Daily Newsletter 3/26/25

Good morning.

EIA Report

The Energy Information Administration (EIA) releases the Weekly Natural Gas Storage Report every Wednesday at 10:30 AM Eastern Time, with some exceptions for holiday. The next report is scheduled for release today at 10:30 AM EDT.

Key points about the EIA natural gas report:

1. It provides estimates of working natural gas volumes held in underground storage facilities at national and regional levels.

2. The report shows gas inventories for the current reporting week, the previous week, and the net change. It also compares inventories to the same period last year and the five-year average.

3. The most recent report, released on March 19, 2025, showed:

   • Working gas in storage was 1,707 Bcf as of Friday, March 14, 2025.

   • This represents a net increase of 9 Bcf from the previous week.

   • This marks the first increase in US natural gas stocks since November 2024.

   • Current storage levels are 26.8% lower than the same period last year and 10% below the five-year average.

4. The report can have an immediate impact on natural gas prices, especially when there are unexpected changes in withdrawals or injections.

5. The EIA uses weekly survey data from a sample of operators of underground storage facilities to prepare regional and national estimates.

GME

GameStop (GME) shares are trading significantly higher in pre-market trading today, March 26, 2025. The stock has jumped 13.4% to $29.90 in pre-market trading. This surge comes after the company reported better-than-expected fourth-quarter earnings:

1. GameStop reported fourth-quarter adjusted earnings of 30 cents per share, beating analyst estimates of eight cents per share.

2. The company's fourth-quarter revenue was $1.283 billion, which missed the consensus estimate of $1.48 billion.

3. GameStop's board of directors has unanimously approved a plan to invest corporate cash in Bitcoin as a treasury reserve asset.

4. As of February 1, 2025, the company held nearly $4.8 billion in cash and cash equivalents.

The positive earnings report and the announcement of Bitcoin investment plans have contributed to the significant pre-market price increase for GameStop stock.

COPPER

Copper prices in New York have indeed hit a record high following reports that U.S. tariffs on copper imports could be implemented sooner than expected. Key points:

1. Record price: Copper futures on the Comex exchange in New York reached an all-time high of $5.374 per pound.

2. Accelerated timeline: The Trump administration is expected to make a decision on copper tariffs within weeks, much earlier than the original 270-day deadline set in February 2025.

3. Market reaction: The news has caused a significant surge in U.S. copper prices, widening the gap between New York and London markets to over $1,600 per tonne.

4. Supply shift: Traders are redirecting an estimated 500,000 tonnes of copper to the U.S., compared to normal monthly imports of about 70,000 tonnes, in anticipation of potential tariffs.

5. Price disparity: Since January, U.S. copper futures have consistently traded above London Metal Exchange (LME) prices, with the gap reaching unprecedented levels.

6. Market speculation: Analysts from Goldman Sachs and Citigroup expect the U.S. to impose a 25% tariff on copper imports by year-end.

This rapid price increase and market shift are primarily driven by traders and producers attempting to move copper into the U.S. before any potential tariffs are imposed, creating supply tightness in the global market

CRWV

CoreWeave's IPO is expected to price its shares on Thursday, March 27, 2025, with trading anticipated to begin the following day, Friday, March 28, 2025.