Karachi, May 15, 2023 (PPI-OT): Pakistan Commodities: Oil LNG Coal Beginning of the end

Crude prices have remained relatively volatile with three consecutive weeks of decline followed by a partial recovery after crashing by as much as 11% b/w April and May’23.

Overall, demand for crude is expected to remain under pressure throughout the remaining year, as there is still substantial uncertainty regarding geopolitical developments in Eastern Europe alongside the potential impacts of growing popularity of Russian supplies.

European natural gas prices have continued to decline amid the onset of the summer season alongside a possible restart of the US Freeport LNG terminal, a key supplier to the European market.

Richards Bay coal prices have shown major weakness in recent months, as depressed demand from Europe alongside lower than anticipated industrial activity in China continues to weigh on the major industrial commodity.