The energy sector is poised for a lower start amid more losses...
The energy sector is poised for a lower start amid more losses in crude futures. U.S stocks are set to open slightly higher, though gains moderated after private payrolls for August grew by just 132,000 for the month, a deceleration from the 270,000 gain in July, ADP said in its monthly payroll report.
WTI and Brent crude oil futures are extending yesterday’s sell-off as the market weighs in weaker demand prospects, political unrest in key OPEC+ producers and the possibility of a nuclear deal being announced with Iran. OPEC’s Joint Technical Committee is meeting this morning, with headlines noting the group is increasing its expectations for a 2022 surplus build, explaining that rising energy costs may lead to less demand. Additionally, China's factory activity extended declines in August as new COVID infections and the worst heatwaves in decades weighed in on production. Despite experiencing weaker growth, some of China's biggest cities from Shenzhen to Dalian are imposing lockdowns and business closures to curb COVID-19 outbreaks. However, the API report showed gasoline inventories fell by about 3.4 million barrels, while distillate stocks, which include diesel and jet fuel, fell by about 1.7 million barrels.
Natural gas futures are down in early trading as data suggest inventories are rising. Gazprom halted natural gas flows through Europe's key supply route on Wednesday as the economic battle intensified between Moscow and Brussels.
MarketWatch: U.S. stocks open higher after ADP's national employment report
U.S. stocks opened higher Wednesday, advancing after three straight days of declines as investors assessed...
U.S. stocks opened higher Wednesday, advancing after three straight days of declines as investors assessed ADP's national employment report showing that job growth slowed for a second straight month in August. The Dow Jones Industrial Average DJIA, 0.09% was up 0.1% soon after the opening bell, while the S&P 500 SPX, 0.26% rose 0.4% and the Nasdaq Composite COMP, 0.58% gained 0.8%, according to FactSet data, at last check. The revamped ADP report, released Wednesday, showed the U.S. economy added 132,000 jobs this month, down from 268,000 in July and 480,000 in June. Annual pay was up 7.6% in August amid high inflation, with pay growth stabilizing at elevated levels that are in line with monthly readings since the spring, ADP said.
Colombia oil, tourism industries warn tax reform may have negative impact
BOGOTA (Reuters) - Representatives of Colombia's oil, mining and tourism industries told opposition...
BOGOTA (Reuters) - Representatives of Colombia's oil, mining and tourism industries told opposition lawmakers on Monday a $5.7 billion tax reform proposed by the government of leftist President Gustavo Petro could put their sectors at risk.
Petro, who took office early this month, has said he is willing to negotiate on the reform, which seeks to raise 25 trillion pesos in 2023 to fund anti-poverty programs.
The bill would levy a 10% tax on income earned when coal and oil are exported for prices exceeding a certain threshold, though a proposal to include gold exports has been withdrawn.
The threshold for oil would be $48 per barrel, while coal exports would see the duty levied when prices exceed $87 per tonne.
Hedge-Fund Titan Dalio Isn't Alone in Thinking Civil War Is Coming
In February, Ray Dalio, founder of Bridgewater Associates, the world’s biggest hedge fund manager, ...
In February, Ray Dalio, founder of Bridgewater Associates, the world’s biggest hedge fund manager, said that civil war is coming.
“The U.S. appears to be on a classic path toward some form of civil war,” he wrote in a LinkedIn posting. “What is obvious from looking at many cycles of rises and declines of different historical cases is that the combination of:
1) financial problems due to not having enough money that lead to large deficits, high taxes, a lot of money printing, and high inflation, and
2) large wealth and values gaps in which people are more willing to fight for what they want than to compromise leads to some sort of fighting for control, rather than compromising according to the rules,” Dalio said.
That’s a “civil war, though these fights can be more or less violent,” he said.
Oil Inventories in Surprise 593,000 Barrel Rise Last Week: API
U.S. crude stockpiles unexpectedly climbed last week, the API reported Tuesday, but...
U.S. crude stockpiles unexpectedly climbed last week, the API reported Tuesday, but larger declines in product supplies including gasoline pointed to underlying strength in energy demand despite signs of slowing global growth.
U.S. crude inventories rose by 593,000 barrels for the week ended Aug. 26. That compared with a draw of 5.6 million barrels reported by the API in the previous week. Economists were expecting a decline of about 633,000 barrels.
The API data also showed that gasoline inventories fell by 3.4 million barrels last week, and distillate stocks decreased by 1.7 million barrels.
The official government inventory report due Wednesday is expected to show weekly U.S. crude supplies fell by about 1.5 million barrels last week.
