GLEG UK Energy Market Update…
October 13, 2025
Geopolitical tensions continue to weigh heavily on energy markets, driving heightened volatility across oil benchmarks. Investors remain cautious as trade and regional conflicts continue to shape short-term sentiment and influence supply and demand fundamentals.
Donald Trump and the U.S. administration have confirmed ongoing trade discussions with China, though uncertainty remains around the timing and outcome of a potential meeting between both leaders. In addition, a ceasefire agreement has been announced between Israel and Hamas, with the first hostages released as part of the deal. In the Middle East, diplomatic engagement continues to influence oil market stability, with investors monitoring developments closely for potential shifts in regional supply dynamics.
Price trends have reflected transportation and trade-related tensions, though signs of easing geopolitical strain could offer near-term relief. Should negotiations progress, improved trade cooperation may support increased LNG injections and greater price stability. Markets have already started to show early indications of recovery following last week’s sharp declines.
However, as always, any abrupt change in political sentiment or policy direction could quickly reintroduce volatility to global energy prices. Businesses should continue to review and optimise procurement strategies to secure more assurance in their energy spend and protect against potential market reversals.
For more information on how to optimise your business’s procurement strategy contact Peter Leyland at peter.leyland@gleg.co.uk.