The job market is showing improvement, but the plunge in oil prices has spurred more concerns about weak inflation.» Read More
The Nymex energy complex ended last week on a very strong note. The gasoline contract (RBOB) for June delivery closed at 313.02. That translates into a national average price for retail gasoline of ≈$3.70 a gallon by the 04th of July holiday. To this effect, we are prepared for a material decline in demand elasticities.
Silver and the gold, and the commodities trade doesn't appear to coming to a close, with CNBC's Scott Wapner and the Fast Money Halftime Report traders. Also, a look at the microchip trade, and what it will take for stocks to break out now, with Carter Worth, Oppenheimer.
Yesterday (Thursday), the EIA reported a 12 Bcf injection in to storage, blowing away the 2 Bcf median draw expected by analysts. However, it seems that the injection was not entirely unexpected — the largest analyst estimate came to 13 Bcf and Bloomberg’s whisper number came to a 5 Bcf injection. Put simply, expectations were all over the map.
We question the logic of cutting down on imports. According to the latest preliminary weekly data from the DOE, we imported 8.41 MMbbls/d of crude oil last week. Our largest trading partner was Canada, with 2.05 MMbbls/d of supply with Venezuela coming in a distant second at 1.08 MMbbls/d.
Yesterday, the Conference Board released the latest consumer confidence index. We have stated several times that confidence would likely to lower than the 70.4 seen in February and the 65.0 expected by analysts. Indeed yesterday’s number came to 63.4, its first drop in six months.
CNBC’s analytics team compiled a list of the 10 best-performing commodities in the CRB index so far this year, based on the closing prices on March 29, 2011.
OPEC, the oil producers’ cartel, will reap $1,000 billion in export revenues this year for the first time if crude prices remain above $100 a barrel, according to the International Energy Agency. The FT reports.
In another encouraging sign, the savings rate (as a percentage of disposable income) dropped from a six month high of 6.1% in January to 5.8%. The amount of government unemployment insurance benefits also fell by 7.81% to $113.3 bn, the lowest point since April 2009. This seems to paint a pretty bullish picture for the health of the domestic consumer, right?
Oil pulls back on Libyan rebel successes, while explorers and refineries rise. At the same time, coal stocks slide after Goldman downgrades Peabody. And smaller telecom stocks make a big comeback after the AT&T/T-Mobile marriage, with Will Power, RW Paird analyst, CNBC's Melissa Lee and the Fast Money traders.
Fresh reports of violent clashes and midnight raids taking place over the weekend did nothing to stifle a steady stream of traffic through Bahrain's financial district Monday, nor did the continued presence of foreign troops and tanks keep business from re-opening their doors.
The general consensus is that prices above $3.500 begin to cause not insignificant demand destruction. Yet the latest vehicle miles travelled data suggests that demand elasticity begins to wane much earlier.
As to the recent price path in Nymex crude oil, Philip Roth had it right, initial fear spawned by — what seems to be an endless stream of — “black swans” has now segued into the greed phase.
Enbridge Energy CEO Patrick Daniel discusses pipelines and energy infrastructure, as well as the best ways to move oil around the U.S. and Canada, with Mad Money host Jim Cramer.
Reserves injected by the Bank of Japan and the European Central Bank are going to gold and equities, rather than being used for timber, steel and copper down the road. Dennis Gartman, The Gartman Letter, explains why it's happening.
In the moments following yesterday’s release of the weekly storage report from the DOE, one client asked for our ‘off-the-cuff’ opinion of the DOE report.
As of two weeks ago yesterday, money managers trading the Nymex Henry Hub natural gas futures were short by 207,413 contracts, i.e. ≈207 Bcf of gas. That is enough gas to keep U.S. Steel’s furnaces aglow for the next 19 years (per the company’s 2008 annual report).
Just as the thought that Charlie Sheen can actually be rehabilitated, the idea that releasing barrels from the U.S. Strategic Petroleum Reserve (SPR) can alleviate the upsurge in oil prices is a nice thought, but it is a specious argument.
Armed security forces and light tanks were visible Tuesday in Bahrain's financial harbor as the local press ran headlines heralding the resumption of "business as usual" and displaced expats began to slowly trickle back to the island kingdom.
Over the two weeks ended last Tuesday the net length of Nymex natural gas futures held by money managers dropped by 16%, from a record 207,413 contracts to 174,921. At the same time spot gas futures rallied around 1.8%. However, since last Tuesday gas has rallied another 5.8%!
Saudi Arabia's plan to shell out some $90 billion as part of a state-backed economic aid package continued to buoy regional markets Monday, but it is too early to tell how much the spending package will do to assuage sectarian tensions in the country, market analysts told CNBC.