In this week’s Market Movers Americas, presented by Hope Raymond:
• Oil markets keep an eye out for labor market data
• Ecuador to hold historic national vote on crude production
• California ISO to file tariff with FERC
• PJM holds resource adequacy meeting
This week, oil markets will be keeping an eye on the initial jobless claims report set to come out Thursday for guidance on how the labor market is faring. The data could provide key insights on what to expect from the September US Federal Reserve meeting, where market participants anticipate the Fed may pause its cycle of tightening interest rates on indications that inflation is easing.
Ecuador will hold a historic referendum this weekend about the future of large-scale crude production in a portion of the Amazon region known as Block 43. This will be the first time a country has held a national vote about permanently shutting down large-scale crude oil production. A "yes" vote could destabilize Ecuador economically and politically, since the country relies on the sale of crude and products for nearly 40% of government income.
The California Independent System Operator is expected to file tariff language for its Extended Day-Ahead Market with the US Federal Energy Regulatory Commission in mid-August. A decision from FERC is expected by the end of the year. CAISO plans to go live with the extended day-ahead market in spring 2025, which would expand the ISO’s day-ahead market to entities across the West.
Further east, power-grid operator PJM Interconnection is holding a Resource Adequacy meeting today to discuss proposed capacity-market rule changes. Proposals will be made by LS Power, Constellation, Vistra and American Municipal Power, among other stakeholders.
I’m Hope Raymond. ThanksJennifer Pedrick. Thanks for kicking off your Monday with S&P Global Commodity Insights.