Daily Oil Fundamentals

All Markets Pay Fealty to Washington

01 Jul 2025

All Markets Pay Fealty to Washington

When Once again, the world is held in thrall by the policies of Washington. Stock markets rejoiced yesterday in the climbdown of Canada delaying implementation of the digital services tax (DST) on the US tech giants opening an opportunity for renewed trade talks between Ottawa and Washington. It appears the ever-bulls in the stock market see more last-minute deals developing even though negotiations between the US and other centres of commerce such as Japan and Europe are causing comments of frustration from the US President.

Daily Oil Fundamentals

The Dollar, Trade Disputes and OPEC+

30 Jun 2025

The Dollar, Trade Disputes and OPEC+

By the end of last week, characterised as turbulent even by recent standards, some semblance of normalcy had been restored. It appears, and we are keeping our fingers crossed, that the frail armistice between Israel and Iran, brokered by the US and which was preceded by a demonstration of its military might, has not been violated. The sell-off in the equity market made a handbrake turn at the beginning of the week, and so did the rally in oil.

Daily Oil Fundamentals

Weak Dollar, Strong Distillates

27 Jun 2025

Weak Dollar, Strong Distillates

After striking a truce in the Middle East, the U.S. President wasted little time in turning his attention back to his favourite antagonist in Washington D.C., the Fed Chair, Jerome Powell. He is reportedly contemplating choosing Powell’s replacement well before the latter’s mandate ends in May next year. Concerns over the central bank’s independence have resurfaced, and the dollar index has plunged to its lowest level since March 2022. Mr. Powell has consistently argued that any potential reduction in U.S. borrowing costs will be data-driven—an approach Donald Trump clearly rejects.