Coquest

Your Daily Energy Report for April 8, 2025

Posted on 2025-04-08

Crude Oil

Crude Oil futures for May settled down -$1.12 or -1.845% at $59.58. Oil prices slipped on Tuesday, following President Trump's announcement of a substantial increase in tariffs on China to 104%, effective Wednesday, heightening fears of a potential global economic downturn. Although there was initial optimism surrounding reports suggesting potential tariff reductions or eliminations with countries like South Korea, ongoing trade tensions and escalating tariffs dampened market sentiment. White House Press Secretary Leavitt reiterated the administration's commitment to tariffs, citing national security concerns. The retreat in oil prices reflects uncertainty regarding immediate trade tensions easing, with investors exercising caution over their impact on global economic growth and energy demand. Additionally, pressure mounted from OPEC+'s planned output increase for May, Saudi Arabia's price adjustments, and escalating geopolitical tensions, notably President Trump's remarks on direct negotiations with Iran.
 

Natural Gas

Natural Gas futures for May settled down -$.19 or -5.198% at $3.465. Natural gas prices extended their decline for a third straight session. Concerns over global trade tensions continue to pressure the market, alongside rising domestic output. U.S. natural gas production climbed 2.0% year-over-year on Tuesday, contributing to the downward price movement. Additionally, last Thursday’s EIA data added to the bearish sentiment, showing a storage increase of 29 billion cubic feet for the week ending March 28—exceeding forecasts of a 28 bcf rise and contrasting with the typical seasonal draw of 13 bcf. Meanwhile, Baker Hughes reported a drop of seven in the active U.S. natural gas rig count last week, bringing the total to 96—its lowest since late September.
​​​​
Continue reading the full Coquest Daily Report.

---