MARKET MOVEMENTS:

–Brent crude oil is down 0.9% at $105.61 a barrel.

–European benchmark gas is down 3.6% at 72.24 euros a megawatt-hour.

–Copper futures are up 0.2% at $14,676.50 a metric ton.

–Gold futures are up 1% at $4,342 a troy ounce.

TOP STORY:

Why the Gulf Wants Trump to Hold the Line on Iran

DUBAI-Efforts to rekindle talks to end the war between the U.S. and Iran are running into resistance from major Persian Gulf oil producers that have swung against any accommodation of Tehran, people familiar with the matter said.

Mediators including Qatar are pressing for a fresh round of talks in Oman as soon as next week to try to get Washington and Tehran to reopen the Strait of Hormuz and start the process of winding down the war. President Trump said Tuesday he believed the two sides would meet again soon.

Gulf countries generally agree that Trump shouldn’t escalate militarily against Iran. But oil kingpin Saudi Arabia and the United Arab Emirates are lobbying the Trump administration to keep up the economic pressure on Iran and not agree to concessions that would ease sanctions or the U.S. Navy blockade, the people said.

OTHER STORIES:

Oil Prices Fall as U.S.-Iran Diplomacy and Regional Tensions Remain in Focus

Oil prices fell Friday after rising sharply in the previous session as investors assessed prospects for U.S.-Iran diplomacy against continued threats to Saudi energy infrastructure.

Brent crude futures fell 1.1% to $105.45 a barrel, while West Texas Intermediate fell 1.9% to $92.85 a barrel in early European trading.

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TotalEnergies Board Backs Strategy, Proposes Extension of CEO Mandate

TotalEnergies said a board review has backed the company’s strategy to focus on oil, gas and electricity production, adding that it would propose an extension of Chief Executive Patrick Pouyanne’s tenure.

The French oil-and-gas company is aiming to expand traditional oil and gas production through 2030 while at the same time investing in electricity generation and renewable assets to meet growing demand for power.

MARKET TALKS:

Oil Headed for Weekly Loss But Analysts Remain Cautious — Market Talk

1052 GMT – Oil prices are broadly unchanged in afternoon trading, with both crude benchmarks on track for significant weekly losses amid hopes for diplomatic progress toward reopening the Strait of Hormuz. Front-month November Brent crude is down 1.1% to $105.44 a barrel, while WTI futures are down 1.8% to $92.90 a barrel. Still, supply risks remain elevated, with renewed Houthi attacks on Saudi Arabia keeping regional security concerns in focus. Kpler’s head of crude analysis, Homayoun Falakshahi, said that “every ‘productive talks’ headline” should be treated as a short-lived market reaction to fade, rather than evidence of sustained de-escalation, until there is a concrete step such as an asset release, easing of the blockade or an actual resumption of transits. (giulia.petroni@wsj.com)

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European Gas Prices Headed for 5% Weekly Loss But Storage Concerns Remain in Focus — Market Talk

1023 GMT – European gas prices are on track for a weekly loss of more than 5%, pressured by hopes for diplomatic progress toward ending the Middle East war and mild seasonal temperatures that continue to delay heating demand. Still, while European Union officials say gas supplies to the region remain stable, storage levels are only about 70% full, leaving the market highly sensitive to potential disruptions. “Unlike oil, LNG flows are more constrained because they depend on specialized tankers and face greater exposure to security risks,” analysts at ANZ say. “The market has tightened further as Norwegian piped flows to the continent have declined amid maintenance at gas facilities.” In afternoon trading, the benchmark Dutch TTF contract falls 4.1% to 71.80 euros a megawatt-hour. (giulia.petroni@wsj.com)

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Palm Oil Futures End Lower, Tracking Soybean Oil — Market Talk

1006 GMT – Palm-oil futures ended lower, weighed down by weaker soybean oil and crude oil prices, says David Ng, a trader at Kuala Lumpur-based Iceberg X. The oils often trade in tandem as they are used for similar purposes. A stronger ringgit added further pressure to the palm-oil market, he adds. Ng expects prices to find support at 4,600 ringgit a ton and face resistance at 4,750 ringgit a ton. The Bursa Malaysia Derivatives contract for December delivery fell 99 ringgit to 4,673 ringgit a ton. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

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London’s Miners Rise After Oil Prices Slide — Market Talk

0745 GMT – London’s miners gain after oil prices ease. Brent crude and WTI fall as investors assess the likelihood that U.S.-Iran diplomatic efforts could reopen the Strait of Hormuz. Miners are some of the world’s largest consumers of diesel and higher prices eat into margins. High oil prices also raise the prospect of interest rate rises to combat inflation. This would hurt investment and consumer sentiment, and drag on demand for mined minerals and metals. With sentiment improved, Glencore rises 2% while Anglo American gains 1.3%. Antofagasta is 0.9% higher. Precious metal miners Fresnillo, Hochschild Mining and Endeavour Mining all gain over 1.2%. Brent crude futures are down 1.1% to $105.45 a barrel, while West Texas Intermediate falls 1.9% to $92.85 a barrel.(adam.whittaker@wsj.com)

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European Energy Stocks Open Lower After Oil Slides — Market Talk

0736 GMT – European energy stocks open lower as oil prices slip. Brent crude and WTI have fallen as investors assess the likelihood that U.S.-Iran diplomatic efforts could reopen the Strait of Hormuz. Brent crude futures are down 1.1% to $105.45 a barrel, while West Texas Intermediate fall 1.9% to $92.85 a barrel. In London, BP falls 2% and Shell drops 0.4%. France’s TotalEnergies is 0.8% lower and Spain’s Repsol is down 0.6%. Italy’s Eni falls 0.2%. Norway’s Equinor is down 1.3%. (adam.whittaker@wsj.com)

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Gold Futures on Track for 2% Weekly Loss on Stronger Dollar, Hawkish Fed Expectations — Market Talk

0707 GMT – Gold prices are headed for a weekly loss as a stronger dollar and growing expectations that the Federal Reserve will raise interest rates again next month weigh on the precious metal. In early European trading, New York futures rise 0.3% to $4,311 a troy ounce but are down 2% on the week. The U.S. dollar index is instead headed for a weekly gain, making dollar-denominated commodities more expensive for overseas buyers. “Investment metals faced a bond-market stress test, with surging Treasury yields supporting a stronger dollar and raising the opportunity cost of holding non-yielding assets,” analysts at Saxo Bank say. According to the CME Group’s FedWatch tool, traders are now pricing in a 73% probability of a rate hike in October. (giulia.petroni@wsj.com)

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Mining Faces Potential Headwind From Flattening Yield Curve — Market Talk

0416 GMT – Mining shares and mined commodities tend to outperform when the yield curve steepens, and underperform when it flattens, says Jefferies. “This holds true across physical copper, gold, silver, and platinum, as well as copper and gold equities,” the bank says. By comparison, the S&P 500 tends to perform best when there is no clear trend, it says. Jefferies says this poses a risk for the mining sector ahead. “We seem to have exited the bull steepening of the past two years and may be heading for bear flattening, where yields rise and spreads compress,” it says. “History suggests a headwind for mining, with copper faring best” and iron ore the worst, says Jefferies. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

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Palm Oil Falls, Tracking Softer Soybean Oil Prices — Market Talk

0247 GMT – Palm oil falls in Asian trading, tracking declines in soybean oil on the Chicago Board of Trade overnight. Technical analysis also indicates cautious sentiment, AmInvestment Bank says in a note. Still, crude palm oil futures could witness bargain hunting after recent losses. India’s lower import duties for edible oils may also support prices, it adds. AmInvestment Bank expects CPO futures to find support at 4,702 ringgit a ton and face resistance at 4,870 ringgit a ton. The Bursa Malaysia Derivatives contract for December delivery is down 52 ringgit at 4,720 ringgit a ton. (yingxian.wong@wsj.com)

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Copper Prices Rise Amid Tight Supply — Market Talk

0240 GMT – Copper prices strengthen in early Asian trade, as tight physical supply continues to provide support, Baocheng Futures analysts write in a note. Chinese inventories remain at a low level while spot availability continues to be tight, they add. Demand is also showing signs of improvement. Investors are watching for the outcome of the meeting between President Trump and Chinese leader Xi Jinping. The three-month LME copper contract is up 0.1% at $14,631.00 a ton. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

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Building Big Copper Mines Appears More Costly, Riskier Than Anticipated — Market Talk

0205 GMT – Delivering new, large-scale copper supply will likely be more costly, slower and riskier than anticipated, says Jefferies. That justifies higher copper prices and reinforces the case for miners to buy copper growth, rather than building new mines, in some instances, it says. In a review of major projects, the bank found many failed to deliver the production volumes expected when a final investment decision was made. A “combination of capex inflation and production underperformance suggests that industry forecasts may systematically overestimate the amount of copper supply likely to be delivered from greenfield projects and underestimate the true incentive price to build new mines,” Jefferies says. “The implications for copper supply are significant” and support premiums increasingly being assigned to some operating mines, brownfield expansions and “derisked” development assets, it says. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

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India Demand May Cushion Palm Oil Stockpile Concerns — Market Talk

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09-25-26 0716ET