dardanelles. The same applies to tankers over 200 meters in length in the Bosporus. Speaking of middle distillates, traders will be watching the diesel arbitrage to Europe this week. Europe seems likely to pull more diesel from the US, despite soft market sentiment on both sides of the Atlantic. While the diesel arbitrage from Asia to Europe is firmly shut, the diesel arbitrage from the US Gulf Coast to Europe looks open. The spread between NYMEX heating oil futures and ICE low-sulphur gasoil futures was trading low, at around 3.87 cents per gallon on Friday. That is expected to attract cargoes from the US to Europe, keeping diesel supply healthy, and putting Northwest European diesel cash premiums under pressure. In the metals markets, ArcelorMittal and Evraz are among steelmakers set to announce second-quarter earnings this week. Weak demand, persistently high iron ore, coking coal and carbon costs, and import levels which have approached nearly one quarter of total consumption are expected to take their toll on European producers. A published consensus of market analysts is that the world's biggest steelmaker ArcelorMittal will report earnings of $1.53 billion for the second quarter. That's down from $3.1 billion achieved in the second quarter of 2018. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-07-29T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072919-asia-commodities-us-china-trade-talks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-29T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=psDSRNXPgP9td1yeWnean3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/072919-asia-commodities-us-china-trade-talks.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jul 29-Aug 2: US, China resume trade talks in Shanghai</video:title><video:description><![CDATA[This week's highlights in Asia on Platts Market Movers, with S&P Global Platts Quality and Digital Editor Nurul Indriani Darni : Top negotiators from the US and China will meet in Shanghai this week to cover issues including non-tariff barriers, agriculture, and intellectual property, summer heatwave across northeast Asia boosts power generation for coal plants, Asian paraxylene market eyes the August Asian Contract Price Settlement, and seaborne thermal coal grapples with uncertainty over further Chinese import curbs. View Full Transcript This week: Summer heatwave across northeast Asia boosts power generation for coal plants, Asian paraxylene market eyes the August Asian Contract Price Settlement, and seaborne thermal coal grapples with uncertainty over further Chinese import curbs. But first, top US and Chinese negotiators will meet in Shanghai on Tuesday and Wednesday to cover issues including non-tariff barriers, agriculture, trade deficit, intellectual property, forced technology transfer and how any deal is enforced. Washington has recently announced plans to exempt 110 items of Chinese industrial products from additional tariffs and expressed willingness to encourage US companies to continue supplies to Chinese enterprises. Chinese enterprises, on the other hand, have inquired for US agriculture products and applied for tariffs waivers from Beijing. So this leads us to our social media question this week: Will the Shanghai meeting between the US and China offer a glimmer of hope for an end to their year-long trade dispute? Share your thoughts with the hashtag PlattsMM. Meanwhile, a summer heatwave across northeast Asia has driven power generation for coal plants to a higher level, resulting in more coal burn in China, Japan and South Korea. High temperatures are forecast to continue into the week. If they cause a sustained period of strong coal consumption, Asian power companies may return to the spot market to replenish their stockpiles of thermal coal. Newcastle 6,000 kcal/kg NAR thermal coal prices may be set for a rebound this week after sinking back to $70/mt FOB. Still on coal, seaborne traders are still grappling with uncertainty over further Chinese import curbs, despite small pockets of Chinese seaborne demand expected this week, due to warmer weather and higher daily consumption. Moving on to petrochemicals, Asian paraxylene players will be eyeing the August Asian Contract Price settlement this week. The last major settlement was seen way back in March. Term contract prices in Asia use a discount to the average of 50% of the ACP value and 50% of the monthly Platts CFR Taiwan/China spot marker average as benchmark. In the event of a non-settlement, the formula converts to 100% spot pricing. That's it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-07-29T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072519-met-coal-market-insight</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-25T10:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8VqsNrTmBBJqWbmbtn7h8L</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/072519-met-coal-market-insight.jpg</video:thumbnail_loc><video:title>Seaborne metallurgical coal market under pressure</video:title><video:description><![CDATA[Jeffery Lu , metallurgical coal markets managing editor at S&P Global Platts, examines state of the seaborne met coal market amid bearish fundamentals and government interventions.]]></video:description><video:publication_date>2019-07-25T10:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/072219-middle-east-tensions-oil-markets-hormuz</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-22T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=T5RmoBgsu3pykCd64rKp4w</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/072219-middle-east-tensions-oil-markets-hormuz.jpg</video:thumbnail_loc><video:title>Market Movers Europe, July 22-26: Middle East tensions keep oil markets on edge</video:title><video:description><![CDATA[In this week's Platts Market Movers, oil markets remain on edge after Iran seized a UK-flagged tanker in the Strait of Hormuz. Steel scrap freight costs are expected to skyrocket, and the petrochemicals markets monitor water levels on the Rhine. Meanwhile, the European heatwave sparks concerns among power traders regarding nuclear reactors in the south of France . View Full Transcript In this week’s highlights: The effect of high freight rates on scrap imports by Turkey will be eyed by steel traders; and hot, dry weather across Europe will preoccupy broad swathes of the commodity complex. Oil markets remain on edge after Iran seized a UK-flagged tanker in the Strait of Hormuz on Friday. About 30% of the world's seaborne crude travels through the strait. Foreign Secretary Jeremy Hunt is expected to outline the UK government’s response on Monday. He has already ruled out a military response. In the meantime, the government has asked ships with UK interests to stay out of the area for an interim period. The tanker seizure is the latest in a series of security incidents involving Iranian forces and shipping in the Persian Gulf. Iran has denied any wrongdoing. Hours before seizure of the Stena Impero, the US announced it is setting up a maritime coalition to protect shipping in the region and sending troops to Iran’s regional rival, Saudi Arabia. The tensions in the region have been pushing up oil prices, but rises have been capped by what many see as a slightly bearish demand side. And that brings us to our social media question: Do you think it is the threat to supply or demand which is greater in the oil market? Tweet your replies under the hashtag #PlattsMM. In addition to geopolitics, oil and gas markets will be watching what major oil and gas companies have to say in their quarterly results. Total and Norway’s Equinor will be leading the pack on Thursday, and Italy’s Eni on Friday. The earnings statements will be sifted through for updates on some specific issues, including Total’s plans to buy Anadarko Petroleum’s African assets for nearly $9 billion. The assets include a prized LNG project in Mozambique, but the deal is conditional on Occidental Petroleum first buying Anadarko, then selling the African portfolio to Total. And while the oil markets are steeling themselves for the news flow, steel scrap markets expect to take a hit this week as freight costs skyrocket in the Mediterranean and Black Sea. As you can see from the chart, Supramax time charter rates have almost doubled since the start of July as long-term time charter deals have reduced the numbers of spot ships available to scrap exporters. Already, some sellers are gearing up to increase their offers for cargoes into Turkey and other deep-sea import markets to pass on the higher costs. And shipping costs will also be on the minds of the petrochemicals and barges markets as they monitor water levels on the Rhine. Levels at Kaub, a key chokepoint in Germany, have recently fallen below 200 centimeters to hit 172 centimeters on Friday. They are expected to fall to 145 centimeters by Tuesday. Barges are unable to load fully when levels at Kaub fall to around 100 centimeters. When the Rhine is that low there is usually an oversupply of imported petrochemicals such as methanol in the Amsterdam-Rotterdam-Antwerp port hub as it becomes a struggle to take volumes up the river to the inland market. Concern about the level of the Rhine has also driven up barge freight rates on the river because demand from traders transporting diesel, gasoline and jet fuel inland has grown as they try and pre-empt potential transport bottlenecks. Staying on the river bank, but moving to France, the availability of nuclear reactors along the Rhone and Garonne in the south of the country will be on the minds of European power traders as a heatwave is forecast. Reduced flows and rising water temperatures could mean restrictions being placed on their operating rates. Utility EDF has said one reactor may have to ramp down 30% this week and has warned of restrictions elsewhere in the region. Any reduction in nuclear supply will come against the backdrop of an expected heatwave boosting demand. System operator RTE is forecasting peak demand close to record highs for three days this week. And finally, moving on to dry land, in fact very dry land, the European Commission's crop monitoring unit MARS will release its July Bulletin Monday. Market participants will be closely watching for any downward revisions in crop yield estimates following the recent dry, hot weather in Europe. A downward revision could support prices for both rapeseed oil and the RME biodiesel derived from it. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-07-22T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/072219-jerome-leprince-ringuet-total</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-22T06:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=w9UoyafPpRWYhU8iR8AkDP</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/072219-jerome-leprince-ringuet-total.jpg</video:thumbnail_loc><video:title>Insight Conversation with Jerome Leprince-Ringuet, Total Marine Fuels</video:title><video:description><![CDATA[The International Maritime Organization's global sulfur limit rule for marine fuels, starting January 1, 2020, is set to usher in significant changes and daunting operational costs, calling for extensive planning among different stakeholders in the maritime industry. The shipping industry has had years to prepare for tighter emissions standards coming into force next year, and it is in the coming months when much of their planning will be translated into action. In this Insight Conversation, S&P Global Platts Editor Surabhi Sahu interviews Total Marine Fuels Global Solutions Managing Director Jerome Leprince-Ringuet to find out more about the changes and challenges that IMO 2020 entails. Related IMO 2020 special reports: Turning tides: The future of fuel oil after IMO 2020 Into the storm: How will shipping cope with fuel bills from IMO 2020? A sea of challenges: The impact of IMO 2020 on petrochemicals]]></video:description><video:publication_date>2019-07-22T06:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>13:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072219-asia-commodities-iran-hormuz-oil-lng-ewindow</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-22T03:36:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1WQseHnqrjeCLQG4WGFpbk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/072219-asia-commodities-geopolitics-iran-hormuz-oil-imports.jpg</video:thumbnail_loc><video:title>Market Movers Asia, July 22-26: Oil buyers watch developments in Mideast as geopolitical tensions rise</video:title><video:description><![CDATA[This week on S&P Global Platts Market Movers Asia, petrochemicals senior editor Melvin Yeo talks about how Asian oil importers are closely watching developments in the Middle East , including potential trade flow disruption as tension escalates, the latest in China's port policies and their impact on thermal coal trade, as well as the upcoming launch of the Platts eWindow for LNG on July 26.]]></video:description><video:publication_date>2019-07-22T03:36:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071619-russian-gas-pipelines-gazprom-novatek</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-16T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aVxWsxnH3Fw42SQPcVWPAP</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/071619-russian-gas-pipelines-gazprom-novatek.jpg</video:thumbnail_loc><video:title>Russian Gas in Europe: More Than Pipelines</video:title><video:description><![CDATA[Russian gas, flowing in by both land and sea, has dominated Europe’s supply mix this summer. Given economic and political motivations, we do not expect these flows to abate, a dynamic that has already begun to push LNG away from European markets. View Full Transcript Despite European gas prices languishing at their lowest levels in over a decade, Russian gas has continued to stream into European markets by both land and sea, highlighting a volume over value strategy that is pushing some LNG out of Europe’s supply mix. By land, record Russian pipeline exports are being both pulled and pushed into Europe. On one hand, Central and Eastern Europe’s drive to fill storage before the end of the Russia-Ukraine transit agreement is pulling in robust levels of Russian pipeline gas. In Hungary, for example, Q 2 Russian gas imports are up more than 30% y/y. Simultaneously, in Northwest Europe, lower costumer nominations have been more than offset by sales on Gazprom’s new secondary sales platform, the ESP, where gas is offered on par or even slightly below European hub prices, representing an active choice made by Gazprom to push as much volume into Europe feasible. This is only half the story though. When talking about this year’s push of LNG into Europe, conversations has overwhelmingly revolved around US LNG. Yet, looking at the numbers, it is actually Russian LNG, which has been the fastest growing source of European LNG imports. Despite being marketed as a projected aimed at Asia, volumes from Novatek’s Yamal project have made up over 18% of total European LNG imports this year, up from 0 eighteen months ago. In the process, this has eaten steadily into Qatari and Algerian market share. Last summer this wave of Russian cargoes was partially by offset by re-exports to Asia. This year, tight global spreads have limited re-exports, keeping pressure on European markets. Given our expectations for relatively tight spreads and rising shipping costs in the near term, this bearish pressure is likely to hold until Winter. Widening spreads are always an upside risk though, and would alleviate some pressure from European markets through reloads. What does this all mean for European markets? Well, Gazprom’s volume over value strategy is effectively forcing LNG out of the European supply stack. Indeed, European LNG imports, especially in the Northwest, have steadily declined since May. Despite this, given its proximity and relatively low –cost, Russian LNG will not be the supplier budging. Instead, we expect US LNG, now firmly priced out of European markets, to begin reorienting toward more premium markets in Asia. That said, with Russian pipeline gas and LNG still streaming into Europe, downside pressure on European hub prices isn’t going anywhere and will continue to push US LNG toward Asia. It is there that seasonal demand must soak up global supply growth if LNG markets are to avoid the threat of shut later this year. Thanks for watching. For more Platts insight, visit spglobal.com/platts]]></video:description><video:publication_date>2019-07-16T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/071519-market-movers-europe-persian-gulf-nord-stream-eu-steel-safeguards-barrick-gold-acacia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-15T11:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p= ALhrSRi2ye7pqHVYoDbFUu</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/071519-market-movers-europe-persian-gulf-nord-stream-eu-steel-safeguards-barrick-gold-acacia.jpg</video:thumbnail_loc><video:title>Market Movers Europe, July 15-19: Oil and distillates markets watch out for geopolitical risks</video:title><video:description><![CDATA[This week, oil markets will be watching the Persian Gulf intently after a British tanker was caught up in tensions over Iran. Meanwhile, the Nord Stream gas pipeline from Russia to Germany is to begin its annual two-week maintenance shutdown on Tuesday, and proposals for changes to the EU’s steel imports safeguards system are due Monday. Finally, Barrick Gold has until July 19 to sweeten its offer for UK-based Acacia Mining. View Full Transcript In this week's highlights: Oil and distillates markets watch the seas and the skies; the EU debates metals imports and climate policy; a key Russia-Europe gas link closes; and the deadline is approaching for a takeover in the gold industry. The oil markets will be watching the Persian Gulf intently this week after a British tanker was caught up in tensions over Iran, raising fears about security of shipping in the region and increasing the cost of maritime insurance. These tensions are compounding supply uncertainty caused by the onset of the US hurricane season. Traders say European diesel and jet fuel prices for the week ahead are rising on the prospect of logistical issues caused by extreme weather along the US Gulf Coast. And it won't be just oil product traders who will be watching the prospects for imports. Proposals for changes to the EU's steel imports safeguards system are due Monday under a review with results to be published in September and any revisions taking effect October 1. The review has developed into a battle between traders - who favor a greater liberalization of steel imports - and European mills, represented by steel association Eurofer, who are strongly advocating a tightening of the rules. Steel mills as well as whole swathes of European industry will look to Brussels again on Tuesday when the European Parliament votes on the next European Commission president. Sole candidate Ursula von der Leyen wants to raise the EU's target for cuts in carbon emissions by 2030 to 50% of 1990 levels from 40%. She also wants to extend the EU's Emissions Trading System to aviation, shipping and potentially road transport. This would cap EU oil demand and boost demand for alternative fuels. On Thursday Germany's climate cabinet is set to debate a national carbon tax on sectors outside the ETS. Germany's 2030 climate targets are to be set down in law, with key decisions expected in September. The EU's 50% reduction target takes us to our social media question for the week: How achievable is a 50% reduction in CO2 by 2030? Tweet us your replies with the hashtag #PlattsMM. Moving back to fossil fuels, the 55 billion cubic meters a year Nord Stream gas pipeline from Russia to Germany is to begin its annual two-week maintenance shutdown on Tuesday, reducing the capacity of the strategic gas link to Europe to zero until July 30. The shutdown will force Russian gas giant Gazprom to supply its customers through increased flows via Ukraine and from its storage sites in Europe, which could have a bullish impact on prices. During last year's two-week maintenance, Gazprom flowed gas via Ukraine almost at the route's maximum capacity, while its own storage facilities in Austria and Germany switched from injections to withdrawals to help meet customer nominations. Finally, in precious metals, major Canada-based gold miner Barrick Gold has until July 19 to sweeten its offer for the 36.1% of shares it doesn't already own in UK-based Acacia Mining. In what has become an acrimonious process, Barrick's latest offer stands at 196 pence a share. That's dismissed as undervalued by Acacia's hedge fund shareholders, who are holding out for 271 pence. Acacia is still operating profitably at its gold mining operations in Tanzania, despite a government ban on gold concentrates exports and the imprisonment of some of its employees on alleged tax evasion charges. These are matters Barrick would like to see resolved. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-07-15T11:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/071519-asia-commodities-china-gdp-bunker-imo-2020</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-15T03:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NgAvUyNk35vTgQ1jGux4id</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/071519-asia-commodities-china-gdp-bunker-imo-2020.jpg</video:thumbnail_loc><video:title>Market Movers Asia, July 15-19: Commodities consumption growth in focus as China releases GDP data</video:title><video:description><![CDATA[The highlights this week with S&P Global Platts Metals Editor Fay Gao : China is set to release GDP growth, industrial output and fixed asset investment data for the first half of the year on July 15, along with other key economic indicators; indicators on the outlook for Asia's bunker market and the International Maritime Organization's impending sulfur cap rules in focus at the Platts Bunker and Shipping Asia Conference in Singapore; Chinese steel profit margins amid iron ore price rally and domestic steel supply glut; and seasonal autumn demand lull in the Asian LNG market is facing unexpected challenges . View Full Transcript This week: China to release half-year GDP growth and production data, a key shipping conference gets under way in Singapore, LNG market keeps an eye on JKM-TTF spreads, and profit margins under pressure for steelmakers in China. But first, Beijing is set to release GDP growth, industrial output and fixed asset investment data for the first half of the year on July 15, along with other key economic indicators. The government has set China’s GDP growth target in the 6 to 6.5 per cent range for 2019, down slightly from 6.5 per cent for 2018. This implies that growth in commodities consumption will also be slower this year. Market participants will also be watching the numbers closely for cues on the outlook for the Chinese economy in the second half of the year amid ongoing trade tensions with the US. In oil an shipping, market participants will be keenly watching developments at the Bunker and Shipping Conference that opens in Singapore on July 15. Delegates will be looking for indicators on the outlook for Asia’s bunker market and the IMO's impending environmental rules for global shipping, as well as risk mitigation plans as the deadline for the IMO’s global sulfur limit rule approaches, and ship owner perspectives on compliance strategies. Moving on to steel, and Beijing is scheduled to publish China’s crude steel output data for June on July 15. The country’s crude steel output hit an all-time high at 89 million metric tons in May. However, due to a recent rally in iron ore prices and a domestic steel supply glut, profit margins for Chinese steelmakers have been under pressure recently, and industry players will be watching raw material prices closely this week. So, with steel prices rangebound and costs rising, do you expect this latest data to show China’s crude steel output continued to rise in June? Join our conversation with the hashtag PlattsMM. And finally, in LNG, the seasonal autumn demand lull in the Asian LNG market is facing unexpected challenges this year due to a resurgence in European gas prices and increased portfolio optimization demand. Market players will be closely watching the JKM-TTF price spread this week, which could determine if spot LNG prices continue to linger at multi-month lows or experience a rebound. Still on LNG, and the 2020s look set to present LNG stakeholders with immense opportunities. As increasingly elastic supply and demand challenges traditional business models, and the trend towards LNG commoditization gathers pace, what lies ahead? Find out in S&P Global Platts latest special report, featuring market insight and analysis, infographics and exclusive interviews with International Energy Agency executive director Fatih Birol and International Gas Research president Joe M. Kang. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-07-15T03:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071019-lng-demand-northeast-asia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-10T13:16:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tsnN4C2RRsqg7WZaCHe6GZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/071019-lng-demand-northeast-asia.jpg</video:thumbnail_loc><video:title>Northeast Asian LNG demand to get a boost</video:title><video:description><![CDATA[Nuclear output in Northeast Asia put a damper on LNG demand in the first half of the year, which contributed to the rapid decline in JKM spot benchmark prices. JKM started 2019 close to $9/MMBtu and fell to less than half that value in just a few months. Newly restarted nuclear reactors in Japan and fewer nuclear outages in South Korea were huge contributing factors in this decline. S&P Global Platts LNG Analytics Manager Jeffrey Moore says support could be coming in the second half of the year as both Japan and South Korean nuclear output is expected to follow year-ago levels moving forward. The question now becomes whether this will help support demand to pull volumes away from Europe and ease pressure there, or if new supply coming online will continue to weigh on global gas prices for the months ahead.]]></video:description><video:publication_date>2019-07-10T13:16:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/070919-oil-volatility-snapshot</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-09T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=deCYLzx26gx1etxMs4BNrk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/070919-oil-volatility-snapshot.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: July outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts lead quantitative analyst, outlines his expectations for Brent crude oil volatility during the month of July 2019.]]></video:description><video:publication_date>2019-07-09T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/07082019-market-movers-europe-opec-iea-oil-market-reports-in-focus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-08T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=N8TSt6X7cLxTiogD2nDXLT</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/07082019-market-movers-europe-opec-iea-oil-market-reports-in-focus.jpg</video:thumbnail_loc><video:title>Market Movers Europe, July 8-12: OPEC, IEA oil market reports in focus</video:title><video:description><![CDATA[In this week’s highlights: the oil market will look to see OPEC and the International Energy Agency for fresh impetus when they publish their monthly oil market reports, on Thursday and Friday respectively. The petrochemicals market waits for key steam crackers to restart. Gas flows are set to start from the UK to the Netherlands via the BBL pipeline . UK investment fund Greybull Capital is to set up a purchase arrangement with creditor banks for its planned acquisition of troubled Polish steel plate mill ISD Huta Czestochowa.]]></video:description><video:publication_date>2019-07-08T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/070819-asia-commodities-korea-oil-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-08T03:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6DUcotxt29PVzsj56jBjTt</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/070819-asia-commodities-korea-oil-imports.jpg</video:thumbnail_loc><video:title>Market Movers Asia July 8-14: South Korea's appetite for sweet crude rises</video:title><video:description><![CDATA[South Korea’s demand for European sweet crude rises, improved relations between China and the US support Newcastle thermal coal prices, and Brazilian origin corn remains firm despite logistical challenges View Full Transcript In this week’s highlights, South Korea’s demand for European sweet crude rises, improved relations between China and the US support Newcastle thermal coal prices, and Brazilian origin corn remains firm despite logistical challenges In oil, Asian crude traders will monitor South Korean refiners' renewed appetite for Europe's light sweet North Sea crude this week. Sweet crude suppliers are increasingly preferred over Middle Eastern sour oil producers amid ongoing geopolitical tensions in the Persian Gulf region and OPEC's renewed commitment to keep output limited. South Korea imported 1 million barrels of Forties crude from the UK in May, marking the country's first intake of light sweet North Sea grade since December last year, latest data from state-run Korea National Oil Corporation showed. More North Sea crude cargoes are expected to reach South Korean ports over the coming weeks and months following Seoul's decision to extend freight incentives, refinery sources said. Moving on to coal, Newcastle thermal coal prices reversed a five-month downtrend last week and are expected to open higher into this week. The upwards move in Newcastle prices followed a sudden change in Asian market sentiment from bearish to bullish on optimism about a thawing in China-US trade relations following the G20 meeting in Japan. Chinese buyers are also in a hurry to book Australian cargoes before a further tightening in import quotas expected in the fourth quarter, with bids shooting up more than $3/mt for the 5,500 NAR grade. So for our social media question this week: Do you think this optimism in coal markets will continue? Share your thoughts with the hashtag PlattsMM. In agriculture, the volatility on the US corn CBOT futures last week has led to lackluster trading activity in the Northeast Asian corn market as buyers continue to wait for clarity on price direction. South Korean buyers in particular, want to know if CBOT futures have been priced in. Prices of Brazilian origin corn continue to remain firm on the back of logistical issues in the country due to a bumper crop which has adversely affected the movement of crops from farms to the ports. Finally, in metals, China will announce its June finished steel exports later this week, which are expected to be at a similar level to last month. Chinese mills will also be watching iron ore prices closely this week after they surged to 5-year highs recently. If you are in Tokyo, Japan, we’d love to see you at the S&P Global Platts Japan Commodity Insights Forum on July 9. Our editors and market experts will be on hand to share insights on key themes and trends affecting the energy and metals markets Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-07-08T03:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/070119-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-01T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=P6bqApCkBZmhynsvy6qR5Q</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/070119-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 1–5: OPEC/non-OPEC allies gather for crunch talks</video:title><video:description><![CDATA[Monday’s crunch OPEC meeting dominates this week’s Market Movers, as well as a meeting with non-OPEC partners taking place Tuesday. Elsewhere, Dutch gas production cuts could be expedited, and today marks the start of the new grains marketing year. Karishma Bhimani summarizes your week ahead. View Full Transcript In this week’s Market Movers, shipping markets wait for possible hikes in freight rates, Dutch gas production cuts could be expedited, and today marks the start of the new grains marketing year. This week is all about today’s OPEC meeting in Vienna, and tomorrow’s expanded meeting with non-OPEC partners, led by Russia. Top of the agenda is whether to extend or modify the group’s production pact. The deal – to cut 1.2 million barrels per day of oil output – expired on Sunday. Talks between Russian President Vladimir Putin and Saudi Crown Prince Mohammad Bin Salman at the G20 summit in Japan have set the tone for this week’s meetings in Vienna. Ministers from the two largest countries of the producer alliance have endorsed a nine-month extension of the accord, which expired this weekend. Saudi Arabia and other OPEC members meet today in Vienna to discuss its options, with any agreement requiring a unanimous vote. On Tuesday, Russia and nine other non-OPEC partners will also join the talks. You can expect blow-by-blow coverage from our team on the ground in Vienna, as well as quality analysis. International talks are not only affecting the oil markets. Shipping markets will be keeping a close eye on any changes in trade tensions between the US and China arising from the G20 summit. If China chooses to remove its 25% tariff on US-sourced soybeans, North Pacific dry bulk round-voyage rates are expected to jump significantly as exports increase. However, hopes aren’t high for a turnaround in the global container shipping markets after US President Donald Trump on Friday denied promising a six-month reprieve on imposing new tariffs on $300 billion worth of Chinese imports. Moving from shipping to the gas and power markets, the Dutch Council of State on Wednesday will rule on appeals against the government’s production policy at the giant onshore Groningen gas field. A production cap has been in place for a number of years to limit the impact of earthquakes linked to gas production at Groningen. The chart on your screen gives you an idea of exactly what kind of impact that’s had. A number of plaintiffs in April called on the court to rule in favor of speeding up the end of production at Groningen. That could provide support to the otherwise bearish outlook for European gas prices. The 26 appeals were heard before a 3.4 magnitude earthquake hit a northern village close to the Groningen field in mid-May, which triggered new calls for the phase-out of Groningen production to be accelerated. This leads us to our social media question this week: What impact will a reduction or halt in Groningen production have on power prices? Tweet us your views using the hashtag #PlattsMM. Finally, today marks the start of the grains marketing year in the EU and Black Sea region. Platts Analytics forecasts total EU wheat production in 2019-20 at a little over 150 million metric tonnes. Within that, Ukraine and Russia would be at about 27 and 79 million tonnes, respectively. Recent heat waves in June and potential extreme weather events in July could still draw down wheat production – but a substantial decrease is unlikely. As the winter wheat harvesting campaign began recently in Europe and the Black Sea, unfavorable weather is most likely to affect quality rather than quantity. That’s not the case for spring wheat, which is contributing almost 21 million tonnes to total wheat production in Russia. You can see that in the context of Russia’s overall production in the chart on your screen. If there is low to no impact on spring wheat, total production in Russia will be the second-highest after the record of 2017/18. With this, Platts Analytics still expects Russia to remain the world’s leading wheat exporter in the coming year. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-07-01T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/010719-asia-commodities-g20-oil-opec</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-01T04:24:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7NmTfRBiPbhaHfuFjwV1fB</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/070119-asia-commodities-g20-oil-opec.jpg</video:thumbnail_loc><video:title>Platts Market Movers Asia Jul 1-5: OPEC+ discuss extending crude supply cuts</video:title><video:description><![CDATA[This week, markets look to the OPEC meeting and digest the outcome of the G20 summit for cues, and we highlight LNG flows from Europe to Asia and steel production cuts in China. View Full Transcript This week, markets look to the OPEC meeting and digest the outcome of the G20 summit for cues, and we highlight LNG flows from Europe to Asia and steel production cuts in China. But first, Markets are focused on the oil producers’ meeting between OPEC, Russia and nine other allies in Vienna on Monday and Tuesday. This graph shows the coalition’s compliance in the first five months of 2019. The producers – which together produce almost half of the world’s crude – are expected to decide on whether to extend their production cut agreement amid increasingly tense geopolitics and concerns about maritime safety in the Persian Gulf. Saudi Arabia and Russia have already endorsed a nine-month extension to their earlier cut agreement that expired at the weekend. A decision to extend the cuts – or the lack of it – would give a direction of oil price movements and impact Asian buyers’ oil purchasing plans in the coming months. So for our social media question this week: Do you think OPEC+ will extend its production cut agreement? Share your thoughts with the hashtag PlattsMM. Separately, leaders of the G20 reached consensus over the weekend on the importance of energy security following recent ship attacks near the Strait of Hormuz, with member countries making efforts to ease tensions in the region. In a joint declaration, they also said global growth appears to be stabilizing and was projected to pick up moderately into 2020. The US and China agreed during their summit meeting in Osaka Saturday to resume trade negotiations, with the US agreeing to halt further tariff hikes on Chinese goods and China agreeing to immediately start increasing purchases of American goods. These developments are positive for the recovery of commodity trade flows between the two countries, which had declined sharply since the trade conflict began, and US crude oil and agricultural product exports to China are likely to be among the first to benefit. In LNG, more supply is expected to flow into the Asia Pacific, with the JKM/NBP spread widening to $1.597/MMBtu DES last week from an average of 96 cents/MMBtu in June. A higher premium for spot LNG prices in Northeast Asia will encourage more cargoes to flow to this region from both Europe and the US. With more Atlantic cargoes expected to flow into the region for the second half of August, the intra-month structure for August JKM flipped Friday from contango to backwardation. And finally, in the steel market, eyes are on China after Tangshan city announced last week that it will impose a new set of output cuts effective June 27 to August 1. This boosted market sentiment and drove both Chinese domestic prices and futures higher. Platts Chinese HRC prices on an FOB basis have risen 2.6% since the announcement was made. Will steel prices continue to rally? And will China export volumes pick up in the rest of the year even though demand shows weakness? Our metals team will keep you posted on that. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-07-01T04:24:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/070119-lng-outlook-liquefied-natural-gas</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-07-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Wd49BvYBxm5b4W12AZbjz2</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/070119-lng-outlook-liquefied-natural-gas.jpg</video:thumbnail_loc><video:title>Where next for LNG markets?</video:title><video:description><![CDATA[LNG markets have evolved fast, and the opportunities for market stakeholders look set to grow further during the next decade. Abache Abreu , S&P Global Platts content lead for LNG, explains how LNG’s transition to a more sustainable growth path will require it to transform into a more competitive, transparent and cleaner fuel. Read our special report, New horizons: The forces shaping the future of the LNG market .]]></video:description><video:publication_date>2019-07-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/062419-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-24T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=M5KBPcgJU9CutyYeF62RT9</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/062419-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 24–28: Commodities focus on Middle East tensions, OPEC meeting</video:title><video:description><![CDATA[Middle East tensions and their impact on oil markets and gold, along with the upcoming OPEC meeting, will be a focus for commodities markets this week. Also on the agenda is continued bearishness in European gas and the future of the EU energy system. Mark Pengelly summarizes your week ahead.]]></video:description><video:publication_date>2019-06-24T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/062419-asia-commodities-trump-xi-g20</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-24T03:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1PuXRjiv8WYhN9Ksj6iSqu</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/062419-asia-commodities-trump-xi-g20.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jun 24-28: Trump, Xi to meet at G20 summit; US to announce additional sanctions on Iran</video:title><video:description><![CDATA[US President Donald Trump and Chinese President Xi Jinping are expected to hold talks over the ongoing trade conflict between Washington and Shanghai at the G20 summit in Japan. Tensions escalate in the Gulf of Oman, especially after Trump said over the weekend that additional sanctions will be imposed on Iran. China to release petroleum and refined products trade and consumption data. Traders scout alternatives as freight costs rise. Outlook for Kalimantan thermal coal prices remain bearish. This and more from S&P Global Platts associate editor Fred Wang on Platts Market Movers Asia. View Full Transcript This week: We look at the potential impact of escalating tensions in the Middle East, shipping lanes safety remain in focus, ship charterers brace for cost spike, and Indonesian thermal coal prices set to remain bearish. But first, G20 leaders are meeting in Japan, and the spotlight is on US President Donald Trump and Chinese President Xi Jinping. The two leaders are expected to hold talks over the ongoing trade conflict between Washington and Shanghai. Trade flows for a range of commodities from crude oil, LNG and petrochemicals, to agricultural products like soybeans, will hinge on the outcome of the talks. From a longer term perspective, a US-China deal is vital to global economic growth that feeds commodity demand. While the US has threatened to impose 25 percent tariffs on 300 billion dollars worth of Chinese goods that have yet to be impacted, a more positive outcome could also emerge, such as an agreement to resume trade negotiations. So here’s the social media question for this week: Will the US and China reach consensus on trade issues? Share your thoughts with the hashtag #PlattsMM. Still on China, the country’s May trade figures are expected to be released this week. China’s state planner National Development and Reform Commission will also publish refined product and natural gas consumption data that will reflect the severity of the slowdown in the Chinese economy. Many in the market expect the data will show a fall in demand for LPG and refined products. Meanwhile, escalating tensions in the Gulf of Oman and its impact on the safety of shipping lanes will continue to be hot topics at industry events in the region this week, especially after US President Trump said over the weekend that the US would announce additional sanctions on Iran this week. Petronas will host the Asia Oil & Gas Conference in Kuala Lumpur where key speakers will include the heads of Thailand’s PTTEP, Indian Oil, and commodity trading house Vitol. The CWC LNG conference will see market players discuss the fast changing LNG market and its growth in one of the world’s largest commodity trading hubs—Singapore. S&P Global Platts will be hosting a roundtable session at the CWC event, led by the experts from the pricing and analytics group, to discuss the JKM LNG benchmark. In shipping, charterers are bracing for a tense week, with freight rates for Medium Range tankers in North Asia already on fire and seen having more upside potential. Traders are scouting for alternative sources of clean oil products to avoid additional war risk insurance costs in the Middle East. Charterers with crude oil cargoes are expected to agree to pay more to hire ships to load in the Persian Gulf. Insurers are seeking the additional war risk premium in light of the recent tanker and drone attacks in the region, and owners are passing this on to charterers. And finally in thermal coal, all eyes will be on a coal industry conference in Bali, with market participants looking for clearer price cues after weeks of turmoil in the seaborne market. Following the lifting of force majeures at mines in South Kalimantan impacted by flooding, Indonesian supply of low-calorific value thermal coal is expected to ease. However, the near-term outlook for Kalimantan prices is expected to remain bearish as seaborne demand has been lackluster. China has also brought in new regulations for the customs clearance of import cargoes at Fuzhou port in east China, while India’s seasonal monsoon has kept buying interest muted. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-06-24T03:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/061719-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-17T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pQiCUfL4414gXdS8MBPTrk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/061719-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 17–21: Tensions rise in Middle East; Mozambique LNG decision expected</video:title><video:description><![CDATA[Tensions are on the rise in the Middle East, with repercussions for the global oil and shipping sectors. Meanwhile, interest is cooling in the low sulfur fuel oil market; a decision on a new Mozambique LNG project is due; and steel traders are battling over EU import rules. Emmanuel Latham has your week ahead.]]></video:description><video:publication_date>2019-06-17T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061719-asia-commodities-g20-energy-tankers-attack</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-17T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2feyeMKDKEDyWA4iKNXpZw</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/061719-asia-commodities-g20-energy-tankers-attack.jpg</video:thumbnail_loc><video:title>Market Movers Asia, June 17-21: Energy security cooperation in focus at G20 meet after tanker attacks</video:title><video:description><![CDATA[Oil markets are assessing the geopolitical situation in the Middle East after attacks on two tankers in the Gulf of Oman last week. The attacks happened near the Strait of Hormuz , a critical chokepoint through which 30% of the world's seaborne crude is shipped. The tanker blasts and growing energy security concerns were hot topics at the G20 meeting of energy ministers in Japan over the weekend. Apart from ensuring energy security, the ministers also stressed the need for international cooperation to respond to the ship attacks. Also at the summit, multiple agreements were signed including Japan's energy cooperation with Saudi Arabia and Australia, and between Indonesia's energy ministry and Japan's Inpex. Still in oil, the wide backwardation in Dubai benchmark prices may continue to encourage Asian refiners and trading firms to slow down storage and unwind some of their long physical sour crude positions. Meanwhile, in the coal markets, low-quality thermal coal prices in Indonesia rally as buyers look for spot cargoes amid flooding at the coal producing region of Kalimantan. On the other hand, Australian thermal coal prices are at three-year lows due to oversupply in the Asian markets. View Full Transcript This week: Agreements signed at the G20 meeting of energy ministers, Dubai crude in wide backwardation, and Indonesian coal prices rise. But first, oil markets are assessing the geopolitical situation in the Middle East after attacks on one product and one chemical tanker in the Gulf of Oman last week. The attacks happened near the Strait of Hormuz, a critical chokepoint through which 30% of the world's seaborne crude is shipped. The US has blamed Iran for the attacks, setting the stage for a tense OPEC meeting in Vienna later this month. Asian economies from India to Japan rely heavily on Middle East crude supplies and Asian refiners have expressed grave concerns over the safe passage of their crude supplies. The attacks are expected to increase freight rates for Middle East crude, including higher insurance and security costs, as ship owners exercise caution in sending their vessel to high risk areas. So for our social media question this week: Do you think the Middle East shipping lanes will ever be safe for crude and oil product tankers? Share your thoughts with the hashtag PlattsMM. The tanker blasts in the Middle East and growing energy security concerns were also hot topics at the G20 meeting of energy ministers in Japan over the weekend. Apart from ensuring energy security, the ministers also stressed the need for international cooperation to respond to the ship attacks. G20 members account for roughly 60% of global oil production and about 80% of global oil consumption. The meeting also focused on energy transition and the development of hydrogen as a transportation fuel. On the sidelines of the summit, multiple agreements were also signed including Japan’s energy cooperation with Saudi Arabia and Australia, and the partnership between Indonesia’s energy ministry and Japanese explorer Inpex on the Abadi LNG project. Meanwhile, the wide backwardation in Dubai benchmark prices may continue to encourage Asian refiners and trading firms to slow down storage and unwind some of their long physical sour crude positions. The spread between first and third month Dubai crude swaps was assessed at $2 and 6 cents per barrel on May 17 in Singapore. This is the strongest backwardation since October 2013. The Platts Market on Close assessment process has already seen heavy trading interest from Asian players to unwind their long Middle East sour crude positions. In coal markets, low-quality Kalimantan thermal coal prices in Indonesia have rallied as buyers look for spot cargoes with immediate availability due to bad weather. Market participants expect low calorific value thermal coal prices to increase next week if flooding continues to limit coal production in South Kalimantan. Meanwhile, Australian thermal coal prices are trading at three-year lows as growing oversupply in the Asian market weighs on spot market prices. More tenders this week from Korean buyers will determine the direction of prices in coming weeks. That's it for this week. Thanks for kicking of your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-06-17T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/061019-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-10T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tNU64PUo8Ukk8dTDe2o28b</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/061019-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 10–14: Uncertainty in oil market; Russia scrap exports may face quotas </video:title><video:description><![CDATA[Uncertainty in the oil markets, potential quotas on Russian scrap metal exports, and a key court ruling on nuclear power in Germany are among the highlights in this week’s Market Movers Europe. Jamila Al Ibrahim summarizes your week ahead in energy and commodities.]]></video:description><video:publication_date>2019-06-10T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061019-asia-commodities-g20-energy-japan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-10T02:39:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VKae7cBZMTurzPvkEtMrH6</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/061019-asia-commodities-g20-energy-japan-02.jpg</video:thumbnail_loc><video:title>Market Movers Asia, June 10-14: Energy transitions in focus at G20 ministerial meet in Japan</video:title><video:description><![CDATA[This week, all eyes are on the G20 energy ministers' meeting on energy transitions. G20 accounts for roughly 60% of global oil production and about 80% of oil consumption. Major themes in focus include the development of carbon recycling technologies as well as LNG. Another event to watch for is the annual Enmore Tankers Conference in Shanghai next week China, where market participants are expected to provide fresh leads on trends in freight rates and demand and supply of ships. Bunker fuels is also expected to be a hot topic, particularly since the International Maritime Authority's lower sulfur cap regulation is set to be imposed in just six months. Also on bunkering, market participants are looking forward to the release of Singapore's marine fuel sales volume for May, after sales plunged 12.3% year on year in April. Singapore is the world's top bunkering port. And still on data watch, China is scheduled to release its trade and production numbers this week. May numbers could serve as indicators of China's appetite for products in the coming months. Oil product exports volumes would also be an indicator of the Asian market balance as China's refining capacity expands.]]></video:description><video:publication_date>2019-06-10T02:39:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/060519-brent-crude-oil-volatility</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-06T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=obMsxJtxLRxFz3b43QAoqQ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/060519-brent-crude-oil-volatility.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: June outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts quantitative analyst, outlines his expectations for Brent crude oil volatility during the month of June 2019.]]></video:description><video:publication_date>2019-06-06T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/060319-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-03T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Ww5idQ8ufMFJNmZe5buzgr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/060319-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jun 3–7: Oil market eyes falling prices; buyers sought for British Steel</video:title><video:description><![CDATA[Oil market participants will be keeping a close eye on the factors behind the recent fall in crude prices, such as US sanctions on Iran and trade tensions. Also on the agenda are decarbonization in Germany, and the search for a buyer for the troubled UK firm British Steel. Emma Slawinski rounds up your week ahead.]]></video:description><video:publication_date>2019-06-03T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/060319-asia-commodities-us-china-tariffs-crude-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-06-03T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ku5J9JeNRuQChYiCb3Et8r</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/060319-asia-commodities-us-china-tariffs-crude-oil.jpg</video:thumbnail_loc><video:title>Market Movers Asia, June 3-7: US-China trade tension heats up; Mideast crude OSPs in focus</video:title><video:description><![CDATA[Trade tensions between the US and China escalated after Beijing raised tariffs to a maximum of 25% on $60 billion worth of US goods in retaliation to the latest round of tariffs imposed by Washington. China's vice minister of agriculture and rural affairs Han Jun said the retaliatory tariffs now cover all US agricultural product exports to China, including soybeans. Senior executives from China and Russia's oil and gas industry will meet at the Second Russian-Chinese Energy Business Forum on June 6–7 in St. Petersburg. The China-Russia energy relationship has become all the more crucial for China's energy security amid US-China trade disputes and the US sanctions on Iran and Venezuela. In the wider oil market, participants are keeping a close eye on Middle Eastern crude oil official selling prices for Asia. Meanwhile, new-build tankers are loading gasoil for deliveries as buyers are already stocking up months ahead of the implementation of the new sulfur emission cap on marine fuels. New special reports on IMO 2020 and its potential impact on the oil, shipping and petrochemical markets. In coal, the market expects Australian coal producers to produce more semi-soft coking coal as the differential between SSCC and thermal coal prices widened to about $20 last week on falling Newcastle 6,000 NAR prices. A wide differential between thermal coal and SSCC prices means Australian producers can earn more profit by washing thermal coal to produce SSCC. And in the corn market, participants in remain bullish after Asian prices rose almost 4% on week last week. Planting has been delayed in the US Corn Belt, pushing prices on the Chicago Board of Futures to their highest levels see in the past 12 months.]]></video:description><video:publication_date>2019-06-03T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052719-asia-commodities-trump-us-china-japan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-27T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rocorLhLDK9v2ZnH92AiFk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/052719-asia-commodities-trump-us-china-japan.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 27-31: All eyes on Asia's rising gasoline supply; trade in focus as Trump visits Japan</video:title><video:description><![CDATA[US President Donald Trump is in Japan for a four-day visit. During the trip, he is expected to discuss trade and geopolitical concerns with Japan Prime Minister Shinzo Abe. In the refined products market, eyes are on the region's gasoline supply particularly after China released new export quotas to state-owned refiners renewed oversupply concerns. In the crude oil market, preliminary tanker data shows that loadings from Iran have fallen in May, but cargoes on the water wiere still headed to Asian destinations. This is after the US announced that it will no longer extend waivers to import Iran crude after the May 1 deadline. In petrochemicals, the focus is on the narrowing spread beteen paraxylene and naphtha as new PX plants start up in China. Iron ore prices remained supported above $100/dmt and market participants are watching whether Australian miners will increase shipment volumes to address rising end-user demand. And in the aluminum market, third quarter negotioations for aluminum delivered to Japan will kick off this week. Japan is the region's largest importer of aluminum and the quarterly premiums it agrees to pay over LME spot prices set the benchmark for Asia.]]></video:description><video:publication_date>2019-05-27T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/052219-imo-2020-shipping-freight</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-22T12:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nTwbiVS2gzcvwPCFF55hU3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/052219-imo-2020-shipping-freight.jpg</video:thumbnail_loc><video:title>How will shipping deal with higher fuel costs from IMO 2020?</video:title><video:description><![CDATA[With the IMO 2020 sulfur cap only months away, shipowners may struggle to convince their customers to pick up higher bunker fuel costs. S&P Global Platts managing editor, freight markets, Alex Younevitch looks at the issues facing the shipping industry and its options for dealing with the new rules. Find out more about bunker fuel cost recovery in the context of IMO 2020 by reading our special report, Into the storm: How will shipping cope with fuel bills from IMO 2020 .]]></video:description><video:publication_date>2019-05-22T12:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/imo-2020-impact-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-21T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=C3qoEWqE5Me58atbV9RiUY</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/imo-2020-impact-petrochemicals.jpg</video:thumbnail_loc><video:title>The impact of IMO 2020 on petrochemicals</video:title><video:description><![CDATA[The petrochemicals industry will not be immuned to market changes when the International Maritime Organization's new global sulfur limit for marine fuels kicks in on January 1, 2020. S&P Global Platts editor Lara Berton looks at how stricter regulations will affect feedstock pricing and supply chain economics and the impact on upstream and downstream activities.]]></video:description><video:publication_date>2019-05-21T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/052019-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-20T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PFs1zJ13x1M3PTNW33Eunw</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/052019-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title> Market Movers Europe, May 20–24: Iran tensions affect oil; Turkish steel gets a boost</video:title><video:description><![CDATA[In this week’s Market Movers, political tensions keep the oil markets in their thrall; the Turkish steel market digests lower US tariffs; and new EU rules could affect the Nord Stream 2 gas link. Simon Price summarizes your week ahead.]]></video:description><video:publication_date>2019-05-20T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051719-china-steel-export-threat-looms</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-17T07:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=eDgZxMaUobq51hq7wyYDLJ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/051719-china-steel-export-threat-looms.jpg</video:thumbnail_loc><video:title>Will China's steel production, capacity additions result in another export flood?</video:title><video:description><![CDATA[Global steel markets are looking for better times in Q3 but a number of worrisome factors are emerging. The biggest of these is China's raging crude steel production and capacity build-out. Beijing will likely support infrastructure and other segments to offset any detrimental impact from ongoing tariff tensions with the US. But will it be enough to absorb all of the steel China produces? S&P Global Platts senior managing editor for steel industries and policies Paul Bartholomew examines the market.]]></video:description><video:publication_date>2019-05-17T07:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/051419-jorge-quijano-panama-canal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-14T08:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uSNamcF25vNBF43QHFTA5d</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/051419-jorge-quijano-panama-canal.jpg</video:thumbnail_loc><video:title>Insight Conversation with Jorge Quijano, Panama Canal Authority CEO</video:title><video:description><![CDATA[The global commodities space is witnessing some dramatic swings in trade flows as it tries to come to terms with intensifying tariff disputes and geopolitical tensions. Amid the changing scenario, Panama Canal Authority’s CEO Jorge Quijano spoke to S&P Global Platts on some of the key issues which would have implications on energy and agricultural flows.]]></video:description><video:publication_date>2019-05-14T08:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/051319-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-13T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dxv4ryUtEcNi5QvEddmupr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/051319-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, May 13–17: US policy moves set tone of markets from oil to coal</video:title><video:description><![CDATA[View Full Transcript US policy moves dominate the agenda in this week's Platts Market Movers. Saudi Arabia and other oil producers are expected to give their response to the ending of US sanctions waivers, while the US trade war with China is resetting expectations for many industries. Nick Coleman reports.]]></video:description><video:publication_date>2019-05-13T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/051319-asia-commodities-us-china-trade-oil-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-13T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gaXC951D2isHEApkgVBbKy</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/051319-asia-commodities-us-china-trade-oil-lng.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 13-17: Markets await Beijing's move as US-China trade tension escalate</video:title><video:description><![CDATA[This week, all eyes will be on Beijing's next move as trade tensions between the US and China escalate, potentially impacting trade flows of oil, LNG, petrochemicals, and agriculure products.]]></video:description><video:publication_date>2019-05-13T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050919-insight-global-lng-prices-us-exports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-09T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ubTMcBbCSSvGSbyJLDwDhU</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/latest-news/20190509-jowdy-lng.jpg</video:thumbnail_loc><video:title>As global LNG prices chase each other down, will US exports shut in?</video:title><video:description><![CDATA[With a fourth large-scale liquefaction project in the final commissioning stages in the US and global seasonal demand lulls, the prognosis for US shut-ins is increasingly precarious. Adding to the pressure on US exporters, storage levels in Europe are set to hit peak operational capacity well ahead of seasonal norms. Europe has historically operated as the injection season LNG balancer for the world as Asian storage capacity is extremely constrained. Madeline Jowdy , senior director, global gas and LNG for S&P Global Platts, examines the forces shaping the market.]]></video:description><video:publication_date>2019-05-09T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050819-oil-volatility-snapshot</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-08T17:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=q9CrAQroq5m9oCB78PLTND</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/19-pl-69560-platts-volatility-snapshot-may-vito-turitto.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: May outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts quantitative analyst, outlines his expectations for Brent crude oil volatility during the month of May 2019.]]></video:description><video:publication_date>2019-05-08T17:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/050719-erik-nygard-limejump-shell</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-07T06:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mWim2tQ1gbGHQkdajAgrcm</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/050219-erik-nygard-limejump.jpg</video:thumbnail_loc><video:title>Insight Conversation with Erik Nygard, Limejump CEO</video:title><video:description><![CDATA[Erik Nygard, co-founder and CEO of Limejump, which was recently acquired by oil major Shell, talks to Henry Edwardes-Evans, associate editorial director at S&P Global Platts, about energy digitalization, building virtual power plants and the benefits of having an ambitious, well-heeled parent.]]></video:description><video:publication_date>2019-05-07T06:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>9:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/050619-asia-commodities-trump-tariffs-china-iron-ore-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-05-06T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gMTHSNcdGwrmMFhsQd1JBX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/050619-asia-commodities-trump-tariffs-india-fani.jpg</video:thumbnail_loc><video:title>Market Movers Asia, May 6-10: Trump threatens to raise taxes on Chinese goods</video:title><video:description><![CDATA[Commodity markets in Asia this week will be waiting for further announcements following the messages tweeted by US President Donald Trump Sunday about raising tariffs on $200 billion worth of Chinese goods on Friday from 10% to 25%. He also tweeted about imposing 25% tariffs "shortly" on $325 billion worth of Chinese goods that have not been taxed yet. The tweets followed the round of talks in Beijing last week, which the White House had said to have been "productive." China is also expected to release its April commodities trade data this week. Crude import numbers are expected to show a recovery from March. In India, traders will be looking for cues and official word from government authorities on the extent of damage due to Cyclone Fani , which battered the eastern state of Odisha last Friday. Odisha is home to Indian Oil Corp.'s refinery, as well as the ports of Dhamra, Gopalpur, and Paradip. In Singapore, market participants in the iron ore space have gathered for this year's Singapore Iron Ore Week. S&P Global Platts will be on the ground and will hold a Ferrous Seminar and Market On Close Workshop on May 8 to discuss the latest in iron ore, steel and coking coal markets.]]></video:description><video:publication_date>2019-05-06T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/042919-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-29T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=acEPifaumnabtt5zVNLKFs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/042919-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 29–May 3: Iran sanctions waivers expire; LNG imports under spotlight</video:title><video:description><![CDATA[View Full Transcript In this week’s Platts Market Movers, US sanctions waivers on importing Iranian oil expire; the potential restart of a key Russian oil pipeline is eyed; and European petrochemical contract prices for May are expected to rise. Benjamin Brooks summarizes your week ahead.]]></video:description><video:publication_date>2019-04-29T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042919-asia-commodities-endgame-iran-sanctions-waivers</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-29T02:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kxuuFAVN9tcpUxQByYxnrs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/042919-asia-commodities-endgame-iran-sanctions-waivers.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 29-May 3: Endgame for Iran sanction waivers; US crude cargoes coming to Asia</video:title><video:description><![CDATA[Iran sanction waivers granted to eight countries to import Iranian crude end on May 2. The end of the waivers raises concerns for many Asian customers of Iranian barrels, and the coming weeks will show how badly the region's refiners are affected by the disruption. Meanwhile, another wave of US crude cargoes is expected to reach Asia. The WTI's steep discount against international crude benchmarks like Brent and Dubai lured regional refiners to buy light sweet crude from the US. In petrochemicals, market players are keeping a close watch on the spread between ethylene and naphtha, which has dropped to a five-month low. In thermal coal, seaborne traders are watching buy tenders issued by Chinese power plants to gauge the direction of Indonesian prices in the near-term. In China’s domestic market, spot prices could face headwinds this week on weak downstream demand several ports. Tanker market activity in the region has picked up ahead of the Golden Week holidays in North Asia. While activities could slow down during the holidays, rates remain well supported by demand from other markets in the region. View Full Transcript This week: a wave of US crude cargoes come to Asia, China’s economic data in focus, and ethylene-naphtha spread hovers at five-month lows. But first, Iran sanction waivers granted to eight countries – including China, India, South Korea, and Japan - to import Iranian crude end on May 2. This raises concerns for many Asian refiners who were buying Iranian barrels. Uncertainties include lack of clarity on how the US will enforce energy-related Iran sanctions going forward, and the availability of incremental barrels from Middle East producers like Saudi Arabia. US officials have said that alternative suppliers are working directly with Iran’s former customers for a smoother transition away from Iranian crude. Still in oil, a wave of US crude cargoes is expected to reach Asia. The WTI's steep discount against international crude benchmarks like Brent and Dubai lured regional refiners to buy light sweet crude from the US. China’s Unipec will take delivery of two VLCCs – its first US crude cargoes since it suspended imports in September 2018 because of the trade tensions between Washington and Beijing. Vietnam's Dung Quat refinery and Indonesia's Pertamina are also expecting cargoes from the US. So for our social media question this week: Do you think there’s enough US and Middle Eastern crude to replace Iranian barrels in the market? Share your thoughts on Twitter with the hashtag PlattsMM. Moving on, commodity markets are expected to track a raft of economic data and trade talk deveopments this week. The main indicator will be China’s manufacturing data for April that is a bellwether of its industrial activity and oil demand. The numbers will show whether China can sustain its better-than-expected first quarter performance. Any weakness could point to a slowdown and depress benchmark oil prices. Meanwhile, US representatives will be in Beijing for another round of trade talks from April 30. Besides trade tariffs, energy sanctions on Iran and Venezuela could also be discussed due to the impact on China. In petrochemicals, the recent decline of ethylene-naphtha spread near breakeven level sparked speculation among market players about possible steam cracker operating rate cuts in Asia. The ethylene-naphtha spread has been currently hovering at around five-month low. Market players say additional ethylene supplies from Iran after a pipeline explosion could keep ethylene market bearish for the time being. In thermal coal, seaborne traders are keeping a close eye on buy tenders issued by Chinese power plants to gauge the direction of Indonesian prices in the near-term. In China's domestic market, spot prices could face headwinds given the weak downstream demand seen at Qinhuangdao ports and Northern ports along the Bohai Rim due to sufficient port stocks. In shipping, the tankers market has become much more active as North Asian buyers cover their requirements to move naphtha, especially for Japan, ahead of their Golden Week holidays. Market activities are expected to slow down, but rates remained well supported in light of the demand from China, South Korea, and Taiwan, among others. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-04-29T02:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042619-lng-price-jkm-ttf</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-26T10:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4wPgae3ycBzimFhLTHNbnL</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/042619-lng-price-jkm-ttf.jpg</video:thumbnail_loc><video:title>Why Asian LNG spot prices falling below European gas prices was unsustainable</video:title><video:description><![CDATA[LNG spot market prices in Asia recently fell below gas prices in Europe for the first time since 2015. Weak demand and a subsequent growth in supply pulled prices lower so far this year, and removed the premium that the JKM had over other demand markets. This pushed a significant amount of LNG into the European markets, which also weighed on prices as gas is competing with other fuels in the region. Jeffrey Moore , S&P Global Platts LNG Analytics Manager in Asia, explains why prices in Asia will have to maintain a position above European prices.]]></video:description><video:publication_date>2019-04-26T10:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/041519-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-15T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CHibusJZbwK3kFuVaL7dKg</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/041519-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Apr 15–19: Oil focus moves to Africa, French nuclear decision looms</video:title><video:description><![CDATA[This week, the oil industry will focus on Africa and the steel market will be monitoring the outcome of the presidential election in Ukraine. Meanwhile, in France, the nuclear regulator’s decision on the startup of a key new reactor is eagerly awaited by the power market. Ana-Maria Tolbaru rounds up your week ahead.]]></video:description><video:publication_date>2019-04-15T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/041519-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-15T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CjtJKXMNjbcU3eReJfyHD7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/041519-asia-commodities-china-gdp-petronas.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 15-19: An explosion rocks a new refinery and petrochemical complex in Malaysia</video:title><video:description><![CDATA[China is set to release a slew of economic data for the first quarter on April 17, including key reports on GDP growth, industrial production and fixed asset investment. An explosion at Malaysian Petronas' Refinery and Petrochemical Integrated Development, or RAPID, last week was expected to have a limited impact on sour crude prices in Asia this week. With Australian cargoes enduring drawn-out customs clearance times of up to one month in China, Colombian cargoes are becoming a sought-after option. The lowering of China's value-added tax to 13% from 16% from April 1 has renewed interest in the possibility of exporting petrochemicals out of China. A negative price spread between the FOB Korea and CFR China markers, and between CFR China and domestic prices, make exporting domestic material possible on paper. View Full Transcript This week: China to release key economic indicators, and an explosion rocks a new refinery and petrochemical complex in Malaysia. But first, China is set to release a slew of economic data for the first quarter on April 17, including key reports on GDP growth, industrial production and fixed asset investment. Market participants will be closely watching the numbers to gage the pace of deceleration in the Chinese economy. The government last month set China’s GDP growth target in the 6 to 6.5% range for 2019, lower than the 6.5% it set for 2018, implying the pace of commodities consumption growth this year will be slower. In plant news, an explosion at Malaysian Petronas' Refinery and Petrochemical Integrated Development, or RAPID, last week was expected to have a limited impact on sour crude prices in Asia this week. The refinery complex, a joint venture between Malaysia's Petronas and Saudi Aramco, had been expected to start exporting some refined products this month, and had secured most of its crude under term contracts, market sources said. The fire occurred at an Atmospheric Residue Desulphurization Unit, which removes sulfur from fuel oil and produces light to middle distillates. Some petrochemical market sources said the impending start of ethylene production at the complex could be delayed, impacting timelines for downstream products. In coal, between 1 million and 1.4 million metric tons of thermal coal is currently being loaded at Colombian ports for the long 60-day voyage to China and South Korea, according to market sources. With Australian cargoes enduring drawn-out customs clearance times of up to one month in China, Colombian cargoes are becoming a sought-after option, they said. Colombian cargoes currently also have a cheaper delivered price in China than Australian cargoes, at $65/mt CFR versus $68/mt, the sources said. In petrochemicals, the lowering of China's value-added tax to 13% from 16% from April 1 has renewed interest in the possibility of exporting petrochemicals out of China. FOB China sell ideas for benzene have already been seen, as tougher safety checks at downstream plants have limited domestic demand, while inventory levels remain high. A negative price spread between the FOB Korea and CFR China markers, and between CFR China and domestic prices, make exporting domestic material possible on paper. With the start-up of mega-refineries in China, is an FOB China petrochemical market a possibility in the near future? Share your thoughts on Twitter with the hashtag PlattsMM. Finally, in agriculture, sources said that the Asian corn market looks set to remain bearish this week after the US Department of Agriculture raised its forecasts for higher ending stocks last week. Bumper crop forecasts in Brazil and Argentina continue to keep a lid on corn prices, while uncertainty over freight rates closer to the IMO 2020 sulfur cap on bunker fuel is putting a floor under CFR prices in Asia. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-04-15T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/040919-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-10T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Ypezu7DZiXSZZTcCcYVpov</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/040919-brent-crude-oil-volatility-outlook.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: April outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts quantitative analyst: Asian demand for North Sea grades was muted in the first half of March, but picked up mid-month keeping dated Brent prices up despite a number of bearish factors. Market participants remain focused on geopolitical risk factors including the US-China trade war and sanctions on Venezuela. Volatility has recently been low, but is likely to pick up in the coming weeks.]]></video:description><video:publication_date>2019-04-10T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/040819-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-08T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zSG764mM6aPJ1abZtkv6Qt</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/040819-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 8–12: Commodities look ahead to Brexit summit; oil market focuses on Middle East</video:title><video:description><![CDATA[In this week’s highlights: Commodity markets look ahead to Wednesday’s EU summit on Brexit, and the oil market focuses on the Middle East as prices edge higher. Back in Europe, a strike is planned at the continent’s largest refinery. Sarah-Jane Flaws presents. Click to read our latest factbox on what a hard Brexit means for commodities .]]></video:description><video:publication_date>2019-04-08T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/080419-asia-commodities-week-china-crude-import-data</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-08T02:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yLuwv3WFhBNQtoDcDXrWBG</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/040819-asia-commodities-asia-crude-oil-import-data.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 8-12:  China’s crude oil import data and Asia’s appetite for Colombian thermal coal. </video:title><video:description><![CDATA[Markets expect the Platts JKM – the benchmark for LNG spot prices in North Asia - to remain under pressure despite the rebound in UK gas prices, with ample supply and tepid demand in the region. The arbitrage window to export Pacific cargoes to Europe remains shut and the supply overhang is likely to weigh down prices in Asia this week. India will announce its oil products demand numbers for March this week. The market will be looking for signals on whether India's gasoil demand have started to pick up ahead of the federal elections, when demand for commercial transportation normally goes up. China is expected to release its trade data for March this week. In which, crude imports could show a drop amid destocking activity and the ongoing maintenance season in the second quarter. China's crude oil imports have been hovering above 10 million b/d for four continuous months. Meanwhile, oil product exports are more likely to rebound. Supramax freight rates dropped lower last week and market participants expect the trend to continue in the coming week on the back of poor demand from coal cargoes within the Pacific. Availability of vessels has continued to increase and rates are headed towards being done on arrival pilot station or APS basis. View Full Transcript This week: eyes are on the impact of India’s elections on gasoil prices, China’s crude oil import data, the trend in Supramax freight rates, and Asia’s appetite for Colombian thermal coal. But first, in LNG, markets expect the Platts JKM – the benchmark for LNG spot prices in North Asia - to remain under pressure despite the rebound in UK gas prices, with ample supply and tepid demand in the region. The arbitrage window to export Pacific cargoes to Europe remains shut and the supply overhang is likely to weigh down prices in Asia this week. So here’s what we want you to tell us via Twitter with hashtag PlattsMM: Will Asian spot LNG prices remain de-linked from European gas prices this week? Now in oil, India will announce its oil products demand numbers for March this week. The market will be looking for signals on whether India's gasoil demand have started to pick up ahead of the federal elections, when demand for commercial transportation normally goes up. India's February oil demand rose 3.8% year on year to about 4.88 million b/d. Still in oil, China is expected to release its trade data for March this week. In which, crude imports could show a drop amid destocking activity and the ongoing maintenance season in the second quarter. China's crude oil imports have been hovering above 10 million b/d for four continuous months. Meanwhile, oil product exports are more likely to rebound. In February, China’s gasoline exports fell to a 3-year low of 555,000 mt, while gasoil exports declined 18% month on month to 1.51 million mt. Moving to shipping, Supramax freight rates dropped lower last week and market participants expect the trend to continue in the coming week on the back of poor demand from coal cargoes within the Pacific. Availability of vessels has continued to increase and rates are headed towards being done on arrival pilot station or APS basis. And finally in coal, the market is waiting to see if Chinese buyers accept offers for Colombian thermal coal. Sellers are now trying to divert Colombian cargoes to Asian markets due to a slump in North West European coal prices. However, a 6% import tax and a 50-60 day voyage duration may put off Chinese buyers. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-04-08T02:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/040519-vivek-chandra-texas-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-05T11:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=iGDbp2Tued2jrhU8JZnsjb</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/040519-vivek-chandra-texas-lng.jpg</video:thumbnail_loc><video:title>Insight Conversation with Vivek Chandra, Texas LNG CEO</video:title><video:description><![CDATA[Vivek Chandra , CEO of Texas LNG and author of the book "Fundamentals of Natural Gas: An International Perspective," talks to Eric Yep , senior editor at S&P Global Platts, about the second wave of US LNG projects, what it means for Asian customers, the impact of trade war tensions and his proposed LNG export terminal.]]></video:description><video:publication_date>2019-04-05T11:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>11:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/040119-platts-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-01T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aCTqdPTS7QP6wDxwC7DyMj</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/040119-platts-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Apr 1-5: Oil market focus shifts to Africa; commodity markets eye Ukraine election results</video:title><video:description><![CDATA[In this week’s Market Movers: the African Petroleum Producers’ Organization’s congress takes place in Equatorial Guinea Wednesday; the weakness in the Turkish lira is expected to hit commodity markets after local elections; and a new refinery there is set to disrupt the diesel market in the Mediterranean. Jack Jordan , S&P Global Platts editorial lead for bunker news, presents.]]></video:description><video:publication_date>2019-04-01T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/040119-asia-commodities-trade-talks-china-vat</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-04-01T04:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=cGaHWaq5Z5N7hVqGUALvSd</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/040119-asia-commodities-trade-talks-china-vat.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Apr 1-5: China lowers VAT from April 1; Vehicle change set to boost South Korea's LPG market </video:title><video:description><![CDATA[This week in Asian commodity markets, eyes are on China's implementation of value added tax cuts, South Korea's tax reduction on LNG used for power generation, and Japan's returns to the thermal coal spot market. Trade talks between the US and China also remain in the spotlight. View Full Transcript This week: China cuts value added tax rates, South Korea reduces taxes on LNG used for power generation, and Japan returns to thermal coal spot market. But first, trade talks between the US and China remain in the spotlight. Negotiators resumed talks in Beijing on Friday and another round of meetings is expected this week in Washington. Watch out for hints from the meeting as to if, and when, a trade deal will be agreed that leads to the resumption of normal trade flows between the two countries. Still on China, China is dropping value-added tax rates, in a move that is generally seen as positive for commodity markets. In stimulus policies announced in early March, Beijing said it will cut the VAT in the manufacturing sector by 16 to 13 per cent, and in transport and construction by 10 to 9 per cent. The market is generally optimistic about the move, which is aimed at spurring business activity and lowering input costs. Some participants expect China's lower VAT to pressure aluminum premiums in Asia lower, as it may drive an increase in Chinese exports of aluminum and aluminum products. So for our social media question this week: Do you expect China’s lower VAT to have a significant impact on your market? Share your thoughts on Twitter with the hashtag PlattsMM. Still on taxes, South Korea is cutting taxes on LNG used for power production by 75 per cent, and raising those on thermal coal by 28 per cent. Experts say this move will likely boost the country’s LNG demand. South Korea, the world’s third largest LNG importer, bought 42.7 million metric tons of LNG in 2018. Meanwhile, traders are closely monitoring South Korea’s domestic demand for LPG this week after the country's National Assembly lifted restrictions on LPG-fueled vehicle sales. The use of LPG-fueled vehicles in South Korea has long been limited to commercial uses like taxis, buses and rental cars, but from March 26, any driver can purchase an LPG-fueled car. The move is part of initiatives to reduce the number of aging diesel-fueled cars on the road, which contribute to air pollution. The country's LPG demand is expected to rise almost 8 per cent on year to 118 million barrels in 2019 as a result. Back to LNG, market players say spot prices in North Asia are seen poised to rebound this week after falling for several weeks. Some traders are considering having their cargoes float in storage as they see the market in contango, when forward cargo prices are higher than prompt, given the current surplus of supply. Indonesia's Bontang LNG terminal is facing tank-top issues, and the country's Tangguh terminal is also reporting high inventories. And finally, in thermal coal, Japanese buyers are expected to return to the spot market after a long absence to pick up cargoes of Australian coal. Buyers had been waiting for annual term negotiations to settle for Japan's new fiscal year that begins Monday - which were settled at $94.75/mt FOB Newcastle a few days ago. The spot price of the type of Australian thermal coal preferred by Japanese buyers is currently around $83/mt, down sharply from $125/mt in the middle of last year. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-04-01T04:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/032519-europe-conferences-brexit-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-25T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=q1yVeyrRw9B2wHbTjDaejp</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/032519-europe-commodities-conferences-brexit-lng.jpg</video:thumbnail_loc><video:title>Market Movers Europe Mar 25-29: Brexit implications for power markets, UK sugar imports</video:title><video:description><![CDATA[In this week's Market Movers, presented by Arthur Richier, senior pricing specialist, EMEA shipping: Markets watch for headlines from commodities conferences; Brexit implications for power markets and UK sugar imports; regional spreads suggest more LNG will head to Europe in the coming months. View Full Transcript In this week’s highlights: There’s a slew of conferences going on; and yet again Brexit will be on the news agenda. But first: markets will be keeping a close eye on headlines out of the FT Commodities Global Summit in Lausanne, Switzerland starting Monday. The heads of the world's biggest trading companies, representatives of national oil companies such as Nigeria's NNPC and Russia's Rosneft, and officials from other top resource companies will all be in attendance. For metals, responsible sourcing of minerals and metals, including for the rapidly growing electric vehicles sector, will be a central theme. Participants are also expected to raise the question of how powerful trading hubs like Switzerland can encourage openness and good governance in an industry. Sustainability in mining will be another key theme explored by speakers from Anglo American, Rio Tinto and Antofagasta, in the light of the recent tailings dams accidents in Brazil which are already dictating policy. This takes us to our social media question: Will recent accidents in the mining sector prompt an overhaul of industry safety standards? Send your feedback by tweeting with the hashtag #PlattsMM As far as conferences go, the oil sector will be spoiled for choice. Prospects for Africa's oil industry are in focus at the African Refiners Association's ARA Week conference in Cape Town. The oil ministers of Ivory Coast and South Sudan are to give headline addresses on their countries' plans, and officials from the banking and trading sectors will discuss regional trends. And new IMO rules on bunker fuel are the focus at the Fujairah Bunkering and Fuel Oil Forum in the UAE, starting Monday. Representatives from around the Persian Gulf region, the industry globally, and the IMO itself will be discussing the impending 2020 regulations. In petrochemicals, the market will be focusing on the contract prices for most olefins and aromatics settling this week. Increases have been anticipated on most markets due to higher crude oil and feedstock prices. Naphtha prices for March were 30 dollars a metric ton higher than in February. However, the market will be questioning whether these increases can be passed on to downstream polymer markets, in which demand has been lackluster due to uncertainty surrounding Brexit and economic growth. Talking of Brexit there is set to be yet another vote on the UK government’s EU withdrawal deal next week after the EU gave the UK until April 1 to set out its next moves or leave without a deal. A so-called hard Brexit is seen as a risk by some but an opportunity by others. For power it would mean implicit auctions on interconnectors to the continent reverting to more formal, explicit arrangements. Implicit auctions are ones which happen automatically while explicit ones need to be set up, involving extra costs and time lags. There would also be a short-term risk to the Northern Ireland market, which is fully integrated with the Republic of Ireland. However, for some sugar exporting countries, a duty-free quota of 260,000 metric tons of raw sugar a year if there is no deal would mean they could fill some of the gap in UK supply currently met by white sugar from other EU countries. The UK will also allow unlimited duty-free imports from least developed countries. This would put EU white sugar at a disadvantage, because it would be subject to a 150 euros a metric ton tariff. However, in the UK the effect of the Brexit process is pushing the pound down against the dollar and euro, raising pound-denominated commodity prices. UK Consumer Price Index inflation has been around 2% per month since the 2016 referendum on leaving the EU, with rising gasoline, diesel and gas prices driving upward contributions. And finally Europe could be set for more LNG imports in the coming months as the key European gas benchmark TTF moved to a premium to the Asian spot LNG JKM price. The JKM price has been in freefall in recent months, driven by lower Asian demand due to a mild winter and healthy stocks. European gas prices have also been on a bear run due to high LNG imports, ample stocks and milder weather. Despite this, for May delivery the TTF is now trading almost 30 cents per million British thermal units higher than the JKM. Thank you for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2019-03-25T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032519-asia-commodities-cyclone-veronica-iron-ore-crude-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-25T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gkyJDQ7w8TzU9B93YLDQFG</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/032519-asia-commodities-cyclone-veronica-iron-ore-crude-oil.jpg</video:thumbnail_loc><video:title>Cyclone Veronica seen to impact iron ore, crude oil loadings</video:title><video:description><![CDATA[Port facilities at Port Hedland and Dampier remain on high alert , with Cyclone Veronica moving through Western Australia. Crude oil loadings from the region's ports could face delays, while the shipment of over 10 million mt of iron ore is expected to be disrupted due to port closures . In LNG, Platts JKM hit a 34-month low amid high supply and scarce North Asian demand. The Indian spot market is likely the only steady demand center in the global LNG market. In petrochemicals, the fatal blast at Yancheng Jiangsu chemical plant is likely to spur safety checks across China and could push up the prices for some petrochemical products. And in coal, seaborne demand for Indonesian mid-CV coal tapers off as Indian buyers turn to South African thermal coal as a cheaper alternative. High thermal coal stockpiles at northern China ports have dampened Chinese seaborne demand as well.]]></video:description><video:publication_date>2019-03-25T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032019-lng-snapshot-europe-russia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-20T21:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yXVTfG4SrHWwNCvBHvAmAj</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/latest-news/032019-lng-snapshot-mosis.jpg</video:thumbnail_loc><video:title>European LNG chronicles: The Russia question</video:title><video:description><![CDATA[One year ago, markets were uncertain if Europe would, or even could, absorb the record levels of LNG forecast by Platts Analytics to be coming its way. Today, with total LNG imports into Northwest Europe more than doubling and expected to remain elevated through the rest of the year, Senior LNG Analyst Samer Mosis says the question is no longer if, but for how long Europe will be able to continue importing this level of LNG.]]></video:description><video:publication_date>2019-03-20T21:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/031819-market-movers-europe-brexit-rotterdam-bunker-wind-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-18T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6ftjro4vbVf5sh7jQSAeXG</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/031819-market-movers-europe.jpg</video:thumbnail_loc><video:title>Market Movers Europe Mar 18-22: Market eyes Brexit developments; Rotterdam bunker market faces delay</video:title><video:description><![CDATA[Brexit developments, Rotterdam bunker market delays, and the end of a recent surge in wind power are on the agenda in this week's Platts Market Movers, presented by petrochemicals pricing specialist Simon Price.]]></video:description><video:publication_date>2019-03-18T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031819-asia-commodities-china-vat-opec-meeting</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-18T02:27:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FnHzzYkhK2kDxR7cB8g4WT</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/031819-asia-commodities-china-vat-opec-meeting.jpg</video:thumbnail_loc><video:title>Market Movers Asia, March 18-22: All eyes on OPEC/non-OPEC committee meeting, China's VAT cut</video:title><video:description><![CDATA[China's announcement on implementing value-added tax cuts from April 1 is expected to inject positive sentiment into commodity markets in the coming days on expectations of higher demand for raw materials like including coal, steel, crude oil, refined oil products, and petrochemicals. This week, eyes are also on headlines from the OPEC/non-OPEC market monitoring committee meeting , more details on 2019 targets from China's oil and gas giants, the ongoing term contract talks between Australian thermal coal producers and Japanese buyers, and the movement of LNG prices, which are expected to remain under pressure. View Full Transcript This week: the OPEC/non-OPEC market monitoring committee is set to meet, China's oil and gas giants are expected to disclose more details on their 2019 targets, a slew of refinery maintenance activities will be kicking off, term contract talks between Australian thermal coal producers and Japanese buyers enter a crucial stage, and LNG prices remain under pressure. But first, China will implement value-added tax cuts from April 1, a move that is expected to boost the economy by lowering cost burdens and stimulating sales. The VAT reduction comes after recent cuts to income taxes and social insurance premiums, and is expected to boost cash flows and liquidity among companies, eventually encouraging manufacturing, production, and consumer demand. The announcement is expected to inject positive sentiment into commodity markets in the coming days on expectations of higher demand for raw materials like including coal, steel, crude oil, refined oil products, and petrochemicals. So for our social media question this week: Do you think China is doing enough to boost the country's demand for industrial commodities? Share your thoughts on Twitter with the hashtag PlattsMM. Still on China, the country's oil and gas giants, including CNOOC and PetroChina, are expected to give more details on their 2019 targets when they release their respective annual financial and operational results for 2018. A significant rise in their capital expenditures for upstream investment could boost production for China's energy security. Market players will keep an eye on investment announcements and operation plans against the backdrop of the ongoing US-China trade tension, tighter fuel regulations as well as the expected slowdown in the economy. Looking at the wider oil market, eyes are on headlines emerging out of a key six-country OPEC/non-OPEC market monitoring committee on Monday in Baku. The meeting in Azerbaijan's capital is taking place ahead of the full coalition's meeting in Vienna on April 17-18 and may shed some light on the group's output policy decision next month. In Asia, light distillate traders in the region will be keeping a close watch on the slew of refinery maintenance activities scheduled to kick off this week, which could cause a drop in gasoline supply in the region. Malaysia's Petronas, for one, plans to start the maintenance program of its Kertih refinery on March 20. South Korea's Hyundai Oilbank will shut its 130,000 b/d condensate splitter in Daesan in early April. Expectations of tighter supply have been shaping the bullish sentiment recently. S&P Global Platts data show that FOB Singapore 92 RON gasoline crack against front-month ICE rallied to hit a new five-month high of $5.80/b last week. Moving on to LNG, North Asian spot prices could remain under pressure with persistently muted end-user demand in the region and a robust April to May supply. There were 7 to 8 cargoes heard available for the next two months, amid limited buying interest. Market sources say that JKM prices have yet to find a floor, despite already being at a 20-month low while the Brent slope equivalent is at an over 8-year low. In thermal coal, the market is waiting for the outcome of the talks between Australian producers and Japanese buyers for term contracts over Japan’s financial year from April 2019 to March 2020. Sources say the talks are at a crucial stage, with both sides wrestling over a range from the low 90s to mid-100 dollars per metric ton. Newcastle 6300 GAR prices have fallen to 90 dollars per metric ton FOB, and last year’s price of 110 dollars per metric ton for Japanese contracts looks out of reach. Finally, S&P Global Platts will hold a cross commodity Market Insights Forum on March 19 and 20 in Beijing, to discuss the environment, innovation, economic transformation and shifting global geo-politics and its impact on China as well as the wider commodities market. We hope to see you there. That's it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-03-18T02:27:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/031319-platts-launches-gas-indices-america</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-13T18:27:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yZ3GHCWand7vjpxXrjWMgt</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/our-methodologies/gia-screenshot.jpg</video:thumbnail_loc><video:title>S&amp;P Global Platts launches Gas Indices America (GIA) natural gas indices</video:title><video:description><![CDATA[The physical North American natural gas market has significantly changed in the past several years due to dramatic increases in Northeast gas production, reversal of flow of existing pipelines, new pipeline projects, and increasing sources of demand such as power generation, LNG exports, and exports to Mexico. As a means of reflecting these dramatic shifts and its resulting regional volatility, on October 29, S&P Global Platts, in partnership with Intercontinental Exchange, launched the Gas Indices America, or GIA, a suite of four regional prices, and a national average published daily. This suite of natural gas indices represent a unique collaboration between pricing and analytics data, where Platts Analytics pipeline nomination data is used to determine the basket of 20 trading locations across four regions, and is also used to determine how to weight locational and regional prices. The utilization of analytics, and seasonal adjusting allow for GIA to adjust with these changes in the North American natural gas market. Ryan Ouwerkerk , Manager, Americas Natural Gas Pricing, and Mark Callahan , Editorial Director, Americas Generating Fuels and Power Pricing, explain the GIA.]]></video:description><video:publication_date>2019-03-13T18:27:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>7:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/031319-graham-stuart-minister-for-investment-uk-department-of-international-trade</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-13T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=M5sLiKYiGR8mAYzhG3wxfG</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/031319-graham-stuart-minister-for-investment-uk-department-of-international-trade-web.jpg</video:thumbnail_loc><video:title>Insight Conversation with Graham Stuart, Minister for Investment, UK Department of International Trade</video:title><video:description><![CDATA[Graham Stuart, UK Minister for Investment talks to S&P Global Platts head of news in EMEA about the prospects for energy investors in Britain after Brexit.]]></video:description><video:publication_date>2019-03-13T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>07:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/031119-commodities-watch-for-crunch-vote-on-brexit</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-11T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Bgp9CSzicCfVW431ucS2KA</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/031119-commodities-watch-for-crunch-vote-on-brexit-web.jpg</video:thumbnail_loc><video:title>Commodities watch for crunch vote on Brexit</video:title><video:description><![CDATA[In this week's Market Movers, with Shubhlakshmi Shukla, Editor, European Electricity Markets: The commodities market awaits key votes on Brexit, and oil traders assess market conditions amid global economic weakness. The UK parliament votes yet again on Prime Minister Theresa May's Brexit deal again. The outcome has the potential to affect commodity markets such as oil, petrochemicals and metals. If the UK leaves the EU without an agreement on March 29th, WTO rules may mean that some oil products that were previously exported are redirected to the domestic market. In petrochemicals, the market is bracing itself for a possible economic downturn, currency volatility and potential disruption to supply chains. And in metals, UK steelmakers would continue to be protected by EU steel import quotas after Brexit. Meanwhile, contractors at Total's North Sea oil and gas platforms hold the first in a series of strikes today, with a further strike at the Shetland Gas Plant on Wednesday. Finally, it could be an interesting week for metals traders, with the LME launching seven new cash-settled futures contracts on Monday. View Full Transcript In this week's highlights: the commodities market awaits this week's key votes on Brexit, and oil traders assess market conditions amid global economic weakness. The UK parliament votes yet again on Prime Minister Theresa May's Brexit deal again this week. The outcome has the potential to affect commodity markets such as oil, petrochemicals and metals. The sticking point for many MPs has been the arrangement known as the Irish backstop, which is intended to avoid a hard border between the Republic of Ireland and Northern Ireland. EU and UK negotiators have been working over the weekend to come up with a deal acceptable to hardline Euroskeptics in May's Conservative Party and the Northern Irish Democratic Unionists. Should May lose Tuesday's vote, parliament will vote on Wednesday on whether to rule out a no-deal Brexit. On Thursday, there would then also be a vote on whether to delay the UK's departure by two months to reach an agreement. But this would require the agreement of the other 27 EU member states. If the UK leaves the EU without an agreement on March 29th, WTO rules may mean that some oil products that were previously exported are redirected to the domestic market. In petrochemicals, the market is bracing itself for a possible economic downturn, currency volatility and potential disruption to supply chains. This would hit the UK and European polymers market in particular. And in metals, UK steelmakers would continue to be protected by EU steel import quotas after Brexit. However, the industry is worried that extra value-added costs may be liable on trade with the rest of Europe, potentially suppressing demand for UK exports. If the UK leaves the EU without a deal, it is expected to become subject to WTO rules on trade, involving varying import and export tariffs. This could mean, for example, that UK aluminum products would become liable to 3% tariffs upon import into the EU, while UK car components would incur a 4.5% EU import tax. Away from Brexit, but sticking with disputes. Contractors at Total's North Sea oil and gas platforms hold the first in a series of strikes today, with a further strike at the Shetland Gas Plant on Wednesday. The 24-hour strike is likely to hit natural gas and oil output although the actual operational impact remains unclear. Total has yet to provide notification of any shutdown. Workers at Total subcontractors Aker and Petrofac are protesting against changes to their offshore rotas and are set to strike at the Elgin, Franklin, Alwyn and Dunbar platforms. Elsewhere, several reports due out this week should provide a steer on the state of play in global oil markets. The International Energy Agency provides a double bill: it publishes its five-year outlook, Oil 2019, Monday, and its monthly oil market report on Friday. OPEC publishes its monthly oil market report on Thursday. It comes amid economic jitters and S&P Global Platts Analytics data showing a fall in the US oil and gas rig count to a 14-month low – that's the chart you can currently see on your screen. Commentary on that trend is likely to come from this week's CERA Week conference, which will be taking place in Houston. Finally, it could be an interesting week for metals traders. The LME will launch seven new cash-settled futures contracts on Monday. The contracts are a response to the metals industry's growing need to manage price risks across its production and value chains in volatile markets. The launch shows a strong commitment to steel – considered a relatively conservative sector that has been slow to take up hedging. There the LME launches of two hot-rolled coil contracts. That follows a recent increase in trading volumes in the exchange's steel scrap and rebar futures, which have together traded more than 10 million mt to date. In aluminum, the LME is launching an alumina contract and aluminum premium duty paid and unpaid contracts to complement its global primary physical aluminum contract. New contracts are also being launched for minor metals molybdenum and cobalt, which has suffered wide price fluctuations due to new demand from the electric vehicles sector. The exchange is set to launch a lithium contract later this year. Thanks for kicking off Monday with us and have a great week ahead]]></video:description><video:publication_date>2019-03-11T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031119-asia-commodities-china-vat-india-economy</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-11T03:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jFHTAZwJRxvpaDnjkhQhkH</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/031119-asia-commodities-china-vat-india-economy.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Mar 11-15: China VAT cut, India data in focus </video:title><video:description><![CDATA[This week in Asia: all eyes are on China and India's economic data, Japan's second quarter aluminum contract talks, and the hot destination for Australian coal. Markets are also digesting Beijing's announcement to cut value added tax, which was generally welcomed by commodity markets.]]></video:description><video:publication_date>2019-03-11T03:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030719-brent-crude-oil-volatility-outlook-march-2019</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-07T15:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Y2msUfxCh4PUu4kzhbKNfs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/030719-brent-crude-oil-volatility-outlook-march-2019-web.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: March outlook</video:title><video:description><![CDATA[Vito Turitto , S&P Global Platts quantitative analyst: February's crude oil arbitrage flow to the Far East kept market prices high, but an increase in forecast WTI Midland barrels entering Europe could put a cap on Brent prices. Expectation ahead of the US-China trade talks is largely positive and the production cuts promised by OPEC members should keep market buying high. With US shale oil production hitting a record 8.4 million b/d in March and February’s total US crude output reaching 12 million b/d for the first time could increase market turbulence. Nevertheless, fundamentals should support a low volatility environment and a slow, gradual price uptrend.]]></video:description><video:publication_date>2019-03-07T15:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:50 mins</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030619-china-lng-spot-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-06T10:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XjdUt4BcVy1AfNG22MvXXk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/030619-china-lng-spot-demand.jpg</video:thumbnail_loc><video:title>China's LNG counter-seasonal spot conundrum: winter overdose, summer shortage</video:title><video:description><![CDATA[The Chinese LNG market saw a counter-seasonal conundrum in 2018, with domestic gas shortages over the summer fueling robust short-covering demand. At the same time, early preparation, mild weather as well as a weaker economy stemming from the US-China trade tension cooled a strong winter comeback. Fan Shi Yun , S&P Global Platts associate editor covering LNG markets, says that moving forward, China's presence in the spot LNG scene is expected to become the new normal, rather than a surprise factor.]]></video:description><video:publication_date>2019-03-06T10:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/030419-oil-firms-expected-to-issue-full-year-results</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-04T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=371CrKsBuQb6xnqHPPP73Y</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/030419-oil-firms-expected-to-issue-full-year-results-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Mar 4-8: Oil firms expected to issue full-year results</video:title><video:description><![CDATA[In this week's Market Movers, with Leon Izbicki: Full-year results beckon for firms across commodity markets, while the European gas markets will be fully focused on the prospect of potential LNG imports. First off, earnings season continues this week for the oil markets, and Monday sees Russia's Lukoil release its 2018 annual report. And more data on OPEC's output cuts will be out as S&P Global Platts releases its monthly survey on compliance with the output limit. Our social media question for the week is: Will pressure from the US prevent further OPEC production cuts in 2019? You can let us know your thoughts using the hashtag #PlattsMM. Staying with oil , traders are anticipating an increased flow of jet fuel cargoes into Europe. Earnings season is also continuing over in the steel market. On Wednesday, attention will focus on Metinvest's financial results announcement for 2018. Meanwhile, in natural gas, Europe could be set for more LNG imports in the coming months, as key European gas benchmark TTF has reached near parity with the JKM Asian LNG price . Finally, in petrochemicals , the market will be keeping an eye on global tightness in acrylonitrile, which is used to make synthetic rubber and fibers. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: full-year results beckon for firms across commodity markets, while the European gas markets will be fully focused on the prospect of potential LNG imports. But first to oil markets, where earnings season continues this week, and Monday sees Russia’s Lukoil release its 2018 annual report. With Russia a key player in the OPEC/non-OPEC alliance, the market will want to analyze to what extent OPEC-led production cuts are affecting Lukoil’s outlook. More data on those OPEC cuts will come out this week, as S&P Global Platts releases its monthly survey on compliance with the output limit. The data will provide an idea of the extent to which countries are keeping to prescribed output levels. Last week, US president Donald Trump took to Twitter again to criticize rising oil prices, asking OPEC members to “relax and take it easy.” That brings us to this week’s social media question: Will pressure from the US prevent further OPEC production cuts in 2019? Like the US president, you can also take to Twitter, and let us know your thoughts using the hashtag #PlattsMM. Staying in the oil markets, traders are anticipating an increased flow of jet fuel cargoes into Europe. This expectation has already been leading to weakness in the market for aviation fuel. Arrivals from the Arab Gulf and West Coast of India are currently being pegged at 1.5 million metric tons for March, according to Platts trade flow software cFlow. That is a year-on-year increase of 50%. The front- and second-month jet fuel differential swaps to the corresponding ICE low sulfur gasoil futures hit fresh one-year lows at the end of last week. Earnings season is also continuing over in the steel market. On Wednesday attention will focus on Metinvest’s financial results announcement for 2018. It comes after a year of challenges for the major Ukrainian integrated steelmaker. Last year, Metinvest had to contend with tensions with Russia in the Azov Sea, competition from eastern Ukrainian mills seized by pro-Russian authorities, as well as trade barriers, particularly in the EU, its largest market. Switching our focus from steel to gas, Europe could be set for more LNG imports in the coming months, as key European gas benchmark TTF has reached near parity with the JKM Asian LNG price. As you can see from our chart, the JKM spot Asian LNG price has been falling in recent weeks, driven by a mild winter season and healthy stocks in Asia. While European gas prices have also been on a bear run due to strong LNG imports, robust stocks and a milder weather outlook, the spread to the JKM marker still narrowed. The Asian premium over the UK’s NBP hub was just 10 cents per million BTUs last week. That means spot LNG cargoes from the Atlantic basin have an even greater price incentive for delivery into Europe, rather than Asia. Lastly, in petrochemicals, the market will be keeping an eye on global tightness in acrylonitrile, which is used to make synthetic rubber and fibers. Chemicals producer Ineos recently declared force majeure on supplies from its Seal Sands plant in northeast England and from its Green Lake plant in Texas. Coupled with the ongoing turnaround of Formosa’s Mailiao plant in Taiwan, the ACN market has been experiencing global tightness with little product available on the spot market. As you can see from our data, prices rose 8% over the last two weeks, and 12% since the beginning of the year, in part due to stronger demand from the acrylic fiber sector, but largely due to the shortage of product on the spot market. With further maintenance works planned globally in April and May, prices are likely to continue their upward trend, putting pressure on the margins of acrylic fiber producers. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-03-04T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/030419-asia-commodities-china-sessions-india-pakistan-conflict</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-04T02:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=262G9DsD51xmuyMEFTaK6u</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/030419-asia-commodities-china-sessions-india-pakistan-conflict.jpg</video:thumbnail_loc><video:title>Market Movers Mar 4-8: China's 'Two Sessions'; India-Pakistan tensions in focus</video:title><video:description><![CDATA[This week, Asian commodity markets will be on the lookout for any new key announcements from China after key political meetings that will provide cues on measures that Beijing will undertake to boost its economic growth. Also in focus: on the ongoing India–Pakistan geopolitical conflict, India's appetite for LNG, and China’s strong interest in Indonesian thermal coal and Chinese domestic supply. View Full Transcript This week: Asian commodity markets will keep an eye on the ongoing India–Pakistan geopolitical conflict, India's appetite for LNG, and China’s strong interest in Indonesian thermal coal and Chinese domestic supply. But first, markets will be on the lookout for any new key announcements from China after key political meetings happening this week that will provide cues on measures that Beijing will undertake to boost its economic growth amid the ongoing US-China trade tensions as well as weakening domestic consumption growth. The meetings could also give a direction to future growth in different sectors and set the stage to estimate the demand-supply fundamentals. The recent military tensions between India and Pakistan are also keeping commodity industry players on enterhooks. Any escalation of conflict between the two countries may impact currency markets and in turn affect their respective oil import bills. Other commodities such as gold and shipping markets in the region could also be affected if the conflict persists although efforts are underway to de-escalate the tensions on the India-Pakistan border. In LNG, India's buying interest for spot cargoes is in focus this week. Subdued demand from northeast Asia end-users lacking incremental spot requirements contrasted with firm buying interest from their Indian counterparts last week. India’s appetite for LNG saw the JKM-India price spread hit the narrowest in over 15 months and market players would be keen to watch if demand from the South Asian country will continue. And finally in thermal coal, market players expect the uptrend in seaborne and Chinese domestic prices to continue amid import curbs on Australian coal as well as stringent mine checks in the aftermath of the Inner Mongolia mine accident last month. Kalimantan low-CV thermal coal demand experienced a bullish week as demand for low CV coal came back strongly after the Lunar New Year. That's it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-03-04T02:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030119-imo-2020-energy-commodities</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-03-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BSQx2bAjEdeS4XwNb1xf5y</video:player_loc><video:thumbnail_loc /><video:title>IMO 2020 and the impact on energy and commodities</video:title><video:description><![CDATA[The flow of oil and products through the Port of Rotterdam will undergo a dramatic shift due to the upcoming 0.5% sulfur cap for marine fuels. Jack Jordan , editorial lead, bunker news, at S&P Global Platts, explores IMO 2020 and its likely impact across markets for oil, shipping, gas, power, oil, metals, petrochemicals and agriculture. Read our special report, Turning tides: The future of fuel oil after IMO 2020 .]]></video:description><video:publication_date>2019-03-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/022519-world-of-oil-in-london-for-ip-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-25T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=umCJ7FW1eFUBaeb57BgUKB</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/022519-world-of-oil-in-london-for-ip-week-web.jpg</video:thumbnail_loc><video:title>World of oil in London for IP Week</video:title><video:description><![CDATA[In this week's Market Movers, with Sam Eckett, Associate Editor, Freight Markets: Freight markets brace for another potential round in the US-China trade war; The wheat market will be looking to EU export data; and ExxonMobil is set to say if it has struck gas in the Eastern Mediterranean. First off, the movers and shakers of the oil world will be in London for IP Week. S&P Global Platts London Oil and Energy Forum is being held this Monday, and conference itself gets underway on Tuesday. An issue looming closer for the container and dry bulk freight markets than IMO 2020 is the potential impact of the US-China tariffs due to come into force on March 2. Data set to be released by the EU Crops Market Observatory will be closely scrutinized to see if it shows a rise in the pace of the bloc's wheat exports. Meanwhile, the European coal market will be focusing on imports. Several cargoes of South African and Australian coal are scheduled to arrive in the ARA hub this week. And finally, US major ExxonMobil is this week expected to announce the results from two key gas wells it has recently drilled offshore Cyprus. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week's highlights: Freight markets brace for another potential round in the US-China trade war; The wheat market will be looking to EU export data; and ExxonMobil is set to say if it has struck gas in the Eastern Mediterranean. But first, the movers and shakers of the oil world will be in London for IP Week. S&P Global Platts London Oil and Energy Forum is being held this Monday, and conference itself gets underway on Tuesday. Key speakers at IP Week include BP CEO Bob Dudley and Saudi Aramco CEO Amin Nasser. On Wednesday climate change and its significance for markets comes under the microscope, with speeches from the upstream chiefs of BP and Total, and UK international trade secretary Liam Fox. On Thursday the Middle East is the focus, with a speech from UAE energy minister Suhail Al. Refining, Africa, and Russia are among the numerous other topics under discussion during the week as well as and new rules on the shipping industry's fuel oil consumption, known as IMO 2020. An issue looming closer for the container and dry bulk freight markets than IMO 2020 is the potential impact of the increased US-China tariffs, which were due to come into force on Saturday. The tariffs were likely to cut US imports along trans-Pacific trade lanes, resulting in falling freight rates. However, on Sunday US President Donald Trump said that the scheduled increase in tariffs would be delayed, as Washington and Beijing looked to make "additional progress" at further talks. China has proposed purchasing a further $30 billion worth of US agricultural products including soybeans, corn and wheat as part of a possible trade deal. Nevertheless, further falls are expected in the container markets over the course of the week before rates begin to rise again as Chinese industry comes fully back on line in March. And trade will be on the minds of the EU and Black Sea wheat markets later Monday. Data set to be released by the EU Crops Market Observatory will be closely scrutinized to see if it shows a rise in the pace of the bloc's wheat exports. Should the data bolster EU prices, this in turn might bring buyers back to the Russian deep water port wheat market. Due to competitive prices from alternative origins such as the EU, Russian Black Sea 12.5% protein wheat prices are hovering at two and a half month lows. While the wheat market looks to exports, the European coal market will be focusing on imports. Several cargoes of South African and Australian coal are scheduled to arrive in the Amsterdam-Rotterdam hub this week as weak demand from Asian markets forces sellers to look to Europe. These cargoes are arriving into an already oversupplied market. As you can see from the chart, CIF ARA thermal coal prices have been on a downtrend since the start of the year. Adding to the pressure are reports that some Chinese coal terminals have been instructed to raise clearance times for Australian cargoes dramatically, with the implication of halting Australian coal deliveries altogether. This could mean Australian coal looking for alternative homes, displacing coal from other origins into Europe. And finally, US major ExxonMobil is this week expected to announce the results from two key gas wells it has recently drilled offshore Cyprus. There have already been two significant gas finds in the waters south of Cyprus, Noble Energy's Aphrodite and Eni's Calypso. Block 10, where Exxon and partner Qatar Petroleum are drilling, is seen as similarly prospective. A big find in Block 10 could shift the gas dynamics in Cyprus and the wider East Mediterranean, with a stand-alone Cypriot LNG export plant and pipeline exports to Europe or Egypt all possible future options to monetize the gas. [GRAPHIC OUT] Interest in the East Mediterranean has been high since the discovery of the supergiant Zohr field off Egypt in 2015. However, the geopolitics of Cyprus mean all might not be plain sailing. Cyprus has been divided since 1974 between the internationally recognized Republic of Cyprus and the Turkish Republic of North Cyprus, which is only recognized by Turkey. Turkey and Northern Cyprus have long complained that exploration and drilling offshore Cyprus sanctioned by the internationally recognized government is unlawful and that any natural resources should be divided between the Republic of Cyprus and Northern Cyprus. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-02-25T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/022519-asia-commodities-trade-talks-oil-lng-trump-kim</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-25T02:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5LsfMYVoWbc1DHFwRGk7yU</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/022519-asia-commodities-trade-talks-oil-lng-coal-iron-ore.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Feb 25-Mar 1: Trump delays tariff hikes on Chinese goods; 2nd US-North Korea summit set</video:title><video:description><![CDATA[This week, the US-China trade talks remain in the spotlight, US President Donald Trump is expected to meet North Korean leader Kim Jong Un, LNG spot prices hit new low, and solid buying interest from China heard for Indonesian low calorific value thermal coal. View Full Transcript This week: US and North Korean leaders are set to meet, LNG spot prices hit new low, and solid buying interest from China heard for Indonesian low calorific value thermal coal. But first: US President Donald Trump tweeted about a delay in adding Chinese tariffs that were scheduled to begin on March 1, but did not specify a new deadline. Trump is planning a summit in late March with Chinese President Xi Jinping in Florida, assuming both sides made additional progress. Ahead of this, China has agreed to buy up to $1.2 trillion in goods from the US as part of the current negotiations to end the trade war between the countries. Are you confident that the US will delay the deadline? And Will the US and China reach a wider consensus on the outcome of the trade talk? Share your thoughts on Twitter with the hashtag PlattsMM. Now another big geopolitical event to watch out for in Asia is the meeting between Trump and North Korean leader Kim Jong Un in Hanoi, Vietnam, on February 27-28. This is the second time the two leaders are meeting within one year, and markets will be watching out for any firm commitment from either side, which could ease tensions and boost positive sentiment in North Asia. In oil, Francis Fannon, assistant secretary at the US State Department's Bureau for Energy Resources, visited Japan and South Korea last week. The focus was on energy security, regional cooperation as well as the importance of energy diversification in the Indo-Pacific region. The visit comes at a time when East Asian oil consumers are calling for their 180-day sanctions waiver on Iranian oil imports to be extended beyond May 4. Moving to metals, Australia’s Fortescue Metal Group has reduced discounts for March term contracts of lower grade fines and this will increase the cost of raw materials for end-users. Market participants expect buying interest to shift from low to medium grade fines with the spread narrowing but persistently weak steel margins continue to keep demand muted. In the Asian LNG spot market this week, buyers and sellers would be evaluating if prices have bottomed out, after the benchmark JKM hit over a 17-month low. Market participants say weak LNG prices along with the Brent/JKM slope below 10% should encourage some buying interest this week. And finally in thermal coal, seaborne thermal coal prices are seeing an uptrend. Chinese traders have returned to the market after the Lunar New Year holidays to demand Indonesian low calorific value thermal coal. The rains in Indonesia’s Kalimantan provinces have limited production and with the government imposing quota restrictions on miners who did not fulfil their domestic market obligation in 2018, sentiment has turned more bullish. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-02-25T02:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022119-outlook-2019-asia-met-coal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-21T03:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4e393sPbe53JKaR2fiMQna</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/022119-outlook-2019-asia-met-coal.jpg</video:thumbnail_loc><video:title>What's in store for Asian metallurgical coal markets this year? </video:title><video:description><![CDATA[The metallurgical coal market faced a number of surprises in 2018, with Chinese environmental policies, strong thermal coal markets and other factors leading to changes in the price relationships between coal quality segments and the availability of specific brands. At the same time, overall spot liquidity had been lower than the previous year as China tightened import controls, while global steelmakers opted to procure more coal via term contracts. Jeffery Lu, S&P Global Platts Managing Editor for Metallurgical Coal & Coke, examines the factors that could influence the market in 2019.]]></video:description><video:publication_date>2019-02-21T03:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021819-oil-markets-eye-nigerian-election-result</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-18T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JxqaNoYtpcnQBNC6wNdW3g</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/021819-oil-markets-eye-nigerian-election-result-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 18-22: Oil markets eye Nigerian election result</video:title><video:description><![CDATA[In this week's Market Movers, with Emma Kettley, associate editor, crude oil: The European steel market looks to see what assets will have to be sold off for the Thyssenkrupp-Tata Steel merger; gas and power traders are looking closely at the weather; and an icy blast hits petrochemical shipments from Russia. But first, oil markets will be looking to Tuesday, when the results of Saturday’s presidential elections in Nigeria are set to be announced. Meanwhile, oil traders will also be watching the Brent/Dubai exchange for swaps this week, as a narrow Brent/Dubai spread is bolstering arbitrage economics for Atlantic Basin crudes to Asia. This week’s social media question is: Do you expect to see more Atlantic Basin crudes heading to Asia? Tweet us your thoughts with the hashtag #PlattsMM . The European steel market will be looking to see which assets Thyssenkrupp and Tata Steel Europe will be required to sell off for competition reasons to be able to proceed with their planned merger. The natural gas market will be wondering whether a prolonged period of warm weather across northwest Europe forecast for the rest of February limits heating demand. The power markets will also be watching the elements, namely the wind, with WindEurope set to publish its annual capacity review and forecast this week. And finally, the European petrochemicals sector will be will keeping an eye on logistical issues at the Finnish-Russian border caused by adverse weather. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s Market Movers: The European steel market looks to see what assets will have to be sold off for the Thyssenkrupp-Tata Steel merger; gas and power traders are looking closely at the weather; and an icy blast hits petrochemical shipments from Russia. But first, oil markets will be looking to Tuesday, when the results of Saturday’s presidential elections in Nigeria are set to be announced. The elections come against the backdrop of the threat of renewed militancy in the oil-rich Niger Delta, many of whose residents live in abject poverty despite Nigeria’s billions of dollars in oil revenues. The country's two main presidential candidates differ in their oil sector policies. Incumbent President Muhammadu Buhari of the All Progressive Congress advocates a continuation of a largely state-controlled oil sector. Rival and former vice president Atiku Abubakar, of the opposition People’s Democratic Party, is proposing large-scale privatization, along with the removal of gasoline subsidies. In the past, any attempt to raise the price of gasoline has caused popular unrest. A more immediate concern is a resurgence in attacks on energy infrastructure in the Niger Delta if Buhari is re-elected. The Niger Delta Avengers, the militant group that claimed most of the attacks on Nigeria's oil installations in 2016, have publicly backed his opponent. Oil traders will also be watching the Brent/Dubai exchange for swaps this week, as a narrow Brent/Dubai spread is bolstering arbitrage economics for Atlantic Basin crudes to Asia. These crudes are priced against Brent, whereas competing grades from the Middle East and Asia are priced against Dubai. The front-month EFS dropped to its lowest in 9 years last week because of Venezuelan unrest, and cuts to OPEC production, as you can see from the chart. The big question for the market now is whether it will remain this low. There has been a pick-up in demand for March cargoes of North Sea Forties crude, and that is likely to continue if the spread remains narrow. This leads us onto our social media question: Do you expect to see more Atlantic Basin crudes heading to Asia? Tweet us with your thoughts at #PlattsMM While oil markets are looking at what might go east, the European steel market will be looking to see which assets Thyssenkrupp and Tata Steel Europe will be required to sell off for competition reasons to be able to proceed with their planned merger. The European Commission is known to have informed Thyssenkrupp in recent days of some requirements, but these have not yet been made public. Disposals may be announced in the areas of electrical, automotive and packaging steels. The deadline for the commission’s final decision on whether the merger can go ahead is April 29th. Labor union representatives say they will not approve the merger if Thyssenkrupp’s approximately 27,000 steelworkers are not guaranteed continued employment. While the EU turns up the heat on Tata and Thyssenkrupp, the gas market will be wondering whether a prolonged period of warm weather across northwest Europe forecast for the rest of February limits heating demand. As the chart shows, the region’s gas stocks are 47% higher on the year at 22 billion cubic meters, according to S&P Global Platts Analytics. These stocks, robust imports from Norway and Russia, and high LNG deliveries, could further pile pressure on the Summer 2019 European gas contracts, which are falling more quickly than Winter 2019. The power markets too will be watching the elements, in their case, the wind. WindEurope is set to publish its annual capacity review and forecast this week. S&P Global Platts analysis indicates the report will include details of around 20 gigawatts of additions this year, led by Germany, Spain, Sweden, the UK and France. That’s a record year in prospect as costs continue to fall and corporates seek to contract directly. Finally, staying with the meteorological theme, the European petrochemicals sector will be will keeping an eye on logistical issues at the Finnish-Russian border caused by adverse weather. Heavy snowfall and ice on railway tracks has already caused delays to shipments of petrochemicals to Northwest Europe, and this may continue to support prices of products the EU imports from Russia. These include acrylonitrile and benzene. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-02-18T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/021819-asia-commodities-trade-talks-jet-fuel-coal-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-18T02:41:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JeA1VSgJUXYuraUPhSCv5J</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/021819-asia-commodities-trade-talks-jet-fuel-coal-imports.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Feb 18-22: US-China trade talks resume; refiners eye jet/kero cracking margins </video:title><video:description><![CDATA[The US and China resume talks in Washington but market watchers are optimistic after Last Friday’s meetings in Beijing. US President Donald Trump says he may extend the March 1 deadline for the trade truce. This week, markets will also keep an eye on Asia jet/kero cracking margins, Indonesian sanctions against local coal producers who failed to fulfil domestic mandates in 2018, and the uncertainties over Alunorte's alumina refinery output. View Full Transcript This week in Asia, refiners eye jet/kero cracking margins, Indonesia may face coal output cuts, and the alumina markets look to Brazil for direction. But first, the US and China resume talks in Washington but market watchers are optimistic after Last Friday’s meetings in Beijing. US President Donald Trump says he may extend the March 1 deadline for the trade truce. In oil, refiners in the Asian oil markets are keeping a close watch on the Jet and Kerosene cracking margins. The Singapore front-month March paper regrade, which is the spread jet and kerosene commands over gasoil, plunged to a four-month low to just under a $1 per barrel last week. Japan's kerosene demand remains sluggish due to warmer-than-expected winter temperatures; meanwhile jet fuel demand is weak across all of Asia. South Korean refinery sources surveyed by Platts said that the country's jet fuel exports to the US may have peaked this month. In China, detailed commodity trade data for January will be published on Monday. The market will be examining Middle East and Iranian crude flows to China. S&P Global Platts' trade tracker cFlow showed that Iranian imports into China for January had fallen to 241,000 barrels per day, a multi-year low. Sources say this could be because China has stopped stockpiling Iranian crude. Moving to coal, China’s high stockpiles and port restrictions have put a damper on seaborne thermal coal markets in the past two weeks. The market is however optimistic of a recovery in Chinese domestic prices now that the holidays are over. So the social media question of the week is this: Do you think port limits will be lifted soon? Share your thoughts with us with the hashtag PlattsMM. The Indonesian government, meanwhile, may start to penalize local producers who failed to fulfill domestic mandates last year. The authorities have not specified which company or mine is sanctioned but market players say this will impact prices in 2019. In metals, the alumina market is looking to Brazil for direction. There are supply worries after Vale’s iron ore tailings dam collapse last month. This has sparked concerns about a possible delay of government approval for the Alunorte alumina refinery to ramp up output. Alunorte is the world’s largest alumina refinery but was forced to halve output since March 2018 due to environmental incidents. Until now, the refinery had seemed close to gaining clearance to return to full capacity. The run cut has removed about 242,000 metric tonnes of alumina from the market per month, creating shortfalls around the globe. Consumers in Canada, Iceland and Norway have been hit particularly hard. And finally, in shipping - sentiment in the Asia Pacific Panamax and Supramax markets remains positive after rates moved higher through last week for the first time this year. Demand from East Asian countries returning from Lunar New Year holidays continue to support the freight rates. And that’s it from us. Thanks for kicking off your Monday with us. Have a great week!]]></video:description><video:publication_date>2019-02-18T02:41:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/021319-rainer-seele-omv</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-13T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=htxz6KyjuqWb9aWBEDS75m</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/021319-rainer-seels-omv-web.jpg</video:thumbnail_loc><video:title>Insight Conversation with Rainer Seele, OMV CEO</video:title><video:description><![CDATA[Rainer Seele, CEO of Austrian oil giant OMV talks to S&P Global Platts editor Andy Critchlow about the company's latest expansion in the Middle East and his long-term goal to refocus its attention on petrochemicals .]]></video:description><video:publication_date>2019-02-13T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>11:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021319-asia-iron-ore-scrap-billet</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-13T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=29b2PK6HFBJNi9gWwsjmhR</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/021319-asia-iron-ore-scrap-billet.jpg</video:thumbnail_loc><video:title>Charting Asia's steel markets after the Lunar New Year</video:title><video:description><![CDATA[With market activity gradually returning after the Lunar New Year break, S&P Global Platts Managing Editor Keith Tan shares how post-holiday supply in China may fall short of pent-up demand. He also examines the market trend in Southeast Asia as mills switch to billet from scrap, and looks at the surge in iron ore prices following the dam breach at a Vale mine in Brazil and how it might affect steel prices moving forward.]]></video:description><video:publication_date>2019-02-13T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021119-unexpected-strength-in-fuel-oil-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-11T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Lgz6pzUf13H6z9oD2eZmFX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/021119-unexpected-strength-in-fuel-oil-market-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 11-15: Unexpected strength in fuel oil market</video:title><video:description><![CDATA[In this week's Market Movers: Vale's Brazilian woes take their toll on Europe's steel market; and a strong start is expected for an "appetizing" new price assessment in petrochemicals. But first, oil market participants will hold their breath this week as unseasonable strength in the European fuel oil market continues to surpass market expectations; while the region's gasoline market is likely to continue to struggle in the coming week, with arbitrage windows to both the US and West Africa staying firmly closed. This week’s social media question is: Will current dynamics in the refined products market persist? Tweet us your thoughts with the hashtag #PlattsMM. In metals, all eyes this week will be on European steel product prices. As a result of a dam collapse at one of Vale's iron ore mines in Brazil last month, several steelmakers have hiked prices, despite widespread expectations of a slowdown in European steel market growth rates this year. Meanwhile, a plentiful supply of Russian coal , high European stockpiles and mild weather are contributing to a drop in prices amid weak Asian demand. Also in generating fuels: US officials are expected to encourage German officials to support building LNG import infrastructure at a meeting in Berlin this week. And finally, S&P Global Platts launched a new assessment last week for polyethylene terephthalate. Otherwise known as PET, the plastic is used to make items such as bottles and food packaging. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week's Market Movers: Vale's Brazilian woes take their toll on Europe's steel market; and a strong start is expected for an "appetizing" new price assessment in petrochemicals. But first, oil market participants will hold their breath this week as unseasonable strength in the European fuel oil market continues to surpass market expectations. The dirty product's strength has come amid demand from Singapore and Saudi Arabia, due to profitable arbitrage windows. The front-month 3.5% sulfur Rotterdam barge crack spread - which measures the relative price of the product compared with crude oil - hit an all-time high last week. Meanwhile, fuel oil's discount compared with more valuable gasoline narrowed to a fresh low. The European gasoline market is likely to continue to struggle in the coming week, with arbitrage windows to both the US and West Africa staying firmly closed.Platts' key ethanol FOB Rotterdam benchmark looks set to continue That leads us to this week's social media question: Will current dynamics in the refined products market persist? Tweet us your thoughts, as always, with the hashtag #PlattsMM. In metals, all eyes this week will be on European steel product prices. On January 25, a dam collapsed at one of Vale's iron ore mines in Minas Gerais, Brazil. Vale is the world's largest iron ore producer, and the price of basic 62% iron ore has jumped by close to 30% since the accident. As a result, steelmakers ArcelorMittal, Arvedi and British Steel have hiked prices by as much as 30 euros per metric ton for some of their products since early February. That's despite widespread expectations of a slowdown in European steel market growth rates this year. Market sentiment has been aggravated by a suggestion that Vale may have to prioritize Brazilian mills' need for pellets and other products at the expense of export customers in Europe and elsewhere. From iron ore to coal - and a plentiful supply of Russian coal, high European stockpiles and mild weather are contributing to a drop in prices amid weak Asian demand. There has been a drop in delivered European thermal coal prices in the last three weeks, as you can see from the purple line on our chart. From over $85 per metric ton in mid-January, the price for thermal coal delivered to Northwest Europe fell to a little over $70 per metric ton last Friday. It previously had not dropped below $70 since early 2017. Continued weakness over the coming week would continue to push out US coals, which are fighting for market share against high calorific value, low sulfur Russian coals. Also in generating fuels: US officials are expected to encourage German officials to support building LNG import infrastructure at a meeting in Berlin this week. US deputy energy secretary Dan Brouillette is set to discuss the issue with the German government on Tuesday. There are three projects vying for support from Berlin, where the government is keen to diversify gas supplies in light of the country's planned coal phase-out. A ministry official said last week that at least one terminal will be built. The US has been a vocal supporter of German plans for LNG import infrastructure. It sees this as an alternative to Russian pipeline gas. President Donald Trump last year said Germany was "captive" to gas supplies from Moscow. Finally, S&P Global Platts launched a new assessment last week for polyethylene terephthalate. Otherwise known as PET, the plastic is used to make items such as bottles and food packaging. PET is likely to see particularly strong demand in Europe as companies increase efforts to include more recycled content in their plastic packaging. Buyers will be looking to lock in margins from this week, as many industry sources expect prices to rise. You can find the new food-grade PET pellet assessments in Polymerscan and on Platts Petrochemical Alert page 506. That's it for this week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-02-11T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021119-asia-outlook-paraxylene-benzene-styrene-h1-2019</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-11T06:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XoJ5N7Up4pccaJKEKsNhE8</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/021119-asia-outlook-paraxylene-benzene-styrene-h1-2019.jpg</video:thumbnail_loc><video:title>H1 2019 outlook: Asian paraxylene, benzene, styrene in focus</video:title><video:description><![CDATA[This year will likely be the year that opens the floodgates for massive new petrochemical capacities being brought on stream by private Chinese companies. They aim to integrate all the way upwards from their purified terephthalic acid and polyester plants to greenfield refineries, and this will bring China gradually closer to self-sufficiency, and lower the country’s import demand, which may have a big impact on the margins and production at producers in other countries. In 2019 and beyond, sectors like paraxylene, benzene and styrene monomer are starting to tilt heavily towards oversupply, potentially hitting global markets. Gustav Holmvik examines how this and other factors are shaping the region's petrochemical markets.]]></video:description><video:publication_date>2019-02-11T06:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/021119-asia-commodities-us-china-trade-talks-iron-ore-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-11T02:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aqG1UEJE4uwRD2rzV3bL9n</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/021119-asia-commodities-us-china-trade-talks-iron-ore-prices.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Feb 11-15: US, China resume trade talks; iron ore market braces for higher prices</video:title><video:description><![CDATA[Top US energy and agriculture officials return to China this week for the latest round of trade talks that could signal whether crude and LNG flows will pick up between the two countries this year or remain mired in the dispute. Meanwhile, Asian refiners are especially focused on the narrowing spreads between light and heavier crude prices as output complications from Iran, Venezuela, Mexico and other producers of heavy crudes are thought to have been more than sufficiently offset by higher exports of lighter crude from the US and Russia to East Asia. In metals, several market players are bracing for the possibility of iron ore prices touching $100/dmt in the near term. The industry benchmark Platts 62% Fe IODEX has shot up over 20% since the failure of a tailings dam at a Vale mine in Brazil, and the miner’s force majeure declaration. View Full Transcript This week: iron ore market brace for the possibility of higher prices, Chinese port restrictions delay thermal coal shipments, and calls for China to remove tariffs on US ethanol gather steam. But first, top US energy and agriculture officials return to China this week for the latest round of trade talks that could signal whether crude and LNG flows will pick up between the two countries this year or remain mired in the dispute. The talks come just two weeks before the 90-day truce ends March 1. In oil, major Middle Eastern crude producers are expected to release their new monthly official selling prices for Asian customers this week. Asian refiners are especially focused on the narrowing spreads between light and heavier crude prices as output complications from Iran, Venezuela, Mexico and other producers of heavy crudes are thought to have been more than sufficiently offset by higher exports of lighter crude from the US and Russia to East Asia. Latest Qatari crude OSPs showed that the spread between light sour land crude and medium sour marine crude fell from 75 cents/b in December to 50 cents/b for January, the narrowest it has been since September 2009. Also, industry officials, ministers and policymakers from Middle Eastern and other countries are in India to discuss oil prices, the direction of India's energy reforms, impact on trade flows of the US sanctions on Venezuelan oil, and the possibility of Washington extending India’s waiver on buying Iranian oil. In metals, a few market players are bracing for the possibility of iron ore prices to touch 100 dollars per dry metric ton in the near term. The industry benchmark Platts 62% Fe IODEX has shot up over 20% since the failure of a tailings dam at a Vale mine in Brazil, and the miner’s force majeure declaration. In the longer term, traders believe the cut in Vale’s production could have a structural impact on iron ore supply for up to a couple of years, and it could lead to a growth in Australian supply. How high do you expect iron ore prices to climb? Share your thoughts on Twitter with the hashtag PlattsMM. Meanwhile, trading activities in petrochemical markets are expected to pick up from this week as China returns to the markets after the Lunar New Year holidays. However, demand for products like monoethylene glycol could slow down, amid high inventories. MEG inventories in China at end January stood at the highest level since May 2018. In thermal coal, the main talking point continues to revolve around restrictions on Australian and Indonesian imports arriving at several Chinese ports. There have been reports of ships encountering delays in entering Chinese ports, adding to freight costs for consumers. Traders in the region will be interested to see the level of demand from China after the holidays. And finally in agriculture, all eyes are on how the US would react to an industry call for China to remove tariffs and duties on imports of American dried distillers’ grains and ethanol. The US supplies a huge chunk of China’s denatured ethanol imports but the increased tariffs China announced in January is likely to see volumes decrease significantly. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-02-11T02:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020819-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-08T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xeSYdYDKaSpzsDNZkZxfM5</video:player_loc><video:thumbnail_loc /><video:title>2019 Brent crude oil volatility: February outlook</video:title><video:description><![CDATA[Dated Brent crude oil climbed in January, supported by good arbitrage opportunities to the Far East; a narrow Brent/ Dubai EFS, and relatively good domestic demand. S&P Global Platts quantitative analyst, Vito Turitto , reports on how the uptrend in the Brent physical market arose, despite more than 800,000 b/d of WTI Midland crude being expected to arrive into Europe during February. View Full Transcript Welcome to The Snapshot - our series which examines the forces shaping and driving global commodities markets today. Dated Brent moved higher in the month of January supported by good arbitrage opportunities to the Far East, a rather narrow Brent/Dubai EFS and a relatively good domestic demand. The uptrend in the Brent physical market happened despite more than 800,000 b/d of WTI Midland are expected to arrive in Europe in the month of February. Internationally, geopolitical tensions kept weighing on the crude oil market, in fact, the majority of market participants are focusing on tensions between US and Venezuela and trade talks between the United States and China. Furthermore, the International Monetary Fund has recently lowered its forecast for global growth by 0.2% from the 3.5% it projected in October. The revision was triggered by the slowdown in China's GDP expansion and the weak economic outlook for emerging markets. However, if geopolitics is pushing crude oil prices higher the fact that the US output is almost as high as 12 million b/d, according to the Energy Information Administration, and its export averaged 3.19 million b/d in January are certainly factors that are contributing to put a cap on global crude prices. The Volatility Premium analysis indicates that the volatility curves are still very high, however, they have significantly declined in recent weeks and the downtrend is probably going to continue. This market scenario is likely to support a higher degree of market stability and a slow price uptrend. The Probability Distribution analysis implies that the fluctuation rate is trading within the 35 and 40% range which is one of the highest ever achieved by the Brent market over the last two years. Therefore, it is reasonable to assume that the volatility will tend to decrease in coming weeks and achieve the 30 - 35% range, where it has more than 11% to settle. Finally, the Volatility Cones analysis shows that both the monthly and bi-monthly volatilities are falling back towards the medium range curve implying that market participants are pricing less risk into the market. Consequently, the decrease in monthly volatility should favor a slow price uptrend, although short-term market retracements should be expected Until next time on the Snapshot - we'll be keeping an eye on the markets.]]></video:description><video:publication_date>2019-02-08T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020719-us-lng-global-spot</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-07T18:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4p4bDTD6QjQLHNQ9v8nhHq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/020719-lng-snapshot.jpg</video:thumbnail_loc><video:title>The US impact on global LNG spot markets</video:title><video:description><![CDATA[The coming two years will be banner ones for incremental US LNG exports, providing significant global market liquidity as much of those volumes will essentially be sold on a spot basis as most capacity holders will seek to capture whatever margins they can. Madeline Jowdy , senior director, global gas and LNG for S&P Global Platts, examines the forces shaping the market.]]></video:description><video:publication_date>2019-02-07T18:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/020419-oil-looks-to-iran-venezuela-and-q4</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-02-04T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5qoiJw7wVYQBo2wNzG7JM5</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/020419-oil-looks-to-iran-venezuela-and-q4-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Feb 4-8: Oil looks to Iran, Venezuela and Q4</video:title><video:description><![CDATA[In this week's Market Movers: The metals and mining industry converges on Cape Town; and sentiment in the container freight market is contained. George Griffiths , editor, global container freight market, reports from London. But first, reactions in corporate results statements, due this week, are likely to reflect tensions over Iran and Venezuela, which continue to dominate the oil market. Meanwhile, We can also expect fresh insights into the market, February 4, as Russia publishes national oil production data. This week’s social media question is: What will be the impact of the Venezuelan crisis on oil prices? Tweet us your thoughts with the hashtag #PlattsMM . Elsewhere, industry executives will gather for the Indaba conference in Cape Town, with talk expected to focus on whether there is space for more mergers and acquisitions in the gold sector; while another hot topic for debate will be how high iron ore prices might go. Steel will also be on the minds of European manufacturers as they look to meet their import needs following the EU’s formal imposition of import quotas on steel products. Some of this steel will be coming to Europe in containers . However, carriers are expecting rates to fall on the North Asia to Northwest Europe route over the course of this month. And finally, Europe could be set for more LNG imports in the coming months as a narrowing of the spread between Asian spot LNG and the key European gas benchmarks makes Europe a more attractive proposal for deliveries. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: The metals and mining industry converges on Cape Town; and sentiment in the container freight market is contained. But first, tensions over Iran and Venezuela continue to dominate the oil market. Look for reactions in corporate results statements due this week. BP will report its fourth-quarter results on Tuesday, followed by Norway's Equinor on Wednesday, and France’s Total on Thursday. Their results should reflect relatively high oil prices, of around $69 a barrel for Brent, evident in Shell's results last week. But in a volatile period, the majors face many pressures. These include maintaining high oil and gas production as well as efficient refining operations. At the same time they are striving to keep up dividend payments and restrain debt. Total, in particular, has raised expectations of production growth. We can also expect fresh insights into the market this Monday as Russia publishes national oil production data. This will be closely watched because of Moscow's promises to cut output with OPEC. And in that context, Platts will publish its monthly survey of OPEC output later in the week. That brings us to this week’s social media question: What will be the impact of the Venezuelan crisis on oil prices? Tweet us your thoughts with the hashtag #PlattsMM. Switching our focus from oil to metals now, industry executives will gather at the annual Indaba conference in Cape Town. Talk is expected to focus on whether there is space for more mergers and acquisitions in the gold sector following the recent Barrick-Randgold and Newmont Mining- Goldcorp tie-ups. Another hot topic will be how high iron ore prices might go – having surged after Brazilian miner Vale’s dam collapse last week. Participants will also be looking at whether the dash to provide raw materials for electric vehicles is actually as fast it was expected to be a few months ago. Way up to the north, metal will also be on the minds of European manufacturers. They will be looking to meet their steel import needs following the EU’s formal imposition on February 2nd of import quotas on steel products. The quotas for long products, such as rebar and beams, are expected to fill quickly. Turkey is hungry to sell to the EU, and long-product stocks already at European ports will be imported under the new system. The quota for Chinese galvanized steel, used in automotive production, may also be rapidly met. Some of this steel will be coming to Europe in containers. However, carriers are expecting rates to fall on the North Asia to Northwest Europe route over the course of February, as demand that supported the market in the run-up to Chinese New Year on February 5th tails off. There are blank sailings in place along this route in an effort to curb the downward spiral in rates. Some carriers are eyeing falls of as much as 20% in the S&P Global Platts Container Rate North Asia to North Continent route over the first two weeks of February alone. Carriers are also trying to keep rates level into February rather than pushing for increases as is usual at the start of most months. However, this appears to be a challenging task, given the weaker demand, coupled with increased vessel capacity. And finally, Europe could be set for more LNG imports in the coming months as a narrowing of the spread between Asian spot LNG and the key European gas benchmarks makes Europe a more attractive destination for LNG deliveries. As you can see from our chart, the premium of the North Asian JKM marker to Dutch-TTF pipeline gas for March and summer delivery has more than halved in the last two weeks to just 30 cents per million BTUs due to a mild winter and healthy stocks in Asia. Such a low spread means spot LNG cargoes from the Atlantic basin have now an even greater price incentive for delivery into Europe rather than Asia. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-02-04T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012819-commodity-markets-brace-for-a-no-deal-brexit</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-28T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XoyFaTAYPDB4LgUSa7h32w</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/012819-commodity-markets-brace-for-a-no-deal-brexit-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 28 - Feb 1: Commodity markets brace for a no-deal Brexit</video:title><video:description><![CDATA[In this week's Market Movers: A Dutch court ruling is due on the Groningen onshore gas field; and the German commission on phasing out coal-fired power stations is set to report. But first, The UK parliament is due to debate Prime Minister Theresa May's so called "Plan B" for the next steps in the Brexit process on Tuesday. The UK polymer industry has started stockpiling to mitigate currency and logistical risks associated with a no-deal Brexit. A no-deal Brexit could benefit the UK's sole sugar refiner, owned by ASR Group, at the expense of continental beet producers. In biofuels no deal could mean the UK, a net importer, is no longer subject to any of the EU's import and anti-dumping duties and vulnerable to a flood of imports. This week's social media question: How would a no-deal Brexit scenario affect the UK commodity markets? Tweet us your thoughts using the hashtag #PlattsMM . Meanwhile, the Netherlands' highest administrative court is expected to announce its ruling on appeals for production at the giant onshore Groningen gas field to be halted with immediate effect due to the risk of earthquakes. And finally, across the border in Germany a commission is set to submit its recommendations on phasing out coal-fired power to the government on Friday. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s Platts Market Movers: A Dutch court ruling is due on the Groningen onshore gas field; and the German commission on phasing out coal-fired power stations is set to report. But first: the UK parliament is due to debate Prime Minister Theresa May’s so called “Plan B” for the next steps in the Brexit process on Tuesday. Parliament will also debate proposals from lawmakers, including postponing the UK’s scheduled date for leaving the EU or a second referendum. However, should parliament fail to agree a course of action, this would increase the possibility of the UK crashing out of the EU without a deal on March 29th. The UK polymer industry has started stockpiling to mitigate currency and logistical risks associated with a no-deal Brexit. Market participants said the widely expected fall in the pound if there is no deal would raise costs significantly for the polymer industry in the short term because the UK is a net importer. However, the recent rise in the pound shows the currency markets think the possibility of no deal is diminishing. The recycled PET industry seems to be sharing that view and carrying on as normal. PET is used to make soft-drinks bottles. As for the sugar that goes into those soft drinks, a no-deal Brexit could benefit the UK’s sole refiner, owned by ASR Group, at the expense of continental beet sugar producers. UK sugar production over the past five years has ranged between 900,000 and 1.45 million metric tons. Consumption stands at around 2 million mt, meaning the UK needs to import sugar. WTO trade terms would mean the price of imported white sugar from the EU-27 would double and become uncompetitive. As you can see from the chart, France alone exported about 355,000 metric tons of sugar to the UK in 2017-18. On the other hand, ASR would benefit from any end to EU tariffs on imported raw sugar from countries such as Brazil and Thailand. In biofuels, no deal could mean the UK, a net importer, is no longer subject to any of the EU’s import and anti-dumping duties and vulnerable to a flood of imports. This could hit domestic producers hard. Challenging market conditions have already resulted in the shutdown of the UK’s two major ethanol producers and a no-deal Brexit could make any potential restart unlikely. That leads us to this week’s social media question: How would a no-deal Brexit affect UK commodity markets? Tweet us your thoughts using the hashtag #PlattsMM In continental Europe, the Netherlands’ highest administrative court, the Council of State, is expected to announce its ruling on appeals for production at the giant onshore Groningen gas field to be halted with immediate effect due to the risk of earthquakes. Groningen has a quota to produce 19.4 billion cubic meters in the current gas year to September 2019. It seems unlikely the court will suspend production at the height of winter, but the court will hear other objections in April. And finally, across the border in Germany, a commission is set to submit its recommendations on phasing out coal-fired power to the government on Friday. Expect more leaks and speculation following a marathon session last Friday before the report is published. Long-term, over half of current coal output of over 200 terawatt-hours a year will need to be replaced by 2030 to meet climate-change targets. The commission’s recommendations will form the basis for Germany’s 2030 climate-change law. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2019-01-28T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012819-asia-commodities-us-china-trade-talks-vale-iron-ore</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-28T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QFdfZ2oyjjA7gQM2xV242U</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/012819-asia-commodities-us-china-trade-talks-vale-iron-ore.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 28-Feb 1: US-China trade talks back in focus</video:title><video:description><![CDATA[Eyes are back on the US-China trade talks, Iranian crude loadings to resume, India restocks thermal coal ahead of monsoon, and markets assess the impact of the dam failure at Vale's iron ore mine in Brazil.]]></video:description><video:publication_date>2019-01-28T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012219-asia-olefins-polymers-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-22T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=W9eenuHoLfwy49ZCTj86Xx</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/012219-asia-olefins-polymers-outlook.jpg</video:thumbnail_loc><video:title>H1 2019 outlook: Asian olefins and polymer markets in focus</video:title><video:description><![CDATA[S&P Global Platts senior editor for petrochemicals Fumiko Dobashi examines what's in store for Asian olefins and polymers in the first half of 2019 as the markets are still hounded by the impact of the US-China trade war, heavy plant turnarounds in Europe and Asia, as well as capacity expansions and project delays.]]></video:description><video:publication_date>2019-01-22T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/012119-platts-methodology-heavy-melting-scrap-12-8020-cfr-turkey</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-21T14:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sbQi6cKubmCa4sJpDBJoG3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/methodology-video/012119-platts-methodology-heavy-melting-scrap-12-8020-cfr-turkey-web.jpg</video:thumbnail_loc><video:title>Heavy Melting Scrap 1/2 80:20 CFR Turkey</video:title><video:description><![CDATA[In this video, Marcel Goldenberg , metals methodology and pricing specialist, explains how the Platts ferrous scrap HMS 1/2 80:2 0 CFR Turkey benchmark is assessed and what the underlying methodology behind the assessment is. For further questions or comments please reach out to us at pricegroup@spglobal.com. RELATED METHODOLOGY Platts Steel, Ferrous Scrap, Ferroalloys and Noble Alloys Methodology View Full Transcript Hello and welcome to this Platts methodology video about the Platts Heavy Melting Scrap 80:20 CFR Turkey assessment. I am Marcel Goldenberg, Methodology Specialist for Metals. Our Platts HMS 80:20 CFR Turkey assessment is one of our European Benchmarks meaning that future contracts settle on this number and as such there is a very large interest in this number. In order to provide the highest level of transparency around our methodology we would like to invite you to listen to how exactly we assess our CFR Turkey Scrap number. First and foremost all of our methodologies are freely available to everyone on the internet on the below stated website. You can read up on what we are talking about today in these documents and review them again in your own time. Now, I think the fundamental importance of a robust price assessment, no matter what the methodology behind it is, is the market reach and network of the pricing team. You are part of the Raw Material pricing team here at Platts so could you explain to our audience how important a well-balanced and plentiful source is for a good assessment and what proportion of the market you are talking to on a daily basis? Yes, so in order to arrive at a number that is well-balanced and avoids bias we're speaking to a wide range of sources, including buyers, sellers, agencies and trading houses that we all screen beforehand. On the buy-side, we speak to the majority of Turkish steel producers that import ferrous scrap into Iskenderun, Marmara, Izmir, Samsun and Eregli. On the sell-side we are regularly in contact with recyclers and merchants from Europe, the Baltics and the US, as well as short-sea merchants. On top of that we also speak to agents that work on behalf of sellers in Turkey and several trading houses. So we obtain a lot of trade information, bids and offers from those sources and that gives us a well-rounded picture of the market. The graph shows that the type of market sources we speak to is fairly spilt. Very good, at Platts we capture a very large number of deals, bids and offers in the market which are send out in real time to whole market all of which is underpinned by talking to an equal share of buyers and sellers. So, could you explain to our audience how exactly we gather this data and elaborate on what exactly a "survey market is? So unlike some of our other markets, the metals market is a pure survey market, which means we essentially survey a wide range of market participants on a daily basis. This is done usually directly via phone, through instant messaging, email or even in person to discover deals along with other significant information that informs price. These could be offers, bids, indications of current bid or offer levels and general indications of where market value lies at that specific day. All the price information we receive we then publish to the market as heards, on the one hand to inform the market, but also to give market participants a chance to comment on these indications. In survey markets, editorial judgement still plays an important role in the assessment we create. Indeed, talking to the all these sources also allows us to capture a big part of the deep-sea cargoes and also some short-sea cargoes that are traded in the market. I think at this point it is important to point out what our actual specifications are and what we do when we obtain data that does not 100% fit these specifications Our Platts HMS 80:20 CFR Turkey assessment is, as the name suggests, a Turkey import number. The Platts methodology is designed to be a mirror-image of how the majority of physical scrap trades in the market and as such we are assessing scrap shipments with a minimum volume of 10,000 mt which needs to arrive in Turkey between 3-8 weeks from when the deal was done. Payment terms are "at sight" and the currency we assess in is US Dollars. All our assessments are timestamped to 4.30 pm London time and we assess the value of the Scrap market closest to this time each day. If we receive an indication or trade that does not match these exact specifications we may take this into consideration but will normalize this back to Platts base standards according to market consensus. Now, I think we have laid the ground work for our assessment and at this point we can look into how we actually assess Scrap. Let's look at a day where we have bids offer and trades: In such a scenario we would look at all the information received and when we receive this information. A trade received in the morning may not be reflective of the value at 4.30pm anymore if the market moved on from where it was earlier in the day. In fact this is a basic principle of our methodology that Price is a function of time. Now, if we assume the deal happened as close as possible to our cut off time at 16.30 pm London time our team would then oftentimes still need to normalize the cargo to our base conditions as most scrap cargoes also include other grades of scrap like shred and P&S which is of higher quality to our standard assessment. This normalization would also look at market-based scrap quality differentials across regions and specific sellers and can include other factors, including financial factors, that might have contributed to the final price of the deal. Here editorial judgement sometimes can play an important role, but by the end of the day we would be using all the bids, offers, trade indication, trades and any other information that may inform price but test all these market values for repeatability. But of course the audience will now be asking "but what if there are no deals on a day, how do you assess then?". In which case the principles we just explained above would still hold. In fact, looking at this graph. We can see clearly that we are zeroing in on the value between the bid and the offer. If there are no trades done on a certain day this does not mean that prices will be unchanged. If bids or offers repeatedly push through the previous assessment this can indeed move the assessment up or down. What is further important to note is that for offers and bids, we look at the most competitive offer or bid in the market and we do not just average out the available offers or bids across market. This makes sense because as a buyer you would always take the lowest offer, while as a seller you would always lift the highest bid. So, while we will consider all data points received during the day some data points will be more meaningful than other when it comes to the end of day assessment. This goes hand in hand with something we call editorial judgement.. Editorial judgement basically means looking beyond the simple number for a trade, bid or offer we get and using our market insight and experience in certain cases just as you explained before. But to take this one step further, once we have established which indications are the most competitive and if these challenge the previous assessment there is often still a wide range of possibilities where the final assessment can be. For example this could be 5 cents below the most competitive offer that challenged the previous assessment, or 25 cents below the most competitive offer that challenged the previous assessment. To make this decision we will use the data points heard during the day, the sentiment in the market as well as our own market expertise. Now, we hope this video has provided you even more insight into how Platts assesses its Scrap Benchmark, but as always please feel free to reach out to anyone of us at the below stated email Thanks for watching and until next time.]]></video:description><video:publication_date>2019-01-21T14:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>07:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012119-will-davos-mountains-be-magic-for-oil-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-21T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UwJjH8hqo6vchq9RysJwEj</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/012119-will-davos-mountains-be-magic-for-oil-markets-web.jpg</video:thumbnail_loc><video:title>Will Davos mountains be magic for oil markets?</video:title><video:description><![CDATA[In this week's Market Movers: European gas and power markets eye the impact of a cold snap; while the Russian deep sea port wheat price could be heading for fresh highs. Antoine Simon, market reporter, European Gas & Power, presents. But first, the Swiss ski resort of Davos will host the world’s financial and political elite this week for the World Economic Forum. Russian energy minister Alexander Novak and his Saudi counterpart Khalid al-Falih are set to meet at the event, with oil production targets high on the agenda for both countries. The European natural gas market is set for its first real test of the winter as a prolonged cold snap is set to engulf the continent this week. Meanwhile, Russian deep sea port wheat is expected to smash through its all-time high of $249 a metric ton in the next week or two, as supply grows dangerously thin. Another market hitting fresh highs is palladium, with analysts now questioning how high prices need to get before carmakers start switching back to platinum for use in exhausts. This leads to our social media question for the week: For how much longer can palladium sustain its rally? Tweet us your thoughts with the hashtag #PlattsMM . Elsewhere, in base metals, there are expectations the US Treasury Department may lift sanctions as early as this week against Russian aluminum producer Rusal. Finally, in the petrochemicals market participants will be waiting to hear further details on the impact of a fire at the Versalis steam cracker in Priolo, Italy. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: European gas and power markets eye the impact of a cold snap; while the Russian deep sea port wheat price could be heading for fresh highs. But first, the Swiss ski resort of Davos will host the world’s financial and political elite this week for the World Economic Forum. Russian energy minister Alexander Novak and his Saudi counterpart Khalid al-Falih are set to meet at the event, with oil production targets high on the agenda for both countries. US President Donald Trump has canceled his delegation’s visit while the government shutdown continues in Washington. In Europe, the weather will not only be cold up in the Alps. The European gas market is set for its first real test of the winter as a prolonged cold snap is set to engulf the continent this week. Temperatures in continental northwestern Europe are forecast to fall to as much as eight degrees Celsius below seasonal norms; but the UK is set to escape such dramatic falls. However, the gas supply picture looks healthy. Storage stocks are more than seven billion cubic meters higher year on year -- and as you can see from the chart -- supplies of LNG as well as pipeline gas from the UK, Norway and Russia are abundant. Looking at gas supply further out, market participants will be monitoring the outcome of a meeting between Russia, Ukrainian and the EU meeting in Brussels today. The talks will be about Russian gas transit to Europe after 2020, when the current agreement between Russia and Ukraine expires. The European Commission wants to keep the Ukrainian route open and viable even after the controversial Nord Stream 2 pipeline which goes directly to Germany from Russia starts up at the end of 2019. Russia’s transit choices can have a dramatic impact on how gas flows around Europe. Staying in Russia, Russian deep sea port wheat is expected to smash through its all-time high of $249 a metric ton in the next week or two, as supply grows dangerously thin. With virtually all wheat close to ports already committed, sellers are hunting for wheat in more remote regions, adding a long time lag and higher logistical premium. he only cap on Russian wheat’s upside is cheaper alternatives in Europe and the US. However, supply out of Europe is limited. Another market hitting fresh highs is palladium. The metal, like its close cousin platinum, is used to reduce emissions from diesel vehicle exhausts. Prices have surged almost 30% since November, hitting a fresh high last week on tight supply. Palladium has benefited from the diesel emissions scandal at the expense of platinum. Analysts now question how high palladium prices need to get before carmakers start switching back to platinum for use in exhausts. Platinum prices have fallen nearly 6% over the same period. This leads to our social media question for the week: For how much longer can palladium sustain its rally? Tweet us your thoughts with the hashtag #PlattsMM. Moving from precious to base metals, there are expectations the US Treasury Department may lift sanctions as early as this week against Russian aluminum producer Rusal, so watch out for that. The Russian company accounts for 7% of the world’s primary aluminum supplies. Finally, in the petrochemicals market participants will be waiting to hear further details on the impact of a fire at the Versalis steam cracker in Priolo, Italy. There has already been a direct impact on ethylene and propylene production, and the market is waiting for a clearer picture of the impact on aromatics. Further tightening supply, the force majeure on ethylene from Borealis’ Stenungsund cracker in Norway will likely remain in place this week. It has been closed since the end of December due to a power failure. A trader estimated that the two outages had removed 5 to 7% of European ethylene capacity. That’s it for today. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-01-21T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012119-asia-commodities-china-gdp-oil-lng-coal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-21T02:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mfybvtv22in6hn7Sx5N2xD</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/012119-asia-commodities-china-gdp-oil-lng-coal.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 21-25: China's GDP, oil market in focus</video:title><video:description><![CDATA[China's Q4 and 2018 GDP numbers are expected to give an indication of commodity demand in the world's second-largest economy. Economists expect China's growth to have slowed down in the second half of 2018, reflecting the impact of the simmering trade war between China and US, as well as slowing domestic demand. China is also set to publish detailed commodity trade data for December this week, and will give further indication on how the trade war with the US has affected bilateral flows on commodities like oil, LNG and soybeans. Meanwhile, Asia spot LNG prices have mostly seen a downward trend so far this year. However, there is some prompt support seen as Pacific production from Australia and Indonesia is declining. In thermal coal, sources this week expect tightening supply for Kalimantan coal mainly due to robust demand from China, ahead of the upcoming Lunar New Year in February. Vessel congestion at Indonesia loading ports and heavy rains in Kalimantan have also increased the pressure on supply. In shipping, the Asia Pacific Panamax and Supramax rates are expected to trend lower as tonnage supply outweighs demand. In the VLCC market, with the February loading window kicking off, market sentiment is expected to recover on improving demand. View Full Transcript This week: China oil market in focus, Asia spot LNG market prices reach inflection point, China thermal coal buyers' start restocking, and finally VLCC earnings on PG-North Asia are supported. But first, China's Q4 and 2018 GDP numbers will be out today, giving an indication of commodity demand in the world's second-largest economy. Economists expect China’s growth to fall to 6.6% in 2018, the weakest since 1990 due to a slowdown in H2 reflecting the simmering trade war between China and US, and slowing domestic demand. Some sources say they anticipate Beijing to set a lower economic growth target in 2019. China is also scheduled to publish detailed commodity trade data for December this week. This will reflect the impact of the trade war with the US on bilateral flows of commodities like oil, LNG and soybeans. Trade flows of Middle East and Iranian crudes to China will also be in focus. China's oil demand growth is estimated to have dropped by 18% to 590,000 B/D in 2018. S&P Global Platts Analytics expects total oil demand growth to slow to 450,000 B/D in 2019 on increasing uncertainties. Meanwhile, Asia spot LNG prices have mostly seen a downward trend so far this year. However, there is some prompt support seen as Pacific production from Australia and Indonesia is declining. Do you think this will support prices? Share your thoughts on Twitter with the hashtag PlattsMM. In thermal coal, sources this week expect tightening supply for Kalimantan coal mainly due to robust demand from China, ahead of the upcoming Lunar New Year in February. FOB Kalimantan 4,200 GAR prices have already risen by about 10% since the start of the year. Vessel congestion at Indonesia loading ports and heavy rains in Kalimantan have also increased the pressure on supply. Talks to settle Newcastle 6,000 NAR thermal coal priced for Japanese term contracts for the financial year starting April 2019 are due to start in February. The market will be monitoring these talks as the Japanese April price tends to act as a benchmark for Australian thermal coal throughout Asia for many supply contracts for customers there. And finally in shipping, the Asia Pacific Panamax and Supramax rates are expected to trend lower as tonnage supply outweighs demand. Given the higher coal stockpiles in China, market does not expect a rush of activity before the Lunar New year leaving a fairly bearish tone for the next few weeks. In the VLCC market, with the February loading window kicking off, market sentiment is expected to recover on improving demand. Earnings of owners on the PG-North Asia routes are around $30,000 /day currently, about half the level in early December. However, demand recovery and resistance by major VLCC owners will likely prevent further declines. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-01-21T02:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011719-lng-china-japan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-17T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=agksGxJFcPot8YS1kcww8U</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/011719-lng-china-japan.jpg</video:thumbnail_loc><video:title>China's LNG imports push above Japan's for a single month, signaling increased seasonality in demand</video:title><video:description><![CDATA[This winter has been a relatively weak one for LNG spot prices in Asia compared to where they were the previous summer, which has been driven by new supplies and lackluster demand due to relatively mild weather in Northeast Asia. However, as we have seen all year, Chinese imports continued to post strong year-over-year growth and China overtook Japan as the world's largest importing country for a single month in November. This also has major implications on the buying patterns for both Japan and China as the underlying drivers behind the numbers reveal an increased seasonality in the demand profiles, says S&P Global Platts Asia LNG Analytics Manager Jeffrey Moore . This will likely be a key trend to follow in the next several years and will help shape the LNG market.]]></video:description><video:publication_date>2019-01-17T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/011519-arnoud-balhuizen-bhp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-15T05:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=K4JX5g1QjsN66U9WfDdvTP</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/011519-arnoud-balhuizen-bhp-01.jpg</video:thumbnail_loc><video:title>Insight Conversation with Arnoud Balhuizen, BHP Chief Commercial Officer</video:title><video:description><![CDATA[BHP is one of the world's leading resources companies focusing primarily on iron ore, copper, coal, and petroleum. BHP played a major role in the evolution of commodity markets. For example, in iron ore, the company helped shift the industry away from the decades old annual benchmark system to pricing that better represented daily market dynamics. This episode of Insight Conversation features BHP's Chief Commercial Officer Arnoud Balhuizen , who talks to S&P Global Platts Senior Managing Editor for Metals Paul Bartholomew about the development in the iron ore and metallurgical coal markets, BHP's priorities in the coming years, the impact of China's environmental push on raw materials, as well as the company's outlook on demand growth for markets like India and Southeast Asia.]]></video:description><video:publication_date>2019-01-15T05:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>11:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/011419-court-to-rule-on-groningen-gas-production</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-14T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qgESpshmuakpYMNZj4zrP6</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/011419-court-to-rule-on-groningen-gas-production-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 14-18: Court to rule on Groningen gas production</video:title><video:description><![CDATA[In this week's Market Movers: EU members are due to vote on steel import quotas, while oil markets await data from OPEC and the International Energy Agency to provide signals on output cuts. But first, on Thursday a Dutch court will rule on whether gas production from the giant Groningen field should be halted because of the risk of earthquakes. OPEC and the IEA publish their monthly market reports on Thursday and Friday respectively. Meanwhile, sour crude is set to remain pricey in Europe this week as delays in the Turkish Straits show no signs of easing. In political news, the week's big event will be the UK Parliament's vote on Brexit. UK lawmakers are due to vote Tuesday on whether to ratify the withdrawal agreement negotiated with the EU by Prime Minister Theresa May. Elsewhere, Europe's steel sector is braced for a major policy decision, as EU member states prepare for a Wednesday vote on import quotas. In Germany, the planned phase-out of coal-fired power generation will be on the political agenda, with Angela Merkel set to hold discussions with the coal commission and four state prime ministers from lignite-mining regions. And finally, the approach of the Chinese New Year could boost container freight rates from North Asia this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week's highlights: EU members are due to vote on steel import quotas, while oil markets await data from OPEC and the International Energy Agency to provide signals on output cuts. But first, on Thursday a Dutch court will rule on whether gas production from the giant Groningen field should be halted. The Dutch Council of State, the country's top administrative court, will consider two emergency requests by individuals for production at the giant onshore gas field to be halted immediately because of the risk of earthquakes. Groningen has a quota to produce 19.4 billion cubic metres in the current gas year, shown by the blue line on the chart. Production has been falling steadily in recent years, to meet successive caps. It seems unlikely that the court will force production to be suspended in the height of winter, but the proposal adds to the sentiment of increasing public opposition to gas production in the country. Production figures are also on the minds of oil traders ahead of key data releases. OPEC and the IEA publish their monthly market reports on Thursday and Friday respectively. The market will look to these for guidance on both supply and demand, as output cuts by OPEC and its partners kick in, and global economic confidence shows signs of reviving. The IEA report will be closely watched for any revision to its modest demand growth expectations, of 1.4 million b/d this year, as well as any change in oil stock levels, which have recently moved above the critical five-year average. Meanwhile, sour crude is set to remain pricey in Europe this week as delays in the Turkish Straits show no signs of easing. Larger crude tankers moving from the Black Sea into the Mediterranean are currently waiting an average of 12 days to get through the Turkish Straits and poor weather conditions could see that number rise further. These delays, coupled with a shorter-than-expected Urals loading program out of Novorossiysk, has sent differentials in the Mediterranean to their highest levels since 2013 this month, as you can see here. Renewed sanctions against Iran combined with OPEC's production cuts and the launch of a new refinery in Aliaga mean that anyone looking to buy a spot cargo of sour crude in Europe has had to pay up. In political news, the week's big event will be the UK Parliament's vote on Brexit. UK lawmakers are due to vote Tuesday on whether to ratify the withdrawal agreement negotiated with the EU by Prime Minister Theresa May. MPs are expected to vote against the deal, which will do nothing to lift uncertainty over the UK's future trading relationship with the bloc. It also means continuing questions over the validity of UK-issued carbon allowances. Amid all the noise surrounding the vote, Europe's carbon traders will be watching allowance prices closely. The December 2019 contract edged up on Friday on speculation of a delay to the March 29 deadline for the UK's withdrawal. Staying with politics, Europe's steel sector is braced for a major policy decision, as EU member states prepare for a Wednesday vote on import quotas. The European Commission has proposed to restrict quotas on steel imports to prevent redirection of trade flows after the US hiked tariff last year. The plan, which would allow import tonnages to rise by 5% per year until mid-2021, is expected to gain approval, and implementation is slated for February 4. Given low domestic growth in the vehicles sector, European automakers would prefer to have fewer restrictions on imports, which could work out cheaper than local material. But for German steelmakers the proposals do not go far enough. Companies have seen their markets eroded by growing Turkish imports over the past year. Also in Germany, the planned phase-out of coal-fired power generation will be on the political agenda. Angela Merkel is set to hold discussions with the coal commission and four state prime ministers from lignite-mining regions. Shutting down coal plants could impact up to 110TWh of coal-fired generation by 2030, and time is running out for the commission to make its recommendation. Its report is due February 1. And finally, the approach of the Chinese New Year could boost container freight rates from North Asia this week. European importers are likely to want to secure product before the shutters come down on Chinese infrastructure for the holiday. Rates for North Asia to the UK, PBR 11, have already strengthened significantly in 2019, gaining 27% from $1,300/FEU on the last assessed day of 2018, to $1,650/FEU on Thursday. And there could be a few more strong few weeks on the horizon as some UK-based importers look to secure product ahead of the UK's withdrawal from the European Union. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2019-01-14T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011419-asia-commodities-trade-talks-china-oil-soybeans-rusal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-14T02:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=muUDdpt3ijwRFUT2Z4xsGE</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/011419-asia-commodities-trade-talks-china-oil-soybeans-rusal.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 14-18: All eyes on China's crude oil import data, US decision on Rusal sanctions</video:title><video:description><![CDATA[China is scheduled to release its preliminary crude oil import data, which will indicate the country's buying appetite in the coming months. S&P Global Platts' survey and data from its trade flow tracker cFlow showed that the country’s crude inflow in December will likely hit another all-time-high, surpassing the November level of 10.48 million barrels per day. China has completed the purchase for roughly 5 million tons of US soybeans since the last G20 summit in Argentina in November. After last week’s meeting, top officials from both countries are expected to meet again later this month and markets will keep an eye on whether they can finally find a resolution to the trade war. Still on China, restocking ahead of the upcoming Lunar New Year and supply tightness due to rainfall in Indonesia resulted in seaborne coal prices rising steadily last week. But demand could weaken this week as most of power plants have been completed replenishment ahead of the holidays. Finally, the metals market is keeping an eye on the US' decision on the sanctions against Russian aluminum giant, Rusal. Aluminum prices rallied to record highs in April 2018 when the sanctions were imposed, and market players will watch the impact of the US' decision on prices moving forward. View Full Transcript This week: Markets will continue to assess the impact of the positive outcome of the US-China meeting last week, US to decide on Rusal sanctions, and China restocks thermal coal ahead of the Lunar New Year holidays. But first, in oil, China is scheduled to release its preliminary crude oil import data today, which will indicate the country’s buying appetite in the coming months. An S&P Global Platts’ survey as well as data from its trade flow tracker cFlow showed that the country’s crude inflow in December will likely hit another all-time-high, surpassing the November level of 10.48 million barrels per day. High imports are set to push up inventories amid weakening demand for oil products in the domestic market, dampening China’s buying interest for crude in January as well as February. Still on China, the country has completed the purchase for roughly 5 million tons of US soybeans since the last G20 summit in Argentina in November. After last week’s meeting, top officials from both countries are expected to meet again later this month, this time in the US, and markets will keep an eye on whether they can finally find a resolution to the trade war. The North Asia corn market awaits the outcome of these trade talks, with traders seeing high FOB US corn prices on the back of expected Chinese demand. In metals, the deadline for US decision on whether to remove sanctions against Russian aluminum giant RUSAL is on 17th of January. Aluminum prices rallied to record highs in April 2018 when the sanctions were imposed. Since then, the US has eased and extended a definite decision on the sanctions until now. Will the sanctions finally be lifted next week? How big of an impact will that have on aluminum prices this year? Share your thoughts on Twitter with the hashtag PlattsMM. In thermal coal, as the import quota restriction in China showed signs of easing, Chinese restocking ahead of the upcoming Lunar New Year, coupled with supply tightness due to rainfall in the Kalimantan areas, resulted in seaborne coal prices rising steadily last week. However, with most replenishment of the power plants completed, the outlook this week look set to weaken while market activity is expected to slow as most factories would wind down operations two weeks before the holidays. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2019-01-14T02:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/010819-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-08T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6kXrcC2gaSKtVQjwamKTVw</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/010819-brent-crude-oil-volatility-outlook-web.jpg</video:thumbnail_loc><video:title>2019 Brent crude oil volatility: January outlook</video:title><video:description><![CDATA[December was characterized by a high degree of speculation and irrationality in the Dated Brent crude oil market. S&P Global Platts quantitative analyst, Vito Turitto , reports on how geopolitical tensions between the US and China over trade relationships, a slowdown in Chinese GDP growth, the rise in interest rates by the Federal Reserve, and expected weaker growth in the global economy, are all factors that have played a key role in the downtrend. In addition, oil market volatility is at a 2-year high, but Vito forecasts the situation will likely improve; although short-term price corrections should not be ruled out. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The month of December, as many market participants put it, was characterized by a high degree of speculation and irrationality. Dated Brent prices moved down and the bearish sentiment remained the predominant one also in the physical market because signs of buying appetite for BFOE grades remained very low. The weak buying pressure in December is also a consequence of the several destocking operations before the year-end. Furthermore, the arbitrage to the Far East has also been far from good with rising shipping costs, South Korea demand largely absent and only a few Chinese customers active on the market. Internationally, the geopolitical tensions between US and China over trade relationships, a slowdown in Chinese GDP growth, the rise in interest rates decided by the Fed and an expected weaker growth in the global economy are all factors that have certainly played a key role in the downtrend, which closed the 2018. Moreover, a higher Russian production, which hit 11.42 million b/d in December, and an increased American shale output, which is expected to reach more than 8.1 million b/d in early January, along with a general sell-off in equities contributed to push prices down. Nevertheless, it is quite evident that the very intense selling pressure was also due to a high number of speculators who took advantage of these factors to intensify their selling activities. The Volatility Premium is currently very narrow and it is likely that it will tend to widen over the course of next weeks favoring a slow uptrend in prices and steadier market conditions. The Probability Distribution analysis suggests that it is very unlikely that the volatility will remain this high and even less probable that it will rise further. Finally, the Volatility Cones analysis confirms that the fluctuation rate is too high implying that the current volatility curve is likely to soften over next weeks favoring steadier market conditions and a slow price uptrend. Nevertheless, it is important to point out that short-term retracements are still highly probable because the turbulence degree in the market remains particularly high. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2019-01-08T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/010719-survey-to-shed-light-on-opec-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-07T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mYekmVoPmR6rLFNZrAnJHY</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/010719-survey-to-shed-light-on-opec-cuts-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jan 7-11: Survey to shed light on OPEC cuts</video:title><video:description><![CDATA[In this week's Market Movers: European emitters will need to brace themselves for volatility in carbon allowances; and the impact of tariffs and duties will be felt from steel to petrochemicals. But first, S&P Global Platts publishes its monthly survey of OPEC production this week; providing early insight into the impact of last month's "OPEC-plus" cut agreement with Russia, which is now in force. Meanwhile, supply cuts set for Europe's emissions market could lead to further price volatility, with the impact likely to be felt by power generators and industrial emitters. And talking of low-emissions power, in France, nuclear power supply will be in the spotlight. National grid operator RTE has warned of tight supply during the winter. Elsewhere, trade protection is likely to be a recurring theme in 2019. This week, the European Commission will be holding a market consultation on proposed import quotas for steel products. In petrochemicals, Europe's polystyrene producers will be looking to Turkey with interest this week, after the country introduced antidumping duties on imports from Iran. Finally, low water levels on the German section of the Rhine, which sparked volatility in the prices of biofuels, petrochemicals, oil products, and coal among other commodities last year, could continue in 2019. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: European emitters will need to brace themselves for volatility in carbon allowances; and the impact of tariffs and duties will be felt from steel to petrochemicals. But first, S&P Global Platts publishes its monthly survey of OPEC production this week. It will provide early insight into the impact of last month's “OPEC-plus” cut agreement with Russia, which came into force at the New Year. On the supply side, Saudi Arabia's early implementation of production cuts is supporting prices, as are problems at Libya's Sharara field and Venezuela's ongoing decline. But fresh signs of global economic weakness are complicating matters. Meanwhile, Russian oil production and Iraq’s oil exports are thought to have hit all-time highs in December, and the Russian weather means it is not expected to implement its cuts fully until the end of the first quarter. Supply cuts are also in store for Europe’s emissions market. That could lead to further price volatility, with the impact likely to be felt by power generators and industrial emitters. The EU’s much-anticipated Market Stability Reserve will begin reducing daily auction supply by about 40% this week, with the aim of bolstering prices. In 2018, the price of European carbon tripled to about 25 euros a metric ton, as you can see on your screen. By restricting supply, the Market Stability Reserve is expected to have a bullish impact. But the market could also be exposed to downside risk if the soaring price of emissions -- combined with lower gas prices -- makes cleaner gas more profitable than coal in the year ahead. And talking of low-emissions power, in France, nuclear power supply will be in the spotlight. National grid operator RTE has warned of tight supply during the winter. The first two of the country’s reactors are due to come offline for extended 10-year reviews this week. The outages will remove about 2.6 gigawatts from the grid until the end of June. On the opposite side of the equation, three reactors that were expected to return late last year are now scheduled for a restart. In its winter outlook, RTE warned of tight nuclear supply from mid-January to the end of February, particularly if this coincides with colder temperatures. Elsewhere, trade protection is likely to be a recurring theme in 2019. This week, the European Commission will be holding a market consultation on proposed import quotas for steel products. The quotas were introduced last July to prevent cheap imports being redirected into the EU after the US imposed higher tariffs. The import quotas the Commission is proposing would come into force no later than February 4th and last until the end of June 2021. The system imposes country-specific quotas for most products, except hot-rolled coil which is subject to a global quota. Market sources say this could favor bigger steel-rolling companies which may be able to bring in large volumes of HRC from lower-cost suppliers to be processed within the EU. Member states will vote in mid-January on the Commission’s proposals. Staying with trade barriers, Europe’s polystyrene producers will be looking to Turkey with interest this week, after the country introduced antidumping duties on imports from Iran. Iran is a major supplier of polystyrene to Turkey, so a significant opportunity will open up for European sellers as Iranian material increases in price. Finally, in 2018, low water levels on the German section of the Rhine sparked volatility in the prices of biofuels, petrochemicals, oil products, and coal among other commodities. There are signs this could continue in 2019. Despite higher rainfall in the week before Christmas, which caused water levels rise to nearly 400 centimeters at Kaub, a key chokepoint, the river has once again started falling. Markets had been confident that logistical issues would be resolved. But only a week later measurements have fallen to 180 centimeters, that’s ominously close to the 150 centimeters below which barges cannot be fully loaded. Weather developments this week will be critical. Thanks for kicking off 2019 with us, and have a great week ahead.]]></video:description><video:publication_date>2019-01-07T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/010719-asia-commodities-us-china-trade-talks-oil-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2019-01-07T01:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aQcLAfL91uFjHhCk8t5Fmr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/010719-asia-commodities-us-china-trade-talks-oil-lng.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jan 7-11: US, China trade talks resume; oil, LNG flows in focus</video:title><video:description><![CDATA[Markets in Asia open with eyes focused on the two-day trade talks between the US and China . Top energy and agriculture officials from the US are part of the delegation attending meetings in Beijing Monday and Tuesday. Commodity markets will be on the lookout for whether any concrete measures will result from these discussions. Meanwhile, Chinese oil demand is expected to be lower than usual in January as the country's independent refiners were awarded smaller quotas than last year. Crude grades like Russia’s ESPO and Middle Eastern crude oil could be impacted. Spot demand for LNG in Asia is also expected to be slow due to warmer-than-normal temperatures and adequate inventories. And finally, in thermal coal, Chinese authorities have yet to officially lift import restrictions on thermal coal. Market sources expect demand to pick up before the Lunar New Year as end-users tend to stock up before the long holidays. View Full Transcript This week, markets will keenly watch the series of meetings to starting today in Beijing between trade rivals US and China which impacts price, demand and supply of several commodity groups including agriculture, steel and oil products. The US and China will hold discussions at the vice ministerial level this Monday and Tuesday. The talks come after stock markets in both countries have taken a beating. Leaders of both sides have recently spoken positively about the possible outcome of the talks. Commodity markets will be on the lookout for whether any concrete measures will result from these discussions. Market participants said the meeting will likely provide some clues about this year's energy trade flows between the two countries. Will US and China be able to resolve their trade conflicts in this round of discussions? What is the biggest commodity group to see an impact? Share your thoughts on Twitter with the hashtag PlattsMM. Next, upstream oil output in Southeast Asia is expected to slow down in the aftermath of tropical storm Pabuk, which gained traction over the week, especially in the Gulf of Thailand. Meanwhile, oil demand in China is expected to be lower than usual in January as the country's independent refiners were awarded smaller quotas than last year. Crude grades like Russia’s ESPO and Middle Eastern crude oil could be impacted. Russia's ESPO blend is the most popular feedstock grade for China's independent refiners and spot differential for the Far East Russian grade may face a significant downside pressure as major customers from China will likely cut back on purchases due to the lower import quota allocations. West African and other arbitrage crude grades imported by independent refiners could also be lower this month. China’s trading activity is expected to pick up pace after the Lunar New Year in early February. Also slow this week, spot demand for LNG in Asia. Winter demand from Northeast Asian will be limited with inventories adequately stocked and warmer-than-normal temperatures. Meanwhile, ships carrying Australian thermal coal that were delayed from entering Chinese ports have started to arrive this week. Authorities in China have yet to signal they have officially lifted import restrictions for thermal coal, however. Market sources expect demand to pick up before the Lunar New Year as end-users stock up before the long holidays. And that’s all we have for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2019-01-07T01:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121918-5-commodity-themes-for-2019</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-20T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tzFKcRYy6iPtxJvsbVPufi</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121918-5-commodity-themes-for-2019-web.jpg</video:thumbnail_loc><video:title>5 commodity themes to watch in 2019</video:title><video:description><![CDATA[As the curtain closes on 2018, what will be the five themes to watch in energy and commodity markets during 2019? Martin Fraenkel, President of S&P Global Platts , delivers his verdict. After a year of seismic shifts in policy, geopolitics and trade, 2019 could be eventful. The landscape for commodity markets is also changing rapidly. During the last few years, the fundamentals of supply and demand were the main drivers for commodity markets. However, as was the case during the 1970s, geopolitics is now increasingly influencing decision-making across all parts of the resources industry from the well head to the trading floor. View Full Transcript 5 commodity themes to watch in 2019 As the curtain closes on 2018, what will be the five themes to watch in energy and commodity markets during 2019? Martin Fraenkel, President of S&P Global Platts, delivers his verdict. After a year of seismic shifts in policy, geopolitics and trade, 2019 could be eventful. The landscape for commodity markets is also changing rapidly. During the last few years, the fundamentals of supply and demand were the main drivers for commodity markets. However, as was the case during the 1970s, geopolitics is now increasingly influencing decision-making across all parts of the resources industry from the well head to the trading floor. Although trade flows remain an important driver for commodity markets to focus on, we see factors such as technology disruption, policy change and trade barriers increasingly influencing prices. Despite the world’s growing demand for oil, which is expected to average 100 million b/d for the first time ever, concerns over climate change and the energy transition in mobility will remain in the background. Looking ahead, heightened levels of risk, new disruptive technologies and political uncertainty could make 2019 a year when the unpredictable becomes the norm. Geopolitical risk: the only certainty is uncertainty Geopolitical tensions in some of the world’s major resource-producing regions could intensify in 2019. The Middle East will be at the forefront of these risks as US sanctions bite into Iran’s crude exports. Saudi Arabia – the region’s largest producer of oil and its biggest economy – could also emerge as a concern if social reforms backfire. The actions of Riyadh’s political elite have come under increasing international scrutiny. How the kingdom reacts to these challenges could be a major factor driving oil prices in 2019 and beyond. Meanwhile, traders will continue to closely monitor the Middle East’s key oil export routes through the Strait of Hormuz and Red Sea for any potential disruptions. Russia’s evolving relationship with the US could be another major geopolitical narrative in 2019. The world’s largest producer of energy and commodities has increasingly clashed with the biggest consumer of crude in a way not seen since the Cold War. This bilateral relationship is a key driver for commodity markets. Moscow is increasingly encroaching on traditional areas of US influence in the Middle East. The Kremlin also faces the prospects of tightening sanctions and ongoing condemnation. Of course, commodities markets could also shrug off all of these concerns in 2019. Greater co- operation between OPEC and partners outside the producer group led by Russia is a source of optimism. The grouping – which controls 45% of global oil supply – has shown discipline in reducing the global stocks overhang and looks increasingly aligned on policy despite political tensions. Maintaining its discipline will be crucial to supporting prices in 2019, especially in such a fraught geopolitical environment. Offsetting these geopolitical concerns is the continued strong performance of North American shale producers. The US is currently producing 11 million b/d and output is forecast to climb even higher, ensuring markets are well supplied in the event of shocks. Trade wars: US and China lock horns Deteriorating trade relations between the world’s two largest economies has already had a visible impact on energy flows. Oil prices have been dampened due to concerns of a slowdown in demand, but LNG markets could also face significant long-term headwinds from their ongoing trade war. China is Asia’s biggest oil consumer. Before trade tensions escalated, crude flows from the US to China had almost tripled through both term contracts and spot market purchases. In June, US exports to China hit 450,000 b/d, accounting for 5% of the country’s total crude import bill. However, US shipments have been falling since June on escalating trade tensions, with more US crude being diverted to other customers in Asia. S&P Global Platts sees consumers in Southeast Asia buying more US crude and this trend could become more visible in 2019. Simultaneously, Chinese refiners are actively looking to diversify their spot exposure by securing volumes from wide-ranging destinations, including Europe, Africa, Canada and Latin America. Meanwhile, Beijing imposed a 10% tariff on US LNG exports in September. Chinese customers are looking to the Middle East, Nigeria, Southeast Asia and Australia for alternative LNG supplies. Nevertheless, China’s demand for LNG will continue to grow and losing Asia’s biggest consumer as a buyer would be a blow for US producers in 2019. If America’s trade war with China intensifies then disruptions already being felt in oil and LNG markets will increasingly become apparent across the full spectrum of commodities. Protectionism: disruptive forces in metal markets Protectionist policies are having a significant impact on metals markets and this trend is set to continue in 2019. One example is the US administration’s decision to impose 10% tariff on aluminum imports, which hit the domestic market by pushing up prices. Sanctions imposed on Rusal – the world’s largest aluminum producer – drove prices up further. Trade policy aside, there have been some US initiatives which have boosted metals demand. Tax and regulatory reforms have energized the US manufacturing base to the point where the National Association of Manufacturers’ monthly index reached an all-time high in June 2018 of 63.6 points. In October, the NAM’s Outlook Survey, which indicates the percentage of small-to-large manufacturers that are upbeat about their own company’s outlook, stood at 92.5% — after posting an all-time high of 95.1% in June. It is a robust indicator of US manufacturing’s ability to absorb commodity price fluctuations. New frontiers: national oil giants eye trading National oil companies are becoming more involved in traditional trading as direct participants, or joint venture partners, in an effort to boost their profitability. Middle East-based companies are at the forefront of this emerging trend. Oman Trading International (OTI) was the first regional player to venture into trading via its joint venture with Vitol and S&P Global Platts now sees it is increasingly active in a range of Asian markets, from oil and refined products to petrochemicals. Aramco Trading Company (ATC) has opened a Singapore office and voiced intentions to move into crude trading. Iraq’s SOMO and Russia’s Litasco set up a joint venture last year and it is clear the Baghdad- based oil marketing company is looking at how it can be more active in international trading markets. Abu Dhabi National Oil Company (ADNOC) has created a new trading arm in order to maximize returns on every barrel for its stakeholders. The landscape for traditional players is also evolving. Various trading regimes and market changes have boosted spot activity and created new opportunities in areas such as LNG. More changes in the trading industry could materialize in 2019. Technology: commodities 2.0 New technology is increasingly bringing efficiencies to all corners of the commodities industry. Blockchain is at the forefront of this trend changing the nature of our markets, where smart contracts are already a reality. The reconciliation and physical documentation of trade can all now be streamlined securely through an encrypted digital ledger, helping companies to maximize the value of their data and talent. Attendees at the S&P Global Platts Digital Commodities Summit this year saw the seriousness of these efforts to harness the power of blockchain. Digital processes replacing people, phones and paper trails could significantly reduce trading costs. Blockchain can also reduce the settlement risk and in some instances remove the need for central clearing authorities. Faster know your customer (KYC) processes thanks to more secure, individual and corporate identity management makes it easier to trade with new counterparties. More real-time and interconnected supply chains, with corresponding digital invoicing, shorter payment times and more ways of sharing transaction data may also change the intracompany risk profile and appetite. Smaller industry players can now benefit from these efficiencies by experiencing fewer barriers to entry, potentially trading without fees, settlement risk, clearing costs, or intensive capital requirements. However, it is still early days for the technology and the pace of its widespread uptake is far from clear. Data manipulation and interpretation in commodities will also play an increasingly transformative role in 2019. For decades, successful trading has been focused on nimble operations and scale, but tighter margins have made participants look closer at accessing faster data, instead of operating scale, to gain an advantage. Fast access to data such as geospatial imagery, smart metering, or better visibility of tankers on water are increasingly giving traders an edge. S&P Global Platts sees data science playing an increasingly core role in multiple decision-making ranging from cross-regional arbitrage to daily stock management. These technologies will increasingly shape our markets in 2019.]]></video:description><video:publication_date>2018-12-20T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>07:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121918-china-steel-price</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-19T08:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=U326UGcQVDB5bsY7rhqPYR</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121918-china-steel-price.jpg</video:thumbnail_loc><video:title>China's steel price slump: A mere correction or something more profound?</video:title><video:description><![CDATA[China's steel market seemed to be cruising along merrily in 2018 but then hit the skids in September and has yet to recover. Is the market witnessing a price correction, or is it something more serious? S&P Global Platts Senior Managing Editor Paul Bartholomew shares his insights as the specter of China's overcapacity hangs over global steel markets. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Global steel markets, led by China, started emerging from several bleak years at the start of 2016. Last year and much of 2018 have been particularly strong, despite the steel import tariffs introduced by the US in March. But since September steel prices have been on the slide. The price of Chinese hot rolled coil sold domestically has fallen by 15% since late August. Rebar prices were more resistant but they too have plummeted by more than 20% since the start of November. It begs the question: is the market witnessing a temporary price correction – or is it something more profound? In the case of China, the answer is probably both. Domestic steel prices ran up on expectations of supply shortages caused by China’s impending winter steel production cuts to improve the environment. When it became clear that the output cuts may not be so pronounced, sentiment faltered and prices came back down again. But it’s the demand side of the equation that is more concerning. Improved market sentiment after the tariff cease fire between China and the US at the G20 meeting buoyed steel prices temporarily - but fundamentals quickly prevailed. China’s car sales will record negative growth this year for the first time since the early 1990s. Manufacturing is barely growing. Property construction is still robust and housing starts increased by 16.3% over January-September. There is plenty of rebar sticking out of concrete still. But a recent report by S&P Global Ratings noted that China’s property market has peaked and prices of apartments and houses may fall by 5% next year, as the overall sector contracts. Beijing has spent much of this year deleveraging, trying to address debt and shadow banking. But the economy slowed more than expected and now the government is working its way up through the investment gears again. It is investing again in infrastructure to get the economy cranking. But there will be a lag before the sector starts having any notable effect on steel demand. Many of the demand dynamics seen in the final quarter of this year will still be there in Q1 next year and beyond. Therefore, the downwards pressure on prices will continue – particularly if steel production continues at record levels. S&P Global Platts’ China Steel Sentiment Index for December recorded a headline reading of 30.66 out of a possible 100 points. December’s index marked a slight recovery after a very weak result in November. But what was noticeable was that expectations for new export orders reached a 38-month high. China’s international competitors will not want to see strong steel production allied with tepid domestic demand result in surging levels of exports. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-12-19T08:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121818-battery-metals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-18T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PQeJRUYuT2e5pt6ZbXMWJX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121818-battery-metals-th.jpg</video:thumbnail_loc><video:title>What does 2019 hold for battery metals?</video:title><video:description><![CDATA[S&P Global Platts associate editor Joyce Zhang examines the battery metals market in Asia, and why industry sources are expecting a bearish start in 2019 particularly for lithium carbonate prices.]]></video:description><video:publication_date>2018-12-18T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121718-oil-price-volatility-remains-in-focus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-17T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qMHq1iJo3eEDELtXtYEpcm</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/121718-oil-price-volatility-remains-in-focus-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 17-21: Oil price volatility remains in focus</video:title><video:description><![CDATA[In this week's Market Movers: Brent's 60 dollars a barrel appears at risk; strikes tighten the French energy market; and Bulgaria looks to award gas capacity contracts for the TurkStream pipeline. First off, in oil, the big question is whether this month's production cuts, announced by OPEC and Russia, and separately by the Canadian state of Alberta, will be enough to keep Brent crude futures stable at around 60 dollars a barrel. What do you think 2019 holds for oil prices? Let us know on Twitter using the hashtag #PlattsMM . Meanwhile, French workers are striking against President Emmanuel Macron's plans to close the country's five remaining coal fired power stations before 2022. Bulgaria is expected this week to award capacity contracts to companies looking to move Russian gas via the TurkStream pipeline to Europe. Having only recently recovered from record lows, Rhine water levels will remain a hot topic in petrochemical markets this week, with sources across the industry expressing concern about whether the recovery would be sustained. Low PVC stocks in Europe show no signs of rising this week, stoking fears that inventories will not be sufficiently refilled for New Year demand. Finally, in the European steel markets, the focus will be on EU import quotas. The wire rod quota could become 100% exhausted this week, with about 3% left as of last Friday. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights; Brent’s 60 dollars a barrel appears at risk; strikes tighten the French energy market; and Bulgaria looks to award gas capacity contracts for the TurkStream pipeline. In oil, the big question is whether this month's production cuts, announced by OPEC and Russia, and separately by the Canadian state of Alberta, will be enough to keep Brent crude futures stable at around 60 dollars a barrel. The International Energy Agency, which largely represents consumer nations, has said it detects signs of a return to market balance, but events may turn out differently. In particular, the UK's largest producing oil field, Buzzard, is due back on line soon, after a three-week shutdown. And the future of Libya's biggest producing field, Sharara, is shrouded in uncertainty after militia activity forced authorities there to declare force majeure. But attention is increasingly turning to 2019 and the possibility that sanctions waivers issued to some Asian countries and Turkey could increase Iranian oil exports, at least temporarily. It's another reason for some in the market to think that talk of a 60 dollar floor may be premature. That’s our question for you this week: What do you think 2019 holds for oil prices? Let us know on Twitter using the hashtag #PlattsMM. French workers are striking against President Emmanuel Macron's plans to close the country’s five remaining coal fired power stations before 2022. On Friday, output dropped to zero across the three gigawatt fleet, with decisions on further industrial action due Tuesday. Unions are calling for a moratorium on closures to assess plans to convert some units to biomass. The strikes could put upward pressure on power prices. On the other hand, three of the country’s nuclear reactors are scheduled to return before Christmas, providing some temporary relief before five further outages in January. Bulgaria is expected this week to award capacity contracts to companies looking to move Russian gas via the TurkStream pipeline to Europe. Gazprom is expected to be the main recipient of this capacity, as it looks for an exit node for the 15.75 billion cubic meters a year of gas it wants to send from 2020 along the route. If finalized, it means Gazprom can effectively eliminate Ukraine as a transit route for its gas to reach Southeast and Central Europe. It would mark a significant change in geopolitical dynamics for Europe’s gas market. Water levels on the Rhine will remain a hot topic in petrochemical markets this week. Water levels have only recently recovered from record lows, easing transport problems in a range of commodity markets. But sources across the petrochemical sector expressed concern about whether the recovery would be sustained, particularly if cold weather cuts short the window for increased barge availability. The methanol market has had the greatest increase in shipments so far, but the focus next week will be on the quarterly contract price. Low PVC stocks in Europe show no signs of rising this week, stoking fears that inventories will not be sufficiently refilled for New Year demand. Feedstock ethylene delivery in France and Germany continues to be restricted and PVC production will be further cut this week as the Vynova production plant in Wilhelmshaven -- one of the largest in Europe -- is shut for maintenance. In the European steel markets, the focus will be on EU import quotas. The wire rod quota could become 100% exhausted this week, with about 3% left as of last Friday. The rebar quota is set to reach a critical 10% balance. Significant price movements are not expected due to the year-end lull. But when quotas are full some downstream businesses may have difficulty sourcing supplies, which could push EU domestic prices up in the first quarter of 2019. The EU introduced quotas in July as a provisional safeguard to avoid re-direction of steel import flows after the US raised steel import tariffs earlier this year. Thanks for kicking off your Monday with us. Market Movers is taking a break now until January the sixth so have a very merry Christmas and a Happy New Year. See you then!]]></video:description><video:publication_date>2018-12-17T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121718-asia-commodities-us-china-trade-oil-lng-soybeans</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-17T02:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GwZZaShPH7LqjGKDKE1uJd</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/121718-asia-commodities-us-china-trade-oil-lng-soybeans.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 17-21: Trade flow between the US and China resumes</video:title><video:description><![CDATA[Market participants are expecting detailed guidelines from Beijing as trade flow between the US and China resume this week after months of tension. Beijing announced on December 14 the temporary removal of the 25% additional tariff on US automobiles and related accessories for three months, from January 1. More similar announcements are expected to come in this week, including tariff arrangements for US agriculture and energy products . While guidelines are being set, Chinese buyers have started to purchase US soybeans . Market players anticipate that another 1.5 to 2 milllion tons of cargoes could be shipped as soon as this week. The cargoes are expected to be stored as national reserve. Meanwhile, market participants are keeping an eye on ultra-light crude price differentials with the comeback of China's Fuhaichuang Petroleum and Petrochemical to the market. The company, formerly known as Dragon Aromatics, restarted its expanded 5 million mt/year condensate splitter on December 10. In LNG, market participants say a price support could finally emerge after weeks of persistent declines, as winter temperatures drop and some end-user demand emerge. However, Chinese spot demand remains uncertain due to high tank storage levels. And in coal, the seaborne market continues to wait for a clear signal from Chinese port authorities about the potential lifting of import restrictions for cargoes arriving in January.]]></video:description><video:publication_date>2018-12-17T02:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121318-lng-tanker-rates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-13T21:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rdzDvJGkmKcFxbucRKAGZr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121318-jowdy-lng.jpg</video:thumbnail_loc><video:title>Any relief for soaring LNG tanker rates as global supply set to jump?</video:title><video:description><![CDATA[The past six months have seen LNG shipping rates soar, with Asia Pacific day rates for a standard vessel rising significantly. While they have come off slightly, shipbrokers maintain that prompt availability for such a tanker is limited. Such rates, in conjunction with a weakening JKM on a warmer-than-normal start to winter, have closed the arbitrage for US Gulf volumes to Asia. In addition, more LNG from the Atlantic Basin is bound for Europe, a trend that will gather momentum. Madeline Jowdy , senior director, global gas and LNG for S&P Global Platts, examines the forces shaping the market.]]></video:description><video:publication_date>2018-12-13T21:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121118-opec-non-opec-delivers-a-nail-biter-in-vienna</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-11T16:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4tKug9RnMcYNRCfEHv1WV3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/121118-opec-non-opec-delivers-a-nail-biter-in-vienna-web.jpg</video:thumbnail_loc><video:title>OPEC/non-OPEC deliver a nail-biter in Vienna</video:title><video:description><![CDATA[OPEC and its non-OPEC allies produced a humdinger of a meeting last week by agreeing to cut 1.2 million b/d from January to shore up oil prices but the response has been rather muted. S&P Global Platts senior editor Eklavya Gupte , who was present in Vienna, looks at the some key issues that the producer coalition faces as it heads into 2019. Platts survey: OPEC Nov crude output rises 40,000 b/d to 33.08 mil b/d, Iran falls below 3 mil b/d mark View Full Transcript Welcome to The Snapshot – our series examining the forces shaping and driving global commodities markets today. STRAPLINE: OPEC agrees to cut output to shore up prices They did it. After a contentious meeting, OPEC and its 10 non-OPEC allies led by Russia agreed to cut 1.2 million b/d of production from six months starting January with a review in April. This meeting had the ebb and flow of a riveting sports match and it also had all the attributes of a thrilling Netflix series, replete with last-minute surprises and wildcards. The finale was worth waiting for especially as the OPEC meeting carried on to Friday with fraught negotiations even as key oil ministers played down the chances of an agreement. This was a humdinger. Even OPEC delegates acknowledged the meeting was extremely contentious, with Qatar announcing it was quitting the group before the meeting began. At the eleventh hour a compromise was reached amid a divided political backdrop. The question now turns to whether the producers can deliver and whether it will be enough. OPEC said it would cut 800,000 b/d under the deal, or 2.5% of production for each member, with the 10 non-OPEC partners slashing 400,000 b/d, or 2%. IMAGE: Crude flows from key OPEC producers since cut deal Libya, Venezuela and Iran were granted special considerations and were relieved from undertaking output curbs despite this subject being a bone of contention during the talks. Saudi Arabia and Russia being the two largest producers are expected to bear the burden of the cuts, though these cuts will occur right after both pumped at all-time highs in the past few months. The recent exit of Qatar from OPEC is also symptomatic of the weakening ties between members, as Saudi Arabia and non-OPEC Russia have taken the reins of output policymaking over the past two years. This result may not be able to fully conceal the fractures that still exist amongst some of the members and such cracks are likely to rear their ugly head soon especially as US continues unrelenting pressure on Iran and its beleaguered oil sector. IMAGE: OPEC crude production vs Brent The dramatic fall in oil prices along with a sharp rise in US production almost cornered OPEC in cutting output next year. Unlike in November 2014, the coalition obliged this time. Looking forward, 2019 looks a tricky year for OPEC. US oil production has surged ahead so far this year, with output poised to surpass 12 million b/d in 2019; the shale juggernaut persists. US oil production has risen almost 3 million b/d since January 2017 when OPEC and its non-OPEC allies first cut output in January 2017. More significantly, the US has now emerged a net exporter of oil for the first time in more than 70 years, which has altered the dynamic between America and other oil producers. STRAPLINE: OPEC defies Trump but provides relief to US shale This decision was taken to shore up flagging oil prices and prevent a supply surplus building. Analysts generally feel that the cuts if implemented as promised could have a supportive impact. The physical oil market has gradually weakened in the past few weeks amid a rise in inventories as global oil demand also shows signs of slowing down. The decision to cut could also prove awkward for Saudi Arabia, after US President Donald Trump again urged the kingdom and OPEC to keep output flowing. Trump has repeatedly accused OPEC of anticompetitive practices since coming to office and these demands are unlikely to stop. The 25-country OPEC/non-OPEC coalition will meet in Vienna again in April to assess progress amid concern over the health of the global economy and the impact of trade wars on demand. The weight of expectations for the coalition to deliver another blockbuster is already being senses. Until next season, it is a goodbye for now!]]></video:description><video:publication_date>2018-12-11T16:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121018-energy-market-braces-for-brexit-vote</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-10T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=RKuRLuDgrkBGUjMMjpVRK5</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/121018-energy-market-braces-for-brexit-vote-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 10-14: Energy market braces for Brexit vote</video:title><video:description><![CDATA[Since recording this week's edition, UK Prime Minister Theresa May announced she would delay Tuesday's planned vote on her Brexit proposal. In this week's Market Movers: Sugar producers are worried about souring trade relations; the oil market digests the impact of last week’s OPEC plus meeting; and commodity traders eye rising water levels on the Rhine. First off, energy markets will be watching the outcome of this Tuesday’s vote on UK Prime Minister Theresa May’s EU withdrawal agreement. For power, gas and carbon markets, extended uncertainty flowing from this week’s vote would maintain pressure on the pound against dollar- or euro-denominated fuels, as well as emissions allowances, which are denominated in euros. EU sugar exporters are hoping for a free trade agreement between the EU and the UK. In the event of a hard Brexit, it won’t be possible to offset the loss of sugar exports by exporting the sweetener in the form of confectionery. What impact do you think the Brexit deal vote will have on commodity markets? Tweet us your thoughts with the hashtag #PlattsMM . In oil, the market will be weighing up the aftermath of last week's fraught meeting of the OPEC/non-OPEC production pact, looking for market direction. Meanwhile, low Rhine water levels have hampered logistics not only for oil products, but for the whole commodity complex. Now, rainfall and rising water levels are easing the situation. Turning to European power markets, testing starts this week on the 1 gigawatt Nemo subsea cable between the UK and Belgium. Full operation is due during the first quarter of 2019. And finally, the European steel industry will by eying the UN Climate Change Conference as it goes into its second week in the Polish city of Katowice. View Full Transcript In this week’s highlights: sugar producers are worried about souring trade relations; the oil market digests the impact of last week’s OPEC plus meeting; and commodity traders eye rising water levels on the Rhine. But first, energy markets will be watching the outcome of this Tuesday’s vote on UK Prime Minister Theresa May’s EU withdrawal agreement. For power, gas and carbon markets, extended uncertainty flowing from this week’s vote would maintain pressure on the pound against dollar- or euro-denominated fuels, as well as emissions allowances, which are denominated in euros. The UK parliament is broadly expected to reject May’s deal with the EU in its current form. UK consumer price inflation rose sharply after the referendum vote to leave the EU and has been consistently above 2.2% since, with rising fuel prices playing a major role. This is before factoring in the impact of a no-deal exit, which would cause problems for the Northern Irish power market, which relies on the Republic of Ireland for imports. Meanwhile should parliament approve the deal it could spur a carbon price rally. This is because it would activate an informal transition deal, which would mean the UK staying in the emissions trading scheme until the end of 2020. That would maintain demand for carbon allowances from UK emitters. On the other hand, if the deal is voted down it raises the possibility of the UK crashing out of the EU without a deal. This is causing concern among the remaining EU member states that traditionally export sugar to the UK, mainly France, but also the Netherlands and Belgium. The UK is a net importer of sugar. EU sugar exporters are hoping for a free trade agreement between the EU and the UK. In the event of a hard Brexit, it won’t be possible to offset the loss of sugar exports by exporting the sweetener in the form of confectionery. That brings us to our social media question this week: What impact do you think the Brexit deal vote will have on commodity markets? Tweet us your thoughts with the hashtag #PlattsMM. Talking of tough negotiations, the oil market will be weighing up the aftermath of last week's fraught meeting of the OPEC/non-OPEC production pact, looking for market direction. The International Energy Agency, which largely represents oil-consuming countries, will give its assessment of OPEC and its allies’ agreement to cut 1.2 million barrels a day of production in its monthly oil market report on Thursday. The agency’s figures on global oil demand, and any revision to its recent low-key estimates, will be particularly closely watched. And on Wednesday, OPEC publishes its own monthly oil market report. Once oil and oil products have been produced, they have to be transported. Low Rhine water levels have hampered logistics not only for oil products, but for the whole commodity complex. Now, rainfall and rising water levels are easing the situation. As you can see, water levels have now risen from near-record lows at the end of November to above 150 centimeters at choke-point Kaub. This is seen as a critical level for loading barges comfortably. Barge rates have started falling from exceptionally high levels. The easing Rhine situation is also expected to free up rail and trucks for ethanol and biodiesel as well as biodiesel feedstock rapeseed to be transported from inland Europe to the ports. Prices of these commodities have rallied as a result of the transport logjam and market participants expect them to fall back as the situation starts to normalize. However the situation could still be problematic for petrochemical markets as they face competition for barges from LPG and fuel oil. This, combined with reduced run rates for aromatics and olefins, could result in an unseasonal run-up in prices as stocks drop. As barges resume connecting products with consumers, another link will be in the news. Testing starts this week on the 1 gigawatt Nemo subsea cable between the UK and Belgium. Full operation is due during the first quarter of 2019. The interconnector is sorely needed as only two of Belgium’s seven nuclear reactors are operating at present. And finally, the European steel industry will by eying the UN Climate Change Conference as it goes into its second week in the Polish city of Katowice. There, attention will focus on how Europe’s steel and metals sectors are shaping up in the climate change stakes after a sharp increase in emissions in 2018. European steelmakers’ association Eurofer points to the difficulties in implementing high-cost low-carbon steelmaking in a global industry without a level playing field. It stresses the EU already imports over 26 million metric tons of steel a year from countries without comparable climate policies. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-12-10T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121018-asia-commodities-opec-crude-oil-dalian-exchange-meg</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-10T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2ciQ4QZumC7oVPUcnAzYGr</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/121018-asia-commodities-opec-crude-oil-dalian-exchange-meg.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 10-14: OPEC coalition agrees to cut output; refiners, traders focus on Feb crude oil loading programs</video:title><video:description><![CDATA[This week, oil markets will be assessing the impact of OPEC and its allies' agreement to cut output by 1.2 million b/d , under a preliminary deal reached on December 7. Iran, Libya and Venezuela will be effectively exempted from the cuts. The 24-country OPEC and non-OPEC coalition will meet in Vienna again in April to assess progress amid concern over the health of the global economy and the impact of trade wars on demand. Meanwhile, Asian oil refiners and traders will be shifting their focus on February crude oil loading programs. Saudi Aramco last week cut the price differential for January-loading Arab Light crude bound for Asia by $1/b from the previous official selling price, making it attractive to Asian buyers. The petrochemicals market is looking at China’s Dalian Commodity Exchange, which has launched June to November 2019 futures contract for monoethylene glycol . Market views were divided on whether the new launch could boost market confidence amid the already bearish sentiment. In agriculture, Australian premium white wheat prices hit a one-month high on the back of reduced crop production and tighter supply, despite the harvest being in full swing. In thermal coal, several Chinese buyers are anticipating that Beijing’s import restrictions for seaborne thermal coal cargoes will be lifted at the end of December. View Full Transcript The highlights this week: OPEC cuts production by 3% for six months, Australian APW wheat prices hit one-month high despite the harvest season, and Chinese thermal coal market sees prices rebounding. Let’s start with oil: OPEC has committed to cut output by 800,000 barrels per day, while the 10 non-OPEC producers led by Russia will slash another 400,000 b/d for six months from January, under a preliminary deal reached on December 7. Iran, Libya and Venezuela will be effectively exempt from the cuts. The 24-country OPEC and non-OPEC coalition will meet in Vienna again in April to assess progress amid concern over the health of the global economy and the impact of trade wars on demand. So here’s the social media question of the week: do you think the 1.2 million barrels per day cut is enough for crude prices to recover? Share your thoughts on Twitter with the hashtag PlattsMM. Still in oil, Asian oil refiners and traders will be shifting their focus on February crude oil loading programs, as market digests news on the OPEC and non-OPEC meeting. One of the key highlights is Saudi Arabia’s level of incremental term supplies seen in recent months for January. Last week, Saudi Aramco cut the price differential for January-loading Arab Light crude bound for Asia by $1/b from the previous official selling price. Aramco's steep cuts on its OSP for the January loading program is looking attractive to Asian buyers and Asian importers of Iranian oil are also considering taking up incremental supplies from Saudi Arabia to make up for the supply shortfall in Iran. In petrochemicals, China’s Dalian Commodity Exchange has launched June to November 2019 futures contract for monoethylene glycol on December 10. Market views were divided on whether the new launch could boost market confidence amid the already bearish sentiment, though most people were not as optimistic. Moving to agriculture, Australian premium white wheat prices hit a one-month high on the back of reduced crop production and tighter supply, despite the harvest being in full swing. Due to the drought on Australia's east coast earlier this year, wheat prices have jumped on concerns of grain supply tightening as a result. Sources said selling interest from Australian growers appear to be slow this year, which could be a possible reason for higher wheat prices. And finally in thermal coal, several Chinese thermal coal buyers are anticipating that Beijing’s import restrictions for seaborne cargoes will be lifted at the end of December. Chinese buyers have booked some December loading Capesize cargoes of FOB Newcastle 5,500 NAR thermal coal, with prices rebounding to $60/mt FOB last week in the spot market. And that's it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-12-10T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120618-brent-volatility-outlook-december</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-06T19:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wrPuwJLZz3GLjQD3BED4zj</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/latest-news/120618-snapshot-brent-volatility.jpg</video:thumbnail_loc><video:title>Brent Crude oil volatility: December 2018</video:title><video:description><![CDATA[Despite good physical demand coming from Europe and Asia, Dated Brent prices moved sharply lower in November because global market sentiment turned bearish. OPEC+ members are expected to cut between 1 million and 1.4 million b/d, but a final decisionis likely to come from OPEC's annual meeting in Vienna. Vito Turitto , quantitative analysis manager at S&P Global Platts, says the volatility premium went up over November, but is likely to narrow over the coming weeks, favoring a recoveryin Brent prices. View Full Transcript Welcome to The Snapshot -- our series which examines the forces shaping and driving global commodities markets today. The large drop in North Sea grades prices, although exacerbated by an aggressive selling pressure coming from speculative positions, was favored by an overhang of oil caused by sluggish South Korean and Chinese demand, American barrels still circulating in Europe and increased competition from Urals. The lack of Far East arbitrage caused several STS offers to be thrown into the market and the looming maintenance period in Asia certainly did not help to sustain prices in the first half of July. Things started to change around July 24 when some cargoes got booked to deliver oil in the East as a consequence of an extremely cheap EFS. The buying pressure on BFOE grades was also helped by a revival of domestic demand which contributed to absorb a good chunk of the floating barrels but the fact that Saudi Aramco suspended its oil shipments through the Bab el-Mandeb Strait in the Red Sea has, without a doubt, contributed to push North Sea crude prices up. Hence, the Dated Brent CFD forward curve remained in contango in the first half of the month but, in the second half, its prompt got in backwardation thanks to the renewed buying pressure. Internationally, the market sentiment changed from bearish to bullish on July 19 when the Saudi energy ministry reported that the "accusation that Saudi Arabia and its allies were aiming to substantially oversupply the market were without basis" and added that OPEC and non-OPEC producers were collaborating to "stabilize" the market. The uptrend in Brent prices accelerated over the last trading days of July also thanks to increased geopolitical risk factors like the escalating tension between US and Iran, with the latter threatening to block the key choke points at the Strait of Hormuz. The Volatility Premium averaged negative 26.3, over the month of July, which is significantly lower than its 3-month and 6-month values indicating that probably there will be a market correction in the short term followed by an uptrend. The Probability Distribution analysis shows that the Dated Brent monthly volatility closed the month trading above its equilibrium point so it is probable that the volatility will tend to move back down towards the 20-25% range where it has a more than 31% chance to stay. The drop in volatility will favor an uptrend in prices, although quick market retracements should be expected. Finally, the Volatility Cones analysis confirms that the monthly figure of the current volatility curve is too high implying that the fluctuation rate will likely soften over the next weeks favoring a gradual uptrend of Brent prices. Nevertheless, price retracements, particularly in the short term, should not be ruled out. Until next time on the Snapshot -- we'll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-12-06T19:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:56</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/120518-conversation-vijay-iyengar-agrocorp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-05T08:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5fKHhsHonpqAy9trnbNMVH</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/120518-conversation-vijay-iyengar-agrocorp.jpg</video:thumbnail_loc><video:title>Insight Conversation with Vijay Iyengar, Agrocorp CEO</video:title><video:description><![CDATA[Vijay Iyengar, CEO of Agrocorp International, shares his insights with Andrei Agapi, managing editor at S&P Global Platts, on the changes in Southeast Asia's wheat market environment, the challenges ahead for agricultural commodities, and the opportunities for market players as countries implement trade restrictions in the commodities trading space.]]></video:description><video:publication_date>2018-12-05T08:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>11:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/120318-europe-commodities-opec-qatar-oil-tariff-steel</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-03T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zp2Cvf9mBwaQedPSFherPd</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/120318-europe-commodities-opec-qatar-oil-tariff-steel.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Dec 3-7: OPEC meeting in focus; Qatar announces plans to leave producer group</video:title><video:description><![CDATA[Saudi Arabia remains under pressure from the US to keep oil prices low, ahead of the OPEC meeting in Vienna on Thursday. The agenda for OPEC and its allies seemed clear three weeks ago, with a key monitoring committee co-chaired by Saudi Arabia and Russia strongly signaling that the coalition may need to cut production by up to 1.4 million barrels a day. But noises off from US President Donald Trump will complicate the talks. In the lead up to the talks, Qatari ministers on Monday revealed the state plans to leave the producer group from January 1 to focus on its natural gas production. Markets will also keep an eye on Russia's willingness to commit to any oil output cuts, when its companies are eager to raise output, as OPEC aims to seal a permanent cooperation deal. In the steel market, German carmakers will meet with US trade representatives at the White House Tuesday to lobby against possible tariff increases on US imports of cars from the EU. Germany exports around 1.3 million metric tons a year of rolled steel in the form of cars to the US. Egypt is also said to be looking at imposing tariffs on some steel products this week. While steel makers fear they may be frozen out of the US and Egypt, the European gas market will be looking at the thermostat. Temperatures across Europe are expected to remain above seasonal norms this week, potentially capping gas prices. Further downward pressure on prices might also come from LNG inflows. View Full Transcript In this week’s highlights: German carmakers seek to avert higher US tariffs; warm weather is set to cool European gas prices; and the petrochemicals sector will look ahead to 2019. But first, OPEC will meet in Vienna this week, with its top oil producer Saudi Arabia seeking to stem the recent price drop. However the Saudis remain under pressure from the US to keep oil prices low, as the kingdom struggles to contain the political fallout from the death of dissident journalist Jamal Khashoggi. The producer group meets Thursday, with Russia and nine other non-OPEC producers joining the talks on Friday. The agenda for OPEC and its allies seemed clear three weeks ago, with a key monitoring committee co-chaired by Saudi Arabia and Russia strongly signaling that the coalition may need to cut production by up to 1.4 million barrels a day. But noises off from President Trump will complicate the talks. Trump has urged OPEC several times on Twitter and in public statements not to cut output in order to cap prices. In the lead up to the talks today, Qatari ministers revealed the state plans to leave the producer group from January 1 to focus on its natural gas production. The market is still digesting the impact of the news. Another factor markets will be watching is Russia's willingness to commit to any cuts, when its companies are eager to raise output, as OPEC aims to seal a permanent cooperation deal. And that brings us to our social media question of the week: What will be the most likely outcome of the OPEC/non-OPEC meeting? Tweet us your thoughts with the hashtag #PlattsMM. German carmakers Volkswagen, Daimler and BMW will also be looking for cooperation when they meet with US trade representatives at the White House Tuesday to lobby against possible tariff increases on US imports of cars from the EU. Not only German carmakers but also steel producers are nervous about the prospect of higher tariffs. Germany exports around 1.3 million metric tons a year of rolled steel in the form of cars to the US. Steel billet exporters from the former Soviet Union and Turkey will be looking East rather than West following market talk that Egypt this week it is set to impose tariffs of 10-15% on imports of some products. While steel makers fear they may be frozen out of the US and Egypt, the European gas market will be looking at the thermostat. Temperatures across Europe are expected to remain above seasonal norms this week, potentially capping gas prices. Further downward pressure on prices might also come from LNG inflows. Europe is likely to remain an attractive destination as Asian prices are around 15% lower than their European counterparts and their outlook is bearish. And finally, Valencia will host the European Petrochemical Luncheon Thursday and Friday, and plastics industry participants will be heading to Istanbul for the PlastEurasia conference from Wednesday until Saturday. At both conferences, the likely focus will be developments in 2019. The Valencia meeting will revolve around aromatics and olefins. In Istanbul, a key topic of discussion will be the likely effect on the economy of Turkish municipal elections due in March. S&P Global Platts will be present at both events, so get in touch! Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-12-03T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/120318-asia-commodities-trump-xi-trade-truce-opec-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-12-03T02:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MiMizfEFMZBczUFR1pWAgF</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/120318-asia-commodities-trump-xi-trade-truce-opec-oil.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Dec 3-7: All eyes on US-China trade truce, upcoming OPEC meeting</video:title><video:description><![CDATA[Oil markets are keeping an eye on any announcement from OPEC that could indicate its oil output plans. The group is scheduled to meet in Vienna on December 6 and 7. Experts say a production cut agreement could further strengthen Dubai crude prices. Meanwhile, the US and China have agreed over the weekend to resume trade negotiations and halt further tariff rate hikes for 90 days. This could help restore trade flows for some commodities like agriculture and petroleum. In thermal coal, shippers in Asia are seeking confirmation from customers that China’s import quotas may be exhausted before the end of December. Market sources estimate that only 2 million mt of China’s annual import allocation is left for the remainder of the year. In agriculture, Australian wheat prices are expected to inch higher due to stronger demand in the domestic market. View Full Transcript This week: Markets assess the US and China's decision to resume trade negotiations, freight rates are to weaken, and healthy demand seen supporting wheat prices. But first, all eyes are on the upcoming OPEC meeting, with international crude prices having come off some 30% since early October. A production cut agreement could further strengthen Dubai crude prices, after the benchmark has jumped recently, further narrowing its discount to Brent, backed by strong fuel oil crack and a relatively weak gasoline/naphtha market. Still in oil, China will release its preliminary trade data for November on December 8. Market participants will focus on the product export volume, which will give an indication of the expected outflow this month, when the Asian gasoline and gasoil market is oversupplied. And China remains in focus following the Trump-Xi talks over the weekend. China and the US have agreed to resume negotiations and temporarily halt further tariff hikes for 90 days. This could help restore trade flows for some commodities like agriculture and petroleum. This provisional truce could benefit US exports of soybeans, crude oil and LNG to China, which had tapered off after Beijing implemented retaliatory tariffs and threatened new ones. China has agreed to start purchasing agricultural products from US farmers immediately. So for our social media question this week: Do you expect the two countries to agree on a longer-term trade truce? Share your thoughts on twitter with hashtag PlattsMM. In the dry bulk market, sources expect the recent sentiment driven increase in Panamax freight rates to retrace down quickly given the lack of significant changes to market fundamentals. Supramax markets seem to have hit the floor last week. But with demand remaining thin, the rates are not expected to be too different but for changes to bunker fuel prices. In thermal coal, shippers in Asia are seeking confirmation from customers that China’s import quotas may be exhausted before the end of December. Market sources estimate that only 2 million mt of China’s annual import allocation is left for the remainder of the year, and that is before vessels arrive with cargoes at Chinese ports under long-term contracts. You can learn more about the port restrictions from our latest Commodities Policy podcast on our website. Finally in agriculture, Australian wheat prices are expected to inch higher due to stronger demand in the domestic market. Traders say demand from Australia’s East Coast for APW will continue to support prices, resulting in higher offer prices for the export business. The harvest for the 2018/2019 marketing year might see increased production for lower protein wheat, which could explain the wider spread for APW and ASW. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-12-03T02:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/112618-oil-price-decline-takes-center-stage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-26T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=o3eNDbxas7yWUgYUtJApxY</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/112618-oil-price-decline-takes-center-stage-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 26-30: Oil price decline takes center stage; carbon traders focus on Brexit progress</video:title><video:description><![CDATA[In this week's Market Movers: Carbon capture will be under discussion in the UK, European power markets are focusing on French reactor closures and Brexit remains top of the agenda for carbon traders in a highly volatile market. First off, plunging oil prices have raised expectations OPEC and its partners will cut production when energy ministers meet in Vienna next week. By how much would OPEC and its partners need to cut production to support prices? Tweet us your thoughts with the hashtag #PlattsMM . In London, Brexit will be closely watched by traders and hedgers in the carbon market. Also in the UK, energy ministers will gather in Edinburgh on Wednesday for a summit intended to kick-start the use of carbon capture technology in depleted North Sea fields. In European power, the focus will be on French energy plans expected to be unveiled Tuesday by President Emmanuel Macron. Meanwhile, German power traders are looking for answers on a similar topic, but they may have to wait a bit longer. In LNG, four more cargoes are due to land in the UK this week, after send-outs last week hit a seven-year high. And finally, London will host the annual Mines and Money event starting today. View Full Transcript In this week’s highlights: Carbon capture will be under discussion in the UK, European power markets are focusing on French reactor closures and Brexit remains top of the agenda for carbon traders in a highly volatile market. But first, plunging oil prices have raised expectations OPEC and its partners will cut production when energy ministers meet in Vienna next week. Brent crude fell below $60 per barrel last week for the first time since February, as rising production levels added pressure, with Saudi output approaching the 11 million barrel-per-day mark. Along with rising US and Russian production, this has contributed to a feeling of crude oversupply. First signals could come this Friday from the G20 summit in Argentina, where oil prices will be very much in the minds of world leaders. And that’s the focus of this week’s social media question: By how much would OPEC and its partners need to cut production to support prices? Tweet us your thoughts with the hashtag #PlattsMM. In London, Brexit will be closely watched by traders and hedgers in the carbon market. EU leaders on Sunday endorsed an agreement on the UK’s withdrawal from the bloc, alongside a political declaration on future relations. Focus now shifts to how Prime Minister Theresa May can get the deal through parliament. Any trouble there could be a bearish signal for EUA carbon prices, which have more than doubled so far this year. Also in the UK, energy ministers will gather in Edinburgh on Wednesday for a summit intended to kick-start the use of carbon capture technology in depleted North Sea fields. The meeting will be attended by IEA chief Fatih Birol and industry CEOs such as BP's Bob Dudley and Shell's Ben van Beurden. In European power, the focus will be on French energy plans expected to be unveiled Tuesday by President Emmanuel Macron. The key question is whether France is ready to close any reactors before 2028. The already-delayed plan will also set new targets for wind and solar and detail when the last five French coal plants will shut. German power traders are looking for answers on a similar topic, but they may have to wait a bit longer. The country’s coal commission meets Wednesday for the last time before a report due ahead of UN climate talks next week in Poland. The government-appointed commission may need extra time for its final report, with the deadline reportedly slipping into January. Meanwhile, lower grade coal cargoes have flooded into Europe while coal stocks in the Dutch terminals are already at multi-year highs due to low river levels. This may leave traders unlikely to entertain many offers this week. China’s announcement that it would clamp down on imports for the rest of the year, combined with low Indian demand, has meant European buyers have been overburdened with offers. In this chart you can see how front-year coal prices have fallen by 15% since hitting 100 dollars per metric ton in October. At the same time, the blue line shows how European gas prices have also eased due to improved supply – especially from LNG. On the subject of LNG, four more LNG cargoes are due to land in the UK this week, after send-outs last week hit a seven-year high. Cargoes are due from Qatar, the US, Russia and Trinidad & Tobago. With the gas interconnector between Belgium and the UK expected to be underused in coming weeks after the expiry of long-term contracts, LNG could be the preferred choice for shippers to bring gas to the UK. And finally, London will host the annual Mines and Money event starting today. A likely topic of conversation will be market instability; nickel has hit a fresh 2018 low, having declined 30% since June. One new focus will be on battery manufacturing in Europe. Interest stirred by BASF’s plans to evaluate investment in such facilities. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-11-26T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/112618-asia-commodities-xi-trump-g20-oil-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-26T02:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PBTcccWteEpkhMxH4UTZar</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/112618-asia-commodities-xi-trump-g20-oil-prices.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 26-30: Oil futures slip below $60/b; Trump-Xi talks in focus</video:title><video:description><![CDATA[This week in Asia, oil markets are expected to keep a close watch on prices after the ICE Brent crude oil futures fell below the $60/b mark. Oil prices are also expected to be a hot topic at the upcoming G20 Summit in Argentina. On the sidelines of the summit, Chinese President Xi Jinping and US President Donald Trump are expected to meet, and market participants will keep an eye on signals of from both countries that could lead to a truce. The US-China trade war has restructured many key commodity trade flows, including agriculture products, petroleum, LNG, coal and petrochemicals. Meanwhile, the decline in oil prices could force some Asian refiners to sell oil products below input costs. Similarly, in the petrochemical market, aromatics have been on a downtrend, tracking the fall in crude prices, weak buying interest and ample supply. A price downtrend is also gripping the LNG and thermal coal markets. Regina Sher has the details on this week's Platts Market Movers. View Full Transcript This week: US and China leaders are expected to meet, aromatics track falling crude oil prices, and LNG spot market remains bearish. But first, oil markets will keep a close watch on prices after the ICE Brent crude oil futures fell below the 60 dollar per barrel mark Friday amid expectations of oversupply and talks about whether OPEC and Russia can bring output levels down fast enough in the months ahead. Oil prices are also expected to be a hot topic at the upcoming G20 Summit in Argentina. And on the sidelines of the summit, Chinese President Xi Jinping will meet US President Donald Trump, and market participants expect a trade talk between the leaders. The US-China trade war, which has restructured many key commodity trade flows, including agriculture products, petroleum, LNG, coal and petrochemicals. So for our social media question this week: Will the trade tensions between the US and China ease after the meeting? Still on the US-China trade relations, the US might have fallen out of China’s top 10 crude suppliers’ list on relatively lower level of inflows with uncertainties brought about by the trade war. China’s detailed trade data is expected to be released this week after the General Administration of Customs said total crude oil import volumes hit a record high of 9.65 million barrels per day in October. Iran imports were expected to show a recovery from September levels amid efforts to build stocks at a time when there was no clarity on whether Beijing would secure a waiver from Washington. Also in oil, the decline in oil prices could force some Asian refiners to sell oil products below input costs. Asian light distillate benchmark prices have fallen below the 65 dollars per barrel mark recently, with the benchmark FOB Singapore 92 RON physical gasoline price hitting a year low of 64 dollars and 98 cents per barrel on November 22. Similarly in the petrochemical market, aromatics have been on a downtrend, tracking the fall in crude prices, weak buying interest and ample supply. The styrene-benzene spread hit a 17-month low on Friday as sentiment remains bearish. Sellers have been lowering offer levels on the build in benzene and styrene inventories that are expected to continue rising. Moving on to LNG, the downtrend in Asian spot prices is likely to persist on weak winter fundamentals. With weak buying interest among end users and rising inventories, storage tanks are full and more supply is being released into the spot market. And finally in thermal coal, spot prices for Australian cargoes delivered to the north-east Asian markets hit their lowest since June 2017. Market participants expect Asian seaborne coal prices to continue moving lower as the Chinese government has restricted imports for the rest of the year. Domestic prices in China are also expected to remain suppressed on weak demand and ample supply. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-11-26T02:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111918-oil-supply-price-volatility-in-focus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-19T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Vf5wsxiWCsCwGXP3FnTKQS</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/111918-oil-supply-price-volatility-in-focus-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Nov 19-23: Oil supply, price volatility in focus</video:title><video:description><![CDATA[In this week's Market Movers: Winter sends its first chill through the power and sugar markets, while the palladium market will look for news from Arctic Russia. First off, the oil market will be seeking a new sense of direction after last week's volatility, in which Dated Brent briefly dipped below 65 dollars a barrel for the first time since March. Where do you see oil prices heading by the end of 2018? Tweet us your thoughts with the hashtag #PlattsMM . In European power markets, prices have been heading higher as the continent is set to get a first taste of winter this week. The weather combined with the weaker pound has also pushed UK natural gas hub prices below their Belgian counterparts. The cold spell in Northwest Europe will also hit the continent's sugar-beet belt. Several nights of frost are expected, which could damage beet still in the ground. Meanwhile, the power and generating fuels markets will also be keeping an eye on the political turbulence in the UK sparked by the Brexit deal struck with the EU. And finally, in metals, the palladium market too will be seeking clarity. It will be looking to Monday's investors' day by Russia's Norilsk, the world's largest producer, with analysts hoping to gain a clearer picture on supply. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: Winter sends its first chill through the power and sugar markets, while the palladium market will look for news from Arctic Russia. But first: Oil market participants will be looking for more information on supply of Russian Urals crude for the whole of December. On Friday, loading for just the first six days were released. Refiners are likely to be looking for heavier, sour crudes, such as Urals because of a bullish high-sulfur fuel oil market and low naphtha prices compared with crude. Grades like Urals produce a higher proportion of heavier refined products, rather than the lighter basket of crudes that make up Dated Brent. These North Sea crudes are more abundant in lighter products such as gasoline, naphtha and diesel. Overall, the oil market will be seeking a new sense of direction after last week’s volatility, in which Dated Brent briefly dipped below 65 dollars a barrel for the first time since March. The low came as US President Donald Trump urged OPEC not to cut output. On Friday, the Iraqi government restarted exports of Kirkuk crude oil through the Kurdistan-Turkey pipeline. That could pave the way for a rise in loadings from OPEC’s second-largest producer. That’s the focus of this week’s social media question: Where do you see oil prices heading by the end of 2018? Tweet us your thoughts with the hashtag #PlattsMM. In European power markets, prices have been heading higher as the continent is set to get a first taste of winter this week. The cold will be most sharply felt in Belgium and France, where peakload power prices have already risen above 100 euros per megawatt-hour. French peak demand is forecast to rise above 80 gigawatts this week for the first time this winter, up from 66 gigawatts last week. Maintenance at French and Belgian nuclear reactors has removed key supply, so wind generation in Germany will be crucial. However too much wind power generation could cause issues on the German power grid. It is not only the power markets which will be eying the cold weather in Northwest Europe. The cold will hit the continent’s sugar-beet belt. Several nights of frost are expected, which could damage beet still in the ground. The dry weather in the summer and autumn has already reduced the beet and sugar yield, causing production estimates for the season, which started in October, to be revised down. The weather combined with the weaker pound has pushed UK gas hub prices below their Belgian counterparts. This has made bookings on the Interconnector gas link economic in time for Monday’s capacity auction. The NBP-Zeebrugge spread for December delivery has moved above 5 pence a therm. This has resulted in rare interest in booking capacity on the Interconnector gas link in the winter. Normally gas moves from Belgium to the UK at this time of year. The power and generating fuels markets will also be keeping an eye on the political turbulence in the UK sparked by the Brexit deal struck with the EU. After several ministers resigned last week, concern is growing that parliament might be unable to ratify the deal or that Prime Minister Theresa May might be ousted by her own party. Fears the outcome could be the UK crashing out without a deal caused EU carbon allowance prices to plunge 8% on Thursday. The palladium market too will be seeking clarity. It will be looking to Monday’s investors’ day by Russia’s Norilsk, the world’s largest producer. Analysts hope to gain a clearer picture on supply. Availability concerns have caused prices for palladium, used mainly in gasoline cars to help reduce emissions, to rocket by nearly 40% since August to an all-time high last week. Palladium has been in short supply since 2012. Prices were given a boost last year by the move away from diesel cars because catalytic converters for gasoline engines use more of the metal than their diesel cousins. Since then, it has thrived on recovering automotive production in many countries. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-11-19T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111918-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-19T02:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5zgteD5qu7LoVSTNr98N4D</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/111918-asia-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Oil output cut talks keep market abuzz ahead of OPEC meet; China, Philippines to discuss joint exploration</video:title><video:description><![CDATA[With three weeks to go until the next OPEC meeting, the oil market is abuzz about the level of production that OPEC and its allies are likely to cut. Some delegates have said that talks have started about at least 1 million b/d of production being slashed. Meanwhile, producers in Oceania and the Middle East will be looking out for the January loading condensate cargoes that are expected to trade this week. Spot differentials for Australian and Qatari ultra-light grades are already facing strong downside pressure from weak naphtha cracks. Chinese President Xi Jinping will be visiting Manila to meet Philippine President Rodrigo Duterte. The leaders are expected to discuss the possibility of signing a framework for a joint oil and gas exploration in the South China Sea. Thermal coal buyers are expecting prices to weaken this week amid China’s move to restrict coal imports for the rest of the year. Australian and Indonesian thermal coal will have to find alternative markets. China's port restriction adds to the pressure on Panamax and Supramax freight rates due to lack of demand. Related event: 14th Annual Steel Markets Asia Conference]]></video:description><video:publication_date>2018-11-19T02:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111518-lng-spot-prices-asia-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-15T07:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xXKFjtyiJEbxNWMwcEFqFq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/111518-lng-spot-prices-asia-europe.jpg</video:thumbnail_loc><video:title>European gas prices could play a big role in where Platts JKM prices head this winter</video:title><video:description><![CDATA[Spot prices in Asia were unseasonably high the past few months as persistent supply outages and strong demand growth helped prop up the Platts JKM to levels not seen for several years. However, as winter demand is slow to start up while supply comes back, the market is now starting to see an interesting phenomenon take place. Jeffrey Moore , LNG analytics manager in Asia at S&P Global Platts, observes that spot prices in Asia are increasingly correlated with gas prices in Europe. Will this trend continue through the winter or will demand re-open the arbitrage between these two markets? View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. This has been a challenging year for end users in the LNG market, as spot prices were unseasonably strong this past June through September after peaking to three year highs this past winter. However, the bullish rally has lost some steam in recent weeks as supply has finally stabilized while demand has yet to gain any real traction before weather-related demand truly picks up. This recent weakness in spot prices could be a sign of things to come as the LNG market matures over the next several years. The strong prices this summer were thought to be a bit of an indication of the tightness in the market as supply growth stalled and demand continued to push higher, underpinned by strong buying from China. JKM prices remained elevated and incentivized flows from the Atlantic basin and Middle East to help feed the robust growth in demand. This is very typical in a tight market, and is similar to what we saw during this last winter. However, things have changed recently as JKM prices are starting to anchor to TTF prices in Northern Europe, especially when we add transportation costs on top to compare the arbitrage opportunity of moving an Atlantic cargo to Asia. High shipping rates over the past few months have helped close this gap while JKM prices have struggled to gain any upward momentum. Traditionally we tend to see a fairly strong correlation between these two pricing hubs during the summer months, especially in a relatively loose market such as in 2017 where the TTF plus transport provided a nice floor for JKM prices. We saw almost the opposite of that this summer with the initial rally in JKM prices this June. However, TTF is now starting to play a bigger role in where JKM prices are trading recently, which is not very typical for the winter. This could be a sign of things to come, especially as supply growth starts to pick back up while demand growth slows. So what are the fundamentals telling us about what to expect in supply and demand? Well, we saw very strong year-over-year demand gains this summer, which has largely been driven by structural demand growth in China. However, a late-season heatwave in Northeast Asia propped demand higher in Japan and South Korea. Even as temperatures moderated, strong imports continued in Japan and South Korea though around the middle of September, when total imports to the countries hit their highest levels since early April. This was due to storage stocks rebuilding late in the season, and now imports have fallen to seasonal lows as stocks filled up. With plenty of volumes in storage and other generating fuels such as restarting nuclear capacity coming online, the demand growth in Northeast Asia will likely have to come from China. Cold weather could disconnect JKM and TTF prices this winter, but as supply ramps up we expect TTF prices will play an increasingly important role in anchoring JKM and this correlation will likely become a very significant one to watch moving forward. We will be following this story closely as we analyze the markets and fundamentals around the globe. Until next time on Snapshot, we'll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-11-15T07:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111318-asia-jet-fuel-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-13T08:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=o8ZodWzmpqSKjQfbBAnK3z</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/111318-asia-jet-fuel-outlook.jpg</video:thumbnail_loc><video:title>Jet fuel prices take off as winter demand heats up</video:title><video:description><![CDATA[Asia's jet fuel market started the quarter strong, drawing support from Japanese importers buying kerosene before the winter season. Cheong Su Yeen, managing editor for clean oil products at S&P Global Platts, shares the market's outlook for the rest of 2018 and the expectations ahead of the implementation of the International Maritime Organization's 2020 sulfur regulations.]]></video:description><video:publication_date>2018-11-13T08:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111218-oil-price-dop-takes-center-stage-in-abu-dhabi</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-12T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ACk6gGkuGwK5D4ZnMJAE95</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/111218-oil-price-dop-takes-center-stage-in-abu-dhabi-web.jpg</video:thumbnail_loc><video:title> Oil price drop takes center stage in Abu Dhabi; Turkish mills eye easing trade terms with US</video:title><video:description><![CDATA[In this week's Market Movers: the Turkish steel market will look to an event to mark the end of World War I; the gas market will turn a weather eye on Asia; and the power markets will weigh up Belgian nuclear availability. First off, key players in the world of oil will come together on Tuesday at the Abu Dhabi International Exhibition and Conference to assess the fall in prices and signs of oversupply. Both Saudi Energy Minister Khalid Al-Falih and his Russian counterpart, Alexander Novak, will attend. Turkish President Recep Tayyip Erdogan and his US counterpart Donald Trump met Sunday at an event to mark the 100th anniversary of the end of World War I, with the Turks hoping that tariffs on their steel entering the US could be reduced to 25% from 50% if the talks help relations thaw. Elsewhere, European natural gas markets may soon be looking East to see whether temperatures in Asia fall, causing some LNG flows to switch away from Europe. And finally, in European power markets, Belgian nuclear operator Engie Electrabel announced it was bringing back from maintenance two reactor units at Tihange 1 today. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: the Turkish steel market looks to an event to mark the end of World War I; the gas market turns a weather eye on Asia; and the power markets weigh up Belgian nuclear availability. But first, key players in the world of oil will come together on Tuesday at the Abu Dhabi International Exhibition and Conference to assess the fall in prices and signs of oversupply. Both Saudi Energy Minister Khalid Al-Falih and his Russian counterpart, Alexander Novak, will attend - following another meeting just this past weekend with a key group of ministers from the Joint Ministerial Monitoring Committee. Pressure is now mounting on OPEC and Russia to limit production ahead of the next ministerial meeting in Vienna in December. And further oil price signals are likely to come from some closely watched reports this week. On Tuesday OPEC will publish its regular monthly report and the IEA will unveil its annual World Energy Outlook, which assesses trends up to 2040. While the IEA will be looking forward, the Turkish steel sector will be hoping that looking back might improve its situation. Turkish President Recep Tayyip Erdogan and his US counterpart Donald Trump met Sunday at an event to mark the 100th anniversary of the end of World War I. The Turks are hoping that tariffs on their steel entering the US could be reduced to 25% from a current level of 50% if the talks help relations thaw. While Turkey looks West, European gas markets may soon be looking East to see whether temperatures in Asia fall, causing some LNG flows to switch away from Europe. But meanwhile so far we have seen quite an improvement in European supply. As you can see from the chart, data from S&P Global Platts Analytics shows that North West European LNG send-outs increased dramatically through October. And we now see daily deliveries and 30-day averages hitting post-Fukushima highs. With other supply sources into Europe also rising into winter, we saw record October underground storage injections of over 100 mcm/d. Sendouts should remain high through November, but flows could start to move to Asia once heating demand there picks up. And finally, we look to Belgium, where several nuclear plants have been offline in recent months. Belgian nuclear operator Engie Electrabel announced it was bringing back from maintenance two reactor units at Tihange 1 today, rather than November 17th as originally planned. Their return will double available nuclear capacity in Belgium to 2 gigawatts. However, as you can see from this chart S&P Global Platts Analytics expects Belgian nuclear output to set a new record low throughout Q4 2018, despite the Tihange 1 restart. And Belgium is not out of the woods just yet. The nuclear regulator last week announced greater scrutiny in nuclear inspections at the Doel 1 and 2 reactors, due back on December the 10th and December 31st, and this could represent a risk of delays to their restarts. Thank you for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2018-11-12T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/111218-insight-conversation-doug-peterson-spglobal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-12T08:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NdPStHAss8uJX5NFewKGAs</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/111218-insight-conversation-doug-peterson-spglobal.jpg</video:thumbnail_loc><video:title>Insight Conversation with Doug Peterson, S&amp;P Global CEO</video:title><video:description><![CDATA[From trade wars to economic sanctions, there was no dull moment for financial and commodity markets in 2018. But what does 2019 hold? S&P Global CEO Doug Peterson joins Sambit Mohanty , senior editor at S&P Global Platts, in this episode of Insight Conversation to share his outlook on the global markets, the rising trend of measuring investors' environmental, social and governance standards, as well as his insights on the US growth, China's financial complex, and the US-China trade war. He also shed some light on how developments in supply dynamics are shaping the oil markets, and how commoditization and globalization of LNG are affecting the demand for natural gas.]]></video:description><video:publication_date>2018-11-12T08:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111218-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-12T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4Hsb1WWxvi1ausKnz9PMRB</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/111218-asia-commodities-week-ahead-thumb.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 12-16: Saudi eyes oil export cuts; trade relations in focus at ASEAN Summit</video:title><video:description><![CDATA[Markets in Asia open following news over the weekend Saudi Arabia's potential oil export cut in December. The oil market is also expected to watch for OPEC's monthly report, which will be released this week, for further price cues. The report will be released after the OPEC-led coalition is reported to be inching closer to agreeing on production cuts for 2019. In Singapore, ASEAN leaders are joined by representatives from China, the US, Japan and Russia to discuss key trade issues at the 33rd ASEAN Summit. This will be followed by the APEC Economic Leaders' meeting later in the week in Papua New Guinea. The meetings are being conducted against the backdrop of an ongoing trade dispute between the US and China, which has disrupted supply chains across Asia Pacific and threatened to impact commodities demand and trade flows. But one highly anticipated topic is the ASEAN-led Regional Comprehensive Economic Partnership trade agreement, which could help offset the impact of trade disputes. Meanwhile, the bunker market is also keeping an eye on Singapore as the city state is expected to release its marine fuel sales data on November 13. Singapore hit a record of over 50 million mt in bunker fuel sales in 2017, and markets are watching if it can hit another record this year. View Full Transcript The highlights this week: ASEAN summit takes centerstage in Singapore, LNG market looks for signs of a winter price rebound, and dry bulk freight rates under pressure. But first, the oil market is digesting news over the weekend about Saudi Arabia’s potential oil export cut in December. Saudi energy minister Khalid al-Falih said the recent slide in oil prices was a result of trader overreaction and not an indication of an oversupplied market. Still the market is expected to keep a close eye on OPEC’s monthly report out this week for further price cues. Economic leaders from Southeast Asian countries are in Singapore along with representatives from China, the US, Japan and Russia to discuss key trade issues at the ASEAN Summit. This will be followed by the APEC Economic Leaders’ meeting later in the week in Papua New Guinea. The meetings are being conducted against the backdrop of an ongoing trade dispute between the US and China, which has disrupted supply chains across Asia Pacific and threatened to impact commodities demand and trade flows. But one highly anticipated topic is the ASEAN-led Regional Comprehensive Economic Partnership trade agreement, which could help offset the impact of trade disputes. Still in Singapore, the bunker market will be closely watching the city state’s October marine fuel sales report due on November 13. Singapore’s bunker fuel sales from January to September hit 37.5 million mt, down 1.5% from last year’s volumes. With less than two months to go before 2018 closes, can Singapore breach the 50 million mt figure for its bunker sales again? Share your thoughts on Twitter with hashtag PlattsMM. Moving on to LNG, one of the world’s largest and most complex gas projects – the INPEX-operated Ichthys LNG in Australia – officially opens this week. The project has already started operations with its first shipment of LNG and condensate in recent weeks. In the spot market, LNG market participants are keeping an eye on emerging, opportunistic demand from Northeast Asia where end-users appear keen on capitalizing on lower spot prices. Enquiries from buyers in Japan and South Korea could signal optimism that the market is poised for a winter price rebound. Speaking of winter, the heating season in the northern hemisphere is starting in a few weeks, and power plants in China are likely to return to the thermal coal spot market for December cargoes. Market sources expect prices of Chinese domestic spot cargoes to remain range-bound, keeping a lid on import prices. Meanwhile, Southeast Asian countries such as Vietnam and Thailand are producing sporadic demand for thermal coal imports, while ongoing port restrictions continue to dampen China's demand for seaborne coal. That’s it for this week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-11-12T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110918-us-northeast-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-09T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JJNJjnBjdNLkqvfp3gCVSJ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/110918-us-northeast-power.jpg</video:thumbnail_loc><video:title>US Northeast power forwards move higher despite warmer outlook</video:title><video:description><![CDATA[Power forwards across the US Northeast trended much higher in October when compared with last year’s packages, despite the three-month outlook temperature probability map showing a greater probability for above-normal temperatures. In New England, power packages followed higher gas forwards. Could we see the market turn to oil-fired generation again this year? Kassia Micek , senior pricing specialist for S&P Global Platts, looks at the key factors in the market.]]></video:description><video:publication_date>2018-11-09T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110918-china-winter-cuts-steel-mills-tangshan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-09T04:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=i4DRUanafz2fLWfV2cPqRX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/110918-china-winter-cuts-steel-mills-tangshan.jpg</video:thumbnail_loc><video:title>A breath of fresher air in China's steelmaking hub: more blue skies into 2019?  </video:title><video:description><![CDATA[China's blue-sky campaign has been successful in keeping air pollution low and steel margins high. Will this translate into a breath of fresher air into 2019? Jeffery Lu , managing editor for metallurgical coal at S&P Global Platts, shares his team's findings after a recent visit to the Tangshan, China's steelmaking hub.]]></video:description><video:publication_date>2018-11-09T04:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110818-brent-crude-oil-volatility-november-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-08T02:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VNDPnK5zvnXzgqZE15AKRS</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/110818-brent-crude-oil-volatility-november-outlook-02.jpg</video:thumbnail_loc><video:title>2018 Brent crude oil volatility: November outlook</video:title><video:description><![CDATA[Dated Brent dropped significantly in the month of October and the Dated Brent CFD forward curve moved from a steep backwardation in the first trading days of the month to almost a contango around October 31. Geopolitical risk and increased Saudi crude production are among the factors that have heavily influenced global crude prices and that contributed to the spike in market volatility happened in October. Vito Turitto , quantitative analysis manager at S&P Global Platts, says overall the fundamentals are still weak and the market will probably stay volatile also in the coming weeks. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Dated Brent dropped significantly in the month of October, in fact, the downtrend managed to wipe out almost $10/b in just 23 trading days. The physical Brent market was trading around $85/b in the first days of October but the high prices for BFOE grades pushed many refiners towards medium sour grades like Urals crude diminishing the demand for North Sea grades. On the other hand, the Asian demand, particularly in the first half of October, was rather good with quite a few cargoes of Forties moving towards China and South Korea. It is important to point out that the healthy flow of North Sea grades towards Asia helped the market to stay above $80/b until the end of the month. The Dated Brent CFD forward curve remained in a steep backwardation in the first trading days of October, nevertheless, things deteriorated quickly. In particular, the forward curve was in steep backwardation until October 19, it then started to flatten out but was almost in contango around October 31. Internationally, geopolitical risk has heavily influenced, once again, global crude prices. Specifically, market participants focused their attention on the rising tensions between US and China, Iran sanctions, the deteriorating relationship between Saudi Arabia and the United States due to the murder of the journalist Jamal Khashoggi and on Saudi Arabia’s decision to bring the oil output of the Kingdom to 11 million b/d. Moreover, the increase in Russian crude production as well as American crude stocks climbing to 426 million barrels are all factors that have certainly contributed to push prices further down. The Volatility Premium dropped dramatically throughout the month of October and the fact that its value is currently so low indicates that the market outlook, for the coming weeks, is bearish. Also, the Probability Distribution analysis suggests that the Dated Brent monthly volatility plunged to 19.11% at the end of October implying that it is now oscillating again within the lowest volatility range over the last 2 years. The Volatility Cones analysis confirms what has been observed in the previous analysis. In fact, it shows that the monthly, bimonthly and quarterly figures, on the current volatility curve, are very low and that a mean reverting movement is likely to happen in coming weeks. Overall, the probable increase in volatility is likely to accompany a price downtrend, which should be followed by a sideways trading environment. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-11-08T02:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/110518-europe-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-05T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gvRQw1FQ4zRbZ4rLKSksQi</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/110518-europe-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers, Nov 5-9: Markets await word on waivers as Iran sanctions kick in; gas, carbon prices tumble</video:title><video:description><![CDATA[The US has re-imposed sanctions on Iran, and granted waivers to some countries at the end of last week. The market will be looking to see precisely which countries have been exempted and on what terms. Platts survey of OPEC production, due out this week, will provide a steer on how Iran’s fellow OPEC exporters are reacting. Key ministers from OPEC and its non-OPEC allies in a production pact will gather in Abu Dhabi later this week. Comments from members of the Joint Ministerial Monitoring Committee on the state of the oil market will be closely watched. Gas traders will be watching the outlook for LNG imports and send-out into European gas grids. Robust LNG supply combined with mild weather and easing concerns about storages levels have caused a drop in European gas prices. Falling gas prices also had a knock-on effect in the European carbon emissions market, helping to push carbon allowance prices sharply down from a recent 10-year high in September. View Full Transcript In this week's market movers, Africa Oil Week kicks off in Cape Town; European gas prices tumble on strong LNG imports; and where will the carbon market will go after a sharp sell-off from the 10-year highs it hit in September? But first, in oil news, as the working week resumes on Monday so do US sanctions against Iran. These are likely to hit Iran's oil exports hard. Platts Analytics expects crude and condensate exports to drop by at least half compared with May when the Trump Administration announced it would re-impose sanctions. The US granted waivers to some countries at the end of last week, but Secretary of State Mike Pompeo did not name them. The market will be looking to see precisely which countries have been exempted and on what terms. Platts survey of OPEC production, due out this week, will provide a steer on how Iran’s fellow OPEC exporters are reacting. Among those likely to react to the Iran situation are ministers and officials gathering Monday in Cape Town for Africa Oil Week. These include Nigerian oil minister Emmanuel Kachikwu and International Energy Agency executive director Fatih Birol. That brings us to our social media question of the week: What effect do you think the US waivers will have on the oil market? Tweet us your thoughts with the hashtag #PlattsMM. The oil market’s week will be book-ended by another important meeting. At the weekend, key ministers from OPEC and its non-OPEC allies in a production pact will gather in Abu Dhabi. Members of the Joint Ministerial Monitoring Committee include Saudi energy minister Khalid Al-Falih and his Russian counterpart, Alexander Novak, whose comments on the state of the oil market will be closely watched. All this plays out against a backdrop of US mid-term elections on Tuesday, which will set the tone for the US economy, the US shale industry, global trade and much else. Back in Europe, gas traders will be watching the outlook for LNG imports and send-out into European gas grids. Robust LNG supply combined with mild weather and easing concerns about storages levels have caused a drop in European gas prices. This week, 17 LNG cargoes are expected to arrive at European regasification terminals, carrying about 1.7 billion cubic meters of gas or more than 15% of weekly European gas demand. However, netback economics indicate that the flood of LNG should ease in December as the European gas price premium falls by more than a dollar per million British thermal units from November, making it much less lucrative to export US Gulf Coast LNG to Europe than to Asia. Those falling gas prices also had a knock-on effect in the European carbon emissions market, helping to push carbon allowance prices sharply down from a recent 10-year high in September. Prices have fallen 10 euros in just over a month to around 16 euros a metric ton. Burning gas to generate electricity produces less carbon dioxide than burning coal. A lower gas price means utilities favor it over coal. This in turn reduces hedging demand for carbon in the forward market. Traders will be watching closely this week to see if carbon prices stabilize or rebound after the recent sharp sell-off. That's it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-11-05T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/110518-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-05T02:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1cA7Fv3ggkRiiB3ABNk4HK</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/pmm60_andrew_1920x1080.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Nov 5-9:  All eyes on US sanctions on Iran</video:title><video:description><![CDATA[The US is about to grant waivers on Iranian oil imports to key Iranian crude buyers in Asia, including South Korea, the region’s largest buyer of Iranian condensate. US Secretary of State Mike Pompeo did not identify the recipients of the waivers but it is expected that China and India will also receive waivers. The Trump administration's expected hard-line sanctions enforcement was a main driver of higher crude prices in late August and September. While prices have eased since then, the sanctions are expected to remain a key factor affecting oil markets. In shipping, freight markets are bullish due to weather-related long port delays and as the loading for the third decade of November begins. In coal, the market is expecting spot prices for Newcastle 6,000 NAR thermal coal -- looked upon as a benchmark grade for the Asian market – to sink below $100/mt FOB. Demand for spot cargoes is slowing as many Japanese, Korean and Taiwanese buyers have already covered their needs for the fourth quarter. View Full Transcript The highlights this week: All eyes on US sanctions on Iran, freight rates are rising and thermal coal suffers poor demand. First in oil, Iranian sanctions are topping headlines. The US is about to grant waivers on Iranian oil imports to key Iranian crude buyers in Asia, including South Korea, the region’s largest buyer of Iranian condensate. US Secretary of State Mike Pompeo did not identify the recipients of the waivers but it is expected that China and India will also receive waivers. The European Union as a whole will not get a waiver. Sinopec is the biggest importer for Iranian crude oil and condensates. Industry participants are assessing the impact of US' waivers to allow India and China to keep importing Iranian crude and South Korea to continue importing Iranian condensate after sanctions go back into force on November 5. The Trump administration's expected hard-line sanctions enforcement was a main driver of higher crude prices in late August and September. While prices have eased since then, the sanctions are expected to remain a key factor affecting oil markets. The social media question of the week is – Will China continue to buy the same amount of Iranian crude as they did in the past? Share your thoughts on Twitter with the hashtag PlattsMM. In shipping, freight market participants are bullish due to weather-related long port duration and as loading for the third decade of November begins. The key Persian Gulf to China route spiked to a new high at 100 Worldscale points, with increased loading demand. Refiners are seeking alternatives due to the US sanctions on Iran. In coal, the market is expecting spot prices for Newcastle 6,000 NAR thermal coal -- looked upon as a benchmark grade for the Asian market – to sink below $100/mt FOB. Demand for spot cargoes is slowing as many Japanese, Korean and Taiwanese buyers have already covered their needs for Q4. And that’s if for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-11-05T02:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110218-lng-shipping-fleet-natural-gas-boom</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-11-02T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=y3mSK7g28MpckBmT4fSaxS</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/20181024_lng2.jpg</video:thumbnail_loc><video:title>The evolving LNG fleet driving the global gas boom </video:title><video:description><![CDATA[With new FID timelines still uncertain, US-China trading threatened by tariffs, and record-high charter rates narrowing profit margins, greater LNG shipping flexibilities will be vital to sustain market development. Abache Abreu , LNG content lead at S&P Global Platts, explains why the LNG shipping sector's ability to respond to market shocks has never been more critical. To download the special report: Supercooled: The evolving LNG fleet driving the global gas boom]]></video:description><video:publication_date>2018-11-02T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/103118-chinese-steel-2018-bang-or-whimper</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-31T07:38:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=j7ueYQ8SghUACXUW4DwAjF</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/103118-chinese-steel-2018-bang-or-whimper.jpg</video:thumbnail_loc><video:title>Will Chinese steel end 2018 with a bang or a whimper?</video:title><video:description><![CDATA[China's two-track steel market is showing signs of slowing, with weak consumer data and the US-China trade conflict dampening sentiment, but Beijing will do its best to support the economy for the remainder of 2018. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Last week, the Shanghai composite saw its biggest day-on-day increase since March 2016. Investors were responding to the government saying it would help out smaller, privately-owned listed companies. Policy announcements aimed at supporting the economy tend to have a positive impact on physical and futures steel prices in China. Yes, there was a modest rise seen for Shanghai rebar futures – but overall there was little reaction. In the case of long steel products such as rebar, the feeling in the market is that domestic prices are already high, and the opportunity to rise further is likely to be limited. For flat steel products, such as hot rolled coil, the outlook is less rosy, and the market is in the doldrums at the moment. It has become something of a two-paced market. Rebar has been outperforming HRC – inverting the traditional relationship between the two products once again – since early August. At the moment, the gap between rebar and HRC in eastern China is the equivalent of about $55-58/mt. From a macro-economic perspective, the subdued performance of flat steel products is slightly concerning. This is the material used in manufacturing, cars, fridges and other white goods. Indeed, China’s GDP growth in the previous quarter hit a 10-year low of 6.5%. The real estate and construction sectors have been robust but there was even some weakness in these markets in September. That said, the latest S&P Global Platts China Steel Sentiment Index recorded a headline reading of 46.03 out of a possible 100 points in October. The headline number, which looks at new order expectations in the month ahead, was the third-consecutive monthly increase and the strongest reading since last April. There is plenty of residual uncertainty in China’s the market due to the ongoing trade conflict with the US, but the latest index shows that sentiment regarding the domestic market remains generally positive. A knock-on effect of the US steel import tariffs is that material is being redirected into the Asian region from countries such as Turkey and Qatar, providing more competition for Chinese exporters. But with margins far higher for domestic sales, Chinese mills and traders are fairly sanguine about export opportunities in any case. As the announcement on small business last week indicates, Beijing is likely to pull out all the stops over the rest of this year to ensure the tariff situation does not erode economic confidence. This will help support domestic steel prices. And even though the long and flat steel markets have diverged, it is worth remembering that China’s steel mill margins are well above the average seen last year and in 2016. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-10-31T07:38:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102918-energy-metals-results-season-continues</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-29T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ysHYzSDxHPB2ztAL5nQbsg</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/102918-energy-metals-results-season-continues-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 29 - Nov 2: Energy, metals results season continues; steel merger hangs in balance</video:title><video:description><![CDATA[In this week's Market Movers: Water levels on the Rhine are making a splash, or not, across commodity markets, and European gas is feeling the pressure from imported LNG. The end of October sees the release of third-quarter results, with several energy majors due to report this week, including BP, Shell and ArcelorMittal. On Tuesday, the European Commission will decide whether to grant approval or launch an in-depth investigation into the proposed merger of the steel interests of two giants: Tata Steel Europe and Thyssenkrupp. Meanwhile, with Rhine water levels at their lowest in 15 years , the prices of commodities including coal, petrochemicals, metals, biodiesel and ethanol have all been affected. Only single-hull barges able to navigate the lower and middle Rhine, the logistical problems look set to continue. This Thursday sees the start of a new month -- but despite this, a flood of LNG cargoes and slightly warmer temperatures could lead to lower European natural gas prices; which brings us to our social media question this week: Are increased European LNG imports a growing trend? Tweet us your response with the hashtag #PlattsMM . In the futures markets, traders will be watching the backwardation in ICE low-sulfur gasoil futures closely. When markets are in backwardation, prices for nearer term delivery are higher than for longer dated contracts. Finally, harvest-time pressure is likely to increase in the corn market this week, with Ukrainian corn prices expected to sink to their lowest in recent years. View Full Transcript In this week’s highlights: Water levels on the Rhine are making a splash, or not, across commodity markets, and European gas is feeling the pressure from imported LNG. But first: the end of October sees the release of third-quarter results, with several energy majors due to report this week. BP will announce its third-quarter results on Wednesday, while Shell will follow on Thursday. Global upstream activity is continuing to recover, but the risk of underinvestment in new projects still hangs over the oil industry, as capital discipline and the transition to lower-carbon energy constrain development spending. As a result, the two companies’ earnings announcements will be closely watched. Third-quarter results are also eagerly anticipated in the metals industry, where Luxembourg-based ArcelorMittal, the world’s biggest steelmaker, is due to report Thursday. Analyst consensus is that the steelmaker will report EBITDA of $2.75 billion. That’s down from $3.1 billion in the second quarter. Staying in the steel sector, on Tuesday the European Commission will decide whether to grant approval or launch an in-depth investigation into the proposed merger of the steel interests of two giants: Tata Steel Europe and Thyssenkrupp. The Commission has indicated the proposed tie-up could fall under merger control regulation. The planned joint venture would make the new company the second-largest steel producer in Europe behind ArcelorMittal, producing 21 million mt/year of steel. One commodity that will dominate the news this week is water. The Rhine is at its lowest in 15 years. This is affecting the prices of coal, petrochemicals, metals, biodiesel and ethanol. With only single-hull barges able to navigate the lower and middle Rhine, the logistical problems look set to continue. Force majeure has now been declared at two steel mills in Germany, while prices for RME biodiesel, which is typically used in winter, have been pushed to record highs. The German Federal Institute of Hydrology said late last week that no recovery in water levels is expected in the coming week, as more rain is still needed. This Thursday sees the start of a new month -- but despite this, a flood of LNG cargoes and slightly warmer temperatures could lead to lower European gas prices. LNG cargoes are being drawn into Europe because of weak Asian LNG demand and high charter rates, Fifteen vessels are expected to arrive at Continental European terminals this week according to S&P Global Platts Analytics – supply equivalent to 1.5 Bcm of natural gas. The current high regasification volumes in the 2018 gas year are shown by the pink line on your screen. That brings us to our social media question this week: Are increased European LNG imports a growing trend? Tweet us your response with the hashtag #PlattsMM. In the futures markets, traders will be watching the backwardation in ICE low-sulfur gasoil futures closely. When markets are in backwardation, prices for nearer term delivery are higher than for longer dated contracts. In the case of low sulfur gasoil, the difference between the front-month and second-month contracts traded at multi-year highs of over $9 last Friday. The wide backwardation comes at a time of low imports from typical suppliers to Northwest Europe, including the US, Baltic States and the East of Suez at a time of regional refinery maintenance. Harvest-time pressure is likely to increase in the corn market this week, with Ukrainian corn prices expected to sink to their lowest in recent years -- perhaps even surpassing the four-and-a-half-year low hit in 2017. Market participants are expected to revise upward their corn crop expectations for the current marketing year. The most recent US Department of Agriculture report forecast 31 million mt of corn, while others are forecasting a bumper record of 38 million mt. Contributing factors include a lack of inland storage, healthy global supply and very few destination buyers. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-10-29T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/102918-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-29T01:48:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=RjBmBwv4bT4eyeP3cmw4YN</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/pmm_tess_1920x1080.jpg</video:thumbnail_loc><video:title> Market Movers Asia, Oct 29-Nov 2: Benzene naphtha spreads prices at three-year low</video:title><video:description><![CDATA[China’s biggest state oil companies Sinopec and PetroChina will be releasing their Q3 results this week. Traders are watching out for their crude buying strategy as the US re-imposes sanctions on Iran starting November 5; and their operational outlook for the fourth quarter after China’s GDP fell to multi-year lows at 6.5% in Q3. The recent fall in upstream crude oil futures has kept benzene-naphtha spread below breakeven levels over the month of October. Firm paraxylene prices have supported overall aromatics margins, with producers keen to ride the wave of strong PX, resulting in growing supply of benzene at the same time. In agriculture, Chinese soybean prices are on a steep downward move, with CFR North China soybeans basis shedding 15 cents per bushel to 350 cents per bushel week on week. The Chinese soybeans market is softening as the US mid-term election is looming. Buyers are hoping for the current administration to lose its appetite in the trade war. View Full Transcript This week: Benzene naphtha spreads at three-year low, soybean prices continues its downtrend, and China likely to import thermal coal for winter. But first, in oil, China’s biggest state oil companies Sinopec and PetroChina will be releasing their Q3 results this week. Two things to watch out for, their crude buying strategy as the US re-imposes sanctions on Iran starting November 5; and their operational outlook for the fourth quarter after China’s GDP fell to multi-year lows at 6.5% in Q3. In petrochemicals, the recent fall in upstream crude oil futures has kept benzene-naphtha spread below breakeven levels over the month of October. Ample supply of benzene has capped growth in prices in spite of fluctuations in naphtha, but negative margins have had little effect on run rates at aromatics units. Firm paraxylene prices have supported overall aromatics margins, with producers keen to ride the wave of strong PX, resulting in growing supply of benzene at the same time. With new supply from the region, and PX prices expected to stay high, will end-year demand provide some relief to benzene pricing? In agriculture, market prices for soybeans in China are on a steep downward move, with CFR North China soybeans basis shedding 15 cents per bushel to 350 cents per bushel week on week. The Chinese soybeans market is softening as the US mid-term election is looming. Chinese buyers are hoping for the current administration to lose its appetite in the trade war. In coal, China is keeping Australian and Indonesian thermal coal producers guessing on when it is likely to lift its tight restrictions on imports of seaborne-traded thermal coal. Beijing brought in import controls in the middle of the year with the sudden realization that imports were running ahead of annual quotas for 2018. China is likely to need imported thermal coal for peak winter demand, and so many traders believe it’s only a matter of time until imports are allowed to flow into China again. Here's our SOCIAL MEDIA POLL QUESTION of the week: Will Beijing lift restrictions on imports of seaborne thermal coal? Share your thoughts on Twitter with the hashtag PlattsMM. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-10-29T01:48:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/102518-turbulence-in-the-alumina-market-when-will-the-dust-settle</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-25T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=soxXB2AdS2ViUJjykdoC5Z</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/102518-turbulence-in-the-alumina-market-when-will-the-dust-settle-web.jpg</video:thumbnail_loc><video:title>Turbulence in the alumina market; when will the dust settle?</video:title><video:description><![CDATA[The alumina market in 2018 has been especially turbulent due to supply shocks in Brazil, Australia, and Ireland, and there are signs the volatility may remain through the end of the year. Supply shocks earlier in the year sent prices upwards when the Alunorte refinery in Brazil cut operations due to environmental disputes with authorities. More trouble surfaced in April when the US imposed sanctions on Rusal. Outside of Russia, Rusal produces alumina in Australia, Ireland, Jamaica and Guinea. Now, as we approach the last two months of 2018, not only are the issues at Alunorte and Rusal yet to be resolved, there are more potential headwinds on the horizon. S&P Global Platts Joanna Lim , senior alumina editor, reports on these concerns and how uncertainty in China could drive the alumina price in either direction. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. The alumina market has been especially turbulent this year, due to supply shocks in Brazil, Australia, and Ireland, and there are signs the volatility may stay with us through the end of the year. Let's take a look at what's been shaking up the market. Earlier, supply shocks in March and April sent prices upwards when the Alunorte refinery in Brazil cut operations due to environmental disputes with authorities. More trouble surfaced in April when the US imposed sanctions on Rusal. Outside of Russia, Rusal produces alumina in Australia, Ireland, Jamaica and Guinea. Now as we approach the last two months of 2018, not only are the issues at Alunorte and Rusal yet to be resolved, there are more potential headwinds on the horizon. Essentially, uncertainty lies in China, which could drive the alumina price in either direction. One the one hand, China has 5-6 million mt of new alumina capacity slated to come online in coming months. But there is no clarity on China's environmental conservation regulations during the winter months. Last year, authorities asked heavy polluting industries to wind down plant operations between Nov and March, the heating season. But there has been no similar call to action for the coming winter. And if China's alumina and aluminum production are allowed to proceed unhindered, China will be in a position to export plenty of alumina. Until last year, China was traditionally a net importer of alumina, sourcing about 3 million tons/year from Australia and other Asian origins. In the last two months alone, China exported more than 200,000 mt of alumina. And for the year to date, exports are over half a million mt. Should exports continue at the same rate, it would help ease tight conditions in the international market, and cushion further price increases. Until next time on the Snapshot, we'll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-10-25T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102218-record-low-rhine-disrupts-commodity-flows</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-22T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PDiektys6kKuFBgQhharZF</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/102218-record-low-rhine-disrupts-commodity-flows-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 22-26: Record low Rhine disrupts commodity flows; Trump gives traders fuel for thought</video:title><video:description><![CDATA[In this week's Market Movers: Record low Rhine disrupts commodity flows; Trump gives traders fuel for thought; and Russian oil execs head to Italy. Record low water levels on the Rhine are disrupting logistics across a range of commodities, with mixed results. Fuel oil traders will be watching for further developments from the White House this week following news that the Trump administration could be looking to slow the adoption of lower sulfur limits in marine fuel. Elsewhere in oil, Russian industry chiefs such as Rosneft CEO Igor Sechin and Novatek head Leonid Mikhelson will meet their global counterparts on Thursday at the Eurasian Economic Forum in Verona. Big oil and gas companies also start unveiling their second-quarter results this week. Results are due from Norway's Equinor on Thursday and Total and Eni on Friday. In European natural gas, the Italian environment ministry is set to announce its impact assessment on the planned Trans Adriatic gas pipeline. Finally, in France, decision time is looming for the government’s energy road map to 2028. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: Fuel oil traders are turning political buffs as they watch for news from Washington, while key announcements are expected on the TAP pipeline and the future of the French nuclear industry. But first: record low water levels on the Rhine are disrupting logistics across a range of commodities, with mixed results. German steelmaker ThyssenKrupp was forced to declare force majeure on Friday. The move will reduce available supply, supporting flat products prices in northern Europe. It adds to upward pressure on long and flat steel prices, amid expectations that the US could ease tariffs on Turkish steel entering the US this week. Europe’s ethylene market is seeing growing length, as demand from downstream polyethylene producers is hampered by transport difficulties. These difficulties are also affecting propylene spot activity, at a time when November contract price discussions are under way across a number of chemical markets. For biofuels, the issues have led to a tale of two markets: on one hand, difficulties moving feedstock to the region have left biodiesel markets very tight in Northwest Europe, putting upward pressure on prices. By contrast, ethanol is seeing the reverse, with problems moving ethanol inland leaving prices looking quite bearish. Meanwhile, coal stocks are at four-year highs at Dutch ports as barges struggle to get through the Kaub chokepoint to downstream power stations. The low river level is also having an impact on a nuclear plant, which is struggling to conform with cooling water regulations. Fuel oil traders will be watching for further developments from the White House this week following news that the Trump administration could be looking to slow the adoption of lower sulfur limits in marine fuel. Last week there was a significant shift in fuel oil values for 2019 and 2020, with traders putting this down to Washington’s desire to stagger the adoption of the tighter specification. The IMO’s much-discussed cut to the sulfur limit in ships’ fuel from 3.5% to 0.5% is to take effect from 2020. The IMO is meeting in London this week to explore implementation of the cap, as well as measures to curb greenhouse gas emissions. Elsewhere in oil, Russian industry chiefs such as Rosneft CEO Igor Sechin and Novatek head Leonid Mikhelson will meet their global counterparts on Thursday at the Eurasian Economic Forum in Verona. Political tensions and sanctions are sure to be on the agenda. Big oil and gas companies also start unveiling their second-quarter results this week. Results are due from Norway's Equinor on Thursday and Total and Eni on Friday. The oil and gas majors are generally expected to show continued recovery and are stressing that they will keep a tight rein on spending. And the International Energy Agency is also set to provide new insights into the oil world with the publication of a special report Thursday on the long- term prospects of major producers such as Saudi Arabia and Venezuela. In European gas, the Italian environment ministry is set to announce its impact assessment on the planned Trans Adriatic gas pipeline. The pipeline, known as TAP, is the final piece of the Southern Gas Corridor bringing gas from Azerbaijan to Europe. Any negative conclusions could tempt the new government to veto the project, which is facing renewed and robust local opposition. The lead sponsors of the corridor have said there is “no Plan B” to landing the corridor in Italy. Finally, in France, decision time is looming for the government’s energy road map to 2028. A nuclear closure schedule is the main focus of attention across the region, given France’s status as a massive exporter of cheap atomic power. A draft of the plan is close to completion, with President Emmanuel Macron reportedly inviting EDF, Engie and Total to a meeting this Wednesday as the cabinet meets. Beyond nuclear, details of a planned coal exit by 2022 and ambitious wind and solar targets to 2030 are anticipated. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-10-22T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/102218-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-22T02:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ta8yxVJg4KwXPgFyXUTmn5</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/pmm_fanshiyun_1920x1080.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 22-26: Gasoil hits record highs; fresh LNG cargoes to load from the Ichthys project</video:title><video:description><![CDATA[Asian end-users are seeking for alternative ultra-light crude feedstocks as access to the South Pars condensate will be blocked in light of the US sanctions on Iran. The FOB Singapore gasoil saw cash premiums rise to a year-to-date record high of $1.64/barrel over the Mean of Platts Gasoil assessment. Regional gasoil demand has absorbed the extra barrels due to the end of the monsoon season and the fishing ban in the South China Sea. Iron ore prices hit a six-month high last week, with prices supported by strong demand and a slowdown in cargo flows from Australia this month. The front month raw sugar futures rallied by over 6% on the week, amid a stronger Brazilian real and concerns over reduced exports from Brazil and EU. View Full Transcript This week: gasoil hit record highs, fresh LNG cargoes to load from the Ichthys project, and iron ore demand seen to erode. But first, in oil, Asian end-users are seeking for alternative ultra-light crude feedstocks as access to the South Pars condensate will be blocked in light of the US sanctions on Iran. Australian Ichthys condensate will likely take center stage after the new Oceania ultra-light crude made its debut in the spot market last month. Ichthys condensate is expected to hit a production capacity of 100,000 barrels per day at its peak. In LNG, with emerging supply in the Pacific, participants expect a return in trade activity this week as the market heads into winter. Eyes were trained on Australia’s Ichthys project, which closed its supply tender for the first tranche of cargoes loading October and November. On pricing, Platts JKM reversed a 10-day slide last week after plunging to seasonal lows. Participants are seeing a disconnected cargo and freight market as shipping rates hit a fresh six-year high, while winter bearishness continued to weigh on spot LNG prices. In the oil product markets, the FOB Singapore gasoil saw cash premiums rise to a year-to-date record high of 1 dollar and 64 cents a barrel over the Mean of Platts Gasoil assessment. Regional gasoil demand has absorbed the extra barrels due to the end of the monsoon season and the fishing ban in the South China Sea. So for our social media question this week Will gasoil prices continue its bull run this week? In the steel markets, demand for raw materials picked up and the market expects it to continue for the rest of this month. Iron ore prices hit a six-month high last week, with prices supported by strong demand and a slowdown in cargo flows from Australia this month. The upcoming trade expo in China has prompted the government to clamp down on the use of blast furnaces, which will reduce the demand for iron ore. While the heating season will start in November, traders are unsure if more production controls would be put in place. This brings more uncertainties to iron ore price movement in coming weeks. In agriculture, sentiment in the sugar market has flipped from bearish to bullish. The front month raw sugar futures rallied by over 6% on the week, amid a stronger Brazilian real and concerns over reduced exports from Brazil and EU. Thai cash premiums are expected to be supported this week with demand from Indonesia, Vietnam and Philippines. That’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-10-22T02:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/101818-jeff-currie-goldman-sachs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-18T07:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=R1CsCLVnRitfMHhT6eyByv</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/101818-jeff-currie-goldman-sachs-03.jpg</video:thumbnail_loc><video:title>Interview: Jeff Currie, Goldman Sachs</video:title><video:description><![CDATA[Will crude oil prices hit $100/b soon? Jeff Currie , global head of commodities research at Goldman Sachs, talks to Paul Hickin , associate editorial director at S&P Global Platts, about the impact of supply disruptions when US sanctions on Iran are re-imposed in November, as well as Saudi Arabia's spare capacity. Currie also shares Goldman Sachs' outlook on commodities in light of the US-China trade war, rising interest rates, and other factors that are affecting markets. Related interview: Goldman Sachs' Currie plays down $100/barrel oil risk]]></video:description><video:publication_date>2018-10-18T07:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>12:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/101518-traders-will-be-watching-europes-appetite-for-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-15T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Nh9LZefVxSMbu25LoRYcTP</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/101518-traders-will-be-watching-europes-appetite-for-lng.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 15-19: Questions over oil price direction</video:title><video:description><![CDATA[be in focus. The oil and metals markets will be looking at the consequences of recent events in Turkey. The oil market's focus will be on the potential strain on relations between Saudi Arabia and its western allies over the disappearance of Jamal Khashoggi, a journalist critical of the Saudi regime; while the metals market will be waiting to see whether the release from house arrest in Turkey of US pastor Alex Brunson will result in an easing of US tariffs on imports of metal from Turkey. Staying with oil, one of the key questions on the markets' minds will be whether benchmark Brent crude futures will hold above 80 dollars a barrel after a sharp reversal at the end of last week. Prices will also keep European gas traders watching the rate of LNG send-out into the network to make way for a possible wave of LNG imports incentivized by prices in Europe. This is the focus of this week's social media question: How big a role will LNG play in Europe’s energy mix this winter? Tweet us your thoughts with #PlattsMM . Meanwhile, in Europe's power markets, it is set to be an interesting week as Belgium’s energy minister travels to Berlin for talks on winter power supply. Finally, in petrochemicals, EU statistics agency Eurostat will publish a new set of export-import data on Tuesday. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: Will Brent crude hold above 80 dollars? Traders will be watching Europe’s appetite for LNG; and cross-border power markets will be in focus. This week, the oil and metals markets will be looking at the consequences of recent events in Turkey. The oil market’s focus will be on the potential strain on relations between key oil producer Saudi Arabia and its western allies over the disappearance of Jamal Khashoggi, a journalist critical of the Saudi regime. The Turkish authorities have accused the Saudi government of murdering Khashoggi at the Saudi consulate in Istanbul. Saudi Arabia has strongly denied the allegations. US President Donald Trump has threatened to punish the Saudi government were it to be found responsible for Khashoggi’s death. France, Germany and the UK have called for a credible investigation into the case. But in a statement Sunday via state-run media, Saudi government officials rejected any threats and pointed to its “influential and vital role” in the global economy. Any tensions between Saudi Arabia, one of the world’s largest oil producers, and the West could have far-reaching implications for the energy complex. The metals market will be waiting to see whether the release from house arrest in Turkey of US pastor Alex Brunson will result in an easing of US tariffs on imports of metal from Turkey. The US doubled the tariffs on Turkish imports to 50% for steel and 20% for aluminum in August, citing the Brunson case. Brunson was accused of links to the Gulenist movement which President Recep Tayyip Erdogan says was behind the attempted coup against him in 2016. Brunson denies the charges. Moving from Turkey, but staying with oil, one of the key questions on the markets’ minds will be whether benchmark Brent crude futures will hold above 80 dollars a barrel after a sharp reversal at the end of last week. Predictions of $100 oil have started to look a little shaky, with key forecasts from the International Energy Agency and OPEC turning bearish. Brent fell back sharply from four-year highs on Thursday and Friday. The IEA cut its estimates of global oil demand this year and next by 100,000 barrels a day each, citing currency depreciations, trade disputes and a revision to its data on China. Prices will also keep European gas traders watching the rate of LNG send-out into the network to make way for a possible wave of LNG imports incentivized by prices in Europe. A fall in LNG prices in Asia last week almost halved the premium for November of S&P Global Platts JKM to the Dutch TTF hub to just $1.50/MMBtu. Send-out rates at the Gate terminal in the Netherlands have hit a six-month high ahead of several cargoes expected this week. That’s represented by the blue line in the chart currently on your screen. Sky-high shipping rates have also made it more lucrative for cargoes to stay in Europe. This week’s social media question is: How big a role will LNG play in Europe’s energy mix this winter? Tweet us your thoughts with #PlattsMM. Over in the power markets, it’s set to be an interesting week as Belgium’s energy minister travels to Berlin for talks on winter power supply. Belgium is down to just one out of seven nuclear reactors until mid-November, with the potential for a knock-on effect on neighboring markets. Cross-border capacity will also be a key focus for power traders this week. Monthly capacity auctions start Monday for Germany-Austria, where spreads have widened more than expected since the split of the common bidding zone on October 1. Turning to petrochemicals, EU statistics agency Eurostat will publish a new set of export-import data on Tuesday. The European polymers market is eagerly awaiting the figures to see whether there was a fresh surge in imports of polyethylene from the US. Polyethylene is used to make plastic bags and packaging. As part of its trade war with the US, China has imposed high duties on imports of US material. As a result, European market participants have long been bracing themselves for a higher volume of polyethylene from the US entering their market. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-10-15T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/101518-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-15T02:28:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kfy6eBZdnZvL2ZEZmYhSf9</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/101518-asia-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 15-19: Competition for Iranian oil alternatives intensifies</video:title><video:description><![CDATA[With US sanctions on Iran looming, markets will be looking for cues on the crude oil supply outlook. Iron ore prices peaked on strong restock demand from Chinese steel mills. High margins are spurring active production at the mills and market players expressed bullish sentiment. Philippine corn buyers are importing feed wheat cargoes due to corn shortages in the domestic market as well as facing corn import restrictions. Australian 5,500 NAR thermal coal cargoes have started to turn up in markets like Egypt and Europe due to China's import restrictions. The capesize freight market in the Asia Pacific and Atlantic regions were bullish as markets report healthy cargo volumes going forward. View Full Transcript This week, competition for Iranian oil alternatives intensify, CFR North China iron ore prices reached new highs and thermal coal prices are expected to continue their upward trend. But first in oil, the US sanctions will snap back on November 5th and Asian buyers are looking to secure supplies from places like Saudi Arabia, Bahrain, Abu Dhabi, Kuwait, and Qatar. So here’s our social media question of the week : With Iran sanctions looming, will prices head north or south ? Do share your thoughts on Twitter with the hashtag PlattsMM. Meanwhile, all eyes will be on Saudi oil minister Khalid al-Falih and other key oil industry leaders when they speak at the India Energy Forum in New Delhi this week. Markets will be looking for cues on the oil supply outlook as the US sanctions draws near. In metals,seaborne medium and high grade iron ore prices on CFR North China basis, reached new highs on October 9th. Prices peaked on strong restock demand from Chinese steel mills ahead of the winter season. 62%-Fe Iron Ore Index crossed the $70 dry metric tonne level for the first time since March 2018. High margins are spurring active production at the mills and most market players are optimistic about strong iron ore demand until end of October. In agriculture, Philippines corn buyers are importing feed wheat cargoes due to corn shortages in the domestic market as well as facing corn import restrictions. Meanwhile, Russian exports are slowing due to stricter quality checks and the widening spread between Australian feed wheat and APW. And in thermal coal, Chinese market players are watching for any changes to import restrictions as domestic thermal coal prices are expected to continue rising. Demand for lower grade Indonesian coal is expected to remain strong from both India and China but Indian markets may be inactive due to the approaching Deepavali celebrations. Meanwhile, some Australian 5,500 NAR thermal coal cargoes have started to turn up in markets like Egypt and Europe. In shipping, the capesize freight market in the Asia pacific and Atlantic regions moved rally week on week , sources expressed a positive sentiment and added that most of the paper traders were bullish too, as they felt cargoes to be healthy going forward. Do join us on Oct 17th, at the dry bulk shipping forum where we will cover market trends and insights. And that’s it from Platts Market Movers, thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-10-15T02:28:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101118-lng-canada</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-11T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pRf1ZjYbQV96TspGb4WYfz</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/101118-snapshot-lng.jpg</video:thumbnail_loc><video:title>LNG the cure for Canada's gas woes</video:title><video:description><![CDATA[Breaking the global impasse on final investment decisions for large-scale LNG export projects, Shell last week announced the sanctioning of a 13 million mt/year export project in Western Canada. How competitive is it with US Gulf contenders and will it usher in the next series of green lights? Madeline Jowdy , senior director, global gas and LNG for S&P Global Platts, examines the market. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Breaking the global impasse on final investment decisions for large-scale LNG export projects, Shell last week announced the sanctioning of a 13 million ton per year export project in Western Canada. Currently on the sidelines, some twenty similar sized US Gulf LNG export proposals are also vying for the investment dollars required to sanction the next generation of LNG supply projects. The FID on the LNG Canada facility has been over a decade in the making, and the timing in light of the Sept. 24 China tariffs on US LNG cannot be ignored. China is now the second largest importer of LNG in the world to Japan, and its LNG import requirements are already surpassing the volumes it has under contract. The attractiveness of a west coast Canada LNG export facility to lucrative Asian markets has never been contested. British Columbia sits closer to key north Asian buyers than any other non-Asian supplier. In LNG shipping, time is money due to boil off costs. The significantly reduced transit time overseas, with some estimates putting a Canada-to-Japan voyage at eight days, just more than a third the roughly 22 days it takes to complete the voyage from a Gulf Coast terminal amounts to around $3.6 million dollars per cargo with today’s shipping costs. Another big selling point for Canada is that there are no transit choke points to market such as the Panama Canal. Other shipping flashpoints such the straits of Hormuz or even within Asia, the straits of Malacca are also avoided. The key question for the long term viability for LNG Canada will be its cost competitiveness given its remote location far away from the resource base. In this regard, US Gulf projects come out ahead owing to an established pipeline network from a variety of producing basins, a well-established infrastructure network and a large readily available workforce. The biggest hurdle for North American west coast projects has been getting stranded feed gas to the export point at a less than prohibitive cost. When the market becomes more liquid and global prices converge, the question of the lowest cost producer will be a critical factor in producing that incremental cargo. 80- The question on every project backer’s mind from Kitimat to Calcasieu Pass to Qatar is whether or not this FID will usher in the next series of greenlights. Global demand is set to grow beyond the world’s ability to supply it by around 2022. Even with new supplies from Canada, Platts Analytics estimates the world will still be coming short if no further projects are sanctioned to begin starting up at that time. Until next time on the snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-10-11T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100818-london-braces-itself-for-a-week-of-metals-money-and-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-08T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2S6nGodTD7ii8UeXB8Mcrn</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/100818-london-braces-itself-for-a-week-of-metals-money-and-oil-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, October 8-12: London braces itself for a week of metals, money and oil</video:title><video:description><![CDATA[In this week's Market Movers: the global metals industry will descend on London for one of the industry's biggest annual gatherings: LME Week. The event, organized by the London Metal Exchange, kicks off with a day-long seminar featuring a keynote address by Trafigura CEO Jeremy Weir. There will also be panel discussions on the impact of sanctions and tariffs. This is the focus of this week's social media question: Do you expect 2019 to be better or worse for the metals industry? Tweet us your thoughts with the hashtag #PlattsMM . Also taking place in London this week is the Oil & Money conference, which starts on Tuesday. Executives of oil companies and trading houses, as well as OPEC Secretary General Mohammed Barkindo, will congregate in London to discuss the new energy landscape. Staying with political hot potatoes, the UK's Cuadrilla Resources is to begin fracking for shale gas in Northwest England this week. It’s the first activity of its kind in the UK since 2011. National Grid publishes its Winter Outlook Thursday. The UK's new belt-and-braces Capacity Market likely to afford the transmission system operator a considerable level of comfort for the season. Finally, in the grains market, all eyes will be on the US Department of Agriculture's World Agricultural Supply and Demand report, expected Thursday. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week's highlights: London braces itself for a week of metals, money and oil; traders will be watching for key reports from the IEA and US Department of Agriculture; and fracking is set to restart in the UK. This week, the global metals industry will descend on London for one of the industry’s biggest annual gatherings: LME Week. The event, organized by the London Metal Exchange, kicks off with a day-long seminar featuring a keynote address by Trafigura CEO Jeremy Weir. There will also be panel discussions on the impact of sanctions and tariffs, responsible sourcing in metals and China’s economic outlook. Networking opportunities feature prominently throughout the week, including our own reception Monday night at the Churchill War Rooms – a historic underground bunker used to shelter the UK cabinet from bombing raids. Some executives may already be feeling a sense of the wartime spirit. Our social media question this week is: Do you expect 2019 to be better or worse for the metals industry? Tweet us your thoughts with the hashtag #PlattsMM. Also taking place in London this week is the Oil & Money conference, which starts on Tuesday. Executives of oil companies and trading houses, as well as OPEC Secretary General Mohammed Barkindo, will congregate in London to discuss the new energy landscape. US sanctions on Iran and the recent, rapid rise in the price of crude oil are sure to dominate discussions. Another key topic will be the prospects of increased spending by oil majors. The will be represented this year by Total CEO Patrick Pouyanne and his BP counterpart Bob Dudley. The head of Libya's National Oil Company, Mustafa Sanalla, will give his perspective, following a recent recovery in output from his war-torn country. Also among the speakers due at the Oil & Money event is Fatih Birol, the executive director of the International Energy Agency. Birol’s organization releases its closely watched monthly oil market report Friday. The report will be closely scrutinized given the looming Iran sanctions and rising concern among politicians about the effect on prices. Staying with political hot potatoes, the UK’s Cuadrilla Resources is to begin fracking for shale gas in Northwest England this week. It’s the first activity of its kind in the UK since 2011. The use of fracking has been politically controversial because of fears of minor earthquakes and water contamination, but the UK is increasingly dependent on gas imports. Cuadrilla and its peers say shale gas can go some way to reducing that dependence. The company expects to be able to come up with an assessment of the recoverable reserves at the site in the first quarter of 2019. And talking of UK energy security, National Grid publishes its Winter Outlook Thursday. The UK’s new belt-and-braces Capacity Market likely to afford the transmission system operator a considerable level of comfort for the season. Delivery of the first four-year ahead Capacity Market auction began October 1, with 49 gigawatts of generation capacity now being paid to ensure security of supply during peak winter periods. Add a further 6 gigawatts signed up in a top-up auction earlier this year, and a degree of fully justified smugness can be expected from our friends in the control room. However, the cost to the consumer -- at around a billion pounds -- might seem a little high. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-10-08T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100818-asia-commodites-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-08T02:24:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=j4sAA2C17wVouX83PMDJcm</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/100818-asia-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 8-12: Iran OSP expected; Norsk Hydro's Brazil refinery to resume alumina production</video:title><video:description><![CDATA[China is due to announce its September trade data this week and markets are watching closely to see if its crude oil imports will extend the growth momentum seen in August. Asian crude oil buyers are digesting new monthly official selling prices released by ADNOC and Saudi Aramco last week. Iran is due to release its its prices later this week amid ongoing uncertainty due to the impending US sanctions. High domestic gasoil prices are driving Chinese buyers to keep buying palm oil biodiesel into the winter season for gasoil blending. The US-China trade war and and tight soybeans supplies in Brazil are starting to push up Chinese soybeans prices this week. Norsk Hydro's alumina refinery in Brazil granted exceptional authorization to resume 50% operations. View Full Transcript This week industry players eye fresh direction from China as the country returns to the markets after a week-long holiday, the US-China trade war plays out in the soybean markets, and markets assess the impact of Norsk Hydro’s alumina operations coming back online in Brazil. China is due to announce its September trade data this week and markets are watching closely to see if its crude oil imports will extend the growth momentum seen in August. Also in oil, Asian crude oil buyers are digesting new monthly official selling prices released by ADNOC and Saudi Aramco last week, and are waiting for Iran ‘s prices later this week amid ongoing uncertainty on cargo flows because of Washington's decision to re-impose sanctions. Due to impending these sanctions, surging bunker prices and a widening WTI-Brent spread, VLCC Persian Gulf-China freight rate hit another year's high last Friday, breaching the 80 Worldscale points mark. Freight rates of Asia Pacific Panamax and Supramax are expected to be stronger this week, with the Chinese back from holidays and tighter vessel availabilities with the poor weather conditions in north Asia. In agriculture, high domestic gasoil prices are driving Chinese buyers to keep buying palm oil biodiesel or PME cargoes into the winter season for gasoil blending. PME can cause engine clogging in cold weather, but the PO-GO spread between palm oil futures and ICE Gasoil futures has gone into minus $230s/mt territory, so despite blending difficulties, buyers are still buying PME. Malaysian producers are sold out for November and are expected to offer December cargoes, while Indonesian producers are not offering anything yet. They are busy with the extended Indonesian domestic biodiesel mandate. The US-China trade war continues to play out in the world of soybeans and tight soybeans supplies in Brazil are starting to push up Chinese soybeans prices this week. CFR China basis for December shipment has increased by about 8.5% 30 cents/bushel on week to 382 cents/bushel over November Chicago futures contract. Price increases are expected to continue as supply gets tighter. To help understand the changes in grains markets due to the trade war, please join us at the S & P Global Platts Asia Pacific Grains Forum on October 9. In metals, Norsk Hydro has been granted an exceptional authorization to resume 50% operations at its 6 million mt/year Alunorte alumina refinery in Brazil. The Platts Australian alumina price gained 30% on the week to $600/mt last Friday. All eyes are on the effect the impact of how this would impact the prices in the coming week. The social media question of the week is How do you expect alumina prices to move given the announcement? And that’s it for this week. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-10-08T02:24:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100418-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-04T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=To8j5kfNv2yiPVDnuBLswD</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/100418-brent-crude-oil-volatility-outlook-web.jpg</video:thumbnail_loc><video:title>2018 Brent crude oil volatility: October outlook</video:title><video:description><![CDATA[Dated Brent crude oil prices in September increased on strong Asian demand, high geopolitical risk and fears of a tight crude market. Market participants are focused on US sanctions against Iran, barrel losses in Venezuela and are concerned that Saudi Arabia’s spare capacity will not be sufficient to fill the void. Meanwhile, an aggressive speculative buying pressure is keeping oil prices up in the short-term, but quantitative analyst Vito Turitto forecasts Brent's volatility rising during October. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market enjoyed a rather good demand coming from Asia throughout the whole month of September, in fact, Far East arbitrage opportunities were particularly good and the Asian buying pressure concentrated on specific grades like ESPO, Forties and Ekofisk. However, the month of September has been heavily influenced by high geopolitical risk and fears of a tight crude market and this is precisely why, on September 25, Brent prices managed to break through $82/b for the first time since November 2014 while the Brent forward curve remained in a steep backwardation. There is general skepticism about Saudi Arabia’s spare capacity and whether it will be able to ramp up its own production in order to counterbalance losses coming from Iran and Venezuela. Furthermore, the escalating trade war between US and China and US President Donald Trump’s call for lower oil prices poured further fuel on the fire. Finally, global crude prices went aggressively up, around the end of September, when Saudi energy minister, al-Falih, stated that the oil market is balanced, adding that “the market is reasonably steady and we should just be dynamic and responsive and responsible”. The only bearish news came from the US Energy Information Administration, which announced that October’s shale oil production would go up and reach 7.59 million b/d. The Volatility Premium analysis shows that the premium has achieved one of its highest level over the last two years. Hence, it should decrease over the next weeks while prices should retrace. The Probability Distribution analysis suggests that Brent’s volatility is oscillating within the lowest range achieved over the last two years implying that the probability for Brent volatility to increase and reach the 20-25% range, where it has a more than 34% chance to settle, are quite high. Finally, the Volatility Cones analysis indicates that the monthly and bimonthly figures on the current volatility curve are below the low range one implying that the fluctuation rate is trading at very low levels and that a spike in volatility is likely to happen in coming weeks. Overall, although the speculative buying and the significantly low volatility could last for a few days, Brent’s fluctuation rate should spike in coming weeks while prices should move down. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-10-04T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/100218-interview-b-anand-nayara-energy</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-02T10:43:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qGg3KfuDAhA2su4Yfw3xNm</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/100218-interview-b-anand-nayara-energy.jpg</video:thumbnail_loc><video:title>Interview: B. Anand, Nayara Energy</video:title><video:description><![CDATA[Nayara Energy CEO B. Anand talks to S&P Global Platts Senior Editor Sambit Mohanty on how developments concerning the re-imposition of the Iran sanctions and the ongoing US-China trade war might alter the dynamics of crude oil flows into India. He also shares his insights on the Indian domestic market as well as his vision to shape Nayara Energy's crude and oil products strategies.]]></video:description><video:publication_date>2018-10-02T10:43:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>11:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100218-french-virtual-trading-point-merger-sees-limited-changes-to-winter-spreads</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-02T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=tJ4wkad3ehH5F48cEmeDxX</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/100218-french-virtual-trading-point-merger-sees-limited-changes-to-winter-spreads-web.jpg</video:thumbnail_loc><video:title>French Virtual Trading Point merger sees limited changes to Winter spreads</video:title><video:description><![CDATA[On November 1, 2018, the French natural gas market is to merge PEG Nord and TRS Virtual Trading Points, to form a single VTP called PEG with one nationwide gas wholesale price. Currently, PEG Nord is well interconnected, while TRS is frequently at a premium to PEG Nord, because it relies more heavily on LNG arrivals. Despite this, the market is not currently pricing in a wider locational spread for Winter 18 between the merged PEG and the neighboring markets. Yet if supply margins tighten this winter, PEG prices could widen their premium above the European markets to incentivize spot LNG arrivals. View Full Transcript Welcome to The Snapshot – our series examining the forces shaping and driving global commodities markets today. On November 1, the French gas market is to merge its virtual gas trading points PEG Nord in the north and TRS in the south, to form a single virtual trading point called PEG within a single trading region, Trading Region France. Therefore, buyers and sellers will be able to deliver and take gas from the new single balancing point, TRF. The price difference between the north and south of the country is expected to end as a single national wholesale gas price is established and is expected to make the market more fluid, competitive and less volatile. Currently, PEG Nord is well supplied through links to the neighboring markets and two LNG terminals. Meanwhile, TRS is frequently at a premium to PEG Nord, because its only sources of supply are the North-South link and LNG, to attract which TRS prices need to increase. The North-South link currently has capacity of approximately 40 million cu m/d and will soon be joined by the Gascogne-Midi and Val-de-Saone projects to boost the capacity by further 42%. However, the extra capacity will not be able to eliminate all bottlenecks, so the TSOs GRTgaz and Terega have developed mechanisms to deal with such occurrences. Three types of instruments will be used to balance the system when there is too much gas upstream of a limit and not enough downstream. Interruption of interruptable capacities for entry and exit points with neighboring markets will be used first, followed by locational spreads allowing shippers to buy gas upstream and sell downstream and finally mutual restrictions of firm capacities with neighboring countries if the previous two mechanisms are not sufficient. The key question concerning the market is whether the price spread between PEG and the neighboring markets is set to widen and we can see from the graph that the market is not currently pricing a wider locational spread for Winter 18 as we approach the merger. Further, the stress in periods of elevated demand may be partly mitigated this year by strong gas storage inventories in both north and south of the country, with PEG Nord stocks at 6.1 Bcm 30% higher on year and TRS at 4.4 Bcm 7% higher. Despite this, if supply margins get tighter this winter, PEG prices could widen their premium above the European markets to incentivize spot LNG arrivals. Until next time on the Snapshot—we’ll be keeping an eye on the market.]]></video:description><video:publication_date>2018-10-02T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>02:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100118-key-oil-ministers-to-attend-russian-energy-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-01T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vZ149XTgpYxbtrj5h6qjf7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/100118-key-oil-ministers-to-attend-russian-web.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Oct 1-5: Key oil ministers to attend Russian Energy Week; sugar season starts on sour note</video:title><video:description><![CDATA[In this week's Market Movers: Major players in the OPEC/non-OPEC coalition will be in Moscow this week for Russian Energy Week, which starts Wednesday. The market will be closely watching meetings between Russian Energy Minister Alexander Novak and his Saudi counterpart Khalid al-Falih and Iranian oil minister Bijan Zanganeh. While the oil markets will be making a date in their diary for Russian Energy Week, the key date for the sugar market is October 1st, the first day of the new sugar season in Europe. This is the focus of this week's social media question: What do you think this season will bring the European sugar market? Tweet us your thoughts with the hashtag #PlattsMM . October 1st also marks the split of the German-Austrian power price zone. This week, traders will be watching for the impact on Austrian spot settlements. The split follows years of debate, after unscheduled flows of surplus German power via Eastern European power grids. Europe’s petrochemical industry will be converging on Vienna on Sunday for an annual gathering. EPCA will run from October 7th to 10th, with the confernece’s theme being petrochemicals and the low-carbon economy. And finally, the Italian natural gas market will be under pressure this week from a reduction in Russian gas flows. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: The new sugar season kicks off in Europe; the German-Austrian power price zone will split; and the world of petrochemicals will head for Vienna. But first: Major players in the OPEC/non-OPEC coalition will be in Moscow this week for Russian Energy Week, which starts Wednesday. The market will be closely watching meetings between Russian Energy Minister Alexander Novak and his Saudi counterpart Khalid al-Falih and Iranian oil minister Bijan Zanganeh. The meetings come as the oil market will be looking to see if there will be a rise in prices as renewed US sanctions against Iran come into effect. There are sharp differences between US ally Saudi Arabia and Iran over whether the coalition should raise or cut crude output. Away from the controversies over Iran, the entire who’s who of the Russian energy sector will attend the event, at which topics as diverse as coal and Arctic shipping routes will be discussed. While the oil markets will be making a date in their diary for Russian Energy Week, the key date for the sugar market is October 1st, the first day of the new sugar season in Europe. Total EU production is expected to be as much as 2.5 million metric tons less than last season’s record high 21.2 million because of lower beet yields. But even that won’t be enough to offset the world’s massive sugar glut. Platts Analytics unit Kingsman forecasts the surplus will be nearly 12 million tons this season. As you can see from the chart, the result of the surplus is that EU domestic and export as well as global white sugar prices are hovering around multi-year lows. Market participants will be looking to see if this causes farmers to move away from planting sugar beet, reducing sugar production further in the 2019-20 season. That brings us to our social media question of the week: What do you think this season will bring the European sugar market? Tweet us your thoughts with the hashtag #PlattsMM. October 1st also marks the split of the German-Austrian power price zone. This week, traders will be watching for the impact on Austrian spot settlements. The split follows years of debate, after unscheduled flows of surplus German power via Eastern European power grids. Capacity constraints are now in place on the German Austrian border. The impact on Germany is expected to be limited, especially due to a new interconnector on the Dutch border. But the impact on Austrian spot settlements will determine future spreads between Germany and Austria. When the Austrian and German power markets split up their Irish counterparts will get together. On October 1st, the Integrated Single Electricity Market in Ireland between Northern Ireland and the Republic of Ireland will be launched. I- SEM [pronounced eye sem] is expected to prove the benefits of integration on the electricity market. But its success is still at risk if the UK, of which Northern Ireland is part, exits the EU’s Integrated Energy Market without a deal. Returning to Austria, Europe’s petrochemical industry will be converging on Vienna on Sunday for an annual gathering. EPCA will run from October 7th to 10th. The confernece’s theme is petrochemicals and the low-carbon economy However, the US- China trade war, US sanctions against Iran and economic uncertainty in Turkey will also be major topics of discussion. Platts petrochemical team will also be attending. Drop in and meet them at the Platts suite in Ballroom C at the Marriott Hotel. And finally, the Italian gas market will be under pressure this week from a reduction in Russian gas flows. Maintenance at the Tarvisio entry point on the border with Austria will cut its capacity by 72%. This will force Italy to look to Northwest Europe for supply. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-10-01T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100118-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-10-01T03:12:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uPtLMqHZiUoHpToGYtAncZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/100118-asia-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Oct 1-5: Wider Brent/Dubai spreads may shift Asian refiners' demand; India interest rate hike expected</video:title><video:description><![CDATA[The Brent/Dubai EFS last week surged to 3 dollars and 76 cents per barrel and the wider spread may lead Asian refiners to demand more Dubai-linked crude grades. Meanwhile China is celebrating its Golden Week holidays, which will mean a slowdown in commodity market activity. In India, the central bank is expected to join Indonesia and the Philippines in monetary policy tightening to curb currency weakness which could impact oil imports. World raw sugar futures plunged to a 10-year low last week. India's approval of 5 million mt of exports in the 2018-2019 season, is expected to add pressure to both raw and refined sugar prices. In thermal coal, eyes will be on the Indian market, where utilities are running low on stock. The Indian demand could provide some support to the price of coal from Indonesia, which is currently oversupplied. The shipping freight rates in the Indian Ocean are expected to continue to strengthen given demand for vessels to export grain from the east coast of South America. View Full Transcript This week: wider Brent-Dubai benchmark spread shifts Asian refiners to Middle East crudes, India’s central bank decision on interest rate could impact oil imports, and sugar prices come under pressure. But first, China is celebrating its Golden Week holidays, which will likely mean a slowdown in commodity market activity. Chinese traders - from oil to coal - will be largely absent from the marketplace. However, oil markets in the rest of Asia remain active. Traders in Asia say the widening Brent-Dubai price benchmark; spread; could dampen the appetite of major Northeast Asian refiners for West African, Mediterranean, Black Sea and North Sea crude oil. Industry sources in Seoul say South Korea may consider cutting down its imports of Kazakh CPC Blend crude for Q4 due to the European price benchmark's lofty premium over the Platts Dubai marker. Demand for Far East Russian grades, including ESPO Blend, could pick up as Asian buyers rapidly shift focus back to Dubai-linked cargoes. The Brent/Dubai EFS -- a key indicator of Brent's premium over the Middle Eastern benchmark -- surged to 3 dollars and 76 cents per barrel on September 25, the highest level since July 5. In India, market observers speculate that the central bank will join Indonesia and the Philippines in aggressive tightening to curb currency weakness. India will unveil its monetary policy on Friday. High international crude prices and depreciating emerging market currencies have hit Asian economies and affected their purchasing power in global oil markets. A rate hike by the Reserve Bank of India will help stem the rupee's decline and boost the country’s ability to purchase crude. In agriculture, world raw sugar futures plunged to a 10-year low of 9.9 cents per pound last week, with India approving 5 million mt of exports along with subsidies for the 2018-2019 season. Both raw and refined sugar prices will be under pressure. Now, the market is still debating the mix of sugar that India will export next season and the destinations in which it can be competitive. With the mismatch between Indian sugar and world sugar prices, do you think Indian mills can still offer at competitive prices? Send us your thoughts on Twitter with the hashtag PlattsMM. Meanwhile, South Korean and Taiwanese corn buyers are also waiting for futures prices on the Chicago Board Of Trade to fall, before entering the market. South Koreans will now seek to cover March arrival cargoes for the feed industry, while Taiwanese buyers are still looking to cover December shipments. The US Pacific Northwest remains the most competitive origin for corn into the Japan, South Korea and Taiwan. In thermal coal, eyes will be on the Indian market, where utilities are running low on stock. The Indian demand could provide some support to the price of coal from Indonesia, which is currently oversupplied. Demand from China is expected to slow down due to the week-long holiday. In shipping, market sources expect the Asia Pacific Panamax and Supramax freight rates to move lower, again due to the holiday in China. On the other hand, rates in the Indian Ocean are expected to continue to strengthen given demand for vessels to export grain from the east coast of South America. That’s it for this week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-10-01T03:12:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092718-trade-wars-and-shifting-trade-flows-mark-petrochemical-developments-in-2018</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-27T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DtoiWKF3Hmov5bEJ2UkeBq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/092718-trade-wars-and-shifting-trade-flows-mark-petrochemical-developments-in-2018-04.jpg</video:thumbnail_loc><video:title>Trade wars and shifting trade flows mark petrochemical developments in 2018</video:title><video:description><![CDATA[The US trade war with China, US sanctions against Iran and ongoing economic uncertainty are all impacting global petrochemical and plastics markets. Shifting trade flows in 2018 have been most visible in the polyethylene markets, where increased US production of upstream ethylene has led to an increase in US PE export offers. S&P Global Platts petrochemicals editor, Luke Milner , reports on these changing trade flows and other developments in the petrochemical markets in 2018. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Stagnant polymers demand in the Turkish market, driven by wider economic uncertainty and the ongoing weakness of the Turkish lira against the US dollar, is driving uncertainty in neighboring markets. Bearish sentiment has grown in the Turkish polymers markets across the course of the year. The increasingly negative sentiment has broadly matched the declining value of the Turkish lira against the US dollar. Turkey is a major market for exporters of polymers, that are now having to consider alternative destinations for material. The absence of demand in the Turkish market is just one factor generating serious concerns over trade flows. The impact of US sanctions on Iran and, even more critically, the impact of the ongoing tariff war between the US and China, are driving uncertainty in petrochemical and plastics markets globally. Market participants active in the African polyethylene markets have already noted a rising tide of US PE offers, placing increasing downwards pressure on spot prices, as availability surpasses demand. Meanwhile, in Europe, higher volumes of LDPE and HDPE have begun flowing across the Atlantic according to the EU statistics agency Eurostat. Some offers for US origin LLDPE have been heard in Europe at prices below feedstock ethylene. An increase in PE offers from the US had been expected for 2018, amid an increase in US production and expanded ethylene capacity. In aromatics, lower prices in Europe in recent weeks have seen arbitrage windows to various parts of the world creak open. Styrene volumes have made the voyage to Asia, while toluene volumes have been US-bound. The European styrene market appears to be driven by the antidumping duties (ADDs) imposed on Chinese styrene imports from selected countries in the second half of this year. Mixed xylenes cargoes have moved to India and the Middle East in September due to poor demand in Europe. Meanwhile, benzene market participants have been keeping a close eye on the spread, and on prompt barrels, in the hopes of making it work. Looking ahead, 2018 may be remembered as a pivotal year for plastics recycling in Europe, following the European Commission’s launch of its first ever Europe-wide strategy on plastics on January 16, which spawned a raft of new commitments from industry bodies and end-users, with the aim of increasing both collection and recycling rates. Our petrochemical team will be attending the 52nd annual European Petrochemical Association meeting in Vienna from October 7 to October 10, so if you’re there do call in to see us at our suite in the Marriott Hotel, where we will be discussing all of these topics and more. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-09-27T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/092418-europe-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-24T10:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MCa3jNkyR9sCQKkjs8bqCb</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/092418-europe-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 24-28: Market eyes response to OPEC/non-OPEC meeting; Iran sanctions could hit UK gas field</video:title><video:description><![CDATA[This week, the oil markets assess Sunday’s meeting of ministers from several OPEC countries and Russia, and their response to the conflicting demands of OPEC member Iran and the United States. Gas traders, meanwhile, await news on the future of a key North Sea gas field as US sanctions threaten output; and the power market will be dealing with the fallout from unplanned nuclear outages. View Full Transcript In this week’s Market Movers: gas traders await news on the future of a key North Sea gas field as US sanctions threaten output; and the power market will be dealing with the fallout from unplanned nuclear outages. But first, the oil markets are assessing Sunday’s meeting of ministers from several OPEC countries and Russia, and their response to the conflicting demands of OPEC member Iran and the United States. The weekend meeting in Algiers aimed to plot a course between Iran’s calls for stricter adherence to production cuts and US President Donald Trump’s demands for lower oil prices. Saudi energy minister Khalid al-Falih said the oil market is balanced after action by OPEC and its partners in recent months. His Russian counterpart Alexander Novak said he expects the OPEC/non-OPEC bloc to reach 100% compliance with production cuts by September or October. That’s the subject of our social media question this week: After the OPEC/non-OPEC meeting, what’s next for oil markets? Tweet us your thoughts with the hashtag #PlattsMM. The prospect of renewed US sanctions on Iran has also sparked worries a key North Sea gas field could close. The clock is ticking for BP to win a license renewal from the US that would enable it to continue producing from the Rhum gas field after its current one expires at the end of September. Rhum is co-owned by Iranian state oil and gas company NIOC. US sanctions are set to snap back into place in November, creating doubts over whether the field will still be able to operate. Rhum and associated fields produce around 5 to 6 million cubic meters of gas a day, or a little over 2 billion cubic meters a year. This is more than 5% of UK gas production. A lack of available capacity will also be on the minds of European power traders after a spate of panic buying last week when it emerged that at least two Belgian reactors will not be available this winter. The outages are safety-related, with both the Tihange 2 and 3 reactors suffering from concrete degradation. Belgian power shortages will be felt beyond its borders and ripple through gas and coal markets – with an estimated 9 terawatt-hour shortfall from the outages. That shortfall is equivalent to 13% of annual Belgian power consumption. European gas and coal prices are already bullish due to a recent rally in carbon, with Western Europe facing another winter with reduced nuclear availability. European crude markets will be looking further afield to China, where demand from small, privately owned refineries -- known as teapot refineries -- pushed differentials for Russia’s ESPO crude to fresh highs last week. With the recent surge in differentials, European traders expect grades from closer to home, such as the North Sea, West Africa and the Mediterranean, to become increasingly attractive to Chinese buyers. On the other hand, there is currently a high premium for Brent versus other crudes, making Brent-related crudes more expensive than those linked to Dubai prices. The Brent/Dubai exchange of futures for swaps spread has remained above 3 dollars a barrel throughout September compared with just 2 dollars at the end of August. While oil traders are eying higher differentials, European stainless steel producers will be looking to lock in lower fourth-quarter prices for one of their feedstocks. Expectations are that the fourth-quarter ferrochrome price will be as low as 120 cents a pound, well below the 138 cents a pound agreed between South African producers and European consumers for the third quarter. Stainless steel prices have already come under pressure from lower nickel prices in recent months. This latest development is likely to be cheered by end-users such as producers of home appliances and surgical equipment. Finally, low prices are also a feature of some agricultural commodities. Market participants are expecting Ukrainian corn prices to come under downward pressure this week. Sellers are struggling to set up export programs because of fierce competition. Stocks are high in the US, the world’s largest corn producer, where domestic consumption has slowed. Some industry participants expect prices to fall by as much as 5% in the coming week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-09-24T10:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/092418-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-24T02:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yYTNNdXKNxfkKfoCcGgqKv</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/092418-asia-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 24-28: OPEC decision, geopolitical climate, trade war in focus at APPEC 2018</video:title><video:description><![CDATA[Market to digest OPEC/non-OPEC decision to raise supplies, tariffs take effect as the US-China trade war continues, opportunistic buying interest could emerge for LNG, and contract prices for thermal coal are expected to be settled. View Full Transcript This week: tariffs take effect as the US-China trade war continues, opportunistic buying interest could emerge for LNG, and contract prices for thermal coal are expected to be settled. But first, oil market stakeholders gather in Singapore this week for the 34th Annual Asia Pacific Petroleum Conference. S&P Global Platts expects to welcome over 500 delegates from 55 countries. Over 50 experts will be discussing red hot issues in the global energy market. One topic would be the potential of blockchain technology and its use in commodity trade. So be sure to grab a copy of our special report called Blockchain for Commodities: Trading Opportunities in a Digital Age at the venue. You can also download a copy from our website. Participants are also expected to discuss production and trade flow outlooks, particularly after the Algiers meeting that happened this weekend, in which Saudi energy minister Khalid Al Falih said the kingdom would increase oil production. Other topics include the current geopolitical climate including sanctions, as well as the impact of US-China trade war on energy markets. Speaking of the trade war, China will start imposing a 10% tariff on US LNG imports from today. China accounted for 15% of US LNG exports last year. Tariffs will likely price US LNG out of the Chinese market, but there is no impact on prices expected in the near-term. Now, zooming in on the larger Asian spot market, prices pulled back last week, which could stimulate opportunistic buying interest from China and India. Soaring European gas hub prices could continue to provide a solid price floor. Soybeans is another key area affected by the US-China trade conflict. Chinese buyers are scouting for other possible supply sources for beans, including paying premiums for Argentinian cargoes. Beijing is also heard to be in negotiations with India for purchases of soybean meal to fulfil domestic demand. For our social media question this week: Do you expect the US-China trade conflict to escalate even further and affect more commodities? Share your thoughts on Twitter with the hashtag PlattsMM. Meanwhile, activity in the commodity markets in China is expected to slow down ahead of national holidays in early October. Then, in thermal coal, producers in Australia are expected to conclude term contract prices with Japanese customers for the coming year, starting in October. The term contracts for Newcastle thermal coal are expected to exceed last year's levels as current spot prices are at multi-year highs. And that’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-09-24T02:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/091918-spglobal-platts-launches-assessments-for-us-wti-eagle-ford-crude-oil-for-delivery-to-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3HM4i3roKYcNkjZszAZ2uc</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/methodology-video/091918-spglobal-platts-launches-assessments-for-us-wti-eagle-ford-crude-oil-for-delivery-to-europe.jpg</video:thumbnail_loc><video:title>Platts launches assessments for US WTI, Eagle Ford crude oil for delivery to Europe</video:title><video:description><![CDATA[The growth in US crude oil exports has reshaped the global crude markets in the past 2.5 years. Nowhere has this shift been more evident than in Europe, where US crude flows have rapidly become one of the de facto swing barrels in the European market, impacting the differentials for grades across the Atlantic Basin, including Dated Brent. Crude flows from the Gulf Coast -- primarily of distillate-rich rich WTI Midland, but also of Eagle Ford crudes and condensates, as well as the occasional cargo of heavier, more sour Mars -- now average nearly a cargo a day into Europe, exceeding the production of nearly all of the locally-produced shorter-haul crudes that traditionally make up the European, sweet crude refining diet. On September 19, S&P Global Platts announced that it will now assess both WTI Midland and Eagle Ford 45 delivered at place -- or DAP -- in both Rotterdam and Augusta. RELATED CONTENT FAQ: Platts US Gulf Coast crude delivered Europe (PDF) Press Release: S&P Global Platts launches price assessments for main US export grades delivered into Europe]]></video:description><video:publication_date>2018-09-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>06:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/091718-interview-peter-sand-bimco</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-17T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=r9qBTswzKtNZjMnf8cF6vA</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/091718-interview-peter-sand-bimco.jpg</video:thumbnail_loc><video:title>Interview: Peter Sand, BIMCO</video:title><video:description><![CDATA[Peter Sand , chief shipping analyst at BIMCO, talks to Alex Younevitch , managing editor for EMEA shipping at S&P Global Platts, about the container market and the challenges that it is facing from the escalating US-China trade war, the upcoming IMO 2020 regulation, and tonnage oversupply. Platts Container News and Pricing Web App: https://containers.plattslabs.com Related special report: Container Shipping – Kinks in the supply chain]]></video:description><video:publication_date>2018-09-17T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091718-europe-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-17T10:05:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=o15KGWAW5XZQmMukk2tMXq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/091718-europe-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Future of OPEC/non-OPEC output cut deal in focus ahead of Algiers meet</video:title><video:description><![CDATA[This week in European commodity markets: the oil market will be honing in on the build-up to a key meeting of OPEC and non-OPEC ministers in Algiers this coming weekend, new swap on West African crude is set to be born, Gazprom will launch its European gas sales platform, and the future of German coal and global steel capacity is under the spotlight. View Full Transcript In this week's highlights, a new swap on West African crude is set to be born, Gazprom will launch its European gas sales platform, and the future of German coal and global steel capacity is under the spotlight. But first: The oil market will be honing in on the build-up to a key meeting of OPEC and non-OPEC ministers in Algiers this coming weekend. The Joint Ministerial Monitoring Committee will return to the scene of an agreement between OPEC and key non-OPEC oil producers two years ago that laid the groundwork for a 1.8 million-barrel-a-day production cut. The meeting will be chaired by Saudi energy minister Khalid al-Falih and attended by ministers from Algeria, Iran, Kuwait, Oman, Russia and Venezuela. They will assess how the agreement should be carried forward. The agreement’s effectiveness is increasingly being questioned due to plunging production from Iran and Venezuela. US sanctions are set to be reinstated on Tehran in November, causing buyers of Iranian crude to seek alternatives. Venezuelan production has been crippled by a political and economic crisis. Staying with oil, commodity exchange ICE launches a new cleared swap for West African crude Monday. It builds on a brokered swap that has met with great market interest from the start. The advent of the swap has recently boosted trading in four crude grades from Nigeria in the S&P Global Platts Market on Close process over the last two weeks. The grades in question are Bonny Light, Qua Iboe, Forcados and Bonga. Indications from oil majors and trading houses on the four grades making up the swap have brought transparency to a market that has traditionally traded more privately. Traders say they expect public bids and offers on these grades to continue if interest in the new swaps remains high. ICE is not the only company in the energy world launching a new trading product this week. Russian gas giant Gazprom is set to launch its European sales platform. More than 1 billion cubic meters of gas are to be offered during auctions that run to the end of the fourth quarter. The sales will be held via Gazprom’s own Electronic Sales Platform, a tool that replaces the email-based auction system Gazprom ran in 2015 and 2016. The gas will be for delivery into a number of European sales points across Germany, Austria, Slovakia and the Czech Republic. Moving from gas to rival fuel coal, Germany’s coal commission is to meet again Tuesday to discuss the future of the country’s coal-fired power stations. Tension is high, with anti-coal representatives in the commission angry at police action to clear protesters from land designated for a new lignite mine. The commission has to deliver majority-based recommendations by November. That will be a difficult task, given the diverse interests within the commission – and the competing demands of cutting emissions, preserving jobs and maintaining security of electricity supply. That’s our social media question this week: Does coal-fired generation still have a future in Europe? Tweet us your thoughts with the hashtag #PlattsMM. In the metals markets, it’s also a week of meetings. The OECD’s Global Forum on Steel Excess Capacity will run Wednesday and Thursday in Paris. Chaired by Argentina, the meeting will seek to improve the exchange of information between countries to help reduce excess global steelmaking capacity. It comes after a report by the OECD was released last week saying global steelmaking capacity was expected to increase by nearly 52 million metric tons between 2018 and 2020. The new capacity comes at a time when there is already excess capacity of 561 million metric tons worldwide. Elsewhere, the International Rebar Producers and Exporters Association will meet in Istanbul. This will be an opportunity for the industry’s key players to negotiate prices with an eye on the fourth quarter. And let’s close this edition of Market Movers with an expiry. Carbon allowance options on ICE Futures Europe exchange are set to expire Wednesday, meaning extreme price volatility looks set to continue in the European carbon market this week. Carbon prices dropped like a stone last week, plunging almost 30% to below 19.00 euros a metric ton after hitting 10-year highs of nearly 26 euros on September 10th. Some market observers had warned that the expiry could prompt sharp falls. Now the market has plummeted the question is: Could carbon prices be about to rebound? Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-09-17T10:05:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091718-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-17T02:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mYeQDhpRNBDnMGHHaYDxhC</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/091718-week-ahead-asia-commodities-s.jpg</video:thumbnail_loc><video:title>Mangkhut hits energy, port operations; US hints at new round of tariffs on Chinese goods</video:title><video:description><![CDATA[Super Typhoon Mangkhut hit port operations and energy infrastructure in the region over the weekend. Operations at some ports are likely to remain suspended as the typhoon continues to wreak havoc in parts of Asia. Meanwhile, markets will keep an eye out for confirmation after reports saying US President Donald Trump is looking at another round of tariffs on $200 billion worth of Chinese goods ahead of the scheduled trade talks with Beijing. Asian refineries will be assessing their ultra-light crude procurement options this week after the market saw a drop in Iran's South Pars condensate exports due to the re-imposition of US sanctions and the startup of the Persian Gulf Star refinery. Australia's North West Shelf, Malaysian Kimanis condensate, Qatar's Deodorized Field Condensate for loading in November will be offered in the spot market. Players in the region's thermal coal market expect a breakthrough in talks to settle prices for Japanese term contracts for Australian coal to be delivered from October 1. Current prices are reflecting strong spot-traded deals. And in petrochemicals, CFR China PTA hit a five-year high at 1,080 dollars per metric ton on Thursday due to limited spot availability. The downstream polyester sector is already suffering from narrower or even negative margin and has cut operating rate to around 85% of capacity. The market expects the polyester operating rate to drop further in the short term. View Full Transcript This week: Iran condensate exports drop, strong spot deals seen for Australia thermal coal, and PTA prices start strong at a near 5-year high. But first, markets will keep an eye out for confirmation following reports over the weekend saying US President Donald Trump is looking at another round of tariffs on Chinese goods ahead of the scheduled trade talks with Beijing. The new tariffs are expected to hit $200 billion worth of products. Weather disturbances in Asia and the US are affecting ports, energy infrastructure, and supplies in the region. Super Typhoon Mangkhut wreaked havoc in the Philippines, and southern China over the weekend, affecting movement of shipping vessels, and shutting down ports and other marine facilities. Contingency measures have been taken to minimize the typhoon's impact on energy infrastructure, without major damages heard so far. Port operations are likely to remain suspended in parts of the Philippines, Hong Kong and Guangdong China. The LNG market, on the other hand, is keeping an eye on terminal operations affected by Hurricane Florence in the US. Export activity was severely reduced at Dominion Energy's Cove Point terminal in Maryland last week. A total 29 cargoes had been exported from this terminal since it started in March. Meanwhile, refineries will be assessing their ultra-light crude procurement options this week after the market saw a drop in Iran's South Pars condensate exports due to the re-imposition of US sanctions and the startup of the Persian Gulf Star refinery. Australia's North West Shelf, Malaysian Kimanis condensate, Qatar's Deodorized Field Condensate for loading in November will be offered in the spot market. US Eagle Ford condensate, Norway’s Ormen Lange, Nigeria’s Escravos and Russia's new Sabetta condensate could also draw plenty of interest from Asian buyers. In coal, Asia-Pacific market players are expecting a breakthrough in talks to settle prices for Japanese term contracts for Australian thermal coal to be delivered from October 1 onwards. Australian shippers are showing offers of 115 dollars per metric ton FOB Newcastle to their Japanese customers who counter-offered a price of about 105 dollars per metric ton. The current prices reflect strong spot-traded deals for this type of thermal coal. In petrochemicals, CFR China PTA hit a five-year high at 1,080 dollars per metric ton on Thursday due to limited spot availability. The downstream polyester sector is already suffering from narrower or even negative margin and has cut operating rate to around 85% of capacity. The market expects the polyester operating rate to drop further in the short term. Will this mark the beginning of PTA prices tapering off? Share your thoughts on Twitter with the hashtag PlattsMM. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-09-17T02:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091418-china-lng-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-14T07:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=C9Sd5q7uNotesb8Pw4G8Ca</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/091418-china-lng-imports.jpg</video:thumbnail_loc><video:title>China's LNG imports set to surge this winter with or without tariffs on US supply</video:title><video:description><![CDATA[As we move out of the summer and turn our attention to winter, all eyes are turning towards China. Total LNG imports to the country continue to push higher and are surely going to increase to new highs this winter as heating demand picks up. New regasification capacity will certainly help to handle the influx of supply, but utilization is expected to stay elevated. Furthermore, a recent proposal for tariffs on US LNG could complicate things this winter. With the uptick in imports, where will these volumes come from? Jeffrey Moore , S&P Global Platts Analytics Manager for LNG in Asia, examines the market. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. As we move out of the heart of the summer and start to gear up for winter in the main natural gas consuming countries in the Northern hemisphere, all eyes are turning towards China. Specifically, the question is just how much LNG the country will import this year. Through August, S&P Global Platts Analytics estimates LNG imports to China are up a staggering 45% on year through the same period in 2017. So far the country has imported roughly 32 million tonnes of LNG and is expected to import more than 50 million tonnes in total this year, which is up roughly 12 million tonnes above last year’s total LNG imports. This number is important because Chinese contracted capacity for LNG is not increasing nearly as much in 2018, which implies China will need to procure more than 7.5 million tonnes of LNG on the spot market this year. This could equate to more than 100 cargos over the course of the year. One of the main factors aiding the growth in Chinese LNG imports this year is the addition of new infrastructure. China has already added 10 MTPA of regasification this year, which includes the countries first fully independent terminal in China’s eastern province of Zhejiang, just south of Shanghai. This new infrastructure is expected to come in handy over the coming months as imports surge even higher during the winter months. There was much talk about the high utilization rates of Chinese LNG regasification last year, and this year we should see more of the same, with total regasification capacity utilization expected to average more than 76% from November through March of next year. This compares to an average utilization rate of just under 75% during the same period a year ago. We also expect regasification utilization to max out again about 90% during the heart of this winter, similar to what happened last winter. With it pretty well understood that China is going to import a significant amount of LNG this upcoming winter, it’s important to ask where it’s going to come from. The recent proposal to impose a 25% tariff on US LNG to China also complicates the picture. Although this tariff isn’t in effect just yet, the implications are significant as China represents the largest growth market moving forward while a significant amount of liquefaction capacity from the US is set to ramp up over the next several years. When you factor in all that expected spot-buying by China this year and it could muddy things up even more. However, I think this is an important place to point out that the US currently doesn’t represent a significant supplier for Chinese LNG imports. In fact, the US has never supplied more than 8% of total Chinese LNG imports in a given month. As China’s appetite for LNG has grown, we’ve seen a lot more volumes move in from Australia help feed it. This will be an important trend to watch as spot prices in Asia are expected to be more than 1 dollar and 50 cents per MMBtu higher this winter compared to last, so China could be paying more for these volumes than they did last year. We’ll certainly be following along as this unfolds. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-09-14T07:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091318-imo-2020-marine-fuels</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-13T03:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=WMFLXDHgZgxSEP9ehqa56n</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/snapshot_20180912_globalbunker.jpg</video:thumbnail_loc><video:title>Asian players gear up for IMO 2020 global sulfur limit rule for marine fuels</video:title><video:description><![CDATA[There is still a huge amount of uncertainty as the International Maritime Organization's new global sulfur limit rule for marine fuels inches closer. The date will not change and bunker industry players will have to act fast. S&P Global Platts Editor Surabhi Sahu takes a look at what some players in Asia are already doing in preparation for IMO 2020, with more insights to be shared at the APPEC 2018 conference. View Full Transcript Welcome to The Snapshot - our series examining the forces shaping and driving global commodities markets today. Less than 16 months remain for the International Maritime Organization’s global sulfur limit rule for marine fuels. So let’s take a look at how players in Asia are responding to it. According to some, compliance is expected to be at only 70%-80% initially due to the ensuing chaos and lack of preparedness for this rule, which is set to cost the industry as high as $60 billion worldwide. Some 60% of bunkers will also have to switch from HSFO to 0.5% sulfur overnight. Ship operators therefore need to devise an optimal strategy. They need to ask themselves: Where am I trading? What ports do I call? What product is available there, what is the quality and the chemistry of fuel I am loading? How do I store and manage the fuel onboard? And how can I train my crew to operate the vessel with that fuel correctly? There are three main marine fuel choices - 0.5% sulfur fuels, HSFO with scrubbers, and alternative fuels, primarily LNG to comply with the rule. In Asia, South Korea's HMM said in April it was considering using LNG bunkers or installing scrubbers on some of its newbuilds. In July, Taiwan’s Yang Ming Marine said the use of LSFO was the intended solution for now. However, it did not rule out options like scrubber installation and LNG. Hong Kong's Pacific Basin Shipping has also recently said it was assessing LSFO versus scrubbers while Jinhui Holdings said it was opting for LSFO, which it thought was the most efficient way to tackle the issue. 0.5% sulfur bunker fuels might seem to be the easiest way to comply. However, the lack of enough supply could stand in its way. In addition, there are questions around using blended fuels because of stability and compatibility issues. Using scrubbers and LNG bunkering is also not without challenges. The availability of HSFO for scrubber-fitted vessels, particularly at small ports, could be limited if the overall fleet of scrubber-fitted ships remains small. Retrofitting an existing ship with an LNG engine is also prohibitively expensive while uncertainty looms about presence of adequate LNG infrastructure globally. Refiners also have to come up with a supply side response quickly. Many are opting to produce more IMO 2020 compliant bunker fuels, investing in desulfurization units and upgrading refineries. Some are also becoming involved in financing scrubber’s installation in return for a long term HSFO supply contract. We’ll talk about this and other key issues in the petroleum industry at the APPEC 2018 conference from September 24-26 in Singapore. We hope to see you there. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-09-13T03:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/091118-blockchain-technology-in-the-context-of-the-container-industry</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-11T13:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ttq9DGdRgGbTCtUyYMCwre</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/methodology-video/091118-blockchain-technology-in-the-context-of-the-container-industry-web-2.jpg</video:thumbnail_loc><video:title>Blockchain technology in the context of the container industry</video:title><video:description><![CDATA[In this S&P Global Platts Methodology video commodity associate, Alex Borulev , is joined by senior developer for innovation, Mark Gilleeney -- part of Platts dedicated innovation team -- to discuss blockchain technology in the context of the container industry. Specifically, can blockchain and smart contracts provide container market players with the ability to mitigate their risks against bunker fuel price volatility; and can it supply some much needed transparency into freight contracts and the supply chain as a whole?]]></video:description><video:publication_date>2018-09-11T13:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091118-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-11T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=REiGmgwyAG8qiuoSTod2K4</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: September outlook</video:title><video:description><![CDATA[The Dated Brent crude oil market was oversupplied in mid-August, capping prices; however, there were signs of improvement in H2 August with the Far East arbitrage pushing Brent prices up. Globally, market players remain focused on geopolitical risk as escalating tensions between the US and China, imminent US sanctions against Iran and US President Donald Trump’s threats to leave the WTO -- and imposing $200 billion worth of new tariffs on Chinese imports -- look set to increase price volatility. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market was oversupplied around the middle of the month and that capped prices and favored an increase in the selling pressure, in fact, the physical market plunged to $68/b on August 15. In particular, good and profitable margins have greatly favored medium/heavy grades over sweet ones and the influx of US crude into Europe has certainly contributed to put pressure on BFOE grades and push them below the $70/b threshold. Things started to get better in the second half of the month when a lower Brent/Dubai EFS and some Chinese refiners, coming back from the maintenance period, favored the arbitrage to the Far East pushing Brent prices up. Internationally, market players remained focused on the escalating tensions between US and China trade talks and the instable situation in many emerging markets. Furthermore, the political risk coming from the impending US sanctions against Iran incentivized Saudi Arabia to cut the price of its Arab Light crude for Asian clients in an attempt to increase its market share and counterbalance losses coming from Iran. Teheran remained under the spotlight for the whole month, in fact, on August 30, global crude prices rose significantly when Iran's Supreme Leader threatened to withdraw from the Joint Comprehensive Plan of Action. The geopolitical scenario worsened when Iran’s leader stated he would not negotiate with the US a new deal. Nevertheless, the final spike in Brent prices was not due just to Iran but also to the fact that Trump threatened to pull out from the WTO and to impose $200 billion worth of new tariffs on Chinese imports. Let us now focus on volatility. The August’s Volatility Premium closing value is among the highest recorded over the last two years implying that a mean reverting movement is likely to happen over coming weeks. Besides, the Probability Distribution analysis shows that the Dated Brent monthly volatility is fluctuating right within its equilibrium range but the mean reverting pressure is building up meaning a price retracement is more likely to happen. Finally, the Volatility Cones analysis implies that the Dated Brent volatility will likely move higher in coming weeks while prices will tend to retrace. However, once the volatility spikes is over the market is likely to stabilize. Whether Brent prices will start move higher, after their drop, will largely depend on the magnitude of the correction. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-09-11T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091018-europe-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-10T10:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hHvBnwpKPUUPU8VnPqRMRe</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/091018-europe-commodities-week-ahead.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Sep 10-14: Turkey talk poses commodity risks; high gas prices put focus on Russia flows</video:title><video:description><![CDATA[Turkey's central bank is widely expected to raise its key rate on Thursday in an effort to tackle inflation caused by the plunge in the national currency. The move could add to pressure on the construction industry, leaving cement plants in a difficult spot. This could reduce demand for petcoke, which is used as fuel by cement manufacturers. An interest rate hike could also hit Turkish flour millers. New regulations mean exports of flour from the world's largest exporter must be made almost exclusively from imported rather than domestic wheat to keep a lid on prices in the country. In oil, two reports are expected to provide fresh insights on the market: OPEC's and the International Energy Agency's reports will be available on Wednesday and Thursday, respectively. Meanwhile, European gas traders will be keeping a close eye on the level of flows via Ukraine, which have remained low for the past month. Northwest European gas prices are surging on continued robust demand, with Russian flows via Ukraine the only realistic source of flexibility in the system.]]></video:description><video:publication_date>2018-09-10T10:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091018-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-10T03:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dJvVuJmxHVC54crUVQ9J4b</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/week-ahead-asia-091018.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 10-14: Asian buyers' faltering purchasing power in international energy markets in focus</video:title><video:description><![CDATA[Crude importers in India and Indonesia will be monitoring Asian currency markets as the sharp depreciation in their respective currencies raises concerns about their faltering purchasing power in international energy markets. Also in oil, industry participants will be looking out for Singapore’s August marine fuel sales data that will be released on September 13. July bunker fuel sales at the worlds’ largest bunkering port fell 8% on the year, but rose 3% from June to 4.04 million mt, according to preliminary data released by the Maritime and Port Authority of Singapore. In thermal coal, Australian producers and Japanese buyers will continue the October year term contract talks this week. Market participants said that this year’s contract was likely to settle at a higher level than last October’s term contract price of $94.75/mt FOB Newcastle if spot prices remain at current levels. In agriculture, Brazilian soybean exports have already reached levels predicted by supply and demand estimates based on market consensus, but Chinese demand continues to rise. This episode also looks at alumina prices, as Alcoa the workers' strike in Australia continues while Hydro has signed agreements to resolve issues at its Brazilian refinery; as well as LNG prices while market participants are waiting to see if the US imposes the proposed tariffs on $200 billion of Chinese imports.]]></video:description><video:publication_date>2018-09-10T03:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/090318-eu-offers-us-tariff-deal-trump-wto-threat-reverberates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-03T09:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LjcEX3QtcadtDARjJijTzQ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/18-pl-16641-market-movers-europe-9-3.jpg</video:thumbnail_loc><video:title>Market Movers Europe, September 3-7: EU offers US tariff deal; Trump WTO threat reverberates</video:title><video:description><![CDATA[In this week's Market Movers: Sanctions are expected to hit Iran's oil exports, a key meeting takes place between the Russian government and grains producers, and old king coal is back in Europe. Tariffs and sanctions will be the focus in the metals markets this week, as Europe awaits US President Donald Trump's response to the EU trade commissioner's tariff offer; and market nerves will also continue to jangle over Trump's threat to pull the US out of the World Trade Organization, countering the EU's reform proposals. This is the focus of this week’s social media question: If the US left the WTO, what would be the impact on commodities? Tweet us your thoughts with the hashtag #PlattsMM . Meanwhile, the oil market will remain watchful over the impact of upcoming restrictions on Iranian oil exports, particularly on how fast Iranian oil flows drop off and the ability of key producers to fill the gap. In Russia, traders will meet today with the Agriculture Ministry to discuss grains exports, as the government considers whether to impose export duties. Finally, in Europe's power market, a worsening outlook for nuclear availability is boosting electricity prices, which have already been pushed up by increased fossil-fired generation. View Full Transcript In this week’s highlights: sanctions are expected to hit Iran’s oil exports, a key meeting takes place between the Russian government and grains producers, and old king coal is back in Europe. But first: tariffs and sanctions will be the focus in the metals markets this week, as Europe awaits US President Donald Trump’s response to the EU trade commissioner’s tariff offer. Cecilia Malmstrom said the EU would be prepared to reduce auto tariffs to zero if the US reciprocated by lifting tariffs on metals it imposed earlier this year. Malmstrom said any dispute with the US over auto tariffs would have severe consequences not just for European countries with car manufacturing plants, but also member states that make car parts -- and potentially hit almost $60 billion of exports. Market nerves will also continue to jangle over President Trump’s threat to pull the US out of the World Trade Organization, countering the EU's reform proposals. The WTO was established to provide a groundwork of rules for global trade and resolve disputes between countries, and a US withdrawal would have ramifications for trade disputes around the globe. This is especially relevant against a backdrop of US tariffs imposed on various countries, most notably China. Should the US leave the WTO, there would be little China or other countries could do to appeal such moves. That’s the focus of this week’s social media question: If the US left the WTO, what would be the impact on commodities? Tweet us your thoughts with the hashtag #PlattsMM. The oil market will remain watchful over the impact of upcoming restrictions on Iranian oil exports, particularly on how fast Iranian oil flows drop off and the ability of key producers to fill the gap. Iranian exports are already falling, but the extent to which some of its main buyers -- including India and Japan -- can sidestep the curbs with the backing of the US remains unclear. Meanwhile, oil prices will likely continue to be buffeted by doubts over the success of trade talks between the US and its key trading partners. In Russia, traders will meet today with the Agriculture Ministry to discuss grains exports, as the government considers whether to impose export duties. The ministry is currently targeting exports of 25 million metric tons of wheat and 30 million tons of grains. If levels exceed this, the government may introduce duties to put a brake on further exports, with the aim of protecting the domestic grains market and Russian consumers. The market has been volatile over the last week, with participants anxious to see whether the export duty is introduced or not. In power, a worsening outlook for nuclear availability is boosting electricity prices, which have already been pushed up by increased fossil-fired generation. High pressure over northwest Europe into September has seen wind production sink to negligible levels in recent days. Coupled with reduced nuclear availability and sub-optimal Nordic hydro reservoir levels, the generation mix has become increasingly carbon-intensive. Less efficient coal is now back in the money through September and into the fourth quarter. This chart shows German clean dark spreads, which reflect the return a power producer can expect from buying coal and emissions credits and selling the electricity generated. As you can see, both the month- and quarter-ahead spreads are indicating improved profit margins. Add a 10-year carbon price high of around 21 euros a ton and the mix is looking notably expensive if these calm, warm days endure. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-09-03T09:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/090318-asia-commodities-week-ahead</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-09-03T01:40:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BgB5qqVqZpYu3MWJL2Cvub</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/090318-asia-commodities-week-ahead-l.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Sep 3-7: US and India talks to include Iranian crude; China port restrictions divert seaborne coal</video:title><video:description><![CDATA[Talks between the US and Indian governments this week in New Delhi will likely include discussion of India's request to continue importing some Iranian crude oil after US sanctions resume in November. As one of Tehran's top oil customers, India's plans will play a major role in how much Iranian exports drop after November. All eyes are also on Middle Eastern official selling prices. Asian end-users are hoping for steep cuts in light sour Persian Gulf crude OSPs amid competition from various US grades as well as Kuwait's new Super Light and Russia’s ESPO Blend. In thermal coal, Australian and Indonesian shippers are coming to terms with stricter port restrictions in China. In shipping, freight rates are seen bearish for Supramax and Capesize markets. In metals, battery grade lithium carbonate CIF North Asia price has fallen 17% since its launch in May. S&P Global Platts will launch three new prices from September 7: lithium carbonate DDP China, lithium hydroxide CIF North Asia, and lithium hydroxide DDP China. View Full Transcript This week: Asia refiners keep an eye on Middle Eastern crude OSPs, China port restrictions divert coal shipments, and sentiment turns bearish for Asian freight rates. But first, talks between the US and Indian governments this week in New Delhi will likely include discussion of India's request to continue importing some Iranian crude oil after US sanctions resume in November. As one of Tehran's top oil customers, India's plans will play a major role in how much Iranian exports drop after November. India recently signed its first term contract to import US crude to lock in low prices, a topic that might also come up during the meeting. Will India keep importing Iranian crude? Share your thoughts on Twitter with the hashtag PlattsMM. In crude oil, all eyes are on Middle Eastern official selling prices. Asian refiners will be paying close attention to new rounds of Middle Eastern crude OSPs this week. Asian end-users are especially hoping for steep cuts in light sour Persian Gulf crude OSPs amid competition from various US grades as well as Kuwait's new Super Light and Russia’s ESPO Blend. With rival grades competing for the Asian market, Abu Dhabi's light sour Murban crude saw its differential against second-month Dubai swap tumble to a premium of $2.51/b last month, the lowest level since last October. Australian and Indonesian thermal coal shippers are coming to terms with stricter port restrictions in China. Cargoes are unable to discharge at some ports, particularly in Guangxi province, and are having to divert to other ports on the eastern coast. The official reason for this is that many southern coastal plants in China have already used up their import quotas for the year. Supramax freight rates across Asia Pacific held steady last week, but are expected to fall in the near future. Congestion at Chinese ports is easing and releasing more vessels into the market. Sentiment is also bearish for Capesize freight rates for the Asia Pacific and Atlantic routes. The lack of market confidence and weakening freight derivative market rates prompted a source to describe the short-term outlook as pretty bleak. Battery grade lithium carbonate CIF North Asia price has fallen 17% since its launch in May. S&P Global Platts will launch three new prices from Friday: lithium carbonate DDP China, lithium hydroxide CIF North Asia, and lithium hydroxide DDP China. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-09-03T01:40:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/083018-iron-ore-quality-differentials</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-30T06:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=N2P6L9R6w1dD7QRMDnwv2v</video:player_loc><video:thumbnail_loc /><video:title>Outlook: Iron ore differential penalties in Q4 2018</video:title><video:description><![CDATA[While the iron ore price benchmark IODEX 62 has been range-bound for much of 2018, the spreads between high grade and low grade iron ore are widening to historical highs. Since May, the quality differentials for gangue elements also started to evolve. Jeffery Lu , senior research analyst covering the metals market, examines the changes in market fundamentals that are shaping the iron ore landscape. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Let's take a look how changing market fundamentals are affecting iron ore quality differentials. The iron ore market has been rangebound for much of this year. The benchmark IODEX 62 has been confined to a narrow range of 5 dollars per dry metric ton since March, and the lack of volatility has become a real concern. However, the spreads between high grades and low grades are showing a different story, widening to historical highs. Alongside that is the change in the differential penalties. Since May, S&P Global Platts quality differentials for the gangue elements such as alumina, silica and phosphorous have continued to evolve to reflect changing market fundamentals. As you can see on this chart, the most extreme moves have been on alumina differentials. Why? Because of China’s environmental focus, strong steel margins, and the supply issue from Brazil and China this year. So where do we go from here? While our analysis shows that there will be near-term support to the differential penalties, it points to a cautiously bearish towards the end of the year. Based on the Platts cFlow data, we forecast an outstanding 470 million mt of iron ore shipment, estimated to arrive for the last 20 weeks of 2018, a bulk of which goes to China. This includes approximate 130 million mt from Vale, pumping low-alumina supplies into the pipeline. This happens on the back of the production cut during China’s winter heating season, adding potential pressure to the differential penalties. Platts Analytics anticipates a direct impact on iron ore pricing, such as for the IODEX 62%, 58% and 65% Fe grades, with the spreads between the three expected to narrow down from the current levels. Alongside that are the differential penalties, which could also come under pressure, across the fourth quarter of 2018. However, a sharp fall of the ore penalties going back to early 2017’s level is also unlikely. Increased environmental pressure from the Chinese central government will likely support the steel mill margin, providing mills with ample cash flow and incentives, to procure higher quality iron ores with lower impurities. This, on the back of the changing specs of Australia's iron ore fines, which points towards higher alumina and phosphorus, could keep the differential penalties a little higher than they used to be. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-08-30T06:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/market-movers-asia-aug-27-31-us-china-trade-war-escalates-lng-spot-prices-jump-on-russia-s-sakhalin-outage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-27T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=T4RArcjERjGCyN98fiinX2</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/pmm_ryan_1920x1080.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 27-31: US-China trade war escalates; LNG spot prices jump on Russia's Sakhalin outage</video:title><video:description><![CDATA[The US-China trade war escalated last week, with China targeting US oil products and coal for the first time with a 25% tariff in response to another round of US tariffs. Commodity markets will continue to watch the implications of this latest development on trade flows. In oil, light sour Middle Eastern crude grades may struggle to sell in the Asian spot market this week amid strong competition posed by US Eagle Ford crude and condensate and Far East Russia's ESPO blend crude. In agriculture, the front-month New York No. 11 raw sugar futures plunged to over a 10-year low on August 22nd to 9.91 c/lb, amid a global supply glut, and weaker Brazilian real and Indian Rupee. Policy announcements that could keep the market on its toes this week include the Indian government's extension of the 2 million mt sugar export deadline to the end of this year, as well as Indonesia's issuance of 1.1 million mt raw sugar import license. In LNG front, an outage at one of Sakhalin LNG’s two trains in Russia last week had an immediate impact on Platts JKM October pricing, jumping 1.275 dollars per MMBtu on August 23 to 11.375 dollars per MMBtu. While repairs are expected in the coming days, a prolonged outage could have significant impact on Asian LNG prices. View Full Transcript The highlights in Asia this week: US-China trade war escalates, Middle East struggle to find buyers in the spot market, supply glut drags down sugar prices and LNG prices jump following an outage in Russia. But first, the US-China trade war escalated last week, with China targeting US oil products and coal for the first time with a 25% tariff in response to another round of US tariffs. Commodity markets will continue to watch the implications of this latest development on trade flows. Do you expect the tariffs to target US crude oil and LNG soon? Share your thoughts on Twitter with hashtag PlattsMM. Elsewhere in oil, light sour Middle Eastern crude grades may struggle to sell in the Asian spot market this week amid strong competition as US Eagle Ford crude and condensate is actively being marketed to Asian refiners. Refiners could also turn to Far East Russia's ESPO blend crude as Abu Dhabi’s light sour Persian Gulf grade Murban continues to command a distinct premium over its Russian rival, averaging 68 cents per barrel so far this quarter. In the sugar market, front-month New York No. 11 raw sugar futures plunged to over a 10-year low on August 22nd to 9.91 cents per pound, amid a global supply glut, weaker Brazilian real and Indian Rupee. Adding to the bearishness, the Indian government has announced the extension of the 2 million mt sugar export deadline to the end of this year. Concurrently, 1.1 million mt raw sugar import license issued by Indonesia for H2 was lower than some market estimates, adding to supply overhang. Currency volatility and both policy announcements will keep the market on its toes this week, engendering concerns that NY No.11 might continue lower. In shipping, a slowdown in naphtha flows from the Middle East to the Far East is weighing on freight rates. Fewer shipments have taken their toll on the earnings of shipowners, which are barely 6,000 dollars and 4,500 dollars for LR2s and LR1s. In Suezmaxes, crude shipments for Iran loadings are commanding hefty premiums as many shipowners are staying away due to the US sanctions. The freight for Iran loadings is expected to rise further this week. On the LNG front, an outage at one of Sakhalin LNG’s two trains in Russia last week had an immediate impact on Platts JKM October pricing, jumping 1.275 dollars per MMBtu on August 23 to 11.375 dollars per MMBtu. While repairs are expected in the coming days, a prolonged outage could have significant impact on Asian LNG prices as the liquefaction facility maintains robust supply linkages to KOGAS and several Japanese power utilities. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-08-27T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/h2-2018-outlook-asia-aromatics-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-21T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yt8sjK749TDayyztwbcqXZ</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/snapshot_gustav_1920x1080.jpg</video:thumbnail_loc><video:title>H2 2018 outlook: Asia aromatics market</video:title><video:description><![CDATA[Gustav Holmvik , S&P Global Platts team leader for the Asian petrochemicals market, looks at the factors that will shape the region's aromatics sector in the second half of 2018. Related special report: Asia Petrochemical Outlook H2 2018 View Full Transcript Welcome to The Snapshot, our series which examines the forces shaping and driving global commodities markets today. In this episode, let’s take a quick look at what lies ahead for the Asian aromatics markets such as paraxylene, benzene, styrene, toluene and mixed xylenes. In benzene, supply will likely remain ample in Asia in the second half of the year, but strong demand amid positive downstream margins is likely to provide some support. With Asia structurally long in benzene, Northeast Asian sellers will continue to seek arbitrage opportunities to the US Gulf Coast, despite that window having remained closed on paper for most of first half of the year. Benzene prices did not track the firm gains seen in crude oil in the first half of 2018 as the benzene-naphtha spread narrowed. It was calculated at $202/mt in the second quarter, down from $309/mt in Q1, based on S&P Global Platts data. Could the spread potentially see some widening in the second half of the year? In a related market, styrene monomer, the situation has been very different as producers have been enjoying very healthy margins of late. After a turbulent start to the year, the SM market might see more stability in the second half after China announced its final antidumping duties on styrene monomer imports from South Korea, Taiwan, and the US in June. That may prove to be a watershed moment for the industry. China’s total SM imports shrunk 29% year on year in the first quarter. Imports are poised to fall further in Q3 with more new SM plants starting up in China. In the next few years several large new SM plants are expected to start up, likely to further decrease demand for imports. Another major petrochemical market, paraxylene, is on the threshold of some major changes with new production capacities starting up in the Middle East, Southeast Asia, and most importantly in China, the key importing country in the world. However, the start-up of the new Chinese mega-plants looks to be pushed back into 2019, likely to provide some temporary stability to the market in the second half of this year. Margins for PX production have also surged recently as also the new plants in the Middle East and Southeast Asia have faced delays. Will this trend continue, or will PX margins narrow again sooner rather than later? For further insights into these matters, and much more, download the Asia petrochemicals H2 outlook report. Until next time on the Snapshot - we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-08-21T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/082018-industrial-unrest-rattles-oil-production</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-20T08:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=C5czpFz4CxUkRfFgv3ZyWq</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/18-pl-08615-market-movers-europe-8_20_thumbnail.00_04_36_01.still008.jpg</video:thumbnail_loc><video:title>Market Movers Europe, August 20-24: Industrial unrest rattles oil production; Germany ponders its power future</video:title><video:description><![CDATA[In this week's Market Movers: Industrial unrest rattles oil production; Germany ponders its power future; olefins production heats up as weather cools. In the North Sea, a fifth day of strikes by the Unite trade union takes place Monday at Total's oil and natural gas platforms, with more set to come; and further afield, market watchers will be keeping a close eye on potential trouble spots around the Mediterranean. While the hot European summer has turned up the heat on Germany's coal commission ahead of its third plenary meeting this Thursday, now temperatures have fallen back, petrochemical companies are expected to raise their operation rates gradually after weeks of low runs. This is expected to raise olefins supply in in the region. Elsewhere, in gasoline, European prices have risen after unusually strong export demand from Asia and the Middle East caused by a flurry of refinery issues and tightness in the market is set to continue this week. Finally, in Turkey, the lira may have stabilized somewhat after its recent plunge, but the country's economic woes continue to reverberate across the metals, oil and petrochemicals markets. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: the summer is turning up the heat on Germany’s coal commission; demand for gasoline is unexpectedly robust; and Turkey’s economic woes are still reverberating. But first: in the North Sea, a fifth day of strikes by the Unite trade union takes place Monday at Total's oil and gas platforms. The strikes, which center on the three-week stints Total wants its offshore workers to accept, have been going on for a month -- and more are set to come. The company is apparently considering Unite's latest proposals, but there is no sign of a breakthrough yet. There are also rumblings of discontent among workers elsewhere in the North Sea, notably at the Culzean gas project. Further afield, market watchers will be keeping a close eye on potential trouble spots around the Mediterranean. Workers at Libya's Zawiya oil terminal have been planning protests that could undermine a recent recovery in the country’s output to over 1 million barrels a day. The hot summer has turned up the heat on Germany's coal commission ahead of its third plenary meeting this Thursday. The debate about how to exit generating power using coal is intense – and this summer's heat wave could boost voices within the commission calling for more urgent action on coal closures. Less coal generally means more gas, but debate here is also intense because of the planned Nord Stream 2 pipeline. Chancellor Angela Merkel hosted Russian President Vladimir Putin on Saturday, demanding Russian guarantees to continue gas transit through Ukraine after the end of 2019, when the 55 billion cubic meters a year pipeline is expected to come online. S&P Global Platts Analytics says growing gas demand caused by the exit from nuclear and coal coupled with dwindling European gas production suggests there could be room for both, with plans for a German LNG terminal also edging forward. The hot weather may have boosted German power generation, but it caused European ethylene crackers to reduce operations. Now temperatures have fallen back, petrochemical companies are expected to raise their operation rates gradually after weeks of low runs. This is expected to raise olefins supply in Europe. Moving to gasoline, the European market is likely to be tight this week. European prices have risen after unusually strong export demand from Asia and the Middle East caused by a flurry of refinery issues. Recently, India's Reliance Industries declared its fluid catalytic cracking units at Jamnagar were undergoing a short shutdown, expected to last around two weeks. And Saudi Arabia’s YASREF shut its continuous catalytic reformer last week, halting gasoline production. Historically, by the middle of August, prices start to fall as the summer driving season draws to a close. But as you can see from this chart, prices have remained high this year. Over the coming weeks, demand for gasoline from Asia is likely to remain high, with market participants noting strong demand due to the Haj pilgrimage in Saudi Arabia. The Turkish lira may have stabilized somewhat after its recent plunge, but Turkey’s economic woes continue to reverberate. The steel industry has not been able to take advantage of a weak domestic currency and export to Europe after additional duties on steel and aluminum imports to the US took effect a week ago. This is mainly due to Turkey’s need to import its raw materials on a dollar basis. Uncertainty over steel exports to Europe is expected to continue. The collapse of the lira also threatens to curb Turkish oil demand. The economic uncertainty also means the use of plastics for construction is expected to take a hit. The effect of any reduction in Turkish petrochemicals consumption will extend beyond its borders. Turkey is the largest market for PVC from the EU. Turkish markets are expected to slow down this week due to the Eid al-Adha holidays. Thanks for kicking off your week with us, and have a great week ahead.]]></video:description><video:publication_date>2018-08-20T08:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>04:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/082018-asia-lng-moc</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-20T06:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nufhP9WLohK1pmPHGjMUmu</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/methodology-video/20180802_moc_orders.jpg</video:thumbnail_loc><video:title>S&amp;P Global Platts explains Asia LNG Market On Close (MOC) process</video:title><video:description><![CDATA[S&P Global Platts published for the very first time a firm and transparent bid in its Asia LNG assessment process on June 13, 2018. Since then, Platts has been publishing transparent bids, offers and trades in the LNG Market on Close process from several market participants on an almost daily basis. This level of transparency is rare in LNG trading. Kenneth Foo , LNG price assessment team leader, and Gurdeep Singh , senior specialist for methodology development, explain the Asia LNG MOC process, what it means for the broader market as well as for the Platts assessment of the JKM benchmark.]]></video:description><video:publication_date>2018-08-20T06:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>7:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/082018-lng-japan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-20T03:17:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fKA5idhBNu7Hui5eeyXivh</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/082018-lng-jowdy.jpg</video:thumbnail_loc><video:title>Japanese demand losses pose quandary for LNG</video:title><video:description><![CDATA[Just as Japanese LNG demand is starting in on a long-term decline trajectory, in part due to the restoration of nuclear power generation capacity, global supply is set for another major incremental volume push. Madeline Jowdy , Senior Director, Global Gas and LNG for S&P Global Platts, examines the issues in the market. Related podcast: How the US-China trade war could reshape the LNG market Insight: US-China trade war raises concern LNG exports may feel the chill]]></video:description><video:publication_date>2018-08-20T03:17:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/market-movers-asia-aug-20-24-us-china-resume-trade-talks-supply-disruptions-impact-gasoline-alumina-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-20T02:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NfBaT884AeLGqrKhptUd5w</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/market-movers-asia-082018.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Aug 20-24: US, China resume trade talks; supply disruptions impact gasoline, alumina prices</video:title><video:description><![CDATA[Trade talks between the US and China are set to resume this week in Washington, just before the next round of levies targeting $16 billion worth of goods kick in on August 23. Market participants are hoping that talks will help to ease the ongoing trade tensions between the two countries. In oil, market participants are waiting for news on when India’s Reliance Industries will lift the force majeure from its export-oriented refinery in Jamnagar, which shut its fluid catalytic cracker. This comes at a time when several refineries and turnarounds in Asia have squeezed supply while demand remains strong, with buyers securing pre-winter supply. Alcoa workers in Western Australia voted to continue their industrial strike indefinitely , while output rates in Brazil and Jamaica remain below capacity. The S&P Global Platts Australian alumina price rose 3.4% in the past week, and was up 17% month on month due to continued supply concerns. In agriculture, market participants expect Australian premium white wheat prices to remain supported in the near term as farmers remain reluctant to forward sell in view of relatively lower production figures for the 2018/2019 marketing year. And in thermal coal, restocking begins in India as the monsoon season comes to an end. The Chinese market, on the other hand, is on an extended pause as the yuan’s volatility has been eroding Chinese importers’ buying power. View Full Transcript This week: Asia gasoline price rallies, workers’ strike at Alcoa’s Australian operations continues, and Indian thermal coal buyers’ restocking activities begin. But first, trade talks between the US and China are scheduled to resume this week in Washington, just before the next round of levies targeting $16 billion worth of goods kick in on August 23. Market participants are hoping that talks will help to ease the ongoing trade tensions between the two countries. Is this the beginning of the end of the trade war? Share your thoughts on Twitter with the hashtag PlattsMM. In oil, all eyes are on gasoline, after its price rallied to one-year highs last week on supply disruptions. Market participants are waiting for news on when India’s Reliance Industries will lift the force majeure from its export-oriented refinery in Jamnagar, which shut its fluid catalytic cracker. This comes at a time when several refineries and turnarounds in Asia have squeezed supply while demand remains strong, with buyers securing pre-winter supply. Supply concerns are also what’s keeping alumina prices up. Alcoa workers in Western Australia voted to continue their industrial strike indefinitely, while output rates in Brazil and Jamaica remain below capacity. The S&P Global Platts Australian alumina price rose 3.4% in the past week, and was up 17% month on month due to continued supply concerns. Will alumina continue to rally? And will China export volumes and prices rise further? Our metals team will keep you posted on that. In agriculture, the Australian premium white wheat hit new highs last week on strong demand and tight supply of old crop. Market participants expect APW wheat prices to remain supported in the near term as farmers remain reluctant to forward sell in view of relatively lower production figures for the 2018/2019 marketing year. And finally in thermal coal, restocking begins in India as the monsoon season comes to an end. The Chinese market, on the other hand, is on an extended pause as the yuan’s volatility has been eroding Chinese importers’ buying power. Some Australian thermal coal cargoes have been deflected from the China market and are moving on to other destinations such as India, Europe, and Turkey. This shift has been seen displacing some cargoes from Russia and the US. Thanks for kicking off your Monday with us. Have a great week ahead!]]></video:description><video:publication_date>2018-08-20T02:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/h2-2018-outlook-asia-polyolefins-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-17T04:01:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JtU1HJUFiPmqgDPRRD3jL7</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/081718-h2-outlook-asia-polyolefins.jpg</video:thumbnail_loc><video:title>H2 2018 outlook: Asia polyolefins market </video:title><video:description><![CDATA[The Asian olefins market is expecting tightness in ethylene supply, and bearishness in the butadiene market. On the polymers side, polyethylene supply increase is expected to outpace the demand growth in Asia, while the region's polypropylene supply is seen to outstrip supply. Fumiko Dobashi , senior editor covering petrochemicals markets in Asia, has the details. Related special report: Asia Petrochemical Outlook H2 2018]]></video:description><video:publication_date>2018-08-17T04:01:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/interview-satvinder-singh-enterprise-singapore</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-14T03:59:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bLYHXm7Cq4K2JYULDaajgL</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/081318-interview-satvinder-singh-enterprise-singapore-l.jpg</video:thumbnail_loc><video:title>Interview: Satvinder Singh, Enterprise Singapore</video:title><video:description><![CDATA[Digitalization, pushing its local players to play a bigger role in global markets, and making its investment climate even more attractive are among factors that will help Singapore push ahead its next stage of growth in commodities and energy. Satvinder Singh , assistant chief executive officer of Enterprise Singapore, talks to Sambit Mohanty , senior editor at S&P Global Platts, about Singapore's plans to embrace the changing commodities and energy landscape. Related interview: Singapore unveils strategy for next wave of commodities, energy growth]]></video:description><video:publication_date>2018-08-14T03:59:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>12:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081318-turkish-lira-reaches-crisis-point</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-13T04:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vzcCWmnrkMAUYmsPuVj9Tk</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/18-pl-08614-market-movers-europe-8_13_thumbnail.00_00_03_24.still008.jpg</video:thumbnail_loc><video:title>Market Movers Europe, August 13-17: The Turkish Lira reaches crisis point; new US sanctions hurt Russia</video:title><video:description><![CDATA[In this week's Market Movers: The Turkish Lira reaches crisis point; new US sanctions hurt Russia; and Rhine water levels under renewed threat. US President Donald Trump ratcheted up the pressure on the lira by doubling the tariffs on imports of Turkish steel and aluminum due to what he called the poor relations between the two countries. Demand for scrap metal in Turkey is expected to fall further as the Lira increases input costs for buyers. Imports of polymers into the country are also slowing, with demand set to weaken even more. That brings us to our social media question of the week: Just how low can the Turkish lira go -- or will it bounce back? And why? Tweet us your thoughts with the hashtag #PlattsMM . On the other side of the Black Sea, we can expect reaction to the latest US sanctions against Moscow, which led to the ruble reach lows against the dollar last seen more than 2 years ago. OPEC publishes its monthly oil market report on Monday, while Total's oil and gas platforms continue to face strike disruption as unions and management struggle to reach a deal. Finally, temperatures are forecast to climb again in France and Germany, adding a potential fresh wave of pressure to trade routes along the Rhine and Rhone where water levels remain incredibly low. Meanwhile, European biodiesel prices fall even further due to supply being unable to leave the ARA region. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript In this week’s highlights: The Turkish Lira reaches crisis point; new US sanctions hurt Russia; and Rhine water levels under renewed threat. But first, In Turkey, the Turkish lira plunged to fresh record lows on Friday, shedding 18 percent on the day alone to more than six liras to the dollar after President Tayyip Recep Erdogan urged Turks to sell gold and greenbacks to help win what he termed an “economic war”. US President Donald Trump ratcheted up the pressure on the lira by doubling the tariffs on imports of Turkish steel and aluminum due to what he called the poor relations between the two countries. The lira’s tailspin means increasing problems for importers of raw materials and exporters of finished products in Turkey. Demand for scrap metal in Turkey is expected to fall further as the Lira increases input costs for buyers. Similarly, prices are forecast to flounder for finished metal products due to a fresh 50% tariff on steel and 20% on aluminum imports into the US. On the import side cement plants have already ceased their coal and petcoke procurement while more are likely to follow. Imports of polymers into Turkey are also slowing, with demand set to weaken even more. In the grains market, Turkish flour millers’ margins have pushed state grains agency TMO to release key wheat stocks months ahead of time. The number of coasters moving grains across the Black Sea from Russia to Turkey is expected to drop to less than 5 per week, versus 10 per day, a year ago. Nonetheless, TMO’s intervention in the market is likely to mean a fresh 200,000 to 300,000 metric ton wheat tender in the near future. This should support Black Sea wheat markets. That brings us to our social media question of the week: Just how low can the Turkish lira go – or will it bounce back? And why? Tweet us your thoughts with the hashtag #PlattsMM. On the other side of the Black Sea, we can expect reaction to the latest US sanctions against Moscow, which led to the ruble reaching lows against the dollar last seen more than 2 years ago. While this will help support lower prices in the grains markets, sentiment toward Russia in the oil industry is wilting. Arctic oil producer Gazprom Neft may give its views when it publishes its first-half results on Thursday. Staying with oil, OPEC, publishes its monthly oil market report on Monday, as a perfect storm of sanctions against Iran, subdued oil prices, and outages from Angola to Venezuela divide consensus within the group. The North Sea industry also faces trouble. Total’s oil and gas platforms, which supply the Forties crude pipeline, continue to face disruption as unions and management struggle to reach a deal, the latest strike happening on Monday. Temperatures are forecast to climb again in France and Germany, after a cooler and windier period, adding a potential fresh wave of pressure to trade routes along the Rhine and Rhone where water levels remain incredibly low. Power market traders will be on the lookout for new river-based generation restrictions and whether less water and wind will result in less hydro and wind power supply. In contrast, European biodiesel prices could fall even further due to supply being unable to leave the ARA region due to the low Rhine level preventing product flowing inland. That concludes this week’s Market Movers. Thanks for starting your week with us. Have a great week ahead.]]></video:description><video:publication_date>2018-08-13T04:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/081318-china-us-lpg-steel-lng-paraxylene</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-13T02:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qxFxPB8WgSKJyyViDapxZS</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/ep48_screengrab.jpg</video:thumbnail_loc><video:title>All eyes on China's 'blue skies' announcement; Chinese LPG buyers seen to keep reselling US-origin cargoes</video:title><video:description><![CDATA[As the US-China trade war continues, Chinese LPG buyers are expected to continue reselling their US-origin cargoes , while taking in barrels from elsewhere. This move is seen to push up prices for non-US LPG for prompt delivery in the coming weeks. The LNG industry also continues to assess the impact of a potential 25% Chinese tariff on US LNG imports . If imposed, the tariff could affect future Atlantic-Pacific trade flows, and provide a lift to near-term Asian LNG prices. Meanwhile, the steel and metals markets are waiting for an official announcement on whether China will suspend more steel capacity in the coming winter heating season. An analysis jointly published by S&P Global Platts and S&P Global Market Intelligence outlines the "2+42" cities that are likely to be affected. In petrochemicals, margins for paraxylene producers from CFR Japan naphtha hit a near two-year early this month and market participants expect the bull run to continue for another two weeks, until the September futures contract expires. View Full Transcript This week, markets are watching for details of China’s "blue-sky" campaign, early winter LNG procurements, and margins for paraxylene producers. But first, an update on the US-China trade war: Chinese LPG buyers will likely continue reselling their US-origin cargoes, while taking in barrels from elsewhere, ahead of a 25% additional tariff on US LPG imports from August 23. The move is expected to push up prices for non-US LPG cargoes for prompt delivery in the coming weeks. Our sources say Chinese importers are already willing to pay an extra 5 dollars to 10 dollars per metric ton for non-US origin LPG cargoes due to limited availability. This comes after China last week announced retaliatory tariffs on an additional $16 billion worth of US imports, including propane, butane and oil products, in a new list of affected goods. The LNG industry is also continuing to assess the impact of a potential 25% Chinese tariff on US LNG imports. If imposed, the tariff could affect future Atlantic-Pacific trade flows, and provide a lift to near-term Asian LNG prices. Also in LNG, the market will keep a close eye on early-winter procurement by major northeast Asian end-users, who are sitting on reduced inventory levels due to the recent heat-wave across Japan and South Korea. Moving to metals, where there is a lot of talk about whether the Chinese government will suspend more steel capacity during the coming winter heating season. An analysis jointly published by S&P Global Platts and S&P Global Market Intelligence outlines the "2+42" cities that are likely to be affected. The market is waiting for an official announcement that is expected to be made any time soon. So for our social media question this week: Will Chinese steel mill margins hold up across the winter heating season? Share your thoughts on Twitter with the hashtag PlattsMM. And finally, in petrochemicals, margins for paraxylene producers from CFR Japan naptha hit a near two-year early this month. Market participants expect the bull run to continue for another two weeks, until the September futures contract expires. The bull run has also seen producers like Sinopec Jinling shelve plans for maintenance at the end of the third quarter, to capitalize on the profitable spread to naphtha. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-08-13T02:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/080718-eex-ceo-says-european-power-market-confidence-returned-h1-after-2017</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-07T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=p7MYBnFQCsU7VpVsyRXKLL</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/080718-eex-ceo-says-european-power-market-confidence-returned-h1-after-2017-peter-reitz.jpg</video:thumbnail_loc><video:title>EEX CEO says European power market confidence returned H1 after 2017 dip</video:title><video:description><![CDATA[Platts Insight Conversation with EEX CEO Peter Reitz : S&P Global Platts European power editor Andreas Franke talks with the head of the world's biggest electricity exchange EEX about the Brexit impact on energy trading, US expansion plans, the future of power and natural gas trading in Europe and if blockchain will revolutionize energy trading any time soon.]]></video:description><video:publication_date>2018-08-07T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>09:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/080618-oil-market-awaits-key-iea-report</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-06T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4UrEB8SM7Mm1H5GSXSbquP</video:player_loc><video:thumbnail_loc /><video:title>Oil market awaits key IEA report; hot weather headache for ethanol markets</video:title><video:description><![CDATA[In this week's Market Movers: Oil market awaits key IEA report; falling Rhine levels cause logistical concerns for commodities; hot weather headache for ethanol markets. Trade to and from Iran in steel and aluminum products, gold, precious metals, graphite and coal will now be subject to the secondary US sanctions. How will these sanctions impact commodities markets? Tweet us your thoughts with the hashtag #PlattsMM . The oil market will be keeping a close eye on Friday’s monthly report from the IEA. It comes as higher oil production from Russia and Arab Gulf states offsets output problems elsewhere within OPEC. Finally, the European petrochemical market is looking with trepidation at falling water levels on the Rhine, a key transport artery in Northwest Europe. Meanwhile, the hot weather is also having a knock-on impact on biofuels, with ethanol looking set to continue its rise on prompt dates, propelled even higher by bullish feedstock prices. View Full Transcript In this week’s highlights: the oil market looks out for a key report from the IEA; falling water levels on the Rhine are causing logistical issues for commodities in Northwest Europe ; and the hot weather threatens to cause a headache for ethanol markets. But first: Effective today, the US is reimposing a raft of sanctions on Iran. It comes after that, in May, the US pulled out of the Iran nuclear deal, formally known as the Joint Comprehensive Plan of Action. The move is set to hit Iran’s markets worldwide, with these sanctions impacting metals and minerals trade with the Islamic Republic. Trade to and from Iran in steel and aluminum products, gold, precious metals, graphite and coal will now be subject to the secondary sanctions. Some EU countries have become increasingly important business partners for Iran since sanctions were lifted in late 2015. This is expected to affect, among others, equipment makers including Italy’s Danieli, Germany’s SMS and France’s Fives, which have invested in major new metals projects in Iran in recent years. That leads us to this week’s social media question: How will US sanctions on Iran impact commodities markets? Tweet us your thoughts with the hashtag #PlattsMM. And now, oil market participants will be keeping a close eye on Friday’s monthly report from the International Energy Agency. It comes as higher oil production from Russia and Arab Gulf states offsets output problems elsewhere within OPEC. Tensions persist, however, over Saudi crude shipments. Shipping through the Strait of Bab al-Mandeb, between the Gulf of Aden and the Red Sea, has been affected following recent attacks on crude carriers. Meanwhile, the European petrochemical market is looking with trepidation at falling water levels on the Rhine, a key transport artery in Northwest Europe. Logistics costs have been rising as barge loading capacities are being constrained due to the low water levels. Water levels fell to just 75cm last week at the critical Kaub chokepoint in Germany and are expected to keep falling, with the hot weather set to continue. Both barge and lorry markets will be feeling the squeeze as market players look to move their material by any means. The only relief so far has been a drop in demand across many products due to the European summer. The hot weather is also having a knock-on impact on biofuels. This week, ethanol looks set to continue its rise on prompt dates, propelled even higher by bullish feedstock prices. S&P Global Platts FOB Rotterdam benchmark has seen a significant rise recently, as feedstock prices have increased due to drought conditions across the continent. Front-month Euronext milling wheat futures hit a 51-month high last Thursday, while Euronext corn futures passed a 60-month high. As a result, ethanol production margins have retreated deeper into negative territory. The market is expecting some more strengthening on the prompt—however a backwardation has emerged in the market, with expectation that sugar-beet based ethanol will drive up stocks further along the curve. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-08-06T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/080618-china-us-lng-tariffs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-06T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ruxkdDSHN1KFPp5FQZpZf2</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/market-movers-asia-080618.jpg</video:thumbnail_loc><video:title>China threatens 25% retaliatory tariff on US LNG; key routes raise hopes for Capesize vessel owners</video:title><video:description><![CDATA[The US-China trade war continues to escalate. On Friday, China said it may impose a 25% tariff on US LNG if President Donald Trump follows through on his threat to escalate the trade dispute with Beijing that he initiated. In oil, China is expected to release its preliminary import and export data for July on Wednesday. Exports hit a six-month low in June and are expected to be steady or lower in July due to limited quota availability. Still in oil, crude oil traders await the release of Jakarta’s official selling prices after a revision to the Indonesian Crude Price formula from July. Under the new formula, the gross product worth of crude grades, or their prices based on product yields, will now be taken into account. In shipping, vessel owners are optimistic on the back of rising rates for key routes for Capesize ships. Brazil and South Africa to China iron ore routes have posted multi-year highs, which are expected to continue this week with strong demand from the Atlantic market. View Full Transcript This week: markets watch for China’s oil data, rates on key routes for Capesize ships seen high and bearish signals emerge in coal markets. But first, China said it may impose a 25% tariff on US LNG if President Donald Trump follows through on his threat to escalate the trade dispute with Beijing that he initiated. Cheniere Energy holds the only major firm long-term sales agreements so far between a US exporter and a Chinese buyer. More commercial deals with China will be needed to finance projects under development. Tariffs could make those contracts more expensive. And this could prompt Chinese buyers to seek supplies from elsewhere. So for our social media question this week: Do you think China will indeed impose a 25% tariff on US LNG? Share your thoughts on Twitter with the hashtag PlattsMM. In oil, China is expected to release its preliminary import and export data for July on Wednesday. Exports hit a six-month low in June and are expected to be steady or lower in July due to limited quota availability. China's crude imports meanwhile registered the first year-on-year drop for the year in June as independent refiners cut purchasing amid thin refining margins. However Platts trade flow tracker cFlow shows seaborne arrivals alone could rebound 11% on month in July. Still in oil, crude oil traders await the release of Jakarta’s official selling prices after a revision to the Indonesian Crude Price formula from July. Under the new formula, the gross product worth of crude grades, or their prices based on product yields, will now be taken into account. Indonesia had set the ICP for benchmark Minas grade lifted in June at 70 dollars and 73 cents per barrel, equivalent to Platts June Dated Brent at minus 3 dollars and 6 cents a barrel. In shipping, rising rates for key routes for Capesize ships are raising hopes for owners. Brazil and South Africa to China iron ore routes have posted multi-year highs, which are expected to continue this week on the back of strong demand from the Atlantic market. Brazil is hoping to load record shipments to make up for the rainy Q1 -- and looks on track to do so. Brazil's outflow has pushed up Tubarao to Qingdao Capesize rates to the highest since November 2014. Leftover cargoes with prompt dates will certainly do no harm to the shipowners' cause. The Saldanha Bay to Qingdao route was assessed just 40 cents/wmt shy of the four-year high. And owners are optimistic that gains will continue this week. In coal, bearish signals are back, and market participants are expecting a downward correction will begin soon for Newcastle grades. Demand for Newcastle 6,000 NAR coal, popular in Japan for power generation, starts to fade once high summer temperatures pass, while demand for Newcastle 5,500 NAR coal, which mainly goes to China, is weak as import restrictions have resulted in long queues of vessels and delays at Chinese ports. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-08-06T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/080318-an-interview-with-tony-durrant-ceo-of-premier-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-03T09:30:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9o92fpVWTUPCoCLgqBPvca</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/080318-an-interview-with-tony-durrant-ceo-of-premier-oil-nick-coleman-tony-durrant.jpg</video:thumbnail_loc><video:title>An interview with Tony Durrant, CEO of Premier Oil</video:title><video:description><![CDATA[Premier Oil chief executive Tony Durrant talks to S&P Global Platts senior editor Nick Coleman about the changes underway in the North Sea and why the industry has nothing to fear from the exit of the oil majors, or from Brexit. Durrant also discusses Premier's ground-breaking oil project in the Falkland Islands, known as Sea Lion, which he expects to get the go-ahead next year. Related news: Interview -- North Sea industry can thrive without majors: Premier CEO View Full Transcript NICK COLEMAN: Hello my name is Nick Coleman, senior editor for oil news at S&P Global Platts and we're here for a Conversation with Tony Durrant, CEO of Premier Oil, one of the UK's leading upstream oil and gas companies. Premier has much of its production in the North Sea, and some big projects in Mexico, the Falkland Islands and Vietnam. Do recent strikes in the North Sea signal an upsurge in industrial strife? TONY DURRANT: It arises really out of the Total purchase of the Maersk assets in the North Sea and the fact that therefore there are two sets of t and cs and there is a negotiation going on between Total and the workforce as to which set of conditions will go forwards. That is a fairly specific case. In Norway where there has been some recent strike activity it was settled by negotiation. So far I think it's fairly specific rather than any general trend in the relationship with the workforce. NICK COLEMAN: Why would anyone invest in the declining North Sea? TONY DURRANT: The UK on most people's estimates is something like two thirds of the way through its producing life, having produced having produced about 40 billion barrels out of a possible 60 – 20 billion barrels is a lot of life left in the UK. What you have seen as the province becomes more mature is that it becomes less material for the bigger companies. I think over the next one to two years there will be more and more examples of the majors, the bigger companies in effect selling assets to mid-cap companies like ourselves for whom the UK is still very material and there are many many opportunities. It's not just frankly that the majors are selling, it's that over a period of time now, maybe as much as five years, they've not been actively investing in opportunities. For us, first of all we have some growth opportunities in our portfolio already. Secondly we see the opportunity to take on assets that the majors are really not investing in and still plenty of life in those assets for the future. NICK COLEMAN: What about Premier's North Sea investment plans beyond the Tolmount gas project? TONY DURRANT: We've actually as Premier taken that decision, at our June board meeting. All the approval processes are now under way both with our jv partners and indeed with the govt. We expect to be signing crucial contracts in August and work commencing in earnest at that point. Tolmount: very exciting project for us, material for us. These projects can be material for us even if they're not material for the majors. That will provide a long life gas production stream for us and our partners over a long period of time. Finding new oil projects in the UK North Sea, and I should probably except WoS from this, which is under-explored. But in the CNS, in the NNS, the traditional oil producing areas of the UK North Sea it is tough, because the exploration is very mature. Where I think there is lots of life again material for us is in incremental reserves surrounding existing projects, surrounding existing infrastructure. The Catcher field, which we brought on stream last Dec, doing very well today, but the Catcher field is surrounded by a number of prospects and discoveries which were not part of the initial development. They are probably not material, certainly not in terms of the majors. But the infrastructure is in place. We should be able to bring on incremental reserves, incremental production in the area around Catcher. By the way the same is true of Tolmount. That will be incremental gas in the future. In the short and medium term our attention beyond our existing fields is going to be focused on bringing additional resources in in what you might call near field areas. NICK COLEMAN: Do you share concerns about the handover of pipelines such as Forties and other infrastructure from the majors to smaller less established players? TONY DURRANT: Ineos the new owner of the pipeline system, the example you refer to, were extremely responsible and extremely responsive to all their customers -- people like ourselves when there was a small crack that developed in the Forties pipeline system. I would have no qualms about Ineos and the way that they've operated the Forties pipeline system since taking over from BP. Some of the major infrastructure pipelines are being handed over to what you might call financial investors, infrastructure funds, and that I think is a trend that we shouldn't fear at all. Those infrastructure funds have a very low cost of capital. We saw only in the last week a Kuwaiti fund buying in with a very low cost of capital to infrastructure. From the oil industry's pov particularly if you're a mid-cap independent, it's a very value adding process for an infrastructure fund who is interested in a utility type return to own some of the infrastructure that we're utilizing. We can then focus on development drilling, the addition of reserves, the sub surface, which is our natural skill set if you like (and pay the infrastructure utilities a rate of return which they will seek over a longer period of time.) I actually think it's a very positive thing for the independent sector for the mid caps and not at all a bad thing for the UK industry as a whole at this stage of its life. NICK COLEMAN: Should aging pipelines and platforms be replaced with a more dynamic system based on floating infrastructure? TONY DURRANT: We do need to get our product to market, and pipelines are still very often the most productive way of doing that. Floating production where the infrastructure can be moved from a shorter life field onto another shorter life field in the future I think is a very important part of the UK North Sea going forward. We happen to be focused on floating production, we have nine floating production fields around the world, six of which we operate, our Catcher field in the UK North Sea is a new FPSO so that suits us very well. In the longer run when it comes to abandonment of those facilities frankly it is a lot cheaper and easier to abandon a floating production system than one that is fixed in the ground. From our point of view as a mid-cap that reduces our long term exposure to abandonment costs. NICK COLEMAN: Are you concerned about UK government instability and Brexit upheavals? TONY DURRANT: In the spectrum of industries that are the focal point of lots of discussion the oil industry is relatively immune to Brexit in the sense that we're a dollar revenue industry. We have mostly dollar costs, we borrow in dollars. We don't have the foreign exchange exposure to euros that many other industries have. On the regulatory side frankly the UK North Sea invented safety cases and other regulatory regime elements. And we've given those to the rest of the world. We've been operating under UK standards, if anything those standards have been exported both to Europe and the rest of the world. The direct impact of Brexit I think is relatively low on the oil industry. It is true of course that we will as an industry buy equipment from Europe from time to time and therefore the whole debate about tariffs, or free trade is relevant to us. But in general we are less exposed. We are a dollar industry that's been very well established in the UK over many years. I think though like every other businessman in the country we favor stability and certainty and predictability. Thus of course the uncertainty that we're all reading about and seeing in the newspapers and elsewhere is not good. I do think the sooner we can get back to a more stable future the better for all businesses. NICK COLEMAN: Has the UK regulatory revamp done its job? TONY DURRANT: It was 30 years ago since the Piper Alpha disaster, the UK regulatory system and the UK industry as a whole responded very dramatically as it needed to to the Piper Alpha disaster 30 years ago at the time. To an extent the UK and the companies operating there have continued to lead the world in safety and regulation. NICK COLEMAN: Does Premier expect to make faster progress on the Falklands Sea Lion project and are there concerns about Argentinian opposition? TONY DURRANT: Like many other offshore projects especially in new areas there was a dramatic slowdown in the pace of the sanctioning of those projects largely driven by the oil price. Very few projects of that nature got sanctioned during the let's say 2014-17 period. Particularly where you have a new oil field in a new basin as we do have in the Falklands there are a certain amount of startup costs for the first phase. That puts the breakeven cost of our Falklands project somewhere in the low- $40s/b. Clearly when the oil price was below that we were not going to sanction that project. We're in a different world now. We can see our way forward to higher stable oil prices. The economics of that project now look good, attractive. We've used the time in effect to engineer the project. It's a very similar project in many ways to our Catcher project. We have some synergy across those projects. We're making good progress I would say on finalizing the engineering elements of the project. As Premier we have to raise the funds for that project and that's what we're very actively engaged in. That was also a feature of the last three years. Raising capital in our sector was challenging. There's been a noticeable change in the appetite of external investors – equity, debt, banks etc, for oil projects in the last 12 months, so we're pretty busy on that and remain hopeful that we can put a satisfactory financing package together for the Falklands. We've told everybody we would target year end this year for that, which would allow us to sanction the project sometime in 2019. There has been a lot written and talked about the relationship between the UK and Argentina in respect to the Falklands and indeed of future hydrocarbon production in the Falklands. The reality is that the relationship between the UK and Argentina has improved immeasurability in the last few years. There have been many areas of discussions between the two governments, future trade arrangements for example. My impression is that the Falklands is really not very high on the list of topics being discussed between the two governments, and that's fine with us because we'd just like to get on with the project.]]></video:description><video:publication_date>2018-08-03T09:30:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>15:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080318-china-steel-industry-update</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-03T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9SV7CvJkMAD7enRa2PyKHY</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/080318-china-steel-industry-update-t.jpg</video:thumbnail_loc><video:title>China steel pulse check: Industry in robust health</video:title><video:description><![CDATA[Amid all the talk of a "trade war" with the US, China's steel production and demand continues apace, capacity utilization restrictions notwithstanding. Beijing's "proactive" fiscal policy will support the economy through any adverse impact from the US tariffs, and should ensure the all-important property construction sector remains strong over the remainder of 2018. Related blog post: Don’t hold your breath — 2+42 Chinese steel-producing cities]]></video:description><video:publication_date>2018-08-03T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/2018-brent-crude-oil-volatility-august-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-02T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sBW4uvt982TweCuNuWZ72Y</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/080218-brent-crude-oil-volatility-outlook-vl.jpg</video:thumbnail_loc><video:title>2018 Brent crude oil volatility: August outlook</video:title><video:description><![CDATA[Quantitative analyst Vito Turitto on how the uptrend in Brent crude oil prices accelerated in late July in part due to increased geopolitical risk factors -- including escalating tension between US and Iran -- with the latter threatening to block the key choke points at the Strait of Hormuz, and healthy buying pressure felt from the Far East. However, summer demand is good, with the looming refinery turnaround season in Asia likely to limit the volumes of crude purchased by Chinese clients, which will undoubtedly affect prices during August. View Full Transcript Welcome to The Snapshot -- our series which examines the forces shaping and driving global commodities markets today. The large drop in North Sea grades prices, although exacerbated by an aggressive selling pressure coming from speculative positions, was favored by an overhang of oil caused by sluggish South Korean and Chinese demand, American barrels still circulating in Europe and increased competition from Urals. The lack of Far East arbitrage caused several STS offers to be thrown into the market and the looming maintenance period in Asia certainly did not help to sustain prices in the first half of July. Things started to change around July 24 when some cargoes got booked to deliver oil in the East as a consequence of an extremely cheap EFS. The buying pressure on BFOE grades was also helped by a revival of domestic demand which contributed to absorb a good chunk of the floating barrels but the fact that Saudi Aramco suspended its oil shipments through the Bab el-Mandeb Strait in the Red Sea has, without a doubt, contributed to push North Sea crude prices up. Hence, the Dated Brent CFD forward curve remained in contango in the first half of the month but, in the second half, its prompt got in backwardation thanks to the renewed buying pressure. Internationally, the market sentiment changed from bearish to bullish on July 19 when the Saudi energy ministry reported that the "accusation that Saudi Arabia and its allies were aiming to substantially oversupply the market were without basis" and added that OPEC and non-OPEC producers were collaborating to "stabilize" the market. The uptrend in Brent prices accelerated over the last trading days of July also thanks to increased geopolitical risk factors like the escalating tension between US and Iran, with the latter threatening to block the key choke points at the Strait of Hormuz. The Volatility Premium averaged negative 26.3, over the month of July, which is significantly lower than its 3-month and 6-month values indicating that probably there will be a market correction in the short term followed by an uptrend. The Probability Distribution analysis shows that the Dated Brent monthly volatility closed the month trading above its equilibrium point so it is probable that the volatility will tend to move back down towards the 20-25% range where it has a more than 31% chance to stay. The drop in volatility will favor an uptrend in prices, although quick market retracements should be expected. Finally, the Volatility Cones analysis confirms that the monthly figure of the current volatility curve is too high implying that the fluctuation rate will likely soften over the next weeks favoring a gradual uptrend of Brent prices. Nevertheless, price retracements, particularly in the short term, should not be ruled out. Until next time on the Snapshot -- we'll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-08-02T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080218-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-02T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sBW4uvt982TweCuNuWZ72Y</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/080218-brent-crude-oil-volatility-outlook-vl.jpg</video:thumbnail_loc><video:title>2018 Brent crude oil volatility: August outlook</video:title><video:description><![CDATA[Quantitative analyst Vito Turitto on how the uptrend in Brent crude oil prices accelerated in late July in part due to increased geopolitical risk factors -- including escalating tension between US and Iran -- with the latter threatening to block the key choke points at the Strait of Hormuz, and healthy buying pressure felt from the Far East. However, summer demand is good, with the looming refinery turnaround season in Asia likely to limit the volumes of crude purchased by Chinese clients, which will undoubtedly affect prices during August.]]></video:description><video:publication_date>2018-08-02T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/080118-platts-expanding-us-gulf-coast-export-crude-oil-assessments</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-08-01T12:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zsQ1ks96k1BUmXivaUuHpA</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/methodology-video/080118-platts-expanding-us-gulf-coast-export-crude-oil-assessments-vl.jpg</video:thumbnail_loc><video:title>S&amp;P Global Platts expanding US Gulf Coast export crude oil assessments</video:title><video:description><![CDATA[S&P Global Platts is expanding and refining its assessments for crude oil exported out of the US Gulf Coast. In this video, Houston-based Richard Swann and Matt Cook discuss the rapid growth in US crude exports and how Platts is updating its slate of assessments to adapt. Your feedback is important to us. Please send suggestions, questions and comments to Americas_crude@spglobal.com]]></video:description><video:publication_date>2018-08-01T12:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/073118-platts-launches-new-container-bunker-charge-assessments</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-31T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DDtxASsbQfeR8KrMtwRWQu</video:player_loc><video:thumbnail_loc /><video:title>S&amp;P Global Platts launches new container bunker charge assessments</video:title><video:description><![CDATA[Platts is proud to announce that its shipping division has entered the market as a provider of container freight assessments. These new daily $ per FEU indexes aim to provide the industry with an efficient pricing tool to aid in freight contract negotiation and hedging against bunker price volatility. In this Methodology video, Platts president Martin Fraenkel and editorial director for global shipping and freight, Peter Norfolk , explain why Platts is entering the container space and the market needs that the new container freight assessments are addressing. Platts invites everyone with exposure to container freight to register for Platts web container app at: containers.plattslabs.com . View Full Transcript Intro from Martin Fraenkel: Hello everyone and welcome to the latest edition of S&P Global Platts Methodology video. We are proud to announce that Platts Shipping division has entered the market as a provider of Container freight assessments. These new daily $ per FEU indexes aim to provide the industry with an efficient pricing tool to aid in freight contract negotiation and hedging against bunker price volatility. So, today I’ve asked our Global Director for Shipping and Freight, Peter Norfolk to discuss these assessments and their intended role in the container market. Hi Peter and thanks for being here today. Could you explain why Platts is entering the container space and what are the market needs that the new container freight assessments are addressing? Peter: Thanks very much Martin. The global container industry is huge – in excess of $4 trillion worth of goods will be shipped using containers in 2018. Almost everything we use on a daily basis ends up in containers at some point. We’ve observed that there is a lack of transparency in all-inclusive container freight pricing, which can lead to a lack of trust in negotiations and shows the need for independent pricing. On top of that, container market participants have massive exposure to bunker prices, which is particularly apparent given recent rises in oil prices, as well as the upcoming International Maritime Organisation regulations which will lower its global marine fuels sulfur limit to 0.5% in 2020. Until earlier this year, many container market participants used bunker surcharge assessments published by the Transpacific Stabilisation Agreement, which was a useful formula to calculate bunker charges using Platts bunker prices. The TSA folded earlier this year so we have now launched bunker charge assessments which sit alongside our all-inclusive freight per box assessments. These bunker charge numbers show costs per container on a dollar per FEU basis. Martin: Presumably there are many variables involved in calculating bunker surcharges on container routes. You have to consider bunker prices in various ports, speed and consumption of the vessel and so on. How do Platts assessments take these variables into account? Peter: Firstly, we publish all-inclusive $/FEU freight assessments which are arrived at via our daily survey of market participants. Bunker charge assessments are published for key routes and take into account the variables that you mention. These are arrived at via consultation with the market, assuming the most representative trades on those routes. And our calculations are directly fed by Platts bunker prices, which will include upcoming 0.5% sulfur fuel assessments , once IMO 2020 is in force. Martin: Platts primary mission is to ensure transparency and efficiency in commodity markets. How will these container assessments contribute to achieving that goal? Peter: With these assessments there is no need for different, confusing bunker adjustment formulas that often drag down negotiations between carriers and their clients. Instead, industry players have an unparalleled flexibility to track their exposure to bunkers straight up in $/FEU and conclude their contracts against independent, transparent indexes. The flexibility is unparalleled as you can choose the index that you prefer. Whether it would be all-inclusive freight, bunker charges or bunker excluded assessments and since assessments are daily, players can choose any date ranges and averages as a base for their contracts. Weekly, monthly, quarterly or even customized ranges. Martin: And I guess more good news is that industry players can have unlimited access to these assessments in order to test them? Peter: That’s right. These numbers are freely available online and on the mobile app, which also contains news and relevant market information. We’d like to invite market players, including carriers, retailers and other end users and logistics providers to try it out. As always with Platts, any feedback will be taken into account to make these assessments even better in the future. Martin: Thanks for this Peter! And we invite everyone with exposure to container freight to register for Platts web container App, using the following link to test this new tool. Join us next time for more market updates: containers.plattslabs.com.]]></video:description><video:publication_date>2018-07-31T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>05:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/073018-saudi-arabia-oil-russia-wheat</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-30T09:55:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dcvRZgP1xbwUy9mQJ2MqN1</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-europe/20180730_russia.jpg</video:thumbnail_loc><video:title>Market Movers Europe, Jul 30-Aug 3: Red Sea in focus after VLCC attack; results season continues for oil majors</video:title><video:description><![CDATA[Oil markets will be keeping a close eye on the Red Sea after Saudi Arabia halted all shipments through the Bab el-Mandeb strait, following an attack on two of its very large crude carriers last week. The market will be looking for signs of whether the Saudis will reconsider their decision as the situation calms down. Elsewhere, results season for major oil companies continues this week. BP is set to report on Tuesday and Austria’s OMV on Thursday. Results so far from the sector have mostly shown higher earnings following the jump in oil prices this year. Meanwhile, grains traders will be looking for signs of if and when Russian high protein wheat prices will hit $300/mt after the weather reduced the yield of good quality grain -- boosting the premium for high-protein wheat. Piers de Wilde talks about these and other updates on Platts Market Movers. View Full Transcript In this week’s highlights: Oil markets await BP’s results; Russian high protein wheat prices poised for further gains; and coal traders eye low Rhine water levels. But first: Oil markets will be keeping a close eye on the Red Sea this week, as Saudi Arabia halted all shipments through the Bab el-Mandeb strait, following an attack on two of its very large crude carriers last week. The strait is a key chokepoint for shipments between Europe and Asia via the Suez Canal. The market will be looking for signs of whether the Saudis will reconsider their decision as the situation calms down. Elsewhere, results season for major oil companies continues this week, with BP set to report on Tuesday and Austria’s OMV on Thursday. Results so far from the sector have mostly shown higher earnings following the jump in oil prices this year. Talking of jumps in prices, grains traders will be looking for signs of if and when Russian high protein wheat prices will hit $300 a metric ton after the weather reduced the yield of good quality grain -- boosting the premium for high-protein wheat. As you can see from the chart, prices have soared over $25 in the space of a month to around a 40-month high of over $220 a metric ton. That leads us to this week’s social media question: How much further will Russian high-protein wheat prices climb? Tweet us your feedback with the hashtag #PlattsMM. Russia will also be the focus of the aluminum market this week. Russian billionaire Oleg Deripaska has until Sunday to divest his shares in Rusal, one of the world’s largest aluminum producers. Deripaska is subject to US sanctions over his close links to the Kremlin. Rusal too has been hit hard by the sanctions because of Deripaska’s involvement. How the issue plays out could have a major impact on near-term aluminum and alumina supply. Physical premiums could react sharply depending on the outcome. And finally, European coal traders will be watching water levels on the Rhine. The water is so low barges have only been loaded at 75% of capacity. Power utilities have been paying around 1 to 2 euros a metric ton more for barge shipments. However traders say they are not worried for now because margins for coal-fired power generation are high enough to withstand this. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-07-30T09:55:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/073018-crude-oil-wheat-soybeans</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-30T03:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NxNt6atq236LrayuX7QbED</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/073018-t.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jul 30-Aug 3: Market watches movement of China-bound US crude cargoes; APW wheat price hits record high</video:title><video:description><![CDATA[The market continues to watch tanker movements to see where US cargoes, originally bound for China, end up. Platts ship tracking software cFlow showed last week that oil tankers laden with US crude that were initially headed to China appear to be diverting to other buyers. Market participants will also be keeping an eye on the Middle Eastern crude market structure after the second- and third-month Platts cash Dubai spread flipped into contango on ample supply . Kuwait recently introduced its new Extra Light grade to South Korean and Japanese refiners, while ADNOC said early this month that it would start providing full term contractual volumes to Asian customers. Meanwhile, the price of Australian premium white wheat hit a record high amid worries over the new crop yield. Traders said a forecast of drier-than-average weather for August-October triggered panic buying as consumers scrambled to secure supply, expecting new crop prospects to be lower. And still in agriculture, S&P Global Platts is launching three soybeans price assessments on July 31. Andrei Agapi , managing editor - agriculture, talks about this and other updates on Platts Market Movers. View Full Transcript This week, the Middle Eastern crude market structure flips to contango and the China to Southeast Asia methanol arbitrage remains strong. But first, in agriculture, Australian premium white wheat hit a record high of $268.50/mt on July 26 amid worries over the new crop yield. Traders said a forecast of drier-than-average weather for August-October triggered panic buying as consumers scrambled to secure supply, expecting new crop prospects to be lower. Despite the strong bid levels, farmers in Australia have been reluctant to forward sell amid a lack of confidence. The market expects the price uptrend to continue on strong demand, while growers remain in the sidelines waiting for further clarity on new crop conditions. Still in agriculture, positive news for US farmers is giving Chicago futures a boost. This includes a 12 billion dollar temporary aid package and President Donald Trump’s announcement that the EU has agreed to buy more soybeans from the US. But all the bullish news for US farmers is having a negative impact on imported beans to China. CFR basis levels still remain in the low 300 cents/bushel range for September shipment from Brazil, and buying prospects are also poor. With low crush margins, buyers prefer to wait out the market highs. Watch for more price information on soybeans as Platts launches CFR China and FOB Brazil assessments on July 31. In oil, market participants will be keeping a close watch on the Middle Eastern crude market structure after the second- and third-month Platts cash Dubai spread flipped into contango on ample Persian Gulf supply. Kuwait recently introduced its new Extra Light grade to South Korean and Japanese refiners, while ADNOC said early this month that it would start providing full term contractual volumes to Asian customers. Asian refinery sources said they were hopeful that higher Q3 and Q4 supply and the bearish Dubai market structure will spur a series of cuts in major Middle Eastern official selling prices going forward. Also in oil, the market continues to watch tanker movements to see where US cargoes, originally bound for China, end up. Platts ship tracking software cFlow showed last week that oil tankers laden with US crude that were initially headed to China appear to be diverting to other buyers. At least one tanker’s destination was alternating between South Korea, Japan and India. So for our social media question this week: Where will China-bound US cargoes end up amid the trade war? And finally, in the methanol market, the China to Southeast Asia arbitrage will likely remain strong this week, with active discussions heard from traders in both regions. East China, which traditionally imports methanol, is looking to export due to a combination of low domestic China prices and weak MTO demand. A weakening of the Yuan against the dollar also tips the scale in favor of exports. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-07-30T03:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>03:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/072718-platts-to-launch-seaborne-iron-ore-brand-assessments</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-27T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yBSSRzsuArxxcbgLaNBYve</video:player_loc><video:thumbnail_loc /><video:title>S&amp;P Global Platts to launch seaborne iron ore brand assessments</video:title><video:description><![CDATA[Following a period of market consultation, Platts will launch five iron ore brand assessments reflecting the tradeable value of the most liquid grades in the spot market. In this video Ciaran Roe , global metals pricing manager, describes the rationale and method to be used for these new assessments. For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request. Email us at: IODEX@spglobal.com and/or pricegroup@spglobal.com View Full Transcript Hello and welcome to this S&P Global Platts methodology video. On June 22, 2018, Platts published a subscriber note seeking market feedback on a proposal to launch five medium grade fines brand assessments. Following a period of market consultation, Platts will launch brand assessments on a fixed and floating price basis for the following iron ore brands: Pilbara Blend Fines Brazilian Blend Fines Newman High Grade Fines Mining Area C Fines Jimblebar Fines Two developments in iron ore prompted market participants to request Platts to launch brand assessments for seaborne iron ore: The growth in index-linked trade in the iron ore spot market: in fact, certain brands are almost wholly traded on a floating price basis against the monthly average of an index Brands’ differentials to the underlying index have become more reactive to changes in market dynamics, particularly to rapid changes in sinter feed preferences of Chinese steelmakers These brand assessments should add more clarity to how Platts is viewing the value of different, widely-traded brands in the spot market at a consistently-measured time of day (5.30pm, Singapore time). The assessments will not have any effect on the existing medium grade iron ore fines benchmarks published by Platts – IODEX and TSI-62%. IODEX / TSI-62% represents the tradeable value of medium grade fines each day; whereas brand assessments are specific to a certain brand of iron ore. Platts will use the same data hierarchy and data for its brand assessments as it does for its spot market assessments, where Platts collects spot market data from market participants across the supply chain. Transparency is prioritized in this data hierarchy. Transparency means: full details around a trade, bid or offer, and full knowledge of the counterpart(ies) involved in the piece of market information. In fact, Platts has been publishing notional brand values on a fixed and floating basis for some time. The difference between the notional values and the brand assessments is the timestamp, which will be 5.30pm for the brand assessments, whereas the notionals have been published at 3.45pm. Fixed price brand assessments will aid analysis of market dynamics, as witnessed in this graph, which shows the differential between Pilbara Blend Fines and Brazilian Blend Fines having turned on its head recently. This is an example of the changes in pricing dynamics that create the market need for an independent, third party assessment of the daily value of the largest medium grade iron ore brands. There are a number of factors that affect the value achieved in an index-linked trade. Timing is an important one. Timing in this context means: the time of day a trade is concluded; the estimated time of delivery of the cargo; the quotation period of the index-linked trade (i.e. whether the cargo is traded against August or September average of the index + a differential) Platts’ normalization procedures for the time of day include pricing against a timestamp each day (5.30pm Singapore time) to ensure consistency in its price assessments. For the estimated time of cargo delivery, Platts can normalize using the swaps forward curve to compare data on a like-for-like basis. For the quotation period, Platts has proposed to use a “base month” for its brand assessments. This will ensure that a change in quotation period from one cargo to the next should not distort the assessment value. Rather, Platts will normalize all indications traded against other quotation periods to the IODEX base month for its brand assessments. The base month mechanism will roll on the first working day of the month. Market feedback indicated preference for a simple mechanism that aligned with market practice. Here is an example of how the rolling mechanism will work: on September 3, the five floating price brand assessments will relate to the October average of the underlying index, best reflected by the October swap value. On October 1, the assessments will relate to the November average of the underlying index, and so on. Platts welcomes feedback on all aspects of the above, and please send feedback to the email addresses at the foot of the screen. Thank you for your attention during this Platts methodology video.]]></video:description><video:publication_date>2018-07-27T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072718-electric-vehicles-battery-metals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-27T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BDt6FyxCpFXjycKzD4kEHe</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/platts-snapshot/20180724_battery.jpg</video:thumbnail_loc><video:title>China's electric vehicle policy change hits battery metal prices</video:title><video:description><![CDATA[Global electric vehicle sales hit over one million units in 2017, with China contributing beyond half of the figures. Many expected the country could create a new record of 1.15 million units this year. But when the hype hits reality, sustainable development of the markets becomes the key, driven by evolving government policies. Metals editor Joyce Zhang discusses how 2018 new subsidy policy impacts EV and battery metals markets.]]></video:description><video:publication_date>2018-07-27T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/072318-north-sea-oil-workers-strike</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-23T07:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YzvTs8YQPQtBiyC7bisiHf</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Jul 23-27: Slew of Q2 results due from the world’s top oil companies</video:title><video:description><![CDATA[North Sea oil workers are due to launch a series of strikes Monday at Total's UK platforms, which could disrupt the production of tens of thousands of barrels of benchmark Forties crude. Meanwhile, corporate earnings season begins this week, with the big oil companies’ focus having been on maintaining spending restraint and repairing their balance sheets. Biofuels market participants will be closely monitoring the numbers this week. With water levels along the Rhine in Germany dropping recently, this is beginning to prevent full barge loading. In metals, the World Steel Association is this week expected to release global production figures for the first half of 2018, which leads us to our social media question: How will global steel output develop in 2018? Tweet us your thoughts with the hashtag #PlattsMM. Elsewhere, the European natural gas market will continue to look for ways to offset the effect on supply of the maintenance, which is now into its second week. The Nord Stream pipeline pipeline can transport as much as 55 billion cubic meters a year, but since last week flows have been zero. Finally, While European gas supply is expected to fall, the supply of PET, the plastic often used to make drinks bottles, is expected to rise. This reason for this lies upstream. View Full Transcript In this week’s highlights: A slew of second-quarter results is due from the world’s top oil companies; the biofuels market eyes freight costs, and key data on steel production is set to be released. But first: North Sea oil workers are due to launch a series of strikes Monday at Total's UK platforms. This could disrupt the production of tens of thousands of barrels of benchmark Forties crude. The strike over pay and offshore shift patterns comes as North Sea workers flex their industrial muscles following recent oil price rises. The response to higher oil prices on the other side of the negotiating table will also be in the spotlight as the corporate earnings season begins this week. Shell, Total and Norway's Equinor will report their second-quarter results on Thursday. They will be followed on Friday by Italy's Eni as well as US counterparts Chevron and ExxonMobil. The big oil companies’ focus has been on maintaining spending restraint and repairing their balance sheets. This has been despite many commentators warning of a lack of upstream investment. Any switch from austerity to turning on the spending taps will catch the market’s eye. Biofuels market participants will be closely monitoring the numbers this week-- but not the ones you might normally expect. Water levels along the Rhine in Germany have been dropping recently as you can see from the chart on your screen. The low levels between Coblenz and Wiesbaden are beginning to prevent full barge loading. As a result, freight rates have been rising, eating into margins. The slowdown in the delivery of biofuels into the Amsterdam-Rotterdam-Antwerp hub could tighten the market. The ramifications are particularly significant for ethanol because imports are much lower than those of biodiesel. The metals market will also be looking at numbers, but much bigger ones. The World Steel Association is this week expected to release global production figures for the first half of 2018. Markets will be looking to see how China’s production affects the global picture. Its output appears little changed despite a series of closures aimed at reducing capacity and pollution. Worldsteel’s data will follow a National Bureau of Statistics report last week showing Chinese daily crude steel output hit a new record high in June, equivalent to 976 million metric tons on an annualized basis. This is 17% more than in the whole of 2017. That’s our social media question this week: How will global steel output develop in 2018? Tweet us your feedback with the hashtag #PlattsMM. Some of all that steel might be being used for the current maintenance on the Nord Stream gas pipeline. The pipeline transports Russian gas directly into Germany. The European gas market will for look for ways to offset the effect on supply of the maintenance, which is now into its second week. The pipeline can transport as much as 55 billion cubic meters a year, but since last week flows have been zero. Storage injections in Germany and the Netherlands have already fallen significantly. The transit route via Ukraine has failed to make up the shortfall, and demand for gas to generate power is strong due to the hot weather. Last week, maintenance on the Yamal-Europe pipeline was already slowing the pace of storage injections, leaving less gas in storage in Northwest Europe than a year earlier. While European gas supply is expected to fall, the supply of PET, the plastic often used to make drinks bottles, is expected to rise. The reason for this lies upstream. Last week, production of key PET feedstock PTA was given a boost when BP’s Geel plant in Belgium came back online. The plant can produce 1.3 million metric tons of PTA a year. PET prices have been extremely high in Europe recent due to the shortage of PTA. Some buyers have been holding off purchasing PET in expectation of prices dropping on greater supply once Geel returned. Thanks for kicking off your Monday with us and have a great week ahead. with the hashtag #PlattsMM.]]></video:description><video:publication_date>2018-07-23T07:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072318-china-us-crude-trade-war</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-23T02:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=k58AuXEMkqtZpgzCXSa3Dm</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/market-movers-asia/20180720_uscrudeexports.jpg</video:thumbnail_loc><video:title>Market Movers Asia, Jul 23-27: US-China trade tensions continue; soybean CFR China premiums in free fall</video:title><video:description><![CDATA[Asian crude traders will be keeping a close watch on VLCC tankers carrying US crude that are set to reach China in the coming days. China's state-owned trader Unipec bought the light sweet cargoes in May, and traders said it may now consider reselling some of them in the Asian spot market due to the US-China trade war. The US-China tension is also expected to impact Asian low density polyethylene demand. While US tariffs on Chinese goods do not directly involve polyethylene, they affect finished products made of resin. As such, some convertors with plans to expand are putting off their purchases for resin and machines. Meanwhile, soybean premiums have started to cool in Brazil and China as buyers are put off by recent rises in prices caused by the Chinese tariffs on US origin soybeans. The US traditionally represents 35% to 40% of China’s soybean imports. Still in agriculture, Thai sugar cash premiums for next season have firmed following China’s announcement of a uniform 90% out-of-quota import duty from August. View Full Transcript This week, US-China trade tensions continue, soybean CFR China premiums in freefall, and India’s petcoke buyers await a key decision. But first, in oil, Asian crude traders will be keeping a close watch on VLCC tankers carrying US crude that are set to reach China in the coming days. China's state-owned trader Unipec bought the light sweet cargoes in May, and traders said it may now consider reselling some of them in the Asian spot market due to the US-China trade war. China has not yet hiked taxes on US crude oil imports, but this could change any time as tensions heat up, and Beijing may decide to levy a hefty 25% tariff on American energy products. China was the second largest importer of US crude in 2017, accounting for 20% of the total US exports. The US-China tension is also expected to impact Asian low density polyethylene demand. While US tariffs on Chinese goods do not directly involve polyethylene, they affect finished products made of resin. As such, some convertors with plans to expand are putting off their purchases for resin and machines. Last week, US President Donald Trump said he was ready to impose tariffs on all US $500 billion worth of goods the US imports from China. Markets await China’s response. So the question this week is, do you think the US will impose tariffs on all its imports from China? Let us know what you think using the hashtag PlattsMM. In agriculture, premiums have started to cool in Brazil and China as buyers are put off by recent rises in prices caused by the Chinese tariffs on US origin soybeans. The US traditionally represents 35 to 40% of China’s soybean imports. CFR China premiums are falling and market participants expect the decline to continue on a lack of demand, leaving buyer positions open for November arrival. Stay tuned for more soybeans price information from Platts, with CFR China and FOB Brazil assessments starting on July 31. Still in agriculture, Thai sugar cash premiums for next season have firmed following China’s announcement of a uniform 90% out-of-quota import duty from August. This development is bullish for Thai sugar and cash values are expected to be buoyed this week, since sugar exports to China from Central America will be priced out against Thailand, from where freight is cheaper. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-07-23T02:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072018-germany-coal-phase-out-decision</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-20T08:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Lzf9U5FWaEwqf3Uwm3Kr7X</video:player_loc><video:thumbnail_loc /><video:title>Crunch time for German coal phase-out decision</video:title><video:description><![CDATA[Contrary to US President Donald Trump's tweets, Germany has not got rid of its coal plants just yet, not least because the government in Berlin is yet to come up with a clear line on the issue. In this S&P Global Platts Snapshot video, Andreas Franke , editorial lead for European electricity, looks at the latest developments with a government-appointed commission expected to draw up a plan before year-end. Meanwhile, German coal-fired output has fallen behind renewables in the power mix for the first time despite government policy at a virtual standstill following the 2017 elections. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Contrary to Donald Trump’s tweets, Germany hasn't got rid of its coal plants just yet, not least because the government in Berlin is yet to come up with a clear line on the issue. Chancellor Merkel's fourth government has been paralyzed by internal arguments unlikely to change before regional elections in Bavaria in October and energy policy at a standstill. However, just as the political pressure to close German coal plants has eased, economic pressure is rising with prices for EU carbon allowances tripling since last summer. Combined with bullish coal prices, this has pushed generation margins for German coal plants to record lows despite power prices rising to their highest in six years. In fact coal-fired generation dropped below renewables for the first time ever in the first half of the year. The wind boom is slowing down with fixed subsidies ending, but with capacity approaching 60 GW the sector has fundamentally changed the face of German power. Germany’s nuclear exit meanwhile is now entering its final phase with the last reactors scheduled to close by 2022. Consensus is that the shortfall will be covered by renewables and flexible gas, with plenty of spare gas plant capacity available to bridge across to a decarbonized system. How long and wide the gas bridge will be is unclear. Some utilities argue it is not needed, and the country should go straight from coal to renewables. Similar to the nuclear phase-out, the government has appointed a commission to develop a road map for the coal phase-out. Many expect this to be around 2040. Nevertheless German coal output still needs to be cut by half to meet 2030 climate targets. By then, Berlin wants renewables to provide two-thirds of electricity. Not impossible, but Germany's power grid is a weak spot. Delays to North-South links create internal bottlenecks and prevent a faster growth for wind. The energy minister has recognized this and plans to fast-track grid projects with a new law. However sketchy on detail, Trump’s tweets did highlight Germany’s dependency on energy imports, with Russia supplying over 40% of the country’s oil and gas needs. A move to green heat and improved efficiency would lessen this dependency, but efforts to improve insulation and install electric heat pumps are barely scratching the surface of gas heating demand. Now the focus is turning to transport, with the government increasing pressure on car makers to invest in EVs. After some reluctance, Germany's auto industry is focused on an electric future with battery supply the key issue and car makers already investing 50 billion dollars into EVs by 2020 -- but Germany’s first ‘giga-factory’ for EV batteries will be built by China. Until next time on the Snapshot -- we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-07-20T08:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/071618-trump-putin-nord-stream</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-16T08:35:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Y4KCRRxaU529JdsBNiXr7T</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Jul 16-20: All eyes on Trump-Putin meet; gas market set for temporary shift</video:title><video:description><![CDATA[Energy markets will closely watch talks between US President Donald Trump and Russian president Vladimir Putin, which are designed to ease the tensions between the two countries. Geopolitical concerns around Ukraine, Syria and the Iran nuclear deal are likely to be at the top of their agenda, as well as US energy sector sanctions and Russian oil production. Europe's gas market is set for a significant temporary shift this week, as two weeks of maintenance on the Nord Stream pipeline is set to begin. The maintenance will cut flows on the 55 billion cubic meters per year link to zero. In oil, analysts will be watching to see how quickly Libya can ramp up its crude exports, and the likely impact on global demand and supply dynamics. And in metals, the European Commission is expected to release provisional safeguards this week as part of a three-pronged response to US steel tariffs on steel and aluminum imports imposed earlier this year. View Full Transcript In this week's highlights: a two-week Nord Stream maintenance will test the European gas market; analysts will be watching as Libya hopes to resume crude exports; and steel safeguard details are to be revealed by the European Commission. But first: All eyes across the energy industry will be on Helsinki, where US President Donald Trump is due to meet his Russian counterpart, Vladimir Putin, today. The one-on-one talks are designed to ease the tensions between the two countries. Geopolitical concerns around Ukraine, Syria and the Iran nuclear deal are likely to be at the top of their agenda. But US energy sector sanctions and Russian oil production could also be part of the discussion--and market participants will be watching closely. That leads us to this week's social media question: What does Trump and Putin's meeting mean for the energy market? Tweet us your thoughts with the hashtag #PlattsMM. The European gas market is set for a significant temporary shift this week, as two weeks of maintenance on the Nord Stream pipeline is set to begin. The maintenance will cut flows on the 55 billion cubic meters per year link to zero. Gazprom is likely to need to call on its European storage to fulfil customer demand as the transit route via Ukraine fails to make up for the shortfall, and demand for gas from generators remains strong. The pace of storage injections had already slowed last week due to maintenance on the Yamal-Europe pipeline, leaving northwest European storage in a deficit compared with last year. In the oil market, analysts will be watching to see how quickly Libya can ramp up its crude exports, and the likely impact on global demand and supply dynamics. Last week, the structure of the ICE Brent futures market briefly flipped into a contango, meaning that prices for near-term futures became cheaper relative to longer term contracts. The sell-off was spurred by news of the force majeure on several Libyan ports being lifted--increasing the prospect that more sweet Libyan crudes could return to the market. From oil to metals--where firms expect to learn what the specific thresholds are for the European Commission's provisional safeguards this week. Earlier this month, the Commission revealed that a tariff-rate quota plan had been approved by member states. The safeguard plan, part of a three-pronged EU response to the US tariffs on steel and aluminum imports earlier this year, would see a tariff-rate quota based on traditional import levels, with additional duties being levied once those levels are reached. The details are likely to draw further opposition from European metals trade groups and free-trade advocates, as they say import-reliant supply chains will be disrupted and domestic prices would escalate. The EC says safeguards are necessary to prevent metals from being diverted into the EU market. And finally, today sees the expiry of the August London #5 white sugar contract, with the October to become the new front-month. The October contract is significantly bearish, as the harvest of the new sugar crop is due to start in September--and it's potentially a bumper year across the EU and parts of Asia. The EU sugar market was liberalized in October 2017, and some see it falling to historic lows as a result of increased export availability. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-07-16T08:35:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/071618-us-china-tradewar-plastics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-16T01:45:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=87mNoqKrxbCR56AiPHwhM3</video:player_loc><video:thumbnail_loc /><video:title>Commodity markets brace for fallout from new tariffs proposed by US on China</video:title><video:description><![CDATA[This week, markets expect to get an outlook on China’s economic growth and energy consumption for the rest of the year. Sources surveyed by S&P Global Platts expect China’s GDP to slow in the second half of the year amid growing trade tensions with the US. Market participants are also bracing this week for the fallout from new tariffs proposed by the US on Chinese products. The latest round of proposed tariffs on $200 billion worth of Chinese products includes petrochemicals - both raw materials and items made from plastic resins. In metals, the price of CIF North Asia battery-grade lithium carbonate has fallen. Sources attributed the price drop to slow demand due to changes in Chinese government subsidy policies for electric vehicles and growing production capacity. This episode also covers the sharp decline in LNG prices and the rise of Russia-Pacific thermal coal prices to seven-year high.]]></video:description><video:publication_date>2018-07-16T01:45:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071318-jkm-lng-price-tight-supply-summer-heat</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-13T05:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=K3DR3erV7CA3ztgnycCTm7</video:player_loc><video:thumbnail_loc /><video:title>LNG spot prices rally on tight supply, summer heat</video:title><video:description><![CDATA[Concurrent maintenance activities and outages on the supply side tightened the LNG market during the month of June. This caused a massive rally in the Platts JKM price for spot deliveries into Northeast Asia. Now we have to ask whether this trend is expected to continue, or if supply will come back in the coming months leading up to the winter. View Full Transcript Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Let's focus on the counter seasonality of supply and demand within the LNG market, as we've seen a bit of a break from recent years on how both supply and demand are behaving. This is being reflected in prices as the Platts JKM was assessed as high as $11.45 during the month of June, which represents the highest outright prices since this past winter, and a far cry from the low of around $7 we saw just a few months prior. The big question that everyone is asking is what is driving this tight market, and more importantly, will it continue? Well, the answer is a combination of what's happening in both supply and demand. One of the largest drivers of the recent price rally was on the supply side. When we take a look at total aggregate supply compared to previous years, we can see that overall, supply has been higher in 2018 compared to last year. However, recently, concurrent outages and maintenances across several different production regions created a counter-seasonal decline in supply of LNG. In total, supply during June fell more than 70 Mcm/d below where supply averaged during the first quarter. We observed production losses compared to recent averages across many different facilities over the past month or so, which included Nigeria, the United States, Russia, Qatar, Indonesia, Malaysia and Australia. Furthermore, this occurred right as demand started ramping up for the heart of the cooling season in the Northern Hemisphere combined with the main heating season in the Southern hemisphere. In fact, during the past four years the month of June is traditionally a time when supply starts to pick back up after shoulder season maintenances. This year we saw the opposite occur and it’s important to note that supply actually fell below where it was a year ago two separate times already this year. So now the question becomes whether or not the current market conditions are expected to continue. Well, on the supply side, we’re already starting to see production come back to levels before the recent decline. We still have a ways to go to get back to Q1 levels, but overall supply is starting to look relatively healthy again. This should limit the upside to prices as demand starts to taper off into the second shoulder season and we forecast prices to fall before heading into the winter. We are also expecting new supply to come online this year, but most is centered during the second half of the year, and only about a quarter of the expected growth in liquefaction capacity is already online. However, it’s important that we not forget about demand, which has maintained a very strong pace this year, especially from China. This should not be ignored, and the balance of supply and demand will likely hinge on whether Asian buying remains strong. We will be following this story closely as we analyze the markets and fundamentals around the globe. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-07-13T05:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/071318-nextdecade</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hAn4QjkrgzGzUsNyDPDLh8</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/071318-next-decade-still.png</video:thumbnail_loc><video:title>View from the Top: An interview with NextDecade CEO Matt Schatzman</video:title><video:description><![CDATA[NextDecade CEO Matt Schatzman talks with Harry Weber , senior natural gas writer for S&P Global Platts, about the LNG market and the prospects for US exports.]]></video:description><video:publication_date>2018-07-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/071118-pivot-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-11T14:10:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dWHyakf5AwTDoHGM5HVdw9</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/view-from-the-top/071118-pivot-power.jpg</video:thumbnail_loc><video:title> View from the Top: An interview with CEO Matt Allen and CTO Michael Clark of Pivot Power</video:title><video:description><![CDATA[Pivot Power CEO Matt Allen and Chief Technology Officer Michael Clark talk with Henry Edwardes-Evans , associate editorial director for S&P Global Platts Power in Europe, about how the battery storage developer intends to use HV-connected storage to help meet the UK’s electric vehicle re-charging challenge.]]></video:description><video:publication_date>2018-07-11T14:10:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>10:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071018-brent-crude-oil-volatility-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-10T11:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ErbZ7FBPTHmmHHcH4ouQz4</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: July outlook</video:title><video:description><![CDATA[The OPEC meeting took center stage in the month of June and the decision to increase production by 1 million b/d will definitely have an impact among market players. However, the oil losses coming from Iran, Venezuela and Libya might offset the additional supply provided by OPEC members causing the market to remain tight. Nevertheless, market’s biggest concern remains the impact that the escalating trade war between US and China might have on US crude exports, shipping flow towards Asia and global crude prices. View Full Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Dated Brent prices moved sideways, between $72/b and $75/b, in the first half of June but consistently rose until the end of the month pushed by expectations about the OPEC meeting on June 22. The arbitrage towards the Far East was good around mid-June and helped to sustain BFOE prices, however, many market participants remain particularly concerned about the impact that the escalating trade war between US and China will have on US crude exports and shipping flow towards Asia. China bought about 23% of the total US crude exports in March and retaliatory Chinese tariffs on American crude could redirect those barrels to Europe increasing competition among sweet grades in both the North Sea and the Mediterranean. On the other hand, the OPEC meeting ended with a broad agreement to stop over-complying to production cuts and get back to 100% compliance which, according to OPEC members, should bring back to the market around 1 million b/d of crude which is the amount of oil that Saudis think it’s necessary to counterbalance the supply losses in Iran, Venezuela and Libya. Nevertheless, the increase in projected oil demand in the second half of 2018 and the aforementioned supply losses are likely to overshadow the spare-capacity-bounded additional amount of oil that OPEC members can pump out implying that, despite the efforts of producing countries, the global crude oil market is likely to remain particularly tight in months to come. The Volatility Premium, in June, averaged 2.3% which is definitely lower than its 3-month, 6-month and yearly values and it has closed the trading month at negative 7.36% which implies that a market medium-sized adjustment is probably on its way. Furthermore, the Probability Distribution analysis shows that Dated Brent’s monthly volatility will likely drop in coming weeks and reaches the 20-25% range where it has more than 33% chance to settle favoring a less turbulent trading environment. Finally, the Volatility Cones analysis indicates that the current volatility curve is almost perfectly overlapping the medium range one implying that Dated Brent’s fluctuation rate is actually very close to its medium-to-long term equilibrium point. Overall, Brent’s volatility should slowly decrease in coming weeks favoring a price uptrend, nevertheless, some short-term price retracements, caused by short-lived spikes in volatility, should be expected. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-07-10T11:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/070218-us-china-tariffs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-09T10:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gbgpR3giRyGuvAgWwVuhbU</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, July 9-13: US-China trade war heats up; discounts expected for Mideast crudes</video:title><video:description><![CDATA[The US started imposing tariffs on selected downstream steel and aluminum products from China early on July 6, and China fired back with tariffs of its own soon after, including on soybeans and corn. Even before the latest developments, trade tensions between the two countries had been affecting trade flows. You can check out our factbox and podcast on this topic for more details. Meanwhile, Asian refiners are keeping a close watch on the new round of Middle Eastern crude official selling prices, with many regional end-users hoping for discounts. Saudi Aramco has already dropped its OSPs for three of its grades loading in August headed to Asia, while keeping one unchanged and raising another. In LNG, Asia spot prices remain steady while bearish sentiment is seen adding downward pressure on the prompt this week. With talk of Pakistan and Egas withdrawing their buying interest for July and August, participants are expecting homeless cargoes to emerge in the spot market amid a lack of firm Pacific demand. In thermal coal, the seaborne market will be keenly watching currency movements against the US dollar. Buyers will also be monitoring the situation in Indonesia, as rains continue to flood some mines, impacting production and supply. View Full Transcript The highlights this week: Discounts expected for Middle Eastern crude oil, and buying interest seen weak for seaborne thermal coal. But first, US tariffs on selected downstream steel and aluminum products from China went into effect on Friday, and China fired back with tariffs of its own soon after, including on soybeans and corn. Even before the latest developments, trade tensions between the two countries had been affecting trade flows. You can check out our factbox and podcast on this topic for more details. Do you expect this trade war to escalate, or is it merely a short-term disruption to normal trade flows? Join our conversation on Twitte with #PlattsMM. In oil, Asian refiners are keeping a close watch on the new round of Middle Eastern crude official selling prices, with many regional end- users hoping for discounts after OPEC and its allies agreed in late June to increase output by more than 1 million barrels per day. A slew of planned turnarounds at refineries in Asia between late Q3 and early Q4 is also expected to support the case for lower OSP differentials. Saudi Aramco has already dropped its OSPs for three of its grades loading in August headed to Asia, while keeping one unchanged and raising another. In LNG, Asia spot prices remain steady while bearish sentiment is seen adding downward pressure on the prompt this week. With talk of Pakistan and Egas withdrawing their buying interest for July and August, participants are expecting homeless cargoes to emerge in the spot market amid a lack of firm Pacific demand. Trade liquidity is being seen further down the curve, with Trafigura and Vitol on July 5 concluding the first ever trade on the Platts JKM MOC process that was launched June 12. The transaction involved a September 10-14 delivery into Port Tianjin at $10.40/MMBtu on a DES basis. In thermal coal, the seaborne market will be keenly watching currency movements against the US dollar this week. Although China and India are looking to procure cargoes, a strong US dollar is hindering deals. Buyers will also be monitoring the situation in Indonesia, especially in South Kalimantan province, as rains continue to flood some mines, impacting production and supply. At least one major coal miner was heard to have declared force majeure due to flooding. If you are in India, we’d love to see you at the S&P Global Platts Delhi Commodity Market Insights Forum on July 10 and the Mumbai Forum on July 12-13. In Singapore, we will also be hosting the Digital Commodities Summit Asia on July 12. Visit SPGlobal.com/Platts for details. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-07-09T10:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/070918-trump-nato-summit-opec-iea-reports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-09T09:02:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qYgmxCCEeFEF6WrRkjNwLa</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, July 9-13: Trump tees off Europe trip; power market feels summer heat</video:title><video:description><![CDATA[Tensions over global trade are likely to remain at the top of the agenda, after the US on Friday levied an additional 25% tariff on $34 billion worth of imported Chinese goods. In Europe, markets will digest the European Commission’s provisional safeguard measures on steel. US President Donald Trump is heading to the region for a NATO summit Wednesday. That will be followed by a visit to the UK on Friday, and a summit with Russian President Vladimir Putin in Finland next Monday. In oil, market participants will scrutinize reports by OPEC and the IEA on the state of markets. Mark Pengelly looks at these and other key factors that could move European commodity markets this week. View Full Transcript In this week’s highlights: the oil markets look out for key reports, power markets are feeling the heat, and US President Donald Trump will begin his visit to Europe. But first: Here in Europe, markets will digest the European Commission’s provisional safeguard measures on steel. The EC’s tariff-rate quota plan comes in response to earlier US tariffs on steel and aluminum imports. It calls for tariff-rate quotas based on traditional import levels. Additional duties will be levied once those levels are reached. The EC says the safeguards are necessary to prevent US tariffs diverting cheaper material into the European market. But metals trade groups and free-trade advocates are lobbying against such a move. They argue import-reliant supply chains will be disrupted and domestic prices could increase. However, the measures received the support of member states late last week, and will come into force once formally adopted later this month. That brings us to our social media question: What impact will trade tensions have on European markets? Tweet us your thoughts with the hashtag #PlattsMM. In oil, market participants will scrutinize two monthly reports on the state of markets. The reports, by OPEC and the IEA, will be published on Wednesday and Thursday. A particular focus will be the crisis in Libya, where a dispute between military leader Khalifa Haftar and the authorities in Tripoli has shut down a chunk of the country's oil exports. That has tightened European supplies. Meanwhile, power traders will be keeping a close eye on the weather. Hot weather often comes with low wind and reduced hydro power, increasing demand for gas-fired generation. Germany's Rhine river is approaching critically low levels, with coal barges forced to reduce their loading capacity. Nordic summer power prices have also risen to six-year highs, with dry and hot weather across Scandinavia increasing the hydro deficit—now at multi-year highs. What’s more, the sizzling sun looks set to continue: the map on your screen shows the extent to which temperatures across Europe are expected to deviate from the average this week. Despite a forecast dip in temperatures, the current heatwave conditions could well stretch into August. In the petrochemicals industry, Europe’s plant maintenance season is drawing to a close. With plants coming back on line, the market for most products is seen as long — a situation that is expected to continue. Prices for ethylene, the building block for the largest set of petrochemicals, have turned bearish, with spot product trading at a double-digit 11% discount to contract prices. In the longer term, the maintenance of some major plants, planned for August and September, could tighten supplies for some products. And finally, it will be a week of busy diplomatic activity, as US President Donald Trump heads to Europe for a NATO summit Wednesday. That will be followed by a visit to the UK on Friday, and a summit with Russian President Vladimir Putin in Finland next Monday. Trump has been ratcheting up pressure on major oil producers to make up for supply shortfalls—and in particular, the shortfall from Iran as Washington reinstates sanctions. Trump may glimpse one non-OPEC supply source, the North Sea's ageing oil platforms, as he plays golf on a trip to Scotland at the weekend. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-07-09T09:02:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/070218-opec-us-china-tariffs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-07-02T10:25:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wzApFhL6TFCpjrNRst2D8J</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jul 2-6: Markets brace for China-US trade war; US says Saudi Arabia agrees to oil output hike</video:title><video:description><![CDATA[This week, market participants will be looking for signals and price moves should the US decide to impose tariffs on about $34 billion worth of Chinese imports. Markets will also be looking out for any potential retaliatory move from China. In oil, US President Donald Trump says Saudi Arabia has agreed to increase oil production by up to 2 million b/d to moderate high prices. Meanwhile, Middle East crude producers could raise Official Selling Prices for heavier grades in the coming days, as fuel oil cracks have been strong. This episode also includes updates on the ongoing biodiesel shipments from Indonesia to China, the absence of a reference price for term contracts for Japanese thermal coal customers, and the rising primary premiums for aluminim delivered to Japan. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week: the US said Saudi Arabia has agreed to hike oil output, thermal coal market seeks price direction, and aluminum contract premiums rise. But first -- commodity markets will be on tenterhooks as July 6 approaches – when the US is expected to impose tariffs on about 34 billion dollars worth of Chinese goods. Market participants will be looking for signals and price moves after the first round of implementation. An additional 16 billion dollars worth of products are still being reviewed for tariffs. And of course, markets will also be looking out for any potential retaliatory move from China. Do you expect both sides to impose tariffs? Send us your thoughts on Twitter with hashtag PlattsMM. In oil, US President Donald Trump says Saudi Arabia has agreed to increase oil production by up to 2 million barrels per day to moderate high prices. In a tweet on Saturday, Trump said he had asked King Salman of Saudi Arabia to increase production because oil prices were too high, and the King had agreed. A Saudi-based analyst said such a sharp increase would have to come from Saudi stocks. Still in oil, Middle East crude producers could raise Official Selling Prices for heavier grades in the coming days, as fuel oil cracks have been strong. On the other hand, OSPs for lighter grade are expected to be flat to weaker as naphtha cracks have been relatively weak, while competition from light US arbitrage cargoes remains robust. In agriculture, biodiesel shipments to China from Indonesia are continuing, with the market expecting about 200,000 mt of PME to have been exported from Malaysia and Indonesia in June. As the arbitrage remains open due to low palm oil prices, sellers are wondering how long the Chinese will continue to buy PME from Southeast Asia, and whether this demand will provide a bullish push to palm oil prices. Moving to thermal coal, market sources are seeking clarity this week on pricing for term contracts for Japanese customers in the absence of any Japanese Financial Year reference price for the first time in several decades. Japanese buyer Tohoku Electric and Australian shipper Glencore are unable to agree a price for 2018-2019 contracts after talks between the two sides broke down last week. Finally, in metals, primary aluminum premiums delivered to Japan settled last Friday at $132/mt CIF basis for the third quarter. This was up 2.3% from Q2 contract premiums, and up 28% from Q1. Will the gap with spot premiums now widen going forward, as the summer season demand lull approaches? If you are in Tokyo, we'd love to see you at the S&P Global Platts Japan Commodity Market Insights forum on July 4th and 5th, where we'll be sharing insights on key topics affecting the energy and agricultural markets. Visit Platts.com for details. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-07-02T10:25:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/062518-market-movers-europe</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-25T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YCvuDtFxkgp677F8ZDN3n9</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, June 25-29: Focus on OPEC compromise; traders eye impact of US-China tension</video:title><video:description><![CDATA[In this week's Market Movers: the impact of trade tensions on US crude exports will be closely monitored; Turkish tariffs are under the spotlight; and Germany will consider how and when to end coal-fired power generation. The oil market will be assessing the impact of last week's OPEC meeting in Vienna. OPEC and its 10 non-OPEC partners agreed to raise their crude output, bringing production back in line with levels originally agreed in November 2016. That brings us to our social media question of the week: What will be the long-term impact of OPEC's decision? Tweet us your thoughts with the hashtag #PlattsMM . Traders will be reading the runes for any indication that China is reducing its crude imports from the US in the wake of the growing trade dispute between the two countries. Meanwhile, US President Donald Trump threatened to impose 20% tariffs on imports of European cars Friday. The threat came as the bloc imposed tariffs of up to 20% on a range of US goods in response to US tariffs on steel and aluminum. In the Turkish coal and petcoke markets will be weighing the immediate impact of 5% and 4% tariffs slapped on US-origin coal and petcoke products Friday. While Turkey might want cheaper coal, Germany's coal commission will meet for the first time Tuesday in its quest to set an end-date for coal-fired power generation. Finally, there will be some required reading this week, as international energy watchdog the IEA publishes its hotly-anticipated annual gas report on Tuesday. View Full Transcript Video transcript In this week's highlights: the impact of trade tensions on US crude exports will be closely monitored; Turkish tariffs are under the spotlight; and Germany will consider how and when to end coal-fired power generation. But first: the oil market will be assessing the impact of last week's OPEC meeting in Vienna. OPEC and its 10 non-OPEC partners agreed to raise their crude output, bringing production back in line with levels originally agreed in November 2016. S&P Global Platts Analytics expects the deal to result in a net realized production increase for OPEC members of 700,000 b/d. The agreement represents a compromise between OPEC hawks, led by Iran, and its doves, led by Saudi Arabia. That brings us to our social media question of the week: What will be the long-term impact of OPEC's decision? Tweet us your thoughts with the hashtag #PlattsMM. Traders will be reading the runes for any indication that China is reducing its crude imports from the US in the wake of the growing trade dispute between the two countries. China has suspended publication of detailed trade data for a second straight month in May, indicating tensions with the US remain high and a further escalation may be on the cards. Early last week, China put forward an additional 25% tariff on $50 billion worth of US goods, including crude oil. Consequently, some traders expect Europe to become a recipient of US sweet crudes that would otherwise have been shipped to China. Elsewhere, US President Donald Trump threatened to impose 20% tariffs on imports of European cars Friday. The threat came as the bloc imposed tariffs of up to 20% on a range of US goods in response to US tariffs on steel and aluminum. The news has caused dismay in Europe's steel sector, which complains it would effectively be hit twice by US measures. And it is not only Europe which is imposing tariffs on imports from the US. The Turkish coal and petcoke markets will be weighing the immediate impact of 5% and 4% tariffs slapped on US-origin coal and petcoke products Friday. The 5% tariff on coal was slightly less than the 10% expected, and came just two days before Sunday's snap elections. The move to impose any tariff was strongly opposed by utility buyers, who would be able to buy high-sulfur US coal following an expected move to raise sulfur limits to 3% after the elections. US coals were expected to displace low-sulfur coals from Colombia. While Turkey might want cheaper coal, Germany's coal commission will meet for the first time Tuesday in its quest to set an end-date for coal-fired power generation. This is expected to be around 2040. Coal still accounts for almost 40% of power generation in Europe's biggest economy. The commission's members range from Greenpeace to mining unions; and its key challenge will be how to replace jobs in lignite-mining regions with new growth sectors. The process will be controversial, but the outcome will reshape Germany's energy landscape. In France, a similar consultation is expected to present its first report on long-term energy plans. The aim is to reduce nuclear, but the deadline has already shifted beyond 2025. Finally, there will be some required reading this week, as international energy watchdog the IEA publishes its hotly-anticipated annual gas report on Tuesday. The report is expected to give an update on prospects of European gas demand growth, LNG market dynamics and global supply. Does the agency see continued strong demand for gas? All will be revealed. Elsewhere, the bunker fuel market will be looking to Singapore's marine fuel sales data for June. The data's due for release by the Maritime and Port Authority on Thursday. Any increase in Singapore's bunker sales may suggest the displacement of demand from Fujairah, where bunker volumes are expected to fall due to the ongoing tensions between Qatar and its Arab neighbors. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-06-25T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/070218-libya-crude-oil-natgas-storage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-25T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MLzKqcFjw8iWf7nepTpF7t</video:player_loc><video:thumbnail_loc>/platts/PlattsContent/_assets/_images/videos/market-movers-europe/88036-platts-mm-emea_v1.0-copy-01.00_00_01_12.still008.jpg</video:thumbnail_loc><video:title>Market Movers Europe, July 2-6: Libya supply disruptions to impact crude exports; gas storage injections expected to slow</video:title><video:description><![CDATA[In this week's Market Movers: European natural gas storage injections are expected to slow; the European Commission is to provide safeguard measures on steel imports to the European Union; and the wheat market looks set to come under continued pressure. First off, in oil, a standoff in Libya between rival National Oil Companies is putting pressure on markets. It is becoming a particular worry for European refiners, as the dispute threatens exports from terminals that load most of the country's crude. Meanwhile, the market will be busy unpicking the impact of last month's meeting of OPEC and non-OPEC oil producers in Vienna, as well as the latest pronouncements from US President Donald Trump. This leads us to our social media question: Will OPEC’s decision outweigh supply disruptions? Tweet us your thoughts with the hashtag #PlattsMM . In European gas, market players will be closely watching the pace of storage injections this week, ahead of the start of a prolonged period of planned maintenance on Russian export pipelines. Elsewhere, power traders will need to keep a close eye on French nuclear availability, with four reactors expected to return from maintenance, including one that has been offline for over three years. Finally, in metals, the European Commission is expected to announce safeguard measures this week on steel imports into the European Union. View Full Transcript Video transcript In this week's highlights: European natural gas storage injections are expected to slow; the European Commission is to provide safeguard measures on steel imports to the European Union; and the wheat market looks set to come under continued pressure. But first, in oil, a standoff in Libya between rival National Oil Companies is putting pressure on markets. It is becoming a particular worry for European refiners, as the dispute threatens exports from terminals that load most of the country's crude. Libya's Tripoli-based National Oil Corporation urged the Libyan National Army to hand back control of the key Ras Lanuf and Es Sider oil ports after receiving a vote of confidence from the international community last week. Last Monday, the army handed control of the key eastern oil export terminals -- Ras Lanuf and Es Sider -- to a rival oil company, the Benghazi-based NOC East. Foreign powers have outlawed loading crude from a string of ports claimed by the Libyan National Army, which has rejected Tripoli's authority in favor of NOC East. The Tripoli-based National Oil Corporation says the blockade threatens 850,000 b/d of crude, or almost 90% of Libya's total output. Elsewhere, the market will be busy unpicking the impact of last month's meeting of OPEC and non-OPEC oil producers in Vienna, as well as the latest pronouncements from US President Donald Trump. In a surprise development, President Trump tweeted Saturday that Saudi Arabia has agreed to increase oil production by up to 2 million b/d to moderate high prices. However, the White House issued a statement later clarifying that while Trump and King Salman spoke Friday, Saudi Arabia had agreed to increase oil production “if and when necessary.” At the Vienna meeting last month, OPEC and its allies agreed to address supply shortfalls, but failed to overcome differences in production increases should be assigned. S&P Global Platts will be publishing its monthly survey of OPEC production toward the end of the week. That leads us to our social media question: Will OPEC's decision outweigh supply disruptions? Tweet us your thoughts with the hashtag #PlattsMM. In European gas, market players will be closely watching the pace of storage injections this week, ahead of the start of a prolonged period of planned maintenance on Russian export pipelines. With Russian flows via Ukraine only able to pick up some of the slack, storage injections may have to slow considerably so northwest Europe can meet other demand. Power traders will need to keep a close eye on French nuclear availability, with four reactors expected to return from maintenance, including one that has been offline for over three years. As you can see from the pink line in the chart, availability has improved compared with 2017. Daily wind forecasts are now the key swing factor, even during the summer. June was the first month this year with an on-year decline and the latest forecasts show no significant pick-up for wind across Northern Europe, with strong hydro this spring failing to dampen power prices trading near 7-year-highs. In metals, the European Commission is expected to announce safeguard measures this week on steel imports into the European Union. The measures are a direct response to a potential flood of imports related to the recently implemented US Section 232 tariffs on steel and aluminum imports. Some downstream users have voiced concerns over the impact on steel prices if the EC introduces import restrictions. But European steel federation, Eurofer, has recommended implementation of a 25% import tariff, on top of by-country import quotas. It comes after ThyssenKrupp and Tata Steel signed a definitive agreement to combine their European steel operations in a joint venture Saturday. If approved by regulators, the move could create Europe's second largest steelmaker. Also this week, find out everything you need to know about the European LPG Market-on-Close process in our new FAQ guide. The guide can be found on our website at the address below. It describes the guidelines behind the price formation process in European LPG and how S&P Global Platts publishes the information it receives. Thank you for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-06-25T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/061218-european-natural-gas-injections-show-strength-after-record-drawdown</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-12T09:43:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NxefG2QYystPitifEpSqro</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/default-video.jpg</video:thumbnail_loc><video:title>European natural gas injections show strength after record drawdown</video:title><video:description><![CDATA[Despite European natural gas stocks being drawn down to record low levels at the end of the past winter and concern over storage economics this summer, injections have been strong, with stocks almost back to the same level as in 2017. Stuart Elliott , senior writer for European gas at S&P Global Platts, looks at the drivers of the European storage recovery and what to expect ahead of the coming winter. View Full Transcript Video Transcript European natural gas injections show strength after record drawdown By Stuart Elliott, senior writer, European gas Welcome to The Snapshot – our series examining the forces that determine global commodities markets. The topic of gas storage in Europe is normally relegated to the back pages of industry publications and to the last afternoon of industry events. But this past winter saw storage play a critical role in keeping Europe warm during the extreme cold brought to the continent by the “Beast from the East”. European storage stocks were drawn down to record lows, with stocks in the EU falling to just 18 Bcm, or 18% of capacity, by the end of March as prices soared. On February 28 -- one of the coldest days of the winter -- a massive 1.1 Bcm was withdrawn from storage in the EU, while in Germany, more than half of its total consumption was met by storage withdrawals on that day. Clearly, storage came to Europe's rescue when it needed it the most. But at the same time, concerns began to surface about whether the spread between European Winter 18 gas contracts and Summer 18 contracts -- traditionally the tool used by traders to make money out of storage -- was wide enough to incentivize large-scale summer injections. Buying gas for storage injection in the summer when it is normally cheaper and withdrawing in the winter when it is usually more expensive has been the mainstay of European storage economics. But in recent years, contracts for buying forward gas for summer delivery tend not to be priced at much of a discount to winter gas. In fact, because stocks were drawn down so far at the end of the past winter, the subsequent anticipated demand for gas in the summer to replenish stocks pulled up the summer price, while the corresponding winter 18 price rose much less, narrowing the spread even further. There was real worry that storage sites would not be filled to guarantee supply for the next winter. But, in reality, injections since April 1 have been surprisingly strong, and stock levels have almost caught up to last year's levels already. So what's the story? Well, there are several likely explanations. First, while the winter-summer spread on the dominant Dutch TTF hub remains at less than Eur1/MWh, according to Platts price assessments, it is still high enough to cover storage costs on a short-run variable cost basis. According to Platts Analytics, some of the largest European facilities -- for example Rehden in Germany and Bergermeer in the Netherlands -- have variable costs well below the current spread. Secondly, it is also likely that significant storage capacity was booked by shippers who forward bought gas ahead of the cold spells in March this year, hedging their forward positions, when the winter-summer spread was much higher at more than Eur2/MWh. The "Beast from the East" was well flagged by weather forecasters, giving traders plenty of opportunity to buy the summer contract before the prompt prices spiked when the weather actually arrived. Thirdly, there is also the subject of "implied volatility" to consider -- there has been an increase in volume of trading activity taking place in the forward market in anticipation of possible unforeseen events this winter that would push prices much higher. If last winter is anything to go by, traders could be wise to wait and see what might happen, in the hope of a price spike, and sell gas from storage then to make the most of shorter-term price volatility. So it appears increasingly likely that come next winter, Europe will have been able to stockpile enough gas to see it through the season -- even if cold weather does, again, take hold over the continent. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-06-12T09:43:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061118-market-movers-asia-jun-11-15-us-n-korea-leaders-in-singapore-for-landmark-meet</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=AC7b9HXMfYu2qL13HoM7nm</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jun 11-15: US, N Korea leaders in Singapore for landmark meet</video:title><video:description><![CDATA[US president Donald Trump and North Korean leader Kim Jong-un are set to meet in Singapore on June 12. This landmark event could result in an easing of sanctions on North Korea, and open up the country to international energy markets. In line with the summit, the Singapore Maritime and Port Authority has imposed vessel restrictions in certain demarcated areas of Singapore's port waters until June 13. In LNG, the outlook for prices in Asia is uncertain this week after edging higher last week. The supply outlook at several major LNG plants remains uncertain, with the Sabine Pass Train 3 reportedly shut for maintenance since June 1st and talk of loadings at Malaysia's Bintulu LNG returning to normal. In petrochemicals, methanol supply is set to remain tight after an unplanned shutdown of the Brunei Methanol Company’s plant last week. The shutdown is expected to last for a week, with end-users and distributors in East Asia are being likely to be the most affected. In thermal coal, the market is waiting to see if China will lift its 6% import tax on thermal coal from the US. China currently imports very little US-origin thermal coal, but this is expected to change if the import tax is removed. In agriculture, domestic sugar prices in India have rallied since the Indian government fixed the minimum floor price at $433/mt on June 6. Offers from India have jumped $20 to around $365/mt FOB West Coast India since the announcement. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, US and North Korean leaders meet in Singapore, sugar prices jump in India, and methanol supply tightens after an unplanned shutdown. But first, US president Donald Trump and North Korean leader Kim Jong-un are set to meet in Singapore on June 12. This landmark event could result in an easing of sanctions on North Korea, and open up the country to international energy markets. North and South Korea have already agreed to work towards a reconnection of cross-border rail, road and other economic links. North Korea has relied on China for more than 90% of its trade over the last decade. Now, it could soon be seeking ways to diversify its trade partners, providing immediate opportunities for South Korea’s energy companies, including oil refiners. Now to enchance security during the summit, the Singapore Maritime and Port Authority has imposed restrictions on vessel transiting, anchoring and remaining in certain demarcated areas of the port waters until June 13. In LNG, the outlook for prices in Asia is uncertain this week after edging higher last week. The supply outlook at several major LNG plants remains uncertain, with the Sabine Pass Train 3 reportedly shut for maintenance since June 1st and talk of loadings at Malaysia's Bintulu LNG returning to normal. Weaker end-user demand in North Asia could add downward pressure to LNG spot prices this week, while expectations of short-covering at the prompt could provide support. In petrochemicals, methanol supply is set to remain tight this week following the unplanned shutdown of the Brunei Methanol Company’s plant last week. The shutdown is expected to last for a week, with end-users and distributors in East Asia are being likely to be the most affected. In thermal coal, the market is waiting to see if China will lift its 6% import tax on thermal coal from the US. China currently imports very little US-origin thermal coal, but this is expected to change if the import tax is removed, as part of efforts to reduce its large trade surplus with the US. Recent high prices for Australian thermal coal could also continue into the week, as strong demand and tight supply look set to continue providing support. Finally, in agriculture, domestic sugar prices in India have rallied $25/mt since the Indian government fixed the minimum floor price at $433/mt last Wednesday. Offers from India have jumped $20 to around $365/mt FOB West Coast India since the announcement. So, our question this week is, will Indian mills continue to offer into the international market if prices are stronger at home? Do send us your views on Twitter with the hashtag PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-06-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/061118-market-movers-europe-june-11-15-market-awaits-oil-market-analyses-wrong-type-of-bottleneck-for-polyethylene-terephthalate</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yZWsHp4pDo6q13yuGZgNn4</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, June 11-15: Market awaits oil market analyses; wrong type of bottleneck for polyethylene terephthalate</video:title><video:description><![CDATA[In this week's Market Movers: BP is due to publish its annual statistical review; and nerves are fraying in the petrochemical market over a PET shortage ahead of the peak summer demand season. Both oil traders and football fans will turn their attention this week to Moscow, where the Russian and Saudi Arabian teams will clash in the opening match of the World Cup tournament on Thursday. And both nations' respective energy ministers are also expected to meet to discuss the future of the OPEC/non-OPEC production cuts deal. This leads us to our social media question: Will those pushing for higher output score, or will the cuts deal be saved on the rebound? Join our conversations on Twitter - use #PlattsMM and connect with us. There will be a flurry of new market analyses, both short- and long-term. OPEC publishes its monthly oil market report on Tuesday, and the IEA puts out its own version on Wednesday. The World Cup is also a point of interest for the petrochemical markets, with an expectedboost in demand for plastic drinks bottles. Meanwhile, the European petrochemical industry has concerns over suspicions of anti-competitive practices in the styrene market. In Brussels, this week, there will be talks between the European Commission, national governments and the European Parliament on renewable and energy efficiency targets for 2030. Meanwhile, the biofuels market will be monitoring those same EU trialogue negotiations for clarity on feedstocks. And finally, metals executives from across Europe will descend on Barcelona for the S&P Global Platts Steel Markets Europe conference, with US tariffs and global countermeasures top of the agenda. View Full Transcript Video Transcript In this week's Market Movers: BP is due to publish its annual statistical review; and nerves are fraying in the petrochemical market over a PET shortage ahead of the peak summer demand season. But first, both oil traders and football fans will turn their attention this week to Moscow, where the Russian and Saudi Arabian teams will clash in the opening match of the World Cup tournament on Thursday. President Vladimir Putin and Crown Prince Mohammad bin Salman are due to watch the game together, and their respective energy ministers are expected to meet on the sidelines. At stake is the future of the OPEC/non-OPEC production cuts deal—with oil prices hovering near 80 dollars a barrel and looming Iranian sanctions increasing pressure to raise output. That’s our question for social media this week: Will those pushing for higher output score, or will the cuts deal be saved on the rebound? Answer via Twitter with the hashtag #PlattsMM. Another focus for oil watchers will be a flurry of new market analyses, both short- and long-term. OPEC publishes its monthly oil market report on Tuesday, and the IEA puts out its own version on Wednesday. Also on Wednesday, BP will publish its annual Statistical Review, something of a bible for the oil industry. The World Cup isn’t just a focus for OPEC watchers this year—it’s also a point of interest for the petrochemical markets. The tournament is expected to boost demand for plastic drinks bottles. All those thirsty fans are set to add to the summer peak demand season, which this year may be threatened by a severe shortage of the bottle-making material, PET, for spot delivery. The European petrochemical industry has other things to worry about too—namely, suspicions of anti-competitive practices in the styrene market. Last week, the European Commission said it had carried out unannounced inspections of several key purchasing companies. On Friday, the commission said it was concerned about a potential violation of antitrust rules. It said the raids were a preliminary step in its investigations. The carbon market too will be closely watching the EU. There will be talks in Brussels between the commission, national governments and the European Parliament on renewable and energy efficiency targets for 2030. The new Spanish and Italian governments might add an extra element of uncertainty. Targets above 30% will mean fewer carbon emissions and lower carbon prices in the long term. But as you can see from the chart, some price volatility could be immediate. On May 31, EU carbon prices saw their biggest single-day drop in more than a year due to fears of a US-EU steel trade war. They then rebounded within two days. Depending on the outcome of the talks, more volatility may lie ahead. The biofuels market will be monitoring those same EU trialogue negotiations for clarity on feedstocks. Companies are eager to know which feedstocks will count as waste and what the minimum blending obligation for advanced biofuels will be. The talks should produce a final decision on whether palm oil will be banned as a feedstock after 2020—something that would potential kill imports from Southeast Asia indefinitely. And this is a live issue in France as I speak. Farmers in France are reported to have started blockading refineries and fuel terminals on Sunday evening as a protest against the use of palm oil as a biofuel feedstock at the La Mede refinery. And finally, metals executives from across Europe will descend on Barcelona for the S&P Global Platts Steel Markets Europe conference. US tariffs and global countermeasures will be at the top of the agenda, but discussions will also focus on managing price volatility, mergers and acquisitions, as well as carbon emissions. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-06-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/060718-view-from-the-top-an-interview-with-marco-alvera-snam-ceo</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YqhSVFQqoWpWXHRN8LfZkR</video:player_loc><video:thumbnail_loc /><video:title>View from the Top: An interview with Marco Alvera, Snam CEO</video:title><video:description><![CDATA[Marco Alvera, CEO of European gas infrastructure operator Snam , talks to S&P Global Platts senior writer Stuart Elliott about the evolution of the Italian and European gas markets, the need for increased European natural gas interconnections, the growing role of gas in transportation and how gas can help meet global emissions goals.]]></video:description><video:publication_date>2018-06-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>13:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/060618-brent-crude-oil-volatility-june-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4zKWcucRhFcxBJZjCqmWcP</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: June outlook</video:title><video:description><![CDATA[Dated Brent crude oil prices rose in May, pushed by a healthy demand in the Far East, particularly from China and South Korea, despite US barrels -- favored by a wide Brent/WTI spread -- continuing to arrive into Europe. However, in June, the demand/supply dynamics will likely not take center stage as all eyes will be on the upcoming OPEC meeting to be held June 22. The Brent market may experience a high level of volatility in the last trading days of June and a good hedging strategy will be essential to avoid unwelcome surprises. View Full Transcript Video Transcript 2018 Brent crude oil volatility: June outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Dated Brent prices went up during the month of May pushed by a healthy demand from the Far East, in fact, North Sea grades have been clearing towards Asia fairly quickly despite the augmented competition from American barrels which were and still are greatly favored by a Brent/WTI spread oscillating between $8 and $10/b. American barrels have now become so easy to find in Europe that WTI Midland oil is as strong a competitor to BFOE grades as Saharan or CPC oil. Internationally, geopolitical risk remained a fairly big concern for market participants with oil losses caused by Venezuela and Iran driving Brent prices higher and higher. Furthermore, global demand for crude oil seemed to be rather healthy in May, in fact, the Energy Information Administration reported that US crude exports jumped to 2.56 million b/d, which is a record high, and that US crude oil production, in order to meet both domestic and international demand, got higher than 10.7 million b/d. However, the Brent market was dramatically shaken on May 25 when the Saudi Arabia energy minister Khalid al-Falih, during the Saint Petersburg Economic Forum, said that OPEC members would be considering gradually increasing oil production quotas in their next meeting on June 22. All eyes are pointed towards the OPEC meeting because it is likely to have a long-lasting impact on Brent crude prices. The Volatility Premium is still significantly higher than its 3-month value which implies that it will likely tend to narrow down in coming weeks causing a re-adjustment of Brent prices in the short term while the Probability Distribution analysis shows that the monthly volatility is moving around a fairly stable environment. In fact, Dated Brent’s monthly oscillation rate will likely soften and tend to move towards the 20-25% range in coming weeks. The plummeting volatility is likely to favor an uptrend in prices which should move up until June 22, despite some short term retracements. Finally, the Volatility Cones analysis shows that market participants expect more volatility in the short-to-medium term, probably due to geopolitical risk and the outcome of June’s OPEC meeting, than in the long one. Overall, Brent volatility is likely to move down in coming weeks implying a market uptrend which is likely to last until June 22. Nevertheless, prices might still experience some short-lived retracements and the last trading days of June could be more volatile because market participants will try to adjust their position to whatever is going to be the final outcome of the OPEC meeting. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-06-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/060518-texas-summer-wholesale-power-prices-continue-to-gain-strength</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Pg3p7y5zVPYKexTRhtGJcT</video:player_loc><video:thumbnail_loc /><video:title>Texas summer wholesale power prices continue to gain strength</video:title><video:description><![CDATA[Texas summer wholesale power prices continue to get stronger after remaining depressed for several years. The upticks this year have been largely attributed to a tighter generation picture and expectations for record peak demand. According to S&P Global Platts data, ERCOT North Hub, the most liquid trading point in Texas market, has recently seen the August on-peak forward package hitting near $240/MWh, more than double from where it traded at the end of 2017. The recent strong prices have been mostly driven by a lower reserve margin -- the percentage difference of generation capacity and peakload forecast. View Full Transcript Video Transcript Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. Texas summer wholesale power prices continue to get stronger after remaining depressed for several years. The upticks this year have been largely attributed to a tighter generation picture and expectations for record peak demand. According to S&P Global Platts data, ERCOT North Hub, the most liquid trading point in Texas market, has recently seen the August on-peak forward package hitting near $240/MWh, more than double from where it traded at the end of 2017. In comparison, summer prices over the past couple of years have turned out to be lackluster. For example, ERCOT North Hub on-peak day-ahead prices averaged in low $30s/MWh in August 2017 and mid-$30s in 2016. In summer of 2011, the hottest summer on record for Texas, prices averaged about $250/MWh. The recent strong prices have been mostly driven by a lower reserve margin -- the percentage difference of generation capacity and peakload forecast -- as the grid operator projected it to be only 11% this summer, which is below the target level of 13.75%. The current situation facing Texas has not occurred out of nowhere.. As an energy-only market, low prices in ERCOT have pushed more costly, older generation units out of the market, especially since late last year, when over 5 GW of fossil-fuel generation was announced to be retired before the summer. The retirements come as the Texas economy has continued to grow at record pace over the past few years, supporting both industrial and consumer load growth This in turn has ERCOT projecting record-breaking demand this summer at 72.8 GW, which is about 2% higher than the all-time high set in 2016. This spring, Texas has already had a taste of volatile prices ahead of summer season. In mid-May, real-time power prices across ERCOT spiked above $1,000/MWh as temperatures reached into the 90s and air-conditioning demand soared. Also amid the May heat, the grid operator set multiple record peakloads for the month, surpassing the previous May record by more than 7%, which was just set last year. Further, the recent price run-ups come on the heels of a historic price event seen earlier this year. During cold weather in January, ERCOT real-time prices crossed the $9,000/MWh price cap for the first time in history, and forced the grid operator to call upon about 1 GW of reserve resources. Expect the grid operator and power market players to keep close watch over Texas as things heat up. And until next time on the Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-06-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/060418-market-movers-europe-june-4-8-iran-sanctions-focus-of-oil-meetings-tariffs-trump-carbon-at-european-steel-day</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-06-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GQQLeqpsLmXPPHkgV4THtc</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, June 4-8: Iran sanctions focus of oil meetings; tariffs trump carbon at European Steel Day</video:title><video:description><![CDATA[US tariffs on imported steel and aluminum are likely to take center stage as industry leaders gather in Brussels later this week for European Steel Day 2018. This leads us to our social media question: What will be the market impact of Europe's response on steel? Join our conversations on Twitter - use #PlattsMM and connect with us. The oil industry's attention will be focused on the impact of renewed sanctions on Iran by the Trump Administration as S&P Global Platts hosts its 11th Annual Crude Oil Summit in London. Elsewhere, in the container market, shipping lines have sought to cover their increased costs by hitting customers with emergency bunker surcharges. Finally, in generating fuels, markets are expected to gain greater clarity this week on the prospects for new nuclear power plants in Great Britain. View Full Transcript Video Transcript In this week’s highlights: The oil market will be watching reactions to the return of US sanctions on Iran; fuel surcharges are making waves in the container shipping sector; and a key government decision looms for the British nuclear industry. But first: US tariffs on imported steel and aluminum are likely to take center stage as industry leaders gather in Brussels later this week for European Steel Day 2018, hosted by European steel association Eurofer. The tariff discussion will probably upstage the agenda’s focus on sustainability and low-carbon innovation. Beyond the conference, markets will be watching and waiting for the EU’s response. The bloc is already seeking WTO intervention against the US as a result of the tariffs of 25% on steel and 10% on aluminum imports. Further details of additional safeguards and countermeasures are likely to be revealed this week. This leads us to our social media question: What will be the market impact of Europe’s response on steel? Send us your thoughts using the hashtag #PlattsMM. And it is not only the metals sector which will be eying the effect of US trade measures. The oil industry’s attention will be focused on the impact of renewed sanctions on Iran by the Trump Administration as S&P Global Platts hosts its 11th Annual Crude Oil Summit in London. Tullow Oil CEO Paul McDade and Goldman Sachs’ head of commodity research Jeff Currie will give keynote speeches at the event. On Saturday, the Saudi, Kuwaiti and UAE energy ministers met in Kuwait, where they were expected to discuss increasing oil supplies to offset the potential impact on Iranian output from sanctions, as well as the crisis in Venezuela. But ministers were tight-lipped and would not confirm whether they had discussed possible production increases. Crude prices, which are hovering close to 80 dollars a barrel, are increasing pressure on OPEC and its allies in an agreement to cut production to pump more oil. However, there are 24 countries in the alliance. Getting them all to sign up to a quota change is easier said than done. Buoyant oil prices are also being felt in the shipping industry through sharply higher fuel prices. ICE Brent futures began the year at close to 67 dollars a barrel but recently breached the 80 dollars mark for the first time in three and a half years, as you can see in this chart. In the container market, shipping lines have sought to cover their increased costs by hitting customers with emergency bunker surcharges. Several container lines have imposed surcharges in the past two weeks to compensate for rising fuel bills. However, the Global Shippers’ Forum trade body has called the move an unwelcome legacy of the cartel era. It argues that existing pricing arrangements already reflect higher bunker costs. Finally, in generating fuels, markets are expected to gain greater clarity this week on the prospects for new nuclear power plants in Great Britain. Japanese conglomerate Hitachi has proposed to build a new plant in Wylfa, North Wales, and a statement on the project is expected from the UK government. This could mean the UK backs a second new nuclear plant after EDF's Hinkley Point C, which was approved in 2016 and is now under construction. What’s different this time is that Hitachi appears to need the government to take a financial stake in Wylfa to proceed, as well as extending loan guarantees and a 35-year power purchase contract. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-06-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052818-market-movers-asia-may-28-june-1-appetite-grows-for-n-american-crude-lng-summer-trading-off-to-strong-start</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=79uQigRHmyzM4ct1YWDxqN</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, May 28-June 1: Appetite grows for N. American crude; LNG summer trading off to strong start</video:title><video:description><![CDATA[Asian demand for North American crude oil looks set to increase further this week after a recent rally in physical Dubai prices, and the release of higher-than-expected Saudi Aramco official selling prices. China kicked off its US crude buying spree last week, with Unipec buying 16 million barrels of US crude for loading in June, the biggest volume it has ever lifted in a single month. Meanwhile, Asia spot LNG summer trading is off to a strong start, with prices rising swiftly to around $9/MMBtu last week. The Japan Korea Marker spot LNG price will start this week at a three-month high and discussions for July and especially August look strong. In thermal coal, the market will be assessing the impact of South Korea's move to reduce the sulfur content of imports to 0.4% in a bid to improve air quality, as well as Beijing's measures to cool China's coal market. S&P Global Platts editor for LNG markets Edwin Loh looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. Related event: S&P Global Platts 4th Annual LNG & Natural Gas Markets Asia Conference View Full Transcript Video Transcript This week, Asia's appetite builds for North American crude, and the LNG market turns bullish, plus we’ll take a look at how new policies in South Korea and China might affect the thermal coal market. But first, in oil, Asia's appetite for North American crude oil looks set to increase further this week after a recent rally in physical Dubai prices, and the release of higher-than-expected Saudi Aramco official selling prices. China has already kicked off its US crude buying spree, with Unipec buying 16 million barrels of US crude for loading in June, the biggest volume it has ever lifted in a single month. The strength in the Dubai market has pushed WTI prices to a steep discount to the Middle Eastern pricing benchmark, throwing the North America-Asia arbitrage window wide open. This comes as the spread between front-month Dubai crude and the same-month WTI swap hit an almost 3-year low last Wednesday. In LNG, Asia spot LNG summer trading is off to a strong start, with prices rising swiftly to the $9 range last week on strong end-user and short covering demand. The Japan Korea Marker spot LNG price will start this week at a three-month high and discussions for July and especially August look strong. So, our question this week is: How long will this summer rally last? Let us know what you think using the hashtag PlattsMM. Also, don't forget to join us at the Platts 4th Annual LNG & Natural Gas Markets Asia Conference this Thursday and Friday. In petrochemicals, the closely-watched East China styrene monomer spot market will start the week at a near 8-month high amid tight supply, although prices appear set to weaken as discussion crosses into June. The recent surge in prices was due to low inventory after a reduction in deepsea cargo arrivals since March and turnarounds in China, but supply tightness is expected to start easing this week. The thermal coal market will this week be assessing the impact of South Korea’s move to reduce the sulfur content of imports to 0.4 percent in a bid to improve air quality. South Korea has been buying more higher sulfur US thermal coal recently and is reliant on Australian coal, where many mines cannot produce coal with a sulfur content that meets the new target. Traders are also keeping a close watch on Beijing’s measures to cool China's coal market, which saw domestic thermal coal futures tumble last week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-05-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:40</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052818-market-movers-asia-june-4-june-8-keeping-iran-deal-alive-seen-key-to-talks-between-china-iran-russia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4qtdKbskKeQHzv3FRJVFu1</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, June 4-June 8: Keeping Iran deal alive seen key to talks between China, Iran, Russia</video:title><video:description><![CDATA[Leaders of China and Iran are expected to meet on the sidelines of the Shanghai Cooperation summit this weekend, which Russian president Vladimir Putin will also attend. The three leaders will be gathering for the first time since the US withdrew from the Iran nuclear agreement, and discussion is expected to center on how to keep that deal alive. In LNG, the market will keep an eye on the result of supply tenders from Angola and Russia this week to gauge price direction amid thin trading last week amid holidays in the US, UK and Singapore. The petrochemicals market is expecting styrene prices to remain firm this week due to low inventory levels, but prices could taper off next week when plant maintenance in China comes to an end. China's thermal coal imports could spike due to an expected spike in air-conditioning usage. Join our conversations on Twitter - use #PlattsMM and connect with us.]]></video:description><video:publication_date>2018-05-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/052518-libor-gains-pose-concerns-for-shippers</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=k4xA3GuS6FuKw9U9xpMGoF</video:player_loc><video:thumbnail_loc /><video:title>LIBOR gains pose concerns for shippers</video:title><video:description><![CDATA[The three-month LIBOR is one of the prevailing benchmark rates for lending across financial institutions. It comes as no surprise then that when LIBOR increases, a capital intensive sector like shipping feel the stress on its earnings and cash flows. Rates are still at relatively low levels, but S&P Global Platts Credit Analyst Jianrong Wong says increases will undoubtedly weigh heavily on the already debt-laden shipping firms. View Full Transcript Video Transcript LIBOR gains pose concerns for shippers By Jianrong Wong, Credit Analyst (Maritime), Asia Welcome to the snapshot, our series which examine the forces shaping and driving the global commodities market today. In this episode, we look at concerns over the effects of rising interest rates on the shipping market. After more than three decades of a bull run in the bond market, things are looking to come to an end. Major central banks are poised to reduce their balance sheets by offloading bond holdings into the market. This translates to an avalanche of supply, putting pressure on bond prices and concurrently lifting rates. The yield on the 12 month treasury note has risen over 2.2% as of May 2018 and LIBOR, which closely tracks US interest rates, reached 2.3 percent, its highest level since 2008. The three month LIBOR is one of the prevailing benchmark rates for lending across financial institutions. It comes as no surprise that as LIBOR increases, a capital intensive sector like shipping, will feel the stress on its earnings and cash flows. As rates are still at relatively low levels, further increases will undoubtedly weigh heavily on the already debt-laden shipping firms. To illustrate the level of gearing the shipping sector is exposed to in relation to the general economy, let’s look at the mean leverage ratio of the large shipping companies listed on S&P Capital IQ platform to the S&P 500 companies as proxy. As you can see, the difference between the two is staggering: while the debt to EBITDA of S&P 500 firms is about 1.5x, the rate for shipping firms is around 8.0x. A marginal increase in lending rates can lead to disproportionally higher pressures on a company’s debt servicing. This means that a 1% increase in LIBOR could amplify the cost of debt as a share of operating income. We identified one profitable US listed dry bulk shipping company, and the sensitivity analysis in its 2017 financials reveals that a 1% rise in LIBOR would result in an increase in interest expense that potentially could eradicate 80% of its operating income. Shipping companies have accumulated more debt amidst protracted low interest environment to fund for capital expenditures, including new-building and mergers & acquisition. Among the S&P Global Ratings universe, 15 out of 17 shipping companies were rated non-investment grade as of February 2018. Notably, these companies have very weak leverage factor scores, which contributed to the final rating. Investors should brace themselves for the inevitable headwinds in shipping, particularly when looming new regulations will fuel additional costs to the industry. Are these unwarranted concerns or is LIBOR the elephant in the room? Till next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-05-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/052218-singapores-bunker-industry-set-to-embrace-mass-flow-meters-for-marine-gasoil-ahead-of-imo-202-rule</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EATwDLXQvb4JLACnBRSRgr</video:player_loc><video:thumbnail_loc /><video:title>Singapore's bunker industry set to embrace mass flow meters for marine gasoil ahead of IMO 2020 rule</video:title><video:description><![CDATA[Singapore, the world’s largest bunkering port, is ready to implement the mass flow meters mandate for distillate fuel deliveries in 2019. In this video, S&P Global Platts editor for bunker fuels Surabhi Sahu explains how this move is not only set to enhance transparency in the bunker industry but also position Singapore comfortably for the International Maritime Organization's upcoming global sulfur limit rule for marine fuels. View Full Transcript Video Transcript Singapore's bunker industry set to embrace mass flow meters for MGO ahead of IMO 2020 rule By Surabhi Sah Welcome to The Snapshot - our series examining the forces shaping and driving global commodities markets today. In this episode, we will take a look at how Singapore, the world’s top bunkering port, is preparing for the International Maritime Organization's upcoming global sulfur rule. The rule brings into force the 0.50% limit in sulfur in marine fuels from January 1, 2020 from the 3.5% currently. It applies outside designated emission control areas where the limit is already 0.10 %. Maritime and Port Authority of Singapore announced that it will implement the Mass Flow Meters mandate for distillate deliveries from July 2019. MFMs measure the flow rate in the pipe, gauging the quantity as well as the mass and density of the fuel. The announcement came after the extremely positive feedback from the bunker industry on the mandatory use of MFMs for marine fuel oil deliveries from January 1, 2017. This is a significant move because gasoil is expected to become the predominant fuel of choice for the shipping industry come 2020. The MPA is also providing a co-funding program for installing these MFMs. Similar to the use of MFM for marine fuel oil delivery, the use of MFM for distillates will provide better assurance to both the bunker buyers and suppliers on the quantity of bunker delivered and enhance operational efficiency. One potential consequence of the MFM mandate for MGO, however, is a possible rationalization of the industry due to potential forced or voluntary exits even though bunker sales in the city-port are expected to grow unabated. This happened when MFMs where mandated for fuel oil deliveries. So some industry players in the MGO market could meet a similar fate. Currently, there are about 213 registered bunker tankers in Singapore -- 130 are for fuel oil, 71 are for MGO, 11 are dual-fueled, and 1 is for ultra-low sulfur fuel oil. Come 2020, many industry sources expect that the ratio of MGO: MFO bunker tankers could reach as high as 2:1. Suppliers are already investing in marine gasoil bunker tankers and those with existing modern bunker barges, originally meant for fuel oil, are also expected to tidy up their tanks to switch them for MGO deliveries. This supply side response is expected as demand for cleaner fuels accelerates; particularly because the uptake of scrubbers is expected to remain slow, at least initially. Also noteworthy is Singapore’s impetus towards LNG bunkering. It has already spearheaded the creation of a network of LNG-ready ports that includes 11 ports worldwide. It launched the technical reference or TR 56 standard for LNG bunkering last year and is also developing LNG infrastructure rapidly. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-05-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052118-market-movers-asia-may-21-25-all-eyes-on-chinas-iranian-crude-oil-import-data</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nEgGoc8e4W3r9P3my3wGxF</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, May 21-25: All eyes on China’s Iranian crude oil import data</video:title><video:description><![CDATA[China is expected to release data on its Iranian oil imports this week, as Asian oil and shipping markets continue to assess the impact of the US President DonaldTrump's decision to withdraw from the Iran nuclear deal . The April data is expected to show an increase in its crude imports from Iran, and comes after the National Iranian Oil Company said Iran's total oil exports in April hit a record 2.6 million barrels per day. Still in oil, the energy ministers of Saudi Arabia, the UAE and Russia are due to meet on the sidelines of the St Petersburg International Economic Forum, which OPEC Secretary General Mohammed Barkindo is also attending. The meeting comes as Asian refiners' robust summer feedstock requirements and healthy middle distillate product margins spark a price rally in the Middle Eastern sour crude complex. And in metals, iron ore industry stakeholders are expected to gather at the Singapore Iron Ore Week. Issues that are expected to dominate discussion include the demand for low alumina content iron ores and steel mill gross margins. The S&P Global Platts Metals Team will hold a Ferrous Seminar and Market on Close workshop on May 23. For more details: Platts.com/events . S&P Global Platts editor for metals markets Niki Wang looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. Related video: Futures, scrap and impurities: Key topics at Singapore Iron Ore Week View Full Transcript Video Transcript This week, China will release data on crude imports from Iran, the metals industry gathers in Singapore for Iron Ore Week, and Supramax rates are holding up. But first, China this week will release data on its Iranian oil imports, as Asian oil and shipping markets continue to assess the impact of the US'decision to withdraw from the Iran nuclear deal. The data for April is expected to show an increase in its crude imports from Iran, and comes after the National Iranian Oil Company said Iran's total oil exports in April hit a record 2.6 million barrels per day. Buyers of Iranian oil have until November 4 to wind down contracts before the US re-imposes sanctions on Iran’s oil, energy, shipping and insurance sectors. Elsewhere in oil, the energy ministers of Saudi Arabia, the UAE and Russia are due to meet on the sidelines of the St Petersburg International Economic Forum in Russia, which OPEC Secretary General Mohammed Barkindo is also attending. The ministers’ meeting comes as Asian refiners' robust summer feedstock requirements and healthy middle distillate product margins spark a price rally in the Middle Eastern sour crude complex. The spread between July cash Dubai and same-month Dubai swap, a key gauge of spot market demand in Asia, hit a close to four-year high last week. Do you think the sour crude complex will rally further this week? Let us know what you think using the hashtag PlattsMM. In last week’s poll on whether you expected to see major changes in Malaysia’s energy policies after the country’s dramatic election result – 42 per cent of you said yes, 26 percent said no and 32 per cents said it was too early to tell. In metals, two issues are expected to dominate discussion at Singapore Iron Ore Week. Demand for low alumina content iron ores is expected to continue pushing up premiums for such cargoes from Brazil, as the differential has more doubled since January to hit 3 dollars per dry metric ton last week. And in China, steel mill gross margins hit 1,000 yuan per metric ton last week. This, combined with increasing downstream orders, has prompted mills to run at high rates, which also increases demand for low-alumina ores to further improve productivity. The S&P Global Platts Metals Team will hold a Ferrous Seminar and Market on Close workshop on Wednesday. Join us to talk about the latest trends in the iron ore market and to celebrate the 10th birthday of Platts IODEX. In shipping, Supramax freight rates in the Pacific were expected to remain supported Monday after tonnage availability tightened last week. However, market sources expect the supply situation to ease over the next couple of weeks as more vessels are expected to ballast into Southeast Asia from east coast India. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-05-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/052118-market-movers-europe-may-21-25-oil-shipping-markets-eye-eus-next-move-on-iran-gas-power-traders-look-to-winter-forecast</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jVdQERRK6shdkZvi4zFPav</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, May 21-25: Oil, shipping markets eye EU's next move on Iran; gas, power traders look to winter forecast</video:title><video:description><![CDATA[The oil and shipping markets are heavily focused on the re-imposition of US sanctions against Iran, which may hit up to 1 million b/d of oil exports. The market will watch closely for how the European response may develop further after the European Commission announced Friday that it had launched a formal process to activate the Blocking Statute, a piece of legislation that forbids EU companies from complying with the extraterritorial effects of US sanctions. Europe consumes around a third of Iran’s crude exports, and European refiners are already having difficulty shipping Iranian oil. Shipowners are starting to avoid this route because of the risk of US sanctions. In agriculture, European biodiesel prices are expected to slip as large quantities of imports from Argentina and Southeast Asia begin arriving at the continent’s ports. The imports will add to already high stocks. In gas and power, traders are looking to US data vendor Weather Company to release its first outlook for winter this year. This will provide traders with their first indication of what temperatures they might expect, and help determine their trading strategies. And in metals, contract negotiations in the European flat steel market kick off this week, and mills are showing a steely resolve. They’re looking to increase settlement prices with their major industrial customers. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: The biodiesel market expects a tumble; gas and power traders eye next winter’s weather outlook; and steel mills are feeling bullish about prices. But first: the oil and shipping markets are heavily focused on the re-imposition of US sanctions against Iran, which may hit up to 1 million barrels a day of oil exports. The market will watch closely for how the European response may develop further after the EC announced Friday that it had launched a formal process to activate the Blocking Statute, a piece of legislation that forbids EU companies from complying with the extraterritorial effects of US sanctions. Europe consumes around a third of Iran’s crude exports, and European refiners are already having difficulty shipping Iranian oil. Shipowners are starting to avoid this route because of the risk of US sanctions. EC President Jean-Claude Juncker has said the EU is fully committed to the continued, full and effective implementation of the 2015 Iran nuclear deal, as long as Iran respects its obligations. The oil markets will be watching closely for signs of political efforts by European government representatives in Brussels to seek a waiver on Iranian sanctions which may hit up to 1 million b/d of oil exports from there. The likelihood of exports from Iran plunging has unsettled the oil market. Brent crude futures last week briefly traded above $80 a barrel. As well as the risks to Iranian supply, Brent’s rise to its highest level since 2014 was driven by a number of factors, including an unexpected crude stock drawdown in the US, as well as the economic and political crisis in Venezuela. Some have questioned the sustainability of current oil prices, which leads us to our social media question: Do you expect oil to finish 2018 up or down from current prices? Tweet us your thoughts with the hashtag #PlattsMM. Talking about sustainability, European biodiesel prices are expected to tumble, as large quantities of imports from Argentina and Southeast Asia begin arriving at the continent’s ports. The imports will add to already high stocks. The recent rise in the oil complex has caused biodiesel demand to soar. High gasoil prices have made it an increasingly cheap substitute for some buyers. However, the latest flood of product looks set to outweigh the additional demand, putting downward pressure on prices. In the gas and power markets, traders are looking to the Weather Company on Monday. The US data vendor is set to release its first outlook for winter this year, providing traders with their first indication of what temperatures they might expect. Long-term weather outlooks are rarely as reliable as near-term forecasts. But warm or cold, the weather has a huge impact on gas and electricity demand for heating. And that will play a critical role in determining trading strategies. Finally, contract negotiations in the European flat steel market kick off this week, and mills are showing a steely resolve. They’re looking to increase settlement prices with their major industrial customers, announcing increases of 20 to 40 euros in offer levels from 530 to 540 euros a metric ton. Such a move would further increase margins in the European steelmaking sector. In the first quarter, Luxembourg-based ArcelorMittal, the world’s largest steelmaker, improved its EBITDA per metric ton of steel to $101. That’s the highest since 2012. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-05-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/052118-platts-launches-battery-grade-lithium-carbonate-price-assessment</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5N69ir3wJipzCCj6kzdoUz</video:player_loc><video:thumbnail_loc /><video:title>Platts launches battery grade lithium carbonate price assessment</video:title><video:description><![CDATA[S&P Global Platts explains the methodology for its newly-launched price assessment for battery grade lithium carbonate delivered into North Asia for a minimum purity of 99.5% lithium. In this short video, Ciaran Roe , Global Metals Methodology and Pricing Manager, and Marcel Goldenberg , EMEA Methodology and Pricing Specialist, explain the background to launching this assessment. Platts explains the mechanism and processes it uses for assessing lithium carbonate delivered into China, South Korea and Japan and which volumes, lead times and payment terms are considered for the assessment. Read the price assessment page here . Download the Platts methodology and specifications guide for Non-Ferrous Metals here . Your feedback is important to us. Please send suggestions, questions and comments to battery_metals@spglobal.com and pricegroup@spglobal.com . Watch this video with Mandarin subtitles: 普氏推出电池级碳酸锂价格评估]]></video:description><video:publication_date>2018-05-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/052118-methodology-battery-metals-lithium-carbonate-cn</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HVY9iPXdn6XJYPxsnfa3Vx</video:player_loc><video:thumbnail_loc /><video:title>普氏推出电池级碳酸锂价格评估</video:title><video:description><![CDATA[标普全球普氏解释了新启动的纯度最低 99.5% 的电池级碳酸锂 CIF 北亚估价的评估方法。 在这个短视频中，全球金属价格评估经理 Ciaran Roe 以及 EMEA 金属价格评估方法专员 Marcel Goldenberg 做了启动该价格评估的背景介绍。 普氏解释了该交互至中国、韩国和日本的估价的评估原理和过程，成交量、交付周期、支付条款均纳入考虑。 点击 这里 下载普氏有色金属评估方法及规格指南。 我们很重视您的反馈。任何建议、疑问和评论请 email 至 battery_metals@spglobal.com 及 pricegroup@spglobal.com 。 Watch this video with English subtitles : Platts launches battery grade lithium carbonate price assessment]]></video:description><video:publication_date>2018-05-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/051818-an-interview-with-alistair-burt-uk-minister-of-state-for-the-middle-east</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-18T01:15:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=puqxBT7e7hBofaF9wAVrXX</video:player_loc><video:thumbnail_loc /><video:title>An Interview with Alistair Burt, UK Minister of State for the Middle East</video:title><video:description><![CDATA[With oil prices near $80/b, concerns over geopolitics and the risks around the Middle East are at the forefront of traders' minds. Alistair Burt, UK Minister of State for the Middle East, recently sat down with Andrew Critchlow , S&P Global Platts Head of Energy News, and Robert Perkins , Senior Writer, EMEA Oil News, to discuss the key issues, including the US decision to reimpose sanctions on Iran.]]></video:description><video:publication_date>2018-05-18T01:15:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>20:37</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051718-futures-scrap-and-impurities-key-topics-at-singapore-iron-ore-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gWkAkWwxN7Fpt8tcxRrgEi</video:player_loc><video:thumbnail_loc /><video:title>Futures, scrap and impurities: key topics at Singapore Iron Ore Week</video:title><video:description><![CDATA[The evolution of the iron ore derivatives landscape, such as the internationalization of the Dalian iron ore futures and launch of Shanghai Clearing House's cash-settled iron ore futures , is seen to be among the hottest topics at the Singapore Iron Ore Week. In this video, Julien Hall , S&P Global Platts Metals Content Director in Asia, also explores other key topics to watch such as increased scrap usage and China's electric arc furnace production, which could affect the iron ore market. Related event : Platts Ferrous Seminar & Market on Close Workshop View Full Transcript Video Transcript Futures, scrap and impurities the key topics for Singapore Iron Ore Week Julien Hall, Regional Metals Content Director, Asia Welcome to the Snapshot, a series which examines the forces shaping and driving commodity markets today. In this episode, we’ll take a look at the latest developments in the iron ore market as the industry comes together in Singapore for the 2018 Iron Ore Week. Key topics in the market will be the ongoing evolution of the iron ore derivative landscape. One is the internationalization of Dalian iron ore futures early this month. The other one is the launch of Shanghai Clearing House’s own cash-settled futures happening as recently as early May. These should provide interesting new opportunities for hedging and spread trading. Growing volumes on the SGX coking coal and LME scrap contracts are also part of the story, meaning the ferrous complex comes closer to having a full suite of derivatives at its disposal - the long-awaited Virtual Steel Mill. In the physical market, the benchmark IODEX 62% Fe price has been moving less dramatically than in recent years: volatility has eased, with the market trading in a tighter range over the last 18 months or so. Rather than iron ore, the big story has been steel - which, boosted by China’s capacity cuts and blue-sky policies - is still seeing prices at close to five year highs, with strong domestic demand resulting in a decline in the country’s steel export volumes. These policies had a number of other chain reactions across ferrous markets, with for example, record steelmaker margins playing havoc with iron ore impurity penalties - making it critical for the industry to have up-to-date information on silica and alumina differentials in particular. Also worth keeping an eye on is increased scrap usage and a slow, long-term decline in pig iron - but not crude steel - output in China, as the country lifts electric arc furnace production. This could have potentially far-reaching and in some cases troubling implications for iron ore. For more details on this, please take a look at the latest report from Platts Metals Analytics, Beijing's Visible Hand, which looks at China’s iron ore and scrap demand through to 2020. This year also marks a special birthday for a key member of this illustrious market: IODEX, the first daily spot price to be published in 2008, and the most widely-used benchmark today, is turning 10 years old. To learn about all the latest trends in both the physical and paper markets, to meet the team or to celebrate our 10 years in the iron ore market, please come and join us for Platts’ Ferrous Seminar & MOC workshop on Wednesday 23 May at Marina Bay Sands Convention Center. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2018-05-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051618-is-asia-resilient-enough-to-absorb-rising-oil-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-16T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hdbE84RSdH8ScJtRRCL5Wr</video:player_loc><video:thumbnail_loc /><video:title>Is Asia resilient enough to absorb rising oil prices?</video:title><video:description><![CDATA[Oil demand continues to grow in China and India, but the recent rise in oil prices has raised two key questions: To what extent can Asia absorb the impact of rising oil prices? And can governments continue to pass on the costs to consumers? In this video, Senior Editor Sambit Mohanty examines how the region is facing the challenge of rising crude oil prices and how some governments are trying to address it, particularly after the US revealed its plan to leave the Iran agreement,which could in turn lead to a drop in supply. View Full Transcript Video Transcript Is Asia resilient enough to absorb rising oil prices? By Sambit Mohanty Welcome to The Snapshot - our series examining forces shaping and driving global commodities markets today. Rising oil prices have raised two key questions for Asia -- To what extent the region can absorb the price impact without witnessing a drop in demand? And to what extent governments can pass on the price rise to end consumers? Despite crude continuing its upward climb, demand has remained resilient in China and India, Asia’s two biggest pockets of growth. China's apparent oil demand grew 6.8% year on year in Q1. And in India, oil products demand grew 8.5% in the same period. The impact on demand could become more obvious in the next few quarters. S&P Global Platts Analytics expects Asian oil demand growth to ease to 1 million b/d, from an average of 1.2 million b/d in the past three years. But that said, strong economic activity should continue to support demand in the longer run. Economists and analysts at S&P Global believe that many oil-dependent countries in Asia have stronger economic fundamentals to absorb the oil shock better now than in the past when prices surged. In India, the impact of higher oil prices on the current account deficit is already visible. CRISIL, a unit of S&P Global, expects India's current account deficit as a percentage of GDP to be at 1.9% in fiscal 2018, up from 0.7% in the previous fiscal year. India certainly has the option of cushioning the impact by cutting excise duties on gasoline and gasoil. But that would mean more pressure on the fiscal deficit, which is already under strain. China's balance of payments remains robust. This should help to absorb the high oil prices better. It should also have limited impact on inflation, given the smaller weight of energy-related items in the basket. Although Malaysia has become a small net oil importer, it remains a major exporter of LNG. As LNG prices rise, it should help to neutralize the impact of higher oil prices on balance of payments. When crude oil started its downward trend in 2015, Asian countries used it as an opportunity to cut subsidies and implement taxes for fiscal gains. They did it by cutting retail prices at a lower rate than the pace at which crude prices fell. Those policy measures in a low price environment did not hurt end-users. As a result, demand remained robust. But now, governments are feeling the stress as retail prices surge. Some countries are in serious discussions with their oil companies on whether to raise product prices at a similar rate as crude oil. With the US now planning to leave the Iran nuclear deal, this could lead to a fall in supplies and could put upward pressure on prices. To give an example, about 70% of Iran’s crude exports came to Asia in April. Will this add to the problems of Asian buyers? Are we going to see some policy reversal in the region? Until next time on The Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-05-16T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/051418-market-movers-asia-may-14-18-asia-markets-assess-risks-following-us-re-imposition-of-iran-sanctions-malaysian-regime-chan</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nRnvc39DbNUv4NgumaTn8g</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, May 14-18: Asia markets assess risks following US' re-imposition of Iran sanctions, Malaysian regime change</video:title><video:description><![CDATA[Southeast Asia will be on the lookout for any signs of changes in Malaysia's energy, trade, and fiscal policies after opposition leader Mahathir Mohamad won in last week's elections. Sources said his victory could significantly impact state-run energy firm Petronas' upstream and downstream business strategies. The oil market is also keeping an eye on Asian refiners' reaction to the US withdrawal from the Iran nuclear agreement . Observers say while South Korea and Japan may be sensitive to this development, China may stand to benefit from it. Listen to the related podcast here: Implications of US sanctions on Iran for Asian buyers The Iran sanctions could also affect ethylene producers in Japan and South Korea, who may face higher feedstock naphtha costs. Still in petrochemicals, S&P Global Platts has launched the e-Window tool for Asian paraxylene CFR Taiwan/China market for a more efficient price assessment process. For questions on this tool, please email: Andrew Song San Wong , Platts Petchems , and Platts Price Group . Meanwhile, the LNG market is now seeing buying interest from Chinese end-users seeking winter volumes to facilitate coal-to-gas switches. S&P Global Platts editor for petrochemical markets Yi-Jeng Huang looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. Related event: Platts Seoul Commodity Market Insights Forum View Full Transcript Video Transcript This week, Southeast Asia’s oil and gas sector looks for signs of policy changes in Malaysia after last week’s general election result, and the oil market remains on tenterhooks after the US announcement on re-imposing sanctions on Iran. We’ll also take a look at how this will affect Asian petrochemical prices. But first, Asian oil market participants are this week watching regional refiners' reaction to the US’ withdrawal from the Iran nuclear agreement, its first step towards resuming sanctions against Iran. South Korean and Japanese refiners may be especially sensitive to this development, while China may stand to benefit. The US has never been able to control Beijing’s trade relations with Iran and that is unlikely to change this time. More on this from our latest Global Oil Markets podcast on Platts.com. Meanwhile, traders in Southeast Asia will be on the lookout for any signs of change in Malaysia's trade and fiscal policies following last week's general election, which saw an opposition victory for the first time in more than 60 years. Sources said this could significantly impact state-run energy firm Petronas' upstream and downstream business strategies. This brings us to our social media question for the week: Do you expect major changes in Malaysia’s energy policies with Mahathir Mohamad taking office? In petrochemicals, trade sources say toluene and isomer MX prices have little room to fall this week after hovering around three-year highs last week. Prices will be supported by continued firm demand from China, as well as the news on US sanctions against Iran. The sanctions could also impact ethylene producers in Japan and South Korea, who may face higher feedstock naphtha costs and a narrowing of their ethylene margins. Still in petrochemicals, we have launched an editorial tool for the Asian paraxylene CFR Taiwan/China market, geared towards more efficient price discovery. Get in touch with us to learn more about this Market on Close tool. In LNG, seasonal buying interest from Chinese end-users seeking winter - yes, you heard that right - winter volumes to facilitate coal-to-gas switches will likely support Asia LNG prices this week. Chinese end-users have been front-loading their winter requirements this year, after last year’s severe winter gas shortage. In shipping, dry bulk spot tonnage in the Pacific for both Panamax and Supramax vessels is tight, so freight rates should stay well supported this week. Demand from grains out of East Coast South America in June should add further support. And lastly, if you are in Seoul on May 16, we'd love to see you at the S&P Global Platts Seoul Commodity Market Insights forum, where we'll be sharing insights on key topics affecting the energy and metals markets. Visit Platts.com for the forum agenda. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-05-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/051418-market-movers-europe-may-14-18-oil-market-focusing-on-middle-east-tensions-key-eu-announcement-on-carbon-market-due</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Ja7PUge2oDx3MUzdnciojA</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, May 14-18: Oil market focusing on Middle East tensions; key EU announcement on carbon market due</video:title><video:description><![CDATA[Geopolitical tensions in the Middle East are likely to loom large in the oil market this week. Iran is set to mount a diplomatic fight-back following the US decision to re-impose sanctions on it. The EU Emissions Trading System is back in the spotlight, with carbon prices climbing to a fresh seven-year high, with the European Commission expected to publish an updated figure for the cumulative surplus of carbon allowances. Elsewhere, in the North Sea oil market, traders of Dated Brent will be watching closely this week whether new grade Troll will continue to price lower than Brent, Forties, Oseberg and Ekofisk. In petrochemicals, demand for plastics is expected to pick up next week, in line with seasonal patterns. Increased beverage sales during the summer months are keeping plastics producers hopeful of higher prices, but high run rates have caused European inventories to swell. Finally, in London, Thursday, industry leaders from around the metals world will gather for the sixth annual S&P Global Platts Global Metals Awards. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s Market Movers: The carbon market awaits an EU announcement as emissions prices climb; the plastics market looks forward to summer; and the metals world readies itself for a big night. But first: geopolitical tensions in the Middle East are likely to loom large in the oil market this week. Iran is set to mount a diplomatic fight-back following the US decision to re-impose sanctions on it. Iran is OPEC's third-largest oil producer. As part of the effort, Iranian Foreign Minister Mohammad Javad Zarif is due to visit Beijing, Brussels, and Moscow. The US decision caused ICE Brent crude futures to surge to over $77 a barrel last week, their highest since 2014. Meanwhile, in Iraq, general election results due shortly could prompt a change of oil minister. Political uncertainty could create new hurdles for energy projects that span upstream oil and gas, export infrastructure and the refining sector. Moving from Baghdad to Brussels, the EU Emissions Trading System is back in the spotlight, with carbon prices climbing to a fresh seven-year high. The European Commission is expected to publish an updated figure for the cumulative surplus of carbon allowances on Monday or Tuesday this week. The figures will be closely watched by the market, as they will be used to determine the volume of allowances to be cut from auctions in January to August 2019. It’s the first time the market will have a definitive figure for cuts designed to ease the oversupply of allowances. And talking of firsts, in the North Sea oil market, traders of Dated Brent will be watching closely this week whether new grade Troll will continue to price lower than Brent, Forties, Oseberg and Ekofisk. Troll, which became part of the Dated Brent assessment at the start of this year, usually prices above the other four grades. But, as the chart shows, last week’s strong demand for the four more established grades have pushed them above Troll. In petrochemicals, demand for plastics is expected to pick up next week, in line with seasonal patterns. Increased beverage sales during the summer months are keeping plastics producers hopeful of higher prices, but high run rates have caused European inventories to swell. PVC producers are usually able to raise prices during the second and third quarters because of the seasonal pick-up in the construction industry. In London this week on Thursday, industry leaders from around the metals world will gather for the sixth annual S&P Global Platts Global Metals Awards. The glitzy black-tie gala will see titans such as POSCO, Tata Steel, and Noranda among the competing finalists, in what has been another good year for the sector, despite the headwinds of US tariffs. We look forward to seeing you there. Finally, please take a few moments this week to check out S&P Global Platts’ new battery-grade lithium carbonate assessments. You can view them in our Metals Daily newsletter or on our Platts Metals Alert Page 8888. Please share any feedback with us at battery_metals@spglobal.com. Thank you for kicking your Monday off with us, and have a great week ahead.]]></video:description><video:publication_date>2018-05-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051018-lack-of-lng-storage-a-challenge-for-balancing-global-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HYRMFGzuEXCebV1296HnWr</video:player_loc><video:thumbnail_loc /><video:title>Lack of LNG storage a challenge for balancing global markets</video:title><video:description><![CDATA[As global additions to supply continue to flow, the role of pure counterseasonal regions in balancing the market is coming into question. Between a more robust production outlook in South America and stabilizing LNG demand in the Mideast Gulf, year-to-date import volumes in these regions were down 6% through April. Madeline Jowdy , S&P Global Platts senior director of global gas and LNG, examines the factors influencing the market.]]></video:description><video:publication_date>2018-05-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:56</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050918-brent-crude-oil-volatility-may-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=URiQJn9vAAnBhF6UtGybHZ</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: May outlook</video:title><video:description><![CDATA[The Dated Brent crude oil market could experience a higher degree of market volatility in the coming weeks: a wide Brent/WTI spread, which will continue to incentivize American barrels to enter Europe and compete against BFOE grades; higher American crude oil production; and a good Asian demand and a sustained geopolitical risk, are all factors that will significantly impact market prices. View Full Transcript Video Transcript 2018 Brent crude oil volatility: May outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market has been driven by a higher buying pressure generated by 2 main factors: growing arbitrage opportunities to clear North Sea sweet crude grades to Far East and a healthy domestic demand. The fixtures towards the Far East were several throughout the whole month of April and market participants tried to take advantage of good arbitrage economics as much as they could because, in Europe, the wide Brent/WTI spread increased the competition between BFOE grades and American barrels, WTI Midland and Eagle Ford above all, making it more difficult to find buyers. This trend will probably continue in coming weeks, in fact, market participants have estimated that nearly 25 million barrels of American oil would enter the Old Continent in the month of May. Internationally, the most important factor that has boosted crude oil prices up across the globe is geopolitical risk. In fact, the US-led strike against the Syrian regime, uncertainty around Trump’s decision to renew US sanction relief against Iran and the Venezuelan election due on May 20, which could trigger even more US sanctions against the Maduro regime, are all elements that increased investors’ concerns. In fact, it is not a case if the net long positions on ICE Brent futures, in the month of April, achieved an all-time high. The Volatility Premium analysis suggests that its April value is a lot higher than its quarterly and semiannual averages meaning that it will tend to narrow in coming weeks causing some short-lived turbulence which should be followed by a slow uptrend. Besides, the probability Distribution analysis shows that the fluctuation rate is moving within a fairly stable area implying that Dated Brent prices are likely to trade within a channel, at first, and subsequently move higher. Finally, the Volatility Cones analysis indicates that the market might still experience some short-lived retracements but overall it looks fairly well balanced implying that Brent prices are likely to slowly uptrend and then stabilize. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-05-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/050718-market-movers-asia-may-7-11-asian-crude-buyers-grapple-with-oil-prices-at-four-year-highs-ahead-of-us-decison-on-iran-san</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-05-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QCkGdFUQGax5SuDwkx6DyP</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, May 7-11: Asian crude buyers grapple with oil prices at four-year highs ahead of US decison on Iran sanctions</video:title><video:description><![CDATA[Oil markets will be keeping a close eye this week US President Donald Trump's decision to re-impose sanctions on Iran. In the lead-up to the May 12 deadline, oil prices have hit multi-year highs, with some analysts saying 1 million barrels per day of supply could be impacted if the sanctions are re-imposed. Middle Eastern suppliers raised their official selling prices to four-year highs. Last week, Qatar Petroleum, Saudi Aramco and ADNOC raised their OSPs, and Asian oil buyers are now awaiting announcements from Iran, Iraq and Kuwait to get the complete picture. In petrochemicals, the US' move to impose preliminary antidumping duties on polyethylene terephthalate from Brazil, Indonesia, South Korea, Pakistain and Taiwan is seen likely to redirect Asian PET from the US to other markets this week. And in thermal coal, Asian market players are hoping for a breakthrough this week in negotiations for Japanese term contracts involving Australian coal producer Glencore. S&P Global Platts editor for agriculture markets Samar Niazi looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, Asian crude buyers grapple with prices at four-year highs, US duties impact PET trade flows, and India moves to support local sugar prices. But first, markets will be keeping a close eye this week on whether US President Donald Trump decides to re-impose tougher sanctions on Iran. Trump has until Saturday to decide whether to continue the waiver of oil import-related sanctions, which took effect in January 2016. In the lead-up to the decision, oil prices have hit multi-year highs, with some analysts saying 1 million barrels per day of supply could be impacted if the sanctions are re-imposed. Do you expect the sanctions will be re-imposed? Join our conversation on Twitter with the hashtag PlattsMM. Elsewhere in oil, pressure is mounting on Asian oil buyers this week after major Middle Eastern suppliers raised their official selling prices to four-year highs. Last week, Qatar Petroleum, Saudi Aramco and ADNOC raised their OSPs, and buyers are now awaiting announcements from Iran, Iraq and Kuwait to get the complete picture. In Asia, China is expected to release its closely-watched preliminary oil import and export data for April on Tuesday. In petrochemicals, the US' move to impose preliminary antidumping duties on PET from five countries is seen likely to redirect Asian PET from the US to other markets this week. The US Department of Commerce last week imposed preliminary duties on PET from Brazil, Indonesia, South Korea, Pakistan and Taiwan until a final duty determination is made on September 17. In sugar, the Indian government approved an 82 cent per metric ton subsidy on domestic cane production last week in a bid to boost prices, which have fallen 25 per cents this season. The subsidy is equivalent to an export subsidy of 122 dollars per metric ton. In thermal coal, Asian market players are hoping for a breakthrough this week in negotiations for Japanese term contracts involving Australian coal producer Glencore. Some traders believe Glencore could settle with its Japanese customers at close to 100 dollars per metric ton, a hefty 15 dollars higher than last year. In shipping, Capesize freight rates increased towards the end of last week due to higher steel and iron ore prices after a challenging April, and sources said the outlook for May was still unclear. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-05-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/043018-market-movers-europe-apr-30-may-4-us-tariff-exemptions-set-to-expire-oil-markets-weighing-possible-iran-sanctions</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=57AzZThLeeiFkPHec9mgYv</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Apr 30 - May 4: US tariff exemptions set to expire; Oil markets weighing possible Iran sanctions</video:title><video:description><![CDATA[The clock runs out May 1 on temporary exemptions for EU countries from US Section 232 tariffs on aluminum and steel imports. Steel market sources question the likelihood of Europe’s current exemptions being extended. Also May 1, BP will be the last of the oil majors to unveil first-quarter financial and operating results. Meanwhile, there are rising expectations the US will re-impose sanctions on Iran in the month ahead. In the sugar markets, futures traders will be wondering just how low the sweet crop can go. Further downward pressure is expected this week, which threatens to take the London No. 5 contract to its lowest levels since 2008. Our social media question for this week: How low can sugar prices go? Tweet us your thoughts with the hashtag #PlattsMM . In Europe's power markets, traders are bracing themselves for a hydro glut next month, as snow melt has started across the Alps and the Nordic states. Elsewhere, coal traders will be eyeing a financial arbitrage opportunity this week. Finally, this week will see the S&P Global Platts T2 ethanol benchmark move basis from FOB Rotterdam to FOB ARA. This means the Platts assessment will incorporate cargoes loading from Amsterdam and Antwerp, better representing the active load ports across NWE. View Full Transcript Video Transcript In this week’s highlights: BP and Iran are the main focus of the oil market; further downward pressure is expected on sugar; and power traders are bracing themselves for a hydro glut. But first, metals. On Tuesday, the clock runs out on temporary exemptions for EU countries from US Section 232 tariffs on aluminum and steel imports. EU leaders, including French president Emmanuel Macron and German chancellor Angela Merkel, were in Washington DC last week for last-minute talks with US President Donald Trump. However, steel market sources question the likelihood of Europe’s current exemptions being extended. The US is seeking compromises EU leaders are unwilling to provide to make the exemption permanent. Several major steel mills, including Voestalpine and others in Northwest Europe, have already started requesting exemptions for steel imported into their US facilities. Turkey, reeling from the potential loss of export markets amid US and European measures, has launched its own investigation into steel imports. On the oil front, there are rising expectations the US will re-impose sanctions on Iran in the month ahead; markets will be weighing the results of a Middle East tour by newly confirmed US Secretary of State Mike Pompeo over the weekend. Meanwhile, BP on Tuesday will be the last of the oil majors to unveil first-quarter financial and operating results. These are likely to confirm the boost to upstream earnings being enjoyed by most oil companies due to higher oil prices, offset by weaker refining margins. However, BP has already indicated a pause in its upstream production growth in the first quarter, after its oil and gas output grew by a whopping 12% last year. In the sugar markets, futures traders will be wondering just how low the sweet crop can go. Amid global oversupply, London No. 5 futures dropped to historic lows last week. Having dipped below $320 per metric ton, the contract has struggled to break above the same level since then. New York’s No. 11 contract has also been feeling the heat recently, as you can see in our chart. Further downward pressure on sugar is expected this week, which threatens to take the No. 5 contract to its lowest levels since 2008. That’s the subject of this week’s social media question: How low can sugar prices go? Tweet us your thoughts with the hashtag #PlattsMM. In power markets, traders are bracing themselves for a hydro glut next month, as snow melt has started across the Alps and the Nordic states. The expected inflow is keeping power prices low despite bullish gas and coal, sending generation margins downhill. Spain is already ahead, with hydro reservoirs filling at their fastest rate since 2011. Auctions this week of June capacity on UK cables to France and the Netherlands will reveal to what extent the market is factoring in the snowmelt effect. Coal traders will be eyeing a financial arbitrage opportunity this week. Despite continuing bearish fundamentals for physical coal demand in Europe, there has been a recent uptick in prompt-month prices of coal delivered to Northwest Europe on a CIF basis. That has prompted traders to take advantage and resume trading US cargoes into Europe. US Central Appalachian cargoes were heard offered at a discount of roughly $3 per metric ton last week, as a large utility hedged its physical cargoes against the paper price. Finally, this week will see the S&P Global Platts T2 ethanol benchmark move basis from FOB Rotterdam to FOB ARA. This means the Platts assessment will incorporate cargoes loading from Amsterdam and Antwerp, better representing the active load ports across Northwest Europe. The change reflects the fact that activity in the broader ARA trading hub has been increasing in recent years, further underpinning the liquidity of the physical assessment. The change will take place on Tuesday. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-04-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/042318-view-from-the-top-an-interview-with-spencer-dale</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-23T05:43:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9qzj8es2RBeGsnpubLADjh</video:player_loc><video:thumbnail_loc /><video:title>View from the Top: An interview with Spencer Dale</video:title><video:description><![CDATA[Spencer Dale, chief economist at BP , talks to S&P Global Platts Andrew Critchlow and Robert Perkins on the dangers of high oil prices, peak oil demand, the exposure of the US shale sector to rising interest rates, the outlook for natural gas, Asian demand, and the future for oil majors in a fast-changing energy landscape.]]></video:description><video:publication_date>2018-04-23T05:43:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>17:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042318-market-movers-asia-apr-30-may-4-upcoming-us-decision-on-iran-sanctions-keeps-market-on-its-toes</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=TojUwq6HV2RkNtenRSjQgG</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Apr 30-May 4: Upcoming US decision on Iran sanctions keeps market on its toes</video:title><video:description><![CDATA[Market concerns on the US decision on Iran sanctions are expected to continue this week, ahead of the May 12 deadline. A US decision to reimpose sanctions on Iran would hit Iranian oil exports and potentially disrupt global oil supply. Meanwhile, commodity markets are closely watching the fast-changing geopolitical and geo-economic landscape in the Korean peninsula following the meeting between South Korean president Moon Jae-in and North Korean leader Kim Jong-un last Friday. Warming relations between the two countries could lead to the resumption of joint economic projects such as the Kaesong industrial complex. Markets are also looking out for the possible opening of North Korea to the international commodities trading. In agriculture, white sugar prices are at multi-year lows. Thai spot cash values may be supported this week by increased buying interest from end-users in Taiwan and East Africa, as well as reports of increased inquiries from Myanmar. Associate editor Mia Corazon Aureus looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week: Market concerns on Iran sanctions remain ahead of the May 12 deadline, North and South Korea's meeting stirs the Asian commodity and financial markets, and sugar prices hit multiyear lows. First, in oil, Market concerns on the US decision on Iran sanctions are expected to continue this week, ahead of the May 12 deadline. A US decision to reimpose sanctions on Iran would hit Iranian oil exports and potentially disrupt global oil supply. Market participants are closely watching the fast-changing geopolitical and geo-economic landscape in the Korean peninsula following the meeting between South Korean president Moon Jae-in and North Korean leader Kim Jong-un last Friday. Warming relations between the two countries could lead to the resumption of joint economic projects such as the Kaesong industrial complex. Markets are also looking out for the possible opening of North Korea to the international commodities trading. Do you think this is going to happen anytime soon? Share your thoughts on Twitter with hashtag PlattsMM. Still in oil, Chinese state-owned companies await the second round of oil product export quotas this week. Government-imposed limits on exports are expected to pull April numbers down from the record high seen in March when gasoil and gasoline exports hit 2.38 million tons and 1.7 million tons, respectively. Traders said the unusual delay of Beijing in handing out the quotas could affect export shipment plans of some refiners even in May. In bunker fuel, the Maritime and Port Authority of Singapore announced on April 27 that it will implement mass flow meters mandate for distillate bunker delivery starting July 1, 2019. This could further weed out errant players, and ensure greater transparency and efficiency in the market. In LNG, market participants are evaluating price direction signals amid recent deals and high oil prices. These have opened optimization opportunities for traders despite weak end-user demand from key importing countries South Korea and Japan. In agriculture, White sugar prices are at multi-year lows. Thai spot cash values may be supported this week by increased buying interest from end-users in Taiwan and East Africa. Reports of increased inquiries from Myanmar just before the government there issues reimport licenses may also continue to support cash values in Asia this week. And finally, in Metals Global alumina prices plunged last week as the US eased sanctions against Russian producer Rusal. Pacific alumina fell to 625 dollars per metric ton FOB Australia after peaking at 710 dollars. The market expects output cuts at Brazil's Alunorte refinery to provide continued support. But China's keen alumina export interest could add pressure. And that's the market in a nutshell this short week in Asia. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-04-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042318-market-movers-asia-april-23-27-pipeline-blast-cuts-libya-output</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PMY2GXpLVdtKb2PJ3Kq4qS</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, April 23-27: Pipeline blast cuts Libya output</video:title><video:description><![CDATA[Libya's crude output has been cut by up to 100,000 b/d after an attack on an export pipeline to the Es Sider oil terminal, state-owned National Oil Corp said Sunday. Investigations into the cause of Saturday's explosion are continuing. Upward pressure on oil prices will also be seen this week after OPEC and non OPEC producers rejected accusations by US President Donald Trump that they were artificially fixing oil prices. The ministers were meeting in Jeddah Friday to review progress of their campaign to reduce global oil stocks when Trump made the claim via Twitter. Associate editor Srijan Kanoi looks at these and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, OPEC and non-OPEC members meet in Jeddah, Australian alumina prices hit an all-time high, and China imposes a high import duty on US sorghum But first, in oil, Libya's crude output has been cut by up to 100,000 b/d after an attack on an export pipeline to the Es Sider oil terminal, state-owned National Oil Corp said Sunday. Investigations into the cause of Saturday's explosion are continuing. Upward pressure on oil prices will also be seen this week after OPEC and non OPEC producers rejected accusations by US President Donald Trump that they were artificially fixing oil prices. The ministers were meeting in Jeddah Friday to review progress of their campaign to reduce global oil stocks when Trump made the claim via Twitter. So here’s what we want you to tell us via Twitter with the hashtag PlattsMM: Do you think Brent crude will hit Saudi Arabia’s target price of $80/b this year? Elsewhere in oil, Far East Russia's ESPO Blend crude may face pressure this week as China's independent refiners plan to cut run rates. The launch of stricter tax reporting rules in China on March 1 has resulted in narrower refining margins, prompting independent refiners, for whom ESPO is the favored feedstock, to cut output. Moving to metals, and Platts’ alumina assessment hit a record high of $710/mt FOB Australia last week. This came on the back of US sanctions on Rusal and production cuts at a Brazilian refinery due to environmental problems. With Australian alumina at a $350/mt premium to domestic prices in China, Chinese producers are now keen to export. In agriculture, China imposed a 178.6% import duty on US sorghum last week and, as a result, 12 to 18 distressed cargoes were seen looking for homes in Asia. Sorghum offers into Thailand and Vietnam have been heard as low as $140/mt, at a more than a $50/mt discount to corn. Traders said cargoes that do not find their way into China will likely eat into Southeast Asia's feed demand for corn and feed wheat in the coming weeks. In thermal coal, the Chinese market will be watching to see if Beijing sticks to its port restrictions on thermal coal imports this week, as the move begins to drive up domestic coal prices. The unexpected side-effect has already pushed up domestic coal prices at Qinhuangdao port by Yuan 15/mt. And finally, in LNG, the market is focused this week on whether persistent oil price strength will support LNG spot prices. If oil prices remain strong, then relatively low oil-slope equivalent prices could spur opportunistic buying of LNG by end-users. However, fundamental demand remains tepid. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-04-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/042318-market-movers-europe-apr-23-27-oil-majors-set-to-release-q1-earnings-last-minute-metals-lobbying-push-under-way</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gzxLPSuSAsPXqkzMZzXCyH</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Apr 23-27: Oil majors set to release Q1 earnings; last-minute metals lobbying push under way</video:title><video:description><![CDATA[EU-based steel and aluminum producers are doing urgent last-minute lobbying ahead of the May 1 expiry of temporary US Section 232 tariff exemptions. European physical aluminum premiums reached a new three-year high last week on the Rusal sanctions and alumina supply disruptions. In the equally turbulent world of oil, most of the world's oil and gas majors will report first-quarter earnings this week. Elsewhere, traders will be watching closely to see if the recent bullishness in European physical crude shows any signs of faltering. For European natural gas, the focus will be on the rate of injections into storage, given milder weather and the need to refill sites that were drawn down to record lows by the late winter cold snaps. As with the oil majors, Europe’s downstream energy and utility companies are expected to release their Q1 financial results this week. Finally, participants in the sugar, grains and biofuels markets will be in Geneva this week for the S&P Global Platts Kingsman Sugar , Grains and Biofuels Conferences. Our social media question for this week: Do you expect tariff exemptions to continue for EU producers past May 1? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's highlights: the market expects a steer on the financial health of the oil industry with European crude prices on the rise; while gas injection rates will be heavily scrutinized after the late winter cold snaps drained storage to record lows. But first: Trade and sanctions will feature heavily this week in metals markets. EU-based steel and aluminum producers are doing urgent last-minute lobbying ahead of the May 1 expiry of temporary US Section 232 tariff exemptions. New bilateral trade agreements are being finalized in Washington ahead of the deadline, as EU safeguards are explored. Also, details of the potential temporary nationalization of Russian aluminum giant Rusal could be revealed this week. A Kremlin spokesman told reporters last week such a measure was one option to help navigate recent US sanctions imposed on the company. European physical aluminum premiums reached a new three-year high last week on the Rusal sanctions and alumina supply disruptions. European aluminum premiums were assessed by S&P Global Platts at $275-$285 a metric ton. Our social media question this week is: Do you expect tariff exemptions to continue for EU producers past May 1? Tweet us your thoughts with the hashtag #PlattsMM. In the equally turbulent world of oil, most of the world's oil and gas majors will report first-quarter earnings this week. Results will start with Statoil on Wednesday; followed by Shell and Total on Thursday; and Chevron, Eni and ExxonMobil reporting on Friday. The figures will give the companies the chance to respond to concerns that not enough money is going into new projects needed to ensure stable supplies in the long term. This was a key concern raised last week during a meeting of OPEC and Russian ministers in Saudi Arabia. In the markets, traders will be watching closely to see if the recent bullishness in European physical crude market shows any signs of faltering. Outright crude prices last week touched the highest level since 2014. For gas, the focus will be on the rate of injections into storage, given milder weather and the need to refill sites that were drawn down to record lows by the late winter cold snaps. The market this week will be relieved that summer-long maintenance in Norway has now been canceled, as it had threatened to knock out 20 million cubic meters a day of gas production. Despite this, there's little price incentive to start large-scale storage injections yet. As with the oil majors, Europe's downstream energy and utility companies are expected to release their Q1 financial results this week. A key focus of attention will be Finland's Fortum as it struggles with its move on German generator Uniper. Fortum bought E.ON's 47% stake in the company for nearly four billion euros in September. But since then, a public offer has comprehensively failed, with Uniper seemingly determined to maintain its independence. Moving from famine to feast, participants in the sugar, grains and biofuels markets will be in Geneva this week for the S&P Global Platts Kingsman Sugar, Grains and Biofuels Conferences. The sugar conference taking place on Tuesday and Wednesday will focus on the first year of EU export liberalization against the backdrop of a global sugar glut. Benchmark futures prices are at over two-year lows, as you can see from the chart. The grains conference on Thursday will home in on emerging regional corn and wheat markets and their place in the global grain market. The biofuels event, also taking place on Thursday, will focus on key policy changes as well as new and emerging trade flows. There will certainly be a lot to chew over. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-04-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042018-chinese-gas-boom-restructuring-and-rebalancing-the-global-lng-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-20T05:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kStsBs56xYQNU2mtdgRdFS</video:player_loc><video:thumbnail_loc /><video:title>Chinese gas boom restructuring and rebalancing the global LNG market</video:title><video:description><![CDATA[China imported 38 million mt of LNG in 2017, a 50% year-on-year increase, and S&P Global Platts Analytics forecasts a 22% growth this year. The country’s demand is set to reach 68 million mt by 2023, before surpassing Japan to become the world’s largest LNG importer by 2030. In this video, Platts Commodity Associate Fan Shi Yun talks about China's policy on liberalizing its gas market, boosting third-party access to LNG regas terminals, and promoting a Chinese trading hub. Related special report: Opportunities and challenges of China's LNG expansion]]></video:description><video:publication_date>2018-04-20T05:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/042018-view-from-the-top-an-interview-with-antonio-mexia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gqTbcEaVxtXL2k7VPnDfBV</video:player_loc><video:thumbnail_loc /><video:title>View from the Top: An interview with Antonio Mexia</video:title><video:description><![CDATA[Renewables have grown at a stunning pace over past few years and in turn have shaken up the overall generation picture. Antonio Mexia , Chief Executive Officer of EDP-Energia de Portugal, one of the largest renewable power developers in the US, recently sat down with Chris Newkumet , S&P Global Platts Washington Bureau Chief, for some insight on the state of renewables, what recent solar tariffs could mean for renewable developers, and what challenges lie ahead for EDP in US and global markets.]]></video:description><video:publication_date>2018-04-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>7:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/041618-market-movers-asia-apr-16-20-us-one-time-shot-against-syria-reduces-risk-of-oil-price-hike</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kdsGYJiMX5DLcDz3gYg1vE</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Apr 16-20: US 'one-time shot' against Syria reduces risk of oil price hike</video:title><video:description><![CDATA[Early morning trade in Asia saw crude oil futures slipping from last week's 3.5-year high, after the US said that the missile strikes against Syria were a 'one-time shot.'With Syria having little oil production of its own, the main concern for the oil market is the threat to key supply routes out of the Middle East. In metals, COMEX gold futures fell in Sunday evening trade after the weekend attack. Gold futures were supported last week in part by the prospect of a military strike on Syria, as well as the escalating trade row between the US and China. Meanwhile, trading sources are assessing the impact of the restart of the Papua New Guinea LNG project last week. Operator ExxonMobil said deliveries are expected to resume soon, and traders said that the possibility of spot offerings from PNG LNG could add bearishness to the thinly traded spring market in Northeast Asia. Associate editor Weng Yi Le looks at these and other factors that could drive commodity markets this week. Related event: S&P Global Platts Malaysia Commodity Market Insights Forum , April 18 Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Early morning trade in Asia saw crude oil futures slipping from last week's 3.5-year high, after the US said that the missile strikes against Syria were a one-time shot. We’ll also look at the impact of the Middle East tension on gold, soaring aluminum prices, and the restart of the Papua New Guinea LNG project. First in oil, the US' declaration that its missile strikes against Syria were a one time shot, appeared to have dampened the risks to oil prices spiking when markets opened Monday. Oil prices hit a three-and-a-half-year high above 72 dollars a barrel on Friday when US President Donald Trump signaled his intention to attack. With Syria having little oil production of its own, the main concern for the oil market is the threat to key supply routes out of the Middle East. Will geopolitical tensions hamper trade flows to Asia? In metals, COMEX gold futures fell in Sunday evening trade after the weekend attack. Gold futures were supported last week in part by the prospect of a military strike on Syria, as well as the escalating trade row between the US and China. Meanwhile, aluminum prices neared 6-year highs last week, following US sanctions against Russia’s Rusal. Aluminum buyers are expected to shy away from Russian material, with the focus among buyers with immediate requirements ahead of the peak season being the next Indonesian sell tender for May loading due next week. Still in metals, met coal market participants are expecting more downward pressure on prices this week. Sellers are rushing to liquidate cargoes, before more cargoes emerge in May and June. In LNG, production has restarted at the Papua New Guinea LNG project, and operator ExxonMobil says deliveries are expected to resume soon. Trading sources are still assessing the impact of the restart, but noted that the possibility of spot offerings from PNG LNG could add bearishness to the thinly traded spring market in Northeast Asia. In petrochemicals, India and Southeast Asia will likely see higher methanol prices this week. International methanol supply will be tightening in the coming weeks due to April turnarounds in the Middle East. We’re talking about roughly four million metric tons per year of capacity going offline. In agriculture, Thai white sugar spot cash values have crashed from $21/mt premium in January to $2/mt discount last week. The market saw a record high production in Thailand and a strong May/August inverse spread. Thai refined sugar spot cash values will remain under pressure this week, with increased availability from India, Pakistan and CIS. Moreover, Thai whites are being replaced at destinations such as Taiwan by more competitive Pakistani whites. If you are in Kuala Lumpur on April 18, joins us for the S&P Global Platts Malaysia Commodity Market Insights Forum to get insights across various commodities. Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-04-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/041618-market-movers-europe-apr-16-20-energy-traders-closely-monitoring-events-in-syria-opec-and-non-opec-ministers-to-meet</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=RhCuaqnWjv2qKsFqYW2vcK</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Apr 16-20: Energy traders closely monitoring events in Syria; OPEC and non-OPEC ministers to meet</video:title><video:description><![CDATA[Energy markets will be closely monitoring events in Syria this week. On Saturday, the US and allies France and the UK launched limited missile strikes against targets inside Syria, in response to the Assad regime’s suspected use of chemical weapons. Trading in Asia Monday morning saw ICE Brent crude oil futures give up some of the gains built up last week. OPEC and non-OPEC ministers will meet in Jeddah, Saudi Arabia, on Friday to discuss the latest data on the oil market. On the agenda will be the prospects for extending cooperation beyond the expiry of international production cuts in December. Elsewhere, the aluminum and alumina markets are likely to remain volatile due to US sanctions against Russian oligarchs close to President Vladimir Putin. Across Europe, the weather is turning warmer; which may pull down prompt European natural gas contracts this week. Adding to the downward pressure is the end of several Norwegian outages. Finally, the shipping industry will be mulling the implications of Friday's announcement by the IMO of a strategy to tackle the industry's greenhouse gas emissions. Our social media question for this week: Have energy markets priced in geopolitical risk? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's highlights: traders expect a bearish week for European gas; US sanctions on Rusal are expected to continue unsettling aluminum markets; and the shipping industry will be digesting the IMO’s proposals on reducing greenhouse gas emissions. But first, let’s focus on the Middle East. Energy traders will be closely monitoring events in Syria and the Middle East this week. On Saturday, the US and allies France and the UK launched limited missile strikes against targets inside Syria, in response to the Assad regime’s suspected use of chemical weapons. Trading in Asia Monday morning saw ICE Brent crude oil futures give up some of the gains built up last week. The prospect of a direct military confrontation between the US and Russia over Syria had previously pushed oil prices to a three-and-a-half year high, going above $72 per barrel. Both Russia and Iran are backers of the Syrian government and have forces in the country. Traders appear to have been comforted by the idea that the Syrian intervention was targeted and a one-off. Any further news from the region and the White House this week will be closely watched. Against this turbulent backdrop, OPEC and non-OPEC ministers will meet in Jeddah, Saudi Arabia, on Friday to discuss the latest data on the oil market. On the agenda will be the prospects for extending cooperation beyond the expiry of international production cuts in December. Meanwhile, Middle East tensions and the potential US military intervention will also hang over the discussions. This leads to our social media question for the week: Have energy markets fully priced in geopolitical risk? Tweet us your thoughts with the hashtag #PlattsMM. And it is not only the energy markets which are caught up in political turbulence. The aluminum and alumina markets are likely to remain volatile due to US sanctions against Russian oligarchs close to President Vladimir Putin. The sanctions mean metal from the world's second-largest producer, Rusal, is effectively locked out of the US market and no longer deliverable on key futures exchanges. Rusal is controlled by Oleg Deripaska. The entire aluminum supply chain is now scrambling to evaluate the risks of handling the company’s exports. Concerns over tightening supply caused London Metal Exchange aluminum prices to hit six-year highs last week. While geopolitics may be returning to the Cold War era, in Europe the weather is turning warmer. This might pull down prompt European gas contracts this week. Adding to the downward pressure is the end of several Norwegian outages. Those outages had previously been affecting flows to the UK and to the Dutch/German border. However, the end of the heating season could slightly offset the bearish elements by triggering higher injection rates across Europe. Finally, the shipping industry will be mulling the implications of Friday's announcement by the IMO of a strategy to tackle the industry's greenhouse gas emissions. The IMO’s plan requires the industry to reach peak greenhouse gas emissions as soon as possible and reduce them by at least 50% from 2008 levels by 2050. It also requires carbon dioxide emission cuts per voyage, as an average across international shipping, of at least 40% by 2030—and the industry is pursuing efforts towards a cut of 70% by 2050. To the relief of many in the industry, the EU welcomed the IMO’s move. The EU had threatened to include shipping in its emissions trading scheme if it was not satisfied with the IMO's approach. However, the EU cautioned that while the deal was a good starting point, it was crucial that effective measures were adopted swiftly and put in place before 2023. Another question on the shipping industry's mind will be how the greenhouse gas cut strategy will affect plans to implement the IMO's 0.5% sulfur cap on marine fuels in 2020. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-04-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041218-brent-crude-oil-volatility-april-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aViR6jAvwswQgKD6fTV348</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: April outlook</video:title><video:description><![CDATA[Asian crude oil demand was muted in the first half of March but the situation is changing as an increasing number of refineries come online following the seasonal turnaround period. Nevertheless, the Dated Brent crude market appears stuck between a rock and a hard place due to several contrasting factors. On one side, the market has to discount record high US crude output levels and Chinese stock figures, resulting in higher inventories; while on the other side, it has to factor in the approaching driving season and the IEA forecasting a higher demand for crude and products in 2018. Volatility remains the only constant in the market. View Full Transcript Video Transcript 2018 Brent crude oil volatility: April outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Dated Brent moved sideways in the first two weeks of March because the increased competition from American, Mediterranean, West African and Middle Eastern crude barrels prevented North Sea grades from moving higher. Furthermore, the arbitrage to the Far East, in the first half of March, seemed not to offer many opportunities with Korean and Chinese clients showing no buying interest for Forties. In particular, Chinese crude stock figures showed an increase in inventories and if we consider that, in January, almost 56% of the Forties volume loaded at the Hound Point was shipped over to China, it is clear why the first half of the month did not present great arbitrage opportunities. However, the last trading days of March, saw a net increase in buying activity thanks to some Asian refineries finally getting back online after the turnaround period. Internationally, the Energy Information Administration stated that, in March, the US crude output had increased to 10.4 million b/d, which is the highest level ever recorded, while the International Energy Agency estimated that global oil demand in 2018 should average 99.3 million b/d and that OPEC members would likely produce an average of 32.4 million b/d over the year as a whole. The Volatility Premium indicates that both the implied and realized volatilities are likely to move sideways in coming weeks probably favoring a rangebound trading environment. Moreover, the probability distribution analysis shows that Dated Brent’s monthly volatility is trading within a fairly stable area so it is probable that it won’t move much from where it is implying a relatively calm market with prices trading in a channel fashion. Finally, the Volatility Cones analysis suggests that the current monthly volatility is very close to its median value implying that the fluctuation rate is as likely to sensibly move higher as much it is to trade sideways. Overall, Brent market prices are likely to fluctuate within a trading channel in coming weeks. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-04-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041118-slowdown-in-asian-lng-demand-growth-could-cause-further-de-coupling-between-jkm-brent</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=46bMn3nYt9bJ3BPdHByf4h</video:player_loc><video:thumbnail_loc /><video:title>Slowdown in Asian LNG demand growth could cause further de-coupling between JKM, Brent</video:title><video:description><![CDATA[Growth in demand across Asia dominated headlines this winter as China in particular posted strong import volumes compared to previous years. However, demand is starting to soften this spring, along with seasonal trends, according to Jeff Moore , Manager, Asian LNG Analytics. As demand in Asia declines seasonally, it is pulling the Platts JKM price benchmark lower. Meanwhile, Europe looks to restock more volumes as storage stocks were pulled to record lows toward the end of the winter. If the JKM links to hubs such as the TTF or NBP to allow more LNG volumes for injections into European storage fields, it could imply the JKM decoupling from Brent this summer to levels not seen for years. For more information on Platts LNG Analytics , call 1-855-713-0658. View Full Transcript Video Transcript Slowdown in Asian LNG demand growth could cause further de-coupling between JKM, Brent By Jeff Moore, Manager, Asian LNG Analytics Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Today we’ll take a look at the recent softness in the Asian demand markets which is being offset by strength in the European markets as they look to rebuild stocks. A late-season cold spell pulled LNG and underground storage and in Europe to record lows. The situation is likely to help support European hubs this summer, such as the NBP and TTF, to bring in additional LNG cargos, while JKM prices could see further decoupling from Brent. China presented itself as the main driver of demand growth year-over-year, importing 7.3 million tonnes more LNG this past winter compared to the previous winter. This represents growth of 34% winter-over-winter. Lack of significant storage capacity forced China to enter the spot market as a strong buyer this winter to help meet their demand and helped send the Platts JKM benchmark spot price to its highest level since late 2014, peaking at $11.70/MMBtu on January 15 of this year. However, as we are now moving into the shoulder season, we’re seeing demand in Asia start to slow down significantly. Last summer, we saw a fairly significant increase in Chinese LNG demand, with total imports growing by nearly 40% summer-over-summer. However, that’s not necessarily going to happen again this year. Although we expect China to continue to buy cargos above their contracted capacity, our forecast for LNG demand in the country shows imports slowing down to around 10% year-over-year growth this summer, which is a far cry from the massive gains they posted last year. Furthermore, the storage situation in neighboring South Korea and Japan is not outside seasonal norms, and it’s likely we won’t see significant injection demand from either country until further this summer. So what does this all mean for prices? Well, the JKM benchmark spot prices are now trading close to $7.00/MMBtu to start the month of April, finding support at this level. This seems to be key zone to watch, as it implies that the slope of JKM prices compared to dated Brent have fallen to around 10%, which represents a relative minimum for the relationship between the two price benchmarks. This isn’t outside the norm for this time of year, as the implied slope between the JKM and Brent benchmarks typically falls close to 10% in the spring. However, as Brent prices continue to increase, it’s possible we could see further de-coupling from the JKM as it moves close to the TTF or NBP. Our JKM price forecast implies that we will see the lowest implied slope compared to Brent over the course of the summer in nearly a decade! This would especially hold true if the JKM links to European prices and we see any further softness this spring. We will be following this story closely as we analyze the markets and fundamentals around the globe. Until next time on Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-04-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/040918-market-movers-asia-apr-9-13-fears-of-escalation-in-us-china-trade-row-sparks-concerns-in-commodity-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YXHkaqJrygNvo3YvVCBfDK</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Apr 9-13: Fears of escalation in US-China trade row sparks concerns in commodity markets</video:title><video:description><![CDATA[Fears of an escalation in the trade row between China and the US could impact many commodity markets this week as trading resumes in China after the Qingming holiday. In agriculture, the trade tension could benefit Brazil and Argentina, with premiums for soy beans and corn expected to rise this week. In the steel and metals sector, market participants could turn cautious and hold off purchasing. In other news, Asian crude oil buyers are waiting for Iraq to release its monthly official selling price later this week. Last month, the OSP differential for Basrah Light was set 20 cents a barrel below its rival Saudi Arab Medium crude. Lotte Chemical's aromatics plant in Daesan in South Korea remains shut this week after a fire last Thursday caused minor damage to pipelines. The blaze was quickly extinguished, but the restart date remains unclear. A prolonged shutdown could boost the prices of affected aromatics this week. Associate editor Avantika Ramesh looks at these and other factors that could drive commoditiy markets this week Related event: S&P Global Platts Singapore Commodity Market Insights Forum , April 11-12 Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, markets await China’s reaction to a further increase in US import tariffs, and an aromatics plant in South Korea remains shut after a fire. First, fears of an escalation in the trade row between China and the US could impact many commodity markets this week as trading resumes in China after the Qingming holiday. In agriculture, the trade tension could benefit Brazil and Argentina, with premiums for soy beans and corn expected to rise this week. In the steel and metals sector, market participants could turn cautious and hold off purchasing. Do you think China will retaliate by imposing more tariffs? Join our conversation on Twitter with the hashtag PlattsMM. Turning to oil, Asian crude oil buyers are waiting for Iraq to release its monthly official selling price later this week. Iraq's State Oil Marketing Organization has been luring Asian refiners over the past few trading cycles with attractive price tags on its flagship Basrah Light crude. Last month, the OSP differential for Basrah Light was set 20 cents a barrel below its rival Saudi Arab Medium crude. In petrochemicals, Lotte Chemical's aromatics plant in Daesan in South Korea remains shut this week after a fire last Thursday caused minor damage to pipelines. The blaze was quickly extinguished, but the restart date remains unclear. A prolonged shutdown could boost the prices of affected aromatics this week. For styrene monomer, a big fall in East China inventories and emerging restocking demand from downstream ABS makers ARE expected to keep CFR China prices on an uptrend this week. Moving to thermal coal, China has reinstated import restrictions in Fujian province, adding to bearish sentiment in the Asian thermal coal market. Market participants are looking to an industry gathering in Bejing this week for more clarity on the situation. Indonesia has delayed the introduction of a requirement that coal exporters use only national vessels for two years until 2020. The country's fleet still lacks the capacity to carry all of its annual coal exports of more than 200 million metric tons a year. The delay gives coal sellers some time to prepare to meet the requirement. Also, join us if you can at the Singapore Commodity Market Insights Forum on April 11 and 12, where Platts editors and analysts will discuss issues facing Asian commodity markets. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-04-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/040918-market-movers-europe-apr-9-13-oil-market-eagerly-awaits-reports-from-iea-opec-biofuels-prices-eye-all-time-lows</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-04-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CE5dQ1BtL3XUdXFSDCEepR</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Apr 9-13: Oil market eagerly awaits reports from IEA, OPEC; biofuels prices eye all-time lows</video:title><video:description><![CDATA[Differentials in the S&P Global Platts Dated Brent crude oil benchmark could receive a boost this week, having hit a two-and-a-half year low last week. Elsewhere in oil, the IEa and OPEC publish reports on the oil market this week, on Thursday and Friday respectively. The shipping industry will be keenly watching a week-long meeting of the IMO's Marine Environment Protection Committee in London this week. In European biofuels, the picture looks bearish, with both ethanol and biodiesel prices loitering just above three-year lows on the prompt. Switching to the power market, Germany’s offshore wind industry and wider power sector await the result a 1.6 GW tender, expected mid-April. Finally, senior figures from the metals industry will be gathering in Germany for Platts’ inaugural European Aluminum Conference. Our social media question for this week: Just how low can offshore wind go? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: the oil market eagerly awaits reports from the IEA and OPEC; biofuels prices are eyeing all-time lows; and senior figures from the metals industry will be gathering in Germany. But first: crude. Differentials in the S&P Global Platts Dated Brent benchmark could receive a boost this week, having hit two-and-a-half year lows last week. A heavy maintenance period for European refineries, twinned with lower demand from Far Eastern buyers, has seen the Dated Brent physical differential move to over a dollar discount to the benchmark, the lowest level since November 2015. The original crude grade of Brent/Ninian Blend traded in the Platts Market on Close assessment process as low as Dated Brent minus $1.35 per barrel last week, a level traders had not seen in several years. But with many refineries now coming back online, and buyers in China and South Korea likely to be tempted by such low prices, traders anticipate something of a buying spree. That could see the physical Brent differentials climbing again. Keeping the aim on oil, the International Energy Agency and OPEC publish reports on the oil market this week, on Thursday and Friday respectively. The IEA report is watched closely for the changes in the demand and inventory outlook, and OPEC should give fresh clues on how production cuts are stacking up against its pact with Russia. For the markets, these reports are set against a looming trade war between the US and China, which is raising fears about the impact on oil demand, and the possibility China could curb US crude imports. Tensions between the US and Russia, with new US sanctions against selected allies of President Vladimir Putin, are fueling the febrile mood. Staying on choppy waters, the shipping industry will be keenly watching the week-long meeting of the IMO’s Maritime Environment Protection Committee in London. Just as shipping faces cuts to sulphur emissions for bunker fuels from 2020, the EU is pushing for new cuts to carbon emissions, with the threat that it could act unilaterally. In European biofuels, the picture looks bearish this week—with both ethanol and biodiesel prices loitering just above three-year lows on the prompt. With more imports expected into Europe over the course of the week and ever-growing stock levels, it appears prices could push even lower. The ethanol market is looking to imports from Guatemala and Costa Rica to further add to the market length, while biodiesel importers expect Argentina to once again bolster Europe’s stock levels. These imports could potentially leave both ethanol and biodiesel prices at all-time lows. Switching to the power market, Germany’s offshore wind industry and wider power sector await the result a 1.6 GW tender, expected mid-April. A year ago, the first German zero-subsidy bids caused a stir, and March saw the Netherlands follow suit with its first subsidy-free award. This week’s social media question is: Just how low can offshore wind go? Tweet us your thoughts with the hashtag #PlattsMM. Finally, something shiny, new and metallic will be coming to Düsseldorf this week. It’s S&P Global Platts’ inaugural European Aluminum Conference. Sanjeev Gupta, the CEO of GFG Alliance, is among the high-profile speakers that will be presenting on Monday and Tuesday. Around 50 companies from 22 countries will be at an event that has taken on sudden relevance, given fresh trade tensions between the US and EU over metals. Thank you for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-04-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032918-tighter-banking-policy-hits-indias-polymer-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-29T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NcqeqaVpdChyErodjcAcJy</video:player_loc><video:thumbnail_loc /><video:title>Tighter banking policy hits India's polymer demand</video:title><video:description><![CDATA[The Reserved Bank of India has tightened trade financing on imports earlier in March. In this video, Fumiko Dobashi , S&P Global Platts senior editor for petrochemicals, examines how this move has affected the country's demand for key polymers such as PVC, polypropylene and polyethylene. View Full Transcript Video Transcript Tighter banking policy hits India's polymer demand By Fumiko Dobashi, Senior Editor, Petrochemicals Welcome to the Snapshot, an S&P Global Platts series examining the forces shaping and driving commodity markets today. In this episode, let’s take a look at how the Asian polymers market has been affected by India’s move to tighten its bank lending policy. India’s buying appetite for polymers, especially PVC, is typically strong in the first quarter. This is when end-users and traders buy import materials to build inventories ahead of rainy monsoon season, which usually starts around June and July. Because of a peak demand season, a major Asian PVC producer increased its offer for April by $20/mt from March to $1,040/mt CFR India last week. For last few months, the producer sold out its monthly requirements within one day because of strong demand. But for April, the business landscape is different. End-users and traders were reluctant to accept the fresh offer level. It became increasingly difficult for end-users and traders in India to buy import materials. On March 13, following a major banking fraud case, the Reserve Bank of India barred banks from issuing letters of undertaking or letters of comfort for trade credit for imports into India. Among the key polymers products – polyethylene, polypropylene and PVC -- PVC felt the greatest impact from the tighter lending policy as India is highly dependent on imports. Market sources say India's PVC deficit is estimated at 1.5 million mt/year. In comparison, polyethylene and polypropylene are less affected due to lower exposure to imports. According to Japan's Ministry of Economy, Trade and Industry, India's PE deficit in 2018 is estimated at 221,000 mt, while PP surplus for 2018 is estimated at 214,000 mt. India's import demand for PVC has since dried up and prices have fallen sharply to a two-month low of $1,000/mt CFR India on March 28, S&P Global Platts data showed. As for PE and PP, Indian buyers have kept to the sidelines recently, as they prefer to keep minimum inventories ahead of end-March financial closure. Film-grade high density PE was assessed stable at $1,360/mt CFR South Asia on March 28, while PP raffia fell $10/mt to be assessed at $1,300/mt. Market sources said PVC producers need to reduce their offer further to below $1,000/mt CFR India to sell a big volume for April. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-03-29T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032618-market-movers-asia-mar-26-30-trade-war-looms-between-us-and-china</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EnKV3FsmjCwRbH86Nezmnc</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Mar 26-30: Trade war looms between US and China</video:title><video:description><![CDATA[Wetake a look at how escalating trade tensions between the US and China may impact the Asian commodity markets, and which products are already feeling the heat. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights, we’ll take a look at how escalating trade tensions between the US and China may impact the Asian commodity markets, and which products are already feeling the heat. US President Donald Trump last week signed what he said was ‘the first of many’ trade actions against Chinese imports. China responded by announcing retaliatory tariffs on US imports worth up to $3 billion. News of the US tariffs sent Chinese steel rebar futures diving last Friday. The Tangshan billet price, a closely watched barometer of steel performance in China, fell by about Yuan 100/dmt day on day. Iron ore prices were down more than $5/mt week on week. Some observers said that warmer weather in China might lead to more construction activity. As construction is the main driver of steel demand in China, this is likely to support the iron ore market. With that, our social media question this week is: Do you think stronger domestic steel demand in April will save the battered iron ore market? Share your thoughts on Twitter with the hashtag PlattsMM. Now back to the tariffs. China's retaliation has added a fresh element to the tariffs situation, pulling down the US dollar, which, in turn, pushed up oil futures on Friday. Oil markets are waiting for more cues to price direction amid the international trade tensions. China is the fastest-growing buyer of US crude, and a trade war could pose a threat to the trade flow between the two countries. In agriculture, China’s Ministry of Commerce said it might impose an additional 15% duty on top of the existing 30% duty on denatured ethanol imports from the US if the two countries fail to reach an agreement. This will add pressure to the fuel ethanol market this week, with Chinese ethanol buyers retreating to the sidelines, waiting for more clarity before booking new cargoes from the US. Meanwhile, LNG market observers said that protectionist policies could hurt both the US and China in this looming trade war. The US has identified increased gas exports as a possible way to reduce its trade deficit with China. On the other hand, China wants to grow gas imports substantially. The needs and goals of these two major LNG players are clearly on a path to convergence. That’s it for this week. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-03-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/032618-market-movers-europe-mar-26-30-eu-seeks-permanent-exemption-from-us-steel-tariffs-middle-east-oil-experts-gather-in-baghd</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=m39dCyonLA5v6rMbiQodQM</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Mar 26-30: EU seeks permanent exemption from US steel tariffs; Middle East oil experts gather in Baghdad</video:title><video:description><![CDATA[European metal producers are continuing to push for safeguards on steel and aluminum products that could be diverted from the US by its 25% tariff. In the oil market, focus will be the Iraq Energy Forum in Baghdad where OPEC Secretary General Mohammad Barkindo is set to speak on Wednesday. Elsewhere, natural gas traders will be awaiting a decision from Dutch economy minister Eric Wiebes by the end of the week on production cuts at the Groningen field, which accounts for about 25% of EU gas output. Low gas stocks and threat of more wintry conditions are also pushing this summer's contracts higher on the expectation of strong demand for injection into storage. Finally, in the EU biodiesel market, not the cold but the end of antidumping duties will be turning traders’ attention to Indonesia. Our social media question for this week: Do you expect to see summer 2018 gas prices rising further? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's Market Movers: The OPEC secretary general speaks at the Iraq Oil Forum; and the European gas market awaits a Dutch production cuts decision. But first, the psychodrama over US President Donald Trump's trade policy continues as the European Commission seeks a permanent exemption for the EU from US steel tariffs. The EU and several other countries were exempted from the measures until the first of May. European metal producers are continuing to push for safeguards on steel and aluminum products that could be diverted from the US by the 25% tariff. And pretty much every market across the world will be awaiting any further escalation in trade rhetoric between the US and China. In the oil market, another focus will be the Iraq Energy Forum in Baghdad where OPEC Secretary General Mohammad Barkindo is set to speak on Wednesday. Barkindo will be joined by Iraqi oil minister Jabar al-Luabi, the former prime minister of the Kurdistan region Barham Salih and a US State Department representative for a session on energy, the economy and geopolitics. Trump will loom large here too after his appointment last week of John Bolton as national security advisor. Bolton is hawkish on Iran, and market participants will be looking to see whether opposition to the Iran nuclear deal will gain more traction in US policy. In Europe, gas traders will be awaiting a decision from Dutch economy minister Eric Wiebes by the end of the week on production cuts at the Groningen field, which accounts for about 25% of EU gas output. The cuts are intended to prevent gas extraction from the field causing earthquakes. A drop from the current quota of 21.6 billion cubic meters a year -- already significantly below the 2013 production peak of 53 billion cubic meters -- would make the Netherlands more dependent on imports and tighten the European gas market. And gas shortages are already making their presence felt, with European stocks at multi-year lows. A third spell of unseasonably cold weather in Northwest Europe at the end of this week is set to reduce inventories even further. This prospect is supporting prompt prices. The low stocks and threat of more wintry conditions are also pushing this summer's contracts higher on the expectation of strong demand for injection into storage. And that's our question for social media this week -- do you expect to see summer 2018 gas prices rising further? Answer with the hashtag #PlattsMM. In the biodiesel market, not the cold but the end of antidumping duties will be turning traders’ attention to Indonesia. European prices were left reeling at the end of last week after duties on most Argentinian and Indonesian biodiesel in place since 2014 were removed. This paves the way for increased imports into Europe. Since a cut in the duties against Argentina in September, almost a million metric tons have been booked. Thanks for kicking off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2018-03-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032218-blockchain-brexit-loom-for-eu-commodity-traders-after-smooth-mifid-2-start</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QSjoUsxDPhVqovNv52xhLP</video:player_loc><video:thumbnail_loc /><video:title>Blockchain, Brexit loom for EU commodity traders after smooth MiFID 2 start</video:title><video:description><![CDATA[The EU's MiFID 2 financial instrument trading rules have started smoothly with EU commodity traders' compliance good so far. But while traders and regulators adapt to the new world of yearly exemptions and adjustable position limits, new challenges are looming, reports S&P Global Platts senior editor Siobhan Hall . The EU's biggest financial center, the UK, is due to leave the bloc at the end of March 2019, while emerging FinTech like blockchain and smart contracts will generate new legal issues. View Full Transcript Video Transcript Blockchain, Brexit loom for EU commodity traders after smooth MiFID 2 start By Siobhan Hall, Senior Editor, EU Energy Policy Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Blockchain and Brexit look set to be the new challenges for EU commodity traders and regulators after the EU’s new MiFID 2 financial instrument trading rules got off to a smooth start in January. Although the rules were years in the making, key details on exemptions and position limits, for example, were only finalized in March last year, giving companies trading oil, natural gas, electricity, metals and other commodity derivatives less than a year of legal certainty about how the rules would impact them. Despite that, regulators say compliance has been good so far. Many energy companies have used the ancillary activities exemption -- a test showing that trading commodity derivatives is not their main business – to avoid having to apply for a MiFID 2 license and being regulated like a bank. Being MiFID 2 licensed involves extra IT costs, capital and compliance requirements, making it generally not worthwhile for non-financial companies. While MiFID 2 has started well, there is still some “learning by doing” to come, however. National financial regulators, for example, are learning how to adjust commodity derivative position limits quickly when trade volumes in particular contracts rise or fall significantly. And EU financial authority ESMA expects to gradually improve its indicative estimates of EU market sizes. Companies need these to carry out the ancillary activities test every year. There are also new challenges ahead. The UK is Europe’s biggest financial center, and there is no clarity yet on what will happen after Brexit. EU negotiators have proposed that the UK’s requested transition period, where EU rules would continue to apply, runs until the end of 2020, in line with the EU’s budget cycle. But until that transition period is confirmed – likely to be towards the end of this year at the earliest – the only legal certainty companies and regulators have is that the UK will stop being an EU country at the end of March 2019. The other main challenge will be how regulators deal with FinTech, the emerging technologies like blockchain and smart contracts that could make existing paper-based back office and trading processes more efficient, transparent and cheaper, for example. FinTech will generate new legal issues to resolve, and regulators will also be looking very closely at potentially market-disrupting innovations, such as peer-to-peer trading between energy prosumers, for example. One thing is very clear – financial regulation and technology will continue to have big impacts on commodity markets for years to come. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-03-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032018-taiwans-role-in-the-asian-and-global-petrochemical-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=c4XEuUVj49VHDHtpysFRgo</video:player_loc><video:thumbnail_loc /><video:title>Taiwan's role in the Asian and global petrochemical markets</video:title><video:description><![CDATA[Asia's unrelenting need for petrochemicals is leading to massive opportunities. In this episode, S&P Global Platts Senior Analyst Eshwar Yennigalla zooms in on how Taiwan's approach to seize opportunities in an evolving global petrochemical market is taking shape. Download the special report: Taiwan: Seizing opportunities in a changing world View Full Transcript Video Transcript Taiwan's role in Asia's petrochemicals market By Eshwar Yennigalla Welcome to the Snapshot, our series that examines the forces driving and shaping global commodity markets today. Asia’s unrelenting need for petrochemicals is leading to massive opportunities and also quite a few challenges. In this episode, let’s zoom in on the Taiwanese approach towards seizing these opportunities in a changing world by adapting to a new normal. Taiwan’s role in Asia’s petrochemical markets far outweighs its size. For an island that makes up just 7% of the land mass of the three traditional producers - the other two being Japan and South Korea - Taiwan accounts for more than a fifth of the total ethylene capacity. Its five naphtha-fed steam crackers has a combined ethylene production capacity of 4 million mt/year, compared with 6 million mt/year in Japan and 8 million mt/year in South Korea. Taiwan’s crackers are also newer and larger, making them more cost competitive and more efficient. Integrated refineries are also giving Taiwan an advantage over other Asian steam cracker operators when it comes to better margins. CPC has two refineries in Talin and Taoyuan with a combined crude processing capacity of 550,000 b/d, while Formosa has a 540,000 b/d refinery in Mailiao. Both companies have the ability to make feedstock choices, and can include more LPG in their feedstock slate should the economics make sense. Taiwan’s steam cracker operators are able to switch back and forth when needed as they are able to source LPG feedstock from their own refineries. According to market sources, during the summer months, Taiwanese crackers switch to maximum of 15% LPG intake, as propane prices typically witness a seasonal dip due to lack of demand for heating purposes. Taiwan is not keeping its success at home – its companies are also eyeing opportunities for external expansion. Formosa is looking at ethylene capacity expansions in the US, where it is building an ethane-fed steam cracker in Texas with a total ethylene production capacity of 1.15 million mt/year. This is due to start up early this year. Within Taiwan, the company faced difficulties getting approval to build another naphtha-fed steam cracker due to growing environmental concerns. It is now planning to build another ethane-fed steam cracker in the Gulf Coast, with an initial ethylene production capacity of 1.2 million mt/year. It is planning to double the capacity in the second phase of investment. The company plans to start up its new Louisiana plant after 2021. Given current market circumstances, external-facing plans such as diversifying feedstock portfolios and going global to set up plants near demand centers are suitable approaches. But more flexible approaches such as investing in using alternate feedstocks at Asian operations could be considered down the line, as this would help Taiwan add further to its predominant geographical advantage. We delve deeper into Taiwan’s petrochemical markets – including a look at the aromatics space – in our special report titled Taiwan: Seizing opportunities in a changing world, available on Platts.com. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2018-03-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031918-market-movers-asia-mar-19-23-middle-east-crude-trading-gathers-pace</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=z63H6cip5iUukexXJ9k5xx</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Mar 19-23: Middle East crude trading gathers pace</video:title><video:description><![CDATA[Asian refiners ramp up buying activity for May loading cargoes, talks begin for a key thermal coal price, and freight rates for Supramaxes gather steam. Energy analyst Manjot Singh looks at these and other factors that could drive commoditiy markets this week Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, Asian refiners ramp up buying activity for May loading cargoes, talks begin for a key thermal coal price, and freight rates for Supramaxes gather steam. But first, in oil, the Middle East crude market is set to be active this week, with Asian refiners expecting to buy light and medium sour crudes for May loading at competitive prices. This comes after major Middle Eastern producers lowered their monthly official selling price differentials and the Dubai market structure flipped to discount - for the first time since last September - as a flurry of arbitrage cargoes from the Americas arrived in Asia. Also in oil, keep an eye out for China's largest oil company PetroChina releasing its annual operations report for 2017, and its production plan for 2018, on Friday. In petrochemicals, Saudi Arabia's Petro Rabigh is expected to load the first paraxylene cargo from its new Phase 2 project next week after achieving on-spec production last week. The news will likely weigh on paraxylene prices this week after earlier talk of a possible delay in on-spec production helped to buoy prices. In coal, Asia’s seaborne market will be watching for a key benchmark price to emerge this week from Japan for term contracts that start April 1. The closely-watched talks got underway last week between Japanese buyers and Australian shippers for 6,000 NAR thermal coal.This grade is currently trading at around $95/mt, but the market is in backwardation. High stockpiles in China and warming weather have also slowed buying recently, dragging prices down. Australian 5500 NAR thermal coal has fallen $3/mt in a week. Do you think last year’s Japan contract price of $85/mt, FOB Newcastle, will be bettered this year? Tell us what you think via Twitter via #PlattsMM. In shipping, Supramax rates will start the week higher after rising last week as tonnage supply fell in the region. Demand from other cargoes like nickel ore and clinker is adding support, while demand from coal cargoes is slowing. Medium Range tanker owners are also set to capitalize on strong demand this week to move distillate cargoes from Singapore and North Asia to Australia and the Americas. That’s all for now. Remember to join our conversations on Twitter with the hashtag PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-03-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/031918-market-movers-europe-mar-19-23-eu-likely-to-introduce-steel-quota-energy-market-hit-by-cold-weather</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=p12CwwX36VeLqEAjt2yug8</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Mar 19-23: EU likely to introduce steel quota; energy market hit by cold weather</video:title><video:description><![CDATA[After US President Donald Trump announced tariffs on imported steel and aluminum, the European Commission is now expected to announce an import quota to prevent a deluge of steel being redirected from the US. Elsewhere, traders across the European energy complex will this week be assessing the impact of the late cold snap. In the natural gas market, withdrawals from storage facilities stepped up to meet increased demand, especially for heating, while for power, the last cold snap was accompanied by healthy European wind and coal-fired plant availability Thermal coal prices may begin to rise this week as a result of negotiations between Australian miners and Japanese utilities. High stockpiles in Europe brought prices down to a nine-month low last week. Finally, the heads of some of the world’s largest trading and mining companies gather in the Swiss city of Lausanne, March 19-21 for the FT Commodities Global Summit; and, at the African Bunkering Conference in Tenrife, speakers are likely be assessing the impact of new IMO sulfur restrictions from 2020 onwards. Our social media question for this week: Just how far-reaching will the effect of the EU's response on steel be? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: A late cold snap has the entire European energy complex in its thrall; and the outlook for global commodities will be debated in Switzerland. But first, after US President Donald Trump announced tariffs on imported steel and aluminum, the European Commission is now expected to announce an import quota to prevent a deluge of steel being redirected from the US. This will probably involve a quota based on a three-year average volume. Which could be broken down by country or product. Trade associations say the quota would stunt new trade flows and create shortages. They’re calling instead for a minimum import price. EUROFER, the European steel association, has warned as much as 13 million metric tons of steel could be diverted in to the European market. It describes the potential effect as a catastrophe on a market where imports account for 25%. This week’s social media question is: Just how far-reaching will the effect of the EU’s response on steel be? Tweet us your thoughts with the hashtag #PlattsMM. Elsewhere traders across the European energy complex will this week be assessing the impact of the late cold snap. By late last week, the cold weather had already pushed up the price of heating oil. Heating-grade gasoil barges in the Amsterdam-Rotterdam-Antwerp trading hub were being priced at parity with ultra-low sulfur diesel for the first time in 9 months. Heating-grade gasoil usually trades at a discount. In the natural gas market, withdrawals from storage facilities stepped up to meet increased demand, especially for heating. That left Northwest European gas storage stocks well below 7 billion cubic meters—a seven-year low, as you can see from our chart. To meet the renewed surge in demand, Russian supplies have been flowing into the region at a record high of around 230 million cubic meters a day. For power, the last cold snap was accompanied by healthy European wind and coal-fired plant availability; and the same is forecast for this week. This takes the edge off the power price spikes, but it underlines a very uncomfortable truth: for brief periods this year, coal-fired plants have been critical to affordable system security, taking the strain off more expensive gas-fired units. However, Europe is speeding up the closure of these plants from 2020 onwards. Another uncomfortable truth is that thermal coal prices may begin to rise this week as a result of negotiations between Australian miners and Japanese utilities. The one-year term contracts are seen by many as the benchmark prices for Asian markets. Traders and producers in the Atlantic basin will be hoping that negotiations support prices and keep the arbitrage window open. High stockpiles in Europe brought prices down to a nine-month low last week. Elsewhere the outlook for global commodities as a whole will come under scrutiny as the heads of some of the world’s largest trading and mining companies gather in the Swiss city of Lausanne on Monday for the FT Commodities Global Summit. The CEOs of Glencore, Gunvor, Trafigura and Vitol will be speaking, along with the heads of mining giants Anglo American and BHP and US LNG exporter Cheniere Energy. In warmer climes, the African Bunkering Conference is taking place in Tenerife from Tuesday. There, speakers are likely be assessing the impact of new sulfur restrictions from 2020 onwards. This topic has prompted uncertainty in the shipping and refining industries, but may also present opportunities for refiners of light West African crude. Thanks for kicking your Monday off with us, and have a great week ahead.]]></video:description><video:publication_date>2018-03-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/031618-record-low-european-storage-stocks-inject-volatility-to-winter-gas-lng-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZUgZxWE8yYiA2SqCciJ7Xs</video:player_loc><video:thumbnail_loc /><video:title>Record-low European storage stocks inject volatility to winter gas, LNG prices</video:title><video:description><![CDATA[European gas markets were rocked by extreme winter weather in late February, as some hubs saw prices driven to record-high levels by arctic temperatures. Coming at the tail end of a winter already characterized by robust demand, Mel Sawaryn , lead analyst, S&P Global Platts Analytics, says the market hasseen storage stocks approach record lows. This has left European hubs highly volatile; prices surging once again with a colder outlook for the second half of March. In spite of its bullish fundamentals, the market at the end of February and early March still balanced, highlighting its access to flexibility of supplies and demand. However, the price spike also highlighted the region’s exposure to dynamics in the LNG market. For more information on Platts LNG Analytics, call 1-855-713-0658. View Full Transcript Video Transcript Record-low European storage stocks inject volatility to winter gas, LNG prices By Mel Sawaryn, lead analyst, S&P Global Platts Analytics Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. European gas markets were rocked by extreme winter weather in late February, as some hubs saw prices driven to record high levels by arctic temperatures. Coming at the tail end of a winter already characterized by robust demand, we have seen storage stocks approach record lows. This has left European hubs highly volatile; prices surging once again with a colder outlook for the second half of March. In spite of its bullish fundamentals, the market at the end of February and early March still balanced, highlighting its access to flexibility of supplies and demand. However, the price spike also highlighted the region’s exposure to dynamics in the LNG market. North East Asian LNG importers are comparatively constrained in their gas market flexibility to respond to, say, higher than normal winter demand. This is a key reason why we see North East Asian LNG prices breakaway from European hub prices to the upside. This winter, a number of factors contributed to an increase in JKM contracts for February and March 18. These included consistently colder than normal temperatures in Q4 and January in both Japan and South Korea, nuclear generation outages in South Korea, as well as exceptional LNG demand growth into China on the back of the Clean Air Initiative in Northern provinces in 2017. The spread between the NE Asian LNG price and the North West European hub prices rose to its highest level since 2014. A spread like this can divert marginal spot volumes away from Europe and incentivizes reloads from European terminals to be sent east. Although LNG to Western Europe had been up y-o-y, deliveries to the demand centers in NWE remained subdued. February saw the situation tighten further with both lower LNG imports and higher re-exports. LNG in storage was thus called upon to maintain sendouts to the grid, and provided supply relief to the market during the demand spike. Across the markets, stocks of LNG hit record lows in the first week of March. The heavy draw on both LNG and underground gas storages in Q1 so far will increase the region’s pull on the global LNG balance during the remainder of March and into Q2. Already this extra injection demand is feeding through to the summer contracts, with evidence of North West European hub prices pulling back on a firm JKM April price. There is, however, a few weeks of the heating season still left to go and until then we can expect for low storage stocks to manifest in higher volatility in prices during the balance of winter. Until next time on The Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-03-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/031318-view-from-the-top-an-interview-with-martin-houston</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-13T05:50:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ibnE5cNWmA4gn4yJpe8Xo5</video:player_loc><video:thumbnail_loc /><video:title>View from the top: An interview with Martin Houston</video:title><video:description><![CDATA[Martin Houston , vice chairman and co-founder of Tellurian, Inc., talks to Sarah Cottle , S&P Global Platts vice president for global metals and agriculture, and co-head of Platts Content Group, on the factors that will be driving the LNG market in the next few years, the trends and opportunities in the industry, as well as the increasing use of reference prices, including Platts JKM . Houston also shares the progress of Tellurian's Driftwood project, and the company's plans to grow its trading business. Related article: Driftwood LNG, a new supply model for a globalizing industry]]></video:description><video:publication_date>2018-03-13T05:50:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>10:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031218-market-movers-asia-mar-12-16-all-eyes-on-chinas-next-move-after-trump-signs-steel-tariff</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qzdg4DrUfvt3zYV8QMYn8T</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Mar 12-16: All eyes on China's next move after Trump signs steel tariff</video:title><video:description><![CDATA[S&P Global Platts Senior Editor Sameer C. Mohindru takes a look at the potential impact of US steel and aluminum import tariffs on trade flows. With Canada and Mexico excluded from the US' steel and aluminum import tariffs effective March 23, the world waits to see this week if any other exceptions will be made, and whether exporting countries such as China will retaliate with counter-tariffs on products imported from the US. A trade war could threaten trade flow between the two countries and put the US’ dependency on Chinese markets at risk. More details in our factbox: Trump's metal tariffs put spotlight on US-China commodity trade . Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights this week: we’ll take a look at the potential impact of US steel and aluminum import tariffs. Are we seeing the beginning of a trade war? What other policy changes await markets? All eyes are on the metals market as the US has imposed a stiff 25% tariff on steel imports, and 10% on aluminum imports. Prices have spiked after US President Donald Trump signed the proclamation on higher tariffs effective March 23. Canada and Mexico will be excluded from the initial tariffs, and now the world waits to see this week if any other exceptions will be made, which countries will request exemptions, and whether exporting countries such as China will retaliate with counter-tariffs on products imported from the US. Here’s our social media question this week: Are you expecting Trump’s steel tariffs to spark a trade war between the US and China? Share your thoughts on Twitter with hashtag PlattsMM. A trade war could threaten trade flow between the two countries and put the US’ dependency on Chinese markets at risk. After all, China is the fastest-growing buyer of US crude. S&P Global Platts Analytics also estimates that China has accounted for 21.5% of US LNG exports so far this year, putting Beijing on track to becoming the largest US LNG buyer for 2018 – details of this are in our factbox on Platts.com. While it's too early to see any impact on trade flows, note that China will be releasing its latest set of oil data this week, and import and export data will follow in the next few weeks. Speaking of data, OPEC will also be releasing its latest monthly oil market report this week, at a time when crude production is recovering in Libya and Nigeria. Higher output can further dampen the current bearish market sentiment. Our latest OPEC survey shows that February crude production in Libya surged to a nearly five-year high and Nigeria to its highest level in 28 months. The IEA's oil market report will be released on Thursday. Over the weekend, China has removed the two-term limit for its president. How would this move affect Beijing’s policies on commodities? Thermal coal traders are waiting with bated breath to see whether any policy change will emerge before China’s National People’s Congress meeting ends this week. Buyers are avoiding new purchases of imported thermal coal, fearing they may burn their fingers in the event of a policy change. Prices of Australian coal, delivered into China are already declining. Still on China, this time in petrochemicals -- Beijing’s partial implementation of a new tax regime for oil products from this month, has dented demand for gasoline blendstocks such as isomer-grade and solvent-grade mixed xylene. The new system is designed to close loopholes which have until now allowed independent refiners and blenders to avoid paying a consumption tax by passing off one product as another. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-03-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/031218-market-movers-europe-mar-12-16-eu-to-respond-to-us-metals-tariffs-bfoe-crude-expected-to-fall-into-apr</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Mbh9tCoeW4RMaJuheJKFFq</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Mar 12-16: EU to respond to US metals tariffs; BFOE crude expected to fall into Apr</video:title><video:description><![CDATA[Eurofer will host an extraordinary press conference today as the European Commission weighs up its response to the US' announcement of tariffs on steel and aluminum imports. In oil, Africa and its refining sector are in the spotlight this week, as the AGM of the African Refiners’ Association opens in Cape Town today. Meanwhile, the market will also be looking out for reports from both OPEC and the International Energy Agency, on Wednesday and Thursday, respectively. Finally, in natural gas, key Dutch announcements are expected on the production quota for the giant Groningen gas field, plans for the phase-out of coal-fired generation, and the winners of the latest Dutch offshore wind tender. Our social media question for this week: What are the biggest challenges for Africa’s refiners? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights, African refiners gather for a key meeting in Cape Town; North Sea crude prices are expected to fall; and the Dutch economy minister is in for an energetic few weeks. But first: European steel industry association, Eurofer, will host an extraordinary press conference Monday as the European Commission weights up its response to US President Donald Trump’s announcement of tariffs on steel and aluminum imports. Flying in the face of criticism from the international community, Trump last week pushed the button on tariffs of 25% for steel, and 10% for aluminum. The tariffs would include all countries, except for NAFTA partners Mexico and Canada. The EC has said it will respond quickly, with the steel industry suggesting either a tariff or import quota to protect the EU market from a potential surge of redirected metal. More broadly, the market will be watching closely to see what countermeasures are put in place by the US’ trading partners across the globe. These could have ramifications across a range of commodities. In oil, Africa and its refining sector are in the spotlight this week, as the AGM of the African Refiners’ Association opens in Cape Town on Monday. The continent’s shortage of up-to-date refining capacity will be in focus, along with plans for new refineries in Nigeria, Kenya and Egypt among others. European refiners also have a strong interest in developments, given how much fuel they export to Africa. That’s the subject of this week’s social media question: What are the biggest challenges for Africa’s refiners? Tweet us your thoughts with the hashtag #PlattsMM. The market will also be looking out for oil market reports from both OPEC and the International Energy Agency, on Wednesday and Thursday, respectively. These should shine a light on recent falls in the oil price and the impact of the US import tariff announcements. In Northwest Europe, the outlook is bearish for the Brent, Forties,Oseberg, Ekofisk crude complex as the market moves into April. Poor arbitrage opportunities to Asia, and limited buying interest in Europe, are expected to weigh on prices of North Sea crude. March was a relatively bullish month, with two to three very large crude carriers taking North Sea oil out of the region. Come April, market participants expect lower official selling prices in the Middle East and the Dubai structure moving into contango to dampen demand from Asia. Meanwhile, oil that stays in Europe faces stiff competition from Russian Urals blend. As you can see from the chart on your screen, the premium of Forties to Urals is currently the highest since September last year. Finally, the Dutch economy minister has a busy couple of weeks coming up. Key announcements are expected on the production quota for the giant Groningen gas field, plans for the phase-out of coal-fired generation, and the winners of the latest Dutch offshore wind tender. Eric Wiebes is set to propose a new cap on Groningen output this month. The regulator has recommended production be limited to just 12 billion cubic meters a year to prevent earthquakes. The current quota is just over 20 billion. The minister is also set to provide an update on how the Netherlands plans to phase out its coal-fired power plants in the coming weeks, against the backdrop of the situation at Groningen. Offshore wind power could pick up some of the slack. Norwegian oil major Statoil and Sweden's Vattenfall are currently offering to build a subsidy-free offshore wind farm. That would be a world first. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-03-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030918-brent-crude-oil-volatility-march-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PN5HQavhAJ4Vs4WWbh9h3m</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: March outlook</video:title><video:description><![CDATA[The Dated Brent crude oil market experienced two different price trends in February: dropping during the first half of the month, while recovering in the second half. Multiple factors influenced the fluctuation of Brent prices, with muted domestic demand and a sluggish South Korean and Chinese appetite for BFOE grades, depreciation of the US dollar, and record high US crude production. These elements will continue to have a significant impact on market sentiment in the coming weeks. View Full Transcript Video Transcript 2018 Brent crude oil volatility: March outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market experienced two different trends in the month of February: it dropped in the first half while it recovered in the second one. In the North Sea market an overhang of crude oil had formed as a result of both muted domestic demand and a sluggish South Korean and Chinese appetite for BFOE grades. Needless to say that, in the first 2 weeks of February, this acted as a cap on prices. The Dated Brent CFD forward curve has significantly changed its shape over the month of February and perfectly mirrored the different developments in the market. In fact, in the first half of the month, with Dated Brent prices falling, the CFD forward curve had its first tenors in contango while in the second one, with Brent prices recovering, the forward curve moved back in backwardation. Internationally, in the week ending on February 9, according to the Energy Information Administration, the production of crude oil in the United States had reached the record high level of 10.27 million b/d and this was a factor that has certainly contributed to increase the selling pressure at the beginning of February. However, the depreciation of the US dollar, in the second half of the month, managed to favor a recovery in Brent prices. The Volatility Premium analysis shows that the differential between implied and realized volatilities is very narrow. In particular, the volatility premium dropped sharply over the last trading days of February and managed to close the month around 1.26%. The low Volatility Premium indicates that a short term increase in volatility should be expected. The probability distribution analysis indicates that Dated Brent’s volatility was trading, at the end of February, within the 20-25% range. However, the analysis suggests that the fluctuation rate is more likely to uptrend in coming weeks and reach the 25-30% range where its probability to settle are slightly higher than 17%. The initial increase in volatility is likely to cause a short-lived retracement in prices but, overall, the Dated Brent market should slowly move up in coming weeks. The Volatility Cones analysis shows that the current volatility curve is very close to the low range one implying that, at least in the short term, an increase in market turbulence and a market correction should be expected. Nevertheless, the relative closeness to the equilibrium point indicates that it is unlikely that the crude oil market will experience violent volatility spikes. Overall, the Brent market is likely to trade sideways, at first, and then slowly go up. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-03-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/030518-market-movers-asia-mar-5-9-thailand-mulls-us-oil-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZAP3us1TLoitvwT4jEtSxH</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Mar 5-9: Thailand mulls US oil imports</video:title><video:description><![CDATA[In oil, Thailand could be next in line for crude oil imports from the US this year, with PTT seeking up to 1 million barrels of low sulfur crude for delivery in late April. Will it be following the footsteps of China, South Korea and Japan? Meanwhile, key industry leaders are expected to assess trends driving the oil market at the 5th S&P Global Platts Asian Refining Summit in Singapore this week. In LNG, the closure of the Papua New Guinea LNG facility following an earthquake last week pushed up prices for prompt cargoes last week. Analysts say a protracted outage could exert more pressure on spot prices. In steel, details of US President Donald Trump's 25% tariff on steel imports are expected to emerge. Traders in Asia expect some countries to be more affected than others. Joyce Zhang looks at these and other factors that could move the energy and commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, Thailand mulls US oil imports, an LNG plant looks to restart after an earthquake, and steelmakers digest US tariffs. First, in oil, Thailand could be next in line for crude oil imports from the US this year, with PTT seeking up to 1 million barrels of low sulfur crude for delivery in late April. The recent lofty Brent pricing structure would make regional light sweet grades less attractive than some North American crudes, so it might pick up distillate-rich US oil for the second quarter. If it does, it will be following in the footsteps of China, South Korea and Japan. Its tender result is expected later this week. S&P Global Platts is also holding its 5th Asian Refining Summit in Singapore this week, where key industry leaders will assess how such trends are driving markets. Elsewhere in oil, China is due to release preliminary February import and export data for both crude oil and refined products on Thursday. The country's crude oil imports hit a record high in January, but buying interest has since slowed for March and April deliveries due high inventory and narrowing margins for independent refiners due to tax changes. In LNG, all eyes are on the restart of the Papua New Guinea LNG facility following an earthquake in the country's highlands early last week. The week-long closure has already pushed up prices for prompt cargoes, and a protracted outage could exert more pressure on spot prices. In thermal coal, domestic Chinese prices could fall further this week, after sliding 8 per cent last week, on expectations of stronger domestic production and reduced coal burn by power utilities. Indonesian coal prices are also under pressure from China’s slow return after the Lunar New year holidays. But miners are still optimistic, as supply is tight after severe weather affected production and logistics. In metals, steelmakers this week will find out the details of US President Donald Trump's 25 per cent tariff on steel imports. Traders in Asia expect some countries to be more affected than others. In China, mills in the steel hub of Tangshan will be required to cut blast furnace rates by 10 to 15 per cent from March 16 to November 14. This is expected to swell port stocks and dent demand for raw materials. Seaborne iron ore hit a 10-month high last week. Do you think it will hit 80 dollars per dry metric ton soon? Join our conversation on Twitter with #PlattsMM. In shipping, the outlook for Capesize freight rates in the Asia Pacific and Atlantic is mixed this week after a retreat last week. Some sources said as long as the price of iron ore remains firm, it is highly possible prices could rally. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-03-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/030518-market-movers-europe-mar-5-9-cold-weather-drains-ukraine-gas-supplies-section-232-tariff-details-unveiled</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-03-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Wvd7DaCyJ22wibDotz9V9i</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Mar 5-9: Cold weather drains Ukraine gas supplies; Section 232 tariff details unveiled</video:title><video:description><![CDATA[US President Donald Trump will reveal details of his Section 232 tariff plan this week. The move is aimed at protecting the domestic metals industry from imports that the administration says threaten national security. Gas storage levels are running low across Europe, despite an end to last week's cold weather system that gripped the continent. And with Temperatures for the coming week expected to be milder, there are forecasts of sluggish demand in the thermal coal market, with spot prices likely to fall. Germany has cleared the final hurdle in its six-month odyssey to form a new government, following a vote by SPD party members on Sunday. Elsewhere, there could also be a change at the energy ministry in Rome, following Sunday's election results that saw a big swing away from mainstream parties. Finally, in the oil market, Mediterranean sweet crude looks set to remain under pressure in the coming week with lackluster demand for March cargoes. View Full Transcript Video Transcript In this week's highlights: Cold weather drains Ukraine gas supplies; Germany’s new government is finally set to swing into action; and Mediterranean sweet is looking not-so-sweet for Europe’s refiners. But first: US President Donald Trump will reveal details of his Section 232 tariff plan this week. The move is aimed at protecting the domestic metals industry from imports that the administration says threaten national security. He is expected to address issues such as whether semi-finished steels and raw materials will be included, and if some countries will be exempt from blanket tariffs—although some senior administration officials have already poured cold water on that suggestion. The move has sparked fears of a trade war, with the European Commission and trade groups across the region likely to announce countermeasures this week. President Trump on Friday tweeted that the US could respond to any retaliation by imposing a tariff on European cars. Even if this kind of situation is avoided, the Section 232 plan will have direct and indirect implications for other markets, such as oil, where the cost of materials for US pipelines and wells will be affected. Turning back to Europe, and the cold weather system that has gripped the continent, nicknamed the Beast from the East, should ease this week. However, gas storage levels are running low across the region. The problem is particularly acute in Ukraine, where a new gas war is brewing between Gazprom and Ukraine’s Naftogaz, after the Russian gas giant rejected the Ukrainian company’s request to resume gas imports. Ukraine faces gas shortages due to the bitter cold. However, Gazprom, furious at having lost an arbitration case brought by Naftogaz, is threatening to unilaterally terminate its gas supply and transit deal with Naftogaz. The dispute comes after National Grid, the UK transmission system operator, issued a rare gas deficit warning for last Thursday, also due to Europe’s severe cold weather. Temperatures for the coming week are expected to be milder, giving rise to sluggish expectations for demand in the thermal coal market. Traders expect spot prices to weaken, with April-loading cargoes likely to remain well offered. That should leave Colombian coal producers looking towards Asia, but prices there have fallen coming out of the Lunar New Year celebrations, which left coal stockpiles 38% higher at the end of last week. Germany has cleared the final hurdle in its six-month odyssey to form a new government, following a vote by SPD party members on Sunday. It’s a Grand Coalition, with Angela Merkel at the helm for a fourth term. Her conservative CDU will take over the energy ministry for the first time since 1960. Major decisions regarding the phase-out of coal await the new minister. Meanwhile, there could also be a change at the energy ministry in Rome, following Sunday's election and a predicted swing to the right. Results are due later today, but, as in Germany, it may take some time before the shape of the new government becomes clear. Finally, in the oil market, Mediterranean sweet crude looks set to remain under pressure in the coming week with lackluster demand for March cargoes. Local refinery maintenance has reduced demand for grades such as Azerbaijan's Azeri Light and Kazakhstan's CPC Blend. An extremely weak Urals market has encouraged some refiners to look at switching part of their slate from sweet to sour crude. With Mediterranean sweet crude leaving a sour taste in the mouths of refiners, all eyes will be on Asian buyers and whether they can step in to take some of the pressure off the oversupplied market. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-03-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/022618-market-movers-asia-feb-26-mar-2-malaysian-crude-premiums-face-pressure</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QA3c4tJoyp6ptq3gadeoJS</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Feb 26-Mar 2: Malaysian crude premiums face pressure</video:title><video:description><![CDATA[Malaysian crude premiums seen set to come under pressure and contract talks begin for thermal coal and aluminum. Kenneth Foo looks at these and otherfactors that could move the energy and commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, Malaysian crude premiums under pressure, and contract talks begin for thermal coal and aluminum First, in oil, the sweet crude market in Southeast Asia is set to be active this week after the release of the April loading program for Malaysia's light sweet Kimanis crude last week. The recent downturn in Asia's middle distillate product margins is expected to put some pressure on Malaysian crude premiums, while tighter supply could provide support. Also, keep any eye out later Monday for the release of China’s oil import/export data for January, which will show who the country's top crude suppliers are. In thermal coal, Japanese power companies are expected to present their first offers in term talks for Australian thermal coal supply this week. The talks are for one-year contracts for loadings starting in April. Japanese-specification coal is currently trading at a 12-month high at close to $110/mt FOB Newcastle, $25/mt higher than when last April's contracts were signed. In aluminum, Japan’s second quarter aluminum premium contract talks have just kicked off, with Rusal offering at $135/mt CIF, up 31% from Q1. More producers are expected to release offers this week, and with Japan's spot premiums hitting a 10-month high last week, they are also expected to be higher. In petrochemicals, the styrene monomer market will see clearer market direction emerge this week on the impact of China's antidumping duties on imports from South Korea, Taiwan and the US. The duties ranging from 5% to 10.7% were imposed February 13, just before the Lunar New Year holiday. In LNG, the possible return of Chinese buyers to the market this week could support LNG prices in Asia amid persistent issues at Malaysia's Bintulu and Indonesia's Bontang LNG projects. After being absent for 2 weeks, will Chinese buyers return in full force to restock LNG? Tell us want you think via Twitter using the hashtag PlattsMM In agriculture, industrial grade B ethanol prices look set to be supported this week by a lack of supply from Pakistan and lower Australian wheat production. Its price is estimated to be around the $600/cu m for Q2 delivery, then ease in Q3 when offers from Brazil start coming in from March. And finally, in shipping, Panamax and Supramax rates are expected to tick higher this week on increased cargo demand from China. While congestion in the Pacific is constraining the supply of Supramaxes, Panamaxes are being drained out of the region, ballasting towards the Atlantic. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-02-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/022618-market-movers-europe-feb-26-mar-2-ruling-due-on-gazprom-naftogaz-dispute-cold-snap-expected-to-impact-power-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=SgHXLEMd1w69PWorz6cLrb</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Feb 26 - Mar 2: Ruling due on Gazprom, Naftogaz dispute; cold snap expected to impact power market</video:title><video:description><![CDATA[Steel producers will be leaning on the European Commission this week to respond to the expected implementation of far- reaching import restrictions by the US. Turning to natural gas, a key decision is expected this week in the near four-year arbitration dispute between Russia's Gazprom and Ukraine's Naftogaz. In the power market, Arctic temperatures are expected to keep prices buoyant across northwest Europe and the UK, as coal and gas plants are called on to meet a surge in demand. Meanwhile, in oil, the cold snap is expected to generate extra demand from the kerosene-heating segment, which would lend further support to jet fuel prices. Finally, Iraqi officials including oil minister Jabbar al-Luaibi host the Iraq Petroleum 2018 conference in Berlin on Tuesday. Our social media question for this week: What actions do you think President Trump will take on steel imports? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: A key decision is expected in the long-running dispute between Gazprom and Ukraine over gas transit to Europe; a cold snap across the northwest of the continent is set to have a potentially big impact on power and fuel prices; and efforts to drum up funding for the ongoing reconstruction of Iraq’s hydrocarbons sector will be getting under way thousands of miles away from Baghdad in the German capital Berlin. But first, let’s take a look at the metals market. Steel producers will be leaning on the European Commission this week to respond to the expected implementation of far-reaching import restrictions by the US. A little over a week ago it was revealed that President Donald Trump had received three recommendations of action from the Department of Commerce, after a section 232 investigation into whether steel imports posed a threat to national security. As you can see from the chart, the US is Europe’s second largest export market for steel — and European producers may potentially face hefty tariffs and quotas on exports to the US. Steelmakers are concerned the US market will be closed off, but the bigger worry is that exports from other regions will be redirected to Europe in the future. The EU has said it will consider actions in response, but mills are nervous that the EU might be slow to act. Trump has until April 11 to make a decision. And our social media question for this week: If the US takes action on steel, what impact will it have on Europe? Tweet us your thoughts with the hashtag #PlattsMM Turning to gas, a key decision is expected this week in the near four-year arbitration dispute between Russia's Gazprom and Ukraine's Naftogaz. The Stockholm arbitration court ruling is related to Naftogaz's claim that Gazprom has repeatedly underused Ukraine's transit system for supplying gas to Europe. It could have implications on the way Russian gas reaches Europe, given Kiev's desire to reform its transit operations. A major award in Naftogaz's favor could lead to worsening relations between the two sides. In the power market, Arctic temperatures are expected to keep prices buoyant across northwest Europe and the UK, as coal and gas plants are called on to meet a surge in demand. If winds pick up, then the price effect could be muted, but nevertheless this is a welcome opportunity for ageing thermal power stations to fill their boots from a brief period of scarcity pricing. In oil, the cold snap is expected to generate extra demand from the kerosene-heating segment, which would lend further support to jet fuel prices. Jet fuel prices in Europe currently sit at their highest levels in over three years, as low stocks in the Benelux region have coincided with a heavy maintenance program globally and strong demand in both Asia and the US. Finally, Iraqi officials including oil minister Jabbar al-Luaibi hosts the Iraq Petroleum 2018 conference in Berlin on Tuesday. The event aims to attract investment not only to the country’s upstream oil sector, but also its natural gas and oil refining infrastructure. Officials from BP and Lukoil, two of the biggest foreign investors in the country, are also among the speakers. Last week al-Luaibi set a goal of more than doubling Iraq’s refining capacity by 2022 to over two million b/d. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-02-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/view-from-the-top/021918-view-from-the-top-an-interview-with-jim-rogers</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-19T03:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nqoHp3JXcM7DLYheHacmY1</video:player_loc><video:thumbnail_loc /><video:title>View from the top: An interview with Jim Rogers</video:title><video:description><![CDATA[Commodities in general have witnessed a broad upturn in prices since late last year. But the recent turmoil in global equity markets has somewhat dampened the sentiment. Veteran commodities investor and chairman for Rogers Holdings Jim Rogers talks to Sambit Mohanty , S&P Global Platts Senior Editor for Oil News and Analysis, to share his insights on factors that are working for and against commodity markets, current economic outlook and its impact, key pockets of growth in Asia, and the role that potential market disruptors might play in the future.]]></video:description><video:publication_date>2018-02-19T03:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>9:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021918-market-movers-europe-feb-19-23-oil-industry-descends-on-london-for-ip-week-gas-power-traders-watch-for-cold-snap</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XfGU2NvcCN4u5bZdTNjDej</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Feb 19-23: Oil industry descends on London for IP Week; gas, power traders watch for cold snap</video:title><video:description><![CDATA[It’s International Petroleum Week, and anyone who’s anyone in the oil industry will be gathering in London for one of the biggest events in the oil calendar. Kicking off the week on Monday is Platts Oil and Energy Forum. Headlining IP Week on Tuesday is UAE energy minister Suhail Mazrouei, who will outline his vision of a formalized relationship between OPEC and Russia. Elsewhere, the biofuels market will be looking to the long-awaited expiry of EU antidumping duties against US ethanol on Friday. The duties have been in place since 2013. In the natural gas and power market, traders will be watching the latest weather forecasts for signs of a cold spell stretching into early March. Finally, as China and other parts of Asia celebrate Lunar New Year, Europe’s steel mills have found a novel way to mark the holiday—by proposing higher prices. Our social media question for this week: What impact will electric vehicles have on oil demand? Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: European ethanol producers wait to see if antidumping duties on US imports will expire; gas and power traders are weather watching; and European steel mills have their own way of celebrating Chinese New Year. But first, it’s International Petroleum Week, and anyone who’s anyone in the oil industry will be gathering in London for one of the biggest events in the oil calendar. Kicking off the week on Monday is Platts Oil and Energy Forum. Look out for two special reports we’ll be unveiling at the event: one on the future of the Dated Brent benchmark, and another on the changing face of transport and how it will affect energy and metals in the coming decades. Both can be found on our website at the address on your screen. That takes us to our social media question: What impact will electric vehicles have on oil demand? Tweet us your thoughts with the hashtag #PlattsMM. IP Week formally begins on Tuesday. Headlining is UAE energy minister Suhail Mazrouei, who will outline his vision of a formalized relationship between OPEC and Russia. He is followed by US deputy energy secretary Dan Brouillette, Iran’s deputy minister for industry, Mansour Moazami, and BP chief executive Bob Dudley. BP also presents its annual Energy Outlook, a go-to reference guide to the next two decades, on Tuesday, for which Dudley is joined by BP chief economist Spencer Dale. On Wednesday, renewables and new energy are the focus. Thursday starts with a discussion of oil stocks and storage, before moving on to energy security and geopolitics. Other sessions cover Russia, bunker fuel and even gender equality. Away from IP Week, the biofuels market will be looking to the long-awaited expiry of EU antidumping duties against US ethanol on Friday. The duties have been in place since 2013. The expiry comes at a difficult time for European producers, because prices are low and margins tight. There has been a great deal of speculation in the market but no official announcements on an appeal. A re-opening of the case could trigger an extension of the duty and would protect the European market, at least in the short term, from an arbitrage opening up from the US. In the gas and power market, traders will be watching the latest weather forecasts for signs of a cold spell stretching into early March. Last week, front-month gas and power contracts rebounded during a cold spell warning, after a bearish run so far this year. A cold snap earlier this month caused power output from German coal and gas-fired plants to hit highs for the year-to-date. As you can see from the chart, European gas inventories are ample after a mild winter. Nonetheless, a cold spell toward the end of the heating season could test storage withdrawal capacity. Finally, as China and other parts of Asia celebrate Lunar New Year, Europe’s steel mills have found a novel way to mark the holiday—by proposing higher prices. With many people in Asia away from their desks, the festivities will limit steel export offers to Europe. The resulting lack of competition is helping push up European flat steel prices. Higher slab and raw material costs are also encouraging European mills to raise prices. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-02-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:40</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021318-choke-points-could-emerge-to-inhibit-global-lng-trade-expansion-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CcfUA3PwFdLDAG3AJiKPJm</video:player_loc><video:thumbnail_loc /><video:title>Choke points could emerge to inhibit global LNG trade expansion in 2018</video:title><video:description><![CDATA[As the market embarks on a second year of record level LNG supply from the Atlantic Basin and strong competition from Asia for those volumes, a potential choke point is emerging: the Panama Canal. The canal can transit just one LNG vessel a day, laden or ballast, and only during daylight hours. The vessel transit restriction will be in place until October 2018 when capacity is expected to double to two vessels a day. In this video, S&P Global Platts Senior Director for Global Gas and LNG Madeline Jowdy examines how concerns about the Panama Canal can affect trade flows and investment decisions. For more information on Platts LNG Analytics , call +1 8557130658. View Full Transcript Video Transcript Choke points could emerge to inhibit global LNG trade expansion in 2018 By Madeline Jowdy, Senior Director, Global Gas and LNG Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. As the market embarks on a second year of record level LNG supply injections from the Atlantic Basin and strong competition from Asia for those volumes, a potential choke point is emerging: the Panama Canal. Not eighteen months after the first LNG tanker transited the newly expanded conduit point utilization rates for LNG tankers have gradually crept up. Current regulations stipulate that the Panama Canal can transit just one LNG vessel a day, laden or ballast, and only during daylight hours. In the first quarter of last year, Panama Canal utilization rates registered around 45%. By the fourth quarter, that shot up to 66%. In December, when margins on LNG shipments to Asia from the US broached $5.00/mmBtu, the utilization rate hit 81%, begging the question of when the Panama Canal becomes a choke point as opposed to an access point to Asia. Here’s what has buyers and sellers alike in a quandary: the vessel transit restriction will be in place until October 2018 when capacity is expected to double to two vessels a day. But export capacity from the US is continually being added. After having ramped up a 4th export train at Sabine Pass in the fourth quarter, the US is gearing up for a second export facility at Cove Point to begin production by the end of the first quarter. By the fourth quarter, a third export facility could begin generating cargos. As with Sabine Pass, there are no destination restrictions on Cove Point volumes per se, but capacity holders have their own portfolios to manage. At Cove Point, half the capacity has been sold to Japanese gas and power utilities. These capacity holders have downstream obligations to meet and are therefore less flexible during seasonal demand spikes in the first and fourth quarters. Exceptions to this rule have been reported: in December, the Panama Canal Authority reported an instance of two laden LNG carriers in the canal on the same day-but this is no way to manage a complicated portfolio. For buyers faced with downstream obligations during a seasonal peak, delays at the canal could prove disastrous. There is always the option not to use the canal, adding some 20 days to the round trip transit. In this case, the price tag for buyers would be higher. Concerns about the canal could impact the next generation of FIDs for US projects. Until next time on The Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-02-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/021218-market-movers-asia-feb-12-16-qatars-condensate-tender-result-to-set-market-tone-asia-to-wind-down-ahead-of-lny-holidays</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-12T08:32:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=C8KqENZ3VcPmTRApxUUo4L</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Feb 12-16: Qatar's condensate tender result to set market tone; Asia to wind down ahead of LNY holidays</video:title><video:description><![CDATA[Qatar Petroleum is due to close a low sulfur condensate tender on February 14 for April to September shipments. This result will be closely watched by the market, as it will help set the tone for the region's ultra-light crude spot differentials in coming months. In thermal coal, US exports to Asia are starting to gather pace as Australian thermal coal prices remain high. Utah coal was heard being shipped via Mexico to a customer in South Korea. The upcoming Lunar New Year break has sharply reduced buying interest in China for thermal coal cargoes from Australia and Indonesia. Panamax and Supramax freight rates are also expected to slide ahead of the festive season in Asia, but could rebound quickly after the holidays amid positive sentiment across the dry bulk commodity sector. Associate Editor Sue Koh talks about these and other factors that could drive commodity prices in Asia this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, a key condensate tender result is due, more US coal shipments are seen heading east, and markets in Asia will wind down ahead of the Lunar New Year holidays. First, in oil, Qatar Petroleum is due to close a low sulfur condensate tender Wednesday for April to September shipments. This result will be closely watched by the market, as it will help set the tone for the region's ultra-light crude spot differentials in coming months. The company is offering 500,000 barrels of low sulfur condensate per month for lifting from Ras Laffan. Regional end-users have paid lofty premiums for condensate in the past few trading cycles due to tight supply, and a recent slight rebound in Asian naphtha cracks could support a further price uptrend. In LNG, downward pressure could emerge this week after prices posted a surprise 2 per cent jump last week amid a cold snap in North Asia. Falling crude futures and European gas prices, as well as the looming end of the winter heating season, could re-inject downward pressure into prices this week. The market will also keeping a close watch on tenders from India and Indonesia to gauge end winter pricing. In thermal coal, US exports to Asia are starting to gather pace as Australian thermal coal prices remain high at around 100 dollars per metric ton, on an FOB Newcastle basis for the 6,000 NAR grade. Utah coal of this grade was heard being shipped via Mexico to a customer in South Korea, at around 90 dollars per metric ton. China's Lunar New Year holiday later this week has sharply reduced buying interest for cargoes from Australia and Indonesia. In addition, China’s move to limit the price of a key thermal coal grade at Qinhuangdao port, the appreciation of the Yuan against the dollar, and jittery global equities are fueling volatility in coal derivative markets. In shipping, Panamax and Supramax freight rates are expected to slide this week as activity winds down ahead of the Lunar New Year, but then recover quickly after the holidays amid positive sentiment across the dry bulk commodity sector. In metals, spot alumina prices fell around 5 percent last week to a 6-month low, amid weak demand and rising supply. China has not been buying due to lower domestic prices, the rest of the world is well stocked, and a labor dispute at a Canadian aluminum smelter is adding to global alumina supply. China is a key importer of alumina, but has reduced imports in recent months on lower domestic prices. Will the Lunar New Year holidays this week weigh down alumina further? What do you think? Join us in our conversations on Twitter with the hashtag PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2018-02-12T08:32:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/021218-market-movers-europe-feb-12-16-oil-industry-leaders-meet-amid-low-prices-us-forecasts-equities-weigh-on-oil-market-outloo</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=brZDsMkV7EuJPsgeXrDJMR</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Feb 12-16: Oil industry leaders meet amid low prices; US forecasts, equities weigh on oil market; outlook for coal darkens</video:title><video:description><![CDATA[The attention of the oil and gas industry will be focused on several meetings and conferences across the Middle East and North Africa, and any reactions to recent falls in oil prices. Corporate earnings season continues, providing insights into how well Big Oil has weathered several years of turbulence, with Italy's ENI reporting on Friday. Meanwhile, in the markets, further drops in oil prices are expected due to a sharp increase in US production forecasts and the recent correction in global stock markets. Elsewhere, physical coal traders will be watching closely macroeconomic factors that drove physically delivered markets down by $15 a metric ton over the last two weeks. Finally, in the chemical market, traders are facing a race against time if they want to export gasoline blending components toluene and mixed xylenes to the US. Our social media question for this week: Will oil prices keep sliding in the next few weeks Tweet us your thoughts with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: Oil prices feel the pressure from higher US production forecasts; thermal coal prices are buffeted by macro-economic factors; and traders face a race against time to take advantage of an arbitrage opportunity in the chemicals market. But first: the attention of the oil and gas industry will be focused on several meetings and conferences across the Middle East and North Africa, and any reactions to recent falls in oil prices. Saudi Arabia hosts Russian energy minister Alexander Novak at a symposium in Riyadh on Wednesday, part of a trend of strengthening ties between the two energy producers. US Secretary of State Rex Tillerson is also touring the region, and attending an Iraqi reconstruction conference in Kuwait. The markets will be looking for any comments on oil-related sanctions against Venezuela or Iran. Also, key figures in the world of oil -- including BP CEO Bob Dudley, Eni CEO Paolo Descalzi, and OPEC Secretary General Mohammad Barkindo -- will be in Cairo for an energy conference this week. Also attending will be the head of Libya’s National Oil Corporation, Mustafa Sanallah, who will be promoting his country’s reconstruction. And the corporate earnings season continues, providing insights into how well Big Oil has weathered several years of turbulence, with Italy's Eni reporting on Friday. CEO Descalzi is likely to discuss hopes for building a gas export hub in the Mediterranean at the Cairo conference, after his company announced a sizeable gas discovery off Cyprus last week. In the markets, further drops in oil prices are expected due to a sharp increase in US production forecasts and the recent fall in global stock markets. According to the latest outlook from the Department of Energy, US production is expected to average 10.6 million barrels a day in 2018 and 11.2 million in 2019. Both estimates are more than 300,000 barrels a day higher than last month. To put those figures into perspective, OPEC kingpin Saudi Arabia has a production quota of just over 10 million barrels a day under the OPEC/non-OPEC output deal. The impact of the US numbers has been amplified by market turmoil as investors sell off speculative long positions. Our social media question for the week is: Will oil prices keep sliding in the next few weeks? Tweet us your thoughts with the hashtag #PlattsMM. And the oil market is not the only one grappling with a fall in prices. The price of physical thermal coal delivered to Europe has been driven down around 17% from $98 per metric ton at the start of the year, effectively closing the US to Europe arbitrage. A fall had been on the cards, but it has come harder and faster than many expected. Traders will be watching closely the factors behind the drop such as the fall in equities and the oil complex to gage future market direction. In the chemical market, traders are facing a race against time if they want to export gasoline blending components toluene and mixed xylenes to the US. To ensure a profitable sale, the products need to reach the US by the end of February. A voyage from Europe to the US could take longer than three weeks. Skepticism is growing whether there would be firm demand there in March. Potential US customers are also likely to seek a steep discount on European material to domestic product. And higher quality requirements in the US make the arbitrage more difficult to work for mixed xylenes. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-02-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020918-brent-crude-oil-volatility-february-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uSg6sQtvvMqa6sfxe67szv</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: February outlook</video:title><video:description><![CDATA[The volatility on the Dated Brent crude oil market at the end of January was moving around its lowest level in 2 years and a higher degree of market turbulence had to be expected. The high selling pressure, particularly in the Brent physical market, is also a consequence of a lack of arbitrage opportunities towards the Far East, a sluggish European domestic demand and the increased competition between BFOE grades and American sweet crude grades, which have been entering the North Sea market favored by a wide Brent/WTI spread. February looks like a very volatile month. View Full Transcript Video Transcript 2018 Brent crude oil volatility: February outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market went up in the first ten days of January and tested the $71/b threshold at least 3 times before dropping back to $68/b at the end of January. The Brent physical market has recently encountered quite a lot of competition from American sweet grades which, thanks to a favorable Brent/WTI spread, entered the North Sea market and the number of American barrels getting in Europe is expected to touch 350,000 b/d in February. Furthermore, the high premium, at which Dated Brent kept trading at against WTI and Dubai, pushed many Chinese and South Korean refiners to purchase Middle East and American sweet crude oils rather than BFOE grades. Internationally, American crude oil stocks dropped by 1.44%, from the end of December to the end of January, while OPEC members, during the same period of time, managed to pump 32.46 million b/d of oil, which is 60,000 b/d higher than their December’s output, according to a recent S&P Global Platts Survey. The net long position on ICE Brent futures, at the beginning of January, touched the record high level of more than 567,000 contracts and the fact that there were so many speculative positions in the market increased the propensity of crude prices to drop as a result of massive profit takings. The Volatility Premium was as high as 36.5% on the 31st of January, which is a level that has been touched only another 5 times since 2015, and that implied that a significant adjustment was likely to happen at the beginning of February. The realized volatility, which dropped by a staggering 39.18% in January, was likely to move up and get closer to the implied volatility, which, instead, moved down only by 2.86%. However, the fact that the realized volatility is still likely to increase suggests that the higher degree of market turbulence and retracements in Brent prices might also continue in coming weeks. The distribution analysis shows that the Dated Brent’s monthly volatility ended, the month of January, trading in the lowest volatility range touched by the fluctuation rate over the last 2 years so the increase in the fluctuation rate, happened at the beginning of February, was very likely to happen. The Volatility Cones analysis shows that the volatility curve, at the end of January, was basically trading around its 2-year lowest. The fluctuation rate was just too low and, statistically speaking, the aggressive sell-off, happened during the 1st week of February, had to be expected. Overall, the volatility will likely remain high in coming days and Brent prices might still experience short-lived but fast retracements. Nevertheless, the selling pressure will eventually diminish, the volatility will probably soften and Brent crude prices, over the coming weeks, should, at first, move sideways and then slowly recover. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-02-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020618-asian-petrochemical-h1-outlook-polymers-and-olefins-in-focus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ghswCaSt92SXGT3e9etM7C</video:player_loc><video:thumbnail_loc /><video:title>Asian petrochemical H1 outlook: Polymers and olefins in focus</video:title><video:description><![CDATA[Asia's olefins and polymers markets face a mixed outlook in the first six months of 2018, says Clement Choo , Senior Editor for Asian Petrochemicals, in this video. While annual steam cracker turnarounds are expected to lower olefins production, fresh polymer production is expected to weaken markets and change market flows. An early emphasis to use LPG for cracking could result in higher olefins production and lower aromatics production. China’s ban on plastic waste imports in 2018 could increase demand for virgin material amid the country’s efforts to clean up its environment especially for reducing air pollution. View Full Transcript Video Transcript Asian petrochemical H1 outlook: Polymers and olefins in focus By Clement Choo, Senior Editor, Asian Petrochemicals Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Asia's olefins and polymers markets face a mixed outlook in the first six months of 2018. Amid typical factors such as turnarounds, tight supply and emerging downstream demand, a new factor has emerged in China. Effective, January 1, 2018, China has banned the import of plastic waste for recycling, which includes polyethylene terephthalate, polyvinyl chloride, polyethylene, polypropylene, polystyrene and so on. Data from the Chinese Ministry of Environmental Protection showed plastic waste imports totaled 7.3 million mt in 2016 so demand for virgin plastics in China is expected to increase this year. Amid the ban, in Northeast Asia, half of Japan's 12 naphtha-fed steam cracker are scheduled for planned maintenance, resulting in a 3.46 million mt/year of ethylene production loss. This could point to healthy margins for ethylene producers. Cracker operators are using LPG as a feedstock so we will see an increase in ethylene production in Northeast Asia. Similarly, propylene supply will tighten as most crackers produce both ethylene and propylene. Fresh acrylonitrile production in China is expected to place additional demands on the propylene supply chain. In China, the government's measure to reduce air pollution is likely to affect petrochemical operations in the country, increasing demand for imported products. For instance, tight polyvinyl chloride supply is expected as Chinese carbide-based PVC plants reduce their operation rates. On the polymer side, incremental supply from up to 3 million mt/year of new polyethylene capacity amid poor macroeconomics is likely to weaken the Asian market and redraw trade flows in 2018. Indian demand for PVC is expected to support the spot market as the country is expected to face a 1.5 million mt/year PVC shortfall in 2018. As such, higher ethylene-based PVC production is expected as most calcium carbide furnaces are deemed to be not environmentally friendly. Butadiene markets face a challenge of new production capacities in China but the startup of new downstream derivatives, such as nitrile rubber, could balance or offset the fresh capacities. Until next time on the snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-02-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/020518-market-movers-europe-feb-5-9-its-results-season-for-big-oil-groningen-natural-gas-output-in-the-balance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-05T09:49:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=9kzfhfgHW52m8MCAcFP4PC</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Feb 5-9: It’s results season for big oil; Groningen natural gas output in the balance</video:title><video:description><![CDATA[In this week’s highlights: Labor unions will decide whether or not to support the creation of a European steel giant; the coal sector eyes the prospect of a strike at one of the world's largest mines; and the fate of the Groningen gas field hangs in the balance. All eyes will be on major oil companies’ 2017 results and their plans for the year ahead. Statements from BP, Statoil, and Total are all due this week. In steel, workers at Germany’s ThyssenKrupp could pave the way for the creation of Europe’s second largest steel producer today by allowing a merger with India-based Tata Steel. In the coal market, labor issues will also loom large, with a potential strike at one of the world’s largest mines. Meanwhile, tight supply will be an issue for the European petrochemicals market with polypropylene prices expected to increase this month. In technology, a clutch of live blockchain-based power and gas trades will be demonstrated this week at the annual E-World event in Essen, Germany. And finally, the fate of the Groningen gas field in the Netherlands hangs by a thread, with the market primed for a government decision in the days ahead. Our social media question for this week: Is blockchain technology being over-hyped, or is it a real threat to established trading services? Tweet us your thoughts with the hashtag #PlattsMM .]]></video:description><video:publication_date>2018-02-05T09:49:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/020518-market-movers-asia-feb-5-9-mideast-crude-producers-to-release-osps</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mpGh5x3TYzgQARZd4pUNup</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Feb 5-9: MidEast crude producers to release OSPs</video:title><video:description><![CDATA[Middle Eastern crude producers set to release monthly selling prices, China’s aluminum prices set to fall further, and activity slows across the commodity sector ahead of the Lunar New Year holidays. Associate editor Kevin Seo talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week: Middle Eastern crude producers to release monthly selling prices, China’s aluminum prices set to fall further, and activity slows across the commodity sector ahead of the Lunar New Year holidays. First, in oil, major Middle Eastern crude producers are set to release fresh monthly official selling prices this week. Asian refiners are expected to pay close attention to Abu Dhabi National Oil Company's price announcement after it recently slashed its term allocations for March-loading Murban crude. ADNOC is expected to raise its OSP differential for Murban given the tightening supply and healthy middle distillate product margins in Asia, market sources said. In petrochemicals,activity in the butadiene and synthetic rubber markets is expected to be slow this week ahead of the Lunar New Year holidays. Most restocking activity has been finalized and feedstock requirements for February have also been settled. However, butadiene prices are expected to trend higher as steam cracker and butadiene unit maintenance is slated for February. In LNG, the Platts JKM for March slipped last week and recent deals suggest sentiment is turning as winter trading ends and spring demand fails to materialize. Market participants are keeping a close eye on reduced gas flows from the China-Central Asia natural gas pipeline, with some expecting an uptick in Chinese demand as domestic gas shortages increase ahead of the Lunar New Year. In thermal coal, activity in the China market is starting to slow ahead of the Lunar New Year holiday. However, delivered CFR prices for 5,500 NAR cargoes shipped to China are trading at a year high of $98/mt after a cold snap boosted coal-fired generation. In shipping, charterers have pared back bids on both a period basis and single time charter trips as spot demand for grain cargoes out of east coast South America is mostly covered. A lack of coal cargoes within the Pacific is also expected to reduce demand for Panamax vessels in the Asia Pacific this week. In metals, China’s aluminum prices are expected to fall further this week after hitting a 6-week low last week amid rising domestic stockpiles.In contrast, US premiums have surged by almost 30 per cent since the start of the year, which has pushed Japan's spot premiums up more than 12 percent to almost $100 per mt. Will this uptrend continue this week? What do you think? Join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-02-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020118-asian-petrochemical-h1-outlook-aromatics-in-focus</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-02-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XFz6eN5C83NwgKxsZxms31</video:player_loc><video:thumbnail_loc /><video:title>Asian petrochemical H1 outlook: Aromatics in focus</video:title><video:description><![CDATA[Many of Asia’s petrochemical markets have put behind them a good year for producers, who have mostly been seeing good margins for their products. But there are some dark clouds appearing on the horizon. In this video, Gustav Holmvik , Team Leader - Asian Petrochemicals, looks at the factors that could affect the region's aromatics market, including expansions in China, plant shutdowns, as well as anti-dumping investigations. View Full Transcript Video Transcript Asian petrochemical h1 outlook: Aromatics in focus By Gustav Holmvik, Team Leader, Asian Petrochemicals Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Many of Asia’s petrochemical markets have put behind them a good year for producers, who have mostly been seeing good margins for their products. But there are some dark clouds appearing on the horizon -- supply is increasing both internationally as well as within the key import market China. And crude oil prices have risen to above $70/barrel in January. Benzene and paraxylene feedstocks such as toluene and mixed xylenes have seen large expansions in China in 2017, which in part have led to lower imports of those products by the Asian giant. But, this could be good news for producers of benzene and PX. Could new tax rules being implemented by China in March bring MX and toluene back into favor for Chinese importers? That’s something we’ll be watching out for. Paraxylene, a key market in Asia, has recently seen its demand boosted by restarts of idled PTA plants in China. Going forward supply could be snug amid several paraxylene plant maintenance shutdowns. But new plants are expected to start production soon in the Middle East and Southeast Asia, adding more supply to the market. However, the biggest threat is yet to come. Chinese PTA producers are building their own paraxylene plants. When these juggernauts start production - some possibly from the end of this year - the paraxylene market may start to change in a dramatic way. In benzene, another key market, the expansion of downstream capacities in China and its growing appetite for benzene as a feedstock is expected to remain as the main market driver this year. New styrene monomer and caprolactam plants will form the bulk of the new demand, estimated to increase by up to 1 million mt in China in 2018. However, Asia remains long on benzene and therefore sellers will continue to seek out arbitrage opportunities to the US Gulf Coast. Now, we mentioned new capacities of styrene monomer coming up in China. Ahead of this, Chinese styrene producers have set in motion an anti-dumping investigation against styrene imported from South Korea, Taiwan and the US. The market is still grappling with the possible implications of the potential anti-dumping duty, expected to be announced in February. We take a look at these and other factors moving the Asian aromatics market this year in our 2018 outlook report for Asian petrochemicals. This report may be downloaded for free on Platts.com. Until next time on the snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-02-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/013018-brent-crude-oil-volatility-2017-review-in-like-a-lion-out-like-a-lamb</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7tJbEYB2hwywWYRCXeQSpd</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility 2017 review: In like a lion, out like a lamb</video:title><video:description><![CDATA[The fluctuations of the Brent market in 2017 have been heavily influenced by the intervention of the OPEC. Nevertheless, price volatility remained the main focus of many market participants, particularly in the first half of the year, quantitative analyst Vito Turitto observes. The volatility in the first two quarters of 2017 was, on average, 14% higher than in the second half. Dated Brent’s volatility reached its peak at 40% implying that price drops in the physical market have been far more aggressive than in any Brent paper market while the Brent average price option market experienced the highest average volatility among all other derivatives. View Full Transcript Video Transcript Brent crude oil volatility 2017 review: In like a lion, out like a lamb By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The fluctuations of the Brent market in 2017 have been heavily influenced by the intervention of the OPEC, which has limited its output in order to reduce crude oil inventories and support prices. The great compliance of OPEC members, to the self-imposed production cuts, has actually produced good results. In fact, over the 2017, the reduced oil supply has pushed down crude stock levels favoring a recovery of the price. Nevertheless, bringing down oil inventories was not easy. In fact, it took almost 6 months for oil prices to show a clear uptrend. Dated Brent prices traded between $47/b and $55/b for the first two quarters of 2017, but an increase in demand and a tighter supply gradually pushed the market up. Overall, the Dated Brent has gone up by 21.29% and closed the year trading around the $65/b threshold. Nonetheless, its volatility fell by more than 46% implying that the market has followed a healthy leverage effect process. The large drop in the fluctuations rate happened in the second part of the year because the gradual but constant price uptrend favored a softening of the volatility and supported a higher degree of market stability. The leverage effect process, which is an asymmetrical movement between price and volatility, was rather good in 2017 which implies that many option hedging strategies have performed well over the last year. In particular, it is worth pointing out that the 2017’s overall correlation between Brent swap prices and the Brent implied volatility, extracted from Asian Option premiums, was as robust as negative 0.74, which implies an almost perfect linear relationship between the two factors. The markets that experienced the largest drop in volatility are definitely the options one, where the implied volatility dropped by 41%, and the Dated Brent one, where the realized volatility went down by 48%. It is important to note that the volatility in the first 2 quarters of 2017 was, on average, 14% higher than in the second half of the year but in any case Brent options and the Dated Brent remained the most volatile markets. The 2017’s average volatility in the Brent option market was as high as 27%, nevertheless, the most violent volatility explosions have been registered in the Dated Brent market, where the monthly fluctuation rate managed to achieve its peak at 40%, which suggests that price drops in the physical market have been far more aggressive than in any Brent derivatives market. The Brent Frontline swap market has been the most stable one, with an average yearly volatility of just 23%, while the Brent futures market was slightly more volatile. Overall, the uncertainty surrounding the effectiveness of the OPEC supply cuts, in the first half of the year, resulted in a higher degree of market volatility while in the second half, as soon as crude inventories started to decrease, Brent price volatility stabilized favoring a more solid uptrend. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-01-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012318-whats-in-store-for-indias-oil-and-gas-sector-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=aC6JHHijBHKgyQnKvUnKoL</video:player_loc><video:thumbnail_loc /><video:title>What's in store for India's oil and gas sector in 2018?</video:title><video:description><![CDATA[India's economic growth is set to pick up amid expectations that infrastructure and banking sectors will get a renewed push. The World Bank expects India's economy to grow by 7.3% this year. What does this mean for the country's oil and gas sector? S&P Global Platts Senior Editor for Oil News and Analysis Sambit Mohanty looks at the factors that will drive India's energy sector this year, including fiscal reforms, as well as trends in oil demand and LNG imports. View Full Transcript Video Transcript What's in store for India's oil and gas sector in 2018? By Sambit Mohanty, Senior Editor, Asia Oil News and Analysis Welcome to The Snapshot, our series examining forces shaping and driving global commodities markets today. For India's oil sector, 2017 was a year of challenges. The country posted modest demand growth of 2%, rising to 4.31 million m/d. While jet fuel posted the sharpest growth of 9.3%, LPG also witnessed healthy growth, rising 7.5%. A series of policy reforms took a toll on industry and manufacturing, pulling down overall growth. And as a result, oil demand received its share of bad news. But the initial teething problems from the reforms -- demonetization and the Good and Services Tax -- seems to be largely over, setting the stage for demand to bounce back in 2018. World Bank projects India’s economy will grow by 7.3% in 2018 The World Bank expects GDP to grow at a robust 7.3% in 2018, and then climbing to 7.5% the following year. Higher private sector consumption, rising infrastructure spending, and a corporate sector revival is expected to aid India's GDP growth. Signs of a recovery in oil demand was evident from December data. The month saw demand growing 7.5%. PIRA Energy Group expects India’s oil demand to grow by 300,000 b/d in 2018 PIRA Energy Group, a unit of S&P Global, expects India's oil demand to grow by 300,000 b/d in 2018, compared with only 120,000 b/d in 2017. As the government aims to boost capital spending and inject liquidity into its banking sector, it has improved the consumption outlook. There are expectations that India will soon announce a package to boost infrastructure investment. Rising oil prices add to the worries of India’s policy makers But crude oil prices are rising and that can't be ignored. It's certainly adding to the worries of India's policy makers. If crude oil rises further, some key fiscal reforms undertaken in recent years would have to be tweaked -- for instance, consumption taxes -- to soften the impact of high prices. Also, as retail prices are now market-linked, consumers can already feel the pinch of rising crude prices. If prices rise further it could have some dampening impact on domestic oil demand. In addition to oil, the LNG market in India is also witnessing dramatic changes in demand patterns. LNG demand is expected to hit close to 25 million mt in 2018, a 25% growth over 2017, and eventually 30 million by 2020, according to Platts Analytics. Short-term deals will increasingly become a part of import strategy. Large importers, such as GAIL and IOC, are already buying more LNG from the spot market. The emergence of new importers, not restricted by long-term contracts, and increased third-party access to import terminals are encouraging more competition in India's downstream markets. This means new risk for traditional importers, which would eventually force them to prioritize price competitiveness and risk management over long-term supply security. It definitely looks like a year of dramatic growth in oil demand for India's energy space. Until next time on The Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2018-01-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012218-market-movers-asia-jan-29-feb-2-slew-of-espo-blend-cargoes-expected</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7jH1TdwALym6JSwumss3r7</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jan 29-Feb 2: Slew of ESPO blend cargoes expected</video:title><video:description><![CDATA[A cold snap in Northeast Asia has the LNG market turning bullish, Indonesian coal producers continue to grapple with loading and hauling issues, and what lies ahead forJapanese spot aluminum premiums after the7% surge last week? Editor Jarek Mlodziejewski talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: the cold weather in Northeast Asia has LNG market turning bullish, Indonesian coal producers continue to grapple with loading and hauling issues; and after Japanese spot aluminum premiums gained 7% last week, what can the market expect ahead of the likely Lunar New Year slowdown? But first, in oil, Far East Russian crude suppliers are expected to offer a slew of ESPO Blend cargoes in the Asian spot market this week. Premiums for the medium sweet grade could extend recent gains as wide Brent/Dubai spread continues to lend support. The Brent/Dubai Exchange of Futures for Swaps, or EFS -- a key indicator of Brent's premium to the Middle Eastern crude pricing benchmark -- averaged $3.44/b so far this month, the highest since June 2016 when it averaged $3.57/b. So, here's what we want you to tell us via Twitter with the hansgtag PMM: What impact do you expect the ESPO Blend cargoes will have on the Asian spot market? In LNG, cold snaps across Northeast Asia have brought back bullish expectations of a price rebound this week, with participants noting low inventory levels to drive a wave of spring buying. But end-users say potential headwinds are coming from additional prompt supply as well as eager sellers hoping to clear away March cargoes before a steep downward correction in April prices. Strong Chinese buying sentiment has driven prices higher again in the Asian thermal coal market. Falling temperatures have fueled more demand for coal amid limited cargo availability from Australia and Indonesia. Demand has kept prices firm even in H2 February, bucking the usual bearish trend that sets in the market following the Chinese Lunar New Year. Market participants will be keenly looking at Chinese utility tenders which have boosted positive sentiment in the market. In metals, Japan spot aluminum premiums gained 6-7% last week, averaging at $102/mt on rising US premiums. Several aluminum tenders were heard to have closed lower, and some higher than expected by Southeast Asian end-users late last week. In agriculture, the White sugar price dropped to a 28-month low at $351/mt last week, amid an estimated white sugar surplus of around 1 million mt. Prices were pressured lower due to bearish fundamentals -- India is expected to turn a net exporter this season from being a net importer last year, and increased exports are expected from the EU and Pakistan. Aside from the estimated surplus, cash premiums in Asia are also adding to the downward pressure on outright prices. The cash premium for Thai 45i spot cargoes in containers was down 9% from the beginning of this year to $30/mt last week. That’s all for now. Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-01-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012218-market-movers-asia-jan-22-26-opec-non-opec-producers-may-change-focus-in-supply-cut-agreement</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=p9JWhfBTf1qyHbRyb895CH</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jan 22-26: OPEC, non-OPEC producers may change focus in supply cut agreement</video:title><video:description><![CDATA[OPEC and non-OPEC producers met in Oman Sunday to review their production cut agreement and assess market conditions. Saudi Energy Minister Khalid al-Falih emerged from the meeting to say their target of achieving the five-year average is likely to be changed. Still in oil, ultra-light oil is set to take center stage in the Asia Pacific sweet crude market this week as demand continues to sharply exceed supply, pushing spot premiums for many regional and Persian Gulf condensate grades to multi-month highs. In LNG, sentiment in the spot market for March is positive this week, with early spring prices expected to extend the robust winter demand in Northeast Asia ，as well as absorb the leftover demand from a pullback for February. And in petrochemicals, propylene prices show little sign of slowing this week after hitting a 33-month high last week. Buying interest remains supported by pre-Lunar New Year restocking, and supply limited by a slew of plant turnarounds. Editor Michelle Zhao talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, OPEC and non-OPEC producers consider shifting focus in their production cut agreement, winter demand continues for LNG and coal in Northeast Asia, and propylene prices hit a 33-month high. But first, in oil, OPEC and non-OPEC producers met in Oman Sunday to review their production cut agreement and assess market conditions. Saudi Energy Minister Khalid al-Falih emerged from the meeting to say their target of achieving the five-year average is likely to be changed. The coalition may start to measure the success of its cut agreement by tracking oil inventories by region and by which grades of crude are in storage, he said, in perhaps a hint that producers may increase their focus on exports. What do you think of the producer’s move in light of current prices? Join our conversations on Twitter with #PlattsMM. Elsewhere in oil, ultra-light oil is set to take center stage in the Asia Pacific sweet crude market this week as demand continues to sharply exceed supply, pushing spot premiums for many regional and Persian Gulf condensate grades to multi-month highs. In LNG, sentiment in the Platts JKM market for March is positive this week, with early spring prices expected to extend the robust winter demand in Northeast Asia, as well as absorb the leftover demand from a pullback for February. In thermal coal, sellers are expecting a flood of demand this week from buyers in China wanting cargoes to arrive before the Lunar New Year holiday in mid-February. Restocking has emerged after freezing temperatures in China， pushed power plant thermal coal consumption to high levels, and prices to a 14-month high. In shipping, weakening sentiment has seen Capesize freight rates slip in recent days, and the outlook for this week ahead is mixed. Some sources expect there will be strong resistance from owners to lowering prices, while others expect weakening demand to exert heavy downward pressure. In contrast, Panamax freight rates in the Asia Pacific are expected to rise this week in the run up to the Lunar New Year. In petrochemicals, propylene prices are showing little sign of slowing this week after hitting a 33-month high last week, as buying interest remains supported by pre-Lunar New Year restocking, and supply limited by a slew of plant turnarounds. Remember to join our conversations on Twitter with #PlattsMM.Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-01-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/012218-market-movers-europe-jan-22-26-european-refiners-are-considering-run-cuts-mild-weather-looks-set-to-dampen-gas-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=f5wqknPe7zouCVLKLp6jZQ</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Jan 22-26: European refiners are considering run cuts; mild weather looks set to dampen gas demand</video:title><video:description><![CDATA[The focus in oil this week is on the World Economic Forum in Davos, Switzerland, where US President Donald Trump will be under scrutiny for his comments on foreign and trade policy. Of particular interest to the market will be a panel discussion on Wednesday featuring the architects of the OPEC/non-OPEC production cut pact Moving downstream, refiners in Northwest Europe are considering cutting runs as distillate crack margins have fallen back from the highs hit in mid-November. Meanwhile, the EU is expected to withdraw on Monday its appeals against the proposed removal of antidumping duties on imports of biodiesel from Indonesia, while in the gas market, NWE is set to experience much milder weather this week. UPDATE: As forecast in this week's edition, S&P Global Platts can now confirm that an EU Council representative in a Tweet this morning (Monday, January 22) confirmed that the Council has ‘agreed to withdraw appeals to the ECJ on six biodiesel duty cases related to imports from Indonesia and Argentina.’ Last, but not least, attention will also be on Germany, which is now a step closer to a new government after an extraordinary Social Democratic Party conference on Sunday voted for official coalition talks with Chancellor Angela Merkel's Christian Democrat bloc. Finally, the European steel industry will be bracing itself for the US administration’s reaction to an investigation into the impact of steel imports on national security. What are your thoughts on the weekend's events in Germany? Tweet us your comments with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's highlights, European refiners are considering run cuts; mild weather looks set to dampen gas demand; the biodiesel market will be watching out for a key decision by the EU on Indonesian imports; and Germany's efforts to build a new government will be closely watched. But first, the focus in oil this week is on the World Economic Forum in Davos, Switzerland, where US President Donald Trump will be under scrutiny for his comments on foreign and trade policy. Issues such as climate change and the future of motoring are also likely to be discussed. Of particular interest to the market will be a panel discussion on Wednesday featuring the architects of the OPEC/non-OPEC production cut pact, Saudi Energy Minister Khalid Al-Falih and his Russian counterpart Alexander Novak. They appear alongside US Energy Secretary Rick Perry. This meeting of rival power centers in the oil world comes after OPEC officials met in Oman at the weekend to assess the state of the production cut pact. Some commentators argue the pact has now done its job and is merely encouraging a boom in US shale production. Moving downstream, refiners in Northwest Europe are considering cutting runs as distillate crack margins particularly for jet fuel have fallen back from the highs hit in mid-November. Crack margins measure the difference between the price of an oil product and crude oil. On Thursday, the front-month crack margin for jet fuel hit a six-week low. In the European biodiesel market, all eyes will be on Monday's meeting of EU ministers, who are expected to withdraw the appeal cases against a World Trade Organization ruling that antidumping duties on Indonesian biodiesel should be removed. This would open up the market to palm-derived biodiesel imports in volumes on a scale not seen since the duties were imposed in 2013. However, the end of the measures might only spell a brief respite for Indonesian palm oil producers. On Wednesday, the European Parliament voted to remove palm oil from the list of authorized feedstocks for biofuels in Europe after 2020. To the gas market, where Northwest Europe is set to experience much milder weather this week, with temperatures forecast to be as much as 7 degrees Celsius above seasonal norms across the region, including in the UK, which will likely have a bearish impact on European gas demand and prices. Spells of wind-power output close to recent record highs are also forecast. The chart on your screen shows how wind generation has increasingly picked up in the UK over recent weeks. With zero marginal cost renewables pushing more expensive thermal generation off the system, near-curve electricity contract prices could be dragged lower. Attention will also be on Germany, which is now a step closer to a new government after an extraordinary Social Democratic Party conference on Sunday voted for official coalition talks with Chancellor Angela Merkel's Christian Democrat bloc. Those talks could last until Easter, with working groups debating the finer policy details in areas such as energy, transport and climate change. Markets will be keeping an eye on working group line-ups for any hint of who the new environment and energy ministers might be. However, even if a final deal is done it will have to be put to a vote of all SDP members, who could still reject it and take the whole process back to square one. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-01-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011818-will-the-chinese-steel-market-be-softer-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-18T10:20:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=64sx56r3uauoGUQg84R1td</video:player_loc><video:thumbnail_loc>/_assets/images/icons/blog.png</video:thumbnail_loc><video:title>Will the Chinese steel market be softer in 2018?</video:title><video:description><![CDATA[China's ferrous market has been seeing plenty of volatility in steel and raw materials prices since the start of 2018. Market participants are unclear about the near-term price direction, but Q1 is often atypical of the year as a whole. In this video, Paul Bartholomew , S&P Global Platts Senior Managing Editor for Steel Policies and Industries, explains how the winter production cuts in China are affecting the market so far, and what the country's "quality over quantity" focus means for the market this year. View Full Transcript Video Transcript Will the Chinese steel market be softer in 2018? By Paul Bartholomew, Senior Managing Editor, Steel Policy and Industries Welcome to the Snapshot, a series that examines the forces shaping and driving global commodity markets today. Well, January is racing away and it’s proving difficult to get a handle on ferrous markets in China. We’ve already seen plenty of volatility in steel, iron ore and coking coal prices. Market participants in China are as unclear as the rest of us about the near-term price direction. But in general, they are tending towards the bearish side – as can be seen in the low reading in the latest S&P Global Platts China Steel Sentiment Index. The January-March quarter tends to be atypical of the year as a whole. Iron ore exports are lower due to seasonal factors in Australia and Brazil - and the long Chinese New Year break occurs in the quarter. In 2017, sentiment was extremely bullish. If anything, prices overshot and then came hurtling down from the end of March. 2018 outlook complicated by China’s winter cuts This year, the market outlook situation is complicated by China’s winter curtailments on steel production and on other industrial activity such as construction. Also Chinese New Year is much later than normal, potentially pushing back the restocking cycle. To date, the winter output cuts have had relatively little impact. Domestic steel prices – often driven by futures sentiment – carried on climbing in late 2017. The decoupling of steel and iron ore prices indicates there could be room for weaker domestic steel prices in the current quarter. Both steel and iron ore inventories have been climbing in recent weeks which could add to the pressure on prices. Some market players expect a spring steel price rebound. Steel prices reached record highs in 2017 Looking further out into 2018, it is difficult to see how the Chinese steel market can be any stronger than last year. However, the market thought the same thing a year ago, and look what happened. Steel prices reached record highs, and crude steel production was much stronger than expected. That said, nobody envisaged that China would eliminate 140 million mt/year of “illegal” steel capacity that the market didn’t really know about. This added more impetus to domestic steel prices and contributed to a 31% drop in finished steel exports in 2017. Also, there was a lot more liquidity in China than had been anticipated. The Chinese government likely wanted the economy to be performing well ahead of the important party congress in October. Now the leadership is even stronger it could be more sanguine about the pace of economic growth this year. The message coming out of China is that ‘quality rather than quantity’ is the major focus. This is akin to the large miner’s ‘value over volume’ mantra. The age of excess is behind us, it appears. In terms of steel, we expect Chinese crude steel production to dip by less than 1% to around 850 million mt. Already indicators show that liquidity is being tightened. This could result in a slowdown in new construction and infrastructure projects – particularly over the second half of 2018. Manufacturing remains in positive territory but is a bit patchy. So all-in-all China’s steel market seems set to be more subdued this year. But that said, let’s not be surprised by China’s ability to surprise. Until next time on the snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2018-01-18T10:20:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011518-market-movers-asia-jan-15-19-trump-calls-for-revision-of-iran-nuclear-deal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MuFU6b3rK1H1WrGbU3vDzD</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jan 15-19: Trump calls for revision of Iran nuclear deal</video:title><video:description><![CDATA[The highlights this week: US President Donald Trump calls for revision of the Iran nuclear deal, LNG prices ride high on winter demand season, and domestic coal prices in China reach levels that may trigger government intervention. In oil markets, prices of front month ICE Brent Futures closed just below a three-year high near the $70/b mark Friday. Global oil demand is seen as strong, especially in China and Europe, in line with robust global economic growth. Some market participants expect oil prices to rise further this week due to a host of production issues in key OPEC countries such as Venezuela, Iraq, Iran and Libya. US President Donald Trump last Friday decided to again waive sanctions against Iran, although not without a warning. Trump wants major revisions to the nuclear deal and a separate agreement within 120 days or the US will withdraw. Senior analyst Sammy Six talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights this week: US President Donald Trump calls for revision of the Iran nuclear deal, LNG prices ride high on winter demand season, and domestic coal prices in China reach levels that may trigger government intervention. In oil markets, prices of front month ICE Brent Futures closed just below a three-year high near the $70/b mark Friday. Global oil demand is seen as strong, especially in China and Europe, in line with robust global economic growth. Some market participants expect oil prices to rise further this week due to a host of production issues in key OPEC countries such as Venezuela, Iraq, Iran and Libya. US President Donald Trump last Friday decided to again waive sanctions against Iran, although not without a warning. Trump wants major revisions to the nuclear deal and a separate agreement within 120 days or the US will withdraw. Iran, one of the world’s largest oil producers, has recently seen an eruption of popular protests escalate into violence, including in its main oil producing province of Khuzestan. Do you think the protests in Iran will impact the country’s oil industry? And if yes, which part of the value chain is most likely to be hit most severely? We look forward exchanging ideas on Twitter with the hashtag #PlattsMM. Still on oil, OPEC and the International Energy Agency will be releasing their first oil market reports of the year this week. So stay tuned on Platts.com for our news and analysis once the numbers are out. In LNG markets, persistent bullishness in the winter trading market has seen spot prices rallying since September with no signs of weakening. Drivers for further upside this week, apart from the bull run in oil prices, are supply concerns over production issues at several major LNG projects, and another wave of North Asian winter buying. With the winter trading cycle ending in one week’s time, could this be the last hurrah? In thermal coal, market watchers in Asia are keeping a close eye on domestic Chinese spot prices as they approach the critical Yuan 750/mt mark. Last times these price levels were reached, in October 2017 and November 2016, it triggered market interventions by the Chinese government, such as loosening production controls or restricting imports. That’s all from us today! Remember to join our conversations on Twitter with the hashtag #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-01-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/011518-market-movers-europe-jan-15-19-opec-iea-oil-market-reports-due-quake-raises-questions-over-natural-gas-production</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QkhLsYkjqnhbngyiinoQKo</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Jan 15-19: OPEC, IEA oil market reports due; quake raises questions over natural gas production</video:title><video:description><![CDATA[This week, two heavyweight organizations, OPEC and the IEA, will weigh in with their assessments of the market, on Thursday and Friday, respectively. The reports are due out after benchmark Brent futures briefly rose above 70 dollars a barrel last week. In the European natural gas market, all eyes will what the Dutch regulator will recommend on cuts to output from the Groningen gas field after the region was hit by its largest earthquake in five years. For those watching policy in Germany, the key date will be next Sunday when the Social Democrats hold a party conference to decide whether to enter into full coalition talks with Chancellor Angela Merkel’s Christian Democrats. Finally, the European steel industry will be bracing itself for the US administration’s reaction to an investigation into the impact of steel imports on national security. What do you think the outcome of the latest Groningen earthquake will be for the gas market Tweet us your comments with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: Key reports on the global oil market are due out after Brent hit $70 a barrel; a Dutch government decision on a key European gas field is eagerly awaited; and the European steel sector is bracing itself for a US trade ruling. [CAPTION: OPEC, IEA oil market reports due] This week, two heavyweight organizations, OPEC and the IEA, will weigh in with their assessments of the market, on Thursday and Friday, respectively. The reports are due out after benchmark Brent futures briefly rose above 70 dollars a barrel last week. These organizations' assessments of global oil stocks will be closely watched, against the background of US decisions on Iran, and a prediction last week by the Energy Information Administration that US crude output could surpass 10 million barrels a day by next month and hit 11 million by November. On Saturday, OPEC and non-OPEC officials will hold a monitoring meeting in Oman to assess the state of their 2016 production cut agreement. [CAPTION: Quake raises questions over natural gas production] In the European gas market, all eyes will what the Dutch regulator will recommend on cuts to output from the Groningen gas field after the region was hit by its largest earthquake in five years. The recommendation is expected in the next two weeks. The regulator has already said a significant cut would be needed to lower the risk of earthquakes. This could potentially put a further dent not just in Dutch but also Northwest European gas supply and increase the need for imports since Groningen accounts for around a quarter of EU gas production. As you can see from the chart, there has been a steady rise in seismic activity despite a fall in production. [CHART: Groningen earthquakes] According to economy minister Eric Wiebes, a decision is expected by the end of the March. Prime Minister Mark Rutte has said the cabinet is in agreement on the need to reduce output. Our question for social media this week is: What do you think the outcome of the latest Groningen earthquake will be for the gas market? Answer us on Twitter using the hashtag #PlattsMM. [CAPTION: Grand coalition or big falling out in Germany?] For those watching policy in Germany, the key date will be next Sunday when the Social Democrats hold a party conference to decide whether to enter into full coalition talks with Chancellor Angela Merkel’s Christian Democrats after exploratory talks made a breakthrough on Friday. However, the conference’s outcome is not a foregone conclusion, with the party’s youth group and some regional sections against a coalition with Merkel. [CHART German Cal 20 power] An indication of how sensitive energy markets are to the potential policy outcomes of any deal can be seen in this chart showing how the German Calendar 2020 power contract plunged when news emerged earlier in the week that the parties might drop the 2020 climate goals. [CAPTION: US trade ruling on European steel eyed] The European steel industry will be bracing itself for the US administration’s reaction to an investigation into the impact of steel imports on national security. This could mean tariffs or duties being applied to all steel imports. The US accounts for around 13-14% of European steel exports. On Thursday the Department of Commerce submitted the results of the investigation -- which was launched in April -- and President Donald Trump has up to 90 days to decide whether he will take action. Thanks for kicking off your Monday with us. Have a great week ahead.]]></video:description><video:publication_date>2018-01-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011118-yamal-lng-supply-route-shifts-the-global-balance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GVVcb6J5VrT6SDP5Ny5so3</video:player_loc><video:thumbnail_loc /><video:title>Yamal LNG supply route shifts the global balance</video:title><video:description><![CDATA[Yamal LNG Train 1 has successfully shipped its first four cargoes. The first three are temporarily destined for North West European terminals. Will the gas stay in Northern Europe or be shipped onwards? S&P Global Platts Analytics' Mel Sawaryn examines how the Yamal volume could affect the global LNG market balance. For more information on Platts LNG Analytics , call +1 8557130658. View Full Transcript Video Transcript Yamal LNG supply route shifts the global balance By Mel Sawaryn, Lead Analyst, S&P Global Platts Analytics Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Yamal LNG Train 1 has successfully shipped its first four cargoes. The first three are destined for North West European terminals, temporarily at least. The question is, will the gas stay in Northern Europe or be shipped onwards and ultimately, how will Yamal volume affect the global balance going forward? On the roster of liquefaction projects due to be commissioned around the world this year, Russia’s 15 million ton per year three train Yamal project in the Arctic stands out for its remote location, technical challenges, marketing struggles and financing hurdles in the wake of US sanctions. Now up and running, the project’s special purpose fleet is seasonally constrained. In December through April, cargoes can only travel westward, which means all journeys will pass by North West Europe. From there, the LNG can undergo a ship-to-ship transfer for export. Alternatively, it can be loaded into LNG storage for reload later. This appears to have been the case for Yamal’s first cargo, which initially landed at the UK’s Isle of Grain terminal. At of the time of recording its final destination was not 100% certain though it cited Boston USA as the destination. A bit odd? No, not really. It’s simply a sign of the market reacting to market signals. Following a sustained period of brutally cold temperatures in the US’s Northeast region, prompt month netbacks from the UK into the Boston area have risen sharply, exceeding those into NE Asia and to South West Europe. During May to November, or when conditions allow, the vessels will have the option of travelling directly to North East Asia via the Northern Sea Route. However, the route is roughly double the length of the westward route to North West European markets. If Yamal’s special purpose fleet were dedicated to delivering volume to North Asia during the summer months this would impact potential production from the plant, limiting it to producing significantly less than capacity. Once contracts start up and the Northern Sea Route is open for the summer, the choice to deliver via this route will have to be weighed up against the implications for capacity utilisation. Most Yamal contract holders are portfolio players, granting them optionality around delivery decisions. However, until the project completes its commissioning phase, all exports will be sold on a spot basis to shareholders. We expect during this time cargoes will travel westward and the marginal decision for where the gas eventually goes will be determined by the economics of a reload from North West Europe. This opens up the channel of arbitrage between European and other regional markets, with implications for global spreads. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-01-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/010918-brent-crude-oil-volatility-january-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mbyGSPBi9R9gzU7PajYU8w</video:player_loc><video:thumbnail_loc /><video:title>2018 Brent crude oil volatility: January outlook</video:title><video:description><![CDATA[Quantitative analyst Vito Turitto explains why Brent crude oil market volatility is likely to increase in the short-term.The OPEC/non-OPEC technical committee estimated that, at the beginning of November, compliance with crude production cuts was 122%, the highest level recorded, and this undoubtedly contributed to stabilization of the market in December. Nevertheless, there are signs that some degree of price correction is imminent. View Full Transcript Video Transcript 2018 Brent crude oil volatility: January outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market experienced a big uptrend in the month of December. The increase in the buying pressure was due to several different factors such as the OPEC decision to extend the production cuts, the higher demand for fuel caused by the holiday season and the problems with the Forties pipeline in the North Sea. The crack discovered in the Forties pipeline, that transports almost 45% of UK’s North Sea oil and gas from 85 fields, has definitely played a key role in pushing Brent prices up. The Dated Brent CFD forward curve has perfectly mirrored the changes in market conditions because the backwardated shape got particularly steep after December the 11th, which is when the news related to the problems at the Forties pipeline started to spread out. However, as soon the market became less volatile, because of the holiday season, the Brent CFD forward curve went significantly down. Internationally, the most influential factor that has impacted the global market, other than the estimated 112% compliance among OPEC and non-OPEC members to the production cuts, was the steady drop in American crude oil inventories which went down by 4.8% since the end of November. It is important to point out that the reduction in American crude oil stocks was mainly due to a net increase in the export which, in turn, was favored by a still wide Brent/WTI differential. The Volatility Premium closed the month of December at negative 0.16 which indicates that the actual scenario is unsustainable. In fact, the Volatility Premium does not usually stay negative for long meaning that it will soon tend to get back to its medium term average. The probable widening of the Volatility Premium, in coming weeks, implies that the market is likely to undergo a period of correction, that a higher volatility should be expected and that the market is likely to experience a medium-sized retracement. Dated Brent’s monthly volatility is now trading within the 20-25% range, however, the Probability Distribution analysis shows that, in all likelihood, the volatility will tend to move up and reach the 25-30% interval where it has more than 18% chance to settle. The Volatility Cones analysis suggests that the fluctuation rate is likely to increase in the short-term. Clearly, the increase in the monthly volatility is likely to cause more turbulence and a retracement in Brent prices, however, in coming weeks, the market is likely to recover and move slowly up as soon as the volatility stabilizes. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2018-01-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/010818-market-movers-asia-jan-8-12-us-to-discuss-iran-sanctions-waiver-iranian-oil-tanker-ablaze-after-collision-with-chinese-ve</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-08T10:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=d4o3zL7RUj2U3Ekk9wQRqk</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Jan 8-12: US to discuss Iran sanctions waiver;Iranian oil tanker ablaze after collision w/ Chinese vessel</video:title><video:description><![CDATA[All eyes will be on developments in Iran this week, with the US set to decide January 12 whether to issue a waiver suspending sanctions. Street protests have yet to impact oil flows, and the key producer has doubled oil exports since the Iran nuclear deal was implemented two years ago. Its near term outlook is now uncertain. Meanwhile, more details are expected to emerge after a collision between an Iranian oil tanker and a Chinese vessel over the weekend. The oil tanker caught fire and is reportedly leaking oil off the coast of China. It remains unclear how much oil was spilled and if there will be disruption in shipping movements in that area. The market will also be paying close attention to a condensate tender from Qatar this week as tightening Middle East ultra-light crude supply could keep price differentials supported this year. With Iran's South Pars condensate exports expected to slide this year on growing domestic demand,Asian end-users may struggle to cover their requirements from Qatar. Senior editor Sameer C Mohindru talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Welcome to this year's first episode of Platts Market Movers. This week: a key decision due on Iranian sanctions, Iranian oil tanker collides with Chinese vessel en route to South Korea, and two of Australia's LNG projects step up output after maintenance. First, in oil, all eyes will be on developments in Iran this week, with the US set to decide by Friday whether to issue a waiver suspending sanctions. While street protests have yet to impact oil flows, the key producer has doubled oil exports since the Iran nuclear deal was implemented two years ago. But its near term outlook is now uncertain. The market will also be paying close attention to a condensate tender from Qatar this week, as tightening Middle East ultra-light crude supply could keep price differentials supported this year. With Iran's South Pars condensate exports expected to slide this year on growing domestic demand, Asian end-users may struggle to cover their requirements from Qatar. Do you think cargoes from Qatar can offset tight condensate supply from Iran? Tell us your views on Twitter with the hashtag PlattsMM. In shipping, a National Iranian Tanker Co. ship, carrying 960,000 barrels of South Pars condensate, was ablaze Sunday and leaking oil off the coast of China, after colliding with a cargo vessel. The oil tanker was reported to be carrying cargo purchased by South Korean petrochemical company Hanwa Total, and was scheduled to arrive early this week at Daesan port according to S&P Global Platts trade flow software, cFlow. More details on this incident are expected to emerge, as it is still unclear on how much oil was spilled and if there is going to be disruption in shipping movements in that area. Even otherwise, the New Year couldn’t have started worse for shipowners. Clean and dirty tanker rates at a recent low due to surplus supply. An LR2 tanker owner is unlikely to earn more than 9,000 dollars a day this week on the benchmark Persian Gulf-Japan route, which would barely cover operating costs. However, some demand may emerge this week from the severe cold snap in the US, which has shut pipelines and may impact flows from the US to Europe, in turn increasing demand for gasoil from the Persian Gulf. In thermal coal, prices of seaborne cargoes delivered to south China and Northeast Asia look set to eclipse recent highs this week, driven by winter demand and the relaxation of import controls at Chinese ports. On the supply side, a strike at Port Kembla coal terminal in eastern Australia that began Sunday could disrupt coal shipments until Tuesday, and comes after a series of work stoppages in December over a pay dispute. In LNG, Platts JKM prices will kick off the week at a 3-year high and facing more upward pressure, but the return of Australia’s Gorgon Train 3 and Wheatstone LNG to production after lengthy maintenance could cap gains. In petrochemicals, propylene prices will start this week at a 31-month high amid tighter supply in Northeast Asia. Market participants say turnarounds and restocking activities ahead of the Lunar New Year holidays could support firmer prices in the coming days. Remember to join our conversations on Twitter with the hashtag PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2018-01-08T10:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/010818-market-movers-europe-jan-8-12-oil-market-awaits-iran-sanctions-decision-ukraine-in-focus-for-european-gas-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2018-01-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=iRBJwygcakxyxy2qub1EMw</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Jan 8-12: Oil market awaits Iran sanctions decision; Ukraine in focus for European gas market</video:title><video:description><![CDATA[A big question for oil markets this week is what US President Donald Trump decides to do about Iranian nuclear sanctions. Oil prices have received a boost not only from the Iran issue, but also from freezing winter conditions in the United States, which look set to continue. European refiners may benefit by selling oil for heating to the US, but car owners in the US remain cautious in their motor fuel buying. Meanwhile, Europe's petrochemicals industry will be hoping that naphtha costs, which have been depressed, stay low this week. Finally, Europe's natural gas industry will be keeping a close eye on Ukraine and whether it resumes buying gas from Russia, in line with a recent court ruling. Will the US waive sanctions against Iran, or re-impose limits on crude oil exports? Tweet us your comments with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's highlights: the future of the Iran sanctions regime is set to have an impact on oil prices; Europe's markets are feeling the ripple effects of US storms; and Ukraine is at a crossroads over where to buy its gas. [CAPTION: Oil market awaits Iran sanctions decision] A big question for oil markets this week is what US President Donald Trump decides to do about Iranian nuclear sanctions. On Friday, he is due to decide whether to continue waiving sanctions that were first eased two years ago, in January 2016, allowing the country to freely export its oil. [CHART: Iran oil exports] As you can see from this chart, that decision led to a doubling of Iran's crude oil exports—and spurred a drive by Iran to attract investment in its oil sector. More recently, political instability in Iran and hostility from Trump have raised expectations the US will re-impose sanctions, potentially removing almost a million b/d of crude oil from the market. [CHART OUT] The possibility has already pushed up oil prices. Our social media question this week is: Will the US waive sanctions against Iran, or re-impose limits on exports? Tweet us your comments with the hashtag #PlattsMM. [CAPTION: US bad weather boosts oil prices] Oil prices have received a boost not only from the Iran issue, but also from freezing winter conditions in the United States, which look set to continue. Sub-zero temperatures have caused a surge in heating oil demand in the US that looks set to persist this week, even as temperatures start to return to more normal seasonal levels. European refiners may benefit by selling oil for heating to the US, but car owners in the US remain cautious in their motor fuel buying. US distillate stocks rose to unexpected levels last week, and arbitrage opportunities for gasoline shipments from Europe to the US remain limited. [CAPTION: Chemical producers eye feedstock costs] Europe's petrochemicals industry will be hoping that naphtha costs, which have been depressed, stay low this week. The industry is in need of relief after being caught off-guard by the rapid rise in oil prices at the end of last year, when it struggled to pass on the rising cost of feedstocks such as ethylene to end users. Last week, amid low US demand, front-month naphtha crack swaps fell to near six-month lows in northwest Europe. [CAPTION: Ukraine in focus for European gas market] Meanwhile, Europe's gas industry will be keeping a close eye on Ukraine and whether it resumes buying gas from Russia, in line with a recent court ruling. The Stockholm arbitration court in late December ruled Ukraine must buy at least 4 billion cubic meters of gas from Russia's Gazprom this year—something that would reduce Ukrainian demand at European hubs. For Ukraine, a resumption might be no bad thing, as Russian contract gas looks cheaper than gas at European hubs through to the end of this quarter. Such a move would exert downward pressure on gas prices in continental Europe. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2018-01-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/122017-themes-driving-commodity-markets-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uEbEgo1a9mzsLXdQZhiH1Z</video:player_loc><video:thumbnail_loc /><video:title>5 themes driving commodity markets in 2018</video:title><video:description><![CDATA[Energy prices were rangebound for most of 2017, with oil prices staging a sustained rally in the final quarter, but there have been some big structural and political shifts that are likely to reverberate. S&P Global Platts President Martin Fraenkel lays out his five themes to focus on in commodity markets in 2018. Diversification of crude oil trade flows will remain key, while LNG flows and electric vehicle growth will continue to take center stage. View Full Transcript Video Transcript 5 THEMES DRIVING COMMODITY MARKETS IN 2018 By Martin Fraenkel, President, S&P Global Platts Welcome to The Snapshot – our series examining forces driving global commodity markets. Energy prices were rangebound for most of 2017, with oil prices staging a sustained rally in the final quarter but there have been some big structural and political shifts that are likely to reverberate. 1) OPEC member solidarity to be even more pivotal in 2018 OPEC in 2017 showed discipline with its output deal with 10 non-OPEC countries to cut a combined 1.8 million b/d. S&P Global Platts' monthly survey of OPEC crude production puts compliance among the 12 OPEC members from January-November at 108%. But the tide might be turning. With oil prices now 40% above mid-2017 levels, several analysts believe compliance could slip in the future if some OPEC members are tempted to overproduce to capture more revenue. Solidarity among the members in 2018 will be even more pivotal. Factors outside the bloc’s control, such as US shale production will likely determine the success of its efforts to rebalance the oil market, as some predict that the US oil production will exceed that of Saudi in 2018. Additionally, the International Energy Agency estimates that the world will need 1 million b/d less of OPEC’s oil next year to meet global demand. This could be a further meaningful deterrent to compliance. 2) Political changes in Saudi Arabia may impact energy markets Political tides have been turning in 2017. In particular, political changes in Saudi Arabia may impact energy markets. A new younger leadership spearheaded by Crown Prince Mohammed bin Salman wants economic reforms. The impact on energy markets will take time to be felt, but the drive for efficiency and transparency may benefit markets. The first major test of confidence will come in the plan to sell a 5% stake in Saudi Aramco. The sale, which could include an initial public offering, may value the company at $2 trillion. It is a cornerstone of the Vision 2030 strategy to diversify the economy. There has also been a shift in Saudi foreign policy with its stance on Yemen and Qatar, a major gas producer, underscoring a bid for regional hegemony in competition with Iran. 3) Diversification of crude oil trade flows Diversification of crude oil trade flows will remain a key theme in 2018. US crude exports have soared, averaging over 900,000 barrels/day. Exports have been nearly evenly split between Canada, Europe, Latin America, and Asia. These will grow because US refineries are more geared for heavier grades. On the other hand, some analysts see the drop in the US rig count and question whether US shale oil output will continue rising. In the first six months of 2017, the US supplied more than 56 million barrels to Asian destinations, about 34% of total US crude exports. These will rise further with gains in global demand and from domestic infrastructure improvements. The current WTI-Dubai spread is an incentive to move cargoes. Our analysis shows a surplus in coming years of light crude production in the US Gulf Coast above local demand. The ability to export freely should help by matching grades with buyers instead of pushing complex USGC refineries to process more light crude. 4) LNG industry finally coming of age Global LNG trade flows also shifted markedly. Rising Asian demand absorbed more LNG from each of the three global LNG supply basins, with sharp rises in flows from the Pacific and Atlantic basins. Northeast Asian LNG imports have been rising faster than expected in 2017, up over 15% on the year. US LNG exports have more-than quadrupled due to four Sabine Pass liquefaction trains ramping-up on the US Gulf Coast. The flexible nature of these cargoes has helped them meet Asian LNG demand. Australian LNG production also jumped over 30% as several liquefaction trains ramp-up on both coasts. LNG flows into Asia from the Pacific Basin have therefore jumped this year. But from 2018 onwards some expect a rising share of these could remain in the Atlantic Basin or end up in locations such as Latin America, the Middle East or South Asia. It will be interesting to see how the market absorbs additional capacity expansion from new projects in the US, Australia and Russia. It will also be interesting to see how LNG prices evolve in 2018. Platts JKM benchmark has reached a three year high, rising above $10/MMBTU on December 15th, driven by seasonal strength. Will prices remain supported outside the typical seasonal factors in 2018, given the upcoming rise in supply? 5) Electric vehicles spark demand for battery ingredients There is also more than a spark of life in electric vehicles. Growing sales are seen as a major support for prices of key ingredients of lithium-ion batteries including cobalt and nickel. S&P Global Platts Analytics expects accelerating global Electric Vehicle penetration, rising from a little more than 500,000 sales in 2015 to over 7 million by 2025 – driving a surge in demand for lithium-ion batteries. Some analysts question whether there will be enough metal supply at the right prices to produce all the batteries for the expected uptake. But among many potential constraints around electric vehicles, there is no lack of lithium carbonate and lithium in the world. Data from the US Geological Survey shows some 400 years of supply at current production levels. Until next time on the Snapshot - we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-12-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>8:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/121917-platts-explains-india-methanol-price-assessment-methodology</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JcdHBUQFtCqZ5Sg9Yki96K</video:player_loc><video:thumbnail_loc /><video:title>Platts explains India methanol price assessment methodology</video:title><video:description><![CDATA[S&P Global Platts explains its Market on Close assessment and assessment process for spot cargo deliveries of methanol CFR India. In this short video, Singapore-based editors Yi-Jeng Huang and Desiree Quah explain the methodology and price assessment process for methanol CFR India. In particular, Platts aims to clarify the mechanism and processes we have for assessing cargoes delivered into India and the formulas behind the methanol contracts. They also explain why Platts believes the Market on Close process is the most effective way for market participants to communicate price information to Platts. It is a time tested process underpinned by robust methodology that works across various commodity markets including oil and petrochemicals. Download the Platts methodology and specifications guide for Asia-Pacific here . Your feedback is important to us. Please send suggestions, questions and comments to petchems@spglobal.com and pricegroup@spglobal.com .]]></video:description><video:publication_date>2017-12-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121817-market-movers-asia-dec-18-22-southeast-asian-crude-trading-cycle-in-full-swing</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=b4EV3uDp92xBuQ9tzoZ7kP</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Dec 18-22: Southeast Asian crude trading cycle in full swing</video:title><video:description><![CDATA[The Brent-Dubai benchmark spread spiked to an 18-month high last week on the back of a force majeure declared for Forties grade crude contracts following a pipeline outage. The shutdown is expected to last for a few weeks. Traders say the wide spread could dampen the attractiveness of various Brent-linked crude grades in Southeast Asia, Oceania and West Africa compared to Dubai-linked Persian Gulf and Far East Russian grades. The Brent-linked Southeast Asian crude trading cycle going into full swing this week. PetroVietnam Oil is expected to issue a slew of spot tenders for medium sweet Vietnamese grades. The market is also expecting offers of light sweet crude cargoes from Malaysia. Asian LNG spot prices in Asia are still hovering at three-year highs, and market participants are expecting further upside. Depleting inventories and uncertainties over winter supply to Northeast Asia are supporting prices. Commodity Associate Desiree Quah talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights this week: The Southeast Asian crude trading cycle goes in to full swing, while the oil markets continue to feel the impact of the Forties pipeline shutdown; LNG and methanol prices are seen to test higher levels; then we’ll look at China for changes in thermal coal import restrictions. Let’s start with the oil markets. The Brent-Dubai benchmark spread spiked to an 18-month high last week on the back of a force majeure declared for Forties grade crude contracts following a pipeline outage. The shutdown is expected to last for a few weeks. Traders say the wide spread could dampen the attractiveness of various Brent-linked crude grades in Southeast Asia, Oceania and West Africa compared to Dubai-linked Persian Gulf and Far East Russian grades. Note that the Brent-linked Southeast Asian crude trading cycle going into full swing this week. PetroVietnam Oil is expected to issue a slew of spot tenders for medium sweet Vietnamese grades. The market is also expecting offers of light sweet crude cargoes from Malaysia. In LNG, spot prices in Asia are expected to continue extending gains this week. The Platts JKM is hovering at three-year highs, supported by depleting inventories and uncertainties over winter supply to Northeast Asia as a result of supply disruptions in Europe driving up gas hub prices. Here’s our social media question this week: Do you expect LNG prices continue to rise or do you think prices have peaked? Share your thoughts on Twitter with hashtag PlattsMM. On to thermal coal. Traders are expecting a few factors to spur market activity this week – the easing import restrictions at Chinese ports, a drawdown of stocks to 16 days from 19-20 days at the end of November, and firm coal consumption above 700,000 metric ton per day, driven by winter heating demand. Nonetheless, concerns over custom clearances will continue to hang over the market, slowing the pickup in buying interest. This could lend support to the Supramax market, which is expected to see pressure from ample tonnage availability in the region. Still in shipping, the Capesize market is expected to be hampered by muted freight activity given the upcoming holiday season. Finally, in petrochemicals, market participants expect methanol prices to continue testing higher levels this week. This is after prices surged to more than three-year highs after an unplanned shutdown of a major plant in South East Asia last week exacerbated already tight supply. That’s all for this week! Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-12-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121817-market-movers-europe-dec-18-22-oil-market-pays-close-attention-to-forties-yamal-lng-to-help-balance-uk-natural-gas-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7TdbcZR5Rd854hcigmsYEE</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Dec 18-22: Oil market pays close attention to Forties; Yamal LNG to help balance UK natural gas market</video:title><video:description><![CDATA[Oil traders worldwide will be watching for any developments in Scotland, after operator Ineos shut down the Forties pipeline system last week to repair a crack. The UK natural gas market will also be suffering this week from the loss of output due to the Forties shutdown. However, warmer weather and the arrival of LNG from Russia's brand new Yamal LNG facility should help keep the market in balance. A shortage of gas has also hit the Italian power market. Grid operator Terna is calling on large power consumers in Italy to apply for four gigawatts of interruptible contracts for the next three years. In the European petrochemicals market, outages are affecting ethylene, where spot discounts to December's contract price could narrow this week. Finally, the steel market will be assessing the impact of the force majeure on billet and rebar deliveries declared last week by Saudi Arabia's largest steelmaker, Sabic Hadeed. How long do you expect the shutdown of the Forties pipeline to last? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights: supply outages and price surges are high on the agenda, with North Sea oil and gas markets focused on the Forties pipeline shutdown; Italy’s power grid operator seeks demand-side flexibility; and ethylene discounts look likely to narrow. [CAPTION: Oil market pays close attention to Forties] Oil traders worldwide will be watching for any developments in Scotland, after operator Ineos shut down the Forties pipeline system last week to repair a crack. The key 600,000 b/d artery, which transports one of the main blends that make up Platts Dated Brent benchmark, is likely to take weeks to repair. Ineos, which bought the system from BP just weeks ago, said it was also likely to shut the Grangemouth refinery at the end of the pipeline. Forties is the UK’s largest single crude stream, meaning that over 450,000 b/d is now shut in. This reduced supply is expected to have an impact on prices over the next two to three weeks. Our question for social media this week is: How long do you expect the shutdown of the Forties pipeline to last? Answer us on Twitter with the hashtag #PlattsMM. [CAPTION: Yamal LNG to help balance UK gas market] The UK gas market will also be suffering this week from the loss of output due to the Forties shutdown. However, warmer weather and the arrival of LNG from Russia’s brand new Yamal LNG facility should help keep the market in balance. The arrival of the maiden cargo from Yamal at the Isle of Grain terminal could be the first of many to come to the UK. [CAPTION: Italian power grid seeks more flexibility after gas cut] A shortage of gas has also hit the Italian power market. Grid operator Terna is calling on large power consumers in Italy to apply for four gigawatts of interruptible contracts for the next three years. The idea is to provide additional flexibility in emergency situations, such as last week’s explosion at the Baumgarten gas hub in Austria, which caused Italian imports of Russian gas to be suspended for 12 hours. In 2016, 44% of Italian power generation was derived from natural gas. The chart on your screen shows how Italian spot gas prices soared to record highs—although prices have now stabilized following the resumption of flows via Baumgarten. [CAPTION: Cracker outages could cut spot ethylene discounts] Outages are also affecting the European ethylene market, where spot discounts to December’s contract price could narrow this week. Production of the chemical, which has a wide range of uses from plastics to solvents, has been hit by a slew of unexpected cracker outages. These include a partial shutdown of the Unipetrol cracker at Litvinov in the Czech Republic. [CAPTION: Steel market mulls impact of Hadeed force majeure] Finally, the steel market will be assessing the impact of the force majeure on billet and rebar deliveries declared last week by Saudi Arabia's largest steelmaker, Sabic Hadeed. The declaration followed a fire at the company’s transformer which may take a few months to repair. According to market sources, up to 250,000 mt of shipments, predominantly to Southeast Asia, are likely to be affected. The outage comes at a time of tight Asian supply because of production cuts in China. Thanks for kicking off your Monday with us. Have a great week ahead, and enjoy the holiday season.]]></video:description><video:publication_date>2017-12-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121517-us-and-china-partners-in-global-lng-growth</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=q7C4jN4aiRWkHAPtLJV6G9</video:player_loc><video:thumbnail_loc /><video:title>US and China: Partners in global LNG growth?</video:title><video:description><![CDATA[The US has been steadily ramping up LNG export capacity from nothing in early 2016 to now being the world’s sixth largest supplier. Meanwhile, China is set to become the world's second largest LNG consumer. In this video, S&P Global Platts senior director for global gas and LNG Madeline Jowdy looks at the relationship between these two emerging LNG giants. For more information on Platts LNG Analytics, call +1 8557130658. View Full Transcript Video Transcript US and China: Partners in global LNG growth? by Madeline Jowdy, Senior Director for Global Gas and LNG Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. This year has seen the US steadily ramping up LNG export capacity from nothing in early 2016 to become the world’s sixth largest supplier. Meanwhile, China is set to move into second place as an LNG consumer. How the relationship between these two emerging LNG giants develops will become critical to keeping the market in balance as soon as next year. While the US attempts to maintain full export capacity utilization as it continues to bring on new trains, exports to China have taken on an increasingly larger place in the US buyer mix. China accounted for 8% of US LNG exports this year, becoming its third largest buyer. This has occurred despite the fact that the US and China have no direct LNG capacity sales agreements. Here’s where it gets complicated: China to date has imported LNG primarily on a long term, take or pay, contract basis, going to the spot market mainly in the winter peaking months. In what could be viewed as an extreme planned growth spurt, contracts to China jumped by 50% this year, as did imports, driving its exceptional growth. Next year is a different story: China’s contracted obligations will grow at a small fraction of projected global LNG supply growth. While this year, China’s incremental contracts accounted for around 40% of total supply growth, next year, that shrinks to around 9%. The question is what will China do? Will it depart from this steady purchasing model to play a critical role in balancing the market? Platts LNG Analytics forecasts China’s LNG demand growth will amount to a substantial 25% of total supply growth next year and will keep growing. That can only mean one thing: China will have to rely on the spot market. Such a move by China would require a significant leap of faith into the broader global LNG market – a faith that has gradually been adopted by some of Asia’s most conservative LNG buyers . China has taken initial steps to allow for such a course of action, though it is by no means a given. China will take on this role of global LNG balancer, as long as the price is right. The US, in its goal of becoming a key global LNG supplier, will be there to place volumes on the water to support upstream production, even should margins become squeezed. The needs and goals of these two market behemoths is clearly on a path to convergence. Beyond that, the next generation of US supply will rely on the buy-in either directly or indirectly of Chinese consumers. Until next time on the Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-12-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121217-brexatom-impact-of-uk-departure-from-european-atomic-energy-community</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=D8g4y8xtJAynT9JPq8qmi6</video:player_loc><video:thumbnail_loc /><video:title>Brexatom: Impact of UK departure from European Atomic Energy Community</video:title><video:description><![CDATA[The UK nuclear industry is facing a huge amount of uncertainty following the government's announcement that it will withdraw from the European Atomic Energy Community (Euratom), which governs the EU's nuclear sector. Euratom is a pillar of the legal framework for nuclear power generation in the UK and the movement of nuclear materials, and the country's departure from the treaty, or 'Brexatom', risks significant disruption to its power sector. In this video, Oliver Adelman , S&P Global Platts managing editor for nuclear publications, focuses on the purpose of the Euratom Treaty, the impact of Brexatom, and the UK's search for alternative arrangements. View Full Transcript Video Transcript Brexatom: Impact of UK departure from European Atomic Energy Community By Oliver Adelman, S&P Global Platts managing editor for nuclear publications Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The UK nuclear industry is facing a huge amount of uncertainty following the government’s announcement that it will withdraw from a little known treaty governing the European nuclear sector. Purpose of the Euratom Treaty The European Atomic Energy Community, or Euratom, was founded in 1957. It is a pillar of the legal framework for nuclear power generation in the UK and the movement of nuclear materials, including nuclear fuel and radioactive materials for medicine. While a preliminary agreement on the UK’s EU withdrawal concluded December 8 may help efforts to establish a transition arrangement for the country’s departure from Euratom, the risk of significant disruption to the power sector from so-called Brexatom remains. Following the UK’s referendum vote to leave the European Union in June 2016, the UK government announced that the country would also be leaving Euratom as well, although technically the EU and Euratom are separate entities. The UK government did not give a specific reason for “Brexatom,” but analysts have said that continuing membership of Euratom is not compatible with the government’s interpretation of the EU referendum result as meaning that the UK should no longer be under the jurisdiction of the European Court of Justice, which oversees the Euratom Treaty. Impact of Brexatom Brexatom could have profound consequences for the energy market. If a successor arrangement is not in place prior to the UK’s March 2019 departure from Euratom, a significant proportion of the UK’s nuclear power stations could grind to a halt, as the uranium for fabrication of the nuclear fuel that fires the plants will not be allowed into the country. In addition, the movement of parts and equipment for the upgrade of existing nuclear plants and the construction of new nuclear plants, such as EDF Energy’s Hinkley Point C, will also be prohibited. The Search for Alternative Arrangements Trade body the Nuclear Industry Association UK has lobbied for transitional arrangements that would extend the UK’s membership of Euratom. The UK government has also introduced a Nuclear Safeguards Bill that would cover some of the areas currently under the Euratom Treaty, but this legislation will not solve all the problems raised by Brexatom. As March 2019 fast approaches, an increasingly worried UK nuclear industry fears that it will pay the price for what some in the sector consider to be the government’s overzealous interpretation of the referendum vote. Until next time on the Snapshot - we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-12-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121117-market-movers-asia-dec-11-15-market-players-expect-further-upside-after-asia-lng-spot-prices-break-10mmbtu-mark</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xq91ftAz8FZHv2adgaTBNE</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Dec 11-15: Market players expect further upside after Asia LNG spot prices break $10/MMBtu-mark</video:title><video:description><![CDATA[A wave of North Asia winter LNG buying saw the Platts JKM soar above $10/MMBtu last week. With recent deals in to China and Japan strengthening sentiment, market players expect further upside in LNG prices. In oil, Saudi Aramco is expected to announce its term allocations for January-loading crude oil to Asian customers this week. Asian refinery sources said Aramco could conduct another round of term supply cuts, a move that would further cement the major Persian Gulf producer's commitment to keep OPEC production limited and support prices. Meanwhile, in shipping, VLCC freight rates softened due to limited crude liftings out of the Persian Gulf. Sources said an excess of about 50 ships in the December-loading window will roll to January. Associate editor Wanda Wang talks about these and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us.]]></video:description><video:publication_date>2017-12-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/121117-market-movers-europe-dec-11-15-winter-cold-snap-to-test-natural-gas-markets-iea-opec-to-publish-monthly-oil-market-report</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2DTxogrZRdm9zdqsUwXmuN</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Dec 11-15: Winter cold snap to test natural gas markets; IEA, OPEC to publish monthly oil market reports</video:title><video:description><![CDATA[Europe could be set for a second prolonged winter cold snap this week that could test the robustness of some European natural gas markets. In oil news, the IEA and OPEC publish their monthly oil market reports this week, including their assessments of last month’s deal by OPEC and non-OPEC countries to curb production until the end of next year. The report which will be closely watched by the Ukrainian corn market will be Tuesday’s US Department of Agriculture report. A vote on the Dutch biofuels 2018 mandate is expected on Tuesday. Indications from an earlier debate are that the mandate will likely increase to 8.5% on an energy basis from 7.75% now. Do you think the European cold snap will attract more LNG imports? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week's highlights, another blast of wintry weather is likely to put European gas markets under renewed pressure, we look forward to the publication of monthly oil market reports by the IEA and OPEC, and the US Department of Agriculture is expected to lower its forecast for Ukraine’s corn harvest. CAPTION: Winter cold snap to test European gas markets Europe could be set for a second prolonged winter cold snap this week that could test the robustness of some European gas markets. Europe's more peripheral gas markets of Spain, southern France and Italy are particularly vulnerable to big jumps in gas demand given their limited interconnectivity and storage capacity. Last week Italian prices became the most expensive in the world as tight supply tightened and temperatures dropped. Traders in the Italian gas market will be closely monitoring the supply and demand balance, with temperatures set to drop to minus 3 degrees Celsius this week. Italian wholesale gas contracts for week-ahead delivery have already been trading well above the break-even price for US and West African LNG supplies. Any further increase in the Italian spot gas prices may drive the January contract higher, which could attract more LNG cargoes. And our social media question this week is: Do you think the European cold snap will attract more LNG imports? Please send your feedback by tweeting with #Platts MM CAPTION: IEA and OPEC to publish monthly oil market reports In oil news, the IEA and OPEC publish their monthly oil market reports this week, including their assessments of last month’s deal by OPEC and non-OPEC countries to curb production until the end of next year. Market participants expect the reports to show strong compliance by OPEC, but also production growth in countries not party to the cuts, notably the US and Brazil. In London meanwhile, enthusiasts of North Sea oil and gas will be attending the PROSPEX exploration conference on Wednesday to discuss ways of preventing production declines. CAPTION: Market looks to Ukraine corn forecast The report which will be closely watched by the Ukrainian corn market will be Tuesday’s US Department of Agriculture report. The USDA is expected to cut its estimate of the Ukrainian corn harvest by 2-4% to as low as 24 million metric tons this marketing year. Ukraine is one of the world’s top 10 corn producers. While prices have been under pressure in countries such as the US which now produces the world's cheapest corn. Should the report match expectations, this will support Ukrainian corn prices as we move into the export months of January, February and March. Many import licenses are expected to be renewed and even increased in the New Year in destination markets such as the EU and China. Many import licenses are expected to be renewed and even increased in the New Year in destination markets such as the EU and China. A bullish USDA report could take Ukrainian prices back up to a 7-month high of around $166 a metric ton by March. CAPTION: Dutch vote on biofuels mandate A vote on the Dutch biofuels 2018 mandate is expected on Tuesday. Indications from an earlier debate are that the mandate will likely increase to 8.5% on an energy basis from 7.75% now. An advanced biofuel sub-target is also likely to be introduced, while double-counting is set to remain. There were high hopes for the rollout of E10 -- a gasoline blend with 10% ethanol -- in the Netherlands for next year, but so far there has been no mention of this being included in the upcoming vote. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-12-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120717-beijings-winter-clampdown-on-steel-is-the-real-deal</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Kf156yQsC5sKRwcQyazRWG</video:player_loc><video:thumbnail_loc /><video:title>Beijing’s winter clampdown on steel is the real deal</video:title><video:description><![CDATA[Almost every year, the Chinese government unveils some unexpected policy that rocks the steel markets. In 2016, it implemented restrictions on the number of working days at coal mines , sending coking coal prices soaring past the $300/mt mark and hurting steel spreads. In June this year, it cracked down on induction furnace-based steel . The move supported rebar prices and freed up scrap volumes. But Paul Bartholomew , senior managing editor for steel policy and industries, says the biggest story of 2017 is just unfolding. China has turned an unprecedented corner with its plans to curb steel production over November-March for environmental reasons – and it isn’t going back. Domestic and international steel players will need to evaluate the market implications for what is set to be an annual event.]]></video:description><video:publication_date>2017-12-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/120417-market-movers-asia-dec-4-8-middle-east-crude-osps-seen-set-to-rise</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gs8NWoG7NEhsAyJCSUpegt</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Dec 4-8: Middle East crude OSPs seen set to rise</video:title><video:description><![CDATA[Key producers are expected to raise their official selling prices for crude oil in coming days on the back of a stronger Middle East market structure. The Dubai crude market structure, a key component in Saudi Arabia's calculations, strengthened further in November on strong demand in Northeast Asia and sustained export cuts. But some traders said weak fuel oil margins and competitive prices for alternative grades could curb any increase in OSP differentials for medium and heavy crude grades. Associate Editor Charlotte Rao looks at this and other factors that could drive commodity prices this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, Middle East crude prices set to rise, winter demand pushes LNG close to 10 dollars, and Australian wheat crops hit by heavy rain. First, in oil, producers are expected to raise their official selling prices for crude oil in coming days on the back of a stronger Middle East market structure. The Dubai crude market structure, a key component in Saudi Arabia's calculations, strengthened further in November on strong demand in Northeast Asia and sustained export cuts. But some traders said weak fuel oil margins and competitive prices for alternative grades could curb any increase in OSP differentials for medium and heavy crude grades. Elsewhere in oil, China is expected to release its preliminary import/export data for November on Friday. Market sources expect it to show a rebound in crude imports from a 12-month low in October. Oil products exports are also expected to rise from October, supported by robust gasoline exports, which rebounded from a 22-month low in September. In LNG, traders are watching to see if more Asian end-users will step back into the market this week to procure cargoes to meet peak winter demand. The Platts JKM is approaching the 10 dollar mark due to healthy demand, production disruptions in Indonesia and delayed nuclear restarts. In thermal coal, the market is waiting for the Chinese government to signal whether its informal ban on imports at certain ports will be lifted. There are currently 130 ships laden with coal waiting off China’s coast after several ports were banned from receiving them in early October. In metals, negotiations for Japanese aluminum contracts for the first quarter of 2018 are expected to start this week in Tokyo. Some producers have offered at up to 26 percent higher than Q4 this year, at 110 to 118 dollars per metric ton, CIF Japan. So, will the Q1 premiums rebound that much after Q4 levels fell 20 percent from Q3? Join our conversation on Twitter with #PlattsMM. In agriculture, Australia's wheat market could firm this week after heavy rain over the weekend across southern and eastern Australia, which could impact crop quality and the progress of the harvest. Domestic prices in eastern Australia spiked 10 dollars last week on the approach of the severe weather, and the extent of the impact will emerge this week as the cleanup begins. In shipping, Capesize freight rates in both the Asia Pacific and Atlantic are expected hold firm this week. This comes after freight levels hit a year-to-date high last week as mining majors rushed iron ore cargoes out of Western Australia. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-12-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/120417-market-movers-europe-dec-4-8-european-gas-market-poised-for-volatility-statoil-expected-to-send-oil-to-asia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-12-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=S222UNph49WwCFsTKVkfpF</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Dec 4-8: European gas market poised for volatility; Statoil expected to send oil to Asia</video:title><video:description><![CDATA[In this week’s highlights, the European gas market is poised for further volatility with the region short of LNG arrivals; annual auctions in the European power market for cross-border transmissions have begun; and in oil, Norway’s Statoil becomes the single largest holder of December-loading cargoes in the North Sea. Additionally, Russia and the Gulf states are expected to follow up this week on last week’s decision to extend the OPEC/non-OPEC production cut agreement to the end of 2018. How much do you expect oil prices to be affected by OPEC’s continuing cuts? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights, the European gas market is poised for further volatility with the region short of LNG arrivals; annual auctions in the European power market have begun; and in oil, Norway’s Statoil becomes the single largest holder of December-loading cargoes in the North Sea. But first, Russia and the OPEC Gulf states are expected to follow up this week on last week’s decision to extend the OPEC/non-OPEC production cut agreement to the end of 2018. Russia’s energy minister, Alexander Novak, visits Baghdad on Tuesday to discuss cooperation with OPEC’s second-largest producer. Then, with Russia’s Yamal LNG project in the Arctic dispatching its first cargo on Friday, Novak has said he expects Saudi oil minister Khalid Al-Falih to also attend that highly symbolic event. Kuwait will also host a meeting of the Gulf Cooperation Council the "GCC" this week, bringing together some of the Gulf’s most important, and sometimes fractious, oil producers. Which brings us to this week’s social media question: How much do you expect oil prices to be affected by OPEC’s continuing cuts? Tweet us your thoughts using the hashtag #PlattsMM. Now, as we roll into December, the winter season is bringing with it rising demand for heating fuels, which has certainly been the case for the European gas market. With the region’s first winter cold snap, we saw the UK NBP day-ahead price hitting its highest level for this time of year since 2014 at more than €22 per megawatt-hour. There could be increased market tightness and price volatility in the week ahead if the combination of cold weather and the shortage of LNG deliveries – particularly to Northwest Europe - persists deeper into December. LNG cargoes have instead been diverted to Asia where demand has been solid, particularly in China. A lack of LNG arrivals means Northwest European storage stocks are also being drawn down relatively quickly, with levels dropping below those at this time of year for any time over the past two winters. Now turning to the European power markets, annual auctions of cross-border transmissions are now getting underway. Power traders will be keeping a close eye on the results of the Italian, French and Spanish borders as they help to determine spreads for the year-ahead contracts. Also in this round of auctions, Italy’s network operator Terna is preparing a virtual auction. This mechanism effectively offers Italian industrial users a cheaper source of electricity from the German and other power markets instead of buying from the relatively expensive local Italian power market. And finally, Norwegian oil major Statoil bought some half a billion dollars of Brent, Forties, Oseberg and Ekofisk crude oil in the Platts Market on Close assessment process last week, becoming the single largest holder of December-loading cargoes in the North Sea nearly overnight. Much of the volume is expected to go to the Far East, although Brent is continuing to price at a significant premium to Dubai and an open arbitrage from Europe to Asia remains far from certain. Also in oil, look out for the Platts survey of OPEC production due this week, which will provide fresh insight into the current state of the market. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-12-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/112717-market-movers-asia-nov-27-dec-1-all-eyes-on-opec-non-opec-meet-on-thursday</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gDUUSXnaMRmiVLh4Dh2DiQ</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Nov 27-Dec 1: All eyes on OPEC, non-OPEC meet on Thursday</video:title><video:description><![CDATA[OPEC and non-OPEC oil ministers will meet in Vienna Thursday to discuss extending their production cuts beyond March 2018. Market watchers expect the cuts to be extended. Are you also expecting a deal extension? Join our conversations on Twitter - use #PlattsMM and connect with us. Asia thermal coal sellers Monday were waiting to hear if China’s informal restrictions on imported cargoes will be liftedby year end. Ships have been unable to discharge at many ports since September after import quotas for the year were reached earlier than expected. View Full Transcript Video Transcript This week, OPEC and non-OPEC crude oil producers to discuss extending production cuts, China's coal import curbs continue to bite, and Japan set to start aluminum contract talks for next year First, in oil, OPEC and non-OPEC oil ministers will meet in Vienna Thursday to discuss extending their production cuts beyond March 2018. Market watchers expect the cuts to be extended. Are you also expecting a deal extension? Tell us your views on Twitter with #PlattsMM. Details of any agreement from the coalition may not be disclosed this week. Still, an extension of the deal would see oil prices remain supported. And this may prompt major oil import nations in Asia to rejig fiscal policies that were imposed when prices were lower. Also in oil, negotiations for condensate supply contracts from Qatar and Iran for 2018 are due to be concluded Thursday. Traders say the ramping up of splitters at Qatar's Ras Laffan refinery complex could affect supply for next year. Asian condensate buyers also fear a possible decline in exports from Iran’s South Pars fields in 2018 due to Iran's growing domestic refining capacity. In thermal coal, Asia thermal coal sellers Monday were waiting to hear if China’s informal restrictions on imported cargoes will be lifted before year end. Ships have been unable to discharge at many ports since September after import quotas for the year were reached earlier than expected. In Japan, power utilities are expected to issue tenders this week for Australian thermal coal for delivery in February and March, ahead of annual price discussions in April. In metals, Japanese aluminum contracts for the first quarter of 2018 are expected to start this week in Tokyo. Market participants expect producers to seek a price hike of at least 5 per cent. Finally, in shipping, freight rates look set to rise this week as Chinese demand comes back on track. Panamax and Supramax freight rates turned around last week as surplus tonnage capacity in the spot market was cleared out. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-11-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/112717-market-movers-europe-nov-27-dec-1-opec-ministers-gather-for-talks-in-vienna-eu-votes-on-uks-post-brexit-carbon-allowances</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=H6Dh6wYAtA5W5wu4ui69Fk</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Nov 27 - Dec 1: OPEC ministers gather for talks in Vienna; EU votes on UK's post-Brexit carbon allowances</video:title><video:description><![CDATA[All eyes are on OPEC this week as the oil exporters group gathers for its biannual meeting in Vienna, joined by oil ministers from up to 20 non-OPEC countries. The main question facing ministers is whether to extend last year's landmark production deal beyond its expiry next March. S&P Global Platts will have a full team of reporters on the ground, pursuing the key protagonists for insights and scrutinizing the formal proceedings at OPEC headquarters on Thursday. Thursday will also see a potentially important development in the EU carbon market, with the EU Climate Change Committee set to vote on the so-called Brexit-safeguard measure. Also this week, the Global Forum on excess steel capacity, consisting of the G20 member states and other OECD countries, meets for the final time in Berlin to discuss the surplus production that still pervades the global market. Will OPEC extend its production cut deal beyond March? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript Market Movers Europe, Nov 27 - Dec 1: All eyes on OPEC deal extension talks; EU votes on UK's post-Brexit carbon allowances With Pascal Dick, Commodity Associate In this week’s Platts Market Movers, we look at OPEC’s upcoming meeting, the EU Climate Change Committee’s vote on the so-called Brexit-safeguard measure and the steel industry’s final forum to tackle overcapacity. All eyes are on OPEC this week as the oil exporters group gathers for its biannual meeting in Vienna, joined by oil ministers from up to 20 non-OPEC countries. The importance of the decisions made in Vienna can hardly be overstated. The countries attending, including OPEC members, Russia and more than a dozen others, account for over half of the world’s oil production. Announcements by the group can cause immediate movements in oil prices, in turn impacting other commodities, and wider markets. The main question facing ministers is whether to extend last year’s landmark production deal beyond its expiry next March. The deal, which came into force in January and has been widely judged a success with oil prices currently around $60 a barrel, aims to cut output by the 24 participating countries by 1.8 million b/d. Ahead of the meeting, OPEC kingpin Saudi Arabia has been pushing for a nine-month extension, but Russia, responsible for 12% of global oil production, is keeping its cards close to its chest. Platts will have a full team of reporters on the ground, pursuing the key protagonists for insights and scrutinizing the formal proceedings at OPEC headquarters on Thursday. Our question for social media this week is: Will OPEC extend its production cut deal beyond March? Join the conversation on Twitter, using #PlattsMM. Thursday will also see a potentially important development in the EU carbon market, with the EU Climate Change Committee set to vote on the so-called Brexit-safeguard measure. The measure, which is likely to be passed, will mark and invalidate carbon allowances issued by the UK after January 1, 2018 for the EU Emissions Trading Scheme. This creates price uncertainty and could lead to a two-tier market for carbon allowances. Also this week, the Global Forum on excess steel capacity, consisting of the G20 member states and other OECD countries, meets for the final time in Berlin to discuss the surplus production that still pervades the global market. China has succeeded in reducing capacity by 115 million metric tonnes a year, but the OECD puts China's excess significantly above 500 million mt and politicians have criticized the forum’s lack of success thus far. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-11-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112217-post-020-eu-carbon-market-legislation-clears-major-hurdle</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Rdh4EVnFhjd85EvGnCNy2g</video:player_loc><video:thumbnail_loc /><video:title>Post-2020 EU carbon market legislation clears major hurdle</video:title><video:description><![CDATA[Carbon allowance prices under the EU Emissions Trading System rallied as high as Eur8.00/mt in early November, as proposed post-2020 market reforms moved forward. After agreement between the EU Parliament and Council, the main political hurdles have now been overcome in efforts to revamp the market, including measures to curb a long-term oversupply of allowances. Europe's carbon market is facing a well-supplied year in 2018, but significant supply constraints are coming in 2019. S&P Global Platts senior writer for European carbon markets Frank Watson reports. Related article: EU ambassadors approve post-2020 CO2 market reform deal View Full Transcript Video Transcript Post-2020 EU carbon market legislation clears major hurdle By Frank Watson, senior writer for European carbon Welcome to the Snapshot – our series which examines the forces shaping and driving global commodities markets today. Carbon allowance prices under the EU Emissions Trading System rallied as high as eight euros per ton in early November as lawmakers from the EU Parliament and Council worked to agree legislation to overhaul the carbon market after 2020. That compares with as low as four euros fifty in May – a 78% increase within six months. After more than two years of legislative work on this file, the parliament and council managed to strike an informal agreement on November 8. This is a major milestone in the legislation becoming law. So what’s been agreed, and why does it matter? One of the defining characteristics of the EU carbon market is a long-running oversupply of allowances that has kept carbon prices in single digits since 2012. The most significant element in the latest proposed reforms is a strengthening of the so-called Market Stability Reserve -- a mechanism to withhold 24% of the cumulative surplus of allowances each year starting in 2019. Other elements of the agreed reforms include a steeper decline in the annual CO2 cap to 2.2% per year from 2021 to 2030 and a cancellation of any volume of allowances held in the Market Stability Reserve in excess of the previous year’s auctioning volume. Taken together, these measures are expected to tighten the market surplus starting in January 2019, and are expected to prompt a rebalancing of supply and demand that is likely push carbon prices higher over time. The legislation still needs formal approval by the parliament and council, but the main political hurdles have now been overcome. On the demand side, the German clean dark spread – profits on coal-fired power plants including the cost of coal and carbon allowances – continues to look robust for higher efficiency coal units on a quarter-ahead and year-ahead basis, and that’s maintaining forward hedging demand for carbon for the time being. However, until those supply side constraints kick in in 2019, the market is still facing a significant oversupply of allowances in 2018, and this may limit the upside. Furthermore, EU member states are looking increasingly bold in their plans to phase out coal from power generation. Some analysts say this could provide a headwind for carbon prices over the long term, even as the EU ETS regulations work to tighten the supply side of the equation. How this plays out for the price is uncertain, but one possibility is that the first half of 2018 could yet see bearish pressure on the price, but with a strengthening taking place later in the year as we get nearer to the start of reduced supply of allowances from government auctions in 2019. Until next time on the Snapshot - we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-11-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/112017-market-movers-asia-nov-20-24-all-eyes-on-china-india-amp-saudi-arabias-key-oil-data</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5YeE8M4M6PoTwkQjvQzCLu</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Nov 20-24: All eyes on China, India &amp;amp; Saudi Arabia's key oil data</video:title><video:description><![CDATA[Asia's two biggest oil consumers - China and India - are set to release import and export data this week. Markets are also keeping an eye on Saudi Arabia's crude oil export, stocks and crude burn for power generation for September. These reports come just days after the International Energy Agency cut its oil demand forecasts for this year and for 2018. In metals, traders say China's alumina prices could fall further this week after the country's winter production cut policy kicked in on November 15, without any substantial cuts being announced. Prices are already down almost 5% from October. Will China's major producers follow through by announcing output cuts this week, and will the cuts be enough to keep prices from falling further? And in agriculture, trading in Australian wheat is expected to pick up this week after prices fell to a near 3-month low last week. The price fall was attributed to a weaker Australian-US dollar exchange rate and ongoing harvesting. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, key oil data set for release by three countries, alumina prices fall in China, and Australia's wheat prices come under pressure. Let's start with oil, key data is due for release this week by Asia's two biggest oil consumers, China and India, and their key supplier, Saudi Arabia. This comes days after the IEA cut its oil demand forecasts for this year and for 2018. It sees the market in surplus from mid-next year, even if OPEC extends production cuts from March to year end. In the Middle East, the Arab League met Sunday to discuss the November 4 missile attack targeting Riyadh and possible action against Iran. Iran denies it was behind the attack on Saudi Arabia, but the gathering could exacerbate tensions between the two major crude suppliers. In metals, China's alumina prices could fall further this week after the country's winter production cut policy kicked in last Wednesday without any substantial cuts being announced. Prices are already down almost 5 per cent from October. Three major producers have all said they would support the move to cut output by 30 percent until mid-March, but will they follow through by announcing output cuts this week, and will this be enough to keep prices from falling further? What do you think? Join our conversation on Twitter with the hashtag PlattsMM. In coal, buyers in China are worried more port restrictions will be imposed on thermal coal imports this week as year end quota limits are reached. Meanwhile, buyers and sellers are being urged by the NDRC to negotiate at least 75 per cent of their term contract coal requirements for next year at a mid-week industry event. They have been advised not to set prices for next year above the 2017 base price. Finally, in agriculture, trading in Australian wheat is expected to pick up this week after prices fell to a near 3-month low last week amid a weaker Australian-US dollar exchange rate and ongoing harvesting. Forecasts of more rain across Australia could stall the harvest and if it persists into this week, crop quality could be compromised, traders said. Premiums for raw sugar are expected to soften this week after a rally in futures and as sellers became more competitive. Raw sugar New York No. 11 front month futures hit a 5-month high last week, as production in Brazil was expected to fall more than 5 per cent next season due to the sugar mix favoring ethanol production amid higher gasoline prices. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-11-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/112017-market-movers-europe-nov-20-24-major-energy-meetings-involving-russia-german-coalition-talks-fail</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FrTbkEZua51ERjNvRRaM4d</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Nov 20-24: Major energy meetings involving Russia, German coalition talks fail</video:title><video:description><![CDATA[Oil prices are likely to stay volatile as the countdown to the OPEC/non-OPEC meeting on November 30 begins, with Russia's energy minister Alexander Novak to continue consultations with the country's key oil companies on the government's approach to output cuts in 2018. In Germany, talks to form a new unprecedented four-party coalition government have failed after the pro-business FDP walked out of the talks with Chancellor Angela Merkel’s Conservatives and the Green Party eight weeks after the elections. Meanwhile, looking more politically certain is the possibility of the UK government levying higher taxes on new diesel cars, along with increasing the diesel duty as it seeks to curb pollution. Finally, in France power and natural gas traders will be eyeing further potential delays to French nuclear plants returning to the grid. What surprises are in store for the energy markets in the UK autumn budget statement? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript Market Movers Europe, Nov 20-24: Major energy meetings involving Russia, German coalition talks fail; UK budget may target diesel With Eklavya Gupte, senior editor, oil news In this week’s highlights, we look at major energy meetings involving Russia, the UK’s autumn budget statement, along with the expected return of French nuclear capacity after lengthy outages. Oil prices are likely to stay volatile as the countdown to the OPEC/non-OPEC meeting on November 30 begins. Most analysts expect the coalition to extend the current cuts beyond March 2018. But Russia, whose recent production you can see in this chart, has so far been noncommittal on continuing the cuts for the full year, adding to the suspense. Russia is the world’s largest oil producer and Russian energy minister Alexander Novak will continue consultations with the country’s key oil companies on the government’s approach. Novak is likely to conduct additional consultations with some of his OPEC counterparts at a Gas Exporting Countries Forum summit in Bolivia mid-week. In Germany, talks to form a new unprecedented four-party coalition government have failed after the pro-business FDP walked out of the talks with Chancellor Angela Merkel’s Conservatives and the Green Party eight weeks after the elections. Germany is now entering unchartered territory amid uncertainty about the way forward after failure to achieve a compromise with the question of coal plant closures one of the key sticking points in the negotiations in Berlin. Europe's biggest economy is lagging behind its 2020 national climate targets, with the Greens demanding additional measures across many sectors, but with coal closures more likely than restrictions on car makers. Looking more politically certain is the possibility of the UK government levying higher taxes on new diesel cars, along with increasing the diesel duty as it seeks to curb pollution. Any move on this front would hit diesel car sales, and in turn medium term diesel and biodiesel demand. The statement is also likely to impact carbon pricing into the 2020s. Insiders expect a possible extension to the freeze on carbon price support beyond April 2021, perhaps for just a year. There remains a small risk that the rate could be cut to ease household bills. Also expect fresh guidance on how renewable energy costs are to be controlled. And our question for social media this week: What surprises are in store for the energy markets in the UK autumn budget statement? Tweet us your thoughts using the hashtag #PlattsMM. Across the Channel, power and gas traders will be eyeing further potential delays to French nuclear plants returning to the grid. Plant operator EDF has scheduled 10 reactors to return before next Monday, a very crowded schedule. As you can see from the chart, French nuclear output has only recently come off from record lows. In order to reach production targets, the dark blue line would have to reach the top black bar by mid-December—a race against time for EDF. Mild weather has eased pressure on the demand side, but any further delays or colder weather could trigger power price spikes and send bullish signals on French gas prices. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-11-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111617-new-us-gas-pipelines-fall-short-of-last-mile-to-lng-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=SDFEaqNWwbt7CWSxKzns8d</video:player_loc><video:thumbnail_loc /><video:title>New US gas pipelines fall short of 'last mile' to LNG demand</video:title><video:description><![CDATA[A slew of LNG export projects, largely in Texas and Louisiana, are under construction or in the planning phase but new Northeast pipeline capacity appears to fall short of supplying the demand centers. Luke Jackson looks at how the 'last mile' problem takes Northeast gas to the Midwest and other areas and paints a bullish story for Henry Hub prices. View Full Transcript Video Transcript New US gas pipelines fall short of 'last mile' to LNG demand By Luke Jackson, senior energy analyst Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The Southeast natural gas market has a problem. Gas demand from LNG exports is expected to grow 10 Bcf/d the next five years, and in a high case, as much as 15 Bcf/d. To supply that growing demand, a massive buildout of pipeline capacity has been undertaken recently to move Northeast gas to the Southeast, with further capacity planned through 2019. However, the actual new capacity from the Northeast that reaches these demand centers, specifically in Louisiana and East Texas, falls well short of the new demand. Southeast will need gas from higher-cost dry gas basins to meet demand, which paints a bullish picture for Henry Hub prices This means two things. One, the Southeast will need to draw supply from other, higher-cost dry gas basins to feed the rising demand, and, two,because supply will need to be drawn from higher-cost basins, it paints a bullish story for Henry Hub prices. For the past three to four years, the Northeast has been constrained by pipeline capacity. Regional production could not grow unless additional pipeline capacity was built to support that growth. However, in a matter of months, close to 4 Bcf/d of incremental capacity will be added out of the Northeast, and by the end of 2019, 18 Bcf/d will be built. With the Northeast pipeline problem slowly going away, the attention now turns to the downstream impact of this massive buildout. A slew of LNG export projects are under construction or in the planning phase. Of these projects, Platts Analytics expects 10 Bcf/d of this capacity to materialize in our base case forecast, and more importantly, it materializes in two states: Louisiana and Texas. An analysis of the 18 Bcf/d of total Northeast pipeline capacity being added out of the region reveals that just 4 Bcf/d reaches Louisiana and East Texas, with the balance landing in the Midwest, the TCO Pool in Kentucky and the Transco Zone 5 region near Virginia and North Carolina. New pipelines from the Northeast don’t carry gas all the way to USGC demand centers, creating a ‘last mile’ problem We’ve coined this the 'last mile' problem. New pipelines from the Northeast get gas halfway to growing demand centers in Louisiana and Texas, not all the way. Why should the market care? The Marcellus and Utica are the two lowest cost gas producing basins in the country. If they cannot supply gas to these LNG export facilities, another producing region will need to pick up the slack. Henry Hub gas prices need to rise to incentivize drilling in the Southeast, but current forward strip may not be high enough to prompt more production With similar pipeline constraints moving associated gas volumes from the Permian and SCOOP/STACK to the Gulf Coast, it becomes clear Henry Hub gas prices will need to rise high enough to incentivize drilling in Southeast dry gas plays, such as the Haynesville or Fayetteville, that are closer in proximity to Louisiana and East Texas. With breakevens approaching $3-$4 in these plays, the current forward strip may not be high enough to incentivize a sufficient drilling response. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-11-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111517-finally-an-upturn-in-industrial-commodity-prices-but-will-it-last</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZCWLzNaddYutWjjVhf2j8s</video:player_loc><video:thumbnail_loc /><video:title>Finally, an upturn in industrial commodity prices - but will it last?</video:title><video:description><![CDATA[Oil prices are at 2.5-year highs. Global aluminum prices have reached five-year highs. And copper prices are up 20%. It's looking to be one of the best times for industrial commodities in years. But will it last? Sambit Mohanty , senior editor for oil news and analysis in Asia, investigates the price movement of several industrial commodities and explores their prospects, with forecasts from Platts Analytics and S&P Global . Related blog : Is there a glimmer of light for industrial commodities at last? View Full Transcript Video Transcript Finally, an upturn in industrial commodity prices - but will it last? Sambit Mohanty, Senior Editor, Asia Oil News & Analysis Welcome to The Snapshot – a series that examines the forces shaping and driving global commodities markets today. For investors hoping for a recovery in prices of industrial commodities, it has been a painful wait. Many successive years of oversupply worries have haunted the markets. But finally, prices of industrial commodities – from oil, to steel to aluminum – are seeing the light of the day. Crude oil and base metals prices touched multi-year highs. The market is slowly but surely realizing that many years of under investment may come back to bite and could create supply-side shocks. In addition, the prospect for global commodity demand looks relatively strong, thanks to a robust outlook for the world economy. S&P Global expects the world economy to continue to grow around 3.5 percent over the next few years. Monetary policy is seen to continue to provide a tail wind to growth in the developed world. Even financial investors are realizing that it might be a good time to add commodities to their investment portfolios, giving industrial commodity prices a boost. In oil, three years of low prices have stimulated demand growth. And prices have recently reached 2.5-year highs. Platts Analytics expects oil demand in 2018 to grow at 1.8 million b/d. This, along with the OPEC and non-OPEC production cuts, has finally started to result in global balances tightening. Regional tensions – in North Korea or the Middle East for instance – could potentially disrupt supplies, which along with low surplus stocks and OPEC spare capacity could result in price spikes. Now, let's turn our attention to steel. China’s infrastructure spending has supported domestic pricing and reduced exports, with shipments falling to their lowest level since February 2014. Stringent production cuts from China's 2+26 Cities policy have tightened the supply and demand balance. There is even talk of exports getting squeezed even further. This should support steel prices and pressure raw material costs in the near term. In the base metals market, copper prices have gained over 20 percent this year, while aluminum prices surge to 5-year highs. Talks of excess capacity cuts, as well as a crackdown on illegal capacity, have kept the market on tenterhooks. Regulators have stepped up environmental protection inspections. In addition, China has announced a series of winter cuts at alumina refineries. This government-led rebalancing of several sectors has supported metal prices globally. As prices hold on to their gains – the common denominator is producers who are not keen to let supplies expand at their own will. The pain from excess supplies and feeble prices is still fresh in their minds. Will producers hold on to their policies to keep a lid on production? Only time will tell. Until next time on The Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-11-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/111317-market-movers-asia-nov-13-17-oil-and-energy-outlook-reports-out-this-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=RyhobzEatjS7URGMb11yRY</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Nov 13-17: Oil and energy outlook reports out this week</video:title><video:description><![CDATA[No one has a crystal ball to see the future of commodities. But for those watching the oil industry, there are a couple of outlook reports due this week that could give indications of where the market could be headed. OPEC is expected to present its world oil outlook at the Abu Dhabi Petroleum Exhibitio n , while the International Energy Agency is due to release its World Energy Outlook on November 14. Still in oil, Vietnam will kick off its January trading cycle for sweet crude this week, with PetroVietnam expected to issue several spot tenders offering Chim Sao, Ruby and Heavy Bach Ho crudes for loading in the month. In LNG, the Platts JKM is set to continue testing year-high levels this week as the peak winter trading season ramps up. The Platts JKM for December delivery LNG cargoes ended trading last week at $9.65/MMBtu . In agriculture, Vietnam's feed corn market is starting to show signs of life after almost six months in the doldrums. Agriculture associate editor Xiaojuan Gao talks about these and other factors that could move the commodities market this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week's highlights: OPEC and the IEA to release outlook reports, LNG prices surge, and buying interest finally emerges in Vietnam’s feed corn market. In oil, all eyes will be on Abu Dhabi this week, where oil ministers from several OPEC countries are gathering with CEOs from major oil companies for ADIPEC, the Abu Dhabi Petroleum Exhibition and Conference. OPEC will present its world oil outlook at the event, so watch for their thoughts on the state of the oil market and production policy direction. It's a busy week for reports, with the International Energy Agency also due to release its World Energy Outlook on Tuesday. In Asia, Vietnam will kick off its January trading cycle for sweet crude this week, with PetroVietnam expected to issue several spot tenders offering Chim Sao, Ruby and Heavy Bach Ho crudes for loading in the month. Asian refiners' strong winter feedstock demand, coupled with healthy middle distillate and fuel oil margins, should support their spot differentials for January. In LNG, the Platts JKM is set to continue testing year-high levels this week as the peak winter trading season ramps up. With oil prices surging past 64 dollars a barrel last week, LNG market players are watching to see if this will push LNG prices closer to the 10 dollars per MMBtu mark – a level not seen since January 2015. In metals, China is due to announce the size of it alumina production cuts for winter on Wednesday. Australian alumina prices plunged 6 per cent last week and China's domestic prices fell 3.5 per cent amid speculation the cuts would not be extensive. But will the cuts even be announced this week, how much output will be cut, and will prices rebound or fall further? What do you think? Share your thoughts on Twitter with #PlattsMM. In agriculture, Vietnam's feed corn market is starting to show signs of life after almost six months in the doldrums. Buyers have starting looking for corn, soybean meal and feed wheat cargoes from South America for the first quarter of next year. And traders have reported a few deals. In shipping, a flurry of cargoes is expected to hit the market this week as participants return to trading after an industry event in Dubai. This coincides with a rare convergence of Long Range one and two tanker rates at close to parity on the highly liquid Persian Gulf to Far East route. Finally in thermal coal, Indonesian coal prices are under pressure this week from restrictions on coal imports at some ports in China and talk of some Chinese buyers backing out of shipments. Although a petcoke ban in three states in northern India could spur some demand, traders expect prices to remain under pressure this week from bearish sentiment. That's it for now. Thanks for starting off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2017-11-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/111317-market-movers-europe-nov-13-17-iea-to-publish-world-energy-outlook-groningen-natural-gas-field-awaits-its-fate</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=P6AVcMBWpyKdniH5JMjZET</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Nov 13-17: IEA to publish World Energy Outlook; Groningen natural gas field awaits its fate</video:title><video:description><![CDATA[The Middle East is in focus this week as Abu Dhabi hosts ADIPEC, the Abu Dhabi International Petroleum Exhibition and Conference. Elsewhere, the International Energy Agency will publish the World Energy Outlook, its annual guide to long-term energy trends, on Tuesday. Downstream, the jet fuel market will looking to see if prices will continue to rise, after they soared to an 18-month high relative to diesel last week. This is a result of stronger demand in Europe, which caused a draw down in stocks. Meanwhile, in steel, European producers are expected to announce higher prices for their 2018 contracts following the BLECHexpo trade fair in Stuttgart. Finally, the European natural gas market will be looking to the Netherlands Wednesday, with a top Dutch court due to publish its final decision on the Groningen gas field. Do you see jet fuel maintaining a high premium to diesel? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript Market Movers Europe, Nov 13-17: IEA to publish World Energy Outlook; Groningen natural gas field awaits its fate; steel producers seek higher prices With Anise Ganbold, EMEA energy analyst In this week’s highlights: Abu Dhabi hosts a major oil conference; European steel producers look to raise prices; and a Dutch court is due to decide output from the Groningen gas field. In oil news, the Middle East is in focus this week as Abu Dhabi hosts ADIPEC, the Abu Dhabi International Petroleum Exhibition and Conference, which features oil ministers from Nigeria, Oman and Sudan, the secretary general of OPEC, Mohammed Barkindo, the CEOs of Total, ENI and Lukoil, and no fewer than five executives from BP—which reflects BP’s new role in the UAE’s onshore oil operations concession. Elsewhere, the International Energy Agency will publish the World Energy Outlook, the annual guide to long-term energy trends, on Tuesday. And the IEA and OPEC will publish their monthly oil market reports, in a period when rising oil prices are fueling speculation about the future of OPEC/non-OPEC production cuts. Moving downstream, the jet fuel market will be looking to see if jet fuel prices will continue to rise, after they soared to an 18-month high relative to diesel last week. This is a result of stronger demand in Europe, which caused a draw down in stocks. However, prices could become more volatile as buyers of jet fuel will now be looking to the Middle East for supply. In November we expect Europe will import 1.7 million metric tons of jet fuel, using Platts trade flow software, cFlow. Our question this week is: Do you see jet fuel maintaining a high premium to diesel? Please tweet us your thoughts with the hashtag #PlattsMM. Jet fuel is not the only market bracing itself for a tug of war over prices. European steel producers are expected to announce higher prices for their 2018 contracts following the BLECHexpo trade fair in Stuttgart. Mills signaled price increases of 20 to 30 euros per metric ton to customers at the event, but resistance from buyers was notable. And the European gas market will be looking to the Netherlands this week. On Wednesday, a top Dutch court is due to publish its final decision on the Groningen gas field. The court is expected to decide on the field’s annual production cap, which will move European prices, especially if the cap is lowered from its current 21.6 billion cubic meters a year of gas. As you can see from this chart, Groningen’s production has already fallen from a peak of 56 billion cubic meters as recently as five years ago. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-11-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110917-brent-crude-oil-volatility-november-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rjMfTVoqGKgiN3pdtREKwu</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: November outlook</video:title><video:description><![CDATA[Quantitative analyst Vito Turitto explains how the increase in WTI/Brent differential has favored the flow of US crude oil barrels into Europe and Asia, and how this has changed the shape of the Dated Brent CFD forward curve. The increased competition among crude grades has put pressure on BFOE grades but healthy Chinese demand has seen high prices maintained. OPEC revised up its forecast for global oil demand for both 2017 and 2018, while US crude exports hit a record high level of 2.1 million b/d. The volatility in the oil market is expected to continue to have a significant impact on trading and hedging activities. Learn more in the: November 2017 Volatility Analysis -- EMEA View Full Transcript Video Transcript Brent crude oil volatility: November outlook By Vito Turitto, manager, quantitative analysis Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The Dated Brent market went through a significant structural change in the month of October. The large discount WTI crude kept trading at against Brent opened up arbitrage opportunities in both Europe and the Far East. In fact, a lot of European and Asian refiners started to look at American sweet crudes, like WTI Midland or Eagle Ford, as a cheap alternative to BFOE grades putting pressure on both the North Sea and Mediterranean markets. The Brent CFD forward curve began changing shape, as a consequence of this pressure, and by October 10 its first three tenors moved in contango while the rest of the curve remained in backwardation. In the second half of the month, the entire CFD curve switched back to backwardation, thanks to a good Chinese demand and profitable refining margins, and such term structure strengthened even further providing an incentive for market participants to sell prompt the front end of the curve and unload storage. Internationally, US crude export reached the record high level of 2.1 million b/d, American inventories declined for the whole month of October, Saudi Arabia stated that it would limit its exports to international customers to 560 thousand b/d below their requests while OPEC revised up its forecast for total global oil demand in 2017 and 2018 which, according to their analysts, should touch 96.8 and 98.1 million b/d respectively. The Volatility Premium averaged 15.7% in the month of October which is higher than its three-month and year-to-date values while it is almost twice as high as the two-year average which implies that it will tend to normalize over the coming weeks. The Volatility Premium will tend to narrow over coming weeks meaning that the market is likely to experience higher turbulence in the short term but, overall, the premium will tend to stabilize favoring an uptrend in Brent prices. Dated Brent’s monthly volatility closed the month of October trading at 22.8% which means that it falls within the 20-25% volatility range and it has 11.8% probability to remain there. Nevertheless, the Probability Distribution analysis indicates that the volatility is more likely to increase and reach the 25-30% interval where it has 19.2% chance to remain. However, it is important to note that the increase in volatility may cause some short term retracements. The Volatility Cones analysis clearly suggests that the current Brent’s volatility curve is well below the medium and low range ones, its monthly and bimonthly figures are slightly lower than the minimum curve and their positions are evidently suggesting that the fluctuation rate is fluctuating around its two-year low. The Volatility Cones analysis implies that the fluctuation rate will likely increase in the short term, while prices will tend to downtrend, but overall the volatility will tend to stabilize favoring a progressive price uptrend. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-11-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110717-singapores-changing-bunker-fuel-industry-dynamics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JyZGpSQRasjKvgScPVT8ks</video:player_loc><video:thumbnail_loc /><video:title>Singapore's changing bunker fuel industry dynamics</video:title><video:description><![CDATA[Singapore’s bunker industry dynamics are changing due to increased competition and the enforcement of mass flow meters, a move which has no doubt increased transparency but has also escalated costs. Surabhi Sahu , bunker fuels editor, examines how these factors are affecting market players and the industry as a whole. View Full Transcript Video Transcript Singapore's changing bunker fuel industry dynamics By Surabhi Sahu, Bunker Fuels Editor Welcome to The Snapshot – our series examining the forces shaping and driving global commodities markets today. In this episode, let’s take a look at what’s happening in the world’s top bunkering port – Singapore. Singapore’s bunker fuel sales in 2016 rose over 7% year on year to a record 48.6 million mt. And looking at data from January to September, sources expect Singapore bunker sales to hit 50 million mt. In contrast, volumes done at Fujairah, the world’s second largest bunkering port, was estimated to be at least 12 million mt in 2016. While bunker sales in Singapore are expected to rise steadily, the number of players has been shrinking. This is in line with expectations of market participants, due to increased competition and the enforcement of mass flow meters back in January. MFMs measure the flow rate in the pipe, gauging the quantity as well as the mass and density of the fuel. Singapore is the first country worldwide to make MFMs for fuel oil deliveries mandatory. MFMs have increased transparency by curbing industry malpractices. But MFMs have also increased barging costs. According to industry sources, depending on the parcel size, the cost of supplying bunker fuel via MFMs is about $4-$10/mt higher than without it. Aegean Marine Petroleum recently announced its plan to voluntarily exit the Singapore market as a physical supplier from 2018 while retaining trading and support functions. Uni Petroleum did not apply for a renewal of its bunker supplier license. Universal Energy and Panoil Petroleum exited the industry after the Maritime and Port Authority of Singapore decided not to renew their bunker supplier licenses, which expired in August. And Transocean Oil is the latest casualty. The MPA on November 6 said it had revoked on the same day the bunker supplier and bunker craft operator licenses of Transocean. Platts data showed that the daily spot spread between delivered and ex-wharf 380 CST bunker averaged $3.74/mt last month, up from $2.45/mt in October 2016. The number itself shows the squeeze in suppliers' margins. Rising costs do not bode well for some bunker players, particularly the smaller ones, who are already grappling with tough conditions in shipping. Shrinking margins and the threat of elevated counterparty risks are also adding to their woes. Still, some say that the MFM is the need of the hour and an important step towards ensuring the bunker industry is 100% ethical. After Singapore’s move, has the time come for other ports too to clean up their spill? Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-11-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/110617-market-movers-asia-nov-6-to-10-crude-buyers-await-key-prices-from-qatar-petroleum</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HGzsBpRgVriP51v7XRfiLc</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Nov 6 to 10: Crude buyers await key prices from Qatar Petroleum</video:title><video:description><![CDATA[Asian crude oil buyers are keeping an eye out on key prices from state-owned Qatar Petroleum this week. It is due to release official selling prices for Qatar land and marine crudes loaded in October, as well as issue a spot tender offering medium sour Al-Shaheen crude for loading in January. Meanwhile, high-profile arrests in Saudi Arabia over the weekend have further tightened Crown Prince Mohammed bin Salman's grip on power. The move may have little implications for oil markets but could impact the investment climate in the world's largest crude oil exporting nation. In this episode, Platts Market Movers - Asia also looks at LNG prices after the Japan Korea Marker hit a 10-month high last week, a key development in negiotiations in the paraxylene-PTA industry, as well as the narrowing spread between Australian premium white wheat and Black Sea wheat. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights on Platts Market Movers Asia: Qatar Petroleum to release key prices, LNG hits a 10-month high, and Australia's wheat harvest gets underway. But first, there were a series of high profile arrests in Saudi Arabia over the weekend that have further tightened Crown Prince Mohammed bin Salman's grip on power. The move may have little implications for oil markets but could impact the investment climate in the world's largest crude oil exporting nation. Still in oil, Asian crude buyers will be keeping a close eye on state-owned Qatar Petroleum this week, which is due to announce its official selling prices for Qatar Land and Qatar Marine crudes loaded in October. Traders are expecting both grades' OSP differentials to Platts Dubai to rise by at least 10 cents a barrel from September, reflecting the high spot premiums paid for the grades last month. Qatar Petroleum is also due to issue a spot tender this week offering medium sour Al-Shaheen crude for loading in January. This will be closely watched as well, with the grade’s monthly spot volumes trending lower amid Qatar's continued efforts to comply with the OPEC production cut agreement. Elsewhere, China is due to release its preliminary trade data for October this week. All eyes will be on its crude imports, which topped 9 million barrels per day in September. In LNG, the JKM hit a 10-month high last week and this rally could be driven further this week if Indian demand continues, or oil prices keep strengthening. Market players are watching for results of a key buy tender from Egypt this week for pricing guidance, as well as the potential release of cargo offers back into the market. In petrochemicals, in a first for the China-focused paraxylene market, November 3 saw the last offers submitted for a Jan-Dec 2018 PX supply tender to the world’s largest PTA maker in terms of nameplate capacity, Yisheng Petrochemical. The move marks a departure from previous years’ negotiations in the PX-PTA industry, when long term contracts were normally discussed on a bilateral basis. While it is still too early to call this a paradigm shift in the way contracts in the PX market are negotiated, the tender assumes significance against the backdrop of rising PX supply over the next year, and a weaker paraxylene-naphtha spread for PX producers. The recent weak PX-naphtha spread, which hit a 30-month low on October 27 at $295/mt was one of the main reasons that the negotiations for the November Asian Contract Price failed to result in a settlement, the fourth such instance this year. In metals, a price correction last week saw some buyers emerge in the seaborne iron ore market, but China's steel mills are continuing to keep their iron ore inventories low, dampening demand for steel raw materials, as the extent of winter output cuts remain uncertain. Will the buying activity pick up this week? What do you think? Send us your views on Twitter with hashtag PlattsMM. Finally, in agriculture, Australia's wheat market is expected to start picking up this week as the new crop wheat harvest progresses. The spread between the two main competing origins for Southeast Asia is narrowing, with Australian Premium White offered at around $25 per metric ton higher than Black Sea origin wheat last week, the lowest since June. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-11-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/110617-market-movers-europe-nov-6-10-opec-unveils-annual-world-oil-outlook-european-thermal-coal-prices-approach-mt</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xUSxHCmSVsrJq35bGa4edv</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Nov 6-10: OPEC unveils annual World Oil Outlook; European thermal coal prices approach $100/mt</video:title><video:description><![CDATA[OPEC will unveil its annual World Oil Outlook in Vienna on Tuesday, with the assessment of world supply and demand over the next two decades being closely watched. Spot prices in the CIF ARA thermal coal market come into focus as they lie on the cusp of trading above $100/mt for the first time since 2012. In EU carbon, negotiators from the EU Parliament, Council and Commission are set to meet midweek in what could be a final deal to overhaul the market after 2020. Meanwhile, in European electricity, French supply security will come into focus as grid operator RTE delivers its winter outlook. In steel, European hot rolled coil import volumes are likely to slip in the coming months given the tight spread between domestic and third-country prices. Finally, liner companies are hoping they can hold on to some of their November 1 box rate increases this week. Demand was good for the North Asia to UK Continent route.. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Market Movers Europe, Nov 6-10: OPEC unveils annual World Oil Outlook; EU close to major carbon market reforms; European thermal coal prices approach $100/mt With Stefan Swanepoel, metals analyst In this week’s highlights: OPEC unveils its annual World Oil Outlook in Vienna, European thermal coal prices approach a hundred dollars a metric ton; EU close to major carbon market reforms. In oil news, OPEC will unveil its annual World Oil Outlook in Vienna Tuesday. The assessment of world supply and demand over the next two decades is closely watched, not least for signs of any change in approach by OPEC producers themselves. It coincides with the UN’s Climate Change Conference in Bonn, Germany, which will be attended by many energy and oil ministers from around the world. Platts will also publish this week its latest monthly survey of OPEC oil production. Spot prices in the CIF ARA thermal coal market come into focus this week, as they lie on the cusp of trading above $100/mt for the first time since 2012. While European coal-burn has been relatively weak, traders have focused on potential tightening of the supply base. South African coal miners are threatening strike action and the country’s National Union of Miners says its negotiations with producers could come to a head by the middle of this week. Our question this week is “Do you see European thermal coal prices sustaining these levels?” Please get back to us with your thoughts by tweeting with the hashtag #PlattsMM In the EU carbon market, negotiators from the EU Parliament, Council and Commission are set to meet Wednesday in what could be a final deal to overhaul the market after 2020, including key measures that aim to tighten supply. Wednesday’s meeting is the sixth such meeting on the reforms, and could lead to an informal deal between the parliament and council, which has been more than two years in the making, as Europe seeks to deal with a long-running surplus of carbon allowances that has kept prices below 10 euros since 2012. In European electricity, French supply security will come into focus as grid operator RTE delivers its winter outlook at a time when nuclear operator EDF struggles to return reactors as planned and some 17 units are now scheduled for restart before December. On Tuesday traders will closely watch RTE’s contingency plans in case of further delays combining with the onset of colder weather. European power prices could see a spike, especially with coal prices also rallying to a four-year high. The French TSO will also provide a glimpse of the future with its 2035 perspectives as France plans to reduce the share of nuclear in its power mix - another bullish factor for power prices if implemented. European hot rolled coil import volumes are likely to slip in the coming months given the tight spread between domestic and third-country prices, according to an analysis by Platts. This reduction could bolster the pricing expectations of mills, provided import offer prices do not drop significantly. Russian export quotations have already receded in recent days, with one mill eager to sell remaining November production. Liner companies are hoping they can hold on to some of their November 1 box rate increases this week. Demand was good for the North Asia to UK Continent route, and looked set to continue, but carriers quickly realized they couldn’t meet cargo allocations targets due to excess vessel capacity. This has forced them to backtrack immediately on a hefty price hike of $350, taking a container to the equivalent of $1,400 a unit, cutting it by $100 the very next day – and raising the prospect of more rate reductions until they’re back down to October’s level. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-11-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110217-how-will-southeast-asia-meet-its-rising-crude-oil-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-11-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rn6wnUMHKPmhVZVW9MNPcC</video:player_loc><video:thumbnail_loc /><video:title>How will Southeast Asia meet its rising crude oil demand?</video:title><video:description><![CDATA[Southeast Asia is heading towards an energy deficit driven by declining production and reserves, and rising demand. S&P Global Platts Analytics expects SE Asia’s oil demand to rise by 1.2 million b/d to 5.9 million b/d by 2025. Meanwhile, the International Energy Agency in its 2017 Southeast Asia Energy Outlook said that the region will be short of fossil fuels by 2040. How will SE Asia meet its rising crude oil demand? Mriganka Jaipuriyar , Platts Associate Editorial Director for Asia and Middle East Oil News and Analysis, examines the region's response to this challenge ahead. View Full Transcript Video Transcript Welcome to the Snapshot, a series examining the forces shaping and driving commodity markets today. Southeast Asia is heading towards an energy deficit driven by declining production and reserves, and rising demand. The IEA in its 2017 Southeast Asia Energy Outlook said that in total the region will be short of oil, gas and coal by 2040. This deficit will dictate energy trends for the whole region, including trade flows, investments and policy making. According to S&P Global Platts Analytics, Southeast Asia’s oil demand is set to rise by 1.2 million b/d to 5.9 million b/d by 2025. Several Southeast Asian countries are planning refining capacity expansions to meet this demand. Vietnam is bringing on stream a 200,000 b/d refinery in the first quarter of next year. This will be followed by Malaysian Petronas’ 300,000 b/d RAPID refinery project which is slated to come online in 2019. And though timelines may be shifting in Indonesia, national oil companyPertamina is still targeting to expand its refining capacity to 2 million b/d by around 2025 via green-field projects and expansion at existing plants. Based on these expansion plans, Platts Analytics estimates that net product imports by Southeast Asian countries will stay stable or even post modest declines in the years ahead, butnet crude oil imports are expected to rise by 1.5 million b/d to 3.5 million b/d in 2025. This begs the question – How will the region meet its rising crude oil demand? The good news for Southeast Asian governments is that the global oil markets are flushed with supplies and oil producers are looking for demand security as much as buyers are looking for supply security. It is this search for a demand base that has prompted the Saudis, Russians and Kuwaitis to invest in downstream projects in the region. Kuwait Petroleum Corp is a stakeholder in Vietnam’s new upcoming refinery and will be meeting almost all of the refinery’s crude needs; Saudi Aramco has taken equity in the RAPID project and will be supplying at least half of the refinery’s needs; and Russian oil giant Rosneft has set up a joint venture with Pertamina for a 300,000 b/d green-field refinery in Indonesia. But governments in Southeast Asia need to be careful. They may have secured their supply needswith these investments, but this does not insulate their economies from global oil price fluctuations. That will only come from downstream price deregulation, and boosting energy efficiency and diversification. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-11-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/103117-shipping-costs-on-the-back-of-a-napkin</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ANuSWYoydF2K6w499ctYge</video:player_loc><video:thumbnail_loc /><video:title>2020 shipping costs on the back of a napkin</video:title><video:description><![CDATA[The shipping sector is predicted to spend anywhere from $24 to $60 billion annually starting in 2020 to comply with new sulfur emission restrictions. Jason Silber uses some back-of-the-napkin arithmetic to break down the gigantic numbers. How much more could a single merchant ship spend on extra fuel costs? Would economies of scale help large fleets? And how could scrubbers or subsidies factor into the equation? View Full Transcript Video Transcript 2020 shipping costs on the back of a napkin By Jason Silber, Global Head of Ocean Intelligence, S&P Global Platts Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The shipping sector is predicted to spend anywhere from $24 to $60 billion, every single year, starting in 2020, in order to comply with new sulfur emission restrictions. Diesel or fuel scrubbers? Predictions of post-2020 fuel costs vary depending on emission restriction solutions The high assessment sees diesel emerging as the most widely accepted solution. The lower figure assumes fuel scrubbers will ultimately prevail due to economies of scale. And while LNG will gain traction long-term, it will never dominate. Let’s employ some back-of-the-napkin arithmetic to break down these gigantic numbers: There are about 55,000 merchant ships in operation, ranging from small cargo vessels to VLCCs and gas guzzling container ships. Dividing the higher figure of $60 billion by 55,000 works out to an average annual extra fuel cost, per vessel, of over $1 million, or $3000 daily. Again, these are averages. Running a container ship might cost an extra $40,000 per day at $200 fuel spreads. A liner fleet burning 7.5 million tons annually could incur a billion and a half dollars a year in 2020-related costs. Assuming this liner hauls 16 million TEUs annually translates to an extra $94 per TEU. Of course the liner will try to push this cost onto the Amazons and Walmarts of the world. But what if they won’t cooperate? It’s obvious that shipping companies face some fateful decisions. What should they do? Well, take this liner again: shouldn’t it leverage its economies of scale and choose scrubbers? Some companies are opting for diesel, saying scrubbers are too expensive and infrastructure unavailable You’d think, and yet big boys like Maersk and Klavenness have decided not to. Scrubbers are too expensive, they say, and onshore infrastructure is unavailable for handling the sulfur. They’re going diesel — either expecting the customer to absorb the extra expense, or hoping for higher freight rates — or both. But if diesel spikes and a surplus of cheap high-sulfur fuel emerges, these scrubber spurners could very well come to regret their decision. Scrubbers should also make sense for operators calling African, Indian or Mexican ports where refineries are antiquated and high-sulfur more readily available. Then again, many might risk burning the high-sulfur fuel on the open seas, scrubber-free. Charterers could demand subsidies, while ‘scrubbered’ ships could command premium charter rates Pure owners chartering out their fleet should probably opt for diesel since they wouldn’t be footing the fuel bill. But charterers could demand some sort of fuel subsidy to cover their extra costs. Then again, scrubber-equipped fleets could command higher charter rates since charterers would benefit from cheaper high-sulfur fuel. Just some food for thought while trying to figure out 2020 on the back of a napkin. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-10-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/103117-methodology-japan-oil-rack-chukyo-hanshin-jp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ioMLZAzcx7ebVNZGYCpvjj</video:player_loc><video:thumbnail_loc /><video:title>プラッツは日本石油製品陸上価格のアセスメントを中京と阪神に拡大</video:title><video:description><![CDATA[プラッツは日本石油製品陸上価格のアセスメントを中京と阪神に拡大 このビデオではプラッツ東京オフィスでエディターを担当している小正路博之が、陸上価格のアセスメント地域を中京と阪神に拡大するにあたって、具体的なメソドロジーについて詳しく解説します。また、MOC（マーケット・オン・クローズ）プロセスとイーウィンドウ上で日本企業が担う重要な役割についても説明しています。 皆様からのフィードバックは極めて重要です。ご意見やご質問がございましたら、 pl_tk_japanoil@spglobal.com まで送信していただけますようお願い申し上げます。 英語でご覧になりたい方は次のリンクへどうぞ: Platts expanding Japan oil rack assessments into Chukyo and Hanshin]]></video:description><video:publication_date>2017-10-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/103117-platts-expanding-japan-oil-rack-assessments-into-chukyo-and-hanshin</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=skS1Yh6EFQB9jTqHsaeGk3</video:player_loc><video:thumbnail_loc /><video:title>Platts expanding Japan oil rack assessments into Chukyo and Hanshin</video:title><video:description><![CDATA[The launch of S&P Global Platts Japan oil price assessments - both for waterborne and rack - is a response to the domestic market's demand to move to open and transparent assessments. In this video, Tokyo-based editor Masanori Odaka explains the methodology behind the latest addition, the Platts Japan oil rack assessments in the Chukyo and Hanshin markets. They also explain the crucial role of Japanese companies in the establishment of this process through the Platts Market On Close (MOC) process and the eWindow technology. Your feedback is important to us. Please send suggestions, questions and comments to pl_tk_editorial@platts.com . Watch this video in Japanese: プラッツが日本石油製品陸上価格を中京と阪神に拡大]]></video:description><video:publication_date>2017-10-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/103117-asia-remains-overarching-determinant-on-european-butadiene-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=7PgfcQW5SbaKFnkjBhcUQG</video:player_loc><video:thumbnail_loc /><video:title>Asia remains overarching determinant on European butadiene prices</video:title><video:description><![CDATA[In February, European butadiene spot prices hit a four and a half year high, as a surge in Asian prices pulled in European cargoes amid already tight availability caused by a number of European cracker maintenances, but it is primarily Asia that dictates world fundamentals as the biggest buyer. Since then, the second half of 2017 has seen butadiene spot prices drop considerably. S&P Global Platts petrochemicals editor, Daved Chohan , reports on how Asia remains the overarching determinant on European butadiene prices, and provides an outlook for global olefins heading into 2018. View Full Transcript Video Transcript Asia remains overarching determinant on European butadiene prices With Daved Chohan, petrochemicals editor Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. In February, European butadiene spot prices hit a four and a half year high, as a surge in Asian prices pulled in European cargoes amid already tight availability. The tight availability was caused by a number of European cracker maintenances, but it is primarily Asia that dictates world fundamentals as the biggest buyer. The reduced availability boosted European margins, with the butadiene over naphtha spread hitting $1,934/mt in February. This clearly benefitted a number of European petrochemicals companies during the first quarter. Italy's ENI raised net profit of its chemicals business by 11% year on year, the company said in May, adding that sales volumes increased by 3% driven by products shortages due to a number of shutdowns at steam crackers and butadiene productions worldwide. Since then, the second half of 2017 has seen butadiene spot prices drop considerably. The November butadiene contract price settled at Eur800/mt, down 54% from Eur1750/mt in April. Again, the price change was driven by Asia. Prices on Tuesday were $1,165/mt, from $3,000/mt in February, and looking forward, the European butadiene market is expected to remain bearish in Q4. Sources have anecdotally said that the high margin situation seen last year and the beginning of this year is not the new norm, as underlying demand for butadiene from downstream products remains weak. Furthermore, they added that demand for butadiene in various European countries has been growing at levels below the GDP, meaning that Europe is expected to remain structurally long in butadiene. Another key determinant of butadiene price movements is natural rubber fundamentals. Butadiene is primarily used for producing styrene butadiene rubber, which is either used along with, or as a replacement for, natural rubber in the tire industry. Products like styrene butadiene rubber and acrylonitrile butadiene styrene consume butadiene. A relative glut in the supply of natural rubber, has been pressuring butadiene prices. However Asia remains the overarching determinant on European butadiene prices, and following the recent slide in Asian prices, it remains to be seen just how far European butadiene prices could fall. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-10-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/103017-market-movers-asia-oct-30-nov-3-key-energy-dialogue-in-asia-ahead-of-opec-meeting</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=KjzBYQnBDwkqkYFVSF1DDN</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Oct 30-Nov 3: Key energy dialogue in Asia ahead of OPEC meeting</video:title><video:description><![CDATA[The 7th Asian Ministerial Energy Roundtable will be held in Bangkok on November 2. This is a key event in the global energy dialogue before the next OPEC/non-OPEC meeting on November 30 in Vienna, where the big question focuses on whether or not the oil group will extend the supply cut deal. Still in oil, the preliminary January loading program for Australian North West Shelf condensate is due for release this week. Market watchers are expecting to see at least three cargoes of the ultra-light crude available for lifting in the month. In LNG, forecasts for a colder than average winter in Northeast Asia are fuelling expectations that last week's rebound in the JKM will gather pace this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights this week on Platts Market Movers Asia -- LNG prices rebound, a strike disrupts Australian coal shipments, and India hikes its minimum support price for rabi wheat. But first, in oil, the preliminary January loading program for Australian North West Shelf condensate is due for release this week. Market watchers expect to see at least three cargoes of the ultra-light crude available for lifting in the month. With minor field maintenance in Iran tightening South Pars condensate supply, and winter feedstock demand from Asian refiners and petrochemicals companies kicking in, North West Shelf is expected to see healthy demand. Elsewhere, the seventh Asian Ministerial Energy Roundtable will be held in Bangkok Thursday. This is a key event in the global energy dialogue before the next OPEC/non-OPEC meeting on November 30 in Vienna to discuss the supply cut deal. With about a month to go, here’s our social media question for you: the Do you expect OPEC/non-OPEC members to extend their supply cut agreements beyond March 2018 at that meeting? Tell us your views via Twitter using the hashtag PlattsMM. In LNG, forecasts for a colder than average winter in Northeast Asia are fuelling expectations that last week's rebound in the JKM will gather pace this week. The result of a recent Russian sell tender and robust spot procurement from India are also fuelling bullish sentiment. In thermal coal, Asian buyers assess the impact of a second weekend strike by coal train drivers in Australia’s eastern New South Wales state. Coal producers were forced to reschedule shipments after the first strike the weekend before held back around 500,000 metric ton of coal exports from Newcastle port and Port Kembla. In shipping, Capesize rates in the Asia Pacific are set to be volatile following a retreat last week, after being firm earlier in October amid strong iron ore demand from China. It is also typhoon season in the Far East, and talk of production cuts by Chinese steel mills could impact Capesize tonnage demand in both the Pacific and Atlantic. In metals, Australian alumina prices will kick off the week having already rallied 19 per cent in October, driven by tight supply and strong demand in the western hemisphere. In Brazil, bauxite mining issues caused by drought, higher smelting rates and lower alumina run rates due to social unrest were impacting the market. And finally, in agriculture, India’s wheat prices could rise next year as the government has raised the minimum support price for the 2017-2018 harvest season by 110 rupees, or almost seven percent from last year. Remember to join our conversations on Twitter with #PlattsMM.Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-10-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/103017-market-movers-europe-oct-30-nov-3-metals-industry-in-focus-at-lme-week-us-plastics-exporters-target-europe-oil-commands-a</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=x6RmFHbkp4DxXyxjtcvPF8</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Oct 30-Nov 3: Metals industry in focus at LME Week; US plastics exporters target Europe; oil commands attention</video:title><video:description><![CDATA[Virtually the entire mining and metals world is descending on London for LME Week. Amid the celebrations, market participants are expecting to emerge with a clearer outlook for 2018. As crude breaches $60 a barrel for the first time since mid-2015, results season for Big Oil gets in to full swing, as the industry continues to focus on signs of recovery. In petrochemicals, the outlook for European polyethylene is looking less bullish than oil's. Meanwhile, ExxonMobil is starting up the first of two 650,000 mt units at its giant Mont Belvieu plant in Texas. In power, the European electricity market will be looking at shutdowns, with France’s EDF having delayed the return of its Tricastin nuclear reactors to the end of November. Finally, please download the latest S&P Global Platts special report tracking the way that LNG is transforming the global marketplace for natural gas. Join our conversations on Twitter - use #PlattsMM and connect with us. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Market Movers Europe, Oct 30-Nov 3: Metals industry in focus at LME Week; US plastics exporters target Europe; oil commands attention With Maurice Geller, Editorial Director, EMEA CED In this week's highlights: metals and miners rock Mayfair—it’s LME week; US plastics exporters target Europe; and oil will definitely be commanding attention. Virtually the entire mining and metals world is descending on London for LME Week—probably the biggest single event globally for the base metals business. Amid the celebrations, market participants are expecting to emerge with a clearer outlook for 2018. The industry will use the event to discuss contracts for the first quarter, with Chinese aluminum capacity cuts and electric vehicle demand for battery metals boosting sentiment. Meanwhile, as crude breaches $60 a barrel for the first time since mid-2015, results season for Big Oil will get into full swing. BP and Shell will be among companies publishing third-quarter figures, as the industry continues to focus on signs of recovery. Elsewhere, the market will be eyeing a number of events including the Basra Oil Gas & Infrastructure Conference in Lebanon, a trilateral summit in Iran attended by Russian President Vladimir Putin and Energy Minister Alexander Novak, and the 7th Asian Ministerial Energy Roundtable in Bangkok. Finally, of course, we’ll be keeping an eye on the price of the barrel. That’s our question for social media this week: Where will oil prices go next? Tweet us your thoughts with the hashtag #PlattsMM. The outlook for the European price of polyethylene—the world’s most common plastic—is looking less bullish than oil’s. ExxonMobil is starting up the first of two 650,000 metric ton-a-year units at its giant Mont Belvieu plant in Texas. A number of industry sources have said there are volumes now heading to Europe, and those imports are likely to affect the European market for the rest of the year. North America already has an estimated polyethylene surplus of 5.9 million metric tons this year, which is expected to more than double over the next 10 years, driven by shale-based production. While the world of plastic may be focusing on start-ups, the European electricity market will be looking at shutdowns. France’s EDF has delayed the return of its Tricastin nuclear reactors to the end of November. Any more big delays twinned with colder weather could cause regional power prices to surge. So far nuclear shortfalls have been offset by a mild and windy October, and there is no sign yet of a November cold snap. And finally, please take a look at our latest special report tracking the way that LNG is transforming the global marketplace for gas. Dawn of a global commodity, is now available to view online at platts.com/lng-report. It includes embedded videos, interactive infographics and interviews with leading industry figures. Highly recommended. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-10-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:59</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/102317-market-movers-asia-oct-23-27-markets-await-china-policy-announcements-on-energy-sector</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UUg57NWUP21Jwm1F7xh9zS</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Asia, Oct 23-27: Markets await China policy announcements on energy sector</video:title><video:description><![CDATA[On Platts Market Movers this week, Commodity Associate Shi Yun Fan examines the potential impact of China's policy announcements on the energy sector, the arbitrage window for ethanol from the US to China widens, and the high premiums for ESPO blend crude. She also talks about the Platts Global LNG Report, which will be launched on October 25. The report features insights and forecasts from Platts, PIRA Energy, Ratings and Market Intelligence, as well as interviews with key industry leaders and experts. The report will be available here . Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week, the impact of China's policy announcements on the energy sector, the arbitrage window for ethanol from the US to China widens, and no end in sight to high premiums for ESPO blend crude. But first, in oil, China is due to release detailed import and export data for September for a range of commodities this week. Its oil products exports were widely seen to have hit a 5-month low in the month, even though its refinery throughput hit a record high, so this data will provide some insight into the country's apparent oil demand. The Far East Russian crude market is expected to be busy this week, with a slew of medium sweet ESPO Blend cargoes for December loading on offer. Asian traders expect the blend's premium to remain supported above $3 a barrel for the rest of the trading cycle, as winter demand from Asian refiners is starting to ramp up, and the current backwardation in the Dubai pricing structure favors the Far East Russian grades. In contrast, activity in Asia thermal coal market has stalled as buyers in China monitor developments at the National Congress of the Communist Party, which opened last week with an emphasis on environmental concerns and pollution control. They are awaiting further clarity on policy shifts and production cuts to gauge price direction before committing to spot deals. In shipping, ample supply of clean tankers in the Middle East looks set to take its toll on freight rates this week. This could be bad news for owners but a blessing for consumers who want to get oil products delivered. This week, we expect to see a flurry of hiring activity on vessels loading in the first half of November. In agriculture, the Platts CIF Philippines ethanol prices will start the week at a 20-month low on the back of weaker US prices, where latest production data was at the high end of market expectations. This leaves the arbitrage window from the US to China open, and sources said buying interest from China was heard as far forward as the second quarter of next year. In LNG, the JKM has eased for the first time since a rally that began in early September, which was driven by strong early winter demand from North Asia. Traders said high China inventory levels and covered December demand from North Asian buyers were putting spot prices under pressure. So, is this the turning point for JKM prices, or will they correct after a brief decline? Send us your thoughts on Twitter with #PlattsMM. And finally, do keep an eye out for our first Global LNG Report, which examines the forces driving commoditization in the LNG industry. It includes insights and forecasts from Platts, PIRA Energy, Ratings and Market Intelligence, as well as interviews with key industry leaders and experts. The report will be available on Platts.com from October 25. Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/102317-market-movers-europe-oct-23-27-african-offshore-corporate-recovery-in-focus-at-oil-industry-event</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UbjWWzZ16NJaHnHeBPUhgP</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Oct 23-27: African offshore, corporate recovery in focus at oil industry event</video:title><video:description><![CDATA[Business leaders, ministers and US officials gather in Cape Town for Africa Oil Week, with hopes for a revival in deepwater drilling likely to be on the agenda. Total, Statoil and ENI will release their Q3 results later this week, as investors look for progress in the oil sector’s financial recovery. In petrochemicals, strikes in France could affect production at a number of facilities, while in Vienna, industry representatives will gather for the European Chemical Industry Council's annual meeting. Meanwhile, in the power market, EU traders will be awaiting developments in the French nuclear industry and EU-ETS carbon prices reached a 22-month high last week. Finally, Japan's Kobe Steel will come under further pressure as the drama surrounding falsification of inspection certificates for steel, aluminum and copper products escalates. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Market Movers Europe, Oct 23-27: African offshore, corporate recovery in focus at oil industry event With Jack Jordan, Editorial Lead, Bunker News In this week's highlights: the African oil sector will be in focus at an industry event in Cape Town; French refineries and petrochemical plants may be hit by strikes; and safety concerns in Europe are adding to the pressure on Japan's Kobe Steel. Business leaders, ministers and officials will gather in Cape Town this week for Africa Oil Week, with hopes for a revival in deepwater drilling among the likely topics of discussion. Keep an eye out for Platts’ coverage of that event. Later in the week, the corporate earnings season begins. Total, Statoil and Eni will release their third-quarter results, as investors look for progress in the sector’s financial recovery. And in London, the International Maritime Organization hosts a working group all week to discuss the possibility of limiting the shipping industry's greenhouse gas emissions. Across the Channel in France, strikes could affect production at a number of petrochemical and refining facilities this week. Last week the CGT union said industrial action scheduled to start today could last indefinitely. In Vienna, industry representatives will be hard at work Friday at the European Chemical Industry Council's annual meeting. On the agenda this year will be Brexit, sustainability and attempts to rid the world's oceans of plastics. Back in France, power traders will be awaiting developments in the nuclear industry this week. This chart shows how French November power prices have dropped from recent highs. This comes after the regulator last week gave the green light for the restart of the first reactor in its review of parts manufactured by the Le Creusot forge. EDF has 20 reactors scheduled to return before the end of November. And it is not only power prices which will be closely watched this week. Traders will be looking to see if carbon prices under the EU Emissions Trading scheme will hold onto their recent gains. They briefly rose to a 22-month high last week, after EU officials reached an informal agreement on an amendment to protect the system from the effects of a hard Brexit. It remains to be seen whether these high prices can be sustained in the run-up to a November meeting on a wider overhaul of the carbon market after 2020. And that’s our question for social media this week: Will EU carbon prices remain well supported? Tweet us your thoughts with the hashtag #PlattsMM. And finally, Europe will continue to deal with the fallout from the admission by Japan's Kobe Steel that it falsified inspection certificates for steel, aluminum and copper products. One result was that the European Aviation Safety Agency last week advised aircraft manufacturers not to use parts supplied by Kobe. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-10-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101717-us-uranium-producers-plagued-by-low-prices-scant-utility-purchasing</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jJhEX6ytdQakeiDBmiGUfb</video:player_loc><video:thumbnail_loc /><video:title>US uranium producers plagued by low prices, scant utility purchasing</video:title><video:description><![CDATA[Market sources say US companies appear to be on course to produce about 1.6 million pounds of uranium this year, the lowest amount since 1951. Jim Ostroff explains that it isn't just production that has fallen off; prices have also plummeted. Uranium is facing stiff competition from natural gas and renewable mandates, so utilities are buying it differently in the market—but will that last? View Full Transcript Video Transcript US uranium producers plagued by low prices, scant utility purchasing By Jim Ostroff, senior editor, Platts nuclear publications Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. US uranium production totaled 2.9 million pounds last year after plummeting 40% from 2014, when it was about 5 million pounds. With uranium production continuing to ramp down in Wyoming and Nebraska, market sources say US companies this year appear to be on course to produce about 1.6 million pounds, the lowest amount since 1951. Producers have shut-in virtually all facilities, halted all new investment and are producing only enough uranium to meet contractual obligations signed years ago. US production has tanked because uranium spot prices have, as well. They’re just over $20 a pound today, down 71% since reaching $70 in early 2011. Uranium producers have significantly reduced output in light of low prices At that price, no uranium producer in the US — or other countries — can make a profit extracting uranium for sale on the spot market. That’s why the world’s largest producers have significantly reduced production, including Canada’s Cameco, Kazakhstan’s Kazatomprom, the US’s Energy Fuels and a host of Australian companies The issues are manifold: Years ago, many utilities – concerned about a run-up in uranium prices by the middle of this decade — signed long-term supply contracts that run through 2020 or so. Worldwide uranium surplus of around 150 million pounds could last for years Utility fuel buyers are also convinced there’s currently a worldwide uranium supply surplus of around 150 million pounds globally that will last for years. Uranium market sources say this oversupply resulted in a decrease in utility purchasing under long-term contracts, as they believe instead that the material will be available in spot or mid-term contracts in the future at attractive prices. Many utilities buy only small amounts of uranium to meet near-term needs Hard pressed by competition from natural gas and renewable mandates, many utilities are using just-in-time procurement, buying only small amounts of uranium to meet near-term needs. In the virtual absence of utility buying, the market is dominated by trading companies, who often “arbitrage” prices slightly higher, or lower, to profit from month-ahead contracts. Consequently, uranium spot prices have been below the $35-a-pound breakeven point for virtually all producers since early 2015. Even with producer cutbacks, supplies likely will outpace demand for another three-plus years, according to the World Nuclear Association’s nuclear fuel report. This will pressure uranium prices — and producers, many of whom will step up M&A activities to survive. Uranium producers foresee a price uptick in the 2020s Producers that do find a way to hang on say they will be in the driver’s seat when demand picks up. The ongoing production cutbacks, they aver, invariably will make uranium dear — setting up the next price boom — which they foresee sometime in the 2020s. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-10-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/101617-market-movers-asia-oct-16-20-all-eyes-on-19th-chinese-communist-party-congress</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=SECsfMysoufxsKy6a4SVwc</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Oct 16-20: All eyes on 19th Chinese Communist Party Congress</video:title><video:description><![CDATA[China is holding its 19th Communist Party Congress in Beijing on October 18. This will determine the direction of the country for the next five years. The meeting could foreshadow changes to national policy, particularly in the domestic coal sector, including a possible tinkering to import markets. China is set to release its GDP for the first three quarters of 2017 on October 19, as well as key commodity production data. The oil market is keeping an eye out on a key condensate tender from Qatar due on Wednesday. Qatar is expected to receive healthy premiums for the December-loading cargoes, as Asian refiners are actively seeking spot supplies after their term allocations were cut from Saudi Arabia and Abu Dhabi for November-loading barrels. Meanwhile, an arbitrage opens for fuel ethanol from the US to China. Associate editor Pamela Sumayao looks at these and other factors that could move Asian commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights on Platts Market Movers Asia this week: Results of a key condensate tender from Qatar due Wednesday, the startup of a petrochemical plant in Taiwan delayed, and an arbitrage opens for fuel ethanol from the US to China. Kicking off with China, the 19th Chinese Communist Party Congress will open in Beijing Wednesday, which will determine the direction of the country for the next five years. The meeting could foreshadow changes to national policy particularly in the domestic coal sector, including a possible tinkering to import markets. China will release its GDP for the first three quarters of the year on Thursday, as well as key commodity production data. For the first two quarters, it posted 6.9 per cent GDP growth. In oil, a spot tender for Qatar's flagship deodorized field condensate and low sulfur condensate will conclude Wednesday. The result is expected to be announced later the same day. Qatar is expected to receive healthy premiums for the December-loading cargoes. Asian refiners are actively seeking spot supplies after their term allocations were cut from Saudi Arabia and Abu Dhabi for November-loading barrels. The recent uptick in light distillate product margins have been supportive of regional ultra-light crude grades. Australia's North West Shelf condensate cargoes for loading in December are fetching premiums of more than two dollars fifty a barrel to Platts Dated Brent crude assessments on an FOB basis. In Taiwan, Oriental Petrochemical's startup of a one point five million metric ton a year purified terephthalic acid plant at Taoyuan has been pushed back to end October from earlier in the month. A source close to the company said this is to meet a final round of government requirements. In agriculture, an arbitrage window for fuel ethanol from the US to China has opened as prices weaken in the US and rise in China. Offers for US ethanol are currently 60 to 70 dollars per metric ton lower than domestic prices in China. In metals, Australian alumina will start the week with prices up more than 20 percent from the month before, driven by higher domestic prices in China, which are up almost 18 percent from September. Both domestic and import prices in China rose 3 percent last week in anticipation of more refinery cuts during winter and uncertainty over bauxite supply. However, Chinese aluminum prices have not risen in tandem and some smelters are already running at a loss. So, our social media question for the week is, how much further can alumina really climb? Let us know your views via Twitter, use hashtag PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-10-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/101617-market-movers-europe-oct-16-20-defining-discussions-expected-at-oil-amp-money-conference</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LFjAEjeyKkUQTcYLGpfRyD</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Oct 16-20: Defining discussions expected at Oil &amp;amp; Money conference</video:title><video:description><![CDATA[Industry leaders will gather on Tuesday for the Oil & Money conference in London. The event features OPEC secretary general Mohammad Barkindo and the heads of oil majors. Discussions will be closely watched by the petrochemicals industry, which has enjoyed relative stability following the turmoil after Hurricane Harvey. But is Trump set to shake up the industry once more? Politics will also be in focus in the European power market, with participants looking for signs of future energy policy direction. Meanwhile, traders in the carbon market await a date for further negotiations. Another key event this week is the World Steel Association's annual meeting in Brussels, where top executives from major global steel producers convene this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: Defining discussions expected at the Oil & Money conference in London and the World Steel Association’s annual meeting in Brussels; European power players seek policy direction; and the EU carbon market reform deal suffers a delay. Industry leaders will gather on Tuesday for the Oil & Money conference in London. The event features OPEC secretary general Mohammed Barkindo and the heads of oil majors. A senior Iranian trade official will be pressed for his views on US President Trump’s decision to decertify the Iran nuclear deal. Discussions will be closely watched by the petrochemicals industry, which has enjoyed relative stability following the turmoil after Hurricane Harvey. But is Trump set to shake up the industry once more? Our social media question this week is: How will President Trump’s stance on Iran affect the crude oil and petrochemicals markets? Tweet us your predictions using the hashtag #PlattsMM. Politics will also be in focus in the European power market, with participants looking for signs of future energy policy direction. Most notably, a new government is close to formation in the Netherlands, with the new coalition party announcing ambitious energy and climate goals. This includes the introduction of a carbon tax as well as banning coal plants and combustion car sales by 2030. And that’s without the Green Party even being in the coalition. Also in Europe, traders in the carbon market are awaiting a date for further negotiations after marathon talks between officials from the EU Parliament and Council last Thursday failed to reach a deal on a proposed market overhaul for the period after 2020. As you can see here, carbon allowance prices had previously strengthened in anticipation of a deal. The reforms include significant supply-tightening measures that are likely to drive prices even higher over the long term. Another key event this week is the World Steel Association’s annual meeting in Brussels, where top executives from major global steel producers convene this week. The event, which also marks World Steel’s 50th anniversary, will see industry leaders focus on themes including industry consolidation in Europe, China’s capacity cutbacks and the impact of continuing trade litigation on the continent and abroad. World Steel officials will also release the group’s short-range outlook for global steel production and demand. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101217-new-us-jet-fuel-arbitrages-emerge-in-the-wake-of-hurricanes-pipeline-changes</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bimzPFvEPxsQHAoLjXB8bU</video:player_loc><video:thumbnail_loc /><video:title>New US jet fuel arbitrages emerge in the wake of hurricanes, pipeline changes</video:title><video:description><![CDATA[Hurricanes in the US this year spurred US Gulf Coast jet fuel differentials to reach highs not seen since 2008, with refinery, pipeline and port closures all disrupting the market. Daron Jones shares how differentials spiked not just along the Gulf Coast but also along the US Atlantic Coast, opening an unusual arbitrage for cargoes to come from Northwest Europe. Further, how long will a new domestic arb between US coasts remain open? View Full Transcript Video Transcript New US jet fuel arbitrages emerge in the wake of hurricanes, pipeline changes By Daron Jones, Americas jet fuel editor Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. US jet fuel differentials recently returned to pre-storm levels after hurricanes Harvey and Irma caused prices to rise to highs not seen since Hurricane Ike hit the Gulf Coast back in 2008. Harvey disrupted Gulf Coast jet supply along several fronts. Production stopped as refineries were forced to shut down, and most took weeks to fully start up again. Refinery, pipeline and port closures all disrupted USGC jet supply during Hurricane Harvey The pipelines that carry jet from the Gulf of Mexico up to the East Coast and Midwest also shut down temporarily. And Harvey also forced Gulf Coast ports to close, so refined products could not be brought into the Gulf by barge for an emergency supply boost during the worst of the storm. The infrastructure situation was not nearly as bad for Hurricane Irma, but both storms caused a rapid and massive rise in jet differentials. Gulf Coast diffs rose from pre-storm levels, around NYMEX minus 10 cents per gallon, to as high as plus 25 cents per gallon during the worst of Harvey. The spike was more dramatic on the upper Atlantic Coast, where jet prices surged from around minus 5 cents per gallon all the way to plus 42 cents per gallon. To make matters worse, the Atlantic Coast was already starved for jet supply: the region’s inventories dropped to a two-year low just prior to the first storm. This tightness was only exacerbated by the hurricanes, and opened a reverse arbitrage between Europe and the US East Coast. Jet fuel cargoes started coming in to New York Harbor just before Harvey hit, and data from Platts cFlow and US Customs shows they have not yet stopped. Nearly 4 million barrels came into NY Harbor between Aug. 23 and Oct. 5 on unusual arbitrage Nearly 4 million barrels came into New York Harbor between August 23 and October 5, the first such upper Atlantic Coast import wave in 2017. It is unclear how long this may continue, as this arb play from Europe to the US is unusual because Northwest Europe is net short on jet fuel. As 2017 winds down, traders will also be closely monitoring the domestic arb between the Gulf Coast and New York Harbor. This arbitrage opportunity was closed for much of the first half of 2017. However, it has been mostly open since June, when Colonial Pipeline announced that its distillates-only Line 2 was not allocated for first time in six years. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-10-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101017-asian-acrylonitrile-price-surges-to-close-to-3-year-high-on-tight-supply</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YCbnAGsiHb5eSKYcwCeysJ</video:player_loc><video:thumbnail_loc /><video:title>Asian acrylonitrile price surges to close to 3-year high on tight supply</video:title><video:description><![CDATA[The price of acrylonitrile, a petrochemical used in the production of plastics, synthetic rubber and acrylic fibers, has surged 30% over the past two months. Sources said the price rise is mainly due to plant shutdowns in China and the lack of imported deepsea cargoes from the US. But have prices already peaked? S&P Global Platts petrochemicals associate editor Pamela Sumayao examines the market. View Full Transcript Video Transcript Welcome to the Snapshot, an S&P Global Platts series examining the forces shaping and driving global commodity markets today. In this episode we will examine the price movement of petrochemical acrylonitile, which has surged in recent weeks. ACN is mainly used for the production of plastics, synthetic rubber and acrylic fibers. ACN prices hit close to a 3-year high at $1,900/mt CFR Far East Asia when it was last assessed on October 3. The last time prices were any higher was way back in November 18, 2014 when prices were seen at $1,910. The accelerated speed at which prices have risen was something that market participants did not expect. We’re looking at a jump of over $400/mt or a 30% increase in just the past two months. Two main factors boosted acrylonitrile's gains: plant shutdowns in China as well as a lack of imported deepsea cargoes from the US. China's Sinopec’s Qilu shut its 80,000 mt/year acrylonitrile plant mid-July, according to sources, on environmental issues. Sources do not expect it to restart in the near-term. Now, the already tight market in China was all the more pressured in the aftermath of Hurricane Harvey in the US. This saw two major companies -- Ascend Performance Materials and Ineos Nitriles -- shutting down and declaring force majeure on Acrylonitrile from their Texas plants. Both plants have restarted their units, but they have not officially lifted their force majeure yet as they are still building inventories. Ineos, with its 545,000 metric tons per year ACN plant at Greenlake, is seen to have a greater impact on the Asian region as a key term supplier to Asia. Moving forward, one major producer said that the uptrend in Asian prices is expected to continue but the pace of increase will start to slow down. Buyers are cautious especially on news that Ineos unit at Green Lake has restarted end of September. Cargoes take two months to reach Asian shores. Meanwhile, demand from acrylonitrile-butadiene-styrene has been robust and supportive of ACN prices. ABS makers have been enjoying margins of up to $300/mt levels amid very good demand especially for air-conditioners. On October 9, the East China acrylonitrile price discussions were heard at 16,300 to 16,400 yuan/mt. On average, that works out to $2,044/mt on an import parity basis, still higher than our latest assessment at $1,900. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-10-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100917-market-movers-asia-oct-9-13-dec-trading-kicks-off-for-malaysian-crude</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LVbC4hbm5A53LomJqHcWYN</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Oct 9-13: Dec trading kicks off for Malaysian crude</video:title><video:description><![CDATA[Spot trading for Malaysian crude loading in December is set to kick off this week after state-owned Petronas announced its official selling price differential for October late last week. It raised the October OSP to a premium of $3.95/b to Platts Dated Brent crude assessments , up 65 cents from September, in line with market expectations. In this video, Associate Editor Weng Yi Le also talks about how the acrylonitrile-butadiene-styrene margin in Asia is holding near a four-year high amid bullish automobile demand in China and tight supply. With no new ABS plants scheduled to start up before yearend, sources expect demand to continue to outstrip supply in the fourth quarter. Meanwhile, JKM starts the week on a steady note as Indian buyers return to the market after the monsoon season. S&P Global Platts editors will share insights on the Asian LNG market at the LNG Derivatives Forum on October 10. For details, click here . Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights on Platts Market Movers Asia this week: Markets in China and South Korea reopen after extended holidays, Japan's coal buyers are close to fixing an annual contract price, and Panamax freight rates rebound in the Asia Pacific. First, in oil, spot trading in Malaysian crude loading in December is set to kick off this week after state-owned Petronas announced its official selling price differential for October late last week. It raised the October OSP to a premium of $3.95/b to Platts Dated Brent crude assessments, up 65 cents from September. This was in line with expectations, as regional sweet crude traders had expected a premium of around $4. Regional traders said cash differentials for light sweet Malaysian grades, including Labuan, Kikeh, Miri Light and Kimanis, are expected to be supported this month by healthy middle distillate product margins. Over the past two trading cycles, light sweet Malaysian crude cargoes have received healthy spot premiums of around $3.50/b to $4.10/b. In bunkering, Singapore is set to release September marine fuel sales data on Friday. Fuel sales in the world’s largest bunkering port rose 3.2% year on year in August to 4.36 million mt, and edged down 0.7% month on month. What do you think the September data will show? Let us know via Twitter using #PlattsMM. In thermal coal, Japanese buyers are expected to finalize their annual contract price with Australian thermal coal suppliers this week for deliveries starting this month. The talks have overshot the deadline of October 1, and have been bogged down around the $97-$98 FOB Newcastle level, according to market sources. In shipping, Panamax freight rates in the Asia Pacific rebounded late last week due to increased demand from cargoes out of west coast North America. With China and South Korea returning from holidays this week, spot activity is expected to increase, adding further support to rates. In petrochemicals, the ABS margin in Asia is holding near a four-year high amid bullish automobile demand in China and tight supply. With no new ABS plants scheduled to start up before year end, demand is set to continue to outstrip supply in the fourth quarter, sources said. In LNG, the JKM will kick off this week on a steady note after hovering around the mid-$8 mark last week as Indian buyers returned to the market after monsoon season. The forward December deal price rose to $9/MMbtu. Platts is hosting its LNG Derivative Forum on Tuesday as the use of JKM Swaps continues to grow. Check out the link below to find out more about the event. Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-10-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100917-market-movers-europe-oct-9-13-iran-sanctions-decision-hangs-in-balance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rQNXcuAJFCmQxfuGJ9qUym</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Oct 9-13: Iran sanctions decision hangs in balance</video:title><video:description><![CDATA[In oil markets, but with far broader implications, the focus will be on President Trump as a weekend deadline looms for him to make a unilateral decision on Iran that could lead to re-imposition of sanctions. Also with an eye on the energy future, carbon markets will be watching Brussels as EU officials meet Thursday in a bid to strike a final deal on a far-reaching overhaul of Europe’s Emissions Trading System. The steel market is assessing the fallout from the EU’s October 6 decision to apply fixed duties on imports of hot rolled coil from Brazil, Russia, Ukraine and Iran. Meanwhile, In petrochemicals, prices of polyethylene -- a key plastics component -- could rise this week as consumers return to the market, boosting demand. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights, we look at a likely decision by US President Donald Trump that could prompt the re-imposition of Iran sanctions, an expected carbon emissions trading overhaul from Brussels and the impact of new steel import duties by the European Union. In oil markets, but with far broader implications, the focus will be on President Trump as a weekend deadline looms for him to make a unilateral decision on Iran that could lead to re-imposition of sanctions. Also closely watched will be the monthly market reports from OPEC, the International Energy Agency and the US Energy Information Administration, giving a snapshot of supply, demand and key stock levels – the main target of the OPEC/non-OPEC production cut deal. Also with an eye on the energy future, carbon markets will be watching Brussels as EU officials meet Thursday in a bid to strike a final deal on a far-reaching overhaul of Europe’s Emissions Trading System. Carbon prices surged to a 20-month high in September as key supply-tightening measures crept nearer to passing into law. A big question now is whether there is further upside for prices if the EU Parliament and Council agree the deal this week, or whether the recent rally is simply a chance to take profits. Moving from emissions to imports, the steel market is assessing the fallout from the EU’s October 6 decision to apply fixed duties averaging 57 euros a metric ton on imports of hot rolled coil from Brazil, Russia, Ukraine and Iran. Western European mills have already pushed up the domestic HRC market to 540 euros a tonne on a lack of imports, and will be looking this week to lock in even higher margins as they take advantage of protection provided by the new duties. Buyers will now have to decide whether to commit to higher domestic offers if alternative import options are curtailed. Our social media question is: Will duties push up European steel prices? Tweet us using the hashtag #PlattsMM. Steel users are not the only ones facing a test of their mettle. In petchems, prices of polyethylene – a key plastics component – could rise this week as consumers return to the market, boosting demand. European producer stocks remain low, limiting domestic supply. Coupled with low import volumes from the Middle East and US supply disruptions after Hurricane Harvey, this will put upward pressure on prices. Please take a few moments this week to check out Platts’ new container price assessments. You can view them on our new iPhone app—search for it in the App Store – or visit containers.plattslabs.com. Please share your opinion with us and suggest dry freight routes you’d like to see rates on in the future. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100917-market-movers-europe-oct-2-6-iran-sanctions-decision-hangs-in-balance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rQNXcuAJFCmQxfuGJ9qUym</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Oct 2-6: Iran sanctions decision hangs in balance</video:title><video:description><![CDATA[In oil markets, but with far broader implications, the focus will be on President Trump as a weekend deadline looms for him to make a unilateral decision on Iran that could lead to re-imposition of sanctions. Also with an eye on the energy future, carbon markets will be watching Brussels as EU officials meet Thursday in a bid to strike a final deal on a far-reaching overhaul of Europe’s Emissions Trading System. The steel market is assessing the fallout from the EU’s October 6 decision to apply fixed duties on imports of hot rolled coil from Brazil, Russia, Ukraine and Iran. Meanwhile, In petrochemicals, prices of polyethylene -- a key plastics component -- could rise this week as consumers return to the market, boosting demand. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights, we look at a likely decision by US President Donald Trump that could prompt the re-imposition of Iran sanctions, an expected carbon emissions trading overhaul from Brussels and the impact of new steel import duties by the European Union. In oil markets, but with far broader implications, the focus will be on President Trump as a weekend deadline looms for him to make a unilateral decision on Iran that could lead to re-imposition of sanctions. Also closely watched will be the monthly market reports from OPEC, the International Energy Agency and the US Energy Information Administration, giving a snapshot of supply, demand and key stock levels – the main target of the OPEC/non-OPEC production cut deal. Also with an eye on the energy future, carbon markets will be watching Brussels as EU officials meet Thursday in a bid to strike a final deal on a far-reaching overhaul of Europe’s Emissions Trading System. Carbon prices surged to a 20-month high in September as key supply-tightening measures crept nearer to passing into law. A big question now is whether there is further upside for prices if the EU Parliament and Council agree the deal this week, or whether the recent rally is simply a chance to take profits. Moving from emissions to imports, the steel market is assessing the fallout from the EU’s October 6 decision to apply fixed duties averaging 57 euros a metric ton on imports of hot rolled coil from Brazil, Russia, Ukraine and Iran. Western European mills have already pushed up the domestic HRC market to 540 euros a tonne on a lack of imports, and will be looking this week to lock in even higher margins as they take advantage of protection provided by the new duties. Buyers will now have to decide whether to commit to higher domestic offers if alternative import options are curtailed. Our social media question is: Will duties push up European steel prices? Tweet us using the hashtag #PlattsMM. Steel users are not the only ones facing a test of their mettle. In petchems, prices of polyethylene – a key plastics component – could rise this week as consumers return to the market, boosting demand. European producer stocks remain low, limiting domestic supply. Coupled with low import volumes from the Middle East and US supply disruptions after Hurricane Harvey, this will put upward pressure on prices. Please take a few moments this week to check out Platts’ new container price assessments. You can view them on our new iPhone app—search for it in the App Store – or visit containers.plattslabs.com. Please share your opinion with us and suggest dry freight routes you’d like to see rates on in the future. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100517-brent-crude-oil-volatility-october-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=foNWTRJXkWoYYus1R6LDcG</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: October outlook</video:title><video:description><![CDATA[Analyst Vito Turitto explores why the Dated Brent market was in backwardation in September and why Dated Brent's volatility is expected to increase in the coming weeks. Strong Asian demand and abnormally high refining margins encouraged the market structure in September, and crude prices spiked on geopolitical events. But looking forward, both the International Energy Agency and OPEC foresee more demand for crude, and market imbalances will continue to have an impact on prices and volatility. Learn more in the October 2017 Volatility Analysis: EMEA . View Full Transcript Video Transcript Brent crude oil volatility: October outlook By Vito Turitto, manager, quantitative analysis Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The Dated Brent market has been in backwardation for the whole month of September. The persistent and aggressive backwardation in the Brent CFD forward curve, which encouraged market participants to sell their barrels as quickly as possible in order to take advantage of the good economic conditions, has been favored by two factors: rather good demand coming from China and South Korea and abnormally high refining margins that encouraged refiners to maximize their runs. Asian demand and refining margins encouraged Dated Brent backwardation in September The incredible arbitrage opportunity, given by the large WTI/Brent spread caused by hurricane Harvey, has pushed many market participants to focus on cheaper American crudes. In fact, in October, something like 250,000 b/d coming from the USA are expected to compete with BFOE grades in the North Sea. Internationally, the spike in crude prices and the backwardation in the ICE Brent futures market have been favored by several factors. IEA and OPEC expect higher crude demand in Q4 2017 and in 2018 First of all, the International Energy Agency raised its expectations on oil demand for 2017, forecasting its growth could achieve 1.6 million b/d by the end of the year. And secondly, OPEC estimated that the demand for its crude grades would go up and reach 32.6 million b/d in 2017 and 32.8 million b/d in 2018. Geopolitical instability prompted spike in Brent Prices at end of September However, the big spike in Brent prices, which happened at the end of September, has been mainly caused by the geopolitical instability in the Kurdish region of Iraq, which includes the oil-rich province of Kirkuk. The region voted in a referendum for independence and more than 92% of the ballot backed a separation from Baghdad, which is against this decision. These factors greatly influenced the fluctuation of the price. In fact, the volatility premium went up by more than 600% in only 21 trading days. The remarkable increase in the volatility premium is predominantly due to a drop in the Brent swap realized volatility, while Brent’s implied volatility continued to move sideways. The premium will likely shrink in coming weeks with the realized volatility increasing more than the implied one. Nevertheless, once the equilibrium point is reached, the divergence between the volatilities is expected to remain stable. Dated Brent’s volatility closed the month of September trading at 22.3%, which means that it was fluctuating within the 20-25% interval. However, the volatility will probably increase in coming weeks and settle around the 25-30% interval where it has more than 18% chance to remain. The volatility cones analysis shows that the current volatility curve remains well below the low-range one but its monthly and bimonthly figures are even lower than the back end of the curve. The fact that the front end of the curve is still close to the lowest point touched over the last two years is a clear consequence of the market imbalances caused by the aforementioned geopolitical and natural events. Hence, the volatility will likely mean revert in the coming weeks. Nevertheless, given the great influence that those events still have on market equilibrium, it is likely that the front end of the current volatility curve will move up but won’t surpass the low range one. Brent volatility to increase only in the short term Consequently, Brent prices are likely to retrace in the short term but then they will tend to gradually stabilize and progressively uptrend. Brent prices to move up in coming weeks Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-10-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100317-whats-in-store-for-container-box-rates-in-q</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=iRkaYRtLAJ3NwJJqHLHoBG</video:player_loc><video:thumbnail_loc /><video:title>What's in store for container box rates in Q4?</video:title><video:description><![CDATA[Container box freight rates may face a normal seasonal dip in Q4, after the Golden Week holidays, but a quick recovery is possible for short-haul routes in the Atlantic amid extra EU sugar demand. Some rates may come from a void sailing announced by a couple of carriers for October, which may keep capacity tighter, but the influence of this on the actual freight could be limited. Despite facing a similar seasonal decline, there are still a few factors in play that could see that market rebounding quicker. From October 1, the current EU sugar regime officially ended for production quotas and exports after 11 years. With most producing countries having taken advantage of the lift in production quotas and increased their planted area this season, export forecasts for this season could realistically see container demand for sugar double. Please follow S&P Global Platts' new container price assessment on our microsite and look out for Platts' upcoming Apple iOS and Android apps as part of our shipping service. Sign up at: https://containers.plattslabs.com Share your opinions and suggest routes you would like to see rates for. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Container box rates may face a normal seasonal dip in Q4, after the Golden Week holidays, but a quick recovery is possible for short-haul routes in the Atlantic amid extra EU sugar demand. The industry thought August and September would be firm for the North Asia to UK and North Continent route. Carriers attempted to implement monthly rate increases and Peak Season Surcharges. The end-users and logistics companies did not entertain their optimistic view and prices on it dropped $400 instead this month, closing at $1,200/FEU. The speed of the volume recovery post the Golden Week holidays slowdown may be a key factor to determine the future rate evolution. Though, traditionally cargo demand in November is not as strong as October due to vessels arriving in Europe during Christmas/New Year holiday. Some support for box rates may come from a void sailing announced by a couple of carriers for October, which may keep capacity tighter, but the influence of this on the actual freight could be limited. The horizon may look a bit sunnier for the shorter haul routes, like the UK and North Continent to the Mediterranean. Despite facing a similar seasonal decline, there are still a few factors in play that could see that market rebounding quicker. From October 1, the current EU sugar regime officially ended for production quotas and exports after 11 years. For the last 10 seasons the exports have been capped around 1.3-1.5 million metric tons, this equates to roughly 65,000 twenty foot containers. Most producing countries have taken advantage of the lift in production quotas and increased their planted area this season. Export forecasts for this season range from 2.5 to 5 million mt, so we could realistically see container demand for sugar double. Please follow our new container price assessment on our new iPhone app and web microsite for your desktop and android mobiles as part of our shipping service. Share your opinion and suggest routes you would like to see rates on. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-10-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/100217-market-movers-asia-oct-2-6-lng-prices-regain-strength-on-early-winter-demand-from-china</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1ZoYQh1pB91vcScyhNJZzL</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Oct 2-6: LNG prices regain strength on early winter demand from China</video:title><video:description><![CDATA[Spot LNG prices surged to levels not seen since January on robust early winter demand from China. Will the market see a repeat of last year's Q4 rally? Meanwhile, oil traders are expecting hikes in Saudi Aramco's and Abu Dhabi National Oil Co.'s official selling prices, as well as in Indonesia's contract prices. Finally, editor Edwin Loh also looks at the potential impact of China's Golden Week holiday on energy and commodity markets. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week's Platts Market Movers Asia highlights: all eyes on LNG prices after last week's rally on China's winter buying, oil traders are expecting hikes in Saudi Aramco’s and ADNOC’s official selling prices; the impact of China’s Golden Week holiday on the energy, petrochemical and shipping markets, as well as the impact of rainfall on the Australian wheat market. First up, the recent Asian LNG price rally stokes concern of sustainability. The JKM broke through the $8 mark last week, as spot LNG prices surged to levels not seen since January on robust early winter demand from China. With current prices well above term parity level, do you expect a repeat of last year’s Q4 rally? Send us your thoughts on Twitter with #PlattsMM. It’s worth noting that major importers China and South Korea are on a week-long holiday, while buyers watching for a possible pull-back in prices. In crude, major producers including Saudi Aramco and Abu Dhabi National Oil Company will be announcing their new monthly official selling prices this week. With a stronger Dubai market structure in September, there is expectation that Saudi Aramco will raise OSP differentials for crude grades loading in November and destined for Asia by around 30-40 cents per barrel compared to October prices. ADNOC is also expected to hike September OSP differentials for its Murban and Das Blend grades, given that Asian buyers have recently paid hefty premiums for light sour Persian Gulf crude. In Indonesia, upstream regulator SKK Migas is also expected to announce monthly selling prices for cargoes loaded in September. September ICP differentials for some of Indonesia's crude grades could to rise on month, supported by strength seen in Asia's light and middle distillate refining margins over the past few weeks. Traders in the shipping industry expect slow market activity due to the Golden Week holiday. This could mean flat to lower freight rates for Supramax, Panamax and Capesize vessels. The week-long holiday is also expected to slow down activity in the petrochemical market. In addition, Shandong Hualu Hengsheng Chemical last month started up its methanol plant in Shandong province, which will lengthen methanol supply in East China in the fourth quarter, or at least until its downstream MEG plant starts up sometime in mid-2018. And finally, in agriculture, rainfall in Western Australia over the past weeks has nudged farmers to finally let go of their wheat stocks as bearish sentiment seeped into the market. Since the beginning of September, the FOB Western Australia price for old crop Australian Premium White wheat has increased by almost 10%, but has shed $4.5 just in the last 2 days, and more declines are expected as the weather improves. That’s it for this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/100217-market-movers-europe-oct-2-6-traders-wary-of-low-french-nuclear-availability-ahead-of-winter</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-10-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=AgPqYJfWMZGiMLqC17iHh2</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Oct 2-6: Traders wary of low French nuclear availability ahead of winter</video:title><video:description><![CDATA[Traders in European power markets are concerned their fears of low French nuclear availability may be coming to pass right at the start of winter. Power prices surged September 28 on news that all four reactors at the Tricastin plant were ordered to be shut down for safety reasons. S&P Global Platts Power Analyst Ana-Maria Tolbaru shares why capacity could become even tighter. October 1 marks the biggest change in the region's sugar industry in 11 years with the end of the EU sugar production and export quota system. Meanwhile, top officials from the oil and gas industry are meeting in Moscow for the Russian Energy Week. Saudi Arabia's King Salman's visit to Russia is a sign of ever-closer bilateral ties. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights, we look at major energy meetings in Russia, a landmark in EU sugar, and France’s latest nuclear outage. This week will see top oil and gas officials meet at Russian Energy Week on Moscow. Saudi Arabia’s King Salman will also pay his first ever visit to fellow to top oil producer Russia in a sign of ever-closer bilateral ties. Moving on to a sweeter topic -- October the first marks the biggest change in the EU sugar industry in eleven years. The EU sugar production and export quota system ends. Most producing countries have taken already advantage of the lift and increased their planted acres. Now, coupled with favorable weather, this has resulted in a steep rise in production and the exportable surplus. While there might be plenty of sugar in the European power markets, traders are concerned their fears of low French nuclear availability may be coming to pass right at the start of winter. Last Thursday, All four reactors at the Tricastin plant were ordered to be shut down for safety reasons during maintenance on a nearby embankment. That’s just short of four gigawatts, a huge amount of capacity. European power prices surged on the news. And capacity could become even tighter. Twelve reactor restarts in October and November depend on the regulator’s approval, and EDF has already put back the return of the first reactor by ten days. And our social media question is: How likely is a major slump in French nuclear capacity this winter? Tweet us using the hashtag #PlattsMM. Across the channel, in the UK, this week sees the start of the Early Capacity Market starts in the UK and with it the return of capacity that hasn’t generated for years. Platts Analytics' Eclipse Energy says this addition in capacity has likely been a key factor in the relative calmness UK prices’ response to the bullish French curve. The UK market seems confident that, as last winter, it will be able to pull on French power during the absolute peak periods. As a result the UK-France Peak spread for Winter 17 contracts has moved increasingly into negative territory in response to the French curve. Price expectations will also be the focus in steel. Large European mills are beginning to start automotive supply negotiations for 2018, and are targeting price increases of Eur120/mt. Coking coal and iron ore costs have fluctuated this year and may not justify such high rises. However other costs -- such as graphite electrodes and refractories -- have rocketed. Q4 is widely seen as the crunch moment for electrode supply, when shortages could really start to bite. Thanks for kicking-off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-10-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092917-german-election-results-bring-coal-exit-carbon-pricing-back-on-agenda</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sq1hzia3PNnhnPRj1pbqgp</video:player_loc><video:thumbnail_loc /><video:title>German election results bring coal exit, carbon pricing back on agenda</video:title><video:description><![CDATA[The possible return of the Greens into Germany's government has brought coal plant closures and carbon pricing back on the political agenda with Chancellor Merkel set to negotiate a new coalition. Talks will be complex and likely to last for months with parties polarized not just on climate policy. S&P Global Platts senior writer for European electricity, Andreas Franke , looks at the implications and how changing global energy market trends may help the Greens to convince their potential coalition partners. Related factbox: German election implications on energy sectors View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Germany has voted and is heading towards a new coalition of Chancellor Angela Merkel’s conservatives with both the Greens and the FDP liberals. The Greens have made setting deadlines for closing Germany’s most polluting coal plants a pre-condition for a coalition, seeking a complete coal phase-out by 2030. Europe's biggest economy still gets 40% of its electricity from coal - both domestic lignite and imported hard-coal. That dependency is making it impossible for Germany to achieve its climate targets in 2020 despite the ever growing wind and solar portfolio. Oversupply from both coal and renewables has kept wholesale power prices low until now. Changing global energy trends could now help the Greens convince their potential coalition partners to close coal. While European coal prices have rallied to their highest in over three years amid tight supply and demand fundamentals in Asia, gas prices are lagging behind due to the global oversupply from LNG. In Germany, this has already brought modern gas plants back to the brink of profitability for the first time in over five years and increased the pressure on old coal plants to close. Further gains for carbon prices would increase that pressure. However, German utilities have also invested into new coal plants - planned over a decade ago to replace nuclear reactors. Uniper's Datteln IV plant - delayed in a court battle but finally set to come online next year will be Western Europe's last coal plant with an efficiency of 45%. Those modern assets will not be on Merkel's coal closure list, while even the Greens agree that the lignite issue needs special consideration for miner’s jobs in weaker regions. It is no surprise that the far-right AfD scored its best results in the East and is the only party opposing the Paris climate deal. An attempt by the outgoing coalition to phase-out fossil-fueled plants older than 20 years ended in a phase-out timetable for less than 3 GW of the oldest lignite units. The elections have underlined that Germany is a divided country, not just politically, but with power fundamentals set to increase regional imbalances, increasing the pressure on the grid to balance wind surges in the North with industrial demand in the South. Chancellor Merkel also needs to balance demands for coal closures with rising concern about high energy costs which have already slowed down investment in energy-intensive sectors like petchems and steel. Keeping Germany together, politically as well as the power market will be a challenge. Wider changes including battery storage and electric cars are already on the horizon. The decisions by the next German government will determine the speed and direction of the some of those changes. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092817-opening-mexicos-markets-for-refined-oil-products-has-been-a-bumpy-ride</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=D9UqfbB5fk787ZLCUWRAM4</video:player_loc><video:thumbnail_loc /><video:title>Opening Mexico's markets for refined oil products has been a bumpy ride</video:title><video:description><![CDATA[Mexico is opening its refined oil products sector to outside companies to meet higher demand for gasoline and diesel, among other products, but midstream capabilities have become a sticking point during the country's liberalization. As Jeff Mower explains, state oil company Pemex has been slow to share access to pipelines and storage tanks, which means imports from other countries — including the US — could be hitting roadblocks. Will this stop competitors from entering the market? Learn more about Mexico's changing crude and refined oil landscape, as well as the natural gas and power sector, in our special report: Mexico's energy transformation takes hold . View Full Transcript Video Transcript Opening Mexico's markets for refined oil products has been a bumpy ride By Jeff Mower, editorial director, Americas oil news and analysis Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. Mexico is in the process of liberalizing its oil industry, opening exploration and production to international oil companies in an attempt to turn around its declining output. After a rocky beginning, the process has gone smoothly so far, with offshore and onshore oil and gas blocks being awarded through regular, transparent auctions. Mexico is also in the early stages of opening up its markets for refined products, such as gasoline and diesel. However, that process has run into some bumps. Mexico needs to open its refined products sector to outside oil companies in order to meet higher demand for gasoline and diesel resulting from Mexico’s economic growth. Mexico’s Energy Secretariat expects gasoline consumption to exceed 1 million barrels per day by 2026, from roughly eight hundred thousand barrels per day in 2016. Decades of monopolistic control from state oil company Pemex left the country with an underfunded and inefficient supply system. Pemex owns six refineries with a total capacity of 1.64 million b/d, running well below capacity Pemex owns six refineries with a total capacity of 1.64 million barrels per day, but those plants are running well below capacity. As its refineries cannot meet consumption, Mexico currently imports a large percentage of its gasoline, diesel and jet fuel, primarily from the US. Pemex has been the main buyer of refined products imports, but now Mexico is allowing international companies to import and market gasoline and diesel, bypassing Pemex. The problem is that in order to bring fuel into Mexico, those companies need access to the pipelines and storage tanks owned and operated by Pemex. And Pemex has been slow to share those assets. Outside companies are allowed to build their own pipelines and storage tanks, and there are projects in the works. But those projects take time, and time is of the essence to companies eager to capture market share early. Pemex delayed second round of regional auctions for use of its midstream assets Pemex was supposed to hold five regional auctions for the use of its midstream assets. But the auction process has stalled, with Pemex delaying the second round, originally to be held in June. CRE proposed granting new companies access to Pemex pipeline and storage infrastructure. Mexico’s energy regulator, CRE, recently proposed granting new companies access to Pemex pipeline and storage infrastructure. Companies would be able to bypass Pemex altogether, issuing their request to the CRE. Pemex, of course, is not backing down without a fight, charging that the CRE is acting outside of its powers. It will take some time to see how this plays out. But even if Pemex wins the fight, it will only delay, not stop, competitors from entering Mexico’s growing gasoline and diesel markets. And if you’d like to learn more about Mexico’s refined product, crude, gas and power industries, take a look at our special report, ‘ Mexico’s energy transformation takes hold .’ Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/092517-market-movers-asia-sep-25-29-challenges-opportunities-in-global-oil-market-in-focus-at-appec</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nVwBU4N3eqfhvgAcV5tw5j</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Sep 25-29: Challenges, opportunities in global oil market in focus at APPEC</video:title><video:description><![CDATA[The week kicks off with the Asia Pacific Petroleum Conference in Singapore, where the challenges and opportunities facing the global oil market will be discussed. Key topics include: what’s in store for US crude supply to Asia, the demand outlook for Asia’s top-tier buyers, and what's next for China’s independent refiners. This episode of Platts Market Movers - Asia with Commodity Associate Tess Tseng also looks at factors affecting the LNG markets, with the JKM price at a 9-month high, as well as Thailand’s refined sugar cash premium that is starting the week at a 6-year high. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript OPEC producers Iran and Iraq will make their presence felt when they talk about their countries' production status and impact on global markets. The focus in Asian crude markets this week will be on term allocation cuts by major Middle East producers. Recent cuts have prompted end-users to scramble for light, medium sour cargoes. Southeast Asia and Oceania sweet crude prices have rallied on the back of tighter Middle East term supply, a closed Europe-East arbitrage amid an expensive Brent complex, and strong product cracks ahead of high winter demand season. In LNG, JKM spot price assessments for November delivery are at a 9-month high, and at close to parity to term delivery prices. Despite that, prices could continue to face upward pressure this week from aggressive winter buying. In coal, Asia seaborne traders are awaiting the outcome of talks in Japan to fix year-long contract prices for Australian thermal coal starting October 1. Talks opened with an offer at $100/mt FOB Newcastle for 6,000 NAR thermal coal. Last October’s price for the contracts was $94.75/mt. In agriculture, the cash premium for Thailand’s refined sugar will start the week at a 6-year high on supply tightness and demand from Taiwan, with subsequent flow to China. While some market participants see prices at close to peaking this week, some sellers are expecting to see further upside. In metals, aluminum prices on the Shanghai Futures Exchange hit a near 6-year high last week as Henan province began winter smelter cuts well ahead of the November deadline, with bad air quality cited as the reason. Will more Chinese smelters do the same this week?What do you think? Remember to join our conversations on Twitter with #PlattsMM. Also this week, we're launching Emerging Among Giants, a special report on ASEAN energy and commodity opportunities as the region celebrates 50 years. More details on Platts.com. Thank you for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-09-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/092517-market-movers-europe-sep-25-29-energy-implications-of-heightened-tensions-in-middle-east</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dJ8vPKP9DxjkAe86Lpu1VK</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Sep 25-29: Energy implications of heightened tensions in Middle East</video:title><video:description><![CDATA[In oil markets, the focus is mainly on the Middle East this week, as the US considers tighter sanctions against Iran, and international pressure builds on Iraqi Kurdistan over its plans for an independence referendum. Voting will also be on the European power market’s radar after Sunday’s national elections in Germany. Any involvement of the Green Party in a governing coalition would put coal plant closures and stricter carbon pricing back on the agenda. Something beyond politicians’ control is the weather, and power traders are watching nervously for any signs of an early cold snap in France. Also in France, Total has declared force majeure on styrene supplies from its Gonfreville facility because of a strike. Meanwhile, Mediterranean low-sulfur crude oil grades, such as Azerbaijan's Azeri Light and Kazakhstan's CPC Blend, are facing some stiff competition from America, as higher volumes of US crudes have begun to make their way to Europe. How concerned should the oil market should be over the Kurdish independence vote? You can reach out to us by tweeting with the hashtag #PlattsMM . View Full Transcript Video Transcript In this week’s highlights, we’ll look at the implications of heightened tensions in the Middle East, the German elections, and greater US oil exports to Europe. In oil markets, the focus is mainly on the Middle East this week, as the US considers tighter sanctions against Iran, and international pressure builds on Iraqi Kurdistan over its plans for an independence referendum on Monday. The Kurdish vote is straining the province’s ties with the central government in Baghdad and Turkey. Should tensions rise, it is possible oil flows to the Mediterranean might be disrupted. How concerned should the oil market should be over the Kurdish independence vote? You can reach out to us by tweeting with the hashtag #PlattsMM. Voting will also be on the European power market’s radar after Sunday’s national elections in Germany. Chancellor Angela Merkel secured a fourth term in office, but a new coalition is needed in Berlin after current coalition partner, the SPD, decided to move into opposition following a bad result. Merkel’s first three coalitions took an average of 61 days from polling day, so policy uncertainty may continue for some time. Any involvement of the Green Party in a new government is set to put coal plant closures and stricter carbon pricing back on the agenda. That’s generally seen as bullish for power prices, but could be offset by the return of the business-friendly FDP. Merkel needs both parties for a majority. Something beyond politicians’ control is the weather, and power traders are watching nervously for any signs of an early cold snap in France. The cold ramps up electric heat demand in France like nowhere else, and with the spectre of possible nuclear outages also haunting the market, prices have been bullish. As this chart shows, regulatory checks on nuclear plants have pushed the French November peak contract to a handsome premium over the UK, despite EDF’s best efforts to calm fears of outages this winter. Also in France, Total has declared force majeure on styrene supplies from its Gonfreville facility because of a strike. While downstream polystyrene markets are set to feel the heat from this, it remains to be seen if other petrochemical products will be affected as it is unclear how long the strike will last. Further south, Mediterranean low-sulfur crude oil grades, such as Azerbaijan's Azeri Light and Kazakhstan's CPC Blend, are facing some stiff competition from America, as higher volumes of US crudes have begun to make their way to Europe. Around 9 million barrels of US crude are said to be arriving in Europe in the next two months, due in part to the refinery shutdowns in the hurricane-battered US Gulf region. Added to this, European benchmark Brent is at an almost 6 dollars a barrel premium to its US equivalent, WTI. This is the highest in over two years and should tempt US sellers to target Europe. Thanks for investing your time with us, and have a great week ahead.]]></video:description><video:publication_date>2017-09-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092517-can-opec-achieve-a-happy-ever-after</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HRT3GomeDCNXsoRjGaMSof</video:player_loc><video:thumbnail_loc /><video:title>Can OPEC achieve a happy ever after?</video:title><video:description><![CDATA[OPEC and non-OPEC have made moves to track crude oil exports side-by-side with production, and are looking to bring about an extension to the current 1.8 million b/d output deal that ends in March 2018 and involve outliers Nigeria and Libya to the arrangement. Amid so many oil market narratives and counter-narratives, have OPEC and non-OPEC become the authors of their own rebalancing story? Paul Hickin examines what the end game could look like and whether it can be achieved with many known unknowns both within and outside the producer pact. Let us know your thoughts by tweeting @PlattsOil with the hashtag #PlattsSnapshot Related article: OPEC holds line over oil output cuts, to track exports View Full Transcript Video Transcript Let me tell you a story. But which one? Bulls versus bears. Shale against OPEC. Supply or demand. Production versus exports. Stock levels coming down at different rates under various measures. Like the parable of the blind men who encounter an elephant, feeling different parts of its body and coming up with a different conclusion, the oil market rebalancing story is no stranger to a partial experience being presented as the truth. The cacophony of narratives is the challenge facing OPEC as it tries to manage both the market and its expectations. No matter how good OPEC’s story, it needs to be believed and sadly for this bunch of oil producers, which includes the 14 members and 10 others including Russia, there are just too many plot holes leaving oil prices in their own kind of purgatory. Let’s take compliance. Usually nine months of fairly robust conformity to the 1.8 million b/d production cut deal would be enough. But questions were raised about overall output with Libya and Nigeria both recovering at rates few predicted and whether the cuts were translating into reduced supply. Nigeria and Libya are unlikely to cap production until they reach 1.8 million b/d and 1.25 million b/d which would render the curbs relatively meaningless. In Vienna last week the producer group did manage to agree on informal export monitoring to give credibility to the narrative that crude is being removed from the market. Then there is the Saudi Arabia line that OPEC will do “whatever it takes” with the idea that the cuts may go deeper or last longer than the March 2018 expiry date. Both are likely to be a work in progress until the Vienna meeting on November 30 with prolonging the current the deal the most realistic aim. But there is the oxymoron of coaxing the market into believing what you say which in turn lends support to prices and being underwhelmed when you deliver what you intended leaving prices to sag: a point OPEC took note of at its May meeting when it extended the deal for nine months rather than six. As such, OPEC and non-OPEC has shifted the focus: to strong production cuts, to falling stock levels, robust Asian demand and now to supply cuts. But what does a happy ever after look like to OPEC? Some will point to higher prices, some will point to a price floor and some will point to price stability long-term and a backwardated market. All of which will make OPEC optimistic right now. Then again, others will say that the end is elusive while its arch enemy shale continues to take market share at every dollar above $50/barrel and that abandoning its pump-at-will strategy was a miscalculation. Again, making OPEC cautious about its strategy. Maybe the aim for OPEC is to be able to manage the market as my esteemed colleague Gary Ross at PIRA says “into perpetuity”. Selling the benefits of long-term market management to its own non-OPEC alliance may be the next chapter.]]></video:description><video:publication_date>2017-09-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092117-renewable-energy-changing-face-of-eu-electricity-supply</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2QH2TuUMF9cFPr66QGBzSz</video:player_loc><video:thumbnail_loc /><video:title>Renewable energy changing face of EU electricity supply</video:title><video:description><![CDATA[Competitive auctions for renewable energy capacity are changing the face of European electricity supply. Moving from regulated feed-in tariffs to capacity-limited tenders has seen a mammoth reduction in costs, allowing governments to raise their sights and accelerate the transition to a decarbonized generation system much faster than expected. S&P Global Platts Henry Edwardes-Evans , associate editorial director, generating fuels news, also looks at offshore wind and wind turbine implementation in the region. Related factbox: German election implications on energy sectors View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodity markets today. Competitive auctions for renewable energy capacity are changing the face of European electricity supply. Moving from regulated feed-in tariffs to these capacity-limited tenders has seen an astonishing reduction in costs. This is allowing governments to raise their sights and accelerate the transition to a decarbonized generation system much faster than expected. In the latest UK auctions, offshore wind costs fell by 50% compared with auctions two years ago. As projects get bigger, hours of operation improve and economies of scale kick in, so developers are increasingly comfortable with strike prices close to baseload market prices. This trend reached its logical conclusion last year with zero subsidy bids into Germany’s offshore wind auction for 2025 delivery. It’s a merchant plant gamble, the like of which we’ve not seen for decades. What’s going on? Even close market watchers have been astonished by these events. First, this is a big utility story. Saddled with ageing, dirty power stations and blind-sided by onshore wind and solar, Europe’s dominant utilities have been desperately seeking a new reason to exist. Offshore wind is that reason, and the competition for contracts is fierce. Ditto the world’s equipment vendors. The dynamic engineering excellence that saw gas turbine efficiency leap higher in the 1980s and 90s is now being channeled into renewables. Look at the gains: from 2 MW machines with 80 meter rotor diameters in 2004 to 9.5 MW machines with 164 meter rotor diameters today. The next generation is now seen as the grid parity generation, with 200 meter rotors powering 13 MW machines. Meanwhile the collapse in costs has given governments an unexpected dividend. In Spain, zero subsidy bids in May’s onshore wind and solar auction saw the government spring a second auction in July, netting 8 GW of potential capacity and boosting the country’s renewables capacity by 29% to 2019. Now all eyes are on the UK to see if it will react in a similar way. Because as costs fall, so the subsidies go further, with 56% more capacity allocated in the UK’s latest round, using 44% less budget than in 2015. It’s left the government holding surplus budget – and every incentive to tap the offshore market for more. Where that leaves other technologies is a moot point. Will the UK find budget to encourage emerging tidal? And what about politically sensitive onshore wind? The temptation may be to max out on offshore wind at the expense of diversity. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092017-imo-20-a-storm-in-a-teacup</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kVnXebdsK7RNEoesyKCQb2</video:player_loc><video:thumbnail_loc /><video:title>IMO 2020: A storm in a teacup?</video:title><video:description><![CDATA[A sense of anxiety is gripping the shipping industry as it looks toward the imposition of more stringent sulfur restrictions on marine fuel on January 1, 2020. Many shipowners have yet to make up their minds on what fuel to use: will they pay more for diesel fuel? Burn hi-sulfur fuel and invest in expensive scrubbers? How about LNG? Ultimately it will be a mix of approaches, but with most players likely to choose diesel in the short run. As a result, many foresee a spike in diesel prices as the IMO's 2020 deadline nears. Jason Silber, Global Head of Ocean Intelligence, S&P Global Platts, explores the role of human nature in the run up to 2020. To enable shipping industry participants to make quick, informed business decisions, Platts Ocean Intelligence (OI) provides actionable credit assessments, due diligence, and Know Your Customer (KYC) data. We prepare reports on a wide variety of stakeholders across the shipping market to give our clients the informational edge over their competitors. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Price spikes induced by panics are caused by two kinds of nature: Mother Nature and human nature. Take Harvey and Irma, the two hurricanes that recently pounded Texas, Florida and the Caribbean. Or the blizzards that occasionally paralyze us here in New York City during the winter. This is what always happens: as the storm nears, panic ensues as people rush supermarkets, emptying shelves of anything not nailed down. Filling stations run out of fuel. Prices spike on some key commodities. Or take an ordinary thunderstorm in any city. As pedestrians run for cover, who’s the man standing on the corner with the fat grin on his face? Why it’s the umbrella salesman who has us exactly where he wants us. In these cases, Mother Nature and human nature cooperated to wreak havoc and sow panic. Tier 3 sulfur standards on gasoline in the US were introduced on January 1 2017. Many observers worried over a supply shortage of compliant fuel. But the shortfall never materialized. Turns out the market was prepared: no mother nature, no unknowns and no panic. A similar sense of anxiety is gripping the shipping industry as it looks toward the imposition of more stringent sulfur restrictions on marine fuel on January 1, 2020. Why the anxiety? Many shipowners haven’t made up their minds on what fuel to use: will they pay more for diesel fuel? Burn hi-sulfur fuel and invest in expensive scrubbers? How about LNG? Ultimately it’ll be some mix of approaches, but most players are likely to choose diesel in the short run – it’s just the easiest option. As a result, however, many foresee a spike in diesel prices as the 2020 deadline nears. Why? Some think refineries won’t be able to produce enough diesel to satisfy demand. But that simply isn’t true: Refinery production is split mainly between gasoline and diesel products. Refineries can shift their output roughly 8% in either direction as market demand dictates. And refineries worldwide are already shifting the mix toward diesel. As 2020 approaches, marine diesel prices at major ports like Rotterdam, Singapore or Houston are likely to remain stable – refineries are nearby. It’s the second or third tier ports that might be vulnerable to potential spikes. But while that fear appears more justified, it’s still overstated: justified because the large commodity houses could potentially leverage the panic just ahead of the 2020 deadline by jacking up prices and exploiting price differentials between ports. But once 2020 arrives, refiners and traders will move to fulfill demand. Furthermore, veteran ship operators are savvy and unlikely to be caught flatfooted. Panic or not, the price of diesel fuel will certainly rise. Won’t shipowners suffer? Expect them to share as much of the pain as possible with their customers. The 2020 deadline is really no surprise – it’s been on the horizon for years. The market is more psychologically prepared than many realize, and planning for the new fuel regime is definitely taking place. Mother Nature isn’t involved, and as was the case when previous sulfur restriction regimes were introduced, human nature may turn out to be a nonfactor. 2020 may in-fact end up as just another proverbial storm in a teacup. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091917-eu-polystyrene-buyers-grapple-with-higher-cps-logistical-issues-in-september</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uKmVnwdNrwVrWB64DN8Pih</video:player_loc><video:thumbnail_loc /><video:title>EU polystyrene buyers grapple with higher CPs, logistical issues in September</video:title><video:description><![CDATA[Following a surge in global styrene prices in late August, polystyrene buyers face a large increase in polystyrene contract prices in September. Yuriko Kato , S&P Global Platts senior petrochemicals pricing specialist, looks at the reasons for the price increase, the divergence in contract and spot polystyrene prices, as well as what the market holds for October. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Styrene has been one of the most volatile markets in the petrochemicals industry this year, troubled by the many unplanned production outages across the world. Most recently, Hurricane Harvey’s devastating damage extended to the petrochemicals industry, causing chaos to production and logistics for styrene. Teamed with an unplanned outage in Europe, global styrene prices soared to six-month highs in the second half of August. This caused particular stress to the downstream polystyrene market, where movement in styrene is the main driver of prices. Contractual buyers are facing a hefty price increase in September following a sharp rise of Eur190/mt or 16% in the styrene contract price in September. Polystyrene producers have pushed for price increases to cover costs, matching or exceeding the monthly rise in styrene. Polystyrene demand typically picks up in September as downstream operations resume fully after the summer vacation and key end-use sectors, such as construction and packaging, are in full swing. Adding salt to the wound, polystyrene buyers in Southern Europe have faced logistical issues due to works on key railway routes connecting Northwestern and Southern Europe. Northwest Europe is a major hub for polystyrene production, while buyers are scattered all around Europe. This has led to buyers grappling to secure volumes as they faced cancellations and a near doubling in freight costs. The steep increase in the styrene contract price in September has mainly affected large polystyrene buyers who buy most of their volumes on contract as they require a steady flow of product. Smaller buyers, who can minimize contractual volumes and rely on spot purchases, have been mostly shielded from the monthly price rise seen in September. A large divergence has emerged in polystyrene contract and spot prices in September, with contract currently trending at a significant premium to spot. This is because the market anticipated styrene spot prices to decrease from highs in late-August as the rally was driven by temporary events. A fall in styrene spot typically leads to lower polystyrene spot prices. And what next for the market in October? The market is anticipating a decline in the styrene contract price as European spot prices have spiralled downwards in the first half of September. However, several styrene units in Europe are expected to have planned maintenance in the next few weeks and concerns linger over delays in US cargoes arriving into Europe in early October, which could provide an upside in prices. What the styrenics market has learnt this year is that the unpredictable is what often turns to reality. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091817-market-movers-asia-sep-18-22-all-eyes-on-china-oil-datas-possible-impact-on-global-demand-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UhfDTxs9dXQYkiSFMvxAti</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Sep 18-22: All eyes on China oil data's possible impact on global demand outlook</video:title><video:description><![CDATA[China is due to release its August oil product output data, and September run rates at state-owned refineries. Both sets of numbers will likely impact the global oil demand outlook for the rest of the year. Metals market participants are keeping an eye on alumina after prices surged to multi-year highs last week. Listen to the related podcast here . Sugar traders await a free-trade agreement to be signed between Australia and Indonesia, which could have implications of Australian sugar availability for Japan and South Korea. Asian acrylonitrile prices will start the week at a 2.5-year high. The market says the uptick is likely to continue this week. Read the related analysis here . Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript This week’s highlights: Alumina prices at multi-year highs, acrylonitrile prices surge, and the sugar market awaits a free trade agreement. But first, in oil, China is due to release two key reports this week, on oil product output for August, and on run rates at state-owned refineries in September. Both sets of numbers will likely impact the global oil demand outlook for the rest of the year. This comes after the International Energy Agency raised its oil demand outlook for the year for a third month in a row, to 1.6 million barrels per day, due to strong demand in the US and Europe. If China’s data is strong, the global oil demand outlook could be even more bullish. Also in China, alumina prices have surged to a 9-year high on an ex-works basis, and to a 6-year high on an FOB Australia basis, amid uncertainty over how environmental policies and winter cuts will impact bauxite and alumina supply. Market participants expect prices will rise even further this week. What do you think? Will we see a peak soon? Join our conversation on Twitter with #PlattsMM. In Japan, talks are set to start this week for term contract prices of Australian thermal coal, for shipments starting from October to September next year. With recent trades for Japanese specification coal at $100 per tonne FOB Newcastle, sources expect last year’s contract price of close to 95 dollars could well be exceeded. Separately, coal shippers from Australia, Indonesia and Russia will be testing import restrictions at some Chinese ports this week. There have been reports of increasing delays for vessels seeking to enter these ports due to the restrictions, leading to a rise in demurrage costs. In the dry bulk market, Supramax and Panamax freight rates are expected to remain supported this week. Healthy demand for coal movements in the Pacific, weather delays along China's coast and demand for grains from South America, the US Gulf and the Black Sea are all providing support. In agriculture, sugar traders this week are waiting for a free trade agreement to be signed between Australia and Indonesia, with market talk suggesting this could occur as early as October 1. The agreement would cut tariffs for Australian sugar exports to Indonesia, levelling the playing field with Thai sugar. However, this could mean there is less Australian sugar available for refineries in Japan and South Korea. Finally in petrochemicals, Asian acrylonitrile prices will start this week at a two and a half-year high amid global supply tightness due to force majeures in the US and the shutdown of plants in China after environmental inspections. That uptick is seen likely to continue this week, with prices expected to hit a ceiling next month. That’s all for now. Thanks for starting off your Monday with us, and have a great week ahead!]]></video:description><video:publication_date>2017-09-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091817-market-movers-europe-sep-18-22-european-light-distillates-still-tumbling-after-hurricane-harvey</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fR4LqvYxqGLJtezUz5xMer</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Sep 18-22: European light distillates still tumbling after Hurricane Harvey</video:title><video:description><![CDATA[In European gasoline and naphtha, crack spreads – the product price versus crude -- could continue to drop after the dramatic post-hurricane falls of recent weeks. Cracks for both products hit year-to-date highs on logistical problems in the US Gulf Coast after Hurricane Harvey in late August. But once these problems eased the cracks fell back to reflect balanced fundamentals. In steel, the bellwether Turkish market for imported steel scrap looks like it could fall in the coming weeks, after bullish expectations for September were disappointed. Meanwhile, the UK natural gas market is expecting the regulator to approve this week or next, plans to extract up to 870 million cubic meters from storage facility Rough, which has reached the end of its life. In the carbon markets, traders will be watching closely this week to see if EU emissions allowances can hold on to their recent gains. Finally, oil ministers will gather in Vienna Friday to discuss the state of the production cut deal between OPEC and non- OPEC countries. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: European light distillates are still tumbling after Hurricane Harvey, Turkish imported steel scrap prices look set to fall, and Germans will vote in a key election for European carbon markets. In European gasoline and naphtha, crack spreads – the product price versus crude -- could continue to drop after the dramatic post-hurricane falls of recent weeks. Cracks for both products hit year-to-date highs on logistical problems in the US Gulf Coast after Hurricane Harvey in late August. But once these problems eased the cracks fell back to reflect balanced fundamentals. With the US summer driving season ending and a well-covered petrochemical industry, traders will be looking to see just how low cracks can go. And our question for social media this week: How much lower can gasoline and naphtha cracks go? Tweet us your thoughts using the hashtag #PlattsMM. Meanwhile, a recent rise in North Sea crude has pushed medium-sweet Forties to a 24-week high over Russia’s medium sour Urals. This is likely to make some refiners favor Urals as they look to maximize yields. Higher North Sea crudes have also helped to push ICE Brent futures into backwardation through to the end of 2018. This could encourage more withdrawals from long-term storage. Turning to steel, the bellwether Turkish market for imported steel scrap looks like it could fall in the coming weeks, after bullish expectations for September were disappointed. Turkish sources say offers are plentiful at around 350 to 355 dollars per metric ton CFR. The October contract on the London Metal Exchange traded lower on Friday, indicating physical prices could fall further. In UK gas, the market is expecting the regulator to approve this week or next plans to extract up to 870 million cubic meters from storage facility Rough, which has reached the end of its life. This expected extra supply has already pushed down UK winter gas prices, so any surprise decision to reject the plans could be bullish. And in the carbon markets, traders will be looking this week to see if EU emissions allowances can hold on to their recent gains. Last week prices surged as high as seven euros 70 per metric ton, as EU plans to tighten supply after 2020 moved ahead. This week is also the last week of campaigning for the German elections on Sunday. Traders will be watching closely as potential coalition partners for Angela Merkel's conservatives are polarized on energy issues, including carbon pricing. And in oil, ministers will gather in Vienna on Friday to discuss the state of the production cut deal between OPEC and non-OPEC countries, and whether further steps will be needed at OPEC's next full meeting in November. Finally, industry leaders will be in Brussels on Thursday and Friday for the Platts’ annual European Refining Summit. And a key topic will be how recent US hurricanes affected global product markets. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-09-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/091117-market-movers-asia-sep-11-15-gas-petrochemical-markets-continue-to-feel-impact-of-harvey-aftermath</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rzDjQy8Et7eA7toAnCgnEm</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Sep 11-15: Gas, petrochemical markets continue to feel impact of Harvey aftermath</video:title><video:description><![CDATA[Asian commodities are expected to continue feeling the impact of Hurricane Harvey, particularly in the LNG and petrochemicals markets, Bunker Fuel Editor Surabhi Sahu reports in this Platts Market Movers - Asia video. The LNG prompt market could face increased downward pressure this week as the Sabine Pass LNG facility in the US resumes exports. In petchems, prices of acrylonitrile are expected to rise as supply tightens in the aftermath of the hurricane while MEGlobal is supplying minimum contract volumes of monoethylene glycol to Asian customers amid shortages. Meanwhile, Panamax and Supramax segments of the dry bulk market are expected to start the week on a firm note due to a rise in cargo volumes and tight tonnage availability. Rising freight levels has seen time charter equivalents surge over over the past month. Asian markets are also keeping an eye on data releases - China's crude oil production and throughput, and Singapore's bunker fuel sales. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript The highlights on Platts Market Movers this week - China to release key oil data, shipping and coal markets seen tight, and Hurricane Harvey continues to impact gas and petrochemical markets. Starting off with oil, China is due to release crude oil production and throughput data for August on Thursday. Throughput is widely expected to be stable to slightly higher than the level seen in July. Any fall in throughput at independent refineries due to tougher safety and environmental checks is expected to be offset by rises at state-owned ones amid healthy summer demand. The bunker fuel market will be monitoring Singapore’s marine fuel sales data for August, which is due for release on Wednesday. Singapore's July bunker fuel sales bounced back almost 15 percent from a lull in June, contrary to market expectations, and August data could show this momentum has continued. In the dry bulk market, both the Panamax and Supramax segments will start the week firm due to a rise in cargo volumes and tight tonnage availability. The strong flow of thermal coal from Indonesia, nickel ore from the Philippines and iron ore from Iran is supporting Supramax freight levels. Support in the Panamax segment is coming from met coal flows from east coast Australia, thermal coal from South Africa and grain from the North Pacific. The rise in freight levels has seen time charter equivalents surge over the past month. So the question this week is, will this trend continue? Tweet us your views with the hashtag #PlattsMM. In thermal coal, seaborne traders will be checking the status of shipments into south China's Guangzhou port this week amid claims the port is restricting imports for the rest of the year after reaching its import quota limit. Ships have few alternatives in Guangdong province if the reports are true. In LNG, the JKM assessment for October cargo deliveries is entering its last week before it rolls over to November, and traders will be monitoring how early procurement takes off ahead of winter. The prompt market could face increased downward pressure this week as the Sabine Pass LNG facility in the US resumes exports after Hurricane Harvey. Australia’s new Wheatstone LNG facility is also expected to export its first cargo in the coming week or two. In petchems, MEGlobal, a subsidiary of Kuwait's Equate Petrochemical, has begun supplying minimum contract volumes of MEG to Asian customers amid supply shortages caused by strong demand and the impact of Hurricane Harvey. Acrylonitrile prices hit a near three-year high in Northeast Asia last week amid strong fundamentals, and are expected to rise globally this week as supply tightens in the aftermath of Harvey. US producers Ineos and Ascend Performance Materials have both declared force majeure due to the hurricane. That’s it for this week! Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-09-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/091117-market-movers-europe-sep-11-15-oil-markets-are-still-being-buffeted-by-storms</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3X641Jrn6c3ZB7oYGGSEVR</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Sep 11-15: Oil markets are still being buffeted by storms</video:title><video:description><![CDATA[The oil industry will be trying to find its feet this week after being pummeled by natural disasters in the Gulf of Mexico that have disrupted global trade, in particular causing a surge in oil-product imports from Europe into the region. Part of the weather’s effect on the oil market can be seen in US and European refining margins rising to two-year highs after Hurricane Harvey caused outages. However, this has not yet translated into higher differentials for European and African crudes. Meanwhile, infrastructure issues might also have an impact on French natural gas prices. Planned maintenance this week will reduce flows from the Fos Tonkin and Montoir LNG terminals in France, as well as the Russian Nord Stream gas pipeline to Germany. Staying in France, power prices there might rise too on worries about nuclear plant availability. Finally, the European petrochemicals markets will be keeping a close eye on progress to repairs to part of the key rail freight route between northwest Europe and Italy. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers. In this week’s highlights: Oil markets are still being buffeted by the impact of Hurricane Harvey; US and European refining margins hit two-year highs, and there are fears of higher gas prices in France. The oil industry will be trying to find its feet this week after being pummeled by natural disasters in the Gulf of Mexico that have disrupted global trade, in particular causing a surge in oil-product imports from Europe into the region. Monthly market reports from OPEC and the International Energy Agency should provide insights into the bigger picture for oil supply and demand. And for the shipping industry, the big event is London International Shipping Week, where an impending global crackdown on emissions by the regulator is sure to dominate proceedings. Part of the weather’s effect on the oil market can be seen in US and European refining margins rising to two-year highs after Hurricane Harvey caused outages. However, this has not yet translated into higher differentials for European and African crudes. This looks likely to change in the near future, with more hurricanes and storms looming in the Americas. While there has been little impact on specific crudes, the crude complex as a whole remains supported by the market’s view that the effect of the extreme weather has been more severe on oil production than refining. And our question for social media this week: Have price moves on the US storms been over - or underdone? Tweet us your thoughts using the hashtag #PlattsMM. Infrastructure issues might also have an impact on French gas prices. Planned maintenance this week will reduce flows from the Fos Tonkin and Montoir LNG terminals in France, as well as the Russian Nord Stream gas pipeline to Germany. This combined with persistent worries about nuclear power availability could push up prices, particularly in the south where storage levels are low. A similar scenario last year caused the southern TRS day-ahead price to peak at 22 euros a megawatt-hour. TRS day-ahead is currently around 17 and a half euros. Staying in France, power prices there might rise too on worries about nuclear plant availability. The market is awaiting further details of a review by the regulator that could lead to more unplanned outages at French nuclear power plants this winter. This comes as higher coal, gas and carbon prices are already lifting European power prices. The EU carbon price is now above 7 euros a metric ton for the first time since April last year, as traders expect progress in talks this week on planned reforms to the EU Emissions Trading System after 2020. Finally, the European petchems markets will be keeping a close eye on progress to repairs to part of the key rail freight route between northwest Europe and Italy. The Karlsruhe-Basel stretch was damaged by water ingress in mid-August and is expected to be repaired by early October. The disruption has caused an increase in freight rates for truck deliveries for chemicals from Northwest to Southern Europe, in particular Italy, as traders seek alternative transportation. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-09-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091117-brent-crude-oil-volatility-september-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XRw25mnAn9rh7njYrsWdZQ</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: September outlook</video:title><video:description><![CDATA[The Dated Brent market moved sideways during August with crude oil prices oscillating within a trading channel between $50/b and $53/b. Short volatility positions should not be entered in the market because the fluctuation rate is likely to experience an uptrend in this month causing prices to downtrend. Probability distribution analysis shows that Brent’s monthly fluctuation rate is trading within one of the lowest volatility intervals in the last two years, indicating that a mean reverting movement will likely happen in the coming weeks. Analyst Vito Turitto reports. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market moved sideways in the month of August with prices oscillating within a trading channel between fifty and fifty-three dollar per barrel. The Dated Brent CFD forward curve has been in backwardation for the whole month indicating a relatively healthy demand for BFOE and North Sea grades. In particular, good but not aggressive demand from China and the Far East as well as domestic demand helped keep prices above the fifty dollar per barrel threshold despite fears that the widening WTI/Brent spread would push American barrels into the North Sea. Internationally, Libya’s National Oil Corporation, around the end of August, was forced to declare force majeure because the Sharara oil field was again attacked by militants while data coming from the Middle East shows that last month’s OPEC output was 32.65 million b/d, which is 6 hundred and 30 thousand barrel per day above the stated ceiling. The cartel’s compliance to production cuts was 93% in July and 114% year-to-date. On the other side of the Atlantic, the US crude oil stocks dropped by 5% between the end of July and the end of August while American crude production reached nine-point-fifty-two million barrel per day on August 24. On August 29, twenty-five per cent of the total gulf Coast refining capacity was down, equivalent to 13% of total US capacity, because of Hurricane Harvey and such a phenomenon had a big impact on petroleum products in both US and Europe. A first look at the volatility curves, calculated on both the paper and physical markets, suggests that all the time the volatilities touched this level, Brent prices were on the brink of a retracement. The analysis seems to be confirmed by the fact that the current Volatility Premium is negative because the realized volatility managed to get higher than the implied one which is an indication for market weakness. Consequently, short volatility positions should not be entered in the market because the fluctuation rate is likely to experience an uptrend in coming weeks causing prices to downtrend. The Probability Distribution analysis highlights that Dated Brent’s monthly fluctuation rate is trading within one of the lowest volatility intervals in the last two years indicating that a mean reverting movement will likely happen in coming weeks. In all likelihood, the volatility will tend to go up and reach the 30-35 per cent intervals where it has an estimated 22.7% chance to remain. Finally, the Volatility Cones analysis indicates that the current volatility is much lower than its average because of the recent channel trading conditions implying that the actual uptrend is unlikely to last long because the probability for the fluctuation rate to get even lower than it currently is, are very low. Overall, prices might tend to move higher in the very short term but, over the coming weeks, the volatility will likely to go up while prices will tend to retrace. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-09-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:50</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090817-tougher-to-make-in-india-when-china-steel-market-is-so-hot</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LK7S6y16sFgBZkycAXJo2L</video:player_loc><video:thumbnail_loc /><video:title>Tougher to ‘Make in India’ when China steel market is so hot</video:title><video:description><![CDATA[For much of the past two years, Indian steelmakers have been obliged to export more steel. But now, they are choosing to do so. In this video, Senior Managing Editor Paul Bartholomew examines steel mill behavior in India and how this is interlinked with China's steel market. He also shares insights on what to expect in Asian steel markets in Q4.]]></video:description><video:publication_date>2017-09-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/090417-market-movers-europe-sep-4-8-harvey-pushes-european-crack-spreads-to-two-year-highs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-09-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=A9VPC68Bg6orbaTBeYWRQs</video:player_loc><video:thumbnail_loc /><video:title>Market Movers Europe, Sep 4-8: Harvey pushes European crack spreads to two year highs</video:title><video:description><![CDATA[In the European gasoline market, prices soared by more than 50% last week as traders rushed cargoes across the Atlantic in response to supply problems caused by Tropical Storm Harvey. Deliveries of petrochemical products from the US into Europe this month are also under a question mark, with at least 13 major petrochemical sites shut down in the US Gulf Coast region and supplies of many products under force majeure. Meanwhile, in metals, the European steel coil market is bullish as producers return from their summer holidays. Mills are likely to seek an extra Eur20-40/metric ton after other markets -- primarily China -- spiked. Finally, in UK electricity, forward prices for September have been rising ahead of reduced gas and coal plant availability and, as this graph shows, September traded above October. While September is braced for reduced availability, October is the start of a new era under the new UK Capacity Mechanism. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: Tropical Storm Harvey has pushed European gasoline crack spreads to their highest level in over two years; the European flat steel market is expected to be bullish; and the UK power market is braced for a squeeze from a new capacity mechanism. In the European gasoline market, prices soared by more than 50% last week as traders rushed cargoes across the Atlantic in response to supply problems caused by Tropical Storm Harvey. Up to a fifth of total US refining production is offline, storage depots are under water and key pipelines across the region have been switched off. European gasoline crack spreads, which indicate the relative value of the refined product against the crude from which it is made, are at their highest level in over two years. This week, the market is expected to be keeping a close eye on how quickly the US supply network gets back up and running. Market participants will also be closely following the progress of Hurricane Irma, a Category 3 storm that is expected to hit the Caribbean and potentially the US, which could make matters worse for the oil industry in the wider area. Deliveries of petrochemical products from the US into Europe this month are also under a question mark, with at least 13 major petrochemical sites shut down in the US Gulf Coast region and supplies of many products under force majeure. Our social media question this week is: What will be the impact on the oil industry of Hurricane Irma? Tweet us your predictions using the hashtag #PlattsMM. Turning to metals, the European steel coil market is bullish as producers return from their summer holidays. Mills are likely to seek an extra Eur20-40/metric ton after other markets – primarily China –spiked. Some southern European producers have already said they will target around Eur530/metric ton, while northwest European mills have even said they would refuse to sell below this level. Moreover, in the UK, an upgrade at Tata Steel’s hot strip mill could tighten availability even further. In the UK electricity market, all eyes this week will be on the prompt. Forward prices for September have been rising ahead of reduced gas and coal plant availability and, as this graph shows, September traded above October. While September is braced for reduced availability, October is the start of a new era under the new UK Capacity Mechanism. The mechanism pays power stations to be available, but traders say they have always feared this would blunt the price signal, and here is early evidence of just that. Finally, Russian oil and gas officials together with President Vladimir Putin will push for closer energy ties with Asia this week. Putin will lead a delegation to China for talks on gas supply, and on Wednesday Vladivostok will host the Eastern Economic Forum. Russia wants to attract fresh Asian investment and strengthen its share of Asian markets to counteract US sanctions and fill the void of Asia’s unstoppable energy demand. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-09-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/083117-pipeline-delays-hinder-mexicos-gas-imports-shift-power-generation</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=AT8Fu7ScEzffNxkLpfjVSQ</video:player_loc><video:thumbnail_loc /><video:title>Pipeline delays hinder Mexico's gas imports, shift power generation</video:title><video:description><![CDATA[Total US gas exports to Mexico rose to 4.3 Bcf/d in August, which was a mere 6% build compared to last year and well below market expectations earlier this year — despite being an all-time high. Pipeline construction delays have hampered Mexico's pipeline imports, and that's having an effect on LNG imports and electric power prices, as Ross Wyeno explains. Learn more about Mexico's changing natural gas, oil and power sector in our special report: Mexico's energy transformation takes hold . View Full Transcript Video Transcript Pipeline delays hinder Mexico's gas imports, shift power generation By Ross Wyeno, senior energy analyst Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. Total US exports to Mexico rose to an all-time high of 4.3 Bcf/d in August, a mere 6% build compared to last year and well below market expectations earlier this year. Pipeline delays hindered US gas exports to Mexico and boosted Mexico’s LNG imports The lack of export growth this year-to-date can largely be traced back to pipeline construction delays in Mexico, which have limited gas import options and forced the CFE, Mexico’s state-run power company, to depend more heavily on LNG imports and fuel oil for power generation. In response to constraints on importing additional US pipeline gas, Mexican LNG imports rose to over 0.6 Bcf/d year-to-date, a 15% build over last year. Most notably, the Altamira LNG terminal has taken delivery of 10 LNG cargoes since the beginning of June, three times more than over the same period last year, which were tendered by the CFE earlier this summer in response to supply shortages in Mexico. The US has delivered around 76% of Mexico’s total LNG imports thus far in 2017 Interestingly, the US has emerged as the primary supplier of LNG to Mexico, having delivered nearly 107 Bcf to Mexico this year-to-date, or around 76% of total LNG imports. In addition to importing more LNG, Mexico has become far more dependent on fuel oil in the power generating sector. Data released by the CFE indicates that total fuel oil consumption rose by 58% during the first two months of the year and, year-to-date, day-ahead power prices have averaged over $70/MWh across all nine control regions, 42% higher than a year-ago, which likely points to higher fuel oil dependence in the generating fleet. Upcoming pipelines will need to enter service for Mexico to continue increasing gas imports from the US Looking into 2018, there are a number of upcoming pipelines which will need to enter service for Mexico to continue increasing gas imports from the US. The most important of these expansions are in the western half of the country and will allow for Permian Basin associated gas production to reach demand markets in Central and Western Mexico. Current status of the Mexican gas pipelines is largely unknown However, unlike FERC sanctioned projects in the US, which are required to publish construction status reports, the current status of these Mexican gas pipelines is largely unknown. The timely completion of these pipelines will be instrumental in both limiting constraint pricing in Mexico as well as alleviating oversupply in areas such as the Permian Basin. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-08-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/082917-peak-season-container-demand-fails-to-shake-up-box-rates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4d4qXQx4CdH25yu4dYF8aJ</video:player_loc><video:thumbnail_loc /><video:title>Peak season container demand fails to shake up box rates</video:title><video:description><![CDATA[Container shipments ramp up to meet Christmas demand but box rates have failed to feel the benefits. Eleni Pittalis looks at why freight has tumbled for the end of August. Related blog: Amazon vs Maersk: The clash of titans shaking the container industry View Full Transcript Video Transcript Peak season container demand fails to shake up box rates By Eleni Pettalis, Commodity Associate Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. It’s the time of the year when retailers in the US and Europe are preparing for the Christmas shopping rush. And that means stocking up on TVs, washing machines and other goods delivered in containers from producers in the North Asia. In a perfect world for shipowners that would mean a jump in container rates on the back of increased demand. However, despite this peak season, liners still fail to secure premiums on the freight. In fact, whilst liners are fully booked the rate from North Asia to EC North America for a 40 foot container has already dropped by $400/FEU over the course of August. Similarly box rates to the US West Coast have stumbled from highs of $1,700 in early August, settling at $1,450. The problem here lies in the weak negotiating power that liners inherited after years of fleet overcapacity. When the seasonal surge in demand happens, liners use it as an opportunity to make up for weaker earnings in other months and both ramp up their rates and allocate more vessels to busy lanes. Unfortunately, their big customers, who are well aware of the extra fleet capacity, refuse to pay such inflated rates. And they tend to win the blinking contest every time, as owners quickly get desperate to fill this extra capacity. Liner operators consider box rates to still be feeling the burden from the collapse of Hanjin Shipping this time in 2016, as earnings are far from 2014-2015 levels. There is still a glimmer of hope in the form of the Golden Week in October when Asian factories close for one week, which creates a rush to move goods before the break. Such temporary spikes in demand may keep the box rates from sliding in the short-term. However, the generally low freight performance in the peak times indicates that a sustained growth in rates is unlikely until the overcapacity issue is resolved. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-08-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/082817-market-movers-asia-aug-28-sep-1-asian-gasoline-market-assesses-hurricane-harveys-impact-on-supply</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jiw2crDo6oJHDGJSCAVR8N</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Aug 28-Sep 1: Asian gasoline market assesses Hurricane Harvey's impact on supply</video:title><video:description><![CDATA[Oil markets continue to assess Hurricane Harvey’s impact on the flow of crude and refined products into and out of the Gulf of Mexico. In Asia, sources are examining the storm's impact on gasoline supply. Related factbox: Refineries now facing brunt of Harvey-related flooding . In petrochemicals, polypropylene and ethylene prices in the region have reached record highs. Markets are looking for signs if prices have peaked. Meanwhile, thermal coal production in Indonesia this month is expected to be better as the weather has improved. Supply, however, continues to remain tight. Senior editor Serena Seng explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s Platts Market Movers – Asia highlights: Hurricane Harvey’s potential impact on Asia’s gasoline market, tight ethylene supply and its impact on prices, plus a look at thermal coal supply from one of the world’s largest exporters – Indonesia. Oil markets are assessing Hurricane Harvey’s impact on the flow of crude and refined products into and out of the Gulf of Mexico Monday. In Asia, sources are assessing Harvey’s impact on gasoline supply. The region’s gasoline market is currently underpinned by strong fundamentals with gasoline cracks and the front-month time spread likely to rally due to tightening supplies, accentuated by the onslaught of the hurricane. Moving to LNG, the JKM price for October deliveries remains under pressure amid largely tepid end-user demand in North Asia. But the spotlight is on changes in Chinese restocking demand -- end-users could re-enter the market for early winter procurement. In petrochemicals, China’s polypropylene price hit a two-year high following a 6% surge in PP futures since the start of August. This trend follows a broad rise in China’s commodity futures, and is in line with improving fundamentals as the polypropylene market heads into higher demand season in September. Traders caution, however, that prices may have peaked and could be at risk of a pull-back. So here’s our social media question this week: Will polypropylene prices continue to surge this week? Tweet us your views with #PlattsMM. Still in petrochemicals, ethylene prices in Northeast Asia surged to a five-month high due to the shutdown of Formosa’s No. 3 steam cracker from mid-August to end-September in Taiwan. The market is expected to stay firm with strong downstream styrene monomer market as a key supportive factor. On to thermal coal, spot cargo availability remains limited despite improved weather. Suppliers are allocating their additional tonnage to fulfill shipments that were postponed from June and July due to rain. Moreover, some sellers are expecting Indian demand to return when the monsoon season ends in mid-September. This could provide some support to prices next month. The agriculture market meanwhile is keeping an eye on the result of Thailand’s B quota tender later this week for hi-polarization and J-spec sugar for the next season. This will set the tone for the cash premium level that millers will set for the first-hand market. Higher trading volumes for raw Thai sugar are also expected once the tender is concluded. And in shipping, Capesize rates have lost momentum after an uptrend in the past few weeks as many vessels held back in anticipation of stronger freight rates. Sentiment is now mixed – some participants feel the market will remain weak unless there’s renewed tonnage demand from Brazil. Others expect rallying freight derivative prices to revive freight rates. What other factors could boost freight rates? Share your thoughts with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-08-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/082217-eu-commodity-firms-likely-to-avoid-extra-mifid-2-costs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zsZCqbWfzRj2DcW32Xi6qp</video:player_loc><video:thumbnail_loc /><video:title>EU commodity firms likely to avoid extra MiFID 2 costs</video:title><video:description><![CDATA[With new EU financial rules known as MiFID 2 set to apply from January, companies trading EU commodity derivatives have just a few more months to check if they qualify for an exemption or if they are at risk of the extra costs involved in being treated like a bank. It seems likely that many non-financial companies in the commodities sector will qualify for exemptions. But regulators will be watching to see if MiFID 2 achieves their goals, and will be ready to tighten it in future if needed. S&P Global Platts senior editor for EU energy policy, Siobhan Hall , explains how the exemptions work and what happens next. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodity markets today. With new EU financial rules known as MiFID 2 set to apply from January, companies trading EU commodity derivatives have just a few more months to check if they qualify for an exemption and to notify their local regulator. New estimates from EU financial authority ESMA of how much each derivatives market is worth will help companies to check if their market shares are low enough to qualify for an exemption. ESMA’s estimates come with lots of caveats, but these are the first semi-official figures on market sizes, and they reveal that EU trading in commodity derivatives was probably worth about 70 trillion euros in 2016. You can see the breakdown by commodity in this chart. Oil and metals dominate, together accounting for more than 90% of the total. To give a sense of scale, oil derivatives trading is worth roughly 600 times as much as trading in emission allowances. It seems likely that many non-financial companies in the commodities sector will qualify for exemptions from MiFID 2, as the exemption criteria are now quite broad. So, companies will qualify if their individual market shares, based on the three previous years’ of trading data, are below certain thresholds, as you can see in these examples. But even if they breach these thresholds, there are other ways to qualify. For example, companies will qualify if their capital employed in trading EU commodity derivatives is less than 10% of the total capital employed across their group. This is likely to cover groups with lots of physical assets, such as offshore platforms, pipelines, and power plants. Companies will also qualify if their speculative trading in EU commodity derivatives is less than 10% of their total trading. So that could be the case if most of their trades are for hedging, or to comply with liquidity obligations, for example. Companies will want to be exempted if they can, because otherwise they will be treated like a bank, and have to hold extra capital, which increases costs. Companies will also have to re-notify their exemptions every year, based each time on the most recent three years’ of trading data. It’s possible that these exemptions may change in the future. Regulators will be watching closely to see if MiFID 2 achieves their goals, and will be ready to tighten it if needed. But for the next few years at least, it seems that many non-financial companies trading EU commodity derivatives will be able to avoid the extra costs of being treated like a bank.Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-08-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/082117-market-movers-asia-aug-21-25-markets-keep-eye-on-aluminum-after-prices-soar-to-near-6-year-high</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XfMqxFhH17axpUDLKeHf9S</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Aug 21-25: Markets keep eye on aluminum after prices soar to near 6-year high</video:title><video:description><![CDATA[Aluminum prices in China surged to a near six-year high last week amid production cuts at smelters. With further cuts expected from mid-November, how will prices be affected? How will sugar prices move after the cash premium for Thai refined sugar hit an almost five-year high last week? And what will come out of the OPEC/non-OPEC technical meeting? Associate editor Charlotte Rao explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights in Asia’s commodity markets: Aluminum prices at close to 6-year highs, sugar prices at close to 5-year highs, and Capesize freight rates their highest levels so far this year. But first, in oil, OPEC and non-OPEC countries are expected to meet for yet another joint technical committee meeting later Monday. While they are meeting to decide whether to deepen production cuts to speed up market rebalancing, OPEC’s options seem limited. However, Saudi Arabia's Oil Minister Khalid al-Falih recently said the possibility of continued production cuts was still on the table. In China, aluminum prices surged to a near 6-year high last week amid production cuts at smelters. Further cuts are expected from mid-November, so prices are poised to rise further. Here is what we want you to tell us via Twitter using #PlattsMM: How high do you think aluminum prices will go this week? Similarly, in agriculture, market participants this week will be watching to see how much higher the cash premium for Thai refined sugar will rise after it hit an almost five-year high last week. Supply tightness has intensified towards the end of the crop year, while China's demand for sugar continues unabated. Asia's thermal coal market is likely to see supply limited this week by floods in eastern Russia and ongoing strikes at Australian mines. Prices for 6,000 NAR coal have already passed $100 a tonne FOB, and could well rise further. In LNG, the first train of the Wheatstone LNG terminal in Western Australia is expected to start production soon. The project has two LNG trains with a combined capacity of 8.9 million mt/year. In petchems, Thailand's Bangkok Polyethylene has postponed a maintenance shutdown it had planned for mid-August at its No. 1 high density polyethylene line at Map Ta Phut. The decision is in line with the postponement of a turnaround at its upstream olefins unit to the fourth quarter of 2018. In shipping, Panamax rates in the Asia Pacific are expected to remain supported this week as healthy Atlantic grain demand absorbs ships from the Pacific. Capesize freight rates hit a year-to-date high late last week on all key iron ore routes to China from Australia, Brazil and South Africa. They are expected to remain supported this week by robust tonnage demand, a seasonal pickup and a firming freight derivative market. Market participants believe the paper market is now playing catch-up with physical rates, resulting in both markets spurring each other on. Will paper markets continue to influence physical rates this week? What do you think? Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-08-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/082117-market-movers-europe-aug-21-25-opec-weighs-up-its-options</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=j91RtGJ99mbKYCBGu5GLe1</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Aug 21-25: OPEC weighs up its options</video:title><video:description><![CDATA[OPEC and non-OPEC oil officials meet in Vienna on August 21 to assess the impact of last year’s deal to cut 1.8 million b/d of crude production. The meeting is a technical one and intended to make recommendations rather than take decisions on whether extra measures are needed. Elsewhere, the new sugar season will be decision time for EU sugar producers on whether to make sugar or ethanol. EU sugar production is expected to rise 17% on the year to almost 20 million metric tons. Energy traders in Europe will be closely watching any news on checks on components of French nuclear power stations made at Areva’s Le Creusot Forge. Finally, a lack of components is also affecting the steel industry. China's drive to cut pollution has cut the availability of various key metals and minerals for the steel sector. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week's highlights, OPEC weighs up its options; traders await news of the EU harvest; and there are worries about another winter of nuclear discontent in France. OPEC and non-OPEC oil officials meet in Vienna on Monday to assess the impact of last year's deal to cut 1.8 million barrels per day of crude production. The meeting is a technical one and intended to make recommendations rather than take decisions on whether extra measures are needed. Oil ministers will not attend. Supporters of the deal point to falling oil stocks. But skeptics point to steadily rising OPEC production on a lack of compliance by some members, as well as relatively low prices. That's our question for social media this week: Are further OPEC production cuts likely before the end of 2017? Tweet us your thoughts with the hashtag #PlattsMM. Elsewhere, the new sugar season will be decision time for EU producers on whether to make sugar or ethanol. EU sugar production is expected to rise 17% on the year to almost 20 million metric tons. This is because export quotas will end at the start of the season on October 1. This is having a bearish impact on the ethanol industry as traders expect some sugar beet-based ethanol capacity to restart operations. Moving from sugar to atoms; energy traders in Europe will be closely watching any news on checks on components of French nuclear power stations made at Areva's Le Creusot Forge. As you can see from the chart, markets reacted nervously last week to the potential for cuts to nuclear availability this winter. Some 400 irregularities in fabrication files for both nuclear and non-nuclear components were discovered in 2016 during an audit of the forge. Around half of these involved nuclear components. This resulted in EDF reducing its annual nuclear production target for 2017. The review comes against the backdrop of rising coal and carbon prices. Potentially, prices could be driven even higher by another winter of nuclear discontent. A lack of components is also affecting the steel industry. China's drive to cut pollution has cut the availability of various key metals and minerals for the steel sector. Mills around the world are facing a quadrupling in the price of graphite electrodes, a critical part of steel production. Chinese exports have halved to around 100,000 metric tons last year. Steel production has been hit in Europe and elsewhere, with some mills having brief outages. Now attention turns to refractories, used in heat insulation in furnaces. Production of key raw materials has been severely reduced in China. This means mills may struggle to ramp up production in the next few weeks despite high margins. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-08-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081717-us-power-companies-have-a-history-of-walking-away-from-nuclear-projects</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Fna1UhvqRhdA4MLmqbbxSa</video:player_loc><video:thumbnail_loc /><video:title>US power companies have a history of walking away from nuclear projects</video:title><video:description><![CDATA[After spending close to $10 billion, two South Carolina power companies recently walked away from a half-finished nuclear power plant they were building, and a decision is expected by the end of August about a Georgia project. William Freebairn explains how the story of the Summer project in South Carolina demonstrates the capital-intensive nature of nuclear energy and the substantial risks of cutting-edge nuclear plant design. Will the Vogtle project in Georgia join the ranks of abandoned projects in the US? View Full Transcript Video Transcript US power companies have a history of walking away from nuclear projects By William Freebairn, senior managing editor, Platts Nuclear Publications Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. Two South Carolina power companies decided July 31 to walk away from a half-finished nuclear power plant they were building, after spending close to $10 billion. How could that happen and what does is say about nuclear power in the US? It’s a remarkable story, really, about how expensive and capital-intensive nuclear energy has become, but also about the substantial risks of first-of-a-kind plant design. This project, the Summer nuclear plant expansion in South Carolina, was one of two in which next-generation nuclear reactors were being built in states where regulators allow utilities to recover some early plant costs from ratepayers during construction. This treatment was touted as the only way that nuclear plants could be built given their costs. The Summer station expansion were cancelled mostly because reactor designer Westinghouse, the contractor that had agreed to build the units, provided the utilities a nearly fixed-cost contract for the reactors. Westinghouse, reactor designer of Summer station expansion, entered bankruptcy in March But then licensing obstacles, problems in manufacturing components and quality control issues developed during construction, creating lengthy delays and cost overruns that pushed Westinghouse into bankruptcy in March. That left the power companies that owned the Summer expansion, as well as a group of companies that owned the similar Vogtle plant expansion in Georgia, to decide whether to take on the risks of completing the reactors themselves. Santee Cooper and South Carolina Electric and Gas abandoned Summer expansion on July 31 Santee Cooper, a non-profit power company in South Carolina, decided it could not ask customers to keep paying for the project and on July 31 pulled the plug on the Summer expansion. Partner South Carolina Electric and Gas went along with that decision. Owners of Vogtle project in Georgia expected to announce project decision by end of August The owners of the Vogtle project in Georgia are expected to announce their decision by the end of August. It’s certainly not the first time a partly – or even mostly – built nuclear plant was abandoned. In the 1970s, the Tennessee Valley Authority walked away from 11 nuclear reactors for which it had started construction; in fairness, it went back and finished one recently. Dozens of plants were canceled as costs rose and financial problems mounted, forcing one company, the Washington Public Power Supply System to default on more than $2 billion in bonds and giving the company a new nickname: “whoops”! The factors that forced all those nuclear plant cancellations in the 1980s may sound familiar to those building today’s plants. The Three Mile Island nuclear accident in 1979 created pressure for increased safety standards in the middle of construction for those plants, and Fukushima in 2011 did the same for today’s projects.. Starting construction before engineering is complete and underestimating work can be blows to projects Additionally, construction got started before engineering was completed. As with many large infrastructure projects, there was a tendency to underestimate the amount of work required to complete the installation of miles of pipes, cables and concrete. Whoops indeed. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-08-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081517-lng-jkm-swap-trades-reach-fresh-record</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5M1fvc4dj4ZxmHJpVqusS5</video:player_loc><video:thumbnail_loc /><video:title>LNG: JKM swap trades reach fresh record</video:title><video:description><![CDATA[Trade in JKM™ swaps has continued its strong levels of growth in 2017. Recent figures from the Intercontinental Exchange show that it only took five months this year to surpass the volume of swaps in the whole of 2016. In this video, S&P Global Platts pricing analyst Max Gostelow examine swaps volumes against JKM™ prices and shares his insights on the changes in trading behavior as the derivatives market becomes more active. View Full Transcript Video Transcript Welcome to the Snapshot, our series that examines the forces shaping and driving global commodity markets today. In this episode, we’ll look at the record levels of growth in the JKM swaps LNG derivatives market this year. Participation in the JKM swaps market has also grown significantly over the past few years, with the market now comprising between 20 and 30 counter-parties. Trade in JKM swaps has continued its strong levels of growth in 2017, after more quadrupling in 2016. The volumes we are talking about today are only those cleared through ICE. They exclude volumes traded bilaterally or cleared on other exchanges. Recent ICE data already shows that it only took five months this year to surpass the whole of 2016 period. Up until the end of July, 20,900 lots have been cleared through ICE, with a record 4,891 lots cleared in July. That’s over 4 million mt of LNG, or around 70 cargoes that have transacted in the first 7 months of 2017. Most of the record volumes over the last few months have occurred at a time when JKM levels have been largely rangebound between $5/MMBtu and $6/MMBtu. As we start to enter the winter delivery period, interest in swaps have unsurprisingly picked up even more. This is affirmative nod for a market looking for increased commoditization. Traders and end-users show increasing interest to manage their risks by hedging some of their long-term physical JKM exposure through the derivative. Over the first 11 days of August, a further 2,980 lots have cleared. This puts August on pace to eclipse July volumes and potentially become another record setting month. Perhaps more encouraging for the swaps market development is the breakdown of the swaps volumes. In the past, sources anticipated that as the swaps market grew in liquidity and became an active market, then the monthly swaps and the early quarters volumes will become more active. And that’s been a reality, with the bulk of liquidity in 2016, and so far in 2017, being traded on a monthly or quarterly basis. At the same time, we are also seeing more interest in traders taking specific monthly positions for the winter period. In July, we saw less traditional clips being offered such as a November and December tranche as opposed to the whole fourth quarter. This is hailed as a sign that liquidity had grown enough for people to start tailoring for their specific positions. As we go further down the curve, to half-years, seasonal swaps, and full year calendar swaps, some market players are expecting that the JKM will closely track TTF or NBP, in addition to being influenced by pure LNG supply and demand fundamentals in Asia. Traders are also taking proprietary positions on the winter NBP-JKM spread, specially after this spread dramatically rose to over $3.50/MMBtu in January. So, until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-08-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/081417-market-movers-asia-aug-14-18-asian-crude-buyers-digest-iea-oversupply-worries</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bK2eqBmv4vypmAKMz2pCNu</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Aug 14-18: Asian crude buyers digest IEA oversupply worries</video:title><video:description><![CDATA[In its latest report, the International Energy Agency said that global market oversupply remained a cause for worry. Crude buyers in Asia will be looking at how the market reacts to these comments as they set their buying strategy for the coming months. Meanwhile, extensive flooding in Russia is affecting coal supply to Asia. And Taiwan's increasing demand for refined sugar has boosted Thai white sugar cash premiums . Associate editor Kevin Seo explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights in Asia’s commodity markets, floods in Russia impact coal supply, China to release a slew of data, and Thai sugar premiums surge. The International Energy Agency said Friday that OPEC crude output rose 230,000 b/d in July to a year-to-date high, led by a dramatic recovery in Libya, which is exempt from OPEC-led production cuts. It pointed to encouraging signs in global demand and OECD stock levels, but cautioned that sustained rebalancing in the market is only likely if all producers comply with output cut agreements. The IEA also said global market oversupply was still a worrying feature. Crude buyers in Asia will be looking at how the market reacts to these comments as they set their buying strategy. China is due to release its closely-watched crude oil production and throughput data for July Monday, which is not expected to show a sharp jump from June. India is also due to release its oil products demand data for July this week, and the market will be watching to see if its recent positive momentum was sustained in July. Moving on to thermal coal, stockpiles at Pacific Ocean ports in Russia’s Far East are running low after extensive flooding at rail links in the region. This has also impacted met coal, PCI prices rising due to the supply disruptions caused by the heavy rain. Russia is a key supplier of PCI to Asia. In China, aluminum prices jumped to a near 5-year high last week on continuing talk of smelter cuts. Two domestic industry meetings were held to discuss the matter last week, and the market is hoping clearer direction will emerge this week. China is also due to release steel data for July Monday that is expected to show steel output remaining at a record high. Steel margins have soared since the elimination of 120 million mt/year of induction furnace capacity by June. In agriculture, increasing demand for refined sugar from Taiwan boosted Thai white sugar cash premiums. However most of these cargoes are later shipped to China. The market is watching to see whether this trading route is sustainable. Summer restocking in the Asian LNG market was expected to continue this week, and could potentially push spot prices higher. High temperatures have sparked buying interest from end-users in Taiwan, China, South Korea and Japan. In shipping, Capesize freight rates have spiked on the back of strong iron ore prices, which have prompted tonnage demand. Market fundamentals remain strong and freight rates are expected to increase further this week. Where do you see freight rates heading? Send us your views on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-08-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/081417-market-movers-europe-aug-14-18-chinese-galvanized-steel-hit-by-anti-dumping-duty</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MLnrcxFQh6VQHE2RKwHGit</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Aug 14-18: Chinese galvanized steel hit by anti-dumping duty</video:title><video:description><![CDATA[In the European steel market, participants will be digesting the European Commission’s move to impose provisional anti-dumping duties on China over imports of corrosion-resistant coated steel. China is Europe’s largest steel supplier. Meanwhile, in petrochemicals , concerns persist about supply disruptions. Last week, prices of PET, the component used to make items such as plastic drinks bottles, surged by 10%. In European distillates , traders are seeing little incentive in buying to store as the market structure swings between contango and backwardation. Finally, in the natural gas market, Dutch grid operator Gasunie is set to decide this month on whether to expand the TTF market area in the Netherlands to include the BBL pipeline to the UK. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights: steel markets weigh the impact of anti-dumping measures; concerns persist over petchems supplies; and market participants eye backwardation in European distillates. In the European steel market, participants will be digesting the European Commission’s move to impose provisional anti-dumping duties on China over imports of corrosion-resistant coated steel. China is Europe’s largest steel supplier. The duties of 17.2 to 28.5% apply to a number of companies, including those in the table here. The long-anticipated measures have seen traders buying steel in advance, resulting in a near 50% year-on-year increase in European imports from China over the first half of 2017. Traders have been searching for new providers to fill the void, but few expect volumes to be fully replaced. Our social media question this week is: ‘Will alternative steel suppliers be able to plug the gap left by Chinese firms?’ Tweet us your thoughts using the hashtag #PlattsMM. In petrochemicals, concerns persist about supply disruptions. Last week, prices of PET, the component used to make items such as plastic drinks bottles, surged by 10%. The supply concerns, unusual for the time of year, follow a force majeure at Lotte Chemicals' plant at Wilton, northeast England, and reports of supply issues elsewhere. European distillates traders are seeing little incentive in buying to store as the market structure swings between contango – whereby prices are higher further out -- and backwardation – which sees the reverse. Stocks of diesel, jet fuel and gasoil in the Amsterdam-Rotterdam-Antwerp and Ghent hubs fell 6.6% last week as the backwardated market encouraged traders to sell out of tank. But with summer demand slowing, many expect the structure to move closer to contango. Uncertainty persists however, with a steep backwardation on the Low Sulfur Gasoil Futures contracts from October to December leaving many traders wondering whether the market will be living hand to mouth for some time yet amid the threat of being left with surplus product in a market where storing doesn’t pay. Finally, in the gas market, Dutch grid operator Gasunie is set to decide this month on whether to expand the TTF market area in the Netherlands to include the BBL pipeline to the UK. The move would create a single market link between Europe's two main gas hubs, TTF and NBP. It would also make the BBL pipeline more economic. Under the proposals, the Julianadorp point at the entrance to the BBL would be removed. This means shippers would no longer have to book capacity at that point, resulting in an overall reduction of around 21% in shipping costs from TTF to NBP over the expensive winter months and a saving of around 5% in the summer. That’s all from Platts Market Movers this week. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-08-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081017-brent-crude-oil-volatility-august-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2wie971spfvceyQmC3qWkE</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: August outlook</video:title><video:description><![CDATA[Analyst Vito Turitto sees August likely being a sideways month with crude oil prices tending to oscillate within a trading channel that probably will be a lot more downside biased than upside. In fact, it is unlikely that Dated Brent prices will move higher than $54.50 and it is improbable that they will fall below $50/b. View Full Transcript Video Transcript The month of July opened with Faroe Petroleum announcing that tests on its Brasse oil discovery in the North Sea have produced a flow rate of 6 thousand 2 hundreds b/d of light grade crude. Furthermore, Statoil announced another Barents Sea discovery showing that the oil potential in the Norwegian side of the North Sea and in the less explored Barents Sea is far from over and could dramatically increase Oseberg crude volumes beyond expectations. In the first half of July, many Dated Brent cargoes were in the hands of bullish players, in fact, despite the amount of floating storage was around 7.55 million barrels on July 4 and the far from aggressive Far East demand, the CFDs forward curve remained in backwardation for almost 2 weeks. Needless to say that the amount of floating crude acted as a cap on prices and around July 13 the backwardation in the CFDs forward curve started to fade away as a consequence of the fact that, the already not so strong, Far East buying pressure began to weaken whilst the convergence of many VLCCs at the ship-to-ship transfer area in Southwold certainly did not help boosting market sentiment. Market conditions deteriorated even more around mid-month when the amount of BFOE barrels stored in floating tankers reached 14 million. However, the contango in Brent rolls started to become a problem because the CFDs structure was not enough to pay for floating costs. Nevertheless, despite the uneconomical conditions in the forward curve, the barrels on floating tankers kept going up and reached around 10 million on July 24. Things changed around the end of the month when the front end of the CFD forward curve moved into backwardation thanks to the Saudi announcement that it would limit its exports to 6.6 million b/d in the month of August. Internationally, the focus of the majority of market participants was still on Nigeria and Libya because their productions went up again, in fact, in July, they extracted 1.78 million and 810 thousand b/d whilst comforting news came from the United States. Specifically, the US Energy Information Administration reported that US crude oil inventories dropped by 6.3 million barrels on July 8, by 4.7 million barrels on July 12 and by 7.2 million barrels on July 21 dragging the American crude oil stocks below the 500 million barrels threshold. OPEC MEMBERS' COMPLIANCE TO PRODUCTION CUTS FALLS TO 78% Nevertheless, market participants remained cautious because of 3 factors: the International Energy Agency, in its monthly report, stated that compliance to the production cuts among OPEC members had dropped to 78% whilst the Energy Information Administration stated that the US oil production had risen to 9.3 million b/d and that the number of drilled but uncompleted wells, in June, grew to a record 6 thousand and 31 with crude oil production coming from unconventional plays forecast to rise to 5.5 million b/d only in the month August. The Volatility Premium analysis shows that the premium has always been positive throughout the whole month indicating that the implied volatility has consistently been higher than the realized one. The option market, being predominantly used for hedging purposes, has likely experienced an increase in volatility because the skepticism, which still runs high among market participants, led many of them to hedge more as Brent prices continued to soar pushed by speculation rather than by a real change in fundamentals. BRENT MARKET LIKELY TO OSCILLATE WITHIN A TRADING CHANNEL Nonetheless, the fact that the volatility premium is getting back to normal implies that the market is likely to move sideways, everything else being equal. The Probability Distribution analysis confirms that the fluctuation rate will likely not stay around 28% and that it will tend to go up and move towards the 30-35% range, which is Brent’s volatility equilibrium point, where it has a more than 23% chance to remain. VOLATILITY LIKELY TO INCREASE IN THE SHORT TERM Finally, the Volatility Cones analysis shows that an increase in volatility should be expected in the short term and that could likely imply a drop in prices but the market should stabilize in the short-to-mid-term. Overall, the month of August will likely be a sideways month and prices will tend to oscillate within a trading channel that probably will be a lot more downside biased than upside. In fact, it is unlikely that Brent prices will move higher than $54.50 and it is improbable that they will fall below $50/b.]]></video:description><video:publication_date>2017-08-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081017-what-next-for-biofuels-as-the-uk-mulls-move-to-battery-power</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5CdsQvGU8rK5k54JWsyKSx</video:player_loc><video:thumbnail_loc /><video:title>What next for biofuels, as the UK mulls move to battery-power?</video:title><video:description><![CDATA[It is no coincidence that, as the UK gears up for Brexit negotiations, the issue of emissions is climbing back up the political agenda. But it isn’t all hot air, the country’s focus on cutting emissions by 80% by 2050 has seen it indulging in ambitious thinking –- not least in following France towards a future without the internal combustion engine. But where, in that environment, does ethanol and biodiesel fit? S&P Global Platts editorial director of agriculture pricing Tim Worledge reports. View Full Transcript Video Transcript Welcome to The Snapshot – our series examining the most significant news and market movements throughout the commodities world. As the post-Brexit-referendum haze continues to settle over Europe, the UK is striding the international scene with all the confidence and grace of a rabbit trying to cross a fast-moving freeway. Whatever internal wranglings are occupying the country's ministers, there are those who still stress the scope for opportunity that the change brings, and one of those places is in the world of emissions. Over the last few weeks, it has become apparent that the UK is starting to perhaps worry about the crucial targets around cutting emissions and whether it is able to hit those targets. A raft of headlines has hit the country's media calling for the tearing up of all speed bumps across the nation in order to meet emissions targets. The logic is that cars slow down for each speed bump, but then accelerate as soon as they're clear thus boosting emissions. A similar concern was highlighted by industry consultancy Eunomia when it highlighted a boom in incinerators would like harm efforts to recycle and further add to the emissions headache. But perhaps the greatest sign came at the end of July, when the UK announced it was following France in banning sales of new petrol or diesel-powered cars. In so doing, they signaled the end of over a century of the internal combustion engine. Leaving aside the question of whether it's feasible to achieve in that time frame - Europe's dieselization took the best part of four decades to attain a critical mass - this is an ambitious effort at blue sky, green tinged thinking. That thinking chimes with the UK government's stated intent to establish the country as a center of excellence for all vehicular-things battery-powered. But where does it leave the biofuels sector? According to data from the UK government, the industry has attained some very impressive credentials already, contributing 3% of the UK's road fuel mix and using 1.2 billion liters of renewable fuels - some 28% home grown, but with the rest drawn from an international array of partners including France, the USA, the Netherlands and Germany. Brexit will be watched closely as that process unfurls, but what scope does the industry have in the post 2040-battery-and-hybrid-powered world? Currently, there are some 37 million cars on the UK's roads and battery or hybrid vehicles occupy a small percentage. Although there trend towards battery is accelerating, and the performance of those vehicles is increasing, it is still early days. Average car lives can be around 15 years, so there is still ample scope for liquid fuels and the Department for Transport maintains that - even if all new cars would be electric by 2020 - liquid fuel demand would persist for decades. There's no doubt the energy mix is changing and will continue to change, but the UK government has stressed that it retains expectations of liquid fuel demand well past 2040 and that biofuels are likely to remain a key part of that equation, particularly as the government champions the country's unwavering commitment to cutting emissions.]]></video:description><video:publication_date>2017-08-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/080717-market-movers-asia-aug-7-11-opecnon-opec-coalition-mulls-ways-to-shore-up-quota-compliance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=GzYvbiE9w3rwgzF4CygiBq</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Asia, Aug 7-11: OPEC/non-OPEC coalition mulls ways to shore up quota compliance</video:title><video:description><![CDATA[Faltering compliance with crude oil output cuts has prompted the OPEC/non-OPEC coalition to convene a meeting of technical experts for later Monday. Discussions are expected to focus on how to firm up member commitments to uphold their production quotas. Meanwhile, Asian LNG buyers are starting to enter the market to secure pre-winter supplies. And the thermal coal spot market is looking tight. Associate editor Eesha Muneeb explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s highlights in Asia’s commodity markets: China's data for July expected to show a fall in crude imports, LNG buyers start pre-winter stockpiling, and the coal market reacts to improving weather in Indonesia. But first, in oil, faltering compliance with crude output cuts has prompted the OPEC/non-OPEC coalition to convene a meeting of technical experts for later Monday. They will discuss ways to firm up member commitments to uphold their production quotas. The meeting follows pledges by the coalition's monitoring committee to demand better compliance from flagging members – in particular Iraq -- and a warning from OPEC's de facto leader Saudi Arabia that it will not tolerate any country getting a free ride. So here’s what we want you to tell us via Twitter with #PlattsMM: How can OPEC ensure compliance with its quotas? Elsewhere, China is due to release its closely-watched preliminary crude import/export data for July on Tuesday. Here's the total imports over the past 12 months. Platts’ trade flow software Cflow shows the country’s seaborne crude imports fell almost 18 percent on month in July. If tomorrow's data shows its total crude imports fell below 8 million barrels a day in the month, that would be for the first time since last November. In LNG, buyers are starting to enter the market to secure pre-winter supplies. There are spot sell tenders available this week from projects in Russia, Africa and Southeast Asia. In thermal coal, Indonesian producers are sticking to their offers despite a drop in bids as the weather improves after recent heavy rain. The spot market is also looking tight. Some shipments from June and July have been pushed to August. In shipping, stronger iron ore prices in the region have caused Capesize freight rates to rally Vessel owners will probably expect the uptick in sentiment to continue this week. Similarly, the trend for Panamax freight rates in the Asia Pacific is also expected to stay firm due to constrained supply. In petrochemicals, Thailand's Bangkok Polyethylene plans to shut its No. 1 high-density polyethylene line at Rayong in mid-August for around 15 days of maintenance. The number 2 line at the same plant was last shut in May for two weeks. In agriculture, our Platts CFR Ulsan grade B ethanol price has surged to an 11-week high at 560 dollars per cubic meters. This is because sellers of Brazilian cargoes are maintaining high offers amid market uncertainty and a surge in the Brazilian real. Will other countries such as Pakistan be able to provide an alternative? What do you think? Remember to join our conversations on Twitter with #PlattsMM. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-08-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-europe/080717-market-movers-europe-aug-7-11-market-awaits-trumps-next-move-on-russian-gas-export-projects</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=JeyRV9v5yE7je99Mrn9VC6</video:player_loc><video:thumbnail_loc /><video:title>Market Movers - Europe, Aug 7-11: Market awaits Trump's next move on Russian gas export projects</video:title><video:description><![CDATA[The European natural gas market will be looking for clarity this week on how US President Donald Trump will use new powers to impose sanctions on companies involved in Russian export pipelines. What will the impact of the potential sanctions be? In oil, OPEC compliance is expected to come under the spotlight; while in power, market concerns may ease after a blistering heatwave triggered a spike in prices. S&P Global Platts senior editor Peter Brennan takes a look at the week ahead. Join our conversations on Twitter - use #PlattsMM and connect with us. View Full Transcript Video Transcript In this week’s Platts Market Movers Europe: Big questions over the impact of potential US sanctions on Russian gas pipelines; OPEC compliance comes under the spotlight; and concerns ease after a blistering heatwave triggered a spike in power prices. In gas, the market will be looking for clarity on how US President Donald Trump will use new powers to slap sanctions on companies involved in Russian export pipelines. The risk of sanctions could be serious for projects like Russia’s Nord Stream 2 pipeline to Germany — leading to extra costs, delays, or even halting the project. It all depends on whether they are applied and if companies react. Our social media question today is ‘what will the impact be of the potential sanctions on Nord Stream 2?’ Please get back to us with your thoughts by tweeting with the hashtag #PlattsMM. Varying compliance with oil output cuts, highlighted in the recent S&P Global Platts OPEC survey, has moved the OPEC/non-OPEC producer coalition to call a meeting of technical experts on August 7-8. The meeting in Abu Dhabi will discuss how to shore up members’ commitments to their quotas. In power, demand for gas is set to fall this week. Last week’s heatwave in which spot power prices spiked in Italy and Eastern Europe, is forecast to wane. Further north, more reactor availability in Germany and France, and at times strong wind and solar, has reopened the prospect of falling prices after German power turned negative for some hours the Sunday before last. Europe’s petrochemical industry will continue to assess the impact of the fire at Pernis, a key petchems hub in the Netherlands. The fire eight days ago at Shell’s Pernis refinery -- the largest in Europe -- led to a flurry of force majeures on petchems products -- as well as having a significant impact on a range of oil products. The fire also compromised production at Ellba's POSM unit in Moerdijk. Indian steel mills are expected to return to the European hot rolled coil market this week with higher offers, further supporting domestic prices. Sentiment is defying the traditional summer slowdown as the change in Asian prices coincides with proposed anti-dumping duties and an upturn in demand. India is the second-biggest source of HRC imports into Europe, and western European mills are widely expected to respond with further offer increases for Q4. The impact of rising Libyan oil exports on the Aframax tanker market will be closely watched over the coming week. Libya is exempt from current OPEC cuts and production is currently above 1 million b/d. There has been a rise in spot cargoes, with stems being exported from Zuetina, Farwah, Ras Lanuf and Mars el Hamra on a regular basis once more. Shipowners had hoped the return of Libyan exports would give the market a much needed boost -- but so far rates have remained subdued. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-08-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080317-us-coal-prices-could-rally-later-this-year-if-stockpiles-continue-declining</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-08-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Fu6Tevfgxwaom9fLhoUmJW</video:player_loc><video:thumbnail_loc /><video:title>US coal prices could rally later this year if stockpiles continue declining</video:title><video:description><![CDATA[Coal stockpiles at US utilities continue to trend lower, but it could bode well for coal prices moving into the fall, especially when considered alongside higher natural gas prices and lower coal production. Andrew Moore considers stockpile and production statistics, particularly for subbituminous coal. However, it's a fine balance: if coal prices climb too much, natural gas could stage a comeback. View Full Transcript Video Transcript US coal prices could rally later this year if stockpiles continue declining By Andrew Moore, managing editor, Platts Coal Trader Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. Coal stockpiles at US utilities continue to trend lower, but that could bode well for coal prices moving into the fall when considered alongside higher natural gas prices and a decrease in coal production. US utility coal inventories at 164.9 million st at end of May, down 14.7% from last year: US EIA The US Energy Information Administration released its latest stockpile figures last week, which showed utility inventories stood at 164.9 million st at the end of May, down 14.7% from last year and down 6.7% from the five-year average for the month. Platts Analytics estimates that coal stockpiles through July have continued to trend lower, ending the month at roughly 131 million st, testing the lows last seen in the fall of 2014. Let’s take a closer look at stockpiles of subbituminous coal, which is lower-heat coal from Wyoming’s Powder River Basin. It makes up roughly half of the US thermal coal market and stood at 90 million st at the end of May, down 14.7% from last year and down 1.4% from the five-year average for the month. While 1.4% doesn’t sound like much, it’s the first time they’ve dropped below the five-year average since February 2015. Lower stockpiles often signal higher prices. In the last five years, the over the counter price for PRB 8,800 Btu coal peaked at $13.50/st in late April 2014, in the aftermath of a cold winter highlighted by the polar vortex event. At that point, subbituminous stockpiles were off more than 32% from the five-year average. PRB 8,800 Btu coal assessed at $11/st by end of May and at $11.90/st on July 31 This year at the end of May, PRB 8800 coal was assessed at $11/st, but has largely risen in the ensuing weeks, and was assessed at $11.90/st on July 31st. The drop in stockpiles isn’t being met with production increases, however, as utilities are heard to be delaying procurement until they have a better picture of natural gas prices heading into the fall. In the second quarter, US coal production dipped 3.5% compared to Q1. Historically second quarter coal production lags Q1 due to utilities taking coal units offline for maintenance in advance of summer demand. But for this July, coal production estimates remain weak, totaling roughly 60 million st, which would be the lowest total of the year. 2017 coal production projected to surpass 2016 totals to meet higher demand in light of higher gas prices Coal production is projected to surpass last year’s total, as coal demand is up due to higher natural gas prices. Those higher natural gas prices have been supported by a decrease in production, particularly in Texas and along the Gulf Coast, as well as a decline in storage injections. But natural gas futures prices continue to show a bearish trend, which could be one reason utilities aren’t in a coal buying mood. Should stockpiles continue to decline, and gas prices stay above $3/MMBtu, a coal price rally is likely heading into the fall. But if they climb too much, natural gas could find itself the favored fuel. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-08-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/073117-market-movers-jul-31-aug-4-oil-market-looks-for-signs-of-possible-supply-tightening</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hLanaGyrPzUaBFxmvAetMr</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 31-Aug 4: Oil market looks for signs of possible supply tightening</video:title><video:description><![CDATA[Will export cuts announced by major OPEC producers lead to hikes in their official selling prices? How are scorching temperatures in North Asia affecting LNG prices? And what's driving the clean tanker market? Editor Sue Koh explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian Commodity Markets. This week, major crude producers set to announce prices for September, LNG price rises amid hot weather in North Asia, and coal prices climb amid a strike in Australia. First to oil, the market will be looking for clues of a possible tightening in supply. Major producers will announce their official selling prices this week. Saudi Arabia, Kuwait and Qatar are expected to release their prices for September-loading crude cargoes, and Abu Dhabi, Malaysia, Indonesia and Brunei theirs for July. Market expectations for Saudi Aramco’s differentials were mixed, with some tipping a small cut for cargoes heading to Asia, and others a small increase. However, questions remain over whether the export cuts announced by the major OPEC producers will lead to hikes in their upcoming OSPs. The Asian LNG market is keeping a close watch this week on the unexpectedly strong summer demand from North Asian end-users, such as Japan’s Tohoku Electric and China’s Huadian, which is due to scorching temperatures. The JKM benchmark rose over 3% last week, and firm UK and crude oil prices, together with end-user demand for September cargoes could lift spot prices further this week. In thermal coal, strikes at Glencore’s Australian mines are moving into their third month, with almost 2,000 hours of industrial action clocked up to date. Exporters have raised their spot offers for August and early September loading shipments by around five dollars in recent weeks as a result. In the clean tanker market, demand is seen firming this week as more naphtha loadings are requested at Middle East ports for deliveries to North Asia. This follows the Long Range two chartering rate on the benchmark Persian Gulf to Japan route rising close to 25 worldscale points in the past two weeks. From the Middle East towards Europe, inquiries for moving gasoil and jet fuel have also supported the rates. Such uptrend is presumed to continue this week, with ample fresh long-haul activity. In petrochemicals, China's Yussen Chemical is expected to start commercial production at its new Huizhou MTBE plant in Guangdong province by August 20. Its output will be mainly marketed to the nearby Huizhou refinery for gasoline blending. In Agriculture, the grade B ethanol market will be watching for movement in Brazilian ethanol prices this week. Asian grade B prices have been increasing since the Brazilian government announced a tax increase affecting gasoline and ethanol on July 21. However, there is talk the government will reduce the tax on ethanol, creating uncertainty in the market. Most participants are expected to watch from the sidelines until more clarity emerges. So, our big question this week is, will the Brazilian government throw the market a lifeline by reducing taxes on ethanol? Tweet us your views with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-07-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072717-eu-carbon-prices-rally-to-four-month-high</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BRWvhmpxMN6nzEvp2wbyWM</video:player_loc><video:thumbnail_loc /><video:title>EU carbon prices rally to four-month high</video:title><video:description><![CDATA[EU carbon dioxide allowance prices rose to a four-month high in July, taking support from rising power prices and ongoing negotiations to agree the rules after 2020. Little concrete progress was made at negotiations on July 10 and the market awaits the next session on September 13. Carbon prices continue to feel the effects of a huge surplus of allowances, including hefty supply from auctions in 2017 and 2018. But looming on the horizon, significant supply cuts are coming in January 2019 -– now less than 18 months away. S&P Global Platts senior writer for European carbon markets Frank Watson reports. View Full Transcript Video Transcript EU carbon prices rally to four-month high By Frank Watson, Senior Writer, European carbon markets Welcome to the Snapshot – our series which examines the forces shaping and driving global commodities markets today. Carbon allowance prices under the EU Emissions Trading System have been buoyant in recent weeks, rising to a four-month high of five euros forty-eight per ton at the close on July 12. German calendar 18 baseload power prices have also clocked up a six-month high and the profit margins for year-ahead baseload power in Germany have held up well in June and July at over six euros per megawatt-hour for 45% efficiency coal-fired plants. All these factors are supportive for carbon prices as they suggest utility hedging demand for carbon is relatively solid for the time being. Equally, fossil fuel-fired power generation in the top five European CO2-emitting countries increased in late June and July, which is also a supportive factor for carbon prices. However, behind these short-term price drivers, the regulatory background is also supportive over the long term. Talks between the EU Parliament and Council took place on July 10, with negotiators attempting to agree on the rules for carbon trading after 2020. Little tangible progress was made at these closed-door talks, and the next negotiations are expected to take place after the August summer break on September 13. At this stage, negotiators are trying to find agreement on key topics including the rules for a reserve facility to curb the supply of allowances starting January 2019; the annual reduction to the cap in 2021-2030; and on the free allocation of allowances for trade-exposed industrial sectors. Taken together, the rules for after 2020 will certainly tighten the market, even if new factors emerge that could reduce demand. That’s because from 2019, the Market Stability Reserve will cut supply by up to 24% each year if the cumulative surplus is above 833 million tons. In 2016, the surplus was twice that size – just under 1.7 billion tons -- suggesting the cuts will need to happen for several years to get the surplus down below the agreed level. The timeframe for the start of that process is now well within the two-year hedging horizon for utilities selling power on a year-ahead plus one basis – Calendar 2019. We may be facing a quiet summer with few headlines emerging on the legislative reforms. But September and October are shaping up to be quite significant for carbon prices, as the EU gets nearer to striking a deal. This is still a grossly oversupplied market. The big question is whether the ongoing strong supply of allowances in 2017 and 2018 continues to act as a dampener on prices, or whether prices begin to rise in anticipation of the Market Stability Reserve biting into supply in less than eighteen months’ time. Until next time on the Snapshot - we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-07-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072517-saudi-tries-to-strengthen-opecnon-opec-hand-with-oil-export-gambit</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qaz9vvm8AaP3wU5tCHpiAL</video:player_loc><video:thumbnail_loc /><video:title>Saudi tries to strengthen OPEC/non-OPEC hand with oil export gambit</video:title><video:description><![CDATA[Saudi Arabia's oil minister Khalid al-Falih did his best to restore the confidence of the oil market at the recent Joint OPEC-Non-OPEC Ministerial Monitoring Committee meeting in St. Petersburg, by promising that it will cut its exports to a six-year low next month. S&P Global Platts senior editor Eklavya Gupte reads into some of the key statements made at this meeting, including Falih's remarks that it will look to use export data as a key metric for compliance. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Saudi Arabia certainly did its best at the OPEC/ non-OPEC Joint Ministerial Committee meeting in St Petersburg on Monday to shore up confidence in the production cut deal. But it is walking a tightrope. Saudi Arabia reaffirmed that it will continue to shoulder the burden of the OPEC cuts and its oil minister Khalid al-Falih said it will hold exports at 6.6 million b/d in August, amounting to a 1 million b/d cut from peak 2016 levels. This export figure would amount to a six-year low, and was part of the coalition’s attempt to signal to the market that it will use export data as a metric for compliance with the agreement. At the same it acknowledged the pitfalls of accurately assessing such flows, especially given Russia’s concerns around the variability of its crude sales. The cagey topic of what will happen when the deal runs out in March 2018 was also heeded, with Falih noting that there would be a smooth exit from the cuts whilst suggesting an openness to prolonging the deal past that expiration date. Calls for Nigeria and Libya to cap their production had to be balanced with an appreciation of the hardships both militancy-afflicted countries have faced, he said. Calls to ensure full compliance with the production cut deal, which has seen Ecuador wobble and Iraq continually fail to meet its quota, were also addressed, with Russian energy minister Alexander Novak saying non-compliers would be pressured to fall in line and Falih saying once again that Saudi Arabia would not tolerate free riders. The strong words, however, will need to be backed up by clear action and verifiable evidence of that action for traders to set aside their skepticism. It also will be difficult to bring about a system that measures exports that everyone buys into. It will also be problematic to keep peddling the line that the production deal is working if the crude oil inventories don’t drop steadily especially in the current quarter where refinery runs are seasonally high. But there are some silver linings. Falih said there was room in the market to absorb 800,000 b/d to 1 million b/d of growth from the OPEC/non-OPEC bloc, banking on strong demand for the rest of the year. Libya and Nigeria still have a bit further to go until their production increases are capped. Nigeria has suffered another setback this week, with a majority of Bonny Light shut-in while Libya has edged above 1 million b/d towards its 1.25 million b/d target though technical issues persist. There certainly seems to be a determination by Russia and Saudi Arabia to galvanise OPEC and non-OPEC members to stick with the plan and see it through. But depending on what lens you view it through, current prices may not be the reward many were looking for and that may indeed lead to further action sooner rather than later.]]></video:description><video:publication_date>2017-07-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072517-is-indias-appetite-for-us-crude-oil-sustainable</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=KfCrmpWRsqchxujiMjPMGe</video:player_loc><video:thumbnail_loc /><video:title>Is India's appetite for US crude oil sustainable?</video:title><video:description><![CDATA[India, one of the fastest growing oil demand centers in Asia, has added the US to its long list of crude suppliers. Early this month, Indian Oil Corp sealed its first deal to import US crude . This was followed shortly by BPCL's purchase of Mars and Poseidon grades . Sambit Mohanty , S&P Global Platts senior editor for oil news and analysis, explains why India's diversification is crucial and what it could mean to Middle Eastern suppliers. Related videos : Taiwan set to import first cargo of US Gulf Coast Crude Changing trade flows and China's appetite for diversified crude oil View Full Transcript Video Transcript Is India's appetite for US crude oil sustainable? By Sambit Mohanty, Senior Editor, Oil News and Analysis Welcome to The Snapshot, our series examining forces shaping and driving global commodities markets today. India has added the US to its long list of crude suppliers. This has left the market wondering if it marks the start of a trend. In early July, Indian Oil Corp sealed its first deal to import US crude. The deal to buy 1.6 million barrels of Mars grade was not only IOC's first purchase from the US, but it was also the first ever purchase by any state-run refiner in the country. Bharat Petroleum Corp – another state refiner – followed suit, picking up 1 million barrels from the US. The deals came shortly after Prime Minister Narendra Modi's visit to the US, where both countries discussed ways to boost energy cooperation. Indian refiners are pushing hard to diversify crude purchases and it shows. To do that, refiners are even willing to take drastic changes to their shipping strategy. IOC buys most of its crude on an FOB basis. But for the US deal, it took special permission from the government to buy on a Delivered Ex-Ship basis. IOC says that as far as the cost economics of the US cargo is concerned, it is comparable to Basrah Light. Indian refiners have been spoilt for choice over the past few months. Unusual arbitrage opportunities have emerged because of output cuts by OPEC and non-OPEC producers. Not only the window to ship in US crude has opened up, even India's imports of Russian Urals have also risen, challenging some of the Middle Eastern sour barrels. India is clearly mounting pressure on some suppliers for preferential treatment on pricing. And New Delhi feels it has reasons to do so. The South Asian nation is turning out to be one of the fastest oil demand growth centers in Asia. According to Platts Analytics, India's oil demand growth rate is expected to outpace China's rate for the third year in a row. To meet that incremental demand, it feels that widening its crude buying basket is crucial. State refineries are even upgrading to increase their ability to process various crudes, and quickly switch between different grades. While initial US deals are expected to be finalized through tenders, the market feels that even term deals for US crude are also possible in the near future. Private refiners Reliance and Essar are also expected to jump into the bandwagon and look for US cargoes. As India joins other Asian refiners who have been sourcing US crude because of favorable economics, it will clearly add to the headache of some Middle Eastern suppliers. As long as OPEC cuts are in place and Dubai prices remain elevated, it won't be surprising to see a steady inflow of US crude cargoes into India. Until next time on The Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-07-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072417-market-movers-jul-24-28-opec-non-opec-oil-output-cut-agreement-under-review</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=47T7AFoJSivCJyajxGWorp</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 24-28: OPEC, non-OPEC oil output cut agreement under review</video:title><video:description><![CDATA[The monitoring committee overseeing the OPEC/non-OPEC crude production cut agreement is hosting a ministerial meeting on July 24. What will their recommendations be, considering factors such as Libya and Nigeria's output and Ecuador's withdrawal from the pact? Will the European Commission lower antidumping duties on Indonesian biodiesel arriving in Europe? And will capesize freight rates continue rising this week amid higher bunker prices and firmer iron ore markets? Editor Andrew Khaw explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian Commodity Markets. This week, the European Commission will decide whether to lower antidumping duties on biodiesel from Indonesia, the OPEC/non-OPEC crude production cut agreement is under review, and China is set to release crude import data for the first half of the year. But first, in shipping, Capesize freight rates rose last week, with the key Brazil to China iron ore route seeing higher tonnage demand. However, market sources are divided over whether prices will continue to rise this week-- amid higher bunker prices, firm iron ore markets and strong steel prices -- or if it will plateau or even fall off -- as heavy tonnage supply remains a unconcern. For VLCC, chartering for August stems has begun, but the lengthy tonnage list has already seen rates for the key Persian Gulf to Far East route fall below the Worldscale 50 mark, and this shaky sentiment is expected to continue for the week. Clean Long Range tankers are anticipated to see some support from charterers scrambling to cover requirements in anticipation of a further increase in rates. So, our big question this week is, will the dry bulk sector continue to see the rates push higher in the fourth quarter? Please send us your views on Twitter with #PlattsMarketMovers. Moving to agriculture, the European Commission is due to decide this Thursday whether to lower antidumping duties on biodiesel arriving in Europe from Indonesia and Argentina. Lowering the duty could restore the flow of Indonesian biodiesel into Europe, potentially muscling aside cargoes from Malaysia. Producers in Europe may also find it difficult to compete on pricing. And finally, in oil, the monitoring committee overseeing the OPEC/non-OPEC production cut agreement is hosting a ministerial meeting on Monday. The committee can recommend changes to the deal. With output from Libya and Nigeria recovering in recent months, and Ecuador withdrawing from the pact, there has been widespread speculation about what the committee might do. Saudi Arabia and Russia are said to be leaning towards maintaining the status quo, with their ministers saying it is too early to call for deeper cuts amidst peak summer demand season. On the demand side, major crude importer China is due to release supply data for the first half of the year this week. OPEC’s share of China's crude imports fell to 55 percent for the first five months, down from 57 percent a year ago. The half-year data is expected to show North America's share rising further, as China has become a major buyer of US crude in recent months, and even received its first cargo from the US Strategic Petroleum Reserve last week. Thanks for starting off your Monday with us. Don't forget to send us your views on Twitter with #PlattsMarketMovers and have a brilliant week ahead!]]></video:description><video:publication_date>2017-07-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/072417-market-movers-jul-24-28-opecnon-opec-oil-output-cut-agreement-under-review</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=N4btRHVni6pkQmw7GodiT7</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 24-28: OPEC/non-OPEC oil output cut agreement under review</video:title><video:description><![CDATA[The monitoring committee overseeing the OPEC/non-OPEC crude production cut agreement is hosting a ministerial meeting on July 24. What will their recommendations be, considering factors such as Libya and Nigeria's output and Ecuador's withdrawal from the pact? Will the European Commission lower antidumping duties on Indonesian biodiesel arriving in Europe? And will capesize freight rates continue rising this week amid higher bunker prices and firmer iron ore markets? Editor Andrew Khaw explores these and other topics that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian Commodity Markets. This week, the European Commission will decide whether to lower antidumping duties on biodiesel from Indonesia, the OPEC/non-OPEC crude production cut agreement is under review, and China is set to release crude import data for the first half of the year. But first, in shipping, Capesize freight rates rose last week, with the key Brazil to China iron ore route seeing higher tonnage demand. However, market sources are divided over whether prices will continue to rise this week-- amid higher bunker prices, firm iron ore markets and strong steel prices -- or if it will plateau or even fall off -- as heavy tonnage supply remains a unconcern. For VLCC, chartering for August stems has begun, but the lengthy tonnage list has already seen rates for the key Persian Gulf to Far East route fall below the Worldscale 50 mark, and this shaky sentiment is expected to continue for the week. Clean Long Range tankers are anticipated to see some support from charterers scrambling to cover requirements in anticipation of a further increase in rates. So, our big question this week is, will the dry bulk sector continue to see the rates push higher in the fourth quarter? Please send us your views on Twitter with #PlattsMarketMovers. Moving to agriculture, the European Commission is due to decide this Thursday whether to lower antidumping duties on biodiesel arriving in Europe from Indonesia and Argentina. Lowering the duty could restore the flow of Indonesian biodiesel into Europe, potentially muscling aside cargoes from Malaysia. Producers in Europe may also find it difficult to compete on pricing. And finally, in oil, the monitoring committee overseeing the OPEC/non-OPEC production cut agreement is hosting a ministerial meeting on Monday. The committee can recommend changes to the deal. With output from Libya and Nigeria recovering in recent months, and Ecuador withdrawing from the pact, there has been widespread speculation about what the committee might do. Saudi Arabia and Russia are said to be leaning towards maintaining the status quo, with their ministers saying it is too early to call for deeper cuts amidst peak summer demand season. On the demand side, major crude importer China is due to release supply data for the first half of the year this week. OPEC’s share of China's crude imports fell to 55 percent for the first five months, down from 57 percent a year ago. The half-year data is expected to show North America's share rising further, as China has become a major buyer of US crude in recent months, and even received its first cargo from the US Strategic Petroleum Reserve last week. Thanks for starting off your Monday with us. Don't forget to send us your views on Twitter with #PlattsMarketMovers and have a brilliant week ahead!]]></video:description><video:publication_date>2017-07-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072017-could-us-sour-crude-oil-be-exported-to-europe-at-the-expense-of-other-grades</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wsVbg8ok2a3YSnRPGYVzqu</video:player_loc><video:thumbnail_loc /><video:title>Could US sour crude oil be exported to Europe at the expense of other grades?</video:title><video:description><![CDATA[Calculations point toward a chance for US sour crude oil grades like Mars and Southern Green Canyon to find a market in Northwest Europe, where they could potentially displace OPEC or Russian barrels. James Bambino , who has been tracking crude and refined oil product flows, crunches the numbers and considers Europe's Urals market, freight rates, refinery runs along the US Gulf Coast, demand and capacity. How long could the opportunity last, and will the market take advantage of it? Related content: Analysis: Strong Urals could invite US sour competition as Saudi expense Find the analysis series 'In the LOOP,' focused on Americas crude oil, on The Barrel blog Why the crude rally has fizzled: Market analysis series View Full Transcript Video Transcript Could US sour crude oil be exported to Europe at the expense of other grades? By James Bambino, managing editor, Oilgram Price Report Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. US crude exports have been on a tear lately. In fact, my PIRA colleagues in a recent note tout the number could reach 2.25 million b/d by 2020. We’re not quite there yet, and it’s important to remember US exports are not just of the light sweet variety pouring out of the Permian. No, more and more medium sour grades like Mars and Southern Green Canyon are actually finding their way into the Asian market. US sour crude barrels expected in Europe soon, possibly displacing OPEC and Russian barrels And by my calculations, it's only a matter of time until they begin heading to Europe, possibly displacing OPEC, and in this case, Russian barrels. Platts data shows Mars and SGC cargoes would have delivered into Europe at discounts of $1.22/b and $1.34/b, respectively, to CIF Rotterdam Urals in June. Urals hasn't been this strong since 2014, driven by tighter loadings out of Primorsk in the Baltics, and fewer Saudi barrels in Northwest Europe. Our cflow shiptracking software shows declining Persian Gulf flows into Rotterdam, and Saudi OSPs suggest they're trying to dissuade any additional interest. Still, no fixtures have been heard yet, despite the apparent profitability. Why? Cheap freight, including weak USGC dirty tanker market, could encourage arbitrage opportunity First, my calculations suggest freight is cheap, around 94 cents/b, not enough to discourage the arb. And the US Gulf Coast dirty market is weak right now, so charterers can likely negotiate better rates. Shipowners would be keen to make this voyage for the prospect of more lucrative follow-on routes, rather than churning out an intraregional back and forth. Stable Brent/WTI spread suggests arbitrage could be easily hedged Second, the Brent/WTI spread has been stable between $2-3 a barrel, which suggests this arbitrage could be easily hedged. Third, as I said earlier, if Northwest Europe is as tight as traders say it is, and Urals and Saudi Arab Medium continue to rally, it should only be a matter of time before grades like Mars and SGC make their way over. So why haven't they yet? High demand from USGC refiners and Asia could price grades out of Europe US Gulf Coast runs are near record highs. It's nearly a miracle that any of these barrels make it to Asia at all, considering how prized they are in their home market. Combined local and Asian demand could quickly begin to price these grades out of Europe as there is only so much of it available. European coking capacity is under a tenth of that in the US. This suggests they're ill-equipped to maximize the profitably available in running these grades. Lastly, Urals strength may not last should loadings return to normal, and despite the strong signals from Saudi OSPs, these grades still hold a discount to US sours. When looked at through this lens, it appears the Saudis are not as willing to cede market share in NWE as many may have presumed. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-07-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071817-key-trends-impacting-commodity-markets-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CYs9hfSgdmZefeju1eMVxL</video:player_loc><video:thumbnail_loc /><video:title>Key trends impacting commodity markets in 2017</video:title><video:description><![CDATA[S&P Global Platts President Martin Fraenkel highlights key trends impacting commodity markets in 2017 and revisits some of the themes highlighted in his previous outlook , focusing on oil, LNG, metals and renewables. There were key elections in Europe in H1, policy changes and new tensions in the Middle East and elsewhere. Protectionism and inward-looking policies, already rising in 2016, are becoming mainstream in several regions. So far, the impact of these has often lasted just days, but some could become entrenched.]]></video:description><video:publication_date>2017-07-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/071717-market-movers-jul-17-21-will-opec-lift-production-cut-exemptions-on-libya-and-nigeria</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2mYXf5Pcp1qSWEw1L66H9b</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 17-21: Will OPEC lift production cut exemptions on Libya and Nigeria?</video:title><video:description><![CDATA[OPEC's technical advisory committee will meet on Saturday ahead of a full ministerial meeting next Monday. Will the meeting provide clues on whether OPEC plans to lift the exemptions on Libya and Nigeria from its production cut agreement? What's supporting freight rates in the Asia Pacific? And will more Black Sea wheat be coming to Southeast Asia this week? Associate editor Jade Halford explores these and other topics that may impact Asia’s commodity markets this week. Also this week, get an insight into shipping and freight risks with at the Platts and RPC Premier Law workshop on July 19 at 9 AM SGT. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. In this week’s highlights, China to release data for June, the dry bulk market set to gain strength, and OPEC to consider including two more countries in its production cut agreement. But the big news of the week is, China is due to release a slew of data for June across a range of commodities this week. It is also due to release its closely watched GDP data later on Monday. Its oil data for June could show a further drop in domestic crude output, while its steel data is expected to show production hit a record high above 70 million tonnes in the month. In nonferrous metals, China's Xinjiang aluminium smelter is expected to announce output cuts this week. Anticipation of the cut has already boosted prices, and confirmation could provide further support. In shipping, sentiment is set to be further boosted this week by summer coal demand in China. With most Chinese-flagged vessels engaged in moving domestic coal to demand centers, rates for other vessels in the Pacific are set to rise further. Demand to move grain cargoes in the Atlantic is also supporting Panamax freight rates. For insight into how to mitigate risks in a low-transparency shipping environment, we are holding a shipping and freight risk workshop with RPC Premier Law on Wednesday. Visit Platts.com/events for details. Now, back to the markets. The Asian LNG market is awaiting the results of key sell tenders from Indonesia's Tangguh and Bontang projects this week. They are offering a total of nine cargoes for delivery later in the year. These prices will provide an indication of market fundamentals for the coming winter. In the Philippines, the government has received proposals from China, Japan, Indonesia, South Korea and Russia to co-develop an LNG hub, which it targets launching by 2018. In petchems, the Asian monoethylene glycol market is expected to pick up in the second half of this year amid healthy downstream demand in China. In agriculture, wheat traders will be watching to see if more Black Sea milling wheat will head to Southeast Asia this week. This comes after the Australian premium white wheat price surged to a fresh record high last week. And finally, in oil, OPEC's technical advisory committee will meet on Saturday ahead of a full ministerial meeting next Monday. Traders will be watching both events closely for clues on whether OPEC plans to lift the exemptions on Libya and Nigeria from its production cut agreement. So, our big question this week is, will OPEC cap Libya and Nigeria’s production and, if so, at what levels? Please send us your views on Twitter with ##PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-07-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/071717-sampp-global-platts-announces-merger-of-tsi-62-and-iodex-iron-ore-indices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8rmb4c7dF5WhFZNVA6uJ4a</video:player_loc><video:thumbnail_loc /><video:title>S&amp;amp;P Global Platts announces merger of TSI-62% and IODEX iron ore indices</video:title><video:description><![CDATA[S&P Global Platts announced July 6, 2017 the merger of The Steel Index 62% and Platts IODEX price series following a month-long formal market consultation process which began May 15. In this video, Ciaran Roe – Global Methodology Specialist, Metals – gives an overview of the feedback received during the consultation and explains the impact of this merger on the methodologies of the two prices. Please send suggestions, questions and comments to pricemethodology@spglobal.com . Subscriber note: Platts to merge TSI-62% & IODEX price series from Jan 2018 View Full Transcript Video Transcript S&P Global Platts announces merger of TSI-62% and IODEX iron ore indices With Ciaran Roe, global methodology specialist, metals Hello, I’m Ciaran Roe, Global Methodology Specialist for Metals. This video will cover the merger of the TSI-62% and Platts iron ore index, or IODEX, price series that will come into effect January 2nd, 2018. The decision to merge these two price series was announced on July 6th, 2017 after a month-long market consultation process which yielded a positive response to the proposed methodology changes. After the merger, two identical values will be published for TSI and IODEX, while the names of these price series will remain unchanged. Full subscriber note available on video landing page To provide some background: on May 15th, Platts published a subscriber note marking the start of a formal market consultation into possible methodology changes to its TSI-62% and IODEX price series. This proposal came on the back of increased market requests to eliminate the price difference between the two indices. These requests became more frequent as index-linked trade in the spot market became a regular feature and derivatives trade volumes increased. TSI-62% is the underlying for the largest $-denominated iron ore derivatives contracts, while IODEX is the underlying for the majority of physical iron ore contracts. By merging the indices, Platts will be able to fully reflect floating indications in its assessment process. The merge will also eliminate the particular basis risk for market participants looking to hedge their IODEX-linked physical exposure via the derivatives contracts settling against the TSI-62% index. Platts held a methodology forum in Singapore at the end of May and in Shanghai at the start of June to engage with market participants during this consultation. These forums saw attendance of more than 100 market participants. On the back of these forums and on the back of dozens of bilateral meetings with market stakeholders, Platts collected in-depth feedback from a wide array of participants. The feedback focused on the three key methodology changes proposed: 1) A change from a 6pm Singapore time cut-off to a 5.30pm time-stamp for the TSI-62% index 2) Formalizing the delivery window for the TSI-62% index to become 2-8 weeks forward from “within 8 weeks” 3) Adjustments to the IODEX specification Feedback received during the consultation was positive regarding the proposed process, roadmap and timing for the changes to be effected. Here are the changes due to come into effect at the start of 2018 in greater detail: TSI-62’s 6pm cut-off will change to become a 5.30pm timestamp—aligning with IODEX. Therefore, transactions, and competitive, firm bids or offers valid live at (or closest to) 5.30pm would be given highest priority in the index price. Volume-weighted averaging will no longer be used in valuing the TSI-62% index. Throughout the consultation process companies involved in the trade route noted that iron ore prices have been highly volatile and price formation is visible throughout the course of the day. Platts aims to reflect this movement fully by timestamping its market assessment at a particularly busy period in the trading day. Moving onto the second change: 2-8 weeks forward is the window within which more than 97% of observed spot deliveries fall. The TSI-62% index will move to formally reflect these deliveries. In conjunction with the visible intra-day price movement, market participants noted that cargoes are priced depending on when they are likely to be delivered to China. This physical forward curve can move from backwardation, to contango or be in a flat structure for the 2-8 week period. The average of this 2-8 week physical forward curve will be used to value TSI-62, thereby maximizing data available while reflecting the potential for value differences caused by different delivery dates. IODEX SPECIFICATION As part of this series of methodology changes, Platts will alter the specifications of IODEX to move the assessment further in line with the most liquidly-traded medium grade fines brands in the spot market. In this graph, the observed spot trade of various brands is represented by the circles. The changes would be to silica, alumina and phosphorus levels as well as to the minimum cargo lot size under assessment. A rationale for TSI-62% will be published. This rationale will describe how the final index value was reached and how data was treated by the assessment team. All the data used in the assessment will be visible in the rationale. Platts already publishes a full, transparent rationale in its Steel Markets Daily publication which describes in detail how IODEX was assessed and lists all the data underpinning the assessment value. Feedback received during the consultation indicated that market participants would like further details included in this rationale around how indications are normalized using impurity penalties and premia, which Platts will provide going forward. In addition to this, Platts will add new impurity penalty and premia bands. Platts will start to publish an alumina differential for ores containing 2.5-4% alumina and will also formalize publication of its silica differential for ores containing In order to publish a rationale for TSI-62, Platts will discontinue receiving submissions pursuant to the existing TSI Data Provider Agreements for companies submitting to TSI’s Iron Ore indices. Market participants also indicated a strong desire for a formal publication deadline; on the back of this feedback Platts is reviewing the possibility of introducing such a deadline for its merged price series. Thank you for watching this video. I hope that you have found it useful and please refer any feedback or questions to the email address below. FEEDBACK Email your questions to: pricemethodology@spglobal.com]]></video:description><video:publication_date>2017-07-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071317-imports-tax-credits-inform-us-biodiesel-industrys-view-of-proposed-rvos</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zykUjo4nY4iGvSkHua7kFv</video:player_loc><video:thumbnail_loc /><video:title>Imports, tax credits inform US biodiesel industry's view of proposed RVOs</video:title><video:description><![CDATA[While the US ethanol industry welcomed the 2018 and 2019 proposed Renewable Volume Obligations from the US Environmental Protection Agency, the biodiesel industry was hoping for an increased mandate. Wes Swift analyzes the mandates and explains how 2018 could be a bellwether year for biodiesel, especially when considering RINs markets, imports from Brazil, Argentina and Indonesia and the prospect of reinstating and changing the $1/gal biodiesel tax credit. Hear more about the 2018 RVOs in this recent episode of the Commodities Spotlight podcast . View Full Transcript Video Transcript Imports, tax credits inform US biodiesel industry's view of proposed RVOs By Wes Swift, associate editor, agriculture Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. After waiting for several weeks, the US biofuels markets got their first look at the 2018 and 2019 proposed Renewable Volume Obligations from the US Environmental Protection Agency on July 5. By and large, the EPA held static on its two biggest mandates – those for corn-based ethanol and for biodiesel. Two other mandates – the advanced biofuels mandate and the cellulosic mandate – were reduced compared to their 2017 numbers. D6 ethanol, D4 biodiesel RINs down slightly since announcement; Chicago Argo up slightly Market price reaction has been muted. Prices for D6 ethanol and D4 biodiesel RINs have dropped slightly since the announcement, and S&P Global Platts Chicago Argo assessments has seen a slight increase in what has been a sluggish market in recent weeks. The proposed 15 billion gallon mandate for corn-based ethanol was welcome news for the US ethanol industry, which worried that new EPA director Scott Pruitt may reduce the mandate from previous years. Ethanol industry welcomed mandate, but biodiesel industry hoped for increased mandate The US biodiesel industry, on the other hand, wasn’t keen on the 2019 proposal, saying that the biodiesel mandate should have been increased as well as the advanced mandate. For the biodiesel industry, the 2018 RVO could be a bellwether year. In 2017, a lack of advanced biofuel RINs — particularly those associated with sugarcane ethanol from Brazil — has raised the value of both biodiesel and the associated RINs. If that trend continues amid strong sugar prices in Brazil, obligated parties in the US will most likely turn to biodiesel to satisfy that mandate. And with the US Commerce Department looking into possible antidumping and anti-subsidy allegations against Indonesia and Argentina – two top exporters of biodiesel to the US – domestic biodiesel could be in high demand in 2018. US biodiesel industry seeking to reinstate $1/gal biodiesel tax and change it to a producers credit To add another layer of complexity, the US biodiesel industry is seeking a reinstatement and change to the $1/gal biodiesel tax credit. The lobbying group wants to change the credit from a blenders credit to a producers credit that only applies to domestic production. Any decision that could keep foreign biodiesel imports out of the US market could put US biodiesel in a situation where their product could be extremely valuable for satisfying the advanced mandate. Of course, there’s no guarantee that the EPA’s proposals make it unchanged to the final approval in November. In 2016, the 2017 proposal were revised upward, much to the biofuels industry’s benefit. Regardless, there’s still plenty that can roil the markets between now and the end of the year, much less through 2018. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-07-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071117-brent-crude-oil-volatility-july-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QJ1yQBX4WRxSWPvgJiAFtF</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: July outlook</video:title><video:description><![CDATA[Dated Brent-ICE Brent crude oil futures volatility premium analysis for June shows that Brent’s implied volatility was completely unresponsive and did not react at all to the downtrend that dragged prices down and that the current divergence between Brent realized and implied volatilities remains very low. Analyst Vito Turitto sees the inverted leverage effect and the ongoing contraction process in the Brent crude oil market as factors likely to increase volatility, with the outlook for Brent prices negative over the coming weeks. View Full Transcript Video Transcript Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Dated Brent market, at the beginning of June, has been once again characterized by numerous ship-to-ship transfer offers (Forties and Ekofisk above all) and a lack of demand coming from the Far East and in particular from China. The absence of any arbitrage towards Asia and a steep contango in the Brent CFDs forward curve, which definitely incentivized many market participants to buy and store crude, pushed the numbers of barrels stored on floating tankers up to 7.3 million in mid-June. Clearly, the aforementioned scenario in the North Sea put BFOE grades under pressure and the additional production coming from Libya and Nigeria certainly did not help easing the burden on sweet grades. Things began changing around the middle of the month as some of the floating barrels began making their way into domestic demand and some cargoes departed towards South Korea. However, the market remained fairly well supplied. Around June 20, thanks to some buying pressure coming mainly from South Korea, the improved market conditions pushed the Brent CFD curve higher, flattening the contango and consequently reducing the incentive to keep barrels in floating tankers. Nevertheless, the demand from the Far East was far from aggressive and the quantity of floating storage achieved 9.7 million barrels on June 22 because the shifting in the CFDs forward curve was predominantly fueled by expectations of better arbitrage conditions. The South Korean and Chinese demand for BFOE grades, Forties above all, became more active in the last trading days of June as the arbitrage opened up new opportunities bringing the front-end of the Brent CFD forward curve into a mild backwardation on both June 28 and 29. Nevertheless, the shy buying activity was undoubtedly not big enough to counterbalance the selling pressure caused by the large amount of circulating crude and the not-so-strong Asian demand. OPEC OUTPUT REACHED 32.49 MILLION B/D IN JUNE Internationally, the OPEC output increased by 220 thousand b/d bringing its total to 32.49 million b/d meaning that the total production of the cartel went up by half a million b/d in only 2 months. The figures coming from the United States were not that encouraging either: first of all, the Energy Information Administration forecast that the shale oil production was expected to achieve 5.47 million b/d in July. Secondly, the International Energy Agency, in its monthly report, stated that the balance in the market would be achieved only around the end of the year or at the beginning of the 2018 and thirdly the number of American active oil rigs went up again and reached 747. VOLATILITY TO INCREASE The volatility premium analysis shows that Brent’s implied volatility was completely unresponsive and did not react at all to the downtrend that dragged prices down and that the current divergence between Brent realized and implied volatilities remains very low, indicating that more market turbulence should be expected in coming weeks. SELLING PRESSURE MIGHT BE YET TO START The fluctuation rate did not move much during the sell-off indicating that the market has followed an inverted leverage effect process which is a symmetrical movement between price and volatility. The inverted leverage effect process is usually a warning signal which indicates that the trend is far from robust and that the real selling pressure might be yet to start. In fact, it is rather unusual for the Brent market to lose $4-$5 in less than 20 trading days without having an effect on the oscillation rate but, given the fact that the sell-off happened soon after the OPEC meeting, it is very probable that many market participants were actually expecting such a retracement. The probability distribution analysis indicates that the volatility will likely tend to increase and reach the 30-35% range where it has more than 22.5% chance to remain and settle. Finally, the volatility cones analysis confirms that the current volatility curve remains below its long term equilibrium implying that a mean reverting movement should be expected in the coming weeks. NEGATIVE OUTLOOK ON BRENT Overall, the inverted leverage effect and the ongoing contraction process in the Brent market are factors likely to increase volatility so the outlook on Brent prices is negative. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-07-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071117-chinese-steel-and-iron-ore-markets-outlook-h-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UfVD8uoTqQPSxJ45k5nBaM</video:player_loc><video:thumbnail_loc /><video:title>Chinese steel and iron ore markets outlook H2 2017</video:title><video:description><![CDATA[Chinese steel mills have been enjoying strong margins as they continue to benefit from the government’s removal of lower quality induction furnaces. Long steel has also been getting a boost from the robust housing market. But how long will these positive market conditions last? Senior Managing Editor Paul Bartholomew explores the prospects for China's steel and iron ore markets for the rest of 2017. View Full Transcript Video Transcript Chinese steel and iron ore markets outlook H2 2017 By Paul Bartholomew, Senior Managing Editor, Steel, Asia Welcome to the Snapshot, a series that examines the forces shaping and driving global commodity markets today. In this episode, let’s take a few moments to look at what’s happening in the Chinese steel markets and some possible implications for iron ore prices over the second half of 2017. So we’re halfway through the year – and it’s been another period of volatility which is reflected in the Platts China Steel Sentiment Index. In fact, the market has generally been stronger than the sentiment index would indicate – particularly for long steel products such as rebar which reversed a historic trend by overtaking hot rolled coil prices in late February. The major story so far this year has been the closure of 100 million mt/year or so of induction furnace capacity in China. The removal has freed up market share for rebar and enabled more efficient producers to lift capacity utilization rates. As a result, rebar producers are enjoying some of the best margins in almost a decade and not surprisingly are churning out as much steel as possible. This has contributed to the 4.4% year-on-year lift in steel production over January-May. The market for long steel has also been helped by a robust housing market - despite a plethora of tightening policies - and also low steel inventories. These positive conditions and the effects of the induction furnace closures are expected to persist into the third quarter. This will see Chinese steelmakers continue to largely focus on domestic rather than export customers, which should help support global steel prices. June manufacturing data pointed to an improvement in that sector, which should provide some support to flat steel prices. The hotter summer months in China are typically a good time for sales of white goods, such as air conditioners. From a macro perspective, the Chinese government will want to keep the economy ticking along nicely ahead of the all-important 19th party congress in Beijing in October. There are also some indications that China may ease back on tightening regulations in the second half. All-in-all, there should be enough stimulus to maintain current steel market conditions. Iron ore prices, meanwhile, hung onto the coat tails of soaring steel prices in the first quarter before decoupling and falling back to earth with a bang. Prices have since recovered slightly to the low $60/mt range but plentiful supply and high port stocks means iron ore prices are more likely to be determined again by fundamentals rather than sentiment. Whether prices come under more pressure in the second half will depend on the ramp up rate at Vale’s new S11D project in Brazil. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2017-07-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/071017-market-movers-jul-10-14-new-compliance-measures-likely-for-opec-non-opec-oil-output-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=AAG5s12v9K6cZSxfcRkTGU</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 10-14: New compliance measures likely for OPEC, non-OPEC oil output cuts?</video:title><video:description><![CDATA[A Platts survey pointed to a 500,000 b/d rise in OPEC's crude oil output in the last two months. Will there be fresh cues about new output cut compliance at the World Petroleum Congress this week? Why are Australian thermal coal suppliers holding on to their cargoes? And will China's demand for for iron ore outweigh the pressure from swelling supply? Associate editor Takmila Shahid explores these and other topicsthat may impact Asia’s commodity markets this week. Also this week, get an insight into our grains assessment methodology when you join our webinar on July 11 at 3 PM SGT. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. In this week's highlights, new compliance measures likely for crude production cuts, key LNG sell tenders from Indonesia and Russia to be awarded for September, and strong steel fundamentals seen set to continue. We’ll start with oil markets, where participants are monitoring developments at the World Petroleum Congress in Istanbul this week. They are seeking fresh cues about compliance with production cuts after a Platts survey pointed to a 500,000 b/d rise in OPEC's crude oil output in the last two months. Continued recoveries in Nigeria and Libya pushed the bloc's output to 32.49 million b/d in June. That was an increase of 220,000 b/d from May and a six-month high, complicating efforts to hasten oil market rebalancing. Elsewhere, bunker players will be looking to Singapore's marine fuel sales data for June that is due for release by the Maritime and Port Authority on Thursday. Any increase in Singapore’s bunker sales may suggest the displacement of some demand from Fujairah, where bunker volumes were expected to fall due to the diplomatic spat between Qatar and its Arab neighbors. In LNG, all eyes will be on the awarding of key sell tenders from Indonesia and Russia for September deliveries this week. Spot liquidity could increase for September with the likely start-up of Australia’s Wheatstone project next month and the return of post-monsoon demand in India. In coal, market participants are monitoring the impact of China’s import embargo at some of its Tier-2 ports. Australian suppliers are also holding on to their cargoes, as they expect Chinese buyers to return amid weaker-than-usual hydropower, which may boost demand for coal-fired power. In agriculture, a derivative settling against the Platts Black Sea and APW wheat assessment is underway this week, making it important to understand what goes into forming these prices. To get an insight into our grains assessment methodology, do join our webinar on Tuesday at 3 pm Singapore time. In iron ore, market participants are keeping a close eye on buying interest from Chinese steel mills. Strong Chinese steel fundamentals have been providing support to spot iron ore prices recently. However, iron ore inventories at Chinese ports remain high level. A latest industry report put the total iron ore inventory at approximately 140.7 million tonnes on Friday. So, our big question this week is, will demand for iron ore outweigh the pressure from swelling supply and help keep seaborne prices above the $60 mark? Please send us your views on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-07-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/070517-nwe-benzene-toluene-h2-outlook-bullish-on-firm-demand-tight-supply</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LTuzgVPhiUpFrWSrBFwEXk</video:player_loc><video:thumbnail_loc /><video:title>NWE benzene, toluene H2 outlook bullish on firm demand, tight supply</video:title><video:description><![CDATA[Following a bumper H1 for European benzene producers, Thordur Gunnarsson , senior petrochemicals pricing specialist, looks at how robust downstream demand and a balanced-to-tight NWE market could see strong benzene margins sustained throughout Q3 and possibly Q4 2017. Bullish benzene could boost toluene prices during the same period by potentially providing support if TDI feedstock demand in Europe fails to materialize as expected. View Full Transcript Video Transcript NWE benzene, toluene H2 outlook bullish on firm demand, tight supply By Thordur Gunnarsson Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. So far, 2017 has been a strong year for petrochemical producers. Benzene is among the star performers, but its margins relative to its feedstock naphtha have hovered at consistently high levels since the beginning of the year. Going forward, benzene margins for European producers will be sustained for longer this year, for the very least throughout the third quarter. This is due to robust downstream demand in Europe, a drop in European imports and delayed benzene startups in Asia. Benzene’s premium to naphtha this year currently averages around $420/mt, which is well above the industry-estimated break-even level of $200/mt to $250mt. In comparison, the premium averaged at $280/mt in 2016, and $234/mt in 2015. Considerable benzene exports from Europe during the fourth quarter of 2016, coupled with a series of minor production difficulties in Europe in Q1 set the European market up for strong start to 2017. As workable benzene arbitrages into Europe have remained shut since early second quarter, Europe has had to rely on its own supply for the largest parts of this year. With the bulk of cracker turnarounds in Europe behind the market, support for European benzene is likely to come from Asia. At the beginning of the year, nearly two million tons of new benzene capacity was expected to come on stream in Asia. These new volumes were expected to be largely consumed in Asia, as large downstream projects – mostly styrene plants - were expected to come on stream as well, most notably in China. Several benzene startups have however been pushed back, and at the moment, only seven hundred thousand tons of new benzene capacity is anticipated to come on stream in Asia, or around a third of what was scheduled at the beginning of the year. On the other hand, China is still planning to bring on stream plenty of downstream plants this year, requiring up to 1.94 million metric tons per year of benzene, far outstripping new capacity coming on stream this year. On the cascading effect of the development of benzene on other aromatics, toluene prices are likely to get the biggest boost. As a result of a globally strong benzene market, toluene-to-benzene conversion margins have improved in 2017 compared to the two previous years. Those margins are likely to stay supported as long as benzene is globally short. Mixed xylenes are a byproduct of toluene disproportionation for benzene conversion, so strong run rates at such plants could create a glut of mixed xylenes. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-07-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/070317-market-movers-jul-03-07-mideast-crude-selling-prices-to-asia-seen-set-to-be-lowered</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-07-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8NTdAkzshkW4DUBzBgvXTi</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jul 03-07: MidEast crude selling prices to Asia seen set to be lowered</video:title><video:description><![CDATA[With Asian refiners diversifying their crude supply sources, will Saudi Aramco and Abu Dhabi National Oil Company announce lower official selling prices this week? How will South Korea's planned restart of coal-fired power plants affect the LNG spot market? And how will various commodities react to the imposition of India's new Goods and Services Tax? Senior Oil Analyst Sammy Six explores these topics and others that may impact Asia’s commodity markets this week. RELATED CONTENT Commodity Spotlight podcast: India GST overview and impact on commodities Coal news: Indian end-users of coal brace up for GST from July 1 Shipping news: India's bunker industry likely to face head winds from new GST Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. In this week's highlights, Middle East crude selling prices seen set to be lowered, the restart of eight coal-fired power plants in South Korea to impact LNG demand, and Australian wheat prices seen set to surge. We’ll start with oil markets, where Saudi Aramco and Abu Dhabi National Oil Company are expected to announce their official selling prices this week. Traders expect both to lower their differentials by up to 30 cents per barrel. This is due to the general trade weakness and lower Dubai/Oman crude structures in the past month. Traders in Asia said fierce competition from arbitrage barrels, particularly for light sour crudes, has also played a role. The cut in production by OPEC has narrowed differentials between Brent and Dubai, prompting Asian refiners to diversify their crude supply sources. China in particular has taken in a wider variety of crudes in recent months, reducing its share from the Middle East. In LNG, all eyes will be on South Korea's spot demand this week, with eight of the country’s coal-fired power plants due to restart to meet summer power demand. They were shut in June to reduce air pollution, and the restarts could result in South Korea needing fewer spot cargoes of LNG. In Australia, the restart of the North West Shelf LNG project is proving slower than expected after a partial outage on June 24. This could restrain supply in the Pacific Basin this week. Sources said most of the production returned last week, but one of the five trains could remain offline until mid-July. In coal, all eyes are on China this week, which is planning a partial embargo on thermal coal imports arriving at some of its second tier ports. The tightened customs checks at these ports are expected to complicate the process of obtaining customs clearance, and it is unclear whether the restrictions will be extended to other ports. The price of Indonesia's thermal coal exports is expected to face pressure from China's move. In India, a new Goods and Services Tax came into force Saturday, replacing several regional and state taxes. The bunker market is expected to face headwinds as the new GST on fuel oil is 18 per cent, while the previous tax on bunker fuel was in the range of zero to half of one per cent. In agriculture, prices of Australian white wheat are expected to surge again this week. Weather forecasts are pointing to prolonged dryness and high temperatures in the coming months, which is putting pressure on new crop supply. Meanwhile ethanol prices have fallen to a one-year low amid peak cane crushing season in Brazil. That country’s exports will be watched closely this week as buyers debate whether a price bottom is in sight. So, our big question this week is, just how low do you think ethanol prices can fall? Please send us your views on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-07-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062917-german-austrian-power-price-zone-split-changing-power-landscape-causes-grid-bottlenecks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CGYLQk3o7wFeVSLtzWYnXd</video:player_loc><video:thumbnail_loc /><video:title>German-Austrian power price zone split: Changing power landscape causes grid bottlenecks</video:title><video:description><![CDATA[Europe's most liquid power market -- the German/Austrian price zone -- is to be split next year. In this video, S&P Global Platts senior writer for European power, Andreas Franke , looks at the reasons that caused the split as well as the implications for the market with some traders starting to think about the ‘unthinkable’ - a potential split of Germany. Something the government in Berlin wants to avoid at all costs, but slow progress on the grid expansion and the nuclear phase-out will make inner-German grid bottlenecks worse before the new power cable projects will be ready by 2025. RELATED CONTENT Article: Germany to tailor balancing market for renewables to participate View Full Transcript Video Transcript German-Austrian power price zone split: Changing power landscape causes grid bottlenecks Welcome to The Snapshot – our series examining the forces that determine global commodities markets. GERMANY TO SPLIT POWER PRICE ZONE WITH AUSTRIA Europe's most liquid power market - the German/Austrian price zone accounting for two-thirds of trading volumes - is to be split next year. From October 2018, capacity on the border will no longer be unlimited and billions of euros in forward contracts need to be settled differently. Background to this is Germany's changing power landscape with rising renewables - especially wind in the North and the nuclear exit mainly impacting the industrial demand centers in the South. This shift creates a growing regional imbalance and grid bottlenecks within Germany. According to one TSO, the German grid was already near breaking point last winter. For next winter, the regulator has more than doubled the winter reserve capacity with over 10 GW of power plants needed to keep the grid stable. The much needed expansion of the grid is lagging behind with new cables delayed due to local resistance and unlikely to be finished before 2025. Plans to lay the cables underground have also pushed up costs with grid operators estimating some 50 billion euros to make Germany's power grid fit for the future. Because of the bottlenecks within Germany, surplus power often flows in loop flows through Poland and the Czech Republic into Austria. A complaint by Poland to European regulator ACER triggered the process back in 2015 with Germany and Austria now finally agreeing on the details of the congestion management. GERMANY, AUSTRIA AGREE ON 5 GW CROSS-BORDER CAPACITY With Germany guaranteeing almost 5 GW of capacity on the Austrian border there will be still plenty of power flowing south into Austria, but the end to the ‘unlimited open border’ reduces the need for German winter reserves and cuts costs. Traders say that the price impact from the split is limited on the German side, but bullish for Austria. Trading volumes may also be impacted with some suggestions that uncertainty about the split has already shifted volumes from exchange-trading to the OTC market. Most importantly, some traders have started to think about the 'unthinkable' - a potential split of Germany. Something the government in Berlin wants to avoid at all costs. DENMARK COMPLAINT TO EC FORCED SWEDEN PRICE ZONE SPLIT IN 2011 The price zone split with Austria will help, along with the installation of phase-shifters on the Eastern borders and an agreement with Denmark to guarantee rising flows on the equally congested Northern border. The Denmark deal is important as Danish complaints to the EC have previously forced Sweden to accept a price zone split. Germany's power grid has become the focus of its energy policy as the weak spot of the energy transition. Berlin has already restricted wind turbine growth in the North and won't lift its offshore wind targets until the grid can deliver the power to Munich or Stuttgart. With grid fees also rising there is new conflict ahead between regions inside Germany about who pays the bill for the 'Energiewende' - that's German for energy transition. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-06-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062317-nord-stream-2-us-sanctions-threat-raises-the-stakes-for-european-gas-relations</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qrBEBDAHfg7ckSt9K8Ed2H</video:player_loc><video:thumbnail_loc /><video:title>Nord Stream 2: US sanctions threat raises the stakes for European gas relations</video:title><video:description><![CDATA[Germany and Austria called on the US to stay out of European energy matters after the US Senate proposed new sanctions against investors in Russian energy pipelines. In this video, Stuart Elliott looks at how the controversy around Nord Stream 2 has moved to a new, unprecedented level, and how the natural gas pipeline is likely to be built regardless of interference from Washington. RELATED CONTENT Blog post: Nord Stream 2: with Europe already divided, the US adds a new layer of geopolitical complexity View Full Transcript Video Transcript Nord Stream 2: US sanctions threat raises the stakes for European gas relations Welcome to The Snapshot – our series examining the forces that determine global commodities markets. Russia's planned Nord Stream 2 gas pipeline was already making pretty big political waves before the US Senate June 14 threatened sanctions against companies investing in the project. Five European companies have pledged funding for Nord Stream 2 -- Germany's Wintershall and Uniper, Austria's OMV, Anglo-Dutch Shell and France's Engie. The governments of Germany and Austria reacted with unusual anger to the US move -- calling on Washington to stay out of European energy matters. The companies themselves were more reserved, saying they would wait to see how the sanctions plan panned out. SANCTIONS COULD BE DELAYED, WATERED DOWN As it happens, it may be more complicated than first thought for the US sanctions to be approved. On June 21 it emerged that the Senate bill may violate constitutional requirements, meaning it cannot be subject to a House vote. A watered down version may result. But whether that means the pipeline sanctions will be removed remains to be seen. And we still don't know what President Trump thinks about it all. But would sanctions derail Nord Stream 2 anyway? Probably not. Gazprom had already pledged to move forward alone with the Eur8 billion project -- which is designed to bring up to 55 Bcm/year of Russian gas to Germany -- when Poland succeeding in blocking the creation of the Nord Stream 2 joint venture in August 2016. There is no reason to believe that Gazprom would stop work to build the pipeline, even if sanctions were to block the five European companies from investing further in the project. Gazprom should be able to afford the pipeline, which is relatively cheap compared with, say, the Southern Gas Corridor, and of course it has the full backing of the Kremlin. RUSSIAN GAS STILL DOMINATES IN EUROPE So what is behind all these political shenanigans? The first thing to say is that Nord Stream 2 has divided Europe. Countries in northwest Europe support the pipeline because it brings increased supply security at a time of dwindling European gas production. But eastern Europe opposes the pipeline, saying it deprives them of transit revenues and makes Europe way too dependent on one source and one route of gas. Gazprom has been accused of a "divide and conquer" strategy in Europe before, and given the latest developments with Washington, it seems that even the traditional close transatlantic relationship could be at risk. All the while, Russian gas flows to Europe continue to increase. 2016 was a bumper year for Gazprom, with exports at a new record of 179 Bcm. And 2017 is set to see even more gas come to Europe, with current estimates at 183 Bcm. This is central to all the politicking -- Europe is dependent on Russian gas. But let's not forget, Russia is also dependent on Europe to sell its gas. It's a symbiotic relationship that has become increasingly fractured in recent years. And with the US increasingly involved -- with its own motivations to encourage the US LNG industry -- it looks like there will be more twists in the Nord Stream 2 tale to come. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-06-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062217-india-natural-gas-a-5-year-outlook-on-supply-and-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=PSKR3YkcAaSwK8ERQgpvsw</video:player_loc><video:thumbnail_loc /><video:title>India natural gas: A 5-year outlook on supply and demand</video:title><video:description><![CDATA[With India's domestic gas production set to rise to 37 Bcm by 2021 and consumption to hit 72 Bcm over the same period, additional gas demand will have to be met by rising LNG imports. In this video, analyst Max Gostelow looks at India's LNG supply-demand gap, the competition faced by Indian importers, and how S&P Global Platts has updated its methodology to help improve transparency in India's LNG market. Related subscriber note : Platts launches new DES West India LNG assessment June 16 View Full Transcript Video Transcript India natural gas: A 5-year outlook on supply and demand By Max Gostelow Welcome to The Snapshot – a series examining the forces shaping and driving global commodities markets today. Indian LNG imports should rise by 10% annually over the next few years, surpassing 30 million mt/year by 2020, versus 19 million mt/year in 2016. Growth is driven by fast-rising energy demand -- the government increasingly focusing on environmental issues and existing infrastructure bottlenecks. Meanwhile Indian domestic and piped gas supplies remain constrained. Indian gas production has declined in recent years. Disappointing geological survey results and low domestic gas prices have provided insufficient incentive to boost production from the Krishna Godavari basin offshore the east coast. Looking to 2021, domestic production growth of 3% per year will be led by increasing output from ONGC’s western offshore fields AND rising coalbed methane output. India has no international piped gas imports and is not expected to have one over the forecast period, primarily because its neighboring countries are also gas-short. Indian gas demand, meanwhile, is expected to hit 72 Bcm by 2021 – that’s an average 7% annual growth from 2016 levels. The fertilizer sector will continue to post the highest demand, but the city gas sector will see the highest growth rate over this time. The government is shifting its domestic gas allocation priorities to city gas supply, including for auto transport as CNG. This ramp-up in Indian LNG demand will be facilitated by the country’s regas capacity growing by almost 60% to over 45 million mt in 2021 and a large expansion of domestic gas pipelines. To meet this growing gas supply-demand gap, Indian LNG demand should outpace the volumes supplied under current long-term LNG contracts signed by Petronet, Gail, and GSPC. By 2020, currently contracted volumes will stand at nearly 22 million mt, but with demand rising to over 30 million mt, around 8.5 million tons of demand would have to be met by spot market purchases in 2021. As current importers face more competition from new entrants who are not restricted by long-term oil-indexed or gas-indexed contracts, they will have to make a decision as to whether to allocate a greater percentage of their contracted volume to procurement on a spot basis. Following efforts by Indian buyers to re-negotiate the pricing terms of their existing LNG contracts with Qatari and Australian suppliers, Platts is helping introduce more Indian LNG transparency, and , in June 2017, launched an additional five new half-month DES West India assessments. Platts DES West India LNG assessment, published since 2010, are already being used by the government in the determination of the ceiling price for gas produced from deepwater, ultra deepwater, and high pressure-high temperature areas. Details of the methodology changes are on Platts.com. Until next time on the snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-06-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:15</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062017-plant-integration-feedstock-flexibility-key-to-survival-in-volatile-environment</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VpidArf7rSBPKJPcSBrwuX</video:player_loc><video:thumbnail_loc /><video:title>Plant integration, feedstock flexibility key to survival in volatile environment</video:title><video:description><![CDATA[In the petrochemicals industry, a new breed of investments is combining both feedstock flexibility and traditional routes to secure production margins. This trend is seen in the Middle East, and has also emerged in Asia. In this video, analyst Eshwar Yennigalla explores the value of plant integration and how it's becoming the new normal. View Full Transcript Video Transcript Plant integration, feedstock flexibility key to survival in volatile environment By Eshwar Yennigalla, Analyst, Petrochemicals Welcome to the Snapshot, a series examining the forces driving and shaping global commodity markets today. In a highly volatile price environment, investment strategy analysts look at an amalgamation of both innovative and traditional decision making. It’s no different in the petrochemicals industry. Upcoming strategies involve feedstock flexibility or newer sets of feed altogether – veering away from the use of just naphtha. The new breed of investments combines both strategies to secure the recent run of high naphtha-based production margins for the petrochemical industry. Experts project plant integration as the best bet going forward, primarily in the Middle East and Asia, using different approaches. In Saudi Arabia, the next wave of petrochemical projects is integrated with respective refineries. When we add the feedstock flexibility component, the Petro Rabigh complex already utilizes 400,000 barrels per day of crude oil and 1.2 million tons per year of ethane as primary feedstock. It produces 18.4 million metric tons per year of refined products, and 2.4 million metric tons per year of petrochemical products. In the next phase, the majority of these refined projects will be consumed to produce aromatics and other petrochemical derivatives. A similar trend has emerged in Asia. China’s upcoming Zhejiang Petrochemical complex at Zhoushan is a perfect example. The first phase will process 20 million mt per year crude oil and produce 5 million mt per year of aromatics. This will be one of largest extraction of petrochemicals from a refinery when completed by 2019. Similar integrated projects include Reliance’s Jamnagar complex, Petronas’ RAPID project and Hengli’s Refinery and Petrochemicals project in Dalian, China. The primary idea here is to maximize naphtha margins for chemical production through integration. However, it does have an added exposure to crude oil dynamics. This is also a major reason for these projects to be located near the demand areas rather than source of feed. Integration towards specialty grade petrochemicals is also becoming a new norm. Recent additions in the Middle East such as elastomers, urethanes and certain copolymer grades were all first of their kind projects in the region. As more integrations involving further flexibility in process chain become the new normal, the chemicals market prices will be more tied down to individual market fundamentals as the feedstock margins will be secured in the volatile environment. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2017-06-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:40</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061917-market-movers-jun-19-23-n-asia-crude-oil-buyers-seek-clarity-as-qatar-crisis-enters-3rd-week</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sQT4ZgJBrTrBcuyzRoHTbF</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jun 19-23: N. Asia crude oil buyers seek clarity as Qatar crisis enters 3rd week</video:title><video:description><![CDATA[As Qatar's diplomatic crisis enters its third week, how are North Asian buyers of Qatari crude oil coping? How will the rise of US gasoline stocks affect market sentiment? And what next for LNG prices after the Europe-Asia spread hits a 5-month high? Associate Editor for Petrochemicals Karen Ng explores these topics and others that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian Commodity Markets. This week, we look at the impact of the Qatar crisis on crude, the rise in US gasoline stocks, and sugar prices at close to parity with ethanol. First, in oil, buyers of Qatari crude oil, most of whom are in North Asia, will continue to look for clarity this week as Qatar's diplomatic crisis enters its third week. The UAE made it clear last week that it would not allow ships traveling to or from Qatar to stop at its ports, even if they had stopped at other ports in between. This created confusion over fuel bunkering and co-loadings of crude oil cargoes. As a result, buyers are looking to bunker in Singapore, where bunker demand is on the rise. So, the big question this week is, will the Qatar crisis be resolved quickly, or is the blockade likely to be protracted? Also, watch out for weekly gasoline stocks and implied demand data from the US Energy Information Administration this week. They have become important drivers of market sentiment with the summer driving season around the corner. Data last week showed a second straight build in gasoline stocks as demand failed to rebound. In shipping, prompt Panamax and Supramax freight rates in the Asia Pacific will start this week on a firm note after rising last week, but this is not expected to last. Late July cargoes are being fixed at a discount to spot, implying demand will be softer going forward. In agriculture markets, participants will be keenly watching sugar price movements this week. Prices last week fell to levels not seen since February last year, and were closing in on parity to ethanol. In LNG, all eyes are on whether the recent prompt demand shown by South Korea and China will continue this week. If not, the recent robust supply from Australia’s Gorgon and Angola’s Angola LNG projects could start to weigh on spot prices. The LNG price spread between Europe and North Asia was at its widest last week since January, which could trigger a fresh wave of European reloads of LNG into Asia. In metals, some Japanese buyers and producers are moving closer to agreement in third quarter premium talks for primary aluminum imports this week. Three buyers have agreed at 119 dollars per metric ton plus LME cash CIF Japan, while the rest are at 115-118. The Q2 premium was 128 dollars per metric ton. In the Asia Pacific thermal coal market, participants will be looking to see if a recent rally in spot prices will continue this week after the strong return of Chinese buyers propelled Newcastle prices to a two-month high. Rain in Indonesia is continuing to disrupt supply flows in the lead-up to a local holiday, and this is likely to support prices. That’s the market in a nutshell this week. Send us your views on Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-06-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/061517-platts-seeks-feedback-on-increasing-specifics-of-quality-and-location-of-jkm</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5NAxusfo6rfyCpARvpLJXr</video:player_loc><video:thumbnail_loc /><video:title>Platts seeks feedback on increasing specifics of quality and location of JKM</video:title><video:description><![CDATA[As the global LNG market evolves and pricing becomes more precise, S&P Global Platts is seeking feedback on its proposal to increase the specifics of both the quality and location of Platts JKM TM . JKM TM is the LNG benchmark price for spot physical cargoes referenced in contracts both in northeast Asia and globally. Platts proposes to normalize JKM TM to a gross heating value, or GHV, of 1,075 Btu/scf. In addition, Platts proposes to normalize JKM TM to delivery Tokyo Bay, which is by far Japan's busiest LNG port with large volumes of LNG regasification capacity. Platts is proposing to implement both of these changes to the current JKM TM methodology from September 18, 2017. Platts continues to invite any comments or feedback to LNGeditorialteam@spglobal.com and copied to pricemethodology@spglobal.com by July 24, 2017. Subscriber notes: Platts proposes to normalize JKM to a calorific value of 1,075 Btu/scf Platts proposes to normalize JKM to delivery Tokyo Bay]]></video:description><video:publication_date>2017-06-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/061317-qatar-imbroglio-a-sea-of-troubles-for-energy-and-shipping-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VZvkXeGEzaUd5891pVPyJg</video:player_loc><video:thumbnail_loc /><video:title>Qatar imbroglio: a sea of troubles for energy and shipping markets</video:title><video:description><![CDATA[The diplomatic impasse between Qatar and its Arab neighbors made co-loading of cargoes at multiple ports in the Middle East difficult if not impossible. It also brought into focus, Fujairah's ability or lacunae thereof to rise above complicated geopolitics of energy and shipping markets and maintain its hallowed status as a global bunkering hub. For Qatar, it is going to be a tightrope diplomatic walk between Iran and its Arab neighbors before the spat ends and it is business as usual again. RELATED CONTENT Analysis: LNG trade disruption worries ease as Qatari flows to Suez, Egypt resume Blog post -- Egypt to put squeeze on Qatari LNG volumes View Full Transcript Video Transcript Qatar imbroglio: a sea of troubles for energy and shipping markets Welcome to the Snapshot, our series examining the forces shaping and driving global commodities markets today. To be, or not to be, that is the question, Whether 'tis nobler in the mind to suffer, The slings and arrows of outrageous fortune, Or to take Arms against a Sea of troubles, Shakespeare's Hamlet, was in a different kind of dilemma more than 400 years ago. Ship owners and charterers alike have been a facing a billion dollar question of undertaking or not undertaking a voyage to or from Qatar ever since Saudi Arabia, Baharain, UAE and Egypt cut off diplomatic ties with the oil and gas rich country. There have been a plethora of charges and counter charges for more than a week now but the Sea of troubles has been never ending. CONCERN OVER SHIP BAN TO/FROM QATAR VIA FUJAIRAH Of particular concern was the ban last week on direct sailing of ships to and from Qatar by Fujairah port in the UAE, where thousands of ships load bunker fuel and partial cargoes of crude and oil products are loaded. All hell broke loose. Co-loading of partial cargoes of crudeoil, and oil products in multiple ports of Middle East, is a standard practice, and all of a sudden it took a hit. More than a hundred super tankers, or VLCCs, that typically load 2 million barrels each, load crude from the Middle East every month. While the global oil trade has diversified in a big way in recent years, the latest crisis has crudely reminded everyone of the persistent prominence and dominance of the Middle East. Those cargoes which are partly loaded in crude or clean tankers in Qatar, along with one or two ports in Saudi Arabia, Kuwait or the UAE, were recently split for single-port loading. One LR2 naphtha cargo for mid-June loading was downsized to smaller LR1 for loading in Bahrain and the remainder in an MR for Qatar. In another case, a super tanker was released, and instead two suezmaxes were chartered because the partial cargo loading was to take place in Jebel Dhanna in UAE and Al Shaheen in Qatar. For the VLCC owners that are already reeling under low freight rates, such splits are bad news. Woes are not restricted to co-loading alone. Fujairah has been the preferred bunkering port in the Middle East because with its huge storage, it is relatively cheaper compared with other ports. A week ago, Fujairah's stocks of heavy distillates and residues totaled almost 11 million barrels. Bunkering is a major source of revenue for the UAE and by not allowing ships embarking from Qatar or planning to go there to come to Fujariah would have hurt its hub status. FUJAIRAH MAKES AMENDS TO BLANKET BAN ON QATARI VESSELS As if mindful of this fact, Fujairah has since made amends to the blanket ban, announcing on June 11 that it is limited to Qatari flag vessels, or owned by Qatari companies or individuals, loading/unloading Qatari cargoes in UAE and shipments of UAE cargoes to Qatar. If this isn't confusing enough, last heard, the ban still applies to Fujairah's VLCC jetty which is operated by Abu Dhabhi National Oil Company. Abu Dhabi, which is part of UAE, has had its share of flip flops. On Thursday, Abu Dhabi reinstated restrictions on accepting tankers heading to Qatar or arriving from Qatari ports after briefly easing them. Qatar is the world's largest producer and exporter of liquefied natural gas , or LNG, supplying large volumes to the Far East. Not allowing Qatar owned or flagged ships to bunker in Fujairah can add to the shipping costs of LNG. With Qatar's estranged Arab neighbors on one side and its South Pars gas fields neighboring Iran on the other side, the country will have to do some diplomatic tight rope walking in the real sense of the word. And sooner this diplomatic spat ends, the better for all. Until that happens and beyond, we shall keep an eye on the markets.]]></video:description><video:publication_date>2017-06-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:46</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/061217-market-movers-jun-12-16-asian-oil-gas-and-shipping-markets-focus-on-mideast-diplomatic-impasse</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=p4BMEbszJ4PsXKcjMhjPPt</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jun 12-16: Asian oil, gas and shipping markets focus on MidEast diplomatic impasse</video:title><video:description><![CDATA[All eyes are on the Middle East, is the standoff against Qatar set to continue for much longer? What changes are we seeing in the Middle East crude market so far? What is the impact on the shipping market from this crisis? OPEC compliance – what is the latest report going to show? On metals, how have steel margins performed? What’s the story on the strike that has hit Australia’s thermal coal market? Associate Editor for Oil Eesha Muneeb explores these topics and others that may impact Asia’s commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers for a quick look at what the week ahead holds for the Asian commodity markets. Our highlights: A game-changing power play in the Middle East, coal strikes in Australia and the possible revival of a sugar trading route in Asia, to kick off a happening week! First, oil markets have had a full week now to absorb the ongoing diplomatic impasse in the Middle East, which has pushed Qatar into isolation. But, many details on vessel co-loadings, port calls and bunkering in the Middle East are still up in the air – stay tuned with our spotlight coverage on the issue as more details emerge. This diplomatic crisis will have an immediate knock on effect on the shipping industry, as traders will start exploring options for loading other Middle East crude cargoes. It will be a similar story on clean tankers, since the Middle East-to-North Asia route is one of the world’s busiest for naphtha flows. This could result in increased demand for LR1s and MRs instead of LR2s, as cargoes get split for one-port loading rather than the co-loadings which are the norm for this region. For oil, this week will also see the first round of monthly oil reports, after the latest OPEC and non-OPEC meeting on May 25. These reports will be a way for you to gauge producers’ commitments to their production cut agreement, which was extended for another 9 months at the May 25 meeting. The latest Platts survey shows that OPEC’s crude output in May rose by 270,000 b/d to 32.12 million b/d. This was partially driven by sharp output recoveries in Libya and Nigeria - both of these countries are exempt from the agreement. However, our calculations show that compliance is at 117% for the 11 members with quotas under the deal. Moving on to metals, China releases its May crude steel output figures on June 14. With March and April production hitting record highs and steelmaking margins supported in May, all eyes are on whether a fresh record high will be reached this time as well. Over in the thermal coal industry, market watchers are looking out for after-effects of strikes that broke out late last week at five Glencore mine sites in the Hunter Valley coal field, in eastern Australia. Around 900 workers took action despite an increased offer in wages. Glencore is the largest shipper of thermal coal from Newcastle Port in Australia. Buyers are wary of any potential delays to the cargoes as a result of these strikes. Meanwhile, in agricultural commodities, demand for refined sugar from Myanmar might finally be picking up again after weeks of inactivity, so, traders are keeping a keen eye on new deal opportunities. Do you think the Qatar crisis will be short-lived, or is it set to worsen and cause further chaos in the shipping and oil and gas markets? Or will the Glencore coal strikes be resolved without much ado? We’d like to hear from you – give us your thoughts via Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead!]]></video:description><video:publication_date>2017-06-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/060617-brent-crude-oil-volatility-june-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=VTYTydptxDdA2UyUkLisbd</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: June outlook</video:title><video:description><![CDATA[The Brent physical crude oil market, during the month of May, looked in better shape with many VLCCs fixed owing to an increase in both domestic and foreign demand; and the Asian market returned to life with many refineries re-starting their operations after the maintenance period. Analyst Vito Turitto sees stable demand and low volatility as factors that should push Brent prices up by 2 or 3 dollars in the coming weeks. View Full Transcript Video Transcript Brent crude oil volatility: June outlook Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Brent physical market, during the month of May, looked in better shape with many VLCCs fixed at Sullom Voe, Hound Point, Sture and Tees terminals thanks to an increase in both domestic and foreign demand. In fact, the Asian market began to come back to life because many refineries re-started their operations after the maintenance period that has so heavily capped prices in the month of April and the, usually higher, summer demand for clean products has clearly already had an impact on Brent prices. The International Energy Agency has recently published a forecast stating that the global refinery throughput is expected to go up by 2.7 million b/d between July and August with refineries processing almost 82 million b/d for the same period. It is important to point that the uptrend in Dated Brent prices has been also favored by an appreciation in Urals whose high prices pushed the attention of many market participants towards BFOE grades. Internationally, the OPEC meeting on May 25 was the most important macroeconomic event of the first half of the year. OPEC members along with Russia decided to extend the current production cuts until March 2018 in order to accelerate the drop of crude oil stocks towards the 5 year average. Nevertheless, skepticism keeps running high amongst market participants because, according to the US Energy Information Administration, the American shale production should achieve 5.4 million b/d in the month of June and the ever increasing availability of shale oil could easily offset OPEC’s plans, should the demand remains constant. SPECULATORS EXACERBATED BRENT PRICES DROP AFTER OPEC MEETING The considerable drop in Brent futures prices, soon after the OPEC announcement, was mainly caused by 3 factors: many market participants were expecting deeper cuts, an extension of the production cuts was already priced in so there were not much people left to buy and speculators playing the so-called “buy the rumor, sell the news” strategy that led to massive profit taking as soon as OPEC’s decision was released. Dated Brent’s volatility averaged 27.9% in the month of May and it traded around 29% on May 31 despite the large sell-off that pushed prices down by more than $4. The unresponsive oscillation in volatility is clearly a signal that many market participants were probably expecting a drop in price after the OPEC announcement. Brent’s implied volatility extracted from the premiums of average price options, remained around 28-30% during and after the plunge implying that the buying pressure on put options was far from aggressive because a market correction was largely expected. THE SELLING PRESSURE IS PROBABLY OVER Furthermore, the low implied volatility fluctuation also signals that the selling pressure, that dragged Brent prices back to $50/b, is likely to be over. The probability distribution analysis shows that the current Dated Brent’s fluctuation rate has almost reached its medium term equilibrium range, which is between 30 and 35%, and that there is more than 23% chance that it will remain there. Furthermore, it is crucial to mention that ICE Brent futures volatility is 9.7% higher than the one calculated on the Brent physical market which means that the downtrend, triggered by OPEC’s decision to extend production cuts to March 2018, was largely due to speculative trades rather than to drastic changes in the fundamentals. Volatility cones analysis shows that the current volatility curve has finally reached the 30% equilibrium level, however, it also suggests that there is still room for a small increase in volatility. A minor increase in short term Brent’s volatility should be expected and it could bring some short-lived market turbulence, nevertheless, it is very likely that the fluctuation rate will tend to oscillate within the 30 - 35% range favoring a slow but constant recovery of Brent prices. POSITIVE OUTLOOK ON BRENT THANKS TO LOW VOLATILITY The outlook on Dated Brent and Brent futures looks even more positive if we consider that during the summer time the demand for crude oil increases by almost 1 million b/d due to the holiday season. Overall, stable demand and low volatility are all factors that should push Brent prices up by 2 or 3 dollars in the coming weeks. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-06-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/060517-market-movers-jun-5-9-mideast-oil-prices-due-for-release-8-coal-fired-plants-shut-in-s-korea</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=eDdsNHReKthnxe3KKzJA4X</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Jun 5-9: MidEast oil prices due for release; 8 coal-fired plants shut in S. Korea</video:title><video:description><![CDATA[Saudi Aramco has raised its official selling prices for July. Will other Middle Eastern producers follow suit? How will South Korea’s coal-fired power plant shutdowns affect the thermal coal market? And what could drive Asia’s appetite for South African corn? Associate Editor Arusha Das looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian commodity markets. The highlights this week: Coal-fired power plants in South Korea close for June, the restart of Gorgon LNG's Train 1 in Australia, and interest emerges in Asia for South African corn. But first, in oil, Saudi Aramco Sunday raised its official selling prices for July. Prices movements by other Middle Eastern suppliers will be closely watched in coming days, especially in light of the nine-month extension to OPEC and non-OPEC production cuts, and amid competition from US and other non-OPEC suppliers. What impact will competition from US and non-OPEC production have on Middle Eastern producers' market share in the months to come? In Asia, biggest oil consumer China will release its preliminary crude and oil products import/export data on Thursday. The government issued extra product export quotas in mid-May in a bid to reduce a glut of oil products in the domestic market, and this will likely curb the country's appetite for crude oil and push up product exports in the May data. In coal, strong demand from China and tight supply in Indonesia due to heavy rain look set to lend support to Indonesian low CV coal this week. China’s impending decision on import restricting for coal will also be closely watched. The coal market will also be monitoring the impact of the 30-day shutdown of eight coal-fired power plants in South Korea from June 1 to reduce air pollution. For coking coal, an arbitrage has opened to China, while India is short on supply. Should these trends continue, it may offer support to prices. In iron ore, BHP's Mount Whaleback mine in Western Australia resumed operations Friday after a fire the day before, and there was no immediate impact on prices. If supply of iron ore in the market was reduced, freight rates would be negatively affected. Also in shipping, low earnings on Persian Gulf-Japan route for Long Range tankers is seeing owners resisting current rate levels despite ample supply. There are still nearly 50 LR1s and 35 LR2s available for loading in the Persian Gulf in the next three weeks, according to industry estimates. In LNG, all eyes will be on the recent restart of Gorgon Train 1 in Australia this week, and whether it will inject further spot supply into the market amid emerging summer demand. A few LNG buy tenders in the Atlantic are due for also settlement this week, notably a 16-cargo requirement from Enarsa in Argentina. In agriculture, a surplus of South African corn could attract buying interest in Asian markets including Japan, South Korea and Taiwan this week. Traders estimate a bumper 3 million tonnes of South African corn is available for export during the current marketing year. Send us your views on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-06-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/060117-taiwan-set-to-import-first-cargo-of-us-gulf-coast-crude</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-06-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=LatwJsDJvf8jvEj8jvTvVA</video:player_loc><video:thumbnail_loc /><video:title>Taiwan set to import first cargo of US Gulf Coast Crude</video:title><video:description><![CDATA[Opportunities to export US crude to new destinations are now emerging as logistics constraints ease, making arbitrage economics more and more favorable. Higher exports come as OPEC and non-OPEC members have recently agreed to extend their production cuts by another nine months from June. In this video, Daniel Colover , associate editorial director, Asia & Middle East oil markets, talks about the latest purchase of US crude involving yet another Asian refiner as the region diversifies from traditional crude slates. View Full Transcript Video Transcript Taiwan set to import first cargo of US Gulf Coast Crude By Daniel Colover, Associate Editorial Director, Asia & Middle East Oil Markets Welcome to The Snapshot, our series which examines the forces shaping and driving global commodities markets today. The lifting of the ban on US crude exports at the end of December 2015 has seen US crude exported far and wide over the last year and a half. Opportunities to export US crude to new destinations are now emerging as logistics constraints ease, making arbitrage economics more and more favourable. These higher exports come as OPEC and non-OPEC members have recently agreed to extend their production cuts by another nine months from June, taking the export reductions until March 2018. In February, the US exported a record-high 1.1 million b/d of crude oil, 30% of which went to China. In March, data for which is the latest available, this fell slightly to 834,000 b/d although it was still significantly higher than the roughly 470,000 b/d of outflows in 2015 when the US still had a crude export ban before the ban was lifted at the end of 2015. Since the latest OPEC agreement was reached, the Middle East crude complex has moved steadily higher as the market priced in the prospect of cuts in term crude supplies from OPEC producers. The premium of benchmark Dubai crude over WTI has widened in recent months. Coupled with the inverted spread between WTI and Dubai have been relatively low freight rates further stimulating arbitrage economics. This in turn has led to Asian refiners looking even closer at buying US crude. One interesting development with respect to logistics has been Occidental Petroleum recently docking a VLCC at The Occidental Ingleside Energy Center in Corpus Christi, Texas. The VLCC Anne was chartered by Oxy and on Friday (May 26) this was received at Ingleside - making it the first US crude terminal to receive such a crude carrier, according to the Port of Corpus Christi. This latest development at Ingleside also coincides with the first ever purchase of US Gulf Coast crude by Taiwanese refinery CPC Corp. The cargo of WTI Midland crude is expected to load around the end of June at Oxy’s Ingleside terminal. Taiwan’s slate is predominantly Middle Eastern crude although CPC is believed to have previously imported some Alaskan North Slope crude a number of years ago. The latest purchase of US crude shows the increasing diversification of Asian refiners away from their traditional crude slates. Many will now be asking who is the next Asian refiner to diversify its crude source and try US crude oil in its refinery. Until next time on the Snapshot—we’ll be keeping an eye on the market.]]></video:description><video:publication_date>2017-06-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/053017-despite-opecnon-opec-producers-extending-cuts-oil-market-fundamentals-remain-bearish</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gQ1TeCupnL5qmZ2FSFeyHb</video:player_loc><video:thumbnail_loc /><video:title>Despite OPEC/non-OPEC producers extending cuts, oil market fundamentals remain bearish</video:title><video:description><![CDATA[OPEC and its non-OPEC partners agreed May 25 to maintain crude oil production cuts, yet prices tumbled. James Bambino explains why doubts remain about the balance of global markets and examines whether the commitment to output cuts is enough to reverse the bearish state of the spot oil market. Refined product stocks, displaced barrels and healthy refining margins all play a part in the market, and it will be important to keep a close eye on fundamentals. For more on why the crude market rally has fizzled, read a detailed analysis from James Bambino on The Barrel blog . View Full Transcript Video Transcript Despite OPEC/non-OPEC producers extending cuts, oil market fundamentals remain bearish By James Bambino, managing editor, Oilgram Price Report Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. OPEC and its non-OPEC producing partners last week agreed to maintain what's become the status quo: holding back output until March 2018, in an effort to manage the supply side of the oil market. Despite OPEC/non-OPEC producers extending cuts, market tumbled on March 25 On the face of it, the group appears to have done everything it could. And yet prices Thursday tumbled. Why did they fall? As many have said, it's a case of buy the rumor, sell the news. Still, doubts clearly remain. How long is the coalition expected to hold firm to this commitment? Is this commitment enough, considering the bearish state of the current spot oil market? Last month, many in the market were caught out when crude prices fell sharply. The consensus view at that time was to give OPEC a chance, to let supply cuts work their way through the market. And yet prices fell. Yes, they did rebound, to the delight of many. But that long-awaited rally and rebalancing remains elusive. Global oil product stocks are declining, but it may be caused by seasonal shifts At the end of April, global refined product stocks were bloated. And while they’ve come off slightly since then, the drop appears more to be something seasonal, as opposed to this long awaited structural rebalancing that bulls are hoping for. Yes, there is structural tightening relative to seasonality, but is it enough? In light of Thursday’s sharp drop, it is important to look at what hasn't changed about the market, because many of the very present and bearish details that should have augured caution to those that lost a lot of money in April, these details are still with us, and they still auger caution. Spreads like the Brent/Dubai exchange of futures for swaps, or the WTI/Dubai spread, are still really narrow, and global freight rates are still cheap. This means there are very few constraints in place preventing crude from the US, North Sea, Latin America and West Africa from displacing to Asia the very barrels OPEC and company are ostensibly cutting. Although product stocks are tighter, spot differentials show that products are still well supplied And even though product stocks are tighter, they are still really well-supplied. That can be seen by looking at many of S&P Global Platts spot differentials, from Singapore gasoline, jet and gasoil, to ARA ULSD barges. None of these prices are showing much upside. Part of the problem is that global refining margins are still really strong. And if refiners continue to be as profitable as they have been, there's no end in sight to the volume of refined products they're going to produce. Remember, there is no shortage of research out there, and no shortage of experts reading the tea leaves. With that in mind, don't lose sight of the fact that expectations will keep running into the fundamentals: keep Platts news and data handy. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052917-market-movers-may-29-jun-2-relief-expected-in-oversupplied-oil-markets-japan-starts-aluminum-contract-talks-sugar-prices-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=rTzoFzxustp8t5FytPkMCz</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, May 29-Jun 2: Relief expected in oversupplied oil markets, Japan starts aluminum contract talks, sugar prices seen rising</video:title><video:description><![CDATA[Some relief to the oversupplied market is expected after OPEC and non-OPEC producers decided to extend supply cuts by nine months. How will this affect Asian refiners' long-term contracts with OPEC suppliers? In petrochemicals, what's causing the rise in paraxylene prices? And in thermal coal, how is China's pending decision on its thermal coal import policy affecting the markets? Associate editor Mia Corazon Aureus looks at this and other factors that could drive commodity markets this week. Related event: LNG & Natural Gas Markets Asia Conference Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. In this week's highlights, A key benchmark price expected in the met coal market, Japan starts Q3 aluminum contract talks, and sugar prices seen set to rise further. But first, in oil, some relief to the oversupplied market is expected after OPEC and non-OPEC producers decided last week to extend supply cuts by nine months until next March. The focus is now how refiners in buying regions like Asia will position themselves. Will it affect their long-term contracts with OPEC suppliers, or let US and other non-OPEC suppliers push more spot sales? That’s one to watch out for. Trade in Asia’s biggest oil market, China, is expected to be slow early this week due to public holidays until Tuesday. In coal, the market is waiting for Beijing to signal this week whether it intends to tighten its policy on thermal coal imports.Uncertainty about the move has been keeping a lid on demand for cargoes from Australia and Indonesia for several weeks. Pressure is also mounting on iron ore prices, despite positive steel margins, due to oversupply and Chinese mills turning to cheaper scrap as an alternative. Asia is keenly watching two contract negotiations this week. The Asia Pacific met coal market is expecting a settlement in the Q2 benchmark price for Northeast Asia, and Japan has started its Q3 aluminum contract negotiations with Russian producer Rusal. In petchems, Japan's largest refiner has nominated its June Asia Contract Price for paraxylene at forty dollars higher than its nomination for May. No major settlement was reached for May. Market market sources said the rise may be due to the scheduled shutdown of a major aromatics plant in Southeast Asia from mid-June, which will trim demand for the feedstock. In LNG, Chevron’s Gorgon Train 2 in Australia is expected to restart this week after month-long maintenance. The return of supply could put pressure on spot prices during the pre-summer weak demand period. LNG industry leaders are due to convene at the Platts LNG and Natural Gas Markets Asia Conference Thursday to discuss issues like increasing spot liquidity and the looming supply glut. Meanwhile, sugar prices are seen set to increase this week. Cash premiums for Thailand’s very high polarization grade are likely to rise further as traders try to get cargoes moving to Kenya before a tax-free window closes in August. In shipping, Panamax and Supramax rates in the Asia Pacific are likely to remain low this week, while the Capesize market might see an increase in cargo volumes in June. That’s the market in a nutshell this week. Send us your views on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-05-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:56</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/052517-anemic-drilling-rates-in-mexico-point-toward-further-gas-output-declines</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MrXd9ho911yuXu2ug6C7ug</video:player_loc><video:thumbnail_loc /><video:title>Anemic drilling rates in Mexico point toward further gas output declines</video:title><video:description><![CDATA[Platts Analytics expects total Mexican dry gas production will fall another 0.4 Bcf/d by the end of 2017, further increasing Mexico's need for US pipeline imports. However, this year has seen a number of delays on new export pipelines. Ross Wyeno explains how much LNG could be imported to help fill demand, as well as how the power sector is turning to fuel oil. View Full Transcript Video Transcript Anemic drilling rates in Mexico point toward further gas output declines By Ross Wyeno, senior energy analyst Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The Mexican gas markets are looking increasingly tight this summer as dual factors — falling domestic production and pipeline delays — threaten to create supply shortages and increase reliance on fuel oil for power generation. According to SENER data, Mexican dry gas production fell to 3.2 Bcf/d in March, a 0.5 Bcf/d drop from a year prior. The data also noted that active rigs in Mexico fell to six during the month, down 23 rigs from last year. Of those rigs, only one rig was operating in the onshore areas. This is in stark contrast to drilling in the US, where activity nearly doubled over the same timeframe. Anemic drilling rates in Mexico likely point towards further natural gas production declines through the remainder of 2017. Total Mexican dry gas production expected to fall another 0.4 Bcf/d by end of 2017: Platts Analytics Platts Analytics expects that total Mexican dry gas production will fall another 0.4 Bcf/d by the end of the year, further increasing Mexican need for US pipeline imports. However, 2017 has seen a number of delays on new export pipelines, which have limited export growth this year-to-date. The most important of these delays have faced the Trans-Pecos and Nueva Era pipelines. Furthermore, downstream of these pipelines, persistent constraints are expected to limit export growth to below 0.5 Bcf/d before mid-August, when the Nueva Era pipeline is scheduled to come online. Mexico’s gas shortages met through more LNG imports, increased fuel oil burn in power markets These delays have already created supply shortages in Mexico, which have been met through additional LNG imports and increased fuel oil consumption in the power markets. With LNG import capacity likely to top out at around 0.7 Bcf/d, Mexico will likely become increasingly dependent on fuel oil generation to balance the power markets. However, the fuel oil generation stack has seen substantial retirements in the past year as the CFE has retooled their fleet and replaced it with gas-fired capacity. According data collected by Platts Analytics, Mexico has retired nearly 3.4 GW of fuel oil generating capacity since the end of 2015, or around 25% of the fleet. These retirements, along with higher expected fuel oil consumption overall, are likely to drive higher utilizations at fuel oil generating stations this summer and will likely to result in higher power prices for Mexican consumers — particularly in areas with limited access to US pipeline gas. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/052317-the-bunker-market-beyond-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1bGkiqNhoDShrRQzaqxqxf</video:player_loc><video:thumbnail_loc /><video:title>The bunker market beyond 2020</video:title><video:description><![CDATA[The International Maritime Organization’s decision to tighten sulfur limits on bunker fuel has left shipowners with a dilemma they continue to brush aside. S&P Global Platts bunker editor, Surabhi Sahu , weighs up the options and the implications for the shipping industry, the market and refiners as the 2020 deadline approaches. Special report -- Tackling 2020: the impact of the IMO and how shipowners can deal with tighter sulfur limits View Full Transcript Video Transcript The bunker market beyond 2020 By Surabhi Sahu, Editor, Bunkers Welcome to The Snapshot, our series which examines the forces shaping and driving global commodities markets today. At our European bunker fuel conference in Rotterdam last week, the one view you couldn't escape hearing was that chaos is going to hit the shipping and marine fuel industries in 2020 - when the International Maritime Organization will cut global bunker sulfur limits from 3.5% to 0.5%. We've put together a special report looking at the options shipowners have for adapting to the new regulations. We look in turn at the advantages and disadvantages of switching to a 0.5% sulfur fuel, fitting an emissions-cleaning scrubber to each vessel, switching to alternatives like LNG, and ignoring the new rules altogether. Bluntly, none of them are attractive possibilities for most shipowners. The IMO has left them with three years to choose between a sharp rise in fuel bills with no guarantee of consistent quality, a huge up-front capital cost for a scrubber or a new ship that can burn LNG, or the legal risk of flouting the rules and hoping the law doesn't catch up with them. Shipowners will first need to have a clear view of their finances, to see if they can access the credit for a scrubber, or whether they’ll be an a position to take a cut in profits from higher fuel bills in 2020 – or pass the cost on to their customers. They’ll then need to assess the routes their vessels travel on, and talk to suppliers at their regular bunkering ports about the likely availability and price of their preferred fuel. They’ll need to take a view on whether non-compliance will be an option for them under certain circumstances, and think about the potential reaction from their investors, clients, regulators in their home country and the general public if they get caught. And they’ll need to look at what their competitors are doing – those who find the least painful method of coping with the sulfur cap will be able to offer the lowest freight rates, and take market share from rivals. The fact that none of these issues has been resolved yet is lending an increasingly nervous atmosphere to bunker industry events. It's not just shipowners that have a decision to make -- refineries need to start looking at their configurations and feedstocks if they want to meet the new marine demand in 2020. Terminal owners will need to figure out how many large fuel oil storage facilities they'll need. Port authorities will be deciding how to accomodate a more fragmented bunker market, as well as seeing whether they might have fewer vessels visiting them if they can no longer offer cheap fuel. And regulators will need to come up with an enforcement system that works in the high seas as well as their territorial waters. The IMO's Marine Environment Protection Committee is meeting again at the start of July, and may seek to give more guidance on some of these questions. But it's been clear on one thing -- there's no delaying the change in 2020. Until next time on The Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/052217-market-movers-may-22-26-all-eyes-on-opecs-meeting-in-vienna-amp-the-impact-of-trumps-visit-to-the-middle-east</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=g21woUQykW28NJCRvzBA3P</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, May 22-26: All eyes on OPEC's meeting in Vienna &amp;amp; the impact of Trump's visit to the Middle East</video:title><video:description><![CDATA[Will oil producers decide to extend the OPEC and non-OPEC supply cut agreement ? How will markets react to news about deals worth around $50 billionbetween Saudi Aramco and US companies signed during US President Donald Trump's visit to Saudi Arabia. And what does the re-election of Iran's President Hassan Rouhani mean for the petroleum sector? Associate editor Xiaojuan Gao looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian commodity markets. This week’s highlights: A tumble expected in caprolactam prices, more details set to emerge on China's sugar import tax, and a stumble seen likely in clean oil tanker rates. But first in oil, all eyes will be on the key meeting in Vienna Wednesday and Thursday, where producers will decide whether to extend the OPEC and non-OPEC supply cut agreement. There appears to be consensus in the market that last December’s agreement to cut production will be extended to March next year. Saudi Aramco signed deals worth around fifty billion dollars with US companies Saturday during the visit of US President Donald Trump to Saudi Arabia. The deals are likely to be viewed as positive by commodity markets this week. In Iran, election result confirms there is popular support for outward-looking policies, which bodes well for companies looking to invest in Iran's oil, chemical and transport sectors, market sources said Monday. President Hassan Rouhani won a second term in Friday's vote by a decisive margin. Do you think the weekend’s developments in the Middle East bode well for the supply cut agreement talks this week? Moving to petrochemicals, caprolactam prices in Northeast Asia are expected to fall sharply this week as ample local supply in China puts pressure on import prices. In Taiwan, tighter supply from Japan has led to a $300 price gap to delivered prices to China. However, the restart of a major plant over the weekend could help ease the supply shortage there. Moving to agriculture, China is expected to release more details of its sugar import tax changes this week. The tariff for out-of-quota sugar imports is expected to be raised to 95% from the current 50%. In shipping, clean tanker rates face more downward pressure this week as the number of naphtha cargoes moving from the Middle East to North Asia declines. This is proving a bonanza for charterers, who can lock in ships at lower freight rates. The earnings of Long Range tanker owners have slumped below seven thousand dollars a day on the key route route. In LNG, South Korea’s spot procurement plans will be in the spotlight this week after the country's President last week ordered a temporary shutdown of eight ageing coal-fired power plants by June 1. This could usher in more spot inquiries by Korean buyers, especially KOGAS, which could lend some support to prices. Finally, in coal, Indonesia is preparing for its month long fasting period of Ramadan, which might result in disruptions to production in the weeks to come. That's it for this week. Send us your views on Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-05-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/052217-sampp-global-platts-opens-market-consultation-on-tsi-iodex-methodology-alignment</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=s8LkHAfpQECqbwXq1axos5</video:player_loc><video:thumbnail_loc /><video:title>S&amp;amp;P Global Platts opens market consultation on TSI-IODEX methodology alignment</video:title><video:description><![CDATA[On May 15, S&P Global Platts opened a market consultation on a proposed merging of TSI-62% and IODEX iron ore price methodologies from January 2, 2018. In this video, Ciaran Roe – Global Methodology Specialist, Metals – explains the rationale for the proposal and the mechanics of the proposed changes to these iron ore price series. Your feedback is important to us. Please send suggestions, questions and comments to pricemethodology@spglobal.com . Subscriber note: Platts opens consultation on methodology changes to TSI-62%, IODEX Special report: Developments in the ferrous market across paper, port and physical aspects Published April 2017 The ferrous market has evolved significantly towards greater transparency and efficiency, with growth in the derivatives sector. S&P Global Platts tracks the recent evolution across the derivatives, physical and port stock markets, to understand both its development so far and potential for growth in the future. Download (PDF) View Full Transcript Video Transcript S&P Global Platts opens market consultation on TSI-IODEX methodology alignment With Ciaran Roe, global methodology specialist, metals Welcome to this Platts methodology review video. I’m Ciaran Roe, global methodology specialist for metals. On May 15, Platts published a subscriber note marking the start of a formal market consultation into possible methodology changes to its TSI-62% and Platts’ iron ore index, or IODEX, price series. These two prices are used widely in derivative and physical contract settlement. For this reason, Platts is seeking feedback over the next month from as wide a cross-section of the market as possible. Platts welcomes feedback from all parts of the market. Please send any feedback to: pricemethodology@spglobal.com by June 15. For full details of the proposed methodology changes under discussion, please consult: https://www.platts.com/subscriber-notes The proposed implementation date of these changes is January 2, 2018. Both TSI and IODEX would continue to be published, but as two identical values. The names of these prices would remain unchanged. The upshot of these changes would be to eliminate the price difference between the TSI-62 and IODEX price series, taking away this basis risk caused by the TSI-IODEX differential when market participants hedge their physical IODEX exposure using TSI-linked derivative contracts. Market participants have asked Platts to eliminate the price difference between these two price series for several years and, as index-linking in the spot market has increased, these calls have also become louder. So, what is the process being put forward? The consultation involves three methodology changes, which would merge the two methodologies: 1) A change from a 6pm Singapore time cut-off to a 5.30pm time-stamp for the TSI-62% index 2) Formalizing the delivery window for the TSI-62% index to become 2-8 weeks forward from “within 8 weeks” 3) Adjustments to the IODEX specification Ancillary to these changes, a rationale for TSI-62% would be published. This rationale would describe how the final index value was reached and how data was treated by the assessment team. All the data used in the assessment would be visible in the rationale. Platts already publishes a full, transparent rationale in its Steel Markets Daily publication which describes in detail how IODEX was assessed and lists all the data underpinning the assessment value. In order to publish a rationale for TSI-62, Platts would have to discontinue receiving submissions pursuant to the existing TSI Data Provider Agreements for companies submitting to TSI’s Iron Ore indices. I’ll now go through the proposed methodology changes in more detail. TSI-62’s 6pm cut-off would change to become a 5.30pm timestamp—aligning with IODEX. Therefore, transactions, and competitive, firm bids or offers valid at or closest to 5.30pm would be given highest weight in the index price. This would mean that volume-weighted averaging would no longer be used in valuing the TSI-62% index. Such a change would be made in order to fully reflect the intra-day nature of the seaborne iron ore market. As you can see in this graph, visible intraday price movement in the iron ore market is a reality. Each point on the graphic shows the normalized price for an iron ore cargo traded on a single day in March last year. Cargo values moved nearly $7/dmt in a few hours. Rapid developments in the derivatives market, both on- and off-shore, combined with increased visibility into physical pricing thanks to various trading venues have aided this development. Using end-day pricing techniques would fully reflect the fact that iron ore prices can now change during the course of an afternoon, mirroring how many fast-moving commodity markets are priced in the physical and derivatives segments. For further details on this change in the iron ore market, take a look at Platts’ white paper on this subject, published April 25th. DELIVERY WINDOW Moving onto the second proposed change: 2-8 weeks forward is the window within which more than 97% of observed spot deliveries fall. The TSI-62% index would move to formally reflect these deliveries. Using observable spot market data from the first four months of 2017, Platts’ data shows one cargo due for delivery before 2 weeks forward; while 2.24% were for delivery after eight weeks ahead. Meanwhile, 17.5% of cargoes tracked were for delivery five weeks ahead (+/- 1 day). In conjunction with the visible intra-day price movement, market participants have also started to increasingly price cargoes depending on when they are likely to be delivered to China. This physical forward curve can move from backwardation, to contango or be in a flat structure for the 2-8 week period. The average of this 2-8 week physical forward curve would be used to value TSI-62, maximizing data available while reflecting the potential for value differences caused by different delivery dates. IODEX SPECIFICATION As part of this series of methodology changes, Platts is also proposing to alter the specifications of IODEX to move the assessment further in line with the most liquidly-traded medium grade fines brands in the spot market. In this graph, the observed spot trade of various brands is represented by the circles. The proposed changes would be to silica, alumina and phosphorus levels as well as to the minimum cargo lot size under assessment. Thank you for watching this video. I hope that you have found it useful and please refer any feedback or questions to the email address on the foot of the screen. FEEDBACK Please send any feedback to: pricemethodology@spglobal.com by June 15. For full details of the proposed methodology changes under discussion, please consult: https://www.platts.com/subscriber-notes]]></video:description><video:publication_date>2017-05-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051817-new-northeast-us-gas-pipelines-will-be-hard-to-fill-platts-analytics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Wz9ouBxosvaKb1z9nDkvdR</video:player_loc><video:thumbnail_loc /><video:title>New Northeast US gas pipelines will be hard to fill: Platts Analytics</video:title><video:description><![CDATA[A wave of new gas pipeline capacity is set to come online in the Northeast US before the end of 2017, but current drilling and output in the area suggests that producers are unlikely to meet transportation obligations. Luke Jackson evaluates the Rover, TCO Leach Xpress and TETCO Adair/Southwest/Lebanon projects and the chances that they will fill with new supply — before even more pipeline capacity is expected in the area in 2018 and 2019. View Full Transcript Video Transcript New Northeast US gas pipelines will be hard to fill: Platts Analytics By Luke Jackson, senior energy analyst Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. The biggest question in the Northeast US natural gas market as a wave of new pipeline capacity is set to come online before year's end is whether or not these new expansions will fill up with new production and how many more rigs are actually needed to achieve this. Historically, when new pipelines came online, Northeast production increased to fill those expansions. However, going forward, Platts Analytics does not expect this to be the case. In a recent Spotlight post, Platts Analytics discussed the level of drilling activity needed to fill the 5 Bcf/d of new pipeline capacity from the Rover, TCO Leach Xpress and TETCO Adair/Southwest/Lebanon projects, which are poised for late 2017 in-service dates. Roughly 45 additional rigs in Ohio, southwest Pennsylvania, West Virginia would be needed to fill capacity by December 2017 In short, roughly 45 additional rigs on top of the current 50 rigs running in the Ohio, Southwest Pennsylvania and West Virginia region would be needed to fill this capacity by December 2017. But a more interesting question is: how much would it take for individual producers to fill their respective transport? Antero, Range and Ascent are three producers are contracted for a combined 3.2 Bcf/d of the 5.3 Bcf/d of expansion capacity due online in 2017. Antero, Range, Ascent unlikely to fill transportation obligations by December 2017, based on current drilling pace, production profiles Based off each company's current pace of drilling and respective production profiles, all three operators are unlikely to fill their transportation obligations by December 2017. However, filling their transport by December 2018 is feasible. Antero is best positioned to fill its 0.8 Bcf/d commitment on Rover with new production by December 2018 if it completes 1.5 times more wells than it is completing currently. However, Ascent and Range, would need to double and triple their current pace of well completions to fill their capacity obligations by December 2018. Pipeline projects coming online this year in Northeast US will likely take until December 2018 to approach full capacity: analysis This analysis suggests new pipeline projects coming online this year will not fill with new supply imminently, but rather, will likely take at least until December 2018 before approaching full capacity unless there is a reshuffling of gas from existing pipelines to the new capacity. But even more capacity will arrive online in the Northeast in 2018 and 2019. This new capacity will be nearly impossible to fill, barring a massive ramp in drilling activity, which, per our forecast, is not expected to occur. This changing Northeast narrative is very bullish for Northeast gas prices, which will be welcome news for Northeast producers who have been living in a sub $2/MMBtu world the past two years. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/051517-market-movers-may-15-19-chinas-belt-and-road-forum-singapores-bunker-fuel-sales-amp-irans-presidential-election</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BrUyR4V4dDp3eqMzDWDLaQ</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, May 15-19: China's Belt and Road forum, Singapore's bunker fuel sales &amp;amp; Iran's presidential election</video:title><video:description><![CDATA[China is hosting the Belt and Road Forum, which is looking at ways to connect China with Europe, Asia and Africa through infrastructure projects. How will it impact the energy sector? How will the result of Iran's presidential election set the direction of the country’s energy policy? And what will be the impact of the Kansas blizzard on global wheat prices? Pricing analyst Max Gostelow looks at this and other factors that could drive commodity markets this week. If you’re interested in India’s commodity markets, join our webinar on May 18 to discuss key findings from our Make in India special report. Register for the webinar here . Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asia's commodity markets. This week, an election in Iran, a coal conference in Bali and a blizzard in Kansas are all likely to impact our markets. But first, in oil, China is due to release April data later today that will provide clues about the country’s production during the peak refinery maintenance season. Beijing is also hosting the Belt and Road Forum, which is looking at ways to connect China with Europe, Asia and Africa through infrastructure projects, including in the energy sector. In the Middle East, all eyes are on Iran's presidential election this Friday. The result will set the direction of the country’s energy policy, and also likely determine the US' policy stance towards Iran. Meanwhile, Singapore is due to release bunker fuel sales data for April. If the data shows a rise in sales, it will confirm Singapore's bunker market is continuing to defy earlier fears that the compulsory use of mass flow meters since January would shift demand to neighboring ports. The Long Range 2 freight rate for clean product tankers on the key Persian Gulf to Japan route has risen 20 Worldscale points over the past two weeks on tight vessel supply. The rise has recently slowed and rates are expected to hover around the same level this week. In LNG this week, all eyes were on the discount between European and North Asian prices, which widened to one dollar last week. This did not result in cargoes being reloaded from Europe into the higher priced Asian markets, but that could change if the spread continues to widen this week. Moving on to thermal coal, traders will be watching for hints on the near-term price outlook at the Coaltrans Asia conference in Bali over the next two days. Recent price falls in China’s domestic market could continue in coming weeks and have a bearish impact on seaborne prices of cargoes from Australia and Indonesia. In aromatics, ExxonMobil appears set to increase its production in Singapore after reaching agreement with Jurong Aromatics to acquire its plant on Jurong Island. The sale is expected to be finalized in the second half of the year. Meanwhile, the wheat market is closely watching the impact of snow damage on semi-hard wheat crops after a blizzard in the US state of Kansas last week. If premiums for semi-hard wheat do surge, growers in Australia are likely to plant similar grades during their ongoing planting season to take advantage of the higher prices. So, our big question this week is, what impact will the Kansas blizzard have on global wheat prices? Join our conversations on Twitter with #PlattsMarketMovers. We’d love to hear your thoughts. Also, if you’re interested in India’s commodity markets, join our webinar on May 18, where we’ll discuss key findings from our Make in India special report. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-05-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/051117-ferc-quorum-concerns-increase-uncertainty-for-gas-pipeline-projects-rates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=jiAmRGmm7tWRH1zRBv1dyq</video:player_loc><video:thumbnail_loc /><video:title>FERC quorum concerns increase uncertainty for gas pipeline projects, rates</video:title><video:description><![CDATA[The White House late Monday announced its intent to nominate two commissioners to the US Federal Energy Regulatory Commission , but the timing and politics of confirmation are still uncertain. Meanwhile, FERC is without the quorum needed to conduct its full range of business. Maya Weber examines how many backlogged orders could await newcomers and what impact FERC's current state is having on gas pipeline projects. A major trade group and Senate energy panel leaders are concerned about delays ; will the commission be back at full speed soon? Related: Find more content about Trump's administration in our news and analysis feature. View Full Transcript Video Transcript FERC quorum concerns increase uncertainty for gas pipeline projects, rates By Maya Weber, associate editor, Inside FERC Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. We're here in Washington, where the Trump administration is taking action to expedite priority energy projects and unleash untapped natural gas reserves. Well, not so fast. While the administration has announced plans to rethink environmental policies unpopular with the oil and gas sector, one key federal agency has its hands tied. The Federal Energy Regulatory Commission for three months has lacked the quorum of at least three commissioners needed to give interstate natural gas projects a final signoff. The regulated industries are getting frustrated. They've planned significant new pipeline capacity over the next few years. Despite their repeated pleas, the White House has yet to formally nominate new commissioners. And the hurdle for restoring a quorum just got higher when one of the sitting Democrats announced she won't be seeking another term after hers expires at the end of June. White House announced two Republicans for FERC this week, but timing, politics of confirmation in Senate still uncertain Those who've watched the process before tell Platts it could take another 5 to 10 weeks to seat commissioners once the White House sends names to Capitol Hill. Concern is growing about delayed energy rate and project decisions handled by the agency, as well as the mounting backlog of orders that will confront new commissioners. There could be 150 or more backlogged orders awaiting FERC newcomers: former commissioner There easily could be 150 or more backlogged orders greeting the newcomers, one former commissioner told me. That could delay decisions on major policies while they work through the stack. Already the commission has declined an invitation to weigh in on a court dispute over state subsidies in competitive power markets in Illinois. So have pipeline projects been stopped in their tracks? Not exactly. In the week or so before FERC lost its quorum, it approved a slew of gas pipeline expansions, clearing most of the projects that were ripe for action, though one major pipeline, NEXUS, was left idling. And FERC staff has been busy signing off on notices to proceed with construction. In fact, project signoffs in January and February were more than double the amount backed a year earlier. Still, developers are likely biting their nails. There could be complications for projects hoping for approval this summer or early fall so they can meet in-service dates. In one case, a state agency already has indicated it can't review a wetlands permit application until FERC acts. INGAA told Congress about $14 billion worth of projects sidelined by lack of FERC quorum As of early May, most project sponsors said they expect to meet their schedules. But INGAA, a major trade group, has told Congress that projects totaling about $14 billion dollars have been sidelined. Will the commission be back at full speed soon or will there be more delay? Until next time on the Snapshot—we’ll be keeping an eye on the friction between politics and the markets.]]></video:description><video:publication_date>2017-05-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050917-brent-crude-oil-volatility-may-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=w18GfbTLNWdzRTvbLznnqn</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: May outlook</video:title><video:description><![CDATA[The first half of April saw Brent crude oil prices soaring because of geopolitical tensions between the US and North Korea and disruptions to oil terminals in Libya due to rebel militias. Nevertheless, the market uptrend did not last for long; in fact, it started to tremble in mid-April when BFOE grades began to drop as a consequence of uncertainty in Asian demand. Analyst Vito Turitto sees Dated Brent's and ICE Brent futures' volatilities increasing in the very short term, followed by a period of stabilization over the coming weeks. View Full Transcript Video Transcript Brent crude oil volatility: May outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The first half of April saw Brent prices soaring because of geopolitical tensions between the United States and North Korea and disruptions to oil terminals in Libya due to rebel militias. Nevertheless, the market uptrend did not last much, in fact, it started to tremble around April 18 when BFOE grades began to drop as a consequence of uncertainty in Asian demand. The weak buying interest in the North Sea, despite advantageous arbitrage economics, is due to the fact that the Asian market, at the moment, does not really need additional oil from the North Sea because, around Singapore and China’s ports, a large volume on floating tankers is waiting to be sold. Internationally, the US crude oil production achieved 9.9 million b/d, the OPEC output touched 31.85 million b/d at the end of April whilst the Saudi minister Khalid Al-Falih stated that OPEC members, in their next meeting at the end of May, are likely to extend the production cuts to 6, 9 or even 12 months, if necessary. Dated Brent’s April average price equaled $52.5/b while ICE Brent futures averaged $53.7/b during the same period implying an average price differential of $1.19 in favor of futures over physical but the most interesting divergence comes from volatility. The volatility of the Brent physical market closed the month of April at a 16.4% premium over ICE Brent futures, however, the overall monthly differential equaled 11.5% which is substantially far from the long term mean of 1%. The large volatility differential is due to Dated Brent’s monthly volatility being constantly higher than that of Brent futures implying that some changes in the fundamentals might be on the horizon. The “physical vs paper” analysis shows that both physical and futures volatilities, although still very low, are now fluctuating around a new equilibrium level so it is likely that Dated Brent’s and ICE Brent futures’ volatilities will tend to increase in the very short term but will stabilize in the coming weeks. This implies that some market turbulence should be expected but, overall, the market should also make some gains in the run up to May 25. Nevertheless, the uptrend in Brent prices should be slow and it is highly unlikely that the $54-$55/b range will be breached. The volatility premium spiked tremendously in the month of April and moved from 20.8% on the 3rd of April to 104% on the 13th of April and dropped back down to 27.4% at the end of the month. The volatility premium averaged 56.4% in April while its year-to-date value is 26.8% which implies that the differential between the two volatilities will tend to reduce over the next weeks. The drop in the volatility premium signals that market conditions will probably tend to get back to normal in the coming four to five weeks but the fact that it is still trading at a high level compared to its two-year average of 8.27% indicates that the market could still experience some turbulence in the very short term. The volatility cones analysis shows that the current volatility curve is still trading below the medium and low range curves implying that the mean reverting pressure, in the very short term, is fairly sustained and that a higher degree of market volatility should be expected. The increment in the oscillation rate in the very short term will cause some turbulence and market instability but, overall, the volatility spike should be far from violent and the price trend should stabilize in coming weeks. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/050817-market-movers-may-8-12-s-korea-elections-impact-on-lng-imports-release-of-mideast-june-osps-indias-new-steel-policy</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Z8TRsFp6GaeYxt4Gjkh9qA</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, May 8-12: S. Korea election's impact on LNG imports, release of MidEast June OSPs, India's new steel policy</video:title><video:description><![CDATA[How will South Korea's LNG imports be affected after the presidential elections on May 9? How will Middle East producers set official selling prices for crude oil coming to Asia in June? And how will India's new steel policy affect potential imports and domestic prices? Editor Charlotte Rao looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian energy and commodity markets. This week’s highlights: a look at how South Korea’s presidential elections could affect LNG imports, a new steel policy in India, and an update on Panamax and Supramax freight rates. But first, in oil, Middle Eastern crude producers are expected to release their official selling prices in coming days after Saudi Aramco issued its last week. Aramco lowered its June OSPs for crude bound to Asia by up to seventy cents a barrel, and raised them for cargoes bound to Northwest Europe, the Mediterranean and the US. In petrochemicals, Taiwan's Formosa Petrochemical will double its use of LPG to fifteen percent in May. This comes as its price fell to a fifty dollar discount to naphtha, the level at which Northeast Asian steam crackers typically switch feedstocks. The move will result in higher ethylene yields. Here’s a quick look at scheduled maintenance for vinyl acetate monomer and acetic acid in Asia this month. In shipping, Panamax and Supramax freight rates in Asia Pacific dived last week due to a lack of demand. However, market sources expect rates will regain some ground this week as fundamentals remain stable. In addition, coal traders say the recent drop in coal prices should spur demand for ships as trade ramps up after recent holidays in the region. Still in coal, the annual supply contract between Japanese power utilities and Australia’s Glencore is finally expected to be sealed this week. Spot activity in the Japanese market has slowed to a crawl as the talks have run six weeks over deadline. In LNG, traders are expecting supply to hit the market this week after several cargoes in a Kogas tender in South Korea last week were not awarded. The restarts of Australia’s Gorgon Train Two and the US' Sabine Pass Train Two will also add to supply. Meanwhile, South Korea’s LNG imports are likely to rise as all three main candidates in Tuesday’s presidential election promise to tackle air pollution. Coal-fired power generation is targeted for reduction. In steel, a new policy in India mandates the preference for local steel in all government procurement tenders. Meanwhile, in China, all eyes are on an upcoming conference in Beijing for official news on sintering and steel production cuts. For our big question this week: Will China curb production further, and by how much? Share your thoughts on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-05-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050717-changing-trade-flows-and-chinas-appetite-for-diversified-crude-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=w87Dm4vnqaXrPs1JYfsECA</video:player_loc><video:thumbnail_loc /><video:title>Changing trade flows and China's appetite for diversified crude oil</video:title><video:description><![CDATA[Global crude differentials have narrowed and higher crude oil volumes are moving from west to east. S&P Global Platts trade flow tool cFlow shows that in April alone, China likely saw the arrival of at least six VLCCs and four Suez-max vessels transporting North American crude. In this video, S&P Global Platts senior analyst Yen Ling Song examines China's appetite for US crude and how this might affect the flow of supply from Russia. View Full Transcript Video Transcript Changing trade flows and China's diverse appetite for crude oil By Yen Ling Song, Senior Oil Analyst Welcome to The Snapshot, our series which examines the forces shaping and driving global commodities markets today. Following an agreement by OPEC and non-OPEC members to curb crude output by close to a combined 1.6 million b/d at the end of November, and OPEC member countries subsequently achieving a high level of compliance, global crude differentials have narrowed, with the Middle Eastern crude benchmark Dubai strengthening and making it possible to move more crude from west to east. Refineries in Asia have therefore been taking advantage of this open arbitrage to buy more crude from the Atlantic Basin, including West African, North Sea and US grades. With a steady rise in crude oil prices in the last six months, US crude production has increased by nearly 500,000 b/d this year to over 9.2 million b/d, the highest level since August 2015. As a result, US crude oil exports have been steadily rising. In February alone, exports hit a record high 1.08 million b/d. China has become the largest buyer of incremental crude exports coming out of the US, with February loadings rising to a new high of over 340,000 b/d. The crudes are being taken by both state-owned oil companies as well as independent refiners. In April China likely saw the arrival of at least six VLCCs and four Suez-max vessels transporting North American crude, delivered to ports such as Qingdao, Rizhao and Dalian.This is according to S&P Global Platts trade flow software, cFlow. The inflow of low sulfur Atlantic Basin crudes into China comes at a time when it is also moving to lower sulfur specifications for its transport fuels. At the start of this year, China moved to the National Phase 5 standard nationwide, capping sulfur limits for gasoline and motor diesel at 10 parts per million. Some independent refiners in China are also on the lookout for light, sweet grades to blend with their intake of heavy Venezuelan crude. However the US is not only exporting light, sweet grades from its shale basins. China has also bought medium to heavy sour grades Southern Green Canyon, Mars produced in the Gulf of Mexico, alongside sweeter and lighter crudes like Thunderhorse and White Rose and Hibernia from Canada. Until the OPEC production cuts are reversed, the expectation is for differentials between Brent and Dubai and Dubai and WTI to remain tight. And China, with a long history of crude supply diversification, will likely continue to import more North American crude oil as well. This will have some implications for Russia, which was China’s top supplier of crude oil in 2016. Given that its primary export blend ESPO would likely compete with Atlantic Basin crudes. Already the share of Russian crude oil among China’s overall imports so far this year has fallen from the same time in 2016. So it remains to be seen if Russia can hold on to its market share in China. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050417-us-demonstrates-allegiance-to-aluminum-steel-through-import-investigations</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=189D54exsstT3kWTLiX8Kc</video:player_loc><video:thumbnail_loc /><video:title>US demonstrates allegiance to aluminum, steel through import investigations</video:title><video:description><![CDATA[While the Trump administration has been cozying up to steel, it's also showed some love for another sector: aluminum. Love is a battlefield, and the administration announced the deployment of a seldom-used weapon in the war against imports: a Section 232 investigation, used to determine whether imports could impact national security. Joe Innace considers whether the investigations are the whisperings of sweet nothings or the start of a more serious relationship. Further, could Canada find itself in the spotlight, and could prices be affected? Read more details about the US initiating a Section 232 probe on steel imports' impact on national security , and then read our analysis of what Trump's steel directive means for US national security . Related: Find more content about Trump's administration in our news and analysis feature. View Full Transcript Video Transcript US demonstrates allegiance to aluminum, steel through import investigations By Joe Innace, content director, Americas metals Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. In my last Snapshot video , I talked about how the Trump Administration was showing great affection for American steel producers. Guess what? Since then, that infatuation has turned to passion. Trump has consistently been saying things to make the US steel industry feel appreciated. During his first 100 days, Trump delivered on many campaign promises — if not legislatively — but by signing executive orders and memoranda related to steel. The president has been executing on the trade front. He withdrew from the Trans-Pacific Partnership—an action that filled American steelmakers with glee, and he signed an executive order to beef up trade enforcement at the borders and improve the collection of duties. Now, any relationship hits some bumps. And on April 12th, President Trump said he would not name China a currency manipulator. Big steel did not like that — some thought he’d lost that loving feeling, but overall, steelmakers still stood by their man. And about a week later, their loyalty was rewarded. On April 20, proving love is a battlefield, Secretary of Commerce Wilbur Ross announced the deployment of a seldom-used weapon in the war against imported steel — a Section 232 investigation. Section 232 investigation is used to determine impact of imports on national security Section 232 is part of the Trade Expansion Act of 1962 and is used to determine the impact of imports on national security. But while Trump was cozying up to steel, his eye was wandering to another metal. And the next week, a Section 232 investigation was also announced for … …US aluminum. Section 232 investigations ordered for both steel and aluminum To be clear: Import restrictions of steel and aluminum on the grounds of national security have not yet been ordered by the US. What has been ordered are two investigations to assess the respective situations. This could turn out to be the whispering of sweet nothings, or it could turn out to be an everlasting love triangle featuring the Administration, steel and aluminum. Potentially complicating the relationship: Substantially more primary aluminum is produced in Canada than in the US — and there is a lot of cross-border trade. At the steel briefing, Ross emphasized that the net effect of any tariffs, if it came to that, would not be to prohibit foreign imports. Rather, he said, it “will be to change the price.” But a change in prices, however dotingly motivated, can be a slippery slope. And it’s important to remember that steel and aluminum are globally traded commodities. In an ideal world, their prices are determined by natural market forces. And when governments intervene with duties and tariffs, well, sometimes you can’t hurry love. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-05-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration /></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/050217-can-make-in-india-alter-the-countrys-commodities-landscape</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-05-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oQp5Sx5edFhABQ2ApMT3jf</video:player_loc><video:thumbnail_loc /><video:title>Can 'Make in India' alter the country's commodities landscape?</video:title><video:description><![CDATA[The 'Make in India' campaign seeks to position the country as an investor-friendly manufacturing hub, with the aim to raise the sector's share in GDP sharply over the next few years. In this video, Sambit Mohanty, senior editor of oil news and analysis, talks about the key findings of the S&P Global Platts special report 'Make in India,' A New Window of Opportunity for Commodities , and how the campaign is making an impact on the oil and gas, coal, petrochemicals and metals markets. View Full Transcript Video Transcript Can 'Make in India' alter the country's commodities landscape? By Sambit Mohanty Welcome to the Snapshot our series examining the forces shaping and driving global commodities markets today. In this episode, we will take a look at the key findings of an S&P Global Platts special report looking at how the "Make in India” initiative is altering the country's commodities landscape. The sweeping reforms have infused new momentum into the manufacturing sector. A series of new projects have been announced and implemented, helping to drive up demand for oil, coal, petrochemicals and metals. There are already signs of success. Companies such as Shell, BP, Rosneft and Trafigura are expanding their presence. S&P Global economists are comfortable forecasting an 8% GDP growth forecast for the next few years. This comes at a time when China’s economic growth is slowing. Unlike the sharp recovery seen after the global financial crisis of 2008, our economists believe the current one has not only been gradual, but more sustainable. Now let’s look at the growth prospects for various commodities, compiled with the help of inputs from CRISIL and Platts Analytics. Crude oil demand is expected to rise at a compound annual rate of 5% until 2020. Large gains in domestic production are not expected, raising the dependence on imports. Regulated domestic prices and a lack of pipeline infrastructure have held back gas demand growth. Gas demand is expected to rise at a compound rate of 4% over the next five years. While India has a surplus of refined oil products, the petrochemicals industry is a major deficit center. It's the third largest polymer market in the world, demand is growing at 10% a year, a rate that is expected to be sustained over the next decade. In thermal coal, a rapid expansion in domestic production has seen imports peaking. Targets for increased output remain ambitious, but are likely to be successful to reduce dependence on imported coal. Power demand is forecast to surge 44% from 2016 levels by 2020. The national system is moving into surplus. In the steel segment, short-term steel demand growth is set to accelerate above 6% by 2021, driven by railways and urban infrastructure. While India is already self-sufficient in commercial grade steel, deficits are expected in high value-added steel. But ensuring stable long-term energy and resource supplies will be critical to expand manufacturing. We believe that growth must be based on both the domestic market, which will require a broader distribution of income, and a more competitive economy that allows Indian manufacturers to expand in foreign markets. There are reasons to be optimistic about the Indian growth story, as well as good grounds for caution. It is likely that India will realize at least in part its ambitions for its manufacturing sector. But the level of success depends ultimately on the continuation of the strong government policy initiatives that have been launched and implemented over the past two years. To better understand India’s challenges and opportunities, download our special report. Until next time on The Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-05-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042517-natural-gas-from-prolific-permian-basin-seeks-new-demand-from-lng-mexico</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=n8DGXBbAfjAth4T4YDYEUL</video:player_loc><video:thumbnail_loc /><video:title>Natural gas from prolific Permian Basin seeks new demand from LNG, Mexico</video:title><video:description><![CDATA[The Permian Basin is now home to almost 40% of all rigs currently active in the US, but natural gas demand in traditional demand centers is diminishing, leading to a fundamental oversupply in the basin. Ross Wyeno shares the Platts Analytics forecast of Permian production, which sees associated gas growing to over 7.4 Bcf/d by the end of 2022. Can the gas find a home in Mexico or in the eastern US? View Full Transcript Video Transcript Natural gas from prolific Permian Basin seeks new demand from LNG, Mexico By Ross Wyeno, senior energy analyst Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. With a high quality crude oil resource, close proximity to downstream demand markets, and high initial production rates, the Permian Basin offers some of the best returns of any play in the United States. As a result of the top-rate drilling economics, associated gas production from the Permian Basin grew to over 5 Bcf/d in March, a 14% increase from a year ago. Permian Basin’s 340 rigs represent 40% of all rigs currently active in the US There are now around 340 rigs operational in the Permian, a 160% increase from a year ago and representing nearly 40% of all rigs currently active in the US. Based on an outlook of moderately improving oil prices over the next five years, Platts Analytics’ expects that total associated gas production from the Permian Basin will grow to over 7.4 Bcf/d by the end of 2022, a 59% build over 2016 year-end production. However, as Permian Basin gas production continues to grow, regional demand from the traditional demand centers in the Midcontinent and the Southwest is diminishing, leading to fundamental oversupply in the basin. Permian Basin gas needs to push into new demand emerging in Mexico, LNG export facilities As growing production continues to pressure prices, Permian Basin gas will need to push into new demand emerging to the South in Mexico and to the East at LNG export facilities. Over the last year, West Texas has added nearly 3.1-Bcf/d of export capacity, all of which will source supply from the Waha area in the Permian. Platts Analytics’ expects that Permian Basin gas exports to Mexico will grow to around 2 Bcf/d by mid-to-late 2018 — up from around 0.4 Bcf/d currently — as downstream pipeline projects in Mexico are completed and exports along these new pipelines ramp up. Total Permian Basin exports to Mexico unlikely to exceed 2.3 Bcf/d due to downstream limitations However, due to downstream limitations within Mexico’s own pipeline system, total Permian Basin exports to Mexico are unlikely to exceed 2.3 Bcf/d, which suggests that exports to Mexico will not be able to absorb all of the expected production growth from the Permian Basin. Therefore, some incremental production will need to head eastward, for which there are already concerns of capacity limitations. Eastbound flows out of the Permian Basin averaged around 1.6 Bcf/d in 2016 and Platts Analytics’ expects them to rise to 2.8 Bcf/d by 2022 in its base case forecast, which assumes that flows north to the Midcontinent remain flat to 2016. The high case forecast assumes Midcontinent pipelines begin backhauling gas into the Permian and sees flows rising to nearly 3.5 Bcf/d. Need for more pipeline capacity for eastbound flows may weigh on Permian Basin gas prices In both cases, this represents a significant increase over historic eastbound flows, which peaked at just less than 2.7 Bcf/d in mid-2010. This expected growth in eastbound flows will likely necessitate additional pipeline capacity and may continue to weigh heavy on Permian Basin gas prices until eastbound pipeline capacity is increased. Until next time on The Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-04-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:07</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/042417-market-movers-apr-24-28-opec-non-opec-cuts-appear-more-likely</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3gAKqjS2iQi8tqKgzc4SDp</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Apr 24-28: OPEC, non-OPEC cuts appear more likely</video:title><video:description><![CDATA[OPEC ministers will meet on Aprl 27 in Paris for further talks on the possibility of extending output cuts beyond June. Will they or won't they? Why are sugar prices under pressure? And how long will the supply recovery take after Cyclone Debbie ? Editor Avantika Ramesh looks at this and other factors that could drive commodity markets this week. Related special report: 'Make in India,' A New Window of Opportunity for Commodities Related events Platts Delhi Commodity Market Insights Forum Platts Mumbai Commodity Market Insights Forum Platts Singapore Metals Forum Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian commodity markets. This week: an extension to oil production cuts appears more likely, and no end in sight to Japan's coal supply talks more than three weeks past deadline. First, in oil, OPEC ministers meet Thursday in Paris for further talks on extending output cuts beyond June. Prospects received a major boost last week when Saudi Arabia and Russia indicated they would support an extension. So, the big questions this week is: Do you think OPEC and non-OPEC producers will agree to extend oil output cuts beyond June? Send us your views on Twitter with #PlattsMarketMovers. In shipping, a conference in Singapore this week will likely provide fresh leads on the outlook for freight markets, and on how owners are responding to the surge in newbuild ships. Also in shipping, the VLCC market is expected to remain bullish this week. The key Persian Gulf-Japan rate is moving closer to the 80 Worldscale point level due to limited vessel supply and steady chartering activity. In LNG, tender results are expected this week from South Korea’s Kogas, which is seeking cargoes for delivery in June and July. Moving to coal -- and all eyes this week are on the Japan-Australia supply contract for the new fiscal year. Talks are already three weeks over deadline, with no agreement in sight. Traders are also keeping an eye on Indian buyers, who could soon start restocking ahead of the monsoon season. In agriculture, sugar prices will be under pressure this week as buyers in Myanmar return from holiday. In addition, almost 300 floating and unsold containers from Central and South America and India could see sellers slashing prices to avoid demurrage fees. Over in China, the aluminum industry is monitoring how prices will respond to almost 2 million mt of capacity cuts at smelters in Xinjiang. In steel, a key industry event in Singapore will discuss the state of play in steel and raw material markets this week as we head towards peak steel production season in China. So, with slipping steel margins and a supply overhang, when will seaborne iron ore prices finally find balance? And how long will the supply recovery take after Cyclone Debbie? Lastly, S&P Global Platts is hosting the Delhi and Mumbai Commodity Market Insights forums this week. You can also get Platts insights into multiple commodities market in the fast growing economy in our India white paper. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-04-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042017-market-for-otc-capp-barge-coal-dwindles-as-utility-demand-declines</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YujEBEfAHxq5JJMzi39Jc8</video:player_loc><video:thumbnail_loc /><video:title>Market for OTC CAPP barge coal dwindles as utility demand declines</video:title><video:description><![CDATA[The Central Appalachian barge coal market has been shrinking for years, and recently a significant amount of CAPP tonnage has been taken out of production on bankruptcies and mine closures. Jim Levesque examines how the switch to cheaper coals pressured the market and why S&P Global Platts proposed to discontinue the daily OTC CAPP barge price. Read the related subnote here: Platts proposes discontinuing CAPP barge price Send questions or comments about the proposed daily CAPP barge assessment discontinuation to coal@spglobal.com View Full Transcript Video Transcript Market for OTC CAPP barge coal dwindles as utility demand declines By Jim Levesque, associate editor, Coal Trader Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. In this episode we’re going to talk about S&P Global Platts’ proposal to discontinue the daily over-the-counter price assessment for Central Appalachian, or NYMEX, barge 12,000 Btu-per-pound, 1.67 pounds of SO2-per-MMBtu coal and why. Making a decision to discontinue a price assessment, especially a benchmark, does not come easily, but after surveying industry participants and extensive market research, Platts determined the move was prudent. The CAPP barge market has been shrinking for years. US Energy Information Administration data shows that from 2015 to 2016, utility deliveries of NYMEX-quality barge coal fell 32.7 percent year over year to 2.6 million short tons from 3.9 million short tons. Many factors accounted for the decline, including retirements of older coal-fired power plants along the Appalachian waterways and a loss of market share to Illinois Basin and Northern Appalachian barge coals. The installation of emission control technologies has helped encourage utilities to switch to cheaper, high-sulfur coals, while some power plants have retained a limited amount of CAPP barge consumption as a blending product. Producer bankruptcies, mine closures took significant CAPP barge coal tonnage out of production The bankruptcies of Patriot Coal and Alpha Natural Resources and ensuing closures of dozens of CAPP mines as the coal market sank in 2015 took a significant amount barge coal tonnage out of production for good. CAPP miners now are also shifting production into the much more liquid rail market. As utility demand declined, the markets responded. In May 2015, the CME announced it was discontinuing its physically-settled CAPP barge futures contract at the end of 2016 because of a lack of liquidity. OTC CAPP barge trading volumes have plummeted since, as brokers and traders have pulled out of the shrinking market. Only five barge trades were made on CME in all of 2016. And while there still is a financially-settled CAPP barge contract on ICE, there has been no open interest there since at least March 2015. Last OTC CAPP barge deal was October 11, 2016 Today, CAPP Barge deals are made directly between the few remaining utility consumers and producers; and there hasn’t been an OTC CAPP barge deal since October 11, 2016. Platts will cease daily CAPP barge OTC price on September 26, 2017, but will continue assessing physical market on weekly basis Platts will cease its daily CAPP barge OTC price as of September 26 but will continue to assess CAPP barge prices in the traditional physical market on a weekly basis. If you have any questions or comments on the daily CAPP barge assessment discontinuation, please email coal@spglobal.com. We’d love to hear from you. Until next time on the snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-04-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:53</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041817-tanker-freight-rates-tank-on-chinas-proposed-consumption-tax</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xLQfnPk4zf9JFmpY6bzUE8</video:player_loc><video:thumbnail_loc /><video:title>Tanker freight rates tank on China’s proposed consumption tax</video:title><video:description><![CDATA[China's plan to impose a consumption tax on mixed aromatics, light cycle oil and bitumen blend has shaken up everyone from the oil industry to the shipping industry. If implemented, the proposed tax will curb inflows of the said products, hit exports of oil products, and in turn hurt demand for oil tankers, says senior editor Sameer C. Mohindru . Related analysis: China seen moving swiftly to rein in oil blending frenzy View Full Transcript Video Transcript Tanker freight tanks on China’s proposed consumption tax By Sameer C. Mohindru, Senior Editor, Shipping, Asia Welcome to the Snapshot, a series that examines the forces shaping and driving global commodity markets today. If China sneezes, the rest of the world catches a cold. And if China coughs, it is the rest of the world that has to clear its throat. Such is the whopping appetite of China for all commodities that policy changes effected in Beijing have a significant impact across the globe. It should not then come as a surprise that China's plan to impose a consumption tax on mixed aromatics, light cycle oil and bitumen blend, has shaken up everyone -- ranging from the oil industry to the shipping industry. The proposal, if implemented, will curb inflows of these products and hit exports of oil products – and in turn hurt demand for oil tankers. Freight rates for medium range tankers have already taken a hit. Large numbers of mixed aromatic cargoes are shipped out of Singapore to China in MR tankers. These tankers then load distillates for delivery to Singapore, the Philippines and South Korea, among other destinations. The proposed consumption tax, refinery turnarounds and lower export quota volumes for oil products from China have combined to take their toll on the freight market. The lump sum freight on all major MR routes has declined. Market participants expect details on these consumption taxes, also called the Dragon Taxes, to be released anytime in the next 10 weeks. China already imposes similar taxes on gasoil, gasoline and fuel oil. Once the LCO and mixed aromatics are brought into the dragnet, imports and blending with local distillates will become less attractive. As shipments get hurt, more Medium Range tankers will pile up at major ports such as Singapore and in South Korea and Indonesia. Already, the importers are desisting from placing orders for May delivery. Lesser demand for tankers comes at a time when the global fleet is expanding fast and the order book for MRs is equivalent to 8% to 10% of the global fleet. Mixed aromatics is the main blending material for gasoline, and LCO for gasoil. So the question on the back of everyone's mind is why import when there are no profits to be reaped? China's annual imports of mixed aromatics and LCO combined reach over 16 million tons involving thousands of shipments. The ships that discharge at Chinese ports then do return voyages laden with loads of Chinese surplus of gasoline, gasoil and jet fuel. Once there is fewer mixed aromatics to blend from overseas, China's exports of gasoline are expected to drop, as refineries would need to boost supply to the domestic market. China has already cut its export quotas for oil products for the current quarter to control pollution and therefore the expansion of refining capacity. Under the processing trade category the quota is down 77% from second quarter of last year. More sleepless nights for ship owners and traders? Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-04-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041317-polymer-market-expects-uptick-in-brazils-pe-pp-demand-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=d3xsWuQv59fD9mRvojr24x</video:player_loc><video:thumbnail_loc /><video:title>Polymer market expects uptick in Brazil's PE, PP demand in 2017</video:title><video:description><![CDATA[The worst of Brazil's recession appears over, and petrochemical players in Latin America's largest economy seem to share the sentiment as they eye the future, particularly for polyethylene and polypropylene. Bernardo Fallas shares what he heard at the Feiplastic International Plastic Trade Show in Sao Paulo and how global majors are positioning themselves with capacity along the US Gulf Coast to target Brazil. View Full Transcript Video Transcript Polymer market expects uptick in Brazil's PE, PP demand in 2017 By Bernardo Fallas, associate editorial director, Americas petrochemicals Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Visit Brazil, and while folks there will be quick to remind you that a recession of historic proportions is by no means over, they tend to agree the worst appears behind Latin America’s largest economy. A similar sentiment was expressed by polymer market participants at the Feiplastic International Plastic Trade Show, held in early April in Sao Paulo. While Brazil has one of world's largest chemical markets, it also grapples with huge trade deficit Brazil has one of the world’s largest chemical markets, with some estimates pegging revenue north of 110 billion dollars as recently as 2015. But the country also grapples with a huge trade deficit, which in 2016 topped 22 billion dollars, according to ABIQUIM, Brazil’s chemical association. Brazil is also Latin America’s largest producer, consumer and exporter of polymers, mainly polyethylene and polypropylene. The country boasts more than 3 million metric tons per year of PE capacity and nearly 2 million tons per year of PP capacity, all of it controlled by Braskem across four petrochemical hubs. Braskem expects Brazil’s PE and PP demands in 2017 to hover around 2.5 million and 1.4 million tons, respectively. But because the company exports a significant portion of its production, the country is also a major import destination for resin from around the world. It was no surprise, then, that in addition to the more upbeat mood of this year’s FEIPLASTIC compared to two years ago, global majors made their presence felt at the fair. For ExxonMobil, which has world-scale polyethylene capacity in the US Gulf Coast region slated for startup during the second half of the year, Brazil offers a major opportunity in terms of growth. ExxonMobil’s presence is being felt particularly in the metallocene linear low density grades, market sources said. Dow Chemical, a longtime player in Brazil given its Argentina-based production, also has world-scale PE capacity coming online in the US Gulf Coast in 2017 and is looking to increase market share in the region. ExxonMobil’s and Dow’s projects are part of a wave of new US capacity that is expected to add some 5.4 million tons of ethylene and 3.8 million of PE this year. The expansions and timelines proved a hot topic at the fair given their possible effect on pricing in the region in late 2017 and into 2018. Meanwhile, Sabic, the Saudi Arabia-based major, is expanding operations and already imports significant amounts of resin, including high-density pipe grade material. Braskem anticipates 2017 to bring 2% rebound in PE demand, 2.2% increase for PP Braskem is anticipating a 2 percent rebound in PE demand in 2017 after 6-7 percent contraction in 2015-2016. For PP, a 2.2 percent increase after a roughly 9 percent contraction in 2015-2016. A sign, perhaps, that green shoots, as one US PE producer CEO recently put it, are beginning to emerge. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-04-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041117-asian-refiners-diversify-crude-oil-supplies-to-reduce-impact-of-opec-related-output-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MUUKq4389txM96k4jEvQdz</video:player_loc><video:thumbnail_loc /><video:title>Asian refiners diversify crude oil supplies to reduce impact of OPEC-related output cuts</video:title><video:description><![CDATA[Since the start of 2017, Asian refineries have been looking at a wider range of crudes to run as they seek to diversify their supplies and reduce the impact of OPEC related production cuts. In this video, Calvin Lee , editorial director for Asia & Middle East oil markets, examines the spread between medium-heavy sour Dubai crude and light sweet Brent crude, and the surge in Atlantic basin crudes heading to Asia. View Full Transcript Video Transcript Asian refiners diversify crude oil supplies to reduce impact of OPEC-related output cuts By Calvin Lee, Editorial Director, Asia & Middle East Oil Markets Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The difference in price between medium-heavy sour Dubai crude and light sweet Brent crude has hit its narrowest spread in nearly one and a half years due to bullish prices for Middle East sour crudes following OPEC's decision to cut production made at the end of November. The Brent/Dubai Exchange of Futures for swaps contract averaged $1.33 a barrel in March. Within the month, it touched a low of $1.10 a barrel, which is the lowest level since August 2015. Prices for Middle East sour crudes have rallied since late 2016 after OPEC producers agreed to reduce production. Since the agreement was reached, the Middle East crude complex has moved higher steadily as the market priced in the prospect of cuts in term supply from OPEC producers. In the meantime, the narrow EFS spread and cheap freight has made long haul Brent related crude grades attractive to Asian refiners and this has led to a surge of Atlantic basin crudes making the voyage eastwards to refineries across Asia, ranging from China to Japan to Thailand and to India. Since the beginning of the year Asian refineries have been looking at a wider range of crudes to run as they seek to diversify their supplies and reduce the impact of OPEC related production cuts. China, as the largest single buyer in the region, has been leading the charge, expanding purchases of West African and North Sea crudes, and taking oil from Mexico, Brazil and the US. In particular, it has seen a dramatic increase in Brazilian crude imports since late 2016 and the trend remains firmly intact. Two of India's largest refiners, Reliance and state-owned Indian Oil Corp., have also been looking at Russian Urals crude as the key export grade shows signs of competing with some Middle Eastern sour barrels. Recently, IOC branched out and bought a 1 million-barrel cargo of the eastern Canadian Hibernia crude into its April-May tender. The cargo is only the second shipment of eastern Canadian crude to make the trip to India, with the previous one in November 2013. Japanese refineries have also been eyeing longer-haul crudes, with Idemitsu Kosan having bought its first cargo of Angola's Girassol, Japan's first purchase of West African crude since November 2015. Looking ahead, the key question facing the market is whether OPEC will extend the agreement beyond June, which is supposed to be decided upon at the next full ministerial meeting in Vienna on May 25. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-04-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/041017-market-movers-apr-10-14-possible-oil-met-coal-supply-disruptions-on-syria-attack-cyclone-debbie</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=pSaocebv7P2GMqjcUXovoc</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Apr 10-14: Possible oil, met coal supply disruptions on Syria attack, Cyclone Debbie</video:title><video:description><![CDATA[How will the situation in Syria following the US missile attack last week affect oil supply and prices? And how will the metallurgical coal market move this week after the 32% surge in premium low volatile coal prices on April 5, in the aftermath of Cyclone Debbie? Editor Alexis Gan looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian Commodity Markets. This week's highlights: The impact of the US air strike in Syria on crude, and force majeures in Australia see met coal buyers scrambling for supply. But first, in oil, the market is watching developments in the Middle East after the US missile strike on a Syrian airbase last Thursday sent crude futures soaring in Asia. Analysts said the spike was due to concerns over possible supply disruptions if supporters of the Assad regime retaliate. OPEC’s monthly report due to release this week will shed further light on supply cut compliance. This comes after a surprise build in US stocks last week, which has clouded optimism over market rebalancing. In coal, BHP Billiton, the world’s largest coal supplier, declared force majeure on its Queensland met coal supply last Wednesday in the aftermath of Cyclone Debbie. Other major suppliers, Glencore, Yancoal, Qcoal and Jellinbah followed suit, sending buyers scrambling for supply. The spot price of premium low volatile coal spiked 32 percent last Wednesday, the biggest single day rise in met coal history. Thermal coal prices have also jumped 8 percent in the past month and are expected to remain firm. In steel, the price surge in met coal is likely to be cushioned by high margins in China. So, our big question this week is, how strongly will other commodities be affected by the surging met coal market? With strong domestic prices discouraging export, China's March data due for release this week is likely to show a fall in exports from last year. However, it is likely to be higher than February’s three-year low. Moving to agriculture, Asian feed buyers are continuing to eye the price spread between wheat and corn this week. South Korea, the world’s third-largest corn importer, traded feed wheat at five dollars a ton below feed corn prices last week. The market is expecting US wheat stock data due for release this week to show a rise in stocks, increasing wheat's competitiveness to rival feed grain. Send us your views on Twitter with #PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-04-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041017-brent-crude-oil-volatility-april-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oY7uGFWU1ZXrsN1nwHm1nF</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: April outlook</video:title><video:description><![CDATA[Brent crude experienced a difficult March with a considerable amount of oil stored on floating tankers in the North Sea waiting to be sold to clients in the Far East. S&P Global Platts analyst, Vito Turitto, assesses the likelihood of Brent's volatility increasing in the coming weeks, although the uptrend of the fluctuation rate would likely be slow and far from violent. Get the latest volatility analysis The EMEA report goes through the quantitative analysis of volatility fluctuations for the most important crude and petroleum products in Europe: Brent, Eurobob, ULSD ARA, Jet CIF NWE, and Rotterdam Fuel Oil 3.5%. The current analysis is based on March data. Download the March EMEA volatility report View Full Transcript Video Transcript Brent crude oil volatility: April outlook By Vito Turitto, manager, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The Brent crude market went through a difficult month. A lot of crude was stored on floating tankers in the North Sea waiting to be sold to clients in the Far East. Specifically, around mid-March there were approximately 7.2 million barrels of BFOE crude in stationary tankers in the North Sea and that number grew to 9 million on March 22 because many refineries in the Far East are undergoing maintenance and, consequently, their demand for sweet crude is very weak. AMERICAN CRUDE OIL PRODUCTION KEEPS RISING These unsold floating barrels acted as a cap on Brent prices that lost more than $5 in only 10 trading days also thanks to many hedge funds that started to sell their long Brent positions on the futures market. Globally, a further increase in US shale oil production, American crude stock levels still at their 5 year high and US rig count reaching 652 in late March, are all factors that contributed to the price crash. The situation started to improve over the last 4 days of March when some cargoes managed to be sold to Asian clients removing the cap on North Sea sweet grade crudes. Brent prices have also been pushed up by the fact that Libya’s National Oil Corporation was forced to shut down the Sharara and Wafa fields because of rebel militias. The drop in Brent prices pushed the monthly volatility from 23.93% on March 1 to 27.63% on March 31 but, despite the 15.43% rise, the fluctuation rate is still trading at very low levels implying there is still room for a further increase. Let’s now focus on the volatility premium analysis. Implied volatility has been consistently higher than the realized one for the whole month of March and the average spread between the two was around 25%. However, the differential has now dropped to 5.44% and that is a warning signal because a too narrow volatility premium means that market stability is not that high. The actual level of the volatility premium suggests that selling put options and volatility could be quite risky at the moment. The current volatility curve remains significantly lower than the medium range one although the figures for the monthly and bimonthly volatility have slightly reduced their divergence with respect to the long term median. Nevertheless, the divergence is still greater for the quarterly volatility figure implying that market participants are pricing more risk in the period between the end-of-May and the beginning of June, which is exactly when the OPEC will have to decide whether to continue or not with the its production cuts, than in the short term. BRENT VOLATILITY COULD SLIGHLY INCREASE The rest of the current volatility curve shows that in the long term, the market is pricing a fairly moderated amount of market risk. Overall, Brent’s volatility is likely to increase in coming weeks but the uptrend of the fluctuation rate is likely to be slow and far from violent. BRENT PRICES TO TRADE SIDEWAYS The monthly volatility should reach the 30%-32% interval and probably it will tend to stabilize around this level implying that prices might lose some ground in the first trading days of the month but will predominantly tend to remain stable, everything else being equal. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-04-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/040417-diesel-controls-come-at-critical-technological-juncture-in-transport</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=SHKif3jaxbjAoDHANPoTDF</video:player_loc><video:thumbnail_loc /><video:title>Diesel controls come at critical technological juncture in transport</video:title><video:description><![CDATA[With major cities planning to ban diesel engines by 2025, Ross McCracken looks at how alternative modes of transport are already becoming economically viable in both the developed and developing world. View Full Transcript Video Transcript At the end of last year, the leaders of Paris, Mexico City, Madrid and Athens all said they would ban diesel engines in their cities by 2025. These bans would impact almost 80 million people – around the population of Germany – and leaders in other major cities, such as London, have warned that more bans are possible. Since transport is a point-to-point activity, and the life-time of a vehicle is about 9 to 10 years, mounting concern over diesel engines, and the threat of bans, will start to affect consumer choices now. The driver, if you’ll excuse the pun, of this change is neither technology nor the greenhouse effect, it’s local air pollution. The World Health Organization, back in 2012, reclassified diesel emissions from being a probable carcinogen, which is bad enough, to belonging to the group of substances that have definite links to cancer. Air quality standards create legal route to drive out diesel engines As most countries have air quality standards, this opened a legal route to change, which is exactly what happened in New Delhi. There, a court order to reduce local air pollution has resulted in a switch to Compressed Natural Gas for public transport in the capital and 22 districts in three adjoining states. Wider concerns about climate change mean that alternative modes of transport are already becoming economically viable, in both developed and developing countries. The point is that rising concern over diesel emissions comes at a critical moment of technological change and opportunity. Countries like Norway, Sweden, Belgium and the Netherlands are looking to ban both diesel and gasoline engines by 2025-2030 – with electric vehicles favored to replace them. But in countries like India and Pakistan, where economic and population growth rates are higher than in the OECD, and where electricity systems are already stretched, the answer seems to be compressed natural gas. Diesel engine bans to upset the balance of global oil product demand Banning diesel and gasoline engines is clearly bad news for the oil sector, but a shift away from diesel alone is enough to upset the balance of demand for oil products. This will present significant challenges for the refining sector, far ahead of peak oil demand. Meanwhile, in the UK, the London Taxi Company opened in March a new factory and R&D facility dedicated to the production of electric taxis. It is the first new car plant to be built in the UK in a decade. With a government incentive of £7,500 to buy, low emission mandates coming into force from next year, and large fuel savings to be made for these heavy-use vehicles, London’s iconic black cabs are predicted to all be green within six years.]]></video:description><video:publication_date>2017-04-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/040317-market-movers-apr-3-7-crude-osps-out-soon-markets-to-get-clearer-view-of-cyclone-debbie-impact</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-04-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dhQZHfNmTCXVrThNex1ZmD</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Apr 3-7: Crude OSPs out soon, markets to get clearer view of Cyclone Debbie impact</video:title><video:description><![CDATA[How will Saudi Aramco and Abu Dhabi National Oil Company price Asia-bound crude oil this quarter? Where will aluminum spot prices head after Japan settled Q2 aluminum premiums at $128/mt CIF basis last week? And what's the impact of Cyclone Debbie on commodity prices - particularly on metallurgical coal and sugar? Associate editor Alvin Yee looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. Also read: Situation room: Cyclone Debbie hits world’s metallurgical coal capital View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. Coming up, Japan's aluminum premiums settle for the second quarter and a cyclone in Australia impacts coal, agriculture and shipping markets. Saudi Aramco, Abu Dhabi National Oil Company seen to issue crude oil official selling prices But first, to oil - major producers Saudi Aramco and Abu Dhabi National Oil Company are expected to issue their official selling prices for crude oil this week. Regional traders said they were unlikely to raise the price of crudes sold to Northeast Asia due to lower refinery run rates in the second quarter and despite Middle Eastern sour crude supply seen tightening. China will announce its oil products exports quota for the second quarter in early April setting the ceiling volume for the first half of the year. Market sources say it will likely to keep exports at or below H1 twenty sixteen levels amid a growing focus on reducing pollution and excess capacity. Japan's Q2 aluminum premiums settled at $128/mt CIF To metals - Japan's second quarter aluminum premiums were settled at $128 per metric ton on a CIF Japan basis on Friday. This is up 35 percent from the first quarter. At present, Japan's spot aluminum premium is around $3 lower than the Q2 level. It remains to be seen if spot premiums can rise any further as the remaining Q2 contracts are locked in. In coal, Cyclone Debbie disrupted rail, port and mine operations in Queensland last week, impacting coal markets in particular. The Australian state is the world's largest producing region for coking coal. The true impact on markets will become clearer this week as floodwaters clear, and the extent of the damage can be assessed. The spot price of Premium Low Vol Australian coal was $158/mt FOB Friday, up 4.3% week on week. In agriculture, sugarcane growers in Australia will also be assessing the impact of Cyclone Debbie, especially around the hard hit areas of Mackay and Proserpine. Twenty five percent of Australia's sugar cane crop could be affected. The dry bulk market across Asia is also closely tracking the impact of the cyclone. Market players expect some congestion until the backlog caused by the closure of several ports along Australia's eastern seaboard is cleared. So our big question this week is, what impact do you think the cyclone and widespread flooding will have? Send us your views on Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-04-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/033017-loop-sour-crude-oil-benchmark-reflects-imports-exports-needed-by-usgc-refiners</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=WKapsfRz1YYt8piYTNbrC2</video:player_loc><video:thumbnail_loc /><video:title>LOOP Sour crude oil benchmark reflects imports, exports needed by USGC refiners</video:title><video:description><![CDATA[While US crude production is up roughly 70% from 2007, US Gulf Coast refiners are still largely consumers of medium-to-heavy sour crude — much of it imported from the Middle East help fill their needs. John-Laurent Tronche examines why the area needs a new LOOP Sour benchmark to better represent the domestic and imported sour crude barrels that are a key part of US refining crude slates. Read the full special report here: Loop Sour Crude: A benchmark for the future See the subscriber note: Platts to launch USGC LOOP Sour crude assessments March 27 Read the press release: S&P Global Platts to launch new blended sour crude price reference to aid US Gulf Coast imports and refining complex Read the FAQ: FAQ: USGC LOOP Sour crude View Full Transcript Video Transcript LOOP Sour crude oil benchmark reflects imports, exports needed by USGC refiners By John-Laurent Tronche, managing editor, Americas crude Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The US oil industry is fast approaching the 10-year mark in an unprecedented renaissance. Driven by technological advancements in drilling, crude oil production has reached new record highs and currently hovers around 9 million barrels-per-day, up roughly 70 percent from 2007. Nearly 75% of US crude output is not a grade typically consumed by a majority of domestic refiners But nearly three-quarters of that oil production is light sweet crude oil or condensate – the kind of crude oil a majority of US refiners typically do not consume. Gulf Coast refiners, whose combined capacity of 9.6 million b/d makes up more than half of the US total, are still largely consumers of medium-to-heavy sour crude. While imports of light sweet crudes have tumbled, USGC refiners continue to import significant volumes of heavy sour and medium sour crude. With so much heavy-to-medium sour crude consumed on the US Gulf Coast, this presents a problem for those wishing to find a pricing benchmark in the region. The current US crude benchmark is the NYMEX light, sweet crude futures contract, which is delivered in the Midwest, at Cushing, Oklahoma. The contract, while very liquid, does not reflect the typically consumed grade and correct location for Gulf Coast refiners. Plenty of medium-sour crude is produced off the US Gulf Coast and imported into the region. Why not look there? Platts launches daily price assessments of LOOP Sour, a medium-sour blend of several grades (Platts symbol AALSM01) This week Platts launched daily price assessments of LOOP Sour, a medium-sour blend of several grades, domestic and imported, stored in one of the eight underground caverns at the Louisiana Offshore Oil Port, also known as LOOP. The two domestic US crude streams are Mars and Poseidon, and the three Middle-Eastern crude import grades are Arab Medium, Kuwait Export Crude and Basrah Light. As a blend, LOOP Sour represents a diverse and growing set of market participants involved in the buying and selling of the blend components as well as the final blend itself, ensuring that the price cannot be easily influenced by a small number of producers. A LOOP Sour storage auction and secondary market also provide unique visibility and helps LOOP Sour meets the industry’s need for a versatile and robust benchmark. The US Gulf Coast is an ideal location for a new sour crude pricing benchmark. The LOOP facility itself has pipeline access to more than 2.5 million b/d of refining capacity in Louisiana, as well as refineries in Texas and as far north as the Midwest. This does not mean that West Texas Intermediate will no longer be a benchmark or a useful hedging tool, but it does encompass different basis risks in terms of location and crude quality for companies trading sour crude on the Gulf Coast. LOOP Sour includes imports that continue to comprise a key portion of US refining crude slates LOOP Sour not only encompasses the price of domestic sour crude barrels, but also imported sour crude barrels that continue to comprise a key portion of US refining crude slates — allowing for a more robust pricing benchmark. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-03-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032717-market-movers-mar-27-31-opecnon-opec-committee-meeting-malaysias-bauxite-export-thermal-coal-loading-delays</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=zkJqs35pCuhW8KZokf5wxC</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Mar 27-31: OPEC/non-OPEC committee meeting, Malaysia's bauxite export, thermal coal loading delays</video:title><video:description><![CDATA[Members of the OPEC/non-OPEC monitoring committee will be observing oil supply and demand fundamentals for another month. How will oil prices be affected by this plan? In metals, will the possible return of Malaysia's bauxite supply shake up the market? And in petrochemicals, how low can styrene prices go? Associate editor Pamela Sumayao looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. In the highlights this week, styrene prices hit a four-month low, Malaysia's ban on bauxite exports is due to end Friday, and coal loadings in East Kalimantan face further delays. First, in oil, the market is digesting the outcome of a meeting Sunday to review the impact of production cut agreements. Crude oil prices recently gave up most of the gains that followed OPEC and non-OPEC producers committing to the cuts late last year. Japanese refiners set to trim capacity In Japan, refiners are set to trim capacity this week as new rules on cracking capacity take effect. The rules require them to raise residue cracking ratios to 50% by end March from 45% three years ago. In the bunker fuel market, all eyes are on an annual forum in Fujairah this week, where the introduction of a strict global sulfur cap rule in 2020 will be the focus of discussion. Moving to petrochemicals, styrene prices in Asia hit a four-month low last week on a surprise surge in stocks in East China. With demand weak, the question the market will be asking this week is: how much further are styrene prices likely to fall? In agriculture, corn farmers in Argentina have started locking in deals as the harvest continues to go well in good weather. However, prices are likely to fall on an FOB basis in coming weeks as traders in Asia take positions. Malaysia's bauxite export ban due to end Friday Over in metals, Malaysia's ban on bauxite exports is due to end on Friday after being extended by more than a year. If the ban is lifted, the return of Malaysia's supply is set to shake up the bauxite market. In thermal coal, a government crackdown on a labor union last week is delaying coal loadings at ports in East Kalimantan. This has yet to impact thermal coal prices, but traders said it could add upward pressure this week in an already tight market. What do you think? Send us your views on Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-03-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032717-opec-under-pressure-as-oil-price-gains-fade</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uqvrkkpfLYhRR4yYEznXSv</video:player_loc><video:thumbnail_loc /><video:title>OPEC under pressure as oil price gains fade</video:title><video:description><![CDATA[The OPEC/non-OPEC monitoring committee which met in Kuwait this week concluded that it needs more data to evaluate the cuts. Platts senior editor Eklavya Gupte , looks at some of the options OPEC now has as it faces a market that harbors significant doubts over the effectiveness of the oil output cuts. Read our analysis: OPEC/non-OPEC committee punts decision to extend cuts to build case Read the latest about OPEC crude oil output in our OPEC Guide View Full Transcript Video Transcript OPEC under pressure as oil price gains fades By Eklavya Gupte Welcome to the Snapshot a series that examines the factors driving and shaping global commodity markets today. On Sunday, the OPEC/non-OPEC monitoring committee met in Kuwait and decided that they would keep observing supply and demand fundamentals for another month, a sign that there is still some indecision on which approach to adopt. Monitoring committee wants more data to evaluate cuts This occurred despite growing consensus among participants of the agreement that an extension of the deal past its June expiry is desirable, especially to draw down inventories to their five-year average, which OPEC has said was the main objectives of this deal. Despite strong compliance from OPEC, the oil market has not responded bullishly as the rebound in US oil production has applied downward pressure on oil prices, threatening to undo its strategy of curbing output. In fact, oil prices are now back near $50/barrel, exactly where they were after OPEC and non-OPEC signed a landmark deal to cut production by around 1.8 million b/d. Prospects of further growth in US oil output have also changed the tide and analysts are questioning whether this will motivate a reassessment of the prevailing tactic. OPEC now faces a market that has significant doubts over the effectiveness of the output cuts. An increase in oil prices, is likely to cause an increase in shale [production], and analysts have noted that OPEC has to again choose between higher prices or market share. The 11 non-OPEC members have been collectively lagging in their adherence to the deal, with reports indicating that compliance is about 60%, according to IEA estimates Russian energy minister Alexander Novak said his country had achieved 185,000 b/d in cuts, and assured it will cut to its commitment of 300,000 b/d by end-April. The compliance has been led by Saudi Arabia, which has cut 140,000 b/d more than it is required to under the deal, helping cover for less-compliant members. But the kingdom has made its displeasure with non-compliant participants known, and sources have told Platts that the kingdom may propose tighter conditions and possible ends to or limits on exemptions, for the deal to be extended past June. Saudi Arabia shouldering majority of burden on cuts Saudi oil minister Khalid Al-Falih has been more circumspect about the need to extend the cuts and likely will be a linchpin in any policy decision, given Saudi Arabia's status as OPEC's largest producer. With oil prices marginally above $50/barrel on Monday morning, OPEC will have to tread carefully as oil market volatility persists amid stiff competition from US oil producers.]]></video:description><video:publication_date>2017-03-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032717-post-national-peoples-congress-review-what-to-look-out-for-in-chinas-energy-and-commodity-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=16zqYRfPnhQqYC4XYhuEMP</video:player_loc><video:thumbnail_loc /><video:title>Post-National People's Congress review: What to look out for in China's energy and commodity markets</video:title><video:description><![CDATA[While China seems comfortable with a slower rate of GDP growth, the government will continue to support the economy with targeted infrastructure investment. Meanwhile, it is also focusing more on the environment, which has a potential impact on coal and steel, as well as natural gas and oil. Sebastian Lewis takes a look at how China's plans, as announced at the recent National People's Congress, could affect energy and commodity markets. Related podcast: China aims for bluer skies ahead, but at what cost to commodity demand? View Full Transcript Video Transcript Post-National People's Congress review: What to look out for in China's energy and commodity markets By Sebastian Lewis Hello and welcome to the Snapshot, our series that examines the forces shaping and driving global commodity markets today. The National People's Congress – China’s parliament – has recently finished in Beijing. This meeting is closely watched by analysts for clues as to the Chinese government’s plans for the year and how these impact markets. First, the government is targeting economic growth of 6.5% for the year – this is not much lower than last year’s actual GDP growth of 6.7%. What does this mean? Well, while it’s clear that Beijing is comfortable with a slower rate of economic growth, it does not want it to be that much slower. They will still be supporting the economy with targeted investment in areas like railways, highways, water conservation – all of which will support metals and energy demand. Last year the government was very successful in removing excess capacity in the steel and coal as part of its supply side reform policy – and this is expected to continue this year with government targeting a further capacity cuts with 50 million tons of steel and 150 million tons of coal. This had a significant impact on prices in 2016 and it’s very likely the trend will continue and that they will remain at elevated levels throughout 2017. However the outlook for the real estate sector, which was so strong last year, does not look as promising. Government efforts to control house prices including restricting mortgage lending likely to have a knock on effect on demand for everything from steel to cement, aluminum and diesel. Over in the oil and gas sector we expect the government to speed up reforms. While the exact plans remain unclear, look out for a loosening of restrictions on foreign investment in upstream oil and gas exploration, and maybe finally, reform of the midstream sector with a new pipeline company being spun out from the big three state oil companies. Finally expect a much bigger focus on the environment and especially efforts to restrict demand for coal. Government plans to get rid of small scale coal furnaces in cities and move more than 3 million households off coal to electricity and natural gas. China is also suspending or postponing construction of coal-fired power stations, and all these will be negative for coal demand, which as you can see has been declining since 2014. That’s all from me. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-03-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:43</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032317-us-ethanol-biodiesel-ddgs-markets-feel-impact-of-larger-south-american-harvests</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oN6Bh88yFYaHeQLSWTgS9B</video:player_loc><video:thumbnail_loc /><video:title>US ethanol, biodiesel, DDGS markets feel impact of larger South American harvests</video:title><video:description><![CDATA[While the US is the top producer of corn and soybeans, big growth is expected from South American harvests and ethanol, biodiesel and DDGS markets are already seeing the effects. Wes Swift examines how falling corn futures are lifting US ethanol crush margins and soybean oil prices are down — welcome news for biodiesel producers. The prices for dried distillers grains, a co-product of ethanol production, are also seeing increased competition among other livestock feed ingredients. View Full Transcript Video Transcript US ethanol, biodiesel, DDGS markets feel impact of larger South American harvests By Wes Swift, associate editor, agriculture Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The upcoming corn and soybean crops in South America are shaping up to have large impacts on the US biofuels markets. Global harvests for soybeans and corn expected to reach record levels The global harvests for both soybeans and corn are expected to reach record levels. And while that poses some big benefits for biofuels, it also presents some challenges. While the US is the top producer of both crops, the bulk of the growth this year comes from South America, particularly Brazil and Argentina. After heavy rains threatened the growing regions in both countries earlier in the growing season, harvesting is in full swing now. And recent reports from those countries indicate that the crops will exceed the previous estimates by the US Department of Agriculture, which already forecast record global crops. The USDA recently revised its production estimates upward, pushing corn and soybean futures prices downward in recent weeks. At the same time, one of the biggest grains importers, China, has curbed its purchase of corn. This has added further downward pressure on prices. For US ethanol producers, the falling corn futures have helped push crush margins higher in late February and early March, from a low of 10 cents on March 7 to more than 20 cents two weeks later. That’s allowed ethanol producers to maintain high production rates prior to the upcoming maintenance season. For US biodiesel producers, the bumper crop of soybean has meant a sharp downturn in feedstock prices. Front-month futures for soybean oil, the primary feedstock for biodiesel production in the United States, fell for eight straight trading sessions in the last two weeks, falling to a 31.85 cents-a-pound, the lowest level since September 14 of last year. That’s welcome news for biodiesel producers, who have seen a lack of buying in the spot market due to the expired blenders tax credit and poor blending economics. However, the bean oil-to-heating oil ratio still remains around 80 cents, meaning that producing a gallon of SME biodiesel costs at least 80 cents more than buying a gallon of ultra-low sulfur diesel fuel. Further complicating the issues: Prices for dried distillers grains, a co-product of ethanol production and used as a livestock feed, already seeing low prices due to dwindling export demand, are getting battered. With the prices of competing feed ingredients of corn and soybean meal falling due to swelling harvests, DDGS prices could fall even lower. And with low corn prices helping to prop up ethanol production, supplies of DDGS aren’t expected to drop soon. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-03-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/032117-lng-jkm-swaps-trading-continues-to-surge</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=g2UwAx4KAzMDKsLQ6Lo1LU</video:player_loc><video:thumbnail_loc /><video:title>LNG: JKM Swaps trading continues to surge</video:title><video:description><![CDATA[The growth in the JKM swaps LNG derivatives market has been explosive. In this video, senior managing editor Marc Howson looks at the acceleration of trades in JKM swaps, and the increase in the number of participants, including major portfolio players like Shell, BP and Gazprom. He also delves into the start of the role of TOCOM's in the swaps market as it starts offering JKM swaps through the Japan OTC exchange in April. View Full Transcript Video Transcript LNG: JKM Swaps trading continues to surge By Marc Howson, Senior Managing Editor, LNG, Asia Welcome to the Platts Snapshot, our series that examines the forces shaping and driving global commodity markets today. In this episode, we’ll look at the explosive growth in the JKM swaps LNG derivatives market. Trade in JKM swaps has more than quadrupled in 2016 from 2015. Broker and ICE data show that 12,717 lots of JKM swaps were cleared through ICE over 2016. Ice is also where the vast majority of the trade is cleared. That’s almost 43 cargoes worth of JKM swaps for the year. The acceleration of growth began in Q3 2016, which has continued into February 2017, averaging just under 7 cargoes a month over the past six months to date. Traded JKM swaps volumes in 2017 year to date is over 6,000 lots. Participation in the JKM swaps market has also grown significantly over the past few years, with the market now comprising of between 20 and 30 counter parties. Market players include the major portfolio participants like Shell, BP and Gazprom, to European utilities like RWE and Centrica. Trading houses, including those from Japan are also active along with the financials like Citi, and Goldman. More recently, Asia-based end-users have shown increasing interest in hedging and some have joined the market through their trading offices in the Atlantic. Market for JKM Swaps is mostly active in the Atlantic While trade in physical cargoes into Northeast Asia is largely tracked by the JKM is largely done out of the Pacific basin, the market for JKM swaps is mostly active in the Atlantic, out of main European commodity trading centers of London and Switzerland. The JKM swaps market has also grown in diversity. Only prompt months were traded five years ago, and now, we’re seeing anything from quarters, seasons, calendar years and even spread trades. In February this year, we saw trades in quarters exceed trades in monthly JKM swaps, while there was activity as far out as winter, and even the first quarter of 2018. Market sources have also said that outside of participants seeking like-for-like LNG hedges in the swaps market, they have also noticed increasing activity that indicated that there was a trend towards more pure trading as well. Currently the vast majority of JKM Swaps are understood to be cleared through ICE. In addition, from April 3, TOCOM will be offering JKM swaps through the Japan OTC Exchange, JOE, clearing through CME, both settled on a cash basis. This has been facilitated by the deregulating Japanese gas and power sectors. This could further increase JKM swaps trading. So, until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-03-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/032017-market-movers-mar-20-25-potential-changes-in-chinas-oil-gas-sector-opec-non-opec-oil-output-cut-compliance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=2BBYj6z8rGULezLyGdRcZ1</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Mar 20-25: Potential changes in China's oil, gas sector; OPEC, non-OPEC oil output cut compliance</video:title><video:description><![CDATA[Will OPEC and non-OPEC producers extend their agreed production cut beyond six months? How will the recent National People's Congress in China affect the country's oil and gas sector? And what will be the impact of additional liquefaction capacities on LNG markets? Editor Daisy Tseng looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian commodity markets. This week’s highlights: reform plans in China's oil and gas sector, the start-up of three new gas liquefaction trains, and a slowdown in Thailand’s sugarcane crush. But first in petrochemicals, an arbitrage has opened for Chinese polypropylene exports into Southeast Asia and India following a price decline in the domestic China market. Chinese domestic prompt prices have fallen close to 10% over the past two months. This arbitrage was last open in the first quarter of 2016. Traders believe the volume of exports will become more pronounced in the coming weeks. Still in China, the government is likely to release its reform plan for the oil and gas sector this week after the end of the National People’s Congress last week. The plan is expected to further open up China's oil and gas markets. Plans could include allowing independent and foreign companies to invest in the upstream sector. Oil production cut compliance to see some clarity More in oil, a monitoring meeting for the OPEC/Non-OPEC crude oil production cuts will be held this weekend in Kuwait, where comments around compliance levels are likely to emerge. With oil prices refusing to budge, pressure is building on the producer group to extend the cuts beyond the six-month period that was originally agreed. So our big question this week is: Do you think OPEC/non-OPEC producers will extend their agreed production cut beyond six months? Asia Aframax vessels to see delays until April Moving on to shipping, Asia Aframax freight rates in the dirty tanker market were expected to remain firm this week due to strong demand and congestion in Singapore. Ship owners said Aframax vessels that have arrived to discharge fuel oil in the region were expected to see delays until early April. Re-melt back in focus for Thai sugar In sugar, the pace of Thailand’s cane crush has slowed down since early March. Given the high premiums that white sugar commands over raw sugar, attention will now increasingly switch to the re-melt program. Three liquefaction trains to add 11 million mt/year capacity Finally in LNG, market participants are looking for updates on three liquefaction trains that are expected to produce first LNG this month -- Chevron’s third train at the Gorgon project in Western Australia, Petronas’ first floating train offshore Sarawak in Malaysia, and the Sabine Pass train three on the US Gulf coast. Send us your views on what impact the extra capacity will have on the oversupplied Asian LNG market. Tweet us with the hashtag PlattsMarketMovers. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-03-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/031617-asian-vlcc-market-down-but-not-out</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bokgGaSFo2iVJTG66b8dVu</video:player_loc><video:thumbnail_loc /><video:title>Asian VLCC market down, but not out</video:title><video:description><![CDATA[Freight rates for Very Large Crude Carriers in the East of Suez have ebbed to this year’s low. But the situation is not as bad as it could have been, as associate editor Wanda Wang explains in this video. More ton mile demand is anticipated as Asian refiners look farther afield to quench their thirst for crude oil. Is this enough to keep the freight market afloat? View Full Transcript Video Transcript Asian VLCC market down, but not out By Wanda Wang, Associate Editor, Shipping Welcome to the Snapshot – our series which examines the forces shaping and driving global commodities markets today. Freight for Very Large Crude Carriers in the East of Suez has ebbed to the this year’s low. And, yet, this is apparently not as bad as it could have been, all thanks to a shift in oil flows. The key Persian Gulf to Japan freight has fallen 50% from the start of 2017. Currently this rate is in the low Worldscale 50s, where time charter equivalent earnings range at $18,000 per day, compared with approximately $53,000/day at the beginning of the year. The VLCC market is dominated by the Persian Gulf and has been soft for the last month because of the following three key factors: long tonnage, oil production cuts, and refinery turnaround season. First, the tonnage situation – the VLCC fleet grew from 684 ships at the end of 2016 to 700 vessels at present. The addition of new vessels has increased competition in the market, which remarkably saw discounts given by vessels lacking approvals widen to almost 15 worldscale points at one point. Another 29 or so newbuildings are due for the year, and while the pace of entry has slowed, there have been no scrappings yet and only three are projected for this year. Second, the OPEC production cut. The oil producers’ cartel pledged in November to cut 1.2 million b/d from October levels over January to June. While this has created an oversupply of VLCC tonnage in the Persian Gulf region, there is hope this will have a positive twist for vessel owners after turnaround season, which is the third bearish factor, typically over March and April. In the first half of this year, 2.9 million barrels per day is expected to be shut for maintenance, out of a total refining capacity of around 32 million b/d in Asia. So what’s going to help the market? More ton mile demand is anticipated as Asian refiners will have to look farther afield to fuel their appetite for crude. US crude export levels have hit record levels in January and February. In February, China imported 65,000 b/d, and Japan a record 62,000 b/d. The firmer Dubai market encouraged Asian refineries to look for alternative barrels -- Russian Urals, North Sea Forties and Angola’s sweet but heavy crude grades. Just taking a sign from the independent refiners in China, from January to February, they’ve seen a drastic increase in imports from West Africa and South America. The bulk of West African crude exports loading in February and March are headed to Asia. The trend has been most pronounced in Angola, with Platts data showing three-quarters of the March-loading program scheduled for Asian destinations, up from the 62% in March 2016. With healthy cracking margins in Asia, the region is likely to operate at maximum run rates in the near future. Until next time on the Snapshot -- we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-03-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:09</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/031417-brent-crude-oil-volatility-march-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ggEzwt5Lm1ymccRi2VJs7c</video:player_loc><video:thumbnail_loc /><video:title>Brent crude oil volatility: March outlook</video:title><video:description><![CDATA[Analyst Vito Turitto looks at how uncertainty in the fundamental markets, increased US shale oil production and a drop in OPEC output have all played their part in the volatility of Brent crudeprices. Get the latest volatility analysis The EMEA report goes through the quantitative analysis of volatility fluctuations for the most important crude and petroleum products in Europe: Brent, Eurobob, ULSD ARA, Jet CIF NWE, and Rotterdam Fuel Oil 3.5%. The current analysis is based on February data. Download the February EMEA volatility report View Full Transcript Video Transcript Brent crude oil volatility: March outlook By Vito Turitto Welcome to the Snapshot a series that examines the factors driving and shaping global commodity markets today. Brent crude prices have traded between $54/b and $56/b for an extended period of time because of the great uncertainty in the fundamentals. The market is particularly well supplied as far as sweet crude grades are concerned and an increase in imports coming from Libya and West Africa helped keeping Brent prices low. The availability of sweet crude was so relevant that prices did not soar despite a rather good Asian appetite for North Sea crude grades; Brent, Forties and Ekofisk above all. On the physical side, it looks like a lot of current available cargoes will actually be destined to satisfy Asian demand. International outlook Globally, the increased US shale oil production has largely counterbalanced the drop in OPEC output and OPEC Secretary General Mohammed Barkindo has recently stated that non-OPEC countries, which pledged to wipe out some 600,000 b/d from the market, will need more time to comply with the mutually agreed production cuts. Moreover, Russia managed to curb “only” 117,000 b/d in the month of January but its energy minister Alexander Novak has recently said the 300,000 b/d cut promised by Moscow will be achieved by May. As far as market risk is concerned, it is important to point out Dated Brent’s monthly volatility is still trading around its two-year low. Furthermore, the 2 months volatility curve is now overlapping the monthly one creating a partial contraction process which implies that more market instability should be expected in following weeks. The mixed signals coming from the Brent market are even more evident in the “physical vs paper” analysis. Unusual divergence ICE Brent futures’ fluctuation rate, at the end of February, dropped to 17.67% meaning that it was 5.48 points lower than Dated Brent’s volatility. This divergence is rather unusual for two reasons: Brent futures’ volatility tends to be consistently higher than Dated Brent’s one and the actual deviation is almost its widest since January 2014. Actually, also Brent futures’ monthly volatility has now touched its lowest level in 2 years and it is crucial to note that each time Brent futures’ fluctuation rate has been around the current levels the market has experienced a retracement. The mean reverting pressure of volatility is very high at this point and the outlook on Brent prices remains negative because the oscillation rate, now that the divergence between physical and paper market has reached a very high level, should go up in coming weeks. The probability distribution analysis shows that Brent’s volatility, at the end of February, was within the 20%-25% range but the chances for it to remain within that interval are as low as 5.12%. The fluctuation rate is more likely to move towards the 25%-30% volatility interval, almost 13% chance, but the probability to reach the 30%-35% range is even higher than 23%. The volatility cones analysis is again displaying an extreme scenario: the monthly and bimonthly volatility figures are the ones showing the largest divergence as compared to the medium range one implying that the largest spikes in volatility could extend to more than just four weeks, everything else being equal. The risk profile priced into the remaining part of the current volatility curve is actually lower but market participants are expecting a good amount of market volatility in the near future. Overall, the outlook on both physical and Brent futures prices remains negative. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-03-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/031317-market-movers-mar-13-17-opec-output-data-rising-freight-costs-brazilian-ethanols-re-emergence-in-asia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ftPVbahgYcECmHK1qH3e2o</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Mar 13-17: OPEC output data, rising freight costs, Brazilian ethanol's re-emergence in Asia</video:title><video:description><![CDATA[S&P Global Platts’ latest OPEC production survey pointed to 98.5% compliance. Will the market see the same number when OPEC and the International Energy Agency release their oil market reports this week? What's driving freight costs higher? And what will bring Brazilian ethanol all the way to Asia? Editor Elizabeth Low looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for Asian commodity markets. The highlights: rising freight, narrowing coking coal price gaps in China and the return of Brazilian ethanol in Asia. Updates on compliance to oil production cuts But first, in oil: OPEC and the International Energy Agency are expected to provide updates on OPEC and non-OPEC producers’ compliance to the latest agreed production cuts in February. S&P Global Platts’ latest survey pointed to 98.5% compliance with the cuts by OPEC. Numbers by the IEA and OPEC are expected to be similar. The Platts OPEC production survey is one of the six secondary sources that OPEC uses to monitor compliance among members. In petrochemicals, Asia will be shipping butadiene in March to the US Gulf Coast. It's a rare reverse arbitrage, underpinned by the widening gap between Asian and US prices. Market sources believe/ that polyethylene-methanol margins in Asia are likely to remain negative in the short term given the bearish economic outlook in the region. In agriculture, cheaper Brazilian ethanol will be looking for homes in Japan and South Korea, due to weak demand in Brazil and expectations of new crop cargoes hitting the market next month. In freight, healthy demand for grains out of East Coast South America and higher demand for coal cargoes in the Pacific pushed freight rates higher last week. Despite new vessels being delivered and a slower pace of scrapping, the rates are expected to continue trending higher. Higher freight in Asia In metals, details on China's economic policy this year are expected to emerge after major political meetings conclude this week. China has set targets to reduce steel scapacity by 50 million mt, and coal by 150 mil mt. So for our big question: Do you expect China’s capacity cuts to finally have an impact on its steel output? Speaking of steel output, here's the preliminary data from the China Iron & Steel Association. China will release final figures this week. Rising thermal coal prices, shrinking coking coal arbitrage In coal, Japan's Tohuku/ and Australian coal suppliers are in talks to settle the price for annual supply contracts, with the market keenly watching developments. Meanwhile, sources have begun to take a more bearish view of the coking coal market as the price spread between China domestic and seaborne cargoes narrowed in the past two weeks. Do you expect this trend to continue? Send us your views on Twitter with the hashtag PlattsMarketMovers. Thank you for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-03-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:00</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030917-chinas-coal-output-cuts-a-mixed-blessing-for-global-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YXgPCezEtNomLkhkeGduSm</video:player_loc><video:thumbnail_loc /><video:title>China's coal output cuts a mixed blessing for global imports</video:title><video:description><![CDATA[Gareth Carpenter , S&P Global Platts associate editorial director for coal, shines a light over why potential Chinese domestic coal production cuts are causing a wider rumpus in international thermal coal markets, and explores whether Chinese political intervention is a reliable driver of spot pricing. Read our related story -- No large-scale cuts from Chinese coal mines in 2017: NDRC View Full Transcript Video Transcript China's coal output cuts a mixed blessing for global imports By Gareth Carpenter Welcome to the Snapshot a series that examines the factors driving and shaping global commodity markets today. Today we want to shine a light over why potential Chinese domestic coal production cuts are causing a wider rumpus in international thermal coal markets, and explore whether Chinese political intervention is a reliable driver of spot pricing. Global thermal coal spot prices Thermal coal was the surprise package in the commodity world last year, with Europe delivering spot prices which effectively doubled to over $90/metric ton before 2016 was out. A lot of that upward traction can be attributed to a very bullish Asian market in a low freight cost environment which sucked Colombian supply eastward. Central to this rally was a directive by China’s economic planning body, the National Development and Reform Commission, reducing working days at Chinese coal mines by around fifth-teen percent to 276 days a year. The move had two key objectives: to support the balance sheets of the mainly state-owned sector and to drive out inefficiencies by reducing consumption of lower grade coals. Combined with northern hemisphere winter restocking, this dragged up thermal coal prices as supply and demand rebalanced. The Chinese cuts were relaxed later in the year, as the NDRC did not like the subsequent price spike that occurred, and that caused a tail-off in pricing as the year turned. Asia-Pacific thermal coal prices YTD More recently, Asian prices had been on an upward slant, with traders pointing towards speculation that the NDRC was about to reintroduce the 276-day rule as a potential game changer. Now on the face of it, this seems a logical assumption to make – if Chinese domestic supply is restricted again, demand will likely turn to the import market again, and the chain reaction through global seaborne trade flows should work its way back to a tightening of European availability, right? Well, this may be so but the NDRC has now officially stated it has no plans for large-scale coal output, seemingly allaying fears of the 276-day reinstatement. Our sources say the NDRC does not want to repeat the volcanic effect its intervention had on coal prices last year. Having said that, prices are still rallying, amid depleting Chinese end-user stockpiles, mine safety checks apparently holding up domestic coal shipments, rising freight costs and news that some of the smaller miners are yet to reach full production after the Lunar New year. Then of course there’s the recent news that China intends to trim 150 million tons of annual production capacity by shutting old, inefficient mines. The big question is whether the China effect will support and prolong that global rally or replicate last year’s price graph and dramatically slump after a sharp spike. Until next time on The Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-03-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030717-eu-council-parliament-converging-on-carbon-market-positions</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=yM5Tzc2zfJ4hZtu2z4aPAm</video:player_loc><video:thumbnail_loc /><video:title>EU Council, Parliament converging on carbon market positions</video:title><video:description><![CDATA[The EU Emissions Trading System is facing a future of tighter supply as the EU's legislative bodies move forward on reforms that aim to curb a long running surplus of carbon allowances. While the system remains oversupplied in the short-term, carbon prices could be poised for future growth if the reform proposals pass into law. Frank Watson , managing editor, European emissions, examines the background to proceedings and assesses the latest developments, allowing for three-way talks to commence between the parliament, Council and European Commission. Read our related story: EU ministers agree position on post-2020 carbon market reforms View Full Transcript Video Transcript EU ministers agree on post-2020 ETS reforms By Frank Watson Welcome to the Snapshot a series that examines the factors driving and shaping global commodity markets today. On February 28, the EU Environment Council - representing the EU member states - voted in favor of reforms to the EU Emissions Trading System that will take effect after 2020. That follows a plenary vote by the EU Parliament on February 15. EU Environment ministers back post-2020 carbon market reforms Approval is needed from both institutions in order for the proposed legislation to pass into law. The latest developments mean three-way talks can begin between the parliament, Council and European Commission. Crucially, both the parliament and council have now backed a 2.2% per year decline in the CO2 cap from 2021-2030 and stronger measures for the Market Stability Reserve – a set-aside that will withdraw surplus carbon allowances from the market each year starting in 2019. EU carbon allowance prices for December 2017 delivery jumped by 13% to almost 6 euros a ton the day after the EU Council’s agreement, which went further than the parliament’s version. If the stronger measures are passed into law, we think the Market Stability Reserve is a game-changer for Europe’s cap-and-trade system, because for the first time, it will reconnect supply with underlying demand. In the past, the accumulative surplus of allowances has reached 2.2 billion tons of CO2 equivalent – more than a year’s worth of CO2 emissions across the 28-member system – keeping carbon prices depressed. The Market Stability Reserve completely changes that underlying dynamic, because it will institutionalize a much smaller market surplus of 400 million to 833 million tons of allowances. The withdrawal or release of allowances from the reserve will happen automatically, irrespective of underlying demand-side factors. This is likely to eliminate very low and very high carbon prices because a fixed lower and upper limit on the surplus suggests a lower and upper limit on the price. Under the effects of the MSR, the surplus will eventually fall within the 400 to 833 million ton range, and we think this could happen by around 2022, assuming that the proposed 24% per year intake rate for the MSR is agreed in the final legislation. Looking back at the net surplus and comparing it to historical prices, we can see that when the surplus was at about the same level as that implied in future by the MSR, the price moved in a range of roughly 10 and 17 euros per ton. Therefore, we think it is possible that prices move into a similar range once the MSR has reduced the surplus by the early 2020s. That suggests an increase from today’s price of around 5-and-a half euros per ton, over the long term. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2017-03-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/030617-market-movers-mar-6-10-all-eyes-on-chinas-national-peoples-congress-tightening-oil-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=NkdCg9gryqqB3LhJp7V5C3</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Mar 6-10: All eyes on China's National People's Congress, tightening oil market</video:title><video:description><![CDATA[With crude oil production cuts having a cascading effect on VLCC tankers, and with ample vessel supply, will the downward price pressure continue? How much US LNG is the market expecting to come to Asia this year? And what policy changes will come out of China's National People's Congress consultative conference? Editor Wanda Wang looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us.]]></video:description><video:publication_date>2017-03-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/030317-platts-japan-oil-product-assessments-and-ewindow-explained</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4PRxdnRnucd3pQdsfdazj3</video:player_loc><video:thumbnail_loc /><video:title>Platts Japan oil product assessments and eWindow explained</video:title><video:description><![CDATA[The launch of S&P Global Platts Japan oil price assessments - both for waterborne and rack - is a response to the domestic market's demand to move to open and clear assessments. In this video, Tokyo-based editors Anton Ferkov and Hiroyuki Koshoji explain the crucial role of Japanese companies in the establishment of this process through the Platts Market On Close (MOC) structure and the eWindow technology. They also provide a glimpse of the possible expansion of Platts Japan oil price assessment coverage. Your feedback is important to us. Please send suggestions, questions and comments to pl_tk_editorial@platts.com . Watch this video in Japanese: プラッツジャパン石油製品アセスメントとイーウィンドウについて View Full Transcript Video Transcript Platts Japan oil product assessments and eWindow explained Hiroyuki Koshohi: Hello and welcome to this methodology video. I’m Hiroyuki Koshoji, editor for Japan oil products. Today, we’ll talk about Platts domestic Japan oil products waterborne and rack price assessments, and how you can play an active part in the establishment of open and transparent price assessments. To explain this further, I’m joined today by Anton Ferkov, senior managing editor for Japan oil products. Hi Anton! Anton Ferkov: Hi Hiroyuki! H: So, we launched Platts Japan domestic oil waterborne assessments in April and rack assessments in December last year. Right now, we publish daily price assessments for: RON 89 Gasoline, Kerosene, Gasoil, high sulfur fuel oil A and low sulfur fuel oil A, all based on Japan Industry Standards specifications. A: That’s right. For these products, there are three separate areas for loading covered for waterborne: Tokyo Bay, Chukyo and Hanshin. For rack, we have started with Chiba and Kanagawa. Commentaries, assessments and market information are published in Japanese on a daily basis. H: What’s next for Platts in Japan? A: I’m glad you asked. This is really just the beginning of an incredible interesting journey. We are planning to expand waterborne assessments into the Ohnishi/Kikuma in the second quarter, and for rack we are planning assessments for Hanshin and Chukyo later in the year. H: What is the process involved in these price assessments? A: We use a structured process called Market On Close or MOC – where Platts gives clear priority to transparent bids, offers and transactions that are submitted for publication by market participants. The MOC process assesses the value of a product at the end of the markets that we cover. For Rack the MOC is between 1.30 and 2pm local time, and for Waterborne it’s 3.00-3.30pm. H: How is MOC different from eWindow? A: So again, the MOC is the process of gathering transparent information and testing that in a structured manner at the end of each day. eWindow, meanwhile, is the major tool used to make the process run more smoothly. It allows us to collect higher volumes of data in a structured and speedy manner. eWindow is built on the technology from ICE, or the Intercontinental Exchange. Introducing the eWindow for waterborne in September, after the launch of the assessment in April, had a huge impact on liquidity, as companies had the ability to post their own bids, offers and trades. The eWindow was used in rack assessments on the same day it was launched back in December. H: Who can trade on the Platts MOC and eWindow? A: The Platts MOC is open to everybody, but there is a vetting process done by the Platts price group to verify that companies that join the MOC are able to trade with a substantial number of companies. There are no limitations on the size of a company – all companies are treated equal and all go through the same vetting process. Once a company is approved for the MOC, an announcement is made to the market. H: You mentioned that the technology behind eWindow is from ICE. Does this mean the registration for eWindow is separate from Platts MOC? A: That’s right. For ICE, a company needs to sign a separate agreement with the Intercontinental Exchange, which has an office in Tokyo. Platts in Japan regularly provides a free training for using eWindow. Now, a company that has not signed up for eWindow, but has been approved for the Platts MOC, can still post bids, offers and conclude trades for the MOC by reaching out to a Platts editor in Tokyo directly. The editor can post MOC information on the company’s behalf. H: Why is it important for companies to participate in the Platts MOC/eWindow? A: The purpose for Platts of the MOC is to generate open and transparent information, tested in the market. Platts editors analyze the data to develop a time-specific price assessment. If more data points are available to Platts editors, the more helpful it will be to assess markets. The more companies come out actively with open and transparent bids, offers and trades, the better the quality of the gathered information will be. The Japan oil products market has been demanding to move to open and clear assessments, and companies have a crucial role to play in making that possible. H: Thank you very much, Anton. We’d be very happy to receive your feedback and answer any question you might have on our Japan oil products assessments. Please feel free to email us anytime at pl_tk_editorial@platts.com . We look forward to hearing from you. Thank you for watching.]]></video:description><video:publication_date>2017-03-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030317-methodology-japan-oil-products-moc-ewindow-030-jp</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qEA6hcZ29Xste8cYALDQ6y</video:player_loc><video:thumbnail_loc /><video:title>プラッツジャパン石油製品アセスメントとイーウィンドウについて</video:title><video:description><![CDATA[公正で透明な価格指標を必要としている国内マーケットの要請を受けて、S&Pグローバル・プラッツは日本国内の海上価格及び陸上価格のアセスメントを開始しました。そうした価格指標を生み出すためには日本企業の協力が必要です。マーケット・オン・クローズ（MOC）プロセスとイーウィンドウを通じて果たすことができる日本企業の重要な役割について、東京オフィスのアントン・フェルコフと小正路博之がビデオの中で解説しています。 皆様からのフィードバックは私たちにとって重要です。ご意見や質問がありましたら、 pl_tk_editorial@platts.com までお送り下さい。]]></video:description><video:publication_date>2017-03-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>8:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030217-us-steelmakers-appear-poised-to-benefit-from-trumps-policies-but-opposition-exists</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-03-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=WbCwGSvoLx9SPmk6L7hr5k</video:player_loc><video:thumbnail_loc /><video:title>US steelmakers appear poised to benefit from Trump's policies, but opposition exists</video:title><video:description><![CDATA[American steel producers have had a confidence boost since President Donald Trump was elected, and parts of his address to Congress on Tuesday could bring even more positive sentiment to the US steel market. Joe Innace considers how share prices and steel prices have climbed since November and how an infrastructure plan resonates with steel producers — even if questions still linger around Trump's trade policies among steel consumers. Related Factbox: In speech to Congress, Trump targets energy regulations View Full Transcript Video Transcript US steelmakers appear poised to benefit from Trump's policies, but opposition exists By Joe Innace, content director, Americas metals Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Today, we’re 41 days into the presidency of Donald J. Trump. You may have seen him Tuesday night, speaking before a joint session of Congress for the first time. More on that in a moment. You’ve certainly seen the protests. But do you know who’s arguably most happy with the Trump Administration? I’ll tell you who. American steelmakers. Since the election, the share prices of major steel producers, and related companies have surged an average of nearly 50%. Trump’s steel-friendly administration is boosting confidence on both the supply and demand sides. The president’s America First agenda includes buying and using American steel first for major infrastructure and pipeline projects. It also involves the likelihood of more or continued import restrictions — marked by an aggressive stance in battling unfairly traded steel. But there is some opposition and protest in Steel land. The American Institute for International Steel, representing steel traders, importers and exporters, has come out opposed to Trump’s “Buy America” plans for new pipeline and infrastructure projects, calling the provisions “nothing more than a subsidy.” And there are those who would like to see Trump’s ultimate trade policy consider the potential impact on consumers of steel. Recently, Bob Weidner, president and CEO of the Metals Service Center Institute, whose members are major buyers of steel, wrote an opinion piece for The Hill. He noted: “Enforcement to protect one link in the chain, say a tariff on steel or aluminum that levels the price for mills, is undeniably important. But the impact of this action ripples throughout the supply chain. Trade enforcers must at the same time be willing to protect fabricators or other processors from the resulting cost increases that will erode their competitive edge.” Fact is, since the election, steel buyers are paying more for US-made steel. It’s up about 25% — fueled largely by steel mill optimism for the Trump Effect. Last week, when this graph was prepared, steel mills were independently looking to re-establish previous price levels of around $640/st for hot-rolled coil, the industry’s bellwether product. This week steel prices do look like they are trending higher. Back to Tuesday night and the president’s speech before Congress. From a commodities perspective, coal and steel got early shout-outs. Oil and gas got short shrift. Lean on specifics overall, Trump did not delve much into energy policy. Platts has updated its factbox related to the Administration’s impact on energy regulations , which you can find right here on Platts.com. Trump did mention a $1 trillion infrastructure plan he will ask Congress to approve, funded by public and private capital. And the president again, Tuesday night, laid out an ambitious agenda that resonates with steel producers — if not all steel consumers. The Trump-Steel dynamic is one to watch. So far, it’s been a textbook study in shaping market psychology. From this president, nothing has really happened yet in terms of trade enforcement, infrastructure spending, regulatory rollbacks and tax breaks. But American steel producers are feeling the love — and that positive sentiment is impacting the steel market. Until next time on the Snapshot — we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-03-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022817-north-asia-scrambles-for-corn-on-us-pacific-north-west-supply-disruptions</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5nDmug3hKP6u71hyEh89Kh</video:player_loc><video:thumbnail_loc /><video:title>North Asia scrambles for corn on US Pacific North West supply disruptions</video:title><video:description><![CDATA[The US Pacific North West captures the bulk of the North Asian corn business, with most of the buying done between October and April. Snow storms and excessive ice caused by the La Nina weather pattern, however, have caused corn train delays from the Midwest and other corn growing regions to US PNW elevators. Agriculture editor Samar Niazi examines the corn supply disruptions, and it’s impact on the North Asian market. View Full Transcript Video Transcript North Asia scrambles for corn on US Pacific North West supply disruptions By Samar Niazi, Agriculture editor Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. In this episode, we’ll take a look at corn supply disruptions in the U SPacific North West, and how it’s affecting the North Asian market. Snow storms and excessive ice caused by the La Nina weather pattern have caused corn train delays from the Midwest and other corn growing regions to US PNW elevators. Our sources tell us the logistics situation has not been this bad in 20 years. Cargoes bound for Japan, Taiwan, and South Korea face delays Just how big is the problem? The US PNW captures bulk of the north Asia business, with most of the buying done between October and April. But due to the supply disruptions, buyers from Japan, Taiwan, and South Korea have been waiting since late-December and January for cargoes. With very low volumes of corn at the elevators since late December, vessels headed for north Asian ports have been waiting at anchorages. At one point in January, there were about 100 vessels reportedly in the lineup at the US PNW. And then, in mid-February, several US elevators declared force majeure due to inland logistics. Taiwanese buyers were the first to be affected and suppliers have reportedly paid large shipment delay penalties. Taiwanese millers have bought corn from South Korean sellers as a stop gap measure – and paid very high prices. Japanese corn traders are also hit hard. They have bought corn at high prices from unusual origins like China, or part cargoes from Korea or Vietnam to fulfill their immediate demand. Japanese trading firms have bought Chinese corn at prices around $220 to $225/mt FOB China northern ports. The CFR Japan corn price is estimated to be at $233, much higher than the Platts CFR South Korea price assessed at $192.50, on the same day. There is usually a $1/mt difference in freight between South Korea and Japan. South Korea was the least affected among the North Asian corn importers. A bird flu epidemic late last year caused a massive poultry cull and reduced demand. Some suppliers into South Korea also swapped their US corn cargoes for Black Sea corn. But latest reports from the South Koreans suggest that their US PNW cargoes are now also delayed. Asian feed milling market scrambling for corn supply The situation should improve as weather clears up in the US PNW by March-April, but right now there is a scramble for corn in the Asian feed milling market. Traders are trying to substitute US PNW cargoes with corn from the US Gulf or Black Sea region. However, these origins bring their own difficulties – US Gulf cargoes take around 40 days or more to reach North Asia, while Black Sea corn prices have become firmer in response to the US PNW situation. Meanwhile, South Korean corn tenders awarded during the previous week were still transacted at competitive prices between $192 and $194/mt CFR South Korea, and traders expected the corn to originate from the US PNW, in the hope that the weather would improve for cargoes loading in April. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2017-02-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/022717-market-movers-feb-27-mar-3-bearish-polyethylene-amp-polypropylene-outlook-potential-policy-changes-in-japan-amp-china</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hhdvvqe8vCUF48Rsk5Gq83</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Feb 27-Mar 3: Bearish polyethylene &amp;amp; polypropylene outlook, potential policy changes in Japan &amp;amp; China</video:title><video:description><![CDATA[What’s keeping LNG traders busy as China’s peak demand season ends? Why does the outlookfor polyethylene and polypropylene seem bearish? And what would spur discussions of new trade routes for ethanol and sugar markets? Editor Abache Abreu looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Market Movers, Feb 27-Mar 3: Bearish polyethylene and polypropylene outlook, potential policy changes in Japan and China By Abache Abreu, Senior Editor, Oil News and Analysis, Asia Welcome to Platts Market Movers, your quick look at what the week ahead holds for the Asian commodity markets. Highlights: China's peak demand season for LNG ends, outlook for polyethylene and polypropylene, and the buzz at the sugar conference in Bangkok This week: find out what’s keeping LNG traders busy as China’s peak demand season ends why the outlook seems bearish for polyethylene and polypropylene and what will dominate market discussions at the sugar conference in Bangkok. But first, in oil - the focus is on China. Import and export data are out. With a narrow Brent/Dubai Crude EFS spread, and lower output from the Middle East, traders had been expecting a rise in imports from the Atlantic. Volumes from North America did rise, but this was more than offset by a drop in imports from the UK. The question is: Are North American imports here to stay and give Chinese refiners an extra supply source? Also in China, market players will continue to monitor potential policy changes on coal production. Analysts estimate an output cut of at least 65 million tons for this year if output restrictions are introduced. More on policy changes -- this time in Japan, where METI is holding a meeting today which is expected to throw some light on the country’s changing refining regulations. China's peak winter demand for LNG ends Moving on to gas, LNG traders are closely watching Sinopec. The Chinese buyer was heard to be marketing volumes from the Australia Pacific LNG plant, as China's peak winter demand comes to an end. The news comes amid a ramp-up in production globally, including Sabine Pass in the US Gulf. Polyethylene and polypropylene inventories at multi-year highs Speaking about oversupply, the near term outlook seems bearish for polyethylene and polypropylene, with inventories hitting multi-year highs. Meanwhile, PVC demand is expected to remain robust and peak by April, driven by India's push to further develop infrastructure. Market players could be looking at new trade routes after China’s hike in ethanol import duties In the agriculture markets, China’s hike in ethanol import duties is expected to spur discussions of new trade routes during an ethanol and sugar conference in Bangkok this week. On wheat, Southeast Asian millers are eying competitive prices for Black Sea material. Buying decisions will depend on: one, the strength of the Russian ruble, and two, freight rates. Will Malaysia lift or extend its ban on bauxite exports? Moving on to metals, Malaysia’s ban on bauxite exports is due to end in mid-March, after being extended several times since January last year. There are mixed expectations on whether the ban will be extended yet again. What do you think, is Malaysia ready to resume bauxite exports next month? Join our conversations on Twitter with the hashtag PlattsMarketMovers. Thanks for kicking off your Monday with us, and have a great week ahead.]]></video:description><video:publication_date>2017-02-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022317-total-us-gas-exports-to-mexico-set-to-rise-30-in-2017-platts-analytics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=eiHnGu5rQtJh1WXxzkWVmK</video:player_loc><video:thumbnail_loc /><video:title>Total US gas exports to Mexico set to rise 30% in 2017: Platts Analytics</video:title><video:description><![CDATA[US natural gas exports to Mexico could reach as high as 5.4 Bcf/d by late summer 2017, according to data from Platts Analytics' Bentek Energy , but will be highly dependent on a roughly 4.1 Bcf/d year-on-year build in export capacity. Ross Wyeno , senior energy analyst, shares forecasts around Mexico's natural gas supply and details about four new pipelines that will increase Texas' exports to its southern neighbor. View Full Transcript Video Transcript Total US gas exports to Mexico set to rise 30% in 2017: Platts Analytics By Ross Wyeno, senior energy analyst Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. US natural gas exports to Mexico have been on the rise over the last several years as Mexico contends with declining natural gas production and rising demand. In 2017, Platts Analytics’ Bentek Energy expects that US exports to Mexico could reach as high as 5.4 Bcf/d by late-summer. However, the timing and strength of that build will be highly dependent on the timely addition of a roughly 4.1 Bcf/d year-on-year build in export capacity. US natural gas exports rose to 3.7 Bcf/d in 2016, a 20% build over 2015, largely due to new exports along the NET Mexico pipeline in South Texas. This year, total US exports to Mexico are set to rise by another 1.1 Bcf/d, or 30%, supported by the addition of three four new border crossings in South and West Texas. These new exports will fill in for falling domestic natural gas production in Mexico, which is expected to decline by another 20% in 2017. Demand is also expected to rise by around 11%, largely supported by growing gas-fired power generation needs. There is over 7 GW of new natural gas fired generation planned with a 2017 in service date, according to data compiled in the Platts Analytics Mexico Facilities Databank. These new exports will reach the Mexican market via four new export pipelines: Roadrunner, Comanche Trail, Trans-Pecos, and Nueva Era. Combined with downstream pipelines in Mexico, Platts Analytics estimates that these new Texas border crossings will be able to access up to 4.7 Bcf/d of downstream demand by late summer, a 1 Bcf/d build from last year. The primary new export corridors are likely to be along the Trans Pecos pipeline in West Texas and the Nueva Era Pipeline in South Texas. In West Texas, the 1.35-Bcf/d Trans Pecos pipeline is set to come online in March and will provide incremental delivery capacity into the Mexican city of Chihuahua. The pipeline will also support deliveries further south into Durango with the adjoining pipeline expansions in Mexico, which are expected to startup concurrent with Trans Pecos. In South Texas, the 0.6 Bcf/d Nueva Era pipeline is set to come online in June and will largely serve power producers in the Monterrey area. US natural gas exports to Mexico expected to top 5 Bcf/d by late summer: Platts Analytics Bentek Energy The startup of these two pipelines is likely to be followed soon thereafter by strong increases in US exports to Mexico, which are expected to rise above 5 Bcf/d by mid-summer. Until the next Snapshot- we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-02-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022217-platts-japan-oil-product-assessments-and-ewindow-explained</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-22T06:47:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4PRxdnRnucd3pQdsfdazj3</video:player_loc><video:thumbnail_loc>/platts/plattscontent/_assets/_images/videos/default-video.jpg</video:thumbnail_loc><video:title>Platts Japan oil product assessments and eWindow explained</video:title><video:description><![CDATA[The launch of S&P Global Platts Japan oil price assessments - both for waterborne and rack - is a response to the domestic market's demand to move to open and clear assessments. In this video, Tokyo-based editors Anton Ferkov and Hiroyuki Koshoji explain the crucial role of Japanese companies in the establishment of this process through the Platts Market On Close (MOC) structure and the eWindow technology. They also provide a glimpse of the possible expansion of Platts Japan oil price assessment coverage. Your feedback is important to us. Please send suggestions, questions and comments to pl_tk_editorial@platts.com .]]></video:description><video:publication_date>2017-02-22T06:47:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/022117-styrene-monomer-supply-disruption-alters-trade-flow-between-us-and-asia</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=EFYmTREYJhKUQRvtB5s57f</video:player_loc><video:thumbnail_loc /><video:title>Styrene monomer supply disruption alters trade flow between US and Asia</video:title><video:description><![CDATA[Under normal circumstances, styrene monomer cargoes usually flow from the United States to Asia. But with supply disruptions hitting several plants in the US, traders are now eyeing a very rare reverse arbitrage opportunity. S&P Global Platts associate editor Pamela Sumayao examines the current styrene monomer supply situation and prices, how the trade flow has changed this month, and what market participants expect over the next couple of months. Read our related analysis: Extreme US styrene shortage turning global trade flows upside down View Full Transcript Video Transcript Styrene monomer supply disruption alters trade flow between US and Asia By Pamela Sumayao Welcome to the Snapshot a series that examines the factors driving and shaping global commodity markets today. The styrene monomer market has taken the centerstage in the petrochemicals scene. Traders have been eyeing a very rare reverse arbitrage opportunity to bring styrene monomer cargoes from Asia to the United States. Rare Korea-US SM arbitrage opens after a decade And by rare, we’re looking at the last time being more than a decade ago. Way back in 2005, to be exact, about 1,000 metric tons were shipped from South Korea to the US. Recently, we’ve heard market participants say about 13,000 to 20,000 metric tons are heading to the US. Bulk of the volume is loading from South Korea by end-February to very early in March. Deals on FOB Korea basis for US-bound cargoes were heard hovering at about 1,500 dollars per metric ton in the first half of the month. Why are we seeing this unusual reverse arb? Two things: US production disruptions AND weak demand from China. Production issues in US SM plants boost US Gulf prices for styrene Let’s look at the US first. There’s a prolonged shutdown at Americas Styrenics’ 950,000 metric ton a year SM plant in St. James Louisiana. Next, a problem at the 1.2 million metric ton per year Cos-mar plant in Louisiana as well, which led to a declaration of a force majeure. A source had told Platts that Cosmar will allocate only 40% of its planned SM output to customers until June. With these issues, the US is facing a serious styrene shortage/ and prices in the Gulf Coast surged to a 30-month high. March FOB US Gulf Coast was assessed at 75.75 cents per pound on February 15. That’s around 1,670 dollars per metric ton. On the same day, FOB Korea H2 February laycan was assessed at 1,498 dollars per metric ton. With freight at around 40 dollars per metric ton, the arbitrage was open with a differential of over 130 US dollars. On top of the supply disruptions in the US, we’ve also seen weak spot styrene monomer demand from East China due to high domestic inventory levels. With the arbitrage still workable on paper on February 15, sentiments were mixed. One trader said they still have some negotiations to work out the arbitrage. Another trader was more conservative, saying deals for this rare arb opportunity are done. Some traders find it too risky if the Asian cargoes arrive in the US by end April – by then, supply tightness could have already eased. Our Platts Market Movers poll for our Twitter followers last week showed that 48% of the voters think the reverse arbitrage will remain open until May. But traders we’ve talked to expect domestic China prices to rebound next month, when demand from downstream returns, and East China inventories start shrinking. Until next time on the Snapshot, we’ll keep an eye on the market.]]></video:description><video:publication_date>2017-02-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:47</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/022017-market-movers-feb-20-24-china-coal-policy-changes-methanol-supply-constraints-lng-tender-interest</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XrhDUxRPeBwvVeLajHCLQQ</video:player_loc><video:thumbnail_loc /><video:title>Market Movers, Feb 20-24: China coal policy changes, methanol supply constraints, LNG tender interest</video:title><video:description><![CDATA[Have non-OPEC countries been as compliant as OPEC members as far as the oil output cut agreement is concerned? Will China reinstate its 276 working day policy for thermal and metallurgical coal mines? And will the methanol market's supply woes continue? Editor Kenneth Foo looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. View Full Transcript Video Transcript Market Movers, Feb 20-24: China coal policy changes, methanol supply constraints, LNG tender interest By Kenneth Foo, Associate Editor, Steel Raw Materials, Asia Welcome to Platts Market Movers, your three-minute look at what the week ahead holds for the Asian commodity markets. Spotlight: China’s coal policy changes, methanol’s supply constraints and LNG’s tender interest The key highlights this week: China’s coal policy changes, methanol’s supply constraints and LNG’s tender interest. But first, in oil, the committee, created to monitor and enforce November’s OPEC/non-OPEC deal cutting 1.8 million barrels a day, will meet in Vienna on Tuesday and Wednesday. The oil market has been pleasantly surprised by the high level of compliance by OPEC members with the deal. This meeting of technical experts could shed light on how compliant non-OPEC members have been. Further clarity expected for China’s coal supply policy This week, all eyes will also be on China’s National Development and Reform Commission and its next policy steps. The temporary relaxation in policy to 330 working days from 276 for thermal and metallurgical coal mines late last year sent prices plummeting from multi-year highs. Australian thermal cargo prices stabilized last week on unconfirmed reports that Beijing will reinstate its 276-day policy. Prices could strengthen if an official announcement confirms this. For our big question this week: Will China’s NDRC reverse its policy to276 working days for coal mines? Join our poll on Twitter and share your thoughts. Methanol supply strangled by Iran, Oman cuts In petrochemicals, methanol surged to an almost 3-year high in China last week. This was due to plant shutdowns in Iran and Oman. This week, we expect supply woes to continue. Iran’s cold weather could divert natural gas to meet household heating demand. The Zagros methanol plant is responsible for more than half of Iran’s supply. Its operating rate is expected to drop to about 25% of capacity. Last week, it was operating at 50% of capacity. Moving on to metals, Japan’s second quarter aluminum premium negotiations are likely to begin with producers starting contact with buyers. The Q2 talks may affect spot prices that have been range-bound since December. Iron ore could slip below $90/dmt on China sintering cuts Elsewhere, sintering and output restrictions next week ahead of China's National People's Congress meeting in March could hit iron ore demand and threaten to knock prices off two-and-a-half year highs. Asia LNG: Robust March tender demand Next, In LNG, demand continues this week for prompt March cargoes among buyers in the Middle East and India. These tenders issued by India’s Gail and Kuwait’s KPC are providing support to the market and could pressure other buyers to return earlier to meet requirements. China customs data to shed light on Asian Ethanol trade Look out for Chinese customs data this week. In the case of ethanol, this will be the first monthly data since China increased import tariffs on denatured ethanol from 5% to 30%. It will be interesting to see whether this will change ethanol trade routes in Asia. Finally, in wheat , a force majeure in Western Australia is expected to be lifted this week. This is likely to see prices stabilize. Send us your views on Twitter with the hashtag PlattsMarketMovers . Thanks for kicking off your Monday with us and have a great week ahead.]]></video:description><video:publication_date>2017-02-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/022017-sampp-global-platts-to-include-norways-troll-in-dated-brent-bfoe-assessments-from-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=khujM7dXpN9yEBQuFXojSa</video:player_loc><video:thumbnail_loc /><video:title>S&amp;amp;P Global Platts to include Norway's Troll in Dated Brent, BFOE assessments from 2018</video:title><video:description><![CDATA[Dated Brent is at the core of the Brent crude complex and represents the most competitive grade of a basket of crudes loading in the North Sea on any given day. Linked to this is physical cash BFOE - Brent Ninian Blend, Forties, Oseberg, Ekofisk - as well as many other assessments and contracts. As production from the Brent field itself declined, Platts added Forties and Oseberg in 2002 and Ekofisk in 2007. While production has, for now, stabilized in the North Sea, the four grades in the BFOE basket are likely to see further declines. Platts believes it is time to add another grade to the basket to ensure there is sufficient deliverable crude reflected in the price assessments. Following an extensive period of consultation and engagement with market participants including refiners, traders, oil companies, exchanges and others, we have found strong support for the addition of a new crude and significant support for Troll specifically. As a result, Platts will be reflecting Troll deliveries in Brent loading dates from January 1, 2018. This means Platts will publish assessments for the January 2018 Cash BFOE contract from 1 September 2017 and Dated Brent from 1 December 2017 reflecting the potential delivery of Troll along with existing BFOE grades. See the full proposals at http://www.platts.com/subscriber-notes-details/26666415 Read the related press release: S&P Global Platts to Reflect Norway’s Troll Crude Oil in Brent assessments from January 2018 For feedback, comments and questions on Platts reflecting Troll deliveries in Brent loading dates, please e-mail us at oilgroup@spglobal.com View Full Transcript Video Transcript Joel Hanley: Hello, and welcome – I’m Joel Hanley, head of Platts oil price reporting team in Europe and I’m joined today by Jonty Rushforth, head of the oil price group at Platts. In this short video we’ll be discussing the inclusion of a new crude grade in the Brent complex, Norway’s Troll. Norway’s Troll to be included in Platts Dated Brent, BFOE assessments from January 2018 At the core of the Brent crude complex of assessments is Dated Brent, which represents the most competitive of a basket of crudes loading in the North Sea on any given day. Linked to this is the physical Cash BFOE market, as well as a host of other assessments and contracts. As the Brent field itself has declined over the last few decades, Platts has moved to reflect a broader range of crudes in these assessments, starting with Forties and Oseberg in 2002 and then adding in Ekofisk in 2007. Looking ahead, the four grades in the basket are likely to see further declines over the coming years. We believe it is time to add another grade to the basket, to ensure there is sufficient deliverable crude oil reflected in the assessments. We have been discussing the possible inclusion of new grades with a range of stakeholders in recent months, including refiners, traders, international oil companies, exchanges and others. We have found broad support for adding new crude to the basket, and significant support for the addition of Troll crude. We are now moving ahead with a decision to include Troll from January 2018 onwards. That means that Platts assessments of forward Cash BFOE will begin reflecting the grade from that contract month onwards, while Dated Brent itself will begin reflecting the new basket from December 1, 2017, the first day when the Dated loading programs will begin to include January 2018 dated cargoes. So, viewers, what will this involve, and what does it mean for North Sea crude benchmarking? To explain that, I’ll pass to Jonty. Jonty Rushforth: Thanks, Joel. As Joel mentioned, overall the North Sea has seen significant declines over the last several years, with more declines to come. There have been new fields come on stream in the North Sea, and there are more due to begin production in the coming years. However, the vast majority of the rest of the North Sea production aside from BFOE is heavier, sourer or more acidic than the existing basket. Troll itself is a light, sweet crude with a typical production of 10 to 15 cargoes of 600,000 barrels each month. As is the case with the existing BFOE grades, Troll loads on an FOB basis, from the Mongstad terminal in Norway. Troll has a typical gravity of 35.9 API degrees, sulfur of 0.19% wt and a total acid number of 0.70 mgKOH/g) The grade is more acidic than the existing basket. However, North Sea production is growing more acidic generally, and Europe’s refiners have evolved over the years to increase their flexibility in processing acidic crudes. Troll is also operated by Norway’s Statoil, which also owns a significant proportion of the grade’s equity production. It is not unusual for single streams of commodities within benchmark baskets to be majority owned by national resource companies; within oil markets globally it is fairly common. However, Platts strongly believes that robust benchmarks involve multiple buyers and sellers. The new North Sea basket would see no single company owning more than a quarter of total production, with an array of companies holding quite small shares. We’ve been assessing Troll as a grade in its own right since 2002. We have noted that on the whole it has priced at a premium to Dated Brent. That is important as it makes it very unlikely that the new crude would depress the existing benchmark. Of course, we don’t take a view as to whether a benchmark should be higher or lower; the important point is that it reflects market value. We are continuing to consider whether to include a quality premium for Troll in the assessment process. We currently reflect quality premiums for Oseberg and Ekofisk, but not for Brent Ninian Blend or Forties. But we believe it is important to take a measured approach to including the new grade. Platts continuing to consider Quality Premium for Troll Joel Hanley: So, what will the impact of this new addition be? The key point is that the new addition of grade the grade adds around a quarter of a million barrels a day of deliverable crude to the North Sea basket. And it should not depress the value of the basket, based on its historical values. Dated Brent is a robust and well-supplied crude benchmark, but it’s important that we prepare for the future. And this is a key step on that path. We will over the next few weeks be discussing all this with stakeholders and looking to hear your views, whether in person or in writing. We welcome your comments, suggestions and questions on the issues we’ve covered in this video. I’m Joel Hanley, thanks for taking time to watch this video. See the full proposals at http://www.platts.com/subscriber-notes]]></video:description><video:publication_date>2017-02-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021617-us-gas-market-contango-leaves-questions-around-production-storage</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fSB3JECNGZPq3jitxYZrXS</video:player_loc><video:thumbnail_loc /><video:title>US gas market contango leaves questions around production, storage</video:title><video:description><![CDATA[Abnormally warm weather patterns have weighed heavily on US natural gas futures, and market participants are considering storage, production and demand changes ahead in 2017. Samer Mosis shares Platts Analytics' Bentek Energy forecast for production as well as how internal rates of return, as tracked by Platts Well Economics Analyzer , could play into those expectations. View Full Transcript Video Transcript US GAS MARKET CONTANGO LEAVES QUESTIONS AROUND PRODUCTION, STORAGE By Samer Mosis, natural gas pricing specialist Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. Since the start of the year, abnormally warm weather patterns have weighed heavily on natural gas futures, with NYMEX natural gas prompt month contract losing over 90 cents, or 25%, since peaking at $3.93/MMBtu in late December. Simultaneously though, looking further down the curve, the winter 2017-2018 strip has steadily strengthened since October, putting the market in a steep contango up to January and February of 2018. What’s underpinning this contango market? Well, contango markets generally arise from a perceived or expected supply-demand imbalance, a dynamic that is abundant in North American natural gas markets. From a bullish perspective, demand is expected to average around 95-Bcf a day across the 2017-2018 winter months, nearly 6-percent higher than the 5-year average and 4-percent higher than this winter. US gas production is expected to increase 1% in 2017 compared with 2016: Platts Analytics’ Bentek Energy Yet production throughout this summer’s critical injection period is only expected to grow 1% above last year, Platts Analytics’ Bentek Energy data shows. This supply-demand imbalance may spell trouble for natural gas stocks going into next winter. According to the latest Platts Analytics projections, working gas storage levels are expected to rise to just 3.4 Tcf at the end of injection season. That is 12% below the corresponding level last year, 5% below the 5-year average, and the lowest ending-October level since 2008. At the same time, this contango structure bolsters the economic incentive to drill, and, as bears will tell you, this could alleviate supply side shortages and effectively cap gains for the bulls out there. Natural gas drilling growth across the US averaged 16% in Q4 2016: Platts Rig Data In fact, there has been significant growth in natural gas drilling across the US, averaging 16% in Q4 2016, according to Platts Rig Data. The most prolific growth has been in the Marcellus play, which saw 27% growth during that same period. Platts’ Well Economics Analyzer suggests that growth in the Marcellus will continue as the play’s Internal Rates of Return rose nearly 6 percentage points from January to February, the largest comparable growth in the US. All of this said though, production is one thing, while midstream transportation is another. Market participants have voiced serious concerns about infrastructure bottlenecks that could undermine production growth in some areas. This is not new for Appalachia, where Dominion South saw a price slump in September and October that drove cash markets to record lows of $0.30/MMBtu. This in turn brought what had been sustained double digit year on year production growth to an abrupt halt. Collectively, while these fundamentals paint a picture of a market that expects to see improvement after a prolonged commodity slump, the interaction of these fundamentals themselves may paint a more bearish picture than recent forward market movements suggest. Until the next Snapshot- we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-02-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/021417-dated-brent-crude-oil-volatility-february-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DvvZumZUAMTCTU1BYoQHoW</video:player_loc><video:thumbnail_loc /><video:title>Dated Brent crude oil volatility: February outlook</video:title><video:description><![CDATA[Dated Brent, despite trading between $54 and $55 for several days, has continued to go up whilst volatility has significantly dropped as anticipated in our last Volatility Analysis report, as S&P Platts analyst Vito Turitto explains. For our recent Volatility Analysis for EMEA, download the following report: The EMEA report goes through the quantitative analysis of volatility fluctuations for the most important crude and petroleum products in Europe: Brent, Eurobob, ULSD ARA, Jet CIF NWE, and Rotterdam Fuel Oil 3.5%. The current analysis is based on January data. View Full Transcript Video Transcript Transcript Strapline: Vito Turitto, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. Dated Brent, despite trading between $54 and $55 for several days, has continued to go up whilst volatility has significantly dropped as anticipated in our last Volatility Analysis report. The price during the month of January, has been supported by 2 main factors: a strong Asian demand and a decrease in global crude oil production. In particular, OPEC members, according to the latest Platts survey, are showing compliance to the agreed quotas and they have produced only 32.16 million barrels - 690,000 barrels down from December and 1.14 million barrels down from October. Chart 1: Dated Brent Iraq, OPEC’s second largest member, has still got 129,000 barrels to cut whist United Arab Emirates and Venezuela need to limit their outputs by 56 and 38 thousand barrels respectively. Nevertheless, the 91% of the agreed production cuts have already been achieved in the first month of 2017. Strapline: Iraq needs to cut 129,000 barrels Dated Brent’s monthly volatility kept going down in January and if it was low in December, it can now be said to be dramatically low. Chart 2: Dated Brent Volatility The fluctuation rate moved from 40.25% on the third of January to a shocking 22.88% on January thirty-first implying that the volatility dropped by more than 43% since the beginning of the year and more than 55% since December first. Furthermore, it is crucial to point out that Dated Brent’s monthly volatility recently touched its lowest level in more than 2 years. Strapline: Dated Brent’s volatility touched its 2 years low Specifically, the last time Dated Brent’s volatility was lower than 22% was in October 2014. This implies that the monthly volatility is much more likely to bounce back up than it is to move further down In fact, the probability distribution analysis suggests that the fluctuation rate has a 37.82% aggregated probability to increase and only 1.52% chance to stay where it is which means that Dated Brent prices are more likely to decrease over the coming weeks. Strapline: Volatility has a 37.82% probability to increase and 1.52% chance to stay where it is The volatility cones analysis which compares the actual volatility with its past distribution, shows an extremely low monthly volatility which almost totally overlaps the lowest point ever achieved by the fluctuation rate over the last 2 years. It is clear that the mean reverting pressure, which is the tendency of volatility to spike back up once it reaches an equilibrium point and vice versa, at least in the short term, is as high as it can get. Image3: Volatility Cones Consequently, it is very likely that the monthly volatility will tend to move up in coming days pushing Dated Brent prices down. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-02-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:49</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/021317-platts-market-movers-feb-13-17-japanese-thermal-coal-buyers-scout-for-cargoes-reverse-arb-opens-for-styrene-monomer</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1dQZqkeFmTiipkzq5TZfor</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers, Feb 13-17: Japanese thermal coal buyers scout for cargoes; reverse arb opens for styrene monomer</video:title><video:description><![CDATA[Will the Platts North Asia Thermal (NEAT) Coal Index keep trending higher as Japanese buyers scout for more cargoes? How long will the reverse arbitrage for styrene monomer - from South Korea to the US Gulf Coast - stay open? And how will President Donald Trump respond to an industry request to push China to remove anti-dumping duties on US dried distiller grains and not raise ethanol tariffs? Editor Samar Niazi looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us.]]></video:description><video:publication_date>2017-02-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020917-where-is-the-india-china-iron-ore-trade-relationship-headed</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ks7X4egNfYoQteBBh7a1gh</video:player_loc><video:thumbnail_loc /><video:title>Where is the India-China iron ore trade relationship headed?</video:title><video:description><![CDATA[India used to supply as much as 10% of China's iron ore requirements, but the South Asian country’s inconsistent policy over the past 5 years has resulted in a complex trading dynamic between the two. In 2016, India's iron ore exports to China was just 1.5% of the top consumer's total imports. In this video, S&P Global Platts senior editor Sui Ling Phang examines how India's relationship with China has evolved over the years in the iron ore space and where it is headed in the near term. View Full Transcript Video Transcript Welcome to the Snapshot, a series that examines the forces shaping and driving global commodity markets today. In this episode, we are going to take a look at India's dynamic relationship with China when it comes to iron ore. India used to be one of the largest contributors to China's iron ore import needs, accounting for around 10% of China's total imports in 2011. But India's policy stance on iron ore exports has flip-flopped over the past five years. Its key mining state of Goa, for instance, went through a mining ban from 2012 to 2014, and a production cap was later put in place. And then to encourage exports, duties were reduced in 2015 and abolished in 2016. The Platts benchmark 62% iron ore index averaged just $55/dmt CFR China in 2015, compared to an average of around $170/dmt in 2011, when India’s exports were more mainstream. Yet all is not lost. 2016 marked a tremendous year for the seaborne iron ore market, averaging almost $71/dmt in the last quarter. India's iron ore fines continued to flow into China, tracking significant increases over the course of the year. A rush to load cargoes pre-monsoon in May also resulted in a bumper import figure for June. India's 2016 exports of iron ore products to China were a mere 1.5% of China's total imports. Yet, this supply was sufficient to put a downward pressure on the price for low grade fines, and the spread compared to 62% Fe widened significantly. The competitive space for circa 58% Fe cargoes is also very crowded. Chinese mills are much more familiar with Australian producers with much larger capacities and better chemical specifications. Indian iron ore had to be offered at notable discounts to be more attractive. But it is important to note that with the significant lift in iron ore prices in 2016 – from a low of $39/dmt in January to $84/dmt in mid-December – Indian iron ore producers were still earning decent margins. So much so that India medium grade iron ore miners have entered the foray. Despite the 30% export tax on fines with Fe content above 58%, these miners still found it profitable to export their cargoes. Indeed, because of the widening spread, these miners choose to export medium grade fines, rather than blend it to lower Fe. The cost of paying the 30% export tax must be less than selling it at the softer 58% high alumina index. China remains the main outlet for India's iron ore fines and pellet exports. Of course, India aims to expand this base, to re-ignite relationships with the Far East and European steel makers. Sources have said this could be a strong possibility this year. Also, while India exports iron ore to China, China's steel exports to India have not been greeted by the same warm welcome. But that's a story for another day, in the every changing, star crossed relationship, between a Tiger and a Dragon. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-02-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020717-rins-prices-react-strongly-to-us-political-news-despite-uncertain-impacts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YzsEsu63dh7gNnmJNSS2mh</video:player_loc><video:thumbnail_loc /><video:title>RINs prices react strongly to US political news, despite uncertain impacts</video:title><video:description><![CDATA[The market for Renewable Identification Numbers, used to comply with US renewable fuel blending rules, has been roiled in the last three months as the Renewable Fuel Standard and Environmental Protection Agency are in the spotlight. Wes Swift covers biofuel and RINs markets and details the price shifts in light of political news and blending mandates. View Full Transcript Video Transcript Welcome to the Snapshot, a series examining the forces shaping and driving global commodities markets today. The political tidal wave sweeping Washington DC has created rough seas for the market for Renewable Identification Numbers, which are used to comply with federal renewable fuel blending rules. The already volatile market has been roiled in the last three months, sending prices for the credits soaring and spiking. In November, news from the US Environmental Protection Agency sent prices up 23% in a matter of days, after it was announced that the 2017 Renewable Volume Obligations would be nearly 500 million gallons higher than originally proposed in June. D6 ethanol RINs peaked at $1.0750/RIN on December 2, and D4 biodiesel RIN reached $1.2175/RIN. But the surge was short-lived. A week later, reports that President Donald Trump would nominate Scott Pruitt, a vocal critic of the Renewable Fuel Standard, to head the EPA sent RIN prices reeling. News that another critic of the RFS, Carl Icahn, would serve as an adviser on deregulation sent RIN prices dropping further less than two weeks later. And in recent weeks, Pruitt’s confirmation hearing and an announced delay in the implementation of the 2017 RVO have further rattled the markets, pushing RIN prices 60% lower by February 1. The market’s reaction to these developments has shown that any type of news from Washington is likely to make what appears to be a jittery market react strongly, regardless of what the final impact will be. For instance, the majority of supporters and critics of the RFS said the EPA’s recently announced delay would have little impact on this year mandate. But the market still found enough to worry about to send RIN prices downward. This comes at a time when renewable fuel industry supporters were expecting to reach record levels of production. And some analysts predicted in mid-2016 that limited ethanol production capacity would push RIN prices to higher and higher levels in 2017. The market now seems to have real doubt about the future of the RFS under the Trump administration. But there’s still much to be determined. The Midwest US is Trump country, a key part of the country that supported his campaign and Republicans in Congress. It’s also the heart of the US biofuels industry, which provides jobs to the area. And the RFS is popular with federal lawmakers on both sides of the aisle. The bottom line is that this story is far from over. Until next time on the Snapshot, we’ll keep an eye on the markets.]]></video:description><video:publication_date>2017-02-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/020617-platts-market-movers-feb-6-10-commodity-market-activities-seen-picking-up-as-asia-returns-from-lunar-new-year-holidays</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5xtbghsDpThJmmNqH6sqtx</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers, Feb 6-10: Commodity market activities seen picking up as Asia returns from Lunar New Year holidays</video:title><video:description><![CDATA[What's in store for Asian commodity markets now that Chinese players are back from the Lunar New Year holidays? To what extent will OPEC and non-OPEC countries cut production in the first quarter? Will end-users agree to buy styrene monomer at a higher price after it hit a 29-month on February 2? Editor Yi-Jeng Huang looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us.]]></video:description><video:publication_date>2017-02-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/020217-bunker-industry-faces-uncertain-year-as-margins-dwindle</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-02-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=WJb92gg5ydm9uLQUN16Uzu</video:player_loc><video:thumbnail_loc /><video:title>Bunker industry faces uncertain year as margins dwindle</video:title><video:description><![CDATA[A wave of consolidation is hitting marine fuel suppliers with narrowing margins, weak demand from shipping and the threat of tighter emissions controls looming on the horizon. That’s all going to add up to the toughest year for the bunker industry in a decade, says Jack Jordan , editorial lead for bunker news at S&P Global Platts. In this video, he looks at how the industry got into this situation and why the outlook doesn’t look promising. Download our special report - Container Shipping: What next for the smaller TEU fleet? View Full Transcript Video Transcript STRAP: Jack Jordan, editorial lead, Bunkerworld Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The marine fuel suppliers serving the world’s shipping industry are facing their toughest year since the 2007 crisis. Their trading margins have narrowed to a minimum, demand from shipowners isn’t what it used to be and – worst of all – politicians are starting to pay attention to them. This used to be a business that took fuel oil – a cheap, unwanted byproduct from refineries – and sold it as fuel to a healthy shipping industry. Since the crude price collapse in 2014 though, that model has become increasingly precarious. Margins have narrowed from a few dollars a tonne to as little as 50 cents in some places now. STRAP: Bunker trading margins narrowing to as low as 50¢/mt In November 2014 OW Bunker, a few months after IPO and one of the world’s largest bunker traders, collapsed unexpectedly. That triggered a wave of consolidation that is still rolling through the industry. Last year Bomin in Hamburg said it would close offices in London, Athens, Rio de Janeiro and Tallinn. In a statement in November, it warned of a "new era for bunkering." And Minerva Bunkers, owned by Switzerland's Mercuria Energy Trading, said in September it would close offices in Piraeus, Greece, and Seoul and focus European operations in the Canary Islands, and Asian ones in Singapore and Japan. And this month Adrian Tolson, now a consultant and one of the industry’s most respected figures, warned smaller marine fuel suppliers that they need to stay away from the world’s bigger bunkering ports. STRAP: Independent suppliers should stay away from bunkering hubs: consultant He said that unless you’ve got a direct relationship with a refinery or a cargo trading operation, you should get out of Rotterdam and Singapore and find a market in the smaller ports where the oil majors aren’t so active. A big part of what’s driving these low margins is weak demand from the shipping industry. Take a look at demand figures from Rotterdam for example – Europe’s biggest bunker port. IMAGE: Rotterdam bunker demand 2012-2016 Here we can see a big drop from 2012’s levels. That’s partly about European GDP growth giving up the ghost, but you can’t blame it all on that. These numbers are also reflecting a sharp drop in profits for the shipping industry, dry bulk and container shipping in particular. South Korea’s Hanjin Shipping went bankrupt last year, and that’s just made things worse. And now there’s the politicians. In October the International Maritime Organization, a UN body, told ship operators that they had to stop burning fuel oil by 2020 or cut sulfur emissions by other means. STRAP: IMO to cut marine sulfur emissions from 3.5% to 0.5% in 2020 That’s going to mean a big rise in fuel costs as they switch to cleaner fuels, and refiners in Europe are going to struggle with the idea of fuel oil demand disappearing overnight. But of course what everyone’s going to look at with the new regulations is compliance – can anyone guarantee that anyone will pay any attention to the rules? Tankers in northwest Europe and the US Gulf will have to follow the letter of the law – but who knows what will happen in the middle of the ocean. STRAP – www.platts.com Until next time on The Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-02-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/013117-us-propylene-producers-reportedly-buying-spot-to-fulfill-obligations</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-31T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CgRoqe9pVKhZRhLSZRorDx</video:player_loc><video:thumbnail_loc /><video:title>US propylene producers reportedly buying spot to fulfill obligations</video:title><video:description><![CDATA[Propylene and ethylene prices in the US spiked in the first few weeks of 2017, with a busy turnaround season along the US Gulf Coast prompting tightness in the olefins markets. Nida Qureshi details just how much the petrochemical prices have increased, how long the supply tightness is expected to last and how it's changing normal market dynamics. The video's first image incorrectly depicted the assessments for various propylene grades, but was corrected and updated on February 3.]]></video:description><video:publication_date>2017-01-31T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:41</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012617-southern-french-gas-prices-reach-record-highs-as-cold-weather-hits</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=8ojaqLNRXajnU7EfEDAUYy</video:player_loc><video:thumbnail_loc /><video:title>Southern French gas prices reach record highs as cold weather hits</video:title><video:description><![CDATA[Lucie Roux talks about prices on the TRS natural gas hub in southern France having reached record highs in January as sustained cold weather exacerbated a tight supply system caused by limited global LNG supplies, low storage levels and internal flow constraints. Southern French LNG terminal Fos near Marseilles is set to receive seven cargoes in February but traders remain concerned as the supply situation could become even tighter if the cold weather persists into February. This would likely cause storage levels to fall below the level needed to ensure secure supplies, in turn triggering gas prices to spike again. View Full Transcript Video Transcript Transcript STRAP: Lucie Roux, Senior Specialist, European Gas and Power in London Welcome to the Snapshot, our series that examines the forces shaping and driving global commodities markets today. The cold weather sweeping across Europe in January has pushed natural gas spot prices to record highs in southern France, which is already suffering from nuclear power outages. Temperatures in France in particular fell below the seasonal average, causing spikes in demand and prices. IMAGE 1: FRENCH TRS GAS SPOT PRICE HITS NEW HIGH In fact, spot prices on France’s southern gas hub TRS spiked several times in January to record highs. TRS became the most expensive gas hub in Europe, beating Italian PSV spot prices. The TRS day-ahead reached a peak of 45 euros per megawatt hour on January 20. Supply issues also contributed to the rocketing gas prices, including a bottleneck in the southeast, low LNG sendouts and low gas storage levels, as well as restrictions on the so-called North-South gas link within France. With France dependent on electricity for much of its heating, the cold weather drove demand for gas in power generation, in particular as several French nuclear plants are offline for repairs and hydro stocks are at their lowest. IMAGE 2: GAS TO SPAIN VIA FRANCE SOARS IN JANUARY Demand for gas was also higher in neighboring countries, such as Spain and Italy. French gas exports to Spain soared in January to record highs, despite the very tight system and high demand in the south of France. The system became so tight that French gas grid operator GRTGaz started to publish a daily alert from January 6, indicating minimum LNG volumes to be sent out into the grid at the Fos terminal near Marseilles, in order to preserve storage levels until the end of winter. IMAGE 3: SOUTHERN FRANCE GAS STOCKS AT 5 YEAR LOW Storage levels in southeast France are currently at their lowest in five years, as they already started the winter season at a relatively low level. But extra LNG imports to preserve storage has been hard to find, partly because of an unplanned outage at the Algerian LNG plant Skikda since the end of December, a main supplier of the Fos LNG terminal. This issue coincided with high LNG spot demand in the Middle East, in particular in Turkey, leading to a shortage in LNG spot availability. The high prices attracted a new cargo to Fos on January 24 from France’s northern Montoir LNG terminal -- the first time this has happened in 10 years. 7 other cargos from unknown provenance are expected in February. But the situation remains tense. STRAP : French TRS gas prices to reach new highs if February very cold While traders can still count on French storage in January, if the cold weather continues, February could see even higher gas prices in southern France if storage levels fall too low to ensure security of supply. STRAP – www.spglobal.com/platts Until next time on the Snapshot, we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-01-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:39</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/012417-dated-brent-crude-oil-volatility-monthly-outlook</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DbhTPpEmFkLU3bGr1vXMUa</video:player_loc><video:thumbnail_loc /><video:title>Dated Brent crude oil volatility: monthly outlook</video:title><video:description><![CDATA[The volatility of Dated Brent has followed a leverage effect process and such a phenomenon signals market stability and the potential for Brent prices to move higher in coming weeks, as S&P Platts anlayst Vito Turitto explains. For the latest Volatility Analysis for EMEA or Americas download the following reports: The EMEA report goes through the quantitative analysis of volatility fluctuations for the most important crude and petroleum products in Europe: Brent, Eurobob, ULSD ARA, Jet CIF NWE, and Rotterdam Fuel Oil 3.5%. The current analysis is based on December data. The Americas report goes through the quantitative analysis of volatility fluctuations for the most important crude and petroleum products in Americas: WTI, RBOB, ULSD USGC, Jet USGC and Fuel Oil 3% USGC. The current analysis is based on December data. View Full Transcript Video Transcript Transcript Strap: Vito Turitto, quantitative analysis Welcome to The Snapshot – our series which examines the forces shaping and driving global commodities markets today. The price of Dated Brent has fluctuated between $53 and $55 since the month of December so far but its volatility has, over the same period of time, significantly dropped and now it is even lower than its long term mean. The volatility has actually followed a leverage effect process, which is the asymmetric movement between the price and volatility, and such a phenomenon signals market stability and the potential for Brent prices to move higher in coming weeks. Image 1: Dated Brent’s Volatility Specifically, Dated Brent’s monthly volatility dropped from 40.2% at the beginning of January and it has recently touched the 26.9% level which is one of the lowest ever achieved since December 2014. Volatility fluctuations measure the level of risk priced in the market and our quantitative studies show that lower volatility is normally associated with up trending prices. OPEC’s decision to cut its output by 1.2 million b/d supported by Non-OPEC producers, that pledged to curb their oil production by 600,000 b/d, is clearly the fundamental reason that pushed the oscillation rate down. The probability distribution analysis shows that Dated Brent’s volatility is now moving within the 25%-30% range. The actual volatility level is so low that it will likely tend to move slightly up again in coming days. Precisely, the oscillation rate has a 13% probability to stay where it is and more than 25% chance to go up and reach the 30-35% volatility range. Image 2: Probability Distribution This implies that there could be a little bit of turbulence ahead, particularly with the recently delivered speech by Theresa May on Brexit and Trump’s presidency, but overall Brent prices are unlikely to drop below $53. Let’s now focus on the volatility cones. The volatility cones tell if volatility is expensive or cheap relatively to its previous fluctuations and quantify the degree of market risk that the market is pricing in the short, medium and long terms. Image3: Volatility Cones The volatility cones analysis proves our point: the current price uptrend is supported by an extremely low fluctuation rate. However, the cones analysis also displays that the monthly volatility is much lower than normal and it will be probably tend to slightly increase in coming weeks. It is also worth noting that the rest of the current volatility curve is just below the medium range one implying that market participants, as of now, are expecting to see higher crude prices also in the medium to long term. Overall, the outlook on the Brent market looks good and prices should remain high. Until next time on the Snapshot—we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-01-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:38</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/012317-platts-market-movers-jan-23-27-markets-await-key-policy-announcements-from-trump-administration</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=d7cbUmjNyMS5F2j5YqCxEY</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers, Jan 23-27: Markets await key policy announcements from Trump administration</video:title><video:description><![CDATA[What's in store for global commodity and financial markets with Donald Trump now officially at the helm of the United States? How will India's 4.5% service tax on freight for imported cargoes affect the costs of commodities like crude and coal? And how will the Lunar New Year lull affect demand for agricultural products? Editor Andrew Toh looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us. Note: We wish everyone celebrating the Lunar New Year a prosperous Year of the Rooster. Platts Market Movers will be back with a new episode on February 6, 2017.]]></video:description><video:publication_date>2017-01-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011917-asian-aromatics-market-outlook-opportunities-and-challenges-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=QXanXDKr67kLcgtnQysuNT</video:player_loc><video:thumbnail_loc /><video:title>Asian aromatics market outlook: Opportunities and challenges in 2017</video:title><video:description><![CDATA[It's going to be an exciting year for petrochemicals, says senior editor Serena Seng , who zooms in on the Asian aromatics market in this Snapshot episode. She explains why the market expects a stable to firm toluene demand in the first half, examines paraxylene prices, and gives a glimpse of the benzene supply scene. Read our special report: Asia Petrochemical Outlook H1 2017: Aromatics & Blendstocks]]></video:description><video:publication_date>2017-01-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011717-clean-lr2-tankers-being-lured-into-the-dirty-game</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DMX8hieRDPHWyqKZnvadS6</video:player_loc><video:thumbnail_loc /><video:title>Clean LR2 tankers being lured into the dirty game</video:title><video:description><![CDATA[With Long Range 2 or LR2 tankers bearing the brunt of lower earnings in the shipping industry, shipowners are looking for alternative ways of making money. Here's the current trend: turning LR2 tankers into dirty Aframax vessels. This was particularly popular in Europe in the last quarter, says S&P Global Platts senior editor Sameer C. Mohindru . In this video, he looks at whether the switch is worth it, why rates are expected to come under further pressure, and why not all owners are sold with the idea of converting ships.]]></video:description><video:publication_date>2017-01-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/011617-platts-market-movers-jan-16-20-opec-monthly-report-chinas-planned-steel-and-coal-capacity-cuts</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5VfDwiz6GsktnGekDRbmPX</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers, Jan 16-20: OPEC monthly report, China's planned steel and coal capacity cuts</video:title><video:description><![CDATA[As Donald Trump's administration takes over in the US this week, how will commodity and financial markets react to any signals to policy changes? Will OPEC and non-OPEC producers stick to the oil output cuts ? And what will be the impact of China's expected capacity cut announcements in the steel and coal sector? Editor Surabhi Sahu looks at this and other factors that could drive commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us.]]></video:description><video:publication_date>2017-01-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/011317-platts-launches-lng-assessment-for-middle-east</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uiisqRGC1BTLFogHSymPh8</video:player_loc><video:thumbnail_loc /><video:title>Platts launches LNG assessment for Middle East</video:title><video:description><![CDATA[Shelley Kerr , global director, LNG, and Desmond Wong , managing editor, European and Atlantic Basin LNG, discuss Platts new Middle East Marker (MEM) price assessment which reflects the growing importance of the Middle East as an LNG import destination rather than just exporter of cargoes.]]></video:description><video:publication_date>2017-01-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011217-european-gas-outlook-for-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=APp6D1yaNCHRHd5ZtT9ek1</video:player_loc><video:thumbnail_loc /><video:title>European gas outlook for 2017</video:title><video:description><![CDATA[2016 was a bumper year for gas deliveries as traditional pipeline suppliers continued to focus on maintaining European market share against the background of the startup of US LNG exports. But what will shape Europe’s gas markets in 2017? Stuart Elliott, senior writer, European gas and LNG, takes a look at the trends to look out for this year, and why the picture for European gas is one of robust supply and good demand.]]></video:description><video:publication_date>2017-01-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/011017-us-shale-oil-producers-expected-to-spend-more-in-west-texas-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3EtLtGzzRZzexRWSE8Nysf</video:player_loc><video:thumbnail_loc /><video:title>US shale oil producers expected to spend more in West Texas in 2017</video:title><video:description><![CDATA[NYMEX crude futures are in the low $50s/b, smack in the middle of the 'Goldilocks zone' for US shale oil producers, particularly in the West Texas Permian Basin. Jeff Mower explains why US oil producers are getting a bit more optimistic about production prospects over the next few years, bolstered by lowered breakevens and higher returns. View Full Transcript Video Transcript Transcript Strap: Jeff Mower, director, Americas oil news Welcome to The Snapshot, a series examining the forces shaping and driving global commodities markets today. US oil producers are getting a bit more optimistic about their growth prospects over the next three years, having lowered operating costs just as an agreement by OPEC and non-OPEC producers to cut output has lifted prices. International crude prices have risen since end-November, after OPEC and non-OPEC producers agreed to an output cut of roughly 1.7 million b/d. Image 1: Breakevens NYMEX crude futures are now in the low $50s per barrel, smack in the middle of the “Goldilocks zone” for companies to ramp up activity, especially in the West Texas Permian Basin where breakeven costs are the lowest in the country. The Permian, which has been producing oil for nearly 100 years, is the largest US domestic basin by far in terms of production, wells and also oil rigs. Spending in West Texas is expected to rise in 2017, following a pullback in 2016, with some of the funding the result of the vast amount of merger and acquisition activity in second of half 2016. For instance, late in 2016 Diamondback Petroleum and Callon Petroleum made hefty acquisitions in the fast-emerging Permian’s Delaware Basin. Some operators have migrated to the southern Delaware Basin, lured by Apache’s Alpine High discovery, which the company claims to hold 3 billion barrels of oil. Some smaller E&P companies are focusing on a lesser-known area of the Permian known as the Central Basin Platform. Companies who have spent billions of dollars recently on Permian acquisitions and have issued equity will need to boost drilling and well completions to hold up asset values. Strap: Analysts expect Permian production to rise, perhaps up to 3.7 million b/d by 2020 As a result, production could rise from roughly 2 million b/d currently to a 2.2 million b/d by the end of 2017 and 2.5 million b/d in 2020, according to analysts. But some analysts are forecasting even higher longer term estimates, up to 3.7 million b/d by 2020. It’s worth pointing out that the bulk of these Permian investments were made prior to the OPEC/non-OPEC production agreement, when crude prices were at $40-$45/barrel, a range still considered profitable for some oil companies who have been able to drive down operating costs with new technologies and efficiencies. Image 2: Internal rates of return These lower costs are having a big impact on returns. According to Platts Analytics, the Permian Delaware internal rate of return jumped to 36.8% in December from 21.1% in November. Producers tend to ramp up drilling activity at a 20% return or higher. While 7.6 percentage points of the monthly increase was due to higher oil prices, a 5.5 percentage point gain was due to lower drilling and completion costs. The low costs help give the Permian the lowest breakeven in the US, at roughly $32/barrel, giving producers plenty of wiggle room in case prices turn lower later this year. Until next time on the Snapshot – we’ll be keeping an eye on the markets.]]></video:description><video:publication_date>2017-01-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/010917-platts-market-movers-oil-production-cuts-mixed-thermal-coal-demand-and-higher-dry-bulk-rates</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2017-01-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=cNYBPwvj3mnMCFTccs3Z39</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers: Oil production cuts, mixed thermal coal demand, and higher dry bulk rates</video:title><video:description><![CDATA[Will OPEC be successful in curtailing oil production ? How will Asian LNG prices react to the restart of Chevron's Gorgon LNG Train 1 and the Angola LNG Terminal? And what's the potential impact of bad weather in North Asia and Australia on dry bulk commodities and freight rates? Associate editor Eesha Muneeb looks at these and other factors that could move the energy and commodity markets this week. Join our conversations on Twitter - use #PlattsMarketMovers and connect with us.]]></video:description><video:publication_date>2017-01-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:30</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/122216-five-commodity-themes-to-watch-closely-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=vTbMjUvFZbxabKM1nHt7Gh</video:player_loc><video:thumbnail_loc /><video:title>Five commodity themes to watch closely in 2017</video:title><video:description><![CDATA[Against the dramatic political and economic surprises of 2016, S&P Global Platts President Martin Fraenkel lays out his five themes to focus on in commodity markets in 2017. It’s not just oil markets that could provide big shifts in the new year; LNG and electric car markets also deserve attention as commodities markets continue to change.]]></video:description><video:publication_date>2016-12-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:27</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/122116-eu-commodity-traders-to-get-more-options-to-avoid-mifid-2-costs</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wmm3FeVx5PkKofSaMjRty8</video:player_loc><video:thumbnail_loc /><video:title>EU commodity traders to get more options to avoid MiFID 2 costs</video:title><video:description><![CDATA[Companies trading EU commodities are set to get more options to avoid extra costs linked to the EU’s MiFID 2 financial rules that apply from 2018. The European Commission has proposed allowing companies to use an optional capital employed test to show that trading commodity derivatives is not their main business, and so they do not need a MiFID 2 license. This would help companies with large infrastructure assets, for example, to avoid being treated like banks and so avoid higher capital requirements. Companies would have to carry out the first tests in 2018, based on data from 2015 to 2017. Siobhan Hall explains how it works and what happens next.]]></video:description><video:publication_date>2016-12-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/122016-bunker-fuel-industry-gears-up-for-change-as-singapore-mandates-mass-flow-meters</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=y77wETmp2DAHPDP1SC3DJB</video:player_loc><video:thumbnail_loc /><video:title>Bunker fuel industry gears up for change as Singapore mandates mass flow meters</video:title><video:description><![CDATA[Mass flow meters will be mandatory for marine fuel oils in Singapore from January 1, 2017. As the bunker industry gears up for this change, editor Surabhi Sahu sheds light on what MFMs are and how their compulsory implementation would impact the industry. Related factbox: Singapore's mass flow metering systems mandate to change global maritime setting]]></video:description><video:publication_date>2016-12-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/market-movers-asia/121916-platts-market-movers-monthly-oil-data-chinas-ethanol-trade-and-japans-crude-steel-output-forecast</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FULbsDWk4oiSvQMMECAR4s</video:player_loc><video:thumbnail_loc /><video:title>Platts Market Movers: Monthly oil data, China's ethanol trade and Japan's crude steel output forecast</video:title><video:description><![CDATA[Will Saudi Arabia and Kuwait restart oil production in the shared Neutral Zone? Is China back to being a net importer of ethanol? How much crude steel will Japan eye to produce in 2017? Associate editor Eesha Muneeb looks at these and other factors that could move the energy and commodity markets this week. Check out #PlattsMarketMovers on Twitter to join our conversations.]]></video:description><video:publication_date>2016-12-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121516-unlikely-to-be-a-repeat-of-this-year-for-us-oil-refiners</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=MuMgrUApvUAaauiZbp2XJk</video:player_loc><video:thumbnail_loc /><video:title>2017 unlikely to be a repeat of this year for US oil refiners</video:title><video:description><![CDATA[Oil refiners started 2016 with record high refined product inventories, but lower stocks and colder weather bodewell for US gasoline and heating oil markets as 2017 approaches. Janet McGurty sizes up refining margins across the US and evaluates what problems could plague specific areas as the new year starts.]]></video:description><video:publication_date>2016-12-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121316-key-eu-panel-vote-to-shape-carbon-market-future</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XJxJXzVRauJJpS98GgAsb2</video:player_loc><video:thumbnail_loc /><video:title>Key EU panel vote to shape carbon market future</video:title><video:description><![CDATA[EU carbon allowance prices may react to a key vote on December 15 by the EU Parliament’s environment committee. At stake are the rules governing the annual decline of the CO2 cap after 2020, the auction share, free allocation to trade-exposed sectors and the volume of allowances earmarked for new EU funds. The committee’s vote is expected to form the basis of the Parliament’s negotiations with the EU Council and European Commission, with final legislation expected in late 2017. Frank Watson , managing editor, European Emissions, explains what the vote means for European markets.]]></video:description><video:publication_date>2016-12-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2.58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/121316-north-american-pe-production-expected-to-increase-more-than-2-million-mt-in-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mwYTxD5zqWmwAqgCsULRL9</video:player_loc><video:thumbnail_loc /><video:title>North American PE production expected to increase more than 2 million mt in 2017</video:title><video:description><![CDATA[The North American polyethylene market is expected to be in ample oversupply during the Platts Analytics 10-year forecast because of shale-based PE investments, and 2017 will be a turning point as investments by petrochemical giants begin to materialize. Chris Ferrell walks through how more production will shift the industry in the Americas, Asia, Europe and the Middle East.]]></video:description><video:publication_date>2016-12-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:11</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120916-glencore-makes-bold-move-with-splash-into-rosneft</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=R8QTzhi3vD5gryY7sLArMR</video:player_loc><video:thumbnail_loc /><video:title>Glencore makes bold move with splash into Rosneft</video:title><video:description><![CDATA[Trading and mining giant Glencore has stepped up its game in Russia, tying up an $11.3 billion joint deal with Qatar for a stake in state-run oil producer Rosneft which will give it greater access to Russia's key crude exports. S&P Global Platts Moscow oil news editor Nastassia Astrasheuskaya discusses the implications of the deal for both companies with senior oil writer Robert Perkins and looks at the potential for regulatory hurdles due to Western sanctions on Moscow. Read our related news story: Russia agrees $11.3 bil Rosneft stake sale to Glencore, Qatar .]]></video:description><video:publication_date>2016-12-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>6:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120816-more-lng-outflows-support-us-as-net-gas-exporter-but-position-is-tenuous</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=hQrQoDgkwXe9sG4VJhbmrB</video:player_loc><video:thumbnail_loc /><video:title>More LNG outflows support US as net gas exporter, but position is tenuous</video:title><video:description><![CDATA[Record-setting LNG exports in November were just enough to make the US a net exporter of natural gas for the first time ever, driven by profit margins to both Europe and Asia. While US LNG netbacks reached record highs, feedgas deliveries also climbed. J. Robinson evaluates the profits to be had and shares a Platts Analytics forecast for exports.]]></video:description><video:publication_date>2016-12-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120616-opec-has-every-incentive-to-make-landmark-oil-deal-work</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XHVUVb51hLK54hzsKpxinY</video:player_loc><video:thumbnail_loc /><video:title>OPEC has every incentive to make landmark oil deal work</video:title><video:description><![CDATA[Despite a checkered past with sticking to crude production cuts, there is a compelling case that OPEC and other key oil producers will rein in output over the next six months, argues S&P Global Platts associate editorial director Paul Hickin . Even half measures could be enough to accelerate the market's rebalancing as long as Russia stays on board. Curious about more aspects of the OPEC agreement? Read our related news reports: Analysis: Asia sees OPEC deal could spark arb crude flows from west US tight oil producers get lifeline in OPEC deal, but remain cautious Analysis: OPEC output deal a bet on Saudi Arabia's market calculations Indonesia's oil supply security unlikely to be affected by OPEC withdrawal Also listen to a special episode of Capitol Crude, featuring former co-host Herman Wang spilling all the details of the deal .]]></video:description><video:publication_date>2016-12-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/120216-the-viability-of-norways-troll-as-a-component-grade-in-dated-brent</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gjFN7CbJTEFLfTTbDRQuQo</video:player_loc><video:thumbnail_loc /><video:title>The viability of Norway's Troll as a component grade in Dated Brent</video:title><video:description><![CDATA[S&P Global Platts European & African crude oil managing editor Paula Vanlaningham and price group analyst Richard Warner discuss the possibility of other grades of crude oil – particularly Troll – joining the basket making up the North Sea Dated Brent benchmark. Please send all comments to europe_crude@spglobal.com and pricegroup@spglobal.com . Do you know: Why pricing benchmarks are so important? What the key pricing trends are for the physical and derivatives oil market? What the importance is of the Market-on-Close (MOC) principle in Platts' oil price discovery process? Join our experienced editors to hear about Platts Price Assessment Methodology in Dubai, London, Singapore or Houston.]]></video:description><video:publication_date>2016-12-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120216-can-demonetization-derail-indias-energy-commodities-demand-growth</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HEdAUJmPHF33XcbY214tik</video:player_loc><video:thumbnail_loc /><video:title>Can demonetization derail India's energy, commodities demand growth?</video:title><video:description><![CDATA[The Indian government's move to demonetize 80% of the country's currency in November resulted in a cash shortage and triggered panic buying of essential commodities. Consumers eagerly snapped up oil products such as gasoline and diesel, but appetite for other goods was not as healthy. S&P Global Platts senior editor for oil news and analysis Sambit Mohanty delves into how the demonetization of Rupee 1,000 and Rupee 500 notes is affecting various commodity markets in India. Read the related analysis: India's cash woes trigger rush for fuels, take shine out of gold]]></video:description><video:publication_date>2016-12-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:18</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/120116-questions-remain-over-advanced-biofuel-ouput-d5-rins-after-rvo-announcement</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-12-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=nyErfqrvVZs1oh5vH4M1by</video:player_loc><video:thumbnail_loc /><video:title>Questions remain over advanced biofuel ouput, D5 RINs after RVO announcement</video:title><video:description><![CDATA[Both biodiesel and ethanol RINs prices jumped and traded at three-year highs after the US Environmental Protection Agency released its finalized 2017 renewable volume obligations, and many market participants have concerns about the advanced biofuel mandate. Josh Pedrick explains how the US typically finds itself short of the advanced biofuel mandate, how trade with Brazil could impact markets, and parses a recent report that highlights a widening gap between production and blending goals. Hear more about the 2017 renewable volume obligations in this episode of The Yield podcast .]]></video:description><video:publication_date>2016-12-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112916-uk-leaves-power-generators-in-dark-over-post-2020-carbon-taxes</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fxD3FhgoYK5PJjGDRA8VbY</video:player_loc><video:thumbnail_loc /><video:title>UK leaves power generators in dark over post-2020 carbon taxes</video:title><video:description><![CDATA[Anu Ramanathan , UK power editor, reports on the UK's decision to hold the Carbon Price Support rate at £18/mt until 2020 in a bid to provide certainty to businesses. This carbon tax, which has shrunk coal-fired power generators’ profit margins over the recent years, has also helped UK’s transition to a low carbon economy. But the UK government failed to lay out plans beyond 2020s in its latest budget statement, stirring up questions over the future strategy for carbon pricing in a post-Brexit era.]]></video:description><video:publication_date>2016-11-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:23</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112416-ec-to-propose-1st-gen-biofuels-phase-out-new-advanced-mandate-from-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3yqtD6o5V3pMhYfWPWTS9H</video:player_loc><video:thumbnail_loc /><video:title>EC to propose '1st Gen' biofuels phase-out, new advanced mandate from 2021</video:title><video:description><![CDATA[The European Commission would propose for biofuels made from feed or food crop-based feedstocks to be phased out beginning in 2021, while a simultaneously introduced sub-mandate for advanced biofuels would ramp up consumption going up to 2030, according to an unofficial draft document seen by S&P Global Platts November 16. Sean Bartlett , Platts managing editor, EMEA agriculture, explains the proposed 2030 targets in percentage terms for biofuels and the trajectory starting 2020 for achieving those targets from both feed/food crop based biofuels and advanced biofuels. The final version of the document is expected to be released on November 30.]]></video:description><video:publication_date>2016-11-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112216-metallurgical-coal-price-quadruples-rally-ripples-across-dry-bulk-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-22T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=3AH3CKWtztABVMyHPRC6Ds</video:player_loc><video:thumbnail_loc /><video:title>Metallurgical coal price quadruples, rally ripples across dry bulk markets</video:title><video:description><![CDATA[The metallurgical coal market is enjoying a renaissance as prices rise to levels not seen since 2011, and it's giving other dry bulk commodities a boost. In this video, Platts associate editor for steel raw materials Kenneth Foo examines what's driving the met coal rally, and takes a look at how related markets have joined the price party. Read Kenneth's blog post for related information: Dry bulk commodities gripped under the spell of metallurgical coal's renaissance]]></video:description><video:publication_date>2016-11-22T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:52</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/112116-platts-and-ice-collaborate-to-improve-na-natural-gas-price-transparency</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=wPyKbbRZ3af2jy8MSjfH5r</video:player_loc><video:thumbnail_loc /><video:title>Platts and ICE collaborate to improve NA natural gas price transparency</video:title><video:description><![CDATA[S&P Global Platts editors Simon Thorne and Mark Callahan explain some of the commercial and editorial aspects of the November 2016 agreement with Intercontinental Exchange (ICE) to streamline natural gas price reporting and strengthen North America benchmarks. They discuss impacts on North American natural gas price assessments, the transition period required to fully incorporate ICE data, and what this evolution in price formation means for the market. Additional details are available at www.platts.com/ice . We also invite you to send comments about this agreement to Platts editors at gas_survey_comments@platts.com .]]></video:description><video:publication_date>2016-11-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>7:05</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111716-normal-winter-weather-could-push-us-gas-prices-higher-in-q-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-17T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DVtHfzKzv55LP6GvYyHc5y</video:player_loc><video:thumbnail_loc /><video:title>Normal winter weather could push US gas prices higher in Q1 2017</video:title><video:description><![CDATA[The winter approaches, more heating demand — and more natural gas demand — is expected to shape American markets, as Bob Yu demonstrates in an analysis of the fundamentals. US gas storage stocks have climbed over 4 Tcf, but various scenarios point toward the first quarter of 2017 being tighter than the first quarter of 2016, which will have implications for prices.]]></video:description><video:publication_date>2016-11-17T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:54</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111516-oil-prices-uncertainty-and-expansions-shaping-americas-petrochemicals</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dyMpSpWXJyPBje3c3bnmri</video:player_loc><video:thumbnail_loc /><video:title>Oil prices, uncertainty and expansions shaping Americas petrochemicals</video:title><video:description><![CDATA[Petrochemical market players from the Americas and beyond will be convening in Buenos Aires for the annual APLA meetings, and Bernardo Fallas looks at the key topics that attendees will focus on. He shares an update on energy companies and petrochemical impacts throughout Latin America, as well as how polyethylene expansions in North America are coming online soon. Platts will be hosting a free petrochemical forum at APLA on November 20 ; register to attend to discuss these topics and more.]]></video:description><video:publication_date>2016-11-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/111016-sampp-global-platts-to-launch-japan-lorry-rack-oil-product-price-assessments</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=uWq1huKtdzx7xss1KqyjVr</video:player_loc><video:thumbnail_loc /><video:title>S&amp;amp;P Global Platts to launch Japan lorry rack oil product price assessments</video:title><video:description><![CDATA[Following our launch of price assessments for Japan's domestic waterborne oil products in April, S&P Global Platts will kick off new oil product assessments for a range of lorry rack prices from December 12. In this video, editors Atsuko Kawasaki and Anton Ferkov explain new Platts assessments for 89 RON gasoline, 10 ppm sulfur gasoil, kerosene and high sulfur A-fuel oil and low sulfur A-fuel oil for delivery at two locations in Tokyo Bay -- Chiba and Kanagawa. All assessments reflect product prices before taxes. For feedback, comments and questions on the Japan domestic waterborne market price assessments, please e-mail us at asia_oilproducts@platts.com . Related subscriber note: Platts to launch Japan lorry rack oil product assessments Dec 12 Watch this video in Japanese: S&P グローバル・プラッツ 日本陸上石油製品価格のアセスメントを開始]]></video:description><video:publication_date>2016-11-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>7:42</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/methodology/111016-sampp-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DV2zrs18v2Fdtzh1UdDiHJ</video:player_loc><video:thumbnail_loc /><video:title>S&amp;amp;P グローバル・プラッツ 日本陸上石油製品価格のアセスメントを開始</video:title><video:description><![CDATA[4月に海上価格アセスメントを開始、S&Pグローバル・プラッツは陸上も12月12日に開始 このビデオで編集者の河崎厚子とアントン フェルコフが新しいアセスメントについて説明します。新しいアセスメントは千葉と神奈川で受け渡しされるガソリン89RON、軽油10ppm、灯油、高硫黄/低硫黄A重油です。課税前の製品価格が評価されます。 Do you know: Why pricing benchmarks are so important? What the key pricing trends are for the physical and derivatives oil market? What the importance is of the Market-on-Close (MOC) principle in Platts' oil price discovery process? Join our experienced editors to hear about Platts Price Assessment Methodology in Dubai, London, Singapore or Houston.]]></video:description><video:publication_date>2016-11-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>5:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/111016-winners-and-losers-of-europes-natural-gas-price-convergence</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-10T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=E8475UaznaZsjVTtLLMp5Y</video:player_loc><video:thumbnail_loc /><video:title>Winners and losers of Europe's natural gas price convergence</video:title><video:description><![CDATA[New infrastructure, increased prevalence of hub pricing and sluggish overall demand have driven Europe's natural gas prices ever-closer to convergence, pushing market participants to seek value in the short-term. However, not all suppliers are created equal – those with highest flexibility stand to gain the most, S&P Global Platts senior specialist Vesa Ahoniemi explains.]]></video:description><video:publication_date>2016-11-10T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110916-what-will-be-donald-trumps-impact-on-the-energy-industry</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qSFZ7uyo8PRt5XY1EyP5Q6</video:player_loc><video:thumbnail_loc /><video:title>What will be Donald Trump’s impact on the energy industry?</video:title><video:description><![CDATA[Donald Trump has been elected the next US President, having won a hotly contested election against his Democratic rival Hillary Clinton. Herman Wang , senior writer, examines what Trump’s victory means for the energy industry including its impact on fossil fuel production, industry regulation and the fate of President Barack Obama's clean air policies. Related factbox: Energy impacts of Trump's surprise US presidential victory See more of our coverage in the US Election 2016 news and analysis feature . Platts news and news analysis is independent, objective and neutral.]]></video:description><video:publication_date>2016-11-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:14</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110316-new-marine-fuel-emission-norms-a-time-for-lng-to-shine-in-bunkering</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-03T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=J8vu3xeZuEBz7kByq2uST7</video:player_loc><video:thumbnail_loc /><video:title>New marine fuel emission norms: A time for LNG to shine in bunkering?</video:title><video:description><![CDATA[The new sulfur emission cap on marine fuels to be implemented from 2020 is set to change the course of maritime history. Platts senior editor Sameer C. Mohindru looks at how this could make LNG the bunker fuel of choice for many shipowners, as well as the challenges they will likely face during the transition. Download our related special report (PDF): The IMO's 2020 global sulfur cap: what a 2020 sulfur-constrained world means for shipping lines, refineries and bunker suppliers]]></video:description><video:publication_date>2016-11-03T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/110116-how-will-the-imos-2020-global-sulfur-cap-reshape-the-oil-industry</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-11-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=afc2MaidB4MEbmaSa76B3R</video:player_loc><video:thumbnail_loc /><video:title>How will the IMO's 2020 global sulfur cap reshape the oil industry?</video:title><video:description><![CDATA[On October 27 the International Maritime Organization announced a sharply lower sulfur cap on shipping fuel globally from 2020. But what are the implications for shipping lines, refineries, and crude producers? Ned Molloy , S&P Global Platts managing editor for European fuel oil, reports. Download our related special report (PDF): The IMO's 2020 global sulfur cap: what a 2020 sulfur-constrained world means for shipping lines, refineries and bunker suppliers]]></video:description><video:publication_date>2016-11-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/102716-iraq-opens-up-on-oil-output-but-remains-firm-on-opec-stance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=U6ni2UxfJnmUJp1HNAD7PQ</video:player_loc><video:thumbnail_loc /><video:title>Iraq opens up on oil output but remains firm on OPEC stance</video:title><video:description><![CDATA[S&P Global Platts senior editor Eklavya Gupte , following his visit to Baghdad, recounts some of the revelations by Iraq's oil ministry on its oil output and its position ahead of OPEC's crucial meeting on November 30.]]></video:description><video:publication_date>2016-10-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:06</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/102516-remaking-mexicos-electric-power-markets-puts-emphasis-on-renewables</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=xtj1UPmDQk95U9CyGRFyD5</video:player_loc><video:thumbnail_loc /><video:title>Remaking Mexico's electric power markets puts emphasis on renewables</video:title><video:description><![CDATA[Mexico has been transforming its electric power market structures to improve grid operation and incentivize new private sector participation. George McGuirk details how the country's power infrastructure is split and how that affects regional power prices, as well as why renewable generation projects are attracting attention and what other key market events may be on the horizon.]]></video:description><video:publication_date>2016-10-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/102016-china-adc12-aluminum-alloy-demand-rides-on-anticipated-healthy-vehicle-output-sales</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=czCgeegM7dPxSMAsXAYQGh</video:player_loc><video:thumbnail_loc /><video:title>China ADC12 aluminum alloy demand rides on anticipated healthy vehicle output, sales</video:title><video:description><![CDATA[The price of domestic ADC12 aluminum alloy in China is on a steady rise on the back of a healthy demand from the automotive industry. In the past few weeks, however, the market saw an even more significant surge in prices. In this video, associate editor Alvin Yee explores the impact of a new trucking policy in China and of the movement in primary and scrap aluminum prices on ADC12. He also shares market expectations on China's automotive demand and how it may continue to support ADC12 prices.]]></video:description><video:publication_date>2016-10-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101816-us-presidential-candidates-focus-on-a-few-energy-issues-keep-mum-on-many</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=FHy7Z1j6ZB5Qbx291to8ad</video:player_loc><video:thumbnail_loc /><video:title>US presidential candidates focus on a few energy issues, keep mum on many</video:title><video:description><![CDATA[The US presidential election is fast approaching, and the energy industry worldwide is especially interested in how a new president could affect future regulations. James Bambino gives a rundown of the key issues at stake for US energy policy and oil in particular, including production, the use of fossil fuels, imports of oil from other regions and the Iran deal. Platts news and news analysis is independent, objective and neutral.]]></video:description><video:publication_date>2016-10-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101316-european-power-prices-rally-on-reactor-outages-coal-gains</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=KS5BbsD6HtEWxvFx5ca319</video:player_loc><video:thumbnail_loc /><video:title>European power prices rally on reactor outages, coal gains</video:title><video:description><![CDATA[European power prices have recovered strongly from record lows earlier this year, with German and French year-ahead power up by more than 50% over the last six months. Andreas Franke explains how concerns about a possible winter supply crunch amid extended nuclear reactor outages in France saw spot prices spike with a sharp rebound for global coal and EUA carbon allowances also lifting the German power curve. Increased cross-border demand from France is putting Germany on track to become Europe's biggest exporter of electricity this year with Germany's installed wind capacity approaching 50 GW this winter.]]></video:description><video:publication_date>2016-10-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/101116-whats-driving-the-sudden-spurt-in-indias-steel-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HRkTQ7LuJg4pr7secWogS6</video:player_loc><video:thumbnail_loc /><video:title>What's driving the sudden spurt in India's steel demand?</video:title><video:description><![CDATA[The Indian Steel Association forecasts India's steel consumption to hit 86 million mt in the current fiscal year, 5.3% higher than its demand last year. Analysts, meanwhile, have revised production estimates in India from an initial forecast of 5%-6% to 6%-7% for the financial year ending March 2017. In this video, associate editor Charlotte Rao looks at the the role of infrastructure projects, car manufacturing, and defense policy in driving India's steel market.]]></video:description><video:publication_date>2016-10-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:36</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100616-one-year-to-eu-sugar-quota-abolition-are-you-ready</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=dwP7iL4CDDELVcSFfmZFBM</video:player_loc><video:thumbnail_loc /><video:title>One year to EU sugar quota abolition - are you ready?</video:title><video:description><![CDATA[There is less than one year to go until the European Union ushers in a new era for the sugar industry. Production quotas, export limits and the guarantee of a minimum sugar beet price for farmers will be abolished for the season starting October 1, 2017. David Elward considers the implications of the change on regional production, the potential for a surge in exports and a decline in imports, and the increased exposure to world pricing dynamics as the EU reclaims its place on the world stage.]]></video:description><video:publication_date>2016-10-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:44</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100416-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=oKppNWJMEWsHNXbwaN779v</video:player_loc><video:thumbnail_loc /><video:title>岐路に立つ日本の石油製品、LNG価格メカニズム</video:title><video:description><![CDATA[日本の石油業界は岐路に立っています。国内需要が縮小する中で、過去10年間で最大級の業界再編を迎えようとしています。一方、LNGのスポット市場では、さらなるコモディティー化と流動性の向上が見込まれており、価格体系の多様化とアジアの需給を反映する指標の確立を求める声が高まっています。 そういった中でS&Pグローバル・プラッツは、日本で既に石油製品の海上価格とJKMというLNGスポット価格アセスメントを価格発見メカニズムとして提供しています。アソシエイト・エデイターの天羽枝里子がお伝えします。 特別レポート： 日本における石油製品と LNG の価格形成の変遷、透明性への道筋はこちらから 。 Do you know: Why are pricing benchmarks so important? What are the key pricing trends for the physical and derivatives oil market? What's the importance of the Market-on-Close (MOC) principle in Platts' oil price discovery process? Join our experienced editors to hear about Platts Price Assessment Methodology in Dubai, London, Singapore or Houston.]]></video:description><video:publication_date>2016-10-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/100416-japans-oil-products-lng-pricing-at-crossroads</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-10-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=bhmRCxAtX5Fu8tYZ9er4FM</video:player_loc><video:thumbnail_loc /><video:title>Japan's oil products, LNG pricing at crossroads</video:title><video:description><![CDATA[Japan’s oil industry is at crossroads with the refining sector possibly facing the biggest reorganization in the last decade. The LNG spot market, meanwhile, is poised to experience even greater commoditization and liquidity. S&P Global Platts is uniquely placed to provide a robust price discovery mechanism for Japan's waterborne oil product and LNG markets, as Platts content head for Asia Sarah Cottle explains in this video. Read our special report: Japan's oil and LNG price revolution on the path to transparency Watch this video in Japanese: 岐路に立つ日本の石油製品、LNG価格メカニズム Do you know: Why are pricing benchmarks so important? What are the key pricing trends for the physical and derivatives oil market? What's the importance of the Market-on-Close (MOC) principle in Platts' oil price discovery process? Join our experienced editors to hear about Platts Price Assessment Methodology in Dubai, London, Singapore or Houston.]]></video:description><video:publication_date>2016-10-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:55</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092916-european-winter-gas-outlook-bearish-with-regional-price-spike-risks</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-29T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ABp9FPppX6sVdB1EzDvrCK</video:player_loc><video:thumbnail_loc /><video:title>European winter gas outlook bearish with regional price spike risks</video:title><video:description><![CDATA[Europe's winter natural gas price outlook looks bearish on high gas stock levels, high pipeline supplies and LNG readily available against stable demand, explains Lucie Roux . But regional markets such as the UK and Ukraine remain vulnerable to price spikes, particularly if there is early or sustained cold weather this winter.]]></video:description><video:publication_date>2016-09-29T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:10</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092716-top-0-energy-company-rankings-2016-the-oil-price-rout-triggers-industry-upheaval</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-27T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=qqqds2FC2zdiUP4sEPCuxJ</video:player_loc><video:thumbnail_loc /><video:title>Top 250 Energy Company Rankings 2016: The oil price rout triggers industry upheaval</video:title><video:description><![CDATA[The global energy industry grappled with the full impact of the deepest oil price rout in decades last year, when the fortunes of its biggest players underwent a major swing. S&P Global Platts' Robert Perkins looks at how the fallout of the price collapse has reshaped Platts Top 250 Energy Company Rankings for 2016. He looks at how the Western integrated oil and gas majors have been knocked off the top spots, the rise of power producers and refiners, and how the regional spread of top energy companies has shifted East. For more in-depth coverage of this year’s S&P Global Platts Top 250 year's rankings, download our special report .]]></video:description><video:publication_date>2016-09-27T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092416-northeast-us-gas-pipeline-plans-will-enable-more-production-impact-markets-further-afield</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-24T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=Zg3hM4PTP1pdC9fRu8NMeC</video:player_loc><video:thumbnail_loc /><video:title>Northeast US gas pipeline plans will enable more production, impact markets further afield</video:title><video:description><![CDATA[The Northeast US is set to undergo radical changes with natural gas infrastructure, but many pipeline development projects are at risk of delay. Eric Brooks evaluates which domestic markets could be impacted by nearly 3 Bcf/d of expansion projects scheduled to come online by the end of 2016 and the feasibility of additional capacity slated for 2017.]]></video:description><video:publication_date>2016-09-24T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:25</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/092016-us-coal-markets-take-cues-from-gas-power-after-record-setting-summer</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-20T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mGduaD1MTfEDjduwX8xW9t</video:player_loc><video:thumbnail_loc /><video:title>US coal markets take cues from gas, power after record-setting summer</video:title><video:description><![CDATA[US coal prices saw significant price boosts this summer after reaching extreme lows in May, and recent movements provide a hint as to market changes for the rest of 2016. To celebrate the 40th anniversary of Platts Coal Trader , Jim Levesque evaluates the markets for PRB and CAPP coal and where prices may be as the year progresses.]]></video:description><video:publication_date>2016-09-20T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091516-key-oil-producers-to-discuss-possible-output-freeze-but-to-what-end</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-15T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=phkzCG9SPV5BZzJCgvw966</video:player_loc><video:thumbnail_loc /><video:title>Key oil producers to discuss possible output freeze, but to what end?</video:title><video:description><![CDATA[Prior to an expected informal meeting of OPEC ministers in Algeria on September 26-28, the oil market continues to weigh up whether any production freeze deal between OPEC and major non-OPEC producers is possible. Whether a compromise on Iran -- which is eager to ramp up output following the lifting of sanctions is achievable remains a key factor. But even if there is a deal and oil prices rise, the production freeze architects may not be able to enjoy a higher oil price environment for long as more expensive barrels from North America could be quick to get back in the game, with a number of drilling rigs in Canada and the US already rising. As a result, the output freeze talks could be more important than their outcome, as they themselves may help to push prices up, exactly as they did in April.]]></video:description><video:publication_date>2016-09-15T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/091316-electric-vehicles-renewables-to-re-order-global-energy-supply-chains</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-13T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kFNdiBK47PiNUK52cgF4zA</video:player_loc><video:thumbnail_loc /><video:title>Electric vehicles, renewables to re-order global energy supply chains</video:title><video:description><![CDATA[Despite US shale, global oil supply chains remain dominated by geography, while OPEC’s current strategy is reasserting dependence on an unstable Middle East. S&P Global Platts' Ross McCracken explains how the electrification of transport based on renewables could short- circuit this insecurity by localizing energy production and consumption. It would move energy provision from a just-in-time model based on international supply chains to a more long-term cycle of capital investment in local infrastructure, with profound implications for security of energy supply and international relations.]]></video:description><video:publication_date>2016-09-13T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:24</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090816-polymer-imports-continue-playing-important-role-for-mexicos-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6vU2RRWFgyLWwHuY899eKH</video:player_loc><video:thumbnail_loc /><video:title>Polymer imports continue playing important role for Mexico's market</video:title><video:description><![CDATA[Although the third polyethylene plant at Braskem-Idesa's petrochemical complex came online in June, US exports of polyethylene to Mexico have increased for five consecutive months. Emmanuel Gallegos has details on the operations at the complex in Mexico's petrochemical hub in Veracruz state as well as S&P Global Platts Analytics forecasts on Mexico's PE deficit. Further, S&P Global Platts will report domestic prices in Mexico to further encourage transparency in the expanding market.]]></video:description><video:publication_date>2016-09-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:58</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090616-nord-stream-2-suffers-setback-after-european-partners-pull-out-of-operating-jv</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-06T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=BL2vtGbDXgxZZhiNfuSL24</video:player_loc><video:thumbnail_loc /><video:title>Nord Stream 2 suffers setback after European partners pull out of operating JV</video:title><video:description><![CDATA[In this video, Platts senior writer for European gas and LNG Stuart Elliott talks about a number of alternative options that are now under consideration for Shell and others to help support Gazprom's controversial gas pipeline project, Nord Stream 2, despite ongoing intense political opposition.]]></video:description><video:publication_date>2016-09-06T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/090116-long-term-outlook-for-asian-lng-demand-could-make-region-attractive-for-excess-us-lng</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-09-01T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=knkcYV5x1nLpjes7axroDN</video:player_loc><video:thumbnail_loc /><video:title>Long-term outlook for Asian LNG demand could make region attractive for excess US LNG</video:title><video:description><![CDATA[The big question about when US LNG will reach Asia has been answered. So what's next? Editor Abache Abreu analyzes the supply-demand situation in Asia, export costs with the expansion of the Panama canal, and the behavior of traditional buyers in the region when it comes to the spot market.]]></video:description><video:publication_date>2016-09-01T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:01</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/083016-s-stellar-performer-met-coal-prices-rise-73-jan-aug</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1Wjr985jG5BbdxAkuCBH35</video:player_loc><video:thumbnail_loc /><video:title>2016's stellar performer: Met coal prices rise 73% Jan-Aug</video:title><video:description><![CDATA[Premium hard coking coal prices delivered from Australia have surged 73% since the start of the year. The market is riding a rally not seen since the 2011 floods in Queensland, Australia. Associate editor Kenneth Foo examines how China's aim to cut coal capacity, logistical bottlenecks, and a supply tightness in Australia have lifted metallurgical coal to become amongst 2016’s best performing commodities-- after five years of drastic price drops.]]></video:description><video:publication_date>2016-08-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:35</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/082516-us-gas-market-looks-to-winter-after-slack-summer-storage-injections</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-25T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=K8hqr1GRe9WDA8MigzsYd7</video:player_loc><video:thumbnail_loc /><video:title>US gas market looks to winter after slack summer storage injections</video:title><video:description><![CDATA[Various factors led to consistently below-average US natural gas storage injections this summer, which promoted a rally in futures prices but leaves questions about the changing seasons. Ryan Ouwerkerk shares how 2016 marked a rare summer withdrawal in late July, how Platts Bentek Energy foresees production levels moving forward and what may be needed from the demand side considering the recent winter strip average prices.]]></video:description><video:publication_date>2016-08-25T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:02</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/082316-toluene-to-benzene-conversion-economics-turn-positive</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=sPFMwvF2AgmWcVkAiE3hpq</video:player_loc><video:thumbnail_loc /><video:title>Toluene-to-benzene conversion economics turn positive</video:title><video:description><![CDATA[On purpose benzene production via conversion from toluene is currently profitable after nearly two years of negative margins. Thordur Gunnarsson , senior pricing specialist for the European petrochemicals team, examines the underlying reasons for the changing landscape and takes a look at what the fourth quarter holds for European benzene and toluene.]]></video:description><video:publication_date>2016-08-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:08</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081816-eu-bans-commodity-market-abuse-but-delays-over-mifid-2-compliance</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=CWsHvrhwYXu6GkSKKDwEQi</video:player_loc><video:thumbnail_loc /><video:title>EU bans commodity market abuse but delays over MiFID 2 compliance</video:title><video:description><![CDATA[Manipulating commodity markets in the European Union is now a crime, punishable by up to four years in prison. But commodity traders will probably have to wait till next year to find out if they must also comply with the EU's updated markets in financial instruments legislation known as MiFID 2. Siobhan Hall explains how EU financial regulations are impacting commodity traders, and what happens next.]]></video:description><video:publication_date>2016-08-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081616-jones-act-shippers-search-for-demand-in-us-refined-oil-product-industry</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=g6GGjyosvQN4jxKbSZGnzE</video:player_loc><video:thumbnail_loc /><video:title>Jones Act shippers search for demand in US refined oil product industry</video:title><video:description><![CDATA[Sliding demand for Jones Act crude shipping has operators targeting the refined products market, but a glut of products is suppressing appetite for the tankers. Joshua Mann evaluates how vessels compliant with the federal shipping law are being affected along the US Gulf of Mexico and Atlantic coasts, given that lower crude production and unrestricted crude exports have freed ships to take on clean cargoes.]]></video:description><video:publication_date>2016-08-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:45</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/081116-surging-opec-crude-production-talk-of-a-freeze-and-the-meeting-in-algiers</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-11T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=j2koA6iXftrScFdwAAyjbd</video:player_loc><video:thumbnail_loc /><video:title>Surging OPEC crude production, talk of a freeze, and the meeting in Algiers</video:title><video:description><![CDATA[As speculation swirls over whether OPEC will discuss a crude oil production freeze deal next month, the producer group's output has reached new heights, with the market share strategy still apparently in full swing. The likelihood of a deal emerging is doubtful, analysts say, and even OPEC president and Qatar energy minister Mohammaded bin Saleh Al-Sada insists that the oil market's fundamentals appear sound. Herman Wang examines the forces impacting OPEC supply and how that dynamic could play out when the organization meets on the sidelines of the International Energy Forum in September. Learn more about how our leading specialists provide unique insight how the latest commodity market trends could affect your business and trading decisions. Insights. Informed.]]></video:description><video:publication_date>2016-08-11T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:22</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080916-france-could-become-more-heavily-reliant-on-power-imports-during-winter-as-of-</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-09T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=YAYkURQ7QGiW4VuoiPLRJY</video:player_loc><video:thumbnail_loc /><video:title>France could become more heavily reliant on power imports during winter as of 2017</video:title><video:description><![CDATA[France is set to increase the operating costs for coal generators with the introduction of a new carbon price floor or a coal tax starting next year. As Ana-Maria Tolbaru explains, this could result in the near-3 GW coal fleet being completely displaced, leaving the French system tight especially at peak times during winter. If gas was already running close to maximum capacity and EDF could not make more nuclear reactors available, France could become much more heavily reliant on imports during the winter months, with flows likely to increase from Switzerland, Italy and Spain.]]></video:description><video:publication_date>2016-08-09T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:20</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080416-solar-power-shakes-up-californias-power-markets-as-renewable-generation-grows</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-04T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=y5oC67tZ6iF2bzDCrkRnLJ</video:player_loc><video:thumbnail_loc /><video:title>Solar power shakes up California's power markets as renewable generation grows</video:title><video:description><![CDATA[Solar, natural gas and wind are making up most of the power generation additions across the US this year, and California markets are feeling the effects of more solar generation. As Kassia Micek explains, California is setting record after record for solar generation, at the expense of other fuels, and Cal-ISO power prices are reaching levels not seen in years.]]></video:description><video:publication_date>2016-08-04T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:16</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/080216-after-volatile-h1-seaborne-iron-ore-market-seen-steady-in-q</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-08-02T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XGi7EzEaLLGvuJo9BfbMYi</video:player_loc><video:thumbnail_loc /><video:title>After volatile H1, seaborne iron ore market seen steady in Q3</video:title><video:description><![CDATA[Iron ore prices' plunge to an all-time low of $38.50/mt in December 2015 dampened market sentiment going in to 2016. Small mills were forced to shut down furnaces, and many had to cut down operating rates to mitigate losses. But price spikes were also seen particularly around March and April. Editor Melvin Yeo looks at what are causing price swings for iron ore, shares the sentiment of market sources this quarter, and the factors that could affect the seaborne iron ore market for the rest of the year.]]></video:description><video:publication_date>2016-08-02T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:03</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072816-acrylonitrile-prices-surge-in-asia-as-supply-tightness-looms</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=HHmWDhYLrdrBoX43Z1wj5V</video:player_loc><video:thumbnail_loc /><video:title>Acrylonitrile prices surge in Asia as supply tightness looms</video:title><video:description><![CDATA[Ineos Nitriles caught the market by surprise when it declared force majeure on acrylonitrile (ACN) out of its Texas plant on July 15. In this video, Pamela Sumayao , associate editor for petrochemicals, examines how this incident has been affecting ACN prices and supply in Asia, and what it means for the market in the region, particularly in India - where about 80% of ACN transactions are concluded on a spot basis.]]></video:description><video:publication_date>2016-07-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:32</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072616-surge-of-us-gulf-coast-petcoke-exports-to-india-dropping-off-this-summer</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5qtAeG5rxhgkyJCtMmaEC2</video:player_loc><video:thumbnail_loc /><video:title>Surge of US Gulf Coast petcoke exports to India dropping off this summer</video:title><video:description><![CDATA[US Gulf Coast refiners exported an unprecedented level of petcoke in May, targeting growing demand in India, but tonnage is dropping and could have price effects. Jeff McDonald elaborates on what's driving demand in India, how prices and exports have evolved recently and whether coal could be usurping petcoke's current place in the market.]]></video:description><video:publication_date>2016-07-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:29</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/072116-more-us-ethanol-exports-could-head-to-korea-in-shuffling-of-supply-demand</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=f5EfDvHq4pRLyqGqyZpRKK</video:player_loc><video:thumbnail_loc /><video:title>More US ethanol exports could head to Korea in shuffling of supply, demand</video:title><video:description><![CDATA[The US is poised to send more ethanol to Korea, which has traditionally imported Grade B product mostly from Brazil. But as Josh Pedrick explains, Brazil is increasingly focused on capturing sugar profits, and Korea is investing in infrastructure that will let it diversify its imports.]]></video:description><video:publication_date>2016-07-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:33</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071916-why-does-the-world-think-india-is-the-next-big-growth-center-for-oil</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=k3egwTK6uQxWEgzGz9eZSq</video:player_loc><video:thumbnail_loc /><video:title>Why does the world think India is the next big growth center for oil?</video:title><video:description><![CDATA[The International Energy Agency recently said India's thirst for oil will be a key factor driving global demand growth this year and next. In this video, senior oil news and analysis editor Sambit Mohanty , examines India's appetite for oil and the factors contributing to the sub-continent's rising oil consumption, as well as the reasons to remain optimistic about India's growth story despite some signs of a demand slowdown in the past couple of months.]]></video:description><video:publication_date>2016-07-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:51</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071816-turkey-coup-attempt-what-has-been-the-impact-on-global-commodities-energy-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-18T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=1qXaji7AJFZmTuTGGWVKvi</video:player_loc><video:thumbnail_loc /><video:title>Turkey Coup Attempt: What has been the impact on global commodities, energy markets?</video:title><video:description><![CDATA[Following on from a failed coup attempt launched late Friday, July 15, by Turkish army officers, what has been the impact -- if any -- on commodities and energy markets? With economists hopeful that the short-lived nature of the attempted coup will mitigate any big market movements due to risk aversion, Yi-Jeng Huang focuses on the oil and gas, steel, agriculture and petrochemicals markets, against the backdrop of Turkey's weakening economy and increased political tensions.]]></video:description><video:publication_date>2016-07-18T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:48</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071416-higher-us-gas-prices-may-be-sustained-as-demand-continues-climbing</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-14T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=5mPbX7AofPqLxXGmANPKBY</video:player_loc><video:thumbnail_loc /><video:title>Higher US gas prices may be sustained as demand continues climbing</video:title><video:description><![CDATA[US natural gas prices have recently been at their highest since last summer, including Henry Hub futures prices nearly breaking $3/MMBtu at the start of July. J. Robinson explains how various power sector factors are supporting higher demand and which other influences -- such as LNG exports -- could keep prices higher as production in various regions falls off. Learn more about how our leading specialists provide unique insight on how the latest commodity market trends could affect your business and trading decisions. Insights. Informed.]]></video:description><video:publication_date>2016-07-14T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/071216-india-ruffles-china-with-slew-of-protection-measures-on-steel-imports</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-12T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ond8aygfGx5FpY7gAeJjj7</video:player_loc><video:thumbnail_loc /><video:title>India ruffles China with slew of protection measures on steel imports</video:title><video:description><![CDATA[New anti-dumping investigations started by India have evoked a strong response from China’s commerce ministry. China contributed a third of the 12 million metric tons of steel India imported during the year to last March. In this video, associate editor Charlotte Rao examines what led to India's implementation of stricter steel import protection measures and their impact on India’s domestic market. The Minimum Import Price scheme the Indian government launched earlier this year caused the country’s steel imports to plunge 30% to 1.8 million metric tons in the April-June quarter. While China cries foul, India is narrowing the production gap with the world’s second largest steelmaker, Japan, and could produce as much as 100 million metric tons during the current fiscal year.]]></video:description><video:publication_date>2016-07-12T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:12</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/070716-us-nuclear-industry-suffers-shutdowns-pressured-by-power-prices</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-07T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=juhjGe8gF4NKS9zHxsfN97</video:player_loc><video:thumbnail_loc /><video:title>US nuclear industry suffers shutdowns, pressured by power prices</video:title><video:description><![CDATA[Nuclear power, which for a long time was among the lowest-cost electricity sources, is now having trouble competing in the US, pressured by rising costs and falling power prices. William Freebairn takes stock of nuclear unit closures slated across the US, as well as lays out how other types of power -- including subsidized renewables and low-cost fuels like natural gas -- stack up. Could legislative action help the nuclear industry from becoming even smaller?]]></video:description><video:publication_date>2016-07-07T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:04</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/070516-have-metallurgical-coal-prices-finally-hit-the-bottom</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-07-05T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=4C4JjCJCwn6FHTsYh6PLhq</video:player_loc><video:thumbnail_loc /><video:title>Have metallurgical coal prices finally hit the bottom?</video:title><video:description><![CDATA[Metallurgical coal prices have been on a downtrend since January 2011. At the current range of $80/mt to $100/mt, is the market finally hitting the bottom? Edwin Yeo, managing editor for steel raw materials, explains why many market players believe so, especially since supply is tightening from three major sources of met coal. The next big question is: will the current state of met coal affairs lead to a rally in prices?]]></video:description><video:publication_date>2016-07-05T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:21</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/063016-additional-supply-cheaper-alternative-seen-to-keep-asian-orthoxylene-under-pressure-in-h</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-06-30T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=DxcbbC93TXwYD9JfQoDxCc</video:player_loc><video:thumbnail_loc /><video:title>Additional supply, cheaper alternative seen to keep Asian orthoxylene under pressure in H2</video:title><video:description><![CDATA[Jurong Aromatics Corporation is expected to restart its 200,000 mt orthoxylene plant in Singapore in July after being shut for one and a half years. Meanwhile, naphthalene continues to be a price-competitive alternative to orthoxylene in the production of phthalic anhydride. S&P Global Platts associate editor Pamela Sumayao examines how these factors will affect the orthoxylene market in Asia in the coming months.]]></video:description><video:publication_date>2016-06-30T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:19</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062816-h-6-what-is-the-outlook-for-chinas-volatile-steel-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-06-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=6ex3XNQDTZaSeiDQ7R12dq</video:player_loc><video:thumbnail_loc /><video:title>H2 2016: What is the outlook for China's volatile steel market?</video:title><video:description><![CDATA[Chinese steel sentiment was at a record high in March, but 16-month low in June. Domestic steel output and exports remain belligerently high and smaller mills fear that they may be caught up in China's capacity reduction program. Paul Bartholomew looks at the steel price volatility witnessed in the first half of the year and what we could potentially see over the second half of 2016. Are China's market fundamentals robust enough to support any sustained recovery in steel prices or is the remainder of 2016 likely to see the market remain fairly muted?]]></video:description><video:publication_date>2016-06-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:26</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062316-asian-airlines-hedging-strategies-amid-volatile-crude-oil-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-06-23T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=ZjPLGXvnV8DwBVTbWZNwPb</video:player_loc><video:thumbnail_loc /><video:title>Asian airlines' hedging strategies amid volatile crude oil market</video:title><video:description><![CDATA[Jet fuel accounts for as much as a third of an airlines' expenses, and the rise and fall of fuel prices can have a great impact on profitability. In this video, Avantika Ramesh , bench associate at S&P Global Platts, looks at the strategies of airlines in Asia, including Singapore Airlines and Korean Air, and examines jet fuel supply and demand balances.]]></video:description><video:publication_date>2016-06-23T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:34</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/062116-india-a-bright-spot-in-dark-and-gloomy-dry-bulk-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-06-21T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=XwJkpNNzEEuY5S2bsY8iRD</video:player_loc><video:thumbnail_loc /><video:title>India a bright spot in dark and gloomy dry bulk market</video:title><video:description><![CDATA[Freight rates across all segments of the dry bulk market remain low, but some indicators show that it's not all gloom and doom in some parts of the Asia Pacific region. India, which is the fastest-growing country in Asia on GDP terms, has defied expectations on thermal coal imports, shown remarkable growth in petcoke demand, and increased freight inquiries for wheat particularly from Australia. If China got the dry bulk market out of the doldrums in 2005, is it India’s turn this time around?]]></video:description><video:publication_date>2016-06-21T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:17</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/061616-speculators-help-fund-sugar-market-revival</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-06-16T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=fgzrhKxj1Gg7eunAS9mSBk</video:player_loc><video:thumbnail_loc /><video:title>Speculators help fund sugar market revival</video:title><video:description><![CDATA[The sugar market has well and truly taken the bull by the horns. An expanding speculative net long position in Sugar No. 11 futures over the past 10 months has placed the role of the so-called "funds" under the spotlight. David Elward looks behind speculators' decision to target sugar, with key performance indicators showing that it has offered significantly higher returns than other commodities, outperforming soybeans, crude oil, as well as traditional safe havens such as gold and silver.]]></video:description><video:publication_date>2016-06-16T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:31</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042816-us-pe-market-reverses-course-as-first-wave-of-capacity-expansions-approaches</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-04-28T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=gVHiq7q18BKkuGM3czG7S6</video:player_loc><video:thumbnail_loc /><video:title>US PE market reverses course as first wave of capacity expansions approaches</video:title><video:description><![CDATA[US polyethylene producers are expected to implement an increase for April contracts, making it the second consecutive monthly increase. But can it last? Chris Ferrell takes stock of the US market and how it sits within the larger North American landscape, digs into what's driving strong demand for PE from buyers in March and April, and looks at markets in Asia to see if they may hold a clue about what's to come.]]></video:description><video:publication_date>2016-04-28T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>2:57</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/042616-world-watches-as-china-appears-to-find-floor-of-ferrochrome-market</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-04-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=asbidbmYnhcRb5YFonEkTx</video:player_loc><video:thumbnail_loc /><video:title>World watches as China appears to find floor of ferrochrome market</video:title><video:description><![CDATA[The significance of China's ferrochrome price is often understated in the market, yet when some of the country's stainless steelmakers rolled over purchase prices for April, the world's markets paid attention. Anthony Poole evaluates how markets in the US and elsewhere in Asia reacted to China's price move, as well as how nickel and stainless steel are tied to ferrochrome's fortunes and whether higher ferrochrome prices could find support.]]></video:description><video:publication_date>2016-04-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:28</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/041916-us-shale-production-will-shape-the-future-of-global-commodity-markets</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-04-19T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=kX9DW4wTkoQzuHP7DQ4vcY</video:player_loc><video:thumbnail_loc /><video:title>US shale production will shape the future of global commodity markets</video:title><video:description><![CDATA[During my time at Platts, I've seen the US shale revolution gain ground and then dominate much of the conversation around energy in America. Its growth was so rapid and production so prolific that it drew attention around the world, and US shale is again changing as the world's markets seek a new balance. From crude oil to refined petroleum products, from natural gas to LNG and NGLs, from feedstocks to petrochemical products, US shale made a huge impact on many sectors. In this Snapshot video, I share how shale's products are spreading into markets around the world, and where future demand may lie. Learn more about how our leading specialists provide unique insight how the latest commodity market trends could affect your business and trading decisions. Insights. Informed.]]></video:description><video:publication_date>2016-04-19T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:56</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/030816-likely-impact-of-first-us-shale-gas-shipment-to-eu-on-regions-plastics</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2016-03-08T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=mLcpMAcjSb2UTVWy5wd5jV</video:player_loc><video:thumbnail_loc /><video:title>Likely impact of first US shale gas shipment to EU on region's plastics</video:title><video:description><![CDATA[Platts petrochemicals editor Daved Chohan looks into the recent developments in the European petrochemicals market: with the impending arrival of the first shipment of US shale gas to Europe. Ineos's first ship bringing US shale gas to Europe is expected to arrive after March at the Rafnes cracker in Norway. This will be followed in the second half of 2016 by a shipment into Grangemouth, in the UK. The arrival marks a turning point for Europe's chemical industry: for the first time US fracked gas will be used to produce European plastics.]]></video:description><video:publication_date>2016-03-08T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>4:13</video:duration></video:video></url><url><loc>https://www.spglobal.com/platts/en/market-insights/videos/platts-insight/112615-is-indias-oil-product-demand-surge-sustainable</loc><changefreq>monthly</changefreq><priority>0.69</priority><lastmod>2015-11-26T00:00:00Z</lastmod><video:video><video:player_loc allow_embed="yes" autoplay="ap=1">https://player.piksel.com/player.php?p=UYvHviFbLNLqNwok3QWzLu</video:player_loc><video:thumbnail_loc /><video:title>Is India's oil product demand surge sustainable?</video:title><video:description><![CDATA[India's oil product imports were up 17.5% in October, and almost all products - from diesel to fuel oil - posted double-digit growth. In this video, Platts senior editor for oil news Sambit Mohanty delves into the factors driving India's oil product demand and looks at whether or not a similar growth rate would remain realistic if and when oil prices bounce back.]]></video:description><video:publication_date>2015-11-26T00:00:00Z</video:publication_date><video:family_friendly>yes</video:family_friendly><video:duration>3:08</video:duration></video:video></url></urlset>