Daily Oil Fundamentals

Japan Makes a Deal, Oil Prices Do Not Care

23 Jul 2025

Japan Makes a Deal, Oil Prices Do Not Care

The news of the morning trophy resides with how the US and Japan have finally come to terms on tariffs. Such is they way of things that a 15% tax on trade is presented as a victory by the Japanese side of the argument not only politically, but speculatively in how car maker shares have roared by over 10%. Faced with an August 1st tariff of 25%, and that car exports make up a substantial part of Japan’s exports to the US, the reprieve rally in auto shares allowing the Nikkei to increase by 4% is more than understandable.

Daily Oil Fundamentals

Unsigned Trade Deals Hold No Limitations for Stock Markets

22 Jul 2025

Unsigned Trade Deals Hold No Limitations for Stock Markets

The extraordinary optimism in US stock markets continue to not only amaze as a study, but also to achieve record highs in the S&P and Nasdaq once again. Even before results are made public, the mega caps of Alphabet, Meta, Amazon, Meta and Netflix all rose by between 1 and 3 percent yesterday. Garnered by the prospect of a good results season, particularly from tech stocks, and a propensity to believe the US will carve out a trade deal with its two most important partners, Japan and the European Union just on the mere say-so of Commerce Secretary, Howard Lutnick.

Daily Oil Fundamentals

Oil's Progress is aligned with Trade Uncertainty

21 Jul 2025

Oil's Progress is aligned with Trade Uncertainty

Last week’s action in oil prices turned out to be a rather muted affair with futures in M1 WTI, Brent and RBOB falling 1.5%, Gasoil improving by 2% and Heat only managing to scrape a positive return. Unfortunately, the low state of inventory and the narrative surrounding it, were in the main neutered by continued anxiety in how tariffs would play out. None more so than the unsettling standoff in what, or if, any levies and reciprocals look like between the United States and the European Union.