Oil falls while Asian stocks rise

Oil falls while Asian stocks rise with European indices falling as the US dollar rises

 

Oil prices continued their latest decline after suffering the worst week since April due to concern
that global demand was stalling as central banks continued to tighten,
while Asian stocks rose slightly,
and the US currency rose against a basket of other currencies with gold prices declining.

 

topic

Oil prices fall slightly after rising the day before

Asian stocks rise and buyers concerned with markets wait for the US inflation test

European markets open unsurprisingly low

 

 

 

 

 

 

 

 

 

Oil prices fall slightly after rising the day before

 

By this morning, Brent crude futures for October fell by $0.22,
or 0.23 percent on the London Futures Exchange, to $96.43 per barrel,
and on Monday Brent crude rose by $1.73, up 1.8 percent to $96.65 a barrel.

 

WTI futures prices for September at this time in electronic
trading on the New York Mercantile Exchange
(NYMEX) fell by $0.23, or 0.25 percent to $90.53 per barrel. 

 

During the previous session, the futures contract rose by $1.75,
or 2 percent to $90.76 per barrel.

 

In the analysts’ view, the market at Tuesday’s main trading session is likely to focus
on the prospects of a US-Iran deal on the nuclear issue,
potentially providing additional oil barrels.

 

The previous day, Western media reported that EU diplomats had drafted
the final text of the document on the restoration of the nuclear deal with Iran
and believed that the parties must now make a final decision.

 

In addition, investors are concerned about the demand situation,
despite the fact that oil demand in China has begun to rise,
energy imports into the country remain at low levels
due to ongoing coronavirus-related restrictions.

 

China imports 8.79 million barrels of oil per day in July,
more than the June figure, which was the lowest in four years,
but 9.5 percent lower than July 2021, as shown on Monday.

 

 

 

 

 

 

 

 

 

 

 

 

Asian stocks rise and buyers concerned with markets wait for the US inflation test

 

Most Asian stocks recovered slightly from their recent losses on Tuesday,
while Japanese markets lagged the weak results from investment giant Softbank Group TYO: 9984.

 

The Nikkei 225 index fell by nearly 1 percent,
and SoftBank was among the worst performers after posting a record loss in the April-June quarter.

 

The investment firm’s stocks fell by 7.5 percent by 0505 GMT.

 

Hong Kong’s Hang Seng rose the most among its peers,
rising by 1 percent as stocks of heavy tech companies recovered from recent lows.

 

Regional markets ignored weak signals from Wall Street overnight,
which closed largely unchanged after a volatile session. 

 

The CPI is expected to settle at 8.7 percent for July,
down slightly from 9.1 percent the previous month.

 

While this decline will indicate that inflation likely peaked,
inflation will remain at its highest level in 40 years,
and the Federal Reserve expects to consider reading the consumer price index
in its plans to raise interest rates in September.

 

China’s Shanghai Shenzhen CSI 300 index rose by 0.3 percent,
ahead of Wednesday’s inflation reading,
and the Shanghai Composite Index rose by 0.3 percent.

 

Contrary to rising prices worldwide,
China is expected to rise only slightly with the consumer price index inflating to a four-year minimum,
but 9.5 percent lower than July 2021, as shown on Monday.

Producer price inflation could have fallen in July due to several COVID-19 lockdowns imposed earlier in the year.

 

Australia’s ASX 200 lagged behind its counterparts in the Asia-Pacific region,
rising by 0.1 percent, with the latest special survey showing consumer confidence
at its lowest level since the 2020 COVID-19 pandemic. 

 

Asian stocks made modest gains on Tuesday as buyers were hampered by persistent global cost pressures,
as investors shifted their focus this week to the United States,
inflation data and the prospects of the Fed adding more severe rate increases.

 

The unexpectedly strong United States excluded jobs data on Friday from July risk in the United States,
and the consumer price report is due on Wednesday, especially for the Fed’s policy outlook.

 

 

 

 

 

 

 

 

 

 

 

 

European markets open unsurprisingly low

 

European markets were poised for a lower open,
with Eurozone Stoxx 50 futures falling by 0.16 percent,
German DAX futures falling by 0.16 percent,
and FTSE futures falling by 0.12 percent.

 

The Dow Jones Industrial Index rose by 0.09 percent
while the S&P 500 declined and the Nasdaq Composite (.IXIC) fell by 0.1 percent.

 

The bonds also received a safe haven offer due to concern over Beijing’s military conflict against Taiwan
under days of Chinese military exercises across the island.

 

The yield on the benchmark 10-year Treasury note rose to 2.7608 percent
compared with the United States, which was close to 2.763 percent on Monday.
The two-year yield, which rose with traders’ expectations of higher interest rates on federal funds,
rose to 3.2056 percent compared with the United States, which is close to 3.216 percent.

 

The dollar index, which measures the greenback against a basket of other major
trading partners’ currencies, rose to 106.35.

 

The dollar’s rally was a setback for gold,
although it managed to bounce back from Friday’s lows and traded at $1785.67 per ounce.

World stocks have rebounded over the past week

 

World stocks have rebounded over the past week without concern about recession with oil prices decline

 

On global stock exchanges, stock prices rose sharply in the past week
thanks to improved business results and declining worries about a recession in Europe
and US crude prices stabilized below $95 a barrel for the first time since April in volatile trading last week.

 

topıc

A remarkable week in global stock markets as recession concern fades

US crude is less than $95

Libya plans to increase oil production to 1.2 million barrels per day

 

 

 

 

 

A remarkable week in global stock markets as recession concern fades

 

On Wall Street, the Dow Jones Industrial Index rose by 2 percent last week
to 31899 points, while S&P rose by 2.4 percent, to 3961
and the Nasdaq rose by 3.3 percent to 11834 points.

 

The growth of these indices is strong thanks to the better-than-expected business results of most US companies.

 

Of the 106 S&P 500 companies that have published reports
75.5 percent have earned higher-than-expected profits.

 

Analysts estimate that S&P 500 companies earned about 6 percent in the second quarter over the same period last year.

 

At the macroeconomic level, the situation is worsening,
with last week’s initial claims for unemployment benefits reportedly rising to 251000
an eight-month high.

 

A further slowdown in the growth of the US economy is also expected because the Fed will increase key interest rates sharply
again due to rising inflation next week, likely by 0.75 percentage points.

 

US GDP data will be published in the second quarter next week
and no one will be surprised if the economy turns out to shrink on a quarterly basis for the second consecutive quarter,
meaning the world’s largest economy is in recession.

 

The recession also threatens Europe because of Ukraine’s energy crisis and war, however
this concern eased somewhat after Russian gas began flowing back on Thursday through Nord Stream 1
the largest gas pipeline between Russia and Germany, after a 10-day break due to reform.

 

There was some concern that Russia could reduce or even halt gas supplies
which would certainly increase gas prices and drive Europe into recession.

 

Stock prices on European exchanges rose last week,

with London’s FTSE rising by 1.6 percent to 7276 points
while the Frankfurt DAX jumped by 3 percent to 13253, and Paris CAC rose by 2.95 percent to 6216 points.

 

However, markets are unwilling because the ECB raised key interest rates for the first time since 2011
more than expected by 0.50 percentage points.

 

The European Central Bank’s more aggressive movement shows central bank leaders are expected
to be concerned about the trend of inflation in the eurozone at record highs, above 8.5 percent.

 

However, inflation is not such a problem in Japan
In June, inflation in Japan stood at 2.2 percent
meaning the central bank could still pursue a very supportive monetary policy.

 

The Nikkei index rose for seven consecutive days on the Tokyo Stock Exchange
by4.2 percent last week to 27914 points.

 

 

 

US crude is less than $95

 

US crude prices settled below $95 a barrel for the first time since April in volatile trading on Friday
after the European Union said it would allow Russian state-owned companies to ship oil to third countries
under a sanctions amendment agreed by member states this week.

 

and US West Texas Intermediate (WTI) crude fell by $1.65, or 1.7 percent, at $94.70 per barrel
while Brent crude futures fell by 66 cents, or 0.6 percent, to $103.20.

 

WTI closed lower for the third straight week
falling over the past two sessions after data showed that gasoline demand
in the United States had fallen about 8 percent from a year earlier,
in the midst of the peak summer driving season, weighed down by record pump prices.

artıcal name World stocks have rebounded over the past week

 

 

 

 

 

Libya plans to increase oil production to 1.2 million barrels per day

 

The National Oil Corporation said in a statement early on Saturday that the National Oil Corporation in Libya
aims to restore production to 1.2 million barrels per day within two weeks.

 

The company added that current oil production is 860 thousand barrels per day compared
with 560 thousand barrels per day before resuming production.

 

Libya’s crude oil production resumed in several oil fields
following the lifting of force majeure on oil exports last week.

 

The blockade of oil production by groups allied with eastern commander Khalifa Haftar cut off funding
for the Tripoli-based Government of National Unity led by Prime Minister Abdul Hamid al-Dubibah.

 

The National Oil Corporation is striving to increase production and return it to normal rates
of 1.2 million barrels per day within two weeks, the statement said.

 

The Libyan Ministry of Oil said earlier that production exceeded 800 thousand barrels
per day and would reach 1.2 million barrels per day (BPD) next month
and the country’s oil exports at times last year amounted to 1.2 million BPD.

 

The number of oil and natural gas platforms in the United States rose this week for the third straight week
as high prices encourage increased well plate spending, boosting demand for some oil field service companies.

 

US oil platforms settled at 599 this week, gas rigs rose by 2 to 155
and the European Union looks to replace Russian gas with Nigerian supplies.

artıcal name World stocks have rebounded over the past week

The European Central is close to raising interest rates

 

The European Central is close to raising interest rates for the first time in 11 years.

The European Central Bank may decide to increase the rate hike in today’s
meeting from a quarter point to a half percent due to the ongoing price increase,
which is causing families, businesses,
and governments in all 19 euro-area countries to express increasing anxiety.

While the rate hike by the European Central Bank is long overdue,
it brings it closer to more than 80 central banks that resorted to this step,
but it also tracks the likes of the Federal Reserve,
and with the start of work the reasons to be wary increase as the immediate threat of economic chaos has been postponed.

 

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Russia’s gas

Russia restores gas flow through Nord Stream 1

Japan faces high inflation by keeping rates below.

 

 

 

Russia’s gas

cuts on Thursday resumed flows through the Nord Stream 1 pipeline,
and recession risks in Europe remain
and will increase if Russia carries out its threat to halt winter energy supplies.

At the level of Italy and the political crisis in which Mario Draghi resigned as prime minister this morning,
this demonstrated how quickly we can see the severity of the tension in the government
bond markets at a time when the euro fell to parity with the dollar. Ultimately,
this resulted in record inflation reaching quadruple the 2 percent target.

The last meeting of the European Central Bank in June made an extraordinary commitment to raise interest rates
by a quarter point this month to –0.25 percent to increase at the September meeting
if inflation expectations do not improve.
The markets are anticipating the decision made at today’s meeting.

 

artical name The European Central is close to raising interest rates

 

 

 

 

Russia restores gas flow through Nord Stream 1

reducing tension in Europe

Following a brief suspension of maintenance work
Russia started supplying natural gas to Europe via the Nord Stream 1 pipeline.
This action helped the continent of Europe feel some relief following
the worsening of its winter energy crisis at a time when the euro countries’ economies are subject to fluctuations
because of the pressure of a lack of supplies.

And the data issued by the gas line operator that shipments returned to work at 40% of their capacity,
and natural gas prices fell by 6.5% before these losses were reduced.
Russia has been limiting gas shipments to Europe for months at a time
when European countries depend on what little it gets to fill underground water tanks
and fuel depots in order to weather the winter.
Russian President Vladimir Putin has indicated that flows will drop to 20% as soon as next week,
due to a malfunction in two turbines, one of which needs maintenance this month,
and flows will decrease in the event that the alternative
from Canada does not reach Russia soon due to the delay related to sanctions.

After Russia’s invasion of Ukraine, European gas prices increased in 2021 to record levels,
driving up consumer costs. Additionally, as a result of the complete and potential closure of the Russian side,
which the IMF warned would expose Germany to the risk of losing 5% of its economic output,
there were also growing concerns about a global gas shortage.

 

artical name The European Central is close to raising interest rates

 

 

Japan faces high inflation by keeping rates below.

Bank of Japan Governor Haruhiko Kuroda is determined to stick to ultra-low
interest rates even if it costs him further weakness in the Japanese yen.
At a time when the European Central is seeking to increase interest rates,
and the fear of a sharp decline in the global economy contributed to
the rush of central banks to confront and treat inflation in alleviating
market pressure on the Bank of Japan, and this gave the opportunity for
the Governor of the Japanese Central Bank to continue with a short-term interest rate of -0.1%
and a ceiling 0.25% on a 10-year return despite its negative impact on the yen and weakening it.

The average inflation is expected to reach 2.3% for the year ending March,
which is very far from the explosive growth in prices abroad,
but at the same time the Central Bank expects to achieve price gains for the first time at the target levels of 2% this year,
excluding the impact of increasing the sales tax.

Observers believe that the combination of high price expectations
and non-high growth appears to be a typical hedge for the central bank in order to keep its options open,
and if the global economy avoids a major slowdown,
prices may continue to grow at a strong pace,
and it must learn the experience of the Reserve of Australia at a time
when it waits too long to reach the inflation target
and risk remaining pessimistic just to reach sustainablely high inflation.

 

Deutsche Bank: A recession is possible

Deutsche Bank: A recession is possible for the German economy.

The largest economy in Europe, Germany, has been warned about a potential economic recession by economists at Deutsche Bank.
They predict that Germany’s economy could contract by 1% over the course of the next year,
with sanctions also reducing the amount of Russian natural gas available to the country.
There are several reasons why Germany could experience an economic downturn in the second part of this year in America.

According to experts at the German Bank, Germany’s record inflation rate has not yet peaked,
and the ongoing Russian energy crisis has increased extreme caution across Europe,
especially in Germany because it is more dependent on Russian gas.

 

topıc

The energy crisis in Germany

Political impasse in the European Central as a result of the looming recession.

After Musk withdrew from the “Twitter” purchase deal, he faces an uncertain future.

EU: Price shock to last longer with less growth expected

 

 

 

The energy crisis in Germany

Officials in Germany are concerned about the high costs of energy used in homes,
which may triple, after Russia blocked the Nord Stream 1 gas pipeline to Germany
and announced that it is currently performing maintenance on the line that stretches to July 21.
Germany is looking for a solution. Due to worries about potential decreases in Russian natural gas supply,
the energy crisis is being solved by activating 16 idle fossil fuel power plants and extending operational licenses to 11 additional plants.

Germany’s industrial production crisis

Due to the issue with supply chains and business closures caused by the Covid-19 pandemic in China,
German industrial production increased less than anticipated in May. Russian Ukrainian

 

 

 

 

Political impasse in the European Central as a result of the looming recession

In light of the decline in the energy crisis and the lack of a radical and immediate solution thus far
Europe is preparing for a state of recession with increasing expectations of an impending decline at a time
when the continent is fading from the state of recovery that it was in after the epidemic.

The European Central Bank is seeking to raise interest rates next Thursday,
which finds itself in an awkward position, unlike what is happening in the United States
, where government stimulus has fueled a demand-driven rise in consumer prices,
and the main reason for inflation is the rise in natural gas costs due to the Russian war on Ukraine.

Potential for recession

It is likely that US price pressures will be monitored for Europe due to the US Federal Reserve’s increase in interest rates
which could result in a state of economic deflation, but there is no assurance of this because the energy crisis is currently the most significant.
All of this places the European Central Bank in front of a number of challenges.
After the charges he was subjected to for failing to act swiftly to handle the crisis,
a strict option is to suspend or limit the rate rises.

Even if a mild recession occurs later this year, inflation pressure is expected to extend well into 2023,
said Ayla Mir, chief eurozone economist at Danske Bank.
There is a 45% chance of a recession next year,
according to a Bloomberg poll of analysts, up from 30% just last month.

 

 

 

After Musk withdrew from the “Twitter” purchase deal, he faces an uncertain future.

The “Twitter” platform has filed a lawsuit against billionaire Elon Musk for upholding the terms of the contract they signed to buy Twitter for $44 billion.
The Twitter platform is awaiting a ruling on the filed lawsuit as it waits for the first court sessions in the coming days.
The first session will take place on Tuesday in the eastern state of Delaware, United States.

An engineer working for “Twitter” told AFP that the best result for me would be if we were left alone to go our own way
as there is a tense atmosphere within Twitter among the employees who are also leaving
and added that they are trying to do their work normally because the reasons for working for Twitter are still there.

In statements by the Twitter platform’s lawyers, they stated in the invitation,
“Mask’s repeated disdain for Twitter and its employees creates a state of anxiety
harms Twitter and its shareholders.” He added that Musk’s comments also expose Twitter to negative repercussions on its business operations,
employees, and share prices.

Given the challenging circumstances that Twitter is going through, it is anticipated that the conflict will continue over the ensuing weeks and months.
This will eventually have a detrimental impact on Twitter and its investors. year 2028.

artıcal name Deutsche Bank: A recession is possible

 

 

EU: Price shock to last longer with less growth expected

The European Commission said that the European economy is facing a much slower outlook in addition to the high cost of living
and this situation came due to the repercussions of the Russo-Ukrainian war
with the European Union reducing its forecast by a full percentage point from its forecast for 2023 in the new forecast published on Thursday
where economic growth in the euro area is expected to be reduced.

The EU Economic Commissioner also added that Moscow’s disruption of energy and grain supplies has caused prices to rise and weaken confidence
as the European Central Bank prepares for its first rate hike in more than a decade next week.

She also mentioned that the rise in energy and food prices increases global inflationary pressures and leads to a faster monetary policy response
In light of the decline in the euro exchange rate and with expectations of reaching $1.06 in 2022 and $1.05 in 2023
which is much higher than the current level of the euro, which is close to parity with the dollar
If this low level continues, this may lead to higher import costs with a similar impact on inflation.

artıcal name Deutsche Bank: A recession is possible

US and European indices rise

US and European indices rise and oil rebounds after yesterday’s decline

Western European stock markets ended their trading on Tuesday positively

Evest follows market developments in the following report

 

topic

A collective rise in European indices

Oil rises after yesterday’s decline

US indices are trading in the positive Zone

 

 

A collective rise in European indices

The composite index of the largest companies in the Stoxx Europe 600 region rose by 1.22%
at the end of the session and stood at 438.97 points

The German DAX and French CAC 40 indies rose by 1.6% and 1.3% respectively
Britain’s FTSE 100 rose by 0.7%, Italy’s FTSE MIB rose by 1.1%, and Spain’s IBEX 35 rose by 1.5%

The economies of the eurozone’s 19 countries expanded by 0.3% in the first quarter compared with the previous quarter
according to revised data from the EU Statistics Office

Analysts expected the revision to fall by an average of 0.2%, according to Trading Economics

Annually, the eurozone’s gross domestic product from January to March rose by 5.1%, not by 5%
as previously reported
Experts did not expect this index to be reviewed

The previous day

the European Commission lowered its forecast for GDP growth in the eurozone
for 2022 to 2.7% from 4% in February
The GDP growth forecast for 2023 was lowered to 2.3% from 2.7%

In the meantime, the UK’s unemployment rate, calculated according to the ILO methodology
fell to 3.7% from January to March, the lowest level since December 1974
according to data from the Office for National Statistics (ONS)

Unemployment was 3.8% between December 2021 and February 2022
Economists surveyed by WSJ did not expect the index to change

Italy’s trade deficit in March was € 2022 84 million, compared with a surplus of € 5.19 billion in March
last year as imported energy prices increased sharply

On Tuesday

the National Institute of Statistics (Istat) said Italy’s imports of goods
and services jumped 38.8% to a record 56.4 billion euros
Exports increased by 22.9% to 56.3 billion euros, also the highest in history

Ecommerce platform InPost S.A. topped the increase in components of the Stoxx Europe 600 index, by 8.2%

Sinch AB cloud technology provider securities were at the forefront of the fall in the pan-European index, which lost 3.7% in price

 

 

 

 

Oil rises after yesterday’s decline

Oil prices show a moderate rise on Wednesday morning after falling the previous day
as a result of the prospect of increased fuel supplies from Venezuela

The price of July Brent oil futures on the London Stock Exchange Futures was $112.37 per barrel on Wednesday
$0.44 (0.39%) higher than the closing price of the previous session
As a result of Tuesday’s trading, these futures fell by $2.31 (2%) to $111.93 per barrel

The price of oil futures for June in electronic trading on the New York Mercantile Exchange (NYMEX)
was $113.29 per barrel by this time, $0.89 (0.79%) more than the final value of the previous cycle


The day before

and the price of the futures fell by $1.8 (1.6%) to $112.40 per barrel

The media reported that the US authorities had eased some sanctions imposed on Venezuela
hoping to resume negotiations between the opposition and Nicolás Maduro’s government

In particular, The Associated Press, citing sources in Washington, wrote that oil and gas giant Chevron Corp
had a chance to start negotiations with Venezuela’s PDVSA to renew the license
although it still does not have the capacity to produce or export oil from the country

Venezuelan Vice President Delcy Rodriguez said that the United States has abandoned
restrictive actions that prevented American and European oil companies from operating on Venezuelan soil
She expects that, following this decision
Washington will begin to move “towards the complete abolition of illegal sanctions against all our people

In the meantime, the American Petroleum Institute (API) reported on Tuesday night to Wednesday
that US oil inventories fell by 2.45 million barrels last week instead of an increase of 1.53 million barrels expected by analysts

The Energy Information Administration (EIA) will release official inventory data today, Wednesday
Analysts surveyed by Trading Economics expect the report to indicate
that oil inventories for the week ending May 13 increased by 1.38 million barrels
as well as gasoline inventories fell by 1.33 million barrels

 

 

 

 

US indices are trading in the positive Zone

US stock indices rose on Tuesday on positive statistics showing that the US economy remains
resilient despite the significant tightening of monetary policy by the Fed

The Dow Jones Industrial Index rose by 431.17 points (1.34%) as the market closed Tuesday, to 32654.59
Standard & Poor’s 500 rose by 80.84 points (2.02%) to 4088.85 points
The Nasdaq Composite Index rose by 321.73 points (2.76%) to 11984.52

Federal Reserve Chairman Jerome Powell said during the Wall Street Journal’s Future
Everything Festival event that the US central bank has the tools and design to ease inflation in the United States
which has reached 40-year highs

“We need to see inflation decline in a convincing way
Until we see that, we’ll keep moving forward,” Powell said

In the meantime

the Fed chairman hoped the central bank would be able to raise the rate
and deal with inflation without triggering a recession in the US economy

Statistics released on Tuesday showed a slightly lower-than-expected increase in US retail sales in April
The country’s Ministry of Commerce said the index rose 0.9% compared to the previous month
Analysts surveyed by Bloomberg had predicted an average growth of 1%. In the meantime
March data has been amended by a significant increase

Retail sales jumped 1.4%, not 0.5%, as previously announced

The US industrial output growth rate in April more than doubled market expectations
The Federal Reserve said it rose by 1.1% from the previous month
Experts predicted an increase of an average of 0.5%

Oil continues to gain and Tesla stock continues to decline sharply US European and Asian stocks are mixed

Oil continues to gain and Tesla stock continues to decline sharply US European and Asian stocks are mixed

Oil continues to gain and Tesla stock continues to decline sharply US European and Asian stocks are mixed: Many exchanges resumed operation after the long Christmas holidays,
making trading slightly larger in size than in previous days. 

 

Evest follows market developments in the following report.

Topics:

Oil continues to gain in anticipation of the next OPEC meeting

A decline in Japan and South Korea and a rally in China 

Dow Jones and Standard & Poor’s set new records and a sharp decline in Nasdaq

The US foreign trade deficit in goods increased to a record level

Tesla continues to decline

A collective decline in European stocks and the United Kingdom is rising alone

 

Oil continues to gain in anticipation of the next OPEC meeting

Oil prices extended their moderate gains on Thursday morning,
thanks to data on a larger-than-expected reduction in United States oil stocks last week.

The cost of Brent crude futures for February on the London Stock Exchange ICE Futures is $79.39 per barrel,
$0.16 (0.2%) higher than the closing price of the previous session.

As a result of Wednesday’s trading, these futures rose by $0.29 (0.4%) to $79.23 per barrel.

The price of West Texas Intermediate crude futures for February in electronic trading ,
on the New York Mercantile Exchange (NYMEX) is $76.74 per barrel by this time,
after rising by $0.18 (0.24%) from the final value of the previous session.

By the closing of the previous day’s trading, the value of these futures rose by $0.58 (0.8%) to $76.56 per barrel.

The price of oil has reached its maximum value since the end of November during the trading session the previous day.

Since the beginning of the year, the prices of both brands have risen by more than 50%,
which has not been the case for more than a decade, according to Trading Economics.

The United States commercial oil reserve fell by 3.58 million barrels last week,
while the experts interviewed by Bloomberg predicted a decline of 2.7 million barrels.

Gasoline inventories fell by 1.46 million barrels and distillates by 1.73 million barrels.

In addition, investors are increasingly likely to exclude new travel restrictions from governments amid new evidence ,
that the Omicron virus strain is less dangerous than previous options.

Market interest now goes to the OPEC + meeting on January 4. At this meeting,
representatives of oil-producing countries will discuss plans to increase production by 400 thousand barrels per day planned for February.

 

 

A decline in Japan and South Korea and a rally in China 

Stock indices in Asia and the Pacific show mixed dynamics on Thursday morning. 

The Japanese Nikkei 225 index fell by nearly 0.4%, the Australian S & P/ASX 200 index fell by 0.1%, the South Korean Kospi index fell by 0.448%,
and the Chinese CSI 300 index rose by 1.03% and Hong Kong’s Hang Seng index rose by 0.18%. 

US Standard & Poor’s futures lost 0.07% from the previous day’s closing, indicating a potentially negative correction in the US stock market on Thursday.

Dow Jones and Standard & Poor’s set new records and a sharp decline in Nasdaq

US stock indexes Dow Jones and Standard & Poor’s rose slightly on Wednesday’s trading basis, and that was enough for them to reach new records.

The Nasdaq composite index ended the session in the red zone as trading activity declined during the holiday period.

By the close of the market on Wednesday, the Dow Jones Industrial Index had risen by 90.42 points (0.25%) and reached 36488.63 points.

Standard & Poor’s 500 rose by 6.71 points (0.14%) to 4793.06 points.

The Nasdaq Composite Index lost 15.51 points (0.1%) to 15766.22.

The attention of traders remains on the news about the new Omicron strain,
and it is currently believed that the spread of this strain will not require the introduction of strict quarantine procedures that can restrict both human movement and commercial activity.

According to experts: “The market depends on the fact that Omicron is a milder strain of the coronavirus, although it spreads more easily.”

The US foreign trade deficit in goods increased to a record level

Statistics released on Wednesday showed that the US foreign trade deficit in goods increased by 17.5% in November,
to a record high of $97.8 billion, and the deficit in October was $83.2 billion.

US merchandise exports fell by 2.1% to $154.7 billion last month, and imports rose 4.7% to $252.4 billion.

In the meantime, the index of pending home sales fell by 2.2% in November from the previous month after jumping 7.5% in October,
the National Association of Realtors (NAR) reported.

Experts predicted an average rise of 0.5%.

The index fell 2.7% from November last year. Thus, the decline accelerated compared to October 1.4%.

 

Tesla continues to decline

Tesla’s stock price fell by 0.2%. The company’s president, Elon Musk, sold another portion of Tesla’s stock on Tuesday – for $1 billion.

Taking into account previous sales, Musk sold 10% of his Tesla market share, he promised respondents to his Twitter poll.

A collective decline in European stocks and the United Kingdom is rising alone

European shares fell on Wednesday, except for the UK, which resumed operations after a long holiday.

The composite index of the largest companies in the Stoxx Europe 600 region fell by 0.11% to 487.98 points.

The British FTSE 100 index ended trading at 0.7% higher, hitting a 22-month high.

The French CAC 40 index fell by 0.3%, the German DAX – 0.7%, the Italian FTSE MIB – 0.4%, and the Spanish IBEX 35 – 0.2%.

The focus of the traders remains on the news about the new Covid-19 strain, Omicron.

The increase in infections in many European countries negatively affects the mood of traders.