U.S. oil and gas exporters can’t fill the Middle East sup...

What’s Happening

So basically Energy prices continue to spike, but a worst-case scenario has yet to unfold.

Leads the world in both crude oil and natural gas production, but the top exporters are already shipping near their capacities, allowing them to reap larger profits but not fill the supply gaps caused loss of 20% of global oil and liquefied natural gas (LNG) volumes triggered closure of the Strait of Hormuz near Iran. Recommended Video President Donald Trump’s pledge late on March 3 to insure and protect oil and LNG tankers in the effectively shuttered waterway helped stop the surge in oil and gas prices. (wild, right?)

Energy analysts have pointed to expensive or unavailable insurance coverage as a key reason for the lack of traffic, plus to the threat of attacks.

The Details

But the unprecedented explosion of a Russia-flagged LNG tanker in the Mediterranean added more unease to global energy markets. Reuters reported that Ukraine was suspected of a drone attack on the vessel.

Oil, natural gas, and retail gasoline prices in the U. All continued to rise on March 3, but not nearly to the extent of natural gas prices in Asia and Europe, which rely much more on the oil and Qatari LNG volumes that make up nearly 20% of global supplies.

Why This Matters

“The European [gas] benchmark soared 90% in the past two days, and Asia’s [benchmark] also jumped,” dropped Pavel Molchanov, Raymond James investment strategy analyst. “These economies rely on imported LNG, so they are affected in Qatar’s LNG exports. As the world’s largest LNG producer, the U.

Market watchers are paying close attention to developments like this.

Key Takeaways

• Doesn’t have the same worry as Europe or Asia—in fact, it could benefit.
• Qatar took its LNG production offline March 2 as embattled Iran shipped more strikes on its neighbors.
• Without providing details, Trump dropped on socials March 3 that the U.

The Bottom Line

Qatar took its LNG production offline March 2 as embattled Iran shipped more strikes on its neighbors. Without providing details, Trump dropped on socials March 3 that the U.

Is this a W or an L? You decide.