We prepare for the week ahead, what is dominating markets as we see tight and failing ranges from stocks to currencies as liquidity is low in most places. Index ranges this week are the tightest since late 2021. S&P with 55.62 points lowest range since November 2021. NASDAQ 258 points lowest range since December 2021. Dow Jones industrial average 340.88 points lowest since August 2021. Oil prices ran out of steam and declined this week, reflecting recession concerns. WTI crude … Continue reading “The Meaning of Market Volatility (or Lack of) Risk: The Week That Was – What Lies Ahead? Video Companion”
Copper Prices Rising While Markets Slide, Why?
Copper is higher today while stock, bond and most commodity prices are sharply lower. A quick look at what is going on. Last week copper rallied 2.2%, it had been a leader in the risk on movement for commodities and is a key for the bigger picture here. The Bloomberg commodity index fell 2.0% and is down 5.6% YTD last week. Enjoy live commentary from Our Trading Room at YouTube – feel free to like and share Live on YouTube … Continue reading “Copper Prices Rising While Markets Slide, Why?”
Oil and Gasoline Outlook In a Mad, Mad World
Oil prices have been volatile for quite a while now. WTI futures fell -4.24% on the week, Brent fell -3.95%, gasoline fell -3.98% and heating oil fell -5.32%. On the anniversary of Russia’s invasion of Ukraine we take a look at oil at what is going on and influencing it. Oil prices continue to trade back and forth between geopolitical risks and massive builds from low refinery usage due to maintenance. Futures have been ignoring large US builds and have … Continue reading “Oil and Gasoline Outlook In a Mad, Mad World”
S&P Futures Sell off on Rates and Geopolitics – where to now?
We look at the S&P 500 as it continues its slide after last week finished pressuring asset prices, fear levels rose and confusion reigns. Both market participants and Central Bankers are acting belligerent in where they think prices should be. Bottom line is we getting robust signals from the economy about a year-and-a-half into upward pressure on market-based borrowing costs, why? Enjoy live commentary from Our Trading Room at YouTube – feel free to like and share Live on YouTube … Continue reading “S&P Futures Sell off on Rates and Geopolitics – where to now?”
Natural Gas Collapse Continues, Where Does it End?
Two things are certain, Natural Gas tears faces off punters and dribblers, Natural Gas futures never does what is expected. Natural gas futures fell Monday another 8%, Last week it fell -9.94%, down -27.22% for the month and -48.27% year on year reflecting a combination of an oversupplied market and TTF futures in Europe touching €49.5 a megawatt-hour on Friday. We discuss what is going on and the outlook. Enjoy live commentary from Our Trading Room at YouTube – feel … Continue reading “Natural Gas Collapse Continues, Where Does it End?”
Market Wrap – Snap Wrecked Again as Tesla Sizzles July 21, 2022
Two things are certain it seems $SNAP gets crushed on warnings and Tesla and Natural Gas tears faces off punters. Prior to $SNAP’s earnings release the S&P 500 closed a tad shy of 4,000. We started off the Bank of Japan lowering its 2022 GDP growth forecast to 2.4% from 2.9% and the ECB announcing a larger-than-expected 50-basis point increase for its key lending rates. Initial jobless claims topped 250,000 for the first time since last November; the Philadelphia Fed Index … Continue reading “Market Wrap – Snap Wrecked Again as Tesla Sizzles July 21, 2022”
Market Wrap – Tearaway Inflation and Bank Earnings July 14, 2022
Doom and gloom reigns in the markets with Central Banks raising rates and scorching inflation with CPI and PPI breaking records in America. The Dow and S&P extended their losing streaks to 5 straight down days after both $MS and $JPM missed earnings. Stocks did bounce off their low after Federal Reserve Waller said he sees neutral as 2-2.25% and added that you don’t want to overdo rate hikes. Bonds quickly rebounded on that and at the lows the Dow … Continue reading “Market Wrap – Tearaway Inflation and Bank Earnings July 14, 2022”
Market Wrap – Oil and Natural Gas Rally on EIA Storage, Stocks Rally Ahead of Jobs July 7, 2022
Heading into tomorrow’s US Jobs Report stock markets rallied for the fourth day with the main indices up at least 1.0% at the close. Advancers led decliners by a roughly 3-to-1 margin at both the NYSE and the Nasdaq. The bounce coincided with the reversal in energy futures and the strength in semiconductors, which hold a leading indicator status. Energy futures reacted positively to both inventory reports. Natural gas settled the session up 13.6% to $6.25/mmbtu. WTI crude oil futures settled the session … Continue reading “Market Wrap – Oil and Natural Gas Rally on EIA Storage, Stocks Rally Ahead of Jobs July 7, 2022”
Market Wrap – Oil, Gold, Euro, Copper Crushed on Global Recession Fears July 5, 2022
Back from July 4th celebrations we were greeted by global growth worries. The euro being smashed lower to levels not seen since 2002 as parity chants grow louder. Germany is being rocked by the Energy crisis and its reliance on cheap Russian gas. German gas giant Uniper SE is in talks with the government over a potential bailout package of as much as 9 billion euros Bloomberg reports. Commodity prices continued to get pounded from the speculative highs, Wheat, Corn and Soybeans … Continue reading “Market Wrap – Oil, Gold, Euro, Copper Crushed on Global Recession Fears July 5, 2022”
Market Wrap – Central Banks Rate Frenzy Puts Bears Back in Charge June 16, 2022
The post FOMC meeting delusional stock market rally reacted the next day as one would suspect after the Fed raised 75 bps sending the $ES_F and other indices sharply lower. The declines were led by the Nasdaq as it nears its 200-week MA for the first time since the start of the pandemic in March 2020. The major indices are down 6 of 7 trading days. The big catalyst to remind the machines was the SNB hiking a surprise 50bp. … Continue reading “Market Wrap – Central Banks Rate Frenzy Puts Bears Back in Charge June 16, 2022”