Tag: Crude Oil (NYMEX:CL.Z16.E)

Just Take A Deep Breath And Relax

Posted on by The INO.com Team

Hello MarketClub members everywhere. If you live in the United States or you've been following this year's presidential election maybe it's time just to take a deep breath, let it out and relax. Just when you thought things could not get any crazier, they get crazier.

When FBI Director James Comey came out on a Sunday with no less than two days before the election to say that his original decision not to prosecute Hillary Clinton still stands the market went wild moving up almost 1 1/2% overnight. The question is, is this a significant turnaround for the market or just a dead cat bounce?

MarketClub's Mid-day Market Report

On the other side of the coin, gold has taken a hit this morning down about 1.4%, close to its original breakout point of $1284.03. It also brings gold back to its RSI support line at 50. While the very short term daily Trade Triangle is negative indicating near-term weakness, the weekly Trade Triangle remains green and will only turn red if the $1250 level is broken. I continue to remain longer-term positive on gold. Continue reading "Just Take A Deep Breath And Relax" →

The Fed Speaks and Oil Continues Lower

Posted on by The INO.com Team

Hello MarketClub members everywhere. The Federal Reserve left interest rates unchanged while saying the argument for higher borrowing costs strengthened further amid accelerating inflation, reinforcing expectations for a hike in December.

MarketClub's Mid-day Market Report

"The committee judges that the case for an increase in the federal funds rate has continued to strengthen but decided, for the time being, to wait for some further evidence of continued progress toward its objectives," the FOMC said in a statement Wednesday following a two-day meeting in Washington. Fed officials confirmed their growing confidence that inflation is on track to reach their 2 percent target. The central bank said Wednesday that the pace of price gains "has increased somewhat since earlier this year" and that market-based measures of inflation compensation "have moved up." The committee also omitted previous language saying inflation would probably "remain low in the near term."

Oil continues to fall after a government report showed that U.S. crude oil inventory surged. Crude oil stockpiles rose 14.4 million barrels, or 3.1%, last week, according to the Energy Information Administration. It's the biggest gain since 2008 in percentage terms.

Key levels to watch rest of this week: Continue reading "The Fed Speaks and Oil Continues Lower" →

GE's Timely Baker-Hughes Deal: Rigs And Oil Production Set To Rise

Posted on by Robert Boslego

Robert Boslego - INO.com Contributor - Energies


General Electric Co. (NYSE:GE) announced a deal to combine its oil-and-gas business with Baker-Hughes, creating one of the world's largest providers of equipment, technology, and services to the oil and gas industry. Worldwide drilling activity had peaked in November 2014, the same month that Saudi Arabia had started the war for market share, which eventually caused oil prices to collapse.

As oil prices plummeted, so did the rig count. Active rigs worldwide fell from 3,670 to 1,405 in May 2016, a 62% drop. In the U.S., rigs fell from 1,930 t0 408, a 79% drop.

But as oil prices rebounded to $50/b in late May, the rout ended. Since May, active rigs rose by 25% in the U.S. and by 13% worldwide. Continue reading "GE's Timely Baker-Hughes Deal: Rigs And Oil Production Set To Rise" →

Crude Oil Falls As OPEC Meeting Falls Short

Posted on by The INO.com Team

Hello MarketClub members everywhere. Crude oil prices have fallen after news of deadlock at the OPEC meeting in Vienna. OPEC is trying to work out and implement the framework for an output reduction deal that was agreed to in September. A sit-down with non-OPEC producers including Brazil and Russia also appeared to end fruitlessly.

MarketClub's Mid-day Market Report

Stocks are little changed today, helped by positive economic data and investors reacting positively to a series of big mergers announced over the weekend and of, the presidential election. Along with the election, investors have two significant events on the economic calendar this week: a meeting of the Federal Reserve and the October jobs report. It’s almost certain that the Fed will not raise interest rates so close to the election and will wait until the December meeting to do so. However, any economic observations from the bank will be important to investors. The jobs report will be the last major piece of economic data out before the Nov. 8 election.

Key levels to watch this week: Continue reading "Crude Oil Falls As OPEC Meeting Falls Short" →

Stocks Turn Lower After FBI Announcement

Posted on by The INO.com Team

Hello MarketClub members everywhere. Stocks have given back earlier gains after the Federal Bureau of Investigation announced it is investigating new emails related to Democratic nominee Hillary Clinton. The market's reaction was swift dropping -.50% across the three main indexes.

MarketClub's Mid-day Market Report

In other news today, the U.S. economy grew at an annualized rate of 2.9 percent in the third quarter as reported by the Commerce Department. The 2.9 percent clip marked the fastest economic growth in two years. Economists had forecasted that the GDP would rise at a 2.5 percent annual rate in the third quarter.

Despite the moderation in consumer spending, the third-quarter rise in growth could help dispel any lingering fears the economy was at risk of stalling. Over the first half of the year, growth had averaged just 1.1 percent.

Key levels to watch this week: Continue reading "Stocks Turn Lower After FBI Announcement" →