The latest Market Talks covering Energy and Utilities. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

0731 GMT - Shell's third-quarter adjusted earnings should rise 14% quarter-on-quarter to $11.2 billion, HSBC analyst Kim Fustier writes. The British energy major's quarterly performance update contained few surprises, with very strong refining margins and robust oil and gas trading being the key elements, she says. The record margins will more than offset a fall in refinery utilization rates, she adds. Shares trade 1.1% higher at 3,688 pence.(adam.whittaker@wsj.com)

0618 GMT - PTT Exploration & Production's earnings stand to benefit from likely increases in oil prices, CGS International's Amornrat Cheevavichawakul says in a research report. The 'Dated Brent' crude price has stayed above $120.00 a barrel this week, which probably reflects risk premium embedded in physical spot cargoes, the analyst says. Geopolitical risks in the Middle East could keep Brent crude prices elevated in 4Q. Also, the need to rebuild depleted oil inventories could provide further support to oil prices. The brokerage lifts its 2026-2028 EPS forecasts for the Thai petroleum explorer and producer by 7.0%-12.4%. It raises the stock's target price to 175.00 baht from 165.00 baht with an unchanged add rating. Shares are 1.0% higher at 148.50 baht. (ronnie.harui@wsj.com)

2210 GMT - Infratil's bull at Citi looks past headwinds buffeting the valuation of its CDC data-center business recently. Infratil said the latest valuation of CDC was A$18.5 billion, down 0.4% from end-June. It cited the effects of a material rise in the forward yield curve, resulting in higher assumed interest costs. "While elevated interest rates represent a clear macro headwind to valuation multiples, CDC's underlying operational momentum remains robust," analyst Suraj Nebhani says. Infratil's share price has trended lower since its July high, down some 14%. It means the stock trades at a more than 30% discount to net asset value, which Citi finds attractive. "Supported by ongoing CDC de-risking and Longroad's energy and data center pipeline execution, we see compelling risk-reward and reiterate our 'buy' rating," Citi says. (david.winning@wsj.com; @dwinningWSJ)

2028 GMT - Oil futures give up early gains and settle lower as the market remains optimistic about crude flows out of the Middle East, although continuing conflict in the region limits pullbacks. WTI fell 1.3% to $88.28 a barrel despite an unexpected 3.2 million barrel weekly inventory draw reported by the EIA and production being shut in as Tropical Storm Isaias is seen reaching the U.S. Gulf coast as a hurricane on Friday. The U.S. Marine Minerals Administration said 511,619 barrels a day, or 25% of current Gulf production, had been shut in as of midday Wednesday. Brent crude settles down 0.4% at $100.20 a barrel. (anthony.harrup@wsj.com)

1803 GMT - As Treasury yields remain elevated, some Fed officials have been asked whether this means the market is doing some of the tightening for them. Tighter financial conditions mostly reflect expectations for higher policy rates, according to a note from Capital Economics. If central banks don't deliver them, tightening might be unwound. "We think that central banks are unlikely to hike interest rates as far as investors currently expect in the year ahead," the note says. Capital Economics says that's because energy prices may fall next year, therefore second-round effects will fail to materialize.(jessica.coacci@wsj.com)

1716 GMT - U.S. benchmark crude slips after the EIA reported a 3.2 million barrel withdrawal in commercial crude oil stocks for last week, despite expectations for a third consecutive weekly build. Product inventories were mixed with gasoline stocks up by 382,000 barrels and distillate stocks down by 42,000 barrels. "Oil stockpiles remain tight but the crunch isn't clearly getting worse," says David Russell of TradeStation. The inventory drop was the result of an adjustment "so it may overstate the magnitude of the draw," he adds. WTI is off 0.7% at $88.79 a barrel and Brent is up 0.2% at $100.75 a barrel. (anthony.harrup@wsj.com)

1456 GMT - Power utilities will remain critical for the expansion of AI infrastructure despite the growing number of dedicated electricity generators being built near data centers, Joseph DeCampo, a managing director at investment bank Moelis & Company, says during an industry conference. "While they may start off as behind-the-meter or off-grid projects, data centers ultimately would like to be tied into the grid," DeCampo says. Data centers would be reluctant to rely on off-the-grid power installations alone partly because of their high reliability requirements, other panelists say. That puts utilities in the best position to benefit from surging demand for electricity to power AI systems, DeCampo says. "[Utilities] understand the grid better than anybody out there," he says. "They are the ones who ultimately benefit from the longer-term [power] trends." (luis.garcia@wsj.com; @lhvgarcia)

1433 GMT - Oil futures are higher in early U.S. trading with continuing tensions in the Middle East and the market watching the storm heading for the U.S. Gulf coast. Tropical Storm Isaias is expected to be a hurricane when it reaches the U.S. coast late Friday, according to the National Hurricane Center, although the projected path has shifted east of the main oil-producing areas. Consulting firm Earth Science Associates estimates the storm could result in shut-in production of about 11.2 million barrels of oil and 13.3 billion cubic feet of natural gas. Front month WTI is up 0.6% at $89.98 a barrel and Brent gains 1.2% to $101.76 a barrel. (anthony.harrup@wsj.com)

1307 GMT - Emera's merger with Canadian Utilities offers greater scale and diversification, but there are some drawbacks. TD Cowen's John Mould says "reduced relative exposure to Florida (a high quality jurisdiction for utilities) will be a disappointment for some investors." He says that Florida is one of North America's most attractive utility jurisdictions given the state's strong economic and population growth, but following the transaction, Florida's contribution to rate base is expected to decline to 46% from 73%. However, the positives will be in expanded scale, diversification over the longer-term, as well as adding concentrated exposure to Alberta where Mould sees a robust economy and opportunity to outperform at distribution utilities. "We expect modest low-single-digit EPS accretion, albeit under conservative assumptions," Mould adds. (adriano.marchese@wsj.com)

1022 GMT - Europe's refining industry is key to the continent's energy policy, says Liana Gouta, director-general of industry group FuelsEurope. European Commission chief Ursula von der Leyen this week announced a strategic dialogue on European refineries, a move aimed at bringing down diesel costs and ensuring supply, including for Europe's defense industry. That launch is welcome, Gouta says. "We look forward to working with policymakers to ensure that competitiveness, security of supply and industrial transformation advance together, supported by a strong and resilient European refining sector," she says. Boosting refineries is a "long-term prerequisite" for Europe's climate, energy and industrial goals, says the group, whose energy-major members include ExxonMobil, BP, Italy's Eni and Norway's Equinor. (joshua.kirby@wsj.com; @joshualeokirby)

0956 GMT - Spanish energy major Repsol's strong update boasted record high refining margins but these have deteriorated into September and October, which could weigh on sentiment, RBC Capital Markets analyst Biraj Borkhataria writes. The third-quarter update suggests limited upgrades to consensus expectations, he adds. "We continue to see Repsol well placed relative to other refiners in Europe given its complexity and ability to adjust both crude and product slates to maximize margins," he says. Shares are up 0.2% to 28.83 euros.