High Grade Energy Weekly

Research evidence excerpt

High Grade Energy Weekly

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Week ended July 17, 2026

Industry Overview

Energy spreads finish largely unch’d w-o-w 17 July 2026

HG Energy spreads finished largely around unch’d week, despite oil prices rallying >10% High Grade Credit

(more on this below). At an Index level, HG Energy (CIEN) and HG Pipeline (CIGD) spreads United States

modestly outperformed the Corp Index and continue to trade near record tight levels. Energy, MLPs & Pipelines

The crude reality of oil markets DanielResearchLungoAnalyst

On Wednesday, BofA Commodity Research updated its oil market outlook (see report) BofAS +1 646 855 9965

while maintaining its Brent price deck of $82/bbl for 2026E and $78/bbl for 2027E. The daniel.e.lungo@bofa.com

team argues recent Brent strength understates broader market stress, as crude remains Gavin Andersen

relatively well supplied through strategic inventory releases and lower refinery runs, Research Analyst BofAS

while gasoline and diesel markets are significantly tighter, with cracks near record levels. gavin.andersen@bofa.com

BofA sees Brent capable of moving sharply in either direction, rising above $100/bbl if Peter Merlini

Middle East disruptions persist or falling below $70/bbl if Hormuz reopens and crude ResearchBofAS Analyst

supplies outpace refinery demand. The team views refinery availability, not crude supply, peter.merlini@bofa.com

as the key constraint today and notes refined product tightness could continue

supporting global natural gas prices.

Exhibit 1: Energy has outperformed the

WMB $5.34b JV agreement with Blackstone Corp Index this week

On Monday, WMB announced a $5.34b JV agreement with Blackstone Credit & Insurance Weekly Excess Return (bps)

to support development of its five announced behind-the-meter power projects. Under 15