US Mortgage Rate Climbs to 7.16%, Matching Highest Since 2001
(Bloomberg) -- The US 30-year mortgage rate rose to 7.16%...
(Bloomberg) -- The US 30-year mortgage rate rose to 7.16% last week, matching the highest since 2001 and crimping both sales and refinancing activity.
The contract rate on a 30-year fixed mortgage rose 7 basis points to 7.16% in the week ended Aug. 11, according to Mortgage Bankers Association data out Wednesday. The gauge of home-purchase applications slipped for a fifth-straight week to the second-lowest level since 1995.
President Joe Biden and first lady Jill Biden plan to travel...
President Joe Biden and first lady Jill Biden plan to travel to Maui on Monday to meet with first responders and survivors, as well as federal, state and local officials, in the wake of the deadly wildfires on the Hawaiian island, the White House said Wednesday. They plan to “see firsthand the impacts of the wildfires and the devastating loss of life and land that has occurred on the island, as well as discuss the next steps in the recovery effort,” the White House added.
Oil firms caught in balancing act as cash reserves shrink
US oil and natural gas companies have reaped windfall profits from the oil price hikes caused by the...
US oil and natural gas companies have reaped windfall profits from the oil price hikes caused by the war in Ukraine, but diminishing cash reserves now challenge their ability to balance investments and shareholder returns. While the recent oil price rebound might spur more drilling, the momentum towards clean energy and limited drilling opportunities are prompting companies to focus on cost reductions and technological innovations to maximize production.
Energy Transfer to Acquire Crestwood Equity Partners for $7.1 Billion
Energy Transfer LP said on Aug. 16 it will acquire Crestwood Equity Partners...
Energy Transfer LP said on Aug. 16 it will acquire Crestwood Equity Partners LP in an all-stock merger valued at $7.1 billion, the latest midstream sector megadeal this year.
Crestwood’s system includes gathering and processing assets located in the Williston, Delaware, and Powder River basins. Crestwood’s assets comprise approximately 2 Bcf/d of gas gathering capacity, 1.4 Bcf/d of gas processing capacity and 340,000 bbl/d of crude gathering capacity.
“If consummated, this transaction would extend Energy Transfer’s position in the value chain deeper into the Williston and Delaware basins while also providing entry into the Powder River basin,” Energy Transfer said in an Aug. 16 press release.
The energy sector is off to a mixed start, supported by strength in crude oil contracts, while the broader market futures are lower ahead of the release of minutes from the Federal Reserve’s July policy meeting.Two mid-stream deals were announced this morning, with Energy Transfer announcing it will acquire Crestwood Energy Partners in an all-cash deal worth $7 billion and Holly Sinclair announced it will purchase the remaining shares of Holly Energy Partners for $21.57 per unit in cash and stock.
WTI and Brent crude oil futures are edging higher following two-consecutive days of losses as tight supply, a weaker dollar, and high gasoline demand modestly outweigh sluggish economic data from China. July’s retail sales and industrial output data from China has worried traders who are wondering whether China will meet its growth target of 5% for the year without more stimulus. Market participants are also skeptical that yesterday’s unexpected rate cut from China will be enough to boost their economy. Gasoline demand has surged to its highest levels this year as U.S. motorists try to squeeze one last trip before the Labor Day holiday. Last night’s API data showed a draw of 6.195M barrels, much larger than analysts had expected.
Natural gas futures are extending yesterday’s losses,on expectations for a build in last week’s inventory of +38 Bcf vs 5-year average +41 Bcf.
