The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.

0845 ET - The 2-year yield is rising as Brent crude crosses the $100-a-barrel threshold amid the escalating conflict in the Middle East. The U.S. military destroyed five Iranian oil tankers Tuesday, and Iran retaliated overnight with a ballistic-missile attack from Iranian territory into Jordan, with no casualties reported. The 2-year yield is at 4.43%, up from Tuesday's level of 4.40%. The 10-year yield is trading roughly at Tuesday's level of 4.81%. It's a light day for any major U.S. economic releases, and investors will be eyeing buyback details from the U.S. Treasury. (jessica.coacci@wsj.com)

0727 ET - U.A.E. banks continue to lead lending growth in the Gulf despite regional geopolitical disruption, Kamco Invest says. Gross loans at U.A.E.-listed banks rise 4.5% from the previous quarter in the second quarter, the strongest increase among GCC markets, while central-bank data show systemwide credit growth of 18.1% on year. The lending outlook also remains firm, with First Abu Dhabi Bank raising its full-year loan-growth guidance to the upper end of its low-to-mid-teens range, Kamco says. (farhan.rafid@wsj.com)

0726 ET - Qatar's fiscal deficit risks widening beyond Standard Chartered's 5% of GDP forecast for 2026 as constrained LNG exports weigh heavily on hydrocarbon revenue, the bank says. The second-quarter deficit widened to $5.8 billion from $0.2 billion a year earlier as government revenue fell 57%, while spending remained resilient. Standard Chartered says seasonal non-hydrocarbon receipts cushioned the shortfall and, without that support, the quarterly deficit would have approached $11 billion. Substantial sovereign assets and access to debt markets provide ample room for financing, it says. (farhan.rafid@wsj.com)

0707 ET - Qatar's budget deficit more than doubles in the second quarter as government revenue falls sharply, Ministry of Finance data show. The state records a deficit of 21.2 billion Qatari riyals ($5.8 billion), up from QR10.3 billion in the first quarter, while revenue drops to QR25.6 billion from QR37.8 billion. Spending is little changed at QR46.9 billion, versus QR48.1 billion in the previous quarter, pointing to weaker revenue as the main driver of the wider fiscal shortfall. (farhan.rafid@wsj.com)

0633 ET - Saudi Arabia's economy contracts in the second quarter as a sharp decline in oil activity outweighs modest growth elsewhere, according to the General Authority for Statistics. Real gross domestic product falls 4.7% on year, with oil activities down 24.8%, while non-oil and government activities each grow 0.9%. The breakdown shows the downturn remains concentrated in the oil sector, with underlying non-oil activity continuing to expand despite regional disruption. (farhan.rafid@wsj.com)

0557 ET - The stock market should continue to rally into the middle of 2027 as positive performance extends outside of tech to other sectors, Citi analysts write. "'Broadening' market performance is finally taking shape," the analysts write, with financial and materials stocks--as well as tech--seen outperforming the market. However, risks around equity performance are increasing, the analysts note. An escalation to the U.S.-Iran conflict, Federal Reserve rate hikes and volatility around elections could all weigh on sentiment, they say. Moreover, negative macro/political developments could compound volatility from stepped-up scrutiny around the global AI trade, they add. (josephmichael.stonor@wsj.com)

0527 ET - Concerns about inflation risk due to elevated energy prices could dominate the U.K. government bonds market for a long time, Mizuho's Evelyne Gomez Liechti says in a note. Brent crude price advances 2.7% to $100.53 per barrel, raising inflation risk and the possibility of the Bank of England increasing interest rates in the coming months. Markets fully price in three quarter-point BOE rate rises by July 2027, LSEG data show. Ten-year gilt yields climb 4 basis points to last trade at 5.202%, Tradeweb data show. (miriam.mukuru@wsj.com)

0344 ET - Investors raise their expectations of the Bank of England increasing interest rates in the coming months due to inflation concerns as oil prices edge above $100 per barrel in early trade Wednesday. Traders fully price in three BOE rate rises by July 2027, up from two rate hikes priced in on Tuesday, LSEG data show. (miriam.mukuru@wsj.com)

0334 ET - Delta Electronics is entering a stronger artificial-intelligence-driven growth phase as next-generation power systems move into mass production, helping offset near-term supply chain bottlenecks, according to a Fubon Research report. While power-management chip shortages are expected to weigh on 3Q revenue, Fubon expects growth to reaccelerate in 4Q as supply constraints ease and demand for AI server power equipment remains strong. Fubon reiterates its buy rating, citing coming contributions from high-voltage direct current systems and power solutions for Nvidia's Vera Rubin platform. Delta is expected to maintain its leadership in AI server power infrastructure, supported by its research capabilities, broad product portfolio and manufacturing scale, Fubon says. (sherry.qin@wsj.com)

0326 ET - Yields on U.K. government bonds, or gilts, climb due to inflation worries as oil prices rise further. U.S.-Iran hostilities intensified, with the U.S. striking Iranian oil tankers on Tuesday in retaliation to Iran's attacks on U.S. warships. As a result, Brent crude price rises 2.1% to $99.99 per barrel. Ten-year gilt yields rise 2.3 basis points to last trade at 5.185%, Tradeweb data show. (miriam.mukuru@wsj.com)

0305 ET - Brent crude prices trade close to $100 a barrel as attacks in the Middle East escalate and markets see no credible path to de-escalation in sight. The global oil benchmark climbs 1.6% to $99.49 a barrel, while WTI futures are up 1.4% to $94.31 a barrel. Both benchmarks have gained 20% on the month. According to U.S. Central Command, the U.S. destroyed five Iranian oil tankers on Tuesday in response to fresh attempts by Tehran to strike U.S. warships in recent days. "Recent developments only reinforce the view that we're still some way from a restart in talks," ING analysts say. Major banks--including Goldman Sachs, Bank of America and UBS-- all lifted their oil-price forecasts for this year and next, as prolonged shipping disruptions raise the geopolitical risk premium. (giulia.petroni@wsj.com)

0301 ET - Eurozone bond yields rise, responding to higher oil prices, while investors' focus remains on the European Central Bank's interest-rate decision on Thursday. "Euro rates continue to trade largely as a function of energy rather than domestic fundamentals," Mizuho's Evelyne Gomez-Liechti says in a note. Money markets have fully priced in a 25-basis-point rate increase which would bring the deposit rate to 2.50%. Therefore, the main question for investors is what changes the ECB will make in its new GDP and inflation forecasts, and what signals it gives for the future policy path. Brent oil is up 1.7% at $99.59 per barrel. The 10-year German Bund yield rises 1.9 basis points to 3.375%, according to Tradeweb.