Trump said he will raise tariffs on $250 billion in Chinese goods to 30% and hike duties on another $300 billion in products to 15%.Politicsread more
Stocks dropped after Donald Trump ordered that U.S. manufacturers find alternatives to their operations in China.US Marketsread more
Federal Reserve Vice Chair Richard Clarida said Friday that the global economy has deteriorated in the past month.Marketsread more
The latest escalation in the trade war ups the odds the economy will fall into recession and that the Fed will aggressively cut rates.Market Insiderread more
Here are the products that stand to be the most affected by China's new tariffs on $75 billion worth of U.S. goods.Marketsread more
"We don't need China and, frankly, would be far better off without them," Trump tweeted.Politicsread more
"My only question is, who is our bigger enemy, Jay Powell or Chairman Xi?" Trump wrote amid a series of tweets that rattled markets Friday.Politicsread more
"I would love this to be clarified. We come to a deal on trade, boy, this market is up 10 to 15%, but without it's going to be worrisome," Jeremy Siegel says.Marketsread more
The final week of August could be highly volatile as markets fret over the economy and the latest developments in trade wars.Market Insiderread more
Tesla solar energy systems reportedly ignited at an Amazon warehouse in Redlands, California last June, and the Seattle e-commerce titan confirmed that it has no further plans...Technologyread more
The death comes as federal and state health officials investigate a slew of lung illnesses in connection to e-cigarette use.Health and Scienceread more
(Adds details on cash flow, comments from conf call and analysts; updates shares)
Aug 6 (Reuters) - Chesapeake Energy Corp's shares reversed course on Tuesday to trade down nearly 12% as Wall Street analysts raised concerns about the oil and gas producer's debt level and the impact of spending on its cash flow.
Worries of Chesapeake overspending come as investors, frustrated with low returns from the energy sector, are pressing oil and gas producers to cut budget and save cash for dividends and buybacks.
Chesapeake, traditionally seen as a natural gas producer, has been moving money from the gas-rich Marcellus Shale and Mid-Continent areas to the oil-heavy Powder River Basin, as an oversupply has pushed gas prices down by 67% in the last five years.
"As we formulate our initial 2020 plans, we expect to allocate more capital to oil-growth areas, with less capital going toward our gas assets," the company said on Tuesday.
Credit Suisse's William Featherston, rated five-star for his accuracy on estimates for the company, expects Chesapeake to generate an organic free cash flow deficit of $505 million in 2020 at current prices, compared with a $380 million deficit in 2019.
Chesapeake's debt, including its acquisition of Texas oil producer WildHorse early this year, stood at about $10.16 billion as of June 30, nearly four times its market valuation.
Sameer Panjwani, an analyst at energy brokerage Tudor, Pickering, Holt & Co, said early commentary from the management on 2020 implied an organic cash flow outspend, which would need meaningful asset sales to plug the gap.
"The market continues to push for E&Ps to move to a free cash flow model and improve balance sheets, and we see CHK as a difficult equity to own until that inflection is made on a sustainable basis."
However, the company said it was not projecting a "meaningful outspend" in 2020.
Chesapeake, which expects flat capital spending in 2020 compared to 2019, forecast oil volumes next year to grow in double-digit percentage, while gas volumes will decline by the same.
The company's second-quarter production fell 6.4% to average 496,000 barrels of oil equivalent per day (boepd), but beat analysts' average estimate of 494,640 boepd.
Chesapeake spent about $559 million in the quarter, 5.5% higher than a year earlier as it increased its well completion activity.
The company posted an adjusted loss per share of 10 cents, while analysts had anticipated a loss of 6 cents. Revenue rose 4.2% to $2.39 billion.
Chesapeake's shares, which have fallen about a third this year, were down 11.5% at a 20-year low of $1.38. (Reporting by Taru Jain in Bangalore; Writing by Arathy S Nair; Editing by Maju Samuel and Sweta Singh)