High Grade Energy Weekly: Week ending May 15, 2026

Research evidence excerpt

High Grade Energy Weekly: Week ending May 15, 2026

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High Grade Energy Weekly

Week ending May 15, 2026

Country Overview

Energy spreads finished 5 to 10 bps tighter w-o-w 15 May 2026

HG Energy spreads finished mostly 5 to 10 bps tighter w-o-w supported by continued High Grade Credit

elevated oil prices and a stronger IG market. OXY was a notable outperformer, tightening United States

17 bps, following S&P’s outlook revision to positive from stable (affirmed BB+ rating). Energy, MLPs & Pipelines

CIGD (HG Pipeline Index) and CIEN (HG Energy Index) continue to trade at all-time tights Daniel Lungo

(since 2013) vs the Corp Index with discounts of 12 and 2 bps, respectively. Research Analyst

BofAS

Iran conflict week 11: Trump meets with Xi in China +1daniel.e.lungo@bofa.com646 855 9965

The Iran conflict continued through its 11th week. July 2026 contract prices for WTI and Gavin Andersen

Brent rose 8% and 7% respectively w/w to $99/bbl and $108/bbl. The Strait of Hormuz ResearchBofAS Analyst

(SoH) remains effectively closed, though Bloomberg’s tanker tracker observed 38 ships gavin.andersen@bofa.com

cross the waterway in the past week, which is 3x as many that crossed the week prior. Peter Merlini

Research Analyst

Iranian state media reported that over 30 ships were permitted to cross on Thursday, in BofAS

coordination with the IRGC, and noted that an unspecified number of Chinese vessels peter.merlini@bofa.com

would be allowed through. Nonetheless, tensions continued in the area. The UK Navy

said a ship was taken in the Gulf of Oman and was headed to Iranian waters, while an

Indian flagged ship, carrying livestock, sank on Thursday, after coming under attack. Exhibit 1: Energy outperformed the Corp