In this week’s Market Movers Americas, presented by Jennifer Pedrick:
• All eyes on Freeport LNG feedgas demand
• BOEM to share Gulf of Mexico offshore wind updates
• Alcoa starts aluminum industry Q1 earnings round
• California regulator hosts Lithium Valley Vision workshop
• Strong US demand elevates beef prices
This week, traders will be watching natural gas flows to the Freeport LNG terminal in Texas. Demand plummeted last week after the facility’s Train 3 tripped offline, just as it appeared Freeport was nearly done with work after a January outage. The recent drop-off pressured NYMEX gas futures and contributed to European supply concerns. Freeport has said it expects to return to full capacity in May.
The Bureau of Ocean Energy Management will host another meeting Thursday to provide updates on offshore wind energy planning activities and discuss next steps in the Gulf of Mexico leasing process, including a second lease sale. During the first lease sale in August, two lease areas did not receive any bids.
Producer Alcoa will kick off the aluminum industry’s round of first-quarter earnings releases on Wednesday. Executives are expected to discuss how recent funding and tax credits from US federal agencies could impact the future of US aluminum smelting.
The California Energy Commission will host a workshop Friday to provide updates on the Lithium Valley Vision and receive public input. California’s Lithium Valley Vision calls for developing a world-class lithium industry around recovering lithium from the Salton Sea region.
Finally in agriculture, US boxed beef values are on the rise due to strong seasonal domestic demand and low US beef production. The high US demand is bullish for Brazilian beef exporters, since Brazil’s main buyer, China, is expected to reduce its imports in 2024.
I’m Jennifer Pedrick. Thanks for kicking off your Monday with S&P Global Commodity Insights.