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General Market Comment 21.11.19

US indices closed lower on Wednesday, pulling back from record highs after Reuters reported a phase one trade deal between China and the U.S. might not be completed by the end of 2019. Shares in the Automobiles & Components (-2.51%), Transportation (-1.67%) and Materials (-1.18%) sectors saw the most pressure.

On the economic data front, Mortgage Applications fell -2.2% for the week ending November 15th, down from a rise of 9.6% the prior week. The Federal Open Market Committee Meeting Minutes ended on the note that the Fed would hold rates here and that rates were cut due to the trade war, moreover they see moderate growth in the economy along with strong labor.

Later today, economists expect Initial Jobless Claims to be lower for the week ending November 16th, compared to the prior week and Continuing Claims for November 9th is anticipated to be in-line with the week before. Economists also expect Leading Index data for October and an increase in existing Home Sales for October.

European markets are expected to start on a negative note. read more

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EMEA Wekly Base Oil Price Report 20.11.19

EMEA Base Oil Price Report

BY RAY MASSON

Base oil prices around the European, Middle Eastern and African markets are muted due to a mounting oversupply situation that is growing by the day. Supplies of all groups are ample to cover immediate and forward requirements into the first quarter of next year.

Group I prices are approaching a critical point where raw material costs overtake selling prices, causing some sellers to comment that they would rather not produce base oils. Some have declared that they will stop production in December rather than dump material at a loss into a market which is saturated with availabilities. Fuels production is much more appealing, so feedstock streams may be diverted away from Group I output, which could lead to shortages of this category during 2020. read more

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General Market Comment 20.11.19

US indices closed mixed on Tuesday with the Nasdaq closing in the green lifted by shares in the Pharmaceuticals, Biotechnology & Life Sciences (+0.69%), Software & Services (+0.66%) and Health Care Equipment & Services (+0.62%) sectors. Shares in the Telecommunication Services (-2.11%), Energy (-1.47%) and Retailing (-1.24%) sectors were under pressure.

U.S. official data showed that housing starts increased to 1.314 million units in October (1.320 million units expected, 1.266 million units in September). Building permits rose to 1.461 million units (1.385 million units expected, 1.391 million units in September), the highest level since mid-2007.

Later today, minutes of the Federal Reserve’s latest monetary policy meeting will be released.

European markets are expected to open on a negative note. read more

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BRENT Crude Technical Snap 19.11.19

BRENT Crude Technical Snap (Daily)

Pivot: 62.55

Our preference: short positions below 62.55 with targets at 62.00 & 61.70 in extension.

Alternative scenario: above 62.55 look for further upside with 62.90 & 63.20 as targets.

Comment: as long as the resistance at 62.55 is not surpassed, the risk of the break below 62.00 remains high.
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General Market Comment 19.11.18

US indices closed slightly higher in a choppy session on Monday lifted by shares in the Household & Personal Products (+1.05%), Consumer Durables & Apparel (+0.84%) and Real Estate (+0.5%) sectors.

On the economic data front, the National Association of Home Builders (NAHB) Housing Market Index came out at 70, just missing the 71 estimate for November, down 1 from 71 in October.

Later today, economists expect Housing Starts to reach 1320K for October, up 64K from 1256K in September. Also, Building Permits are expected to decline to 1383K for October, compared to a revised 1391K in September.

European markets are expected to open on a positive note. read more