Apr 14 • 💻 Applied Modeling
JP Morgan and 2 Charts on Energy Shock from Iran War
From a JP Morgan analysis , sharing here (plots are still in preliminary/draft form)
- Looking at the normalized oil chart (attached ) , oil reacted fast and strongly, while natural gas moved much less. The reason is that the gas chart (attached) is Henry Hub, which is the main U.S. natural gas benchmark, and that market is driven much more by U.S. weather, storage, production, and pipeline conditions than by Middle East geopolitics. So the spike shown was not caused by the Iran war. JPM attributes that January jump to severe winter weather.
- Key market risk is the Strait of Hormuz, because a very large share of global oil moves through that route, so when traders fear disruption there, oil prices jump first.
33
1 comment
JP Morgan and 2 Charts on Energy Shock from Iran War
powered by
skool.com/software-school-for-energy-7177
A program for careers in the energy sector with industry-based courses and daily support including career support, from Dr Spyros.
Suggested communities
Powered by