Executive Summary
Both oil and gas commodity prices rose in the second quarter of 2022, with WTI and Henry Hub front-month futures prices floating around $121/bbl and $9/mmbtu in mid-June, as Russia launched its invasion of Ukraine in late February. Issues with financing and insurance and the exit of Western oil companies and oilfield service providers from Russia resulted in a substantial decline in oil exports from the country. With no indications of any near-term resolution of the RussianUkraine war and a continued outlook of relatively flat production in the U.S., global energy prices have no foreseeable inflection point at the moment.
