*Coal*
The bearish trend continued early in the session, with API2 and NEWC swaps selling off initially, while European gas and oil prices held relatively stable. However, API2 found support through the afternoon, finishing higher on the day and helping NEWC swaps recover back to near unchanged levels. In contrast, European gas prices and Brent crude oil both closed around 2% lower.
*Brent Crude*
Oil prices edged lower on Monday, remaining confined within a narrow range as markets weighed the impact of upcoming OPEC+ supply increases against ongoing concerns over global trade tensions. With OPEC+ set to further accelerate the return of 2.2 million barrels per day of production cuts in June, and uncertainty lingering over U.S.-led trade wars, sentiment remained cautious. Although President Trump softened his rhetoric last week and China exempted some U.S. imports from tariffs, fears of a supply glut kept gains in check. At 16h06 BST, June Brent futures were down -1.66% at $65.75 per barrel.
*Dutch TTF Gas*
European natural gas futures rose modestly on Monday but remained near nine-month lows, as steady supply and warmer weather across north-west Europe continued to weigh on demand. Storage replenishment across the EU remains slow, with inventories sitting at 38.41% compared to over 61% this time last year. Meanwhile, geopolitical tensions persisted as President Trump met with Ukraine’s President Zelenskiy, suggesting controversial terms for peace talks with Russia. Dutch TTF Gas was up 1.38% late afternoon, trading at €32.41/MWh.
*Iron Ore*
Chinese iron ore futures extended their recovery on Monday, climbing to CNY 720 per tonne as expectations for economic stimulus from Beijing and a potential easing of U.S.-China trade tensions improved the demand outlook. Rising bond sales and a 10-month high in China’s construction PMI further lifted sentiment, pointing to increased liquidity and potential support for the property and construction sectors. On the SGX, 62% Fe TSI iron ore fines for May delivery eased slightly, down -0.10% at $98.45/tonne.
*Copper*
Copper prices held firm on Monday as traders awaited concrete developments in U.S.-China trade relations and clearer signals on China’s economic outlook. While President Trump claimed progress with China, Beijing denied that active negotiations were underway, keeping sentiment cautious. Meanwhile, China’s reaffirmation of its 5% growth target without announcing immediate stimulus weighed slightly on demand expectations. LME three-month copper was marginally higher at 16h08 BST, up 0.07% to $9,376.50/tonne.
