Daily market report Thursday 23 April

Prices rise amid attacks on three container ships, raising concerns over prolonged disruption

Gas and power

Power and gas prices settled higher on Wednesday following reports of gunfire attacks on three container ships in the Strait of Hormuz, with Iran seizing two of the vessels after President Trump extended the ceasefire, prompting markets to price in a prolonged period of conflict with little sign of improvement. Despite this Donald Trump said it is “possible” that a second round of peace talks with Iran could begin by Friday, investors remain unconvinced after previous talks failed to materialise, with neither side showing up. 

Adjacent markets

Oil prices rose on Wednesday as geopolitical tensions in the Middle East continued to intensify, increasing the risk of prolonged supply disruption from the region. Reports sent mixed signals on the prospects for peace talks, with President Trump stating that negotiations could be “possible” in the coming days, while Iran reiterated that it would not return to the table unless the US naval blockade is lifted.