Written Commentary
Quiet Financials Trade Overnight
July 7, 2026
CRUDE OIL
September Crude Oil was higher early Tuesday on reports that a Saudi-flagged crude oil tanker suffered damage near the Strait of Hormuz and that Iran’s Revolutionary Guards had fired missiles at ships moving through the strait overnight. This comes after Iran’s foreign minister threatened to back away from talks and President Donald Trump’s threatened to “finish the job” unless a deal is done. The reaction in the market has been relatively muted, as the market is also confronted with more reports of tankers be moving through the strait. Reuters reported that shipping data showed two more Japanese-owned supertankers carrying Saudi oil were exiting the Strait of Hormuz on Tuesday.
NATURAL GAS
August Natural Gas reached its highest level since June 30 early Tuesday but was seeing volatile action and a wide range. The market likely rallied off news that a Qatari LNG tanker suffered significant damage after it was hit as it travelled through the Omani side of the Strait of Hormuz overnight, following report that Iran’s Revolutionary Guards was firing missiles at ships moving thought the strait. The worst of the heat wave over the US has abated, but the 6-10 and 8-14 day forecasts still show above normal temperatures across the lower 48 states, which should at least provide steady cooling demand.
PRODUCTS
Product prices turned lower early Tuesday after reaching new highs for the move earlier in the session. August RBOB and ULSD are still in uptrends, as US supply remains relatively tight. For the inventory reports this week, the early Reuters poll has an average expectation for US gasoline stocks to be -1.6 million barrels for the week ending July 3, and distillate stocks are expected to be +1.0 million
Interested in more futures markets? Explore our Market Dashboards here.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2021 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
