Oil prices rise on drop in US crude inventories

A truck used to carry sand for fracking is washed in a truck stop in Odessa, Texas. Oil prices rose on Wednesday after industry data showing a fall in stockpiles of U.S. crude somewhat eased worries about subdued demand due to the China-U.S. trade war. U.S. crude stockpiles plummeted by 11.1 million barrels last week as imports dropped, compared with expectations for a 2-million-barrel draw, data from the American Petroleum Institute (API), an industry group, showed. If the official numbers conf


A truck used to carry sand for fracking is washed in a truck stop in Odessa, Texas. Oil prices rose on Wednesday after industry data showing a fall in stockpiles of U.S. crude somewhat eased worries about subdued demand due to the China-U.S. trade war. U.S. crude stockpiles plummeted by 11.1 million barrels last week as imports dropped, compared with expectations for a 2-million-barrel draw, data from the American Petroleum Institute (API), an industry group, showed. If the official numbers conf
Oil prices rise on drop in US crude inventories Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-28
Keywords: news, cnbc, companies, prices, rise, api, barrel, drop, china, inventories, stockpiles, crude, oil, trade, truck, weekly, data, worries


Oil prices rise on drop in US crude inventories

A truck used to carry sand for fracking is washed in a truck stop in Odessa, Texas.

Oil prices rose on Wednesday after industry data showing a fall in stockpiles of U.S. crude somewhat eased worries about subdued demand due to the China-U.S. trade war.

Brent crude futures climbed 70 cents to $60.21 a barrel. West Texas Intermediate (WTI) crude futures gained 83 cents to $55.76 a barrel.

The two benchmarks are headed for monthly losses of around 8% and 5%, respectively, weighed down by trade barriers between the world’s two biggest oil consumers.

U.S. crude stockpiles plummeted by 11.1 million barrels last week as imports dropped, compared with expectations for a 2-million-barrel draw, data from the American Petroleum Institute (API), an industry group, showed.

“Overnight, the energy complex was given a shot of bullish adrenaline by a supportive API report,” PVM analysts said in a note.

The U.S. government’s weekly inventory report is due at 1430 GMT. If the official numbers confirm the API data, it would be the biggest weekly decline in nine weeks.

U.S. President Donald Trump said on Monday that he believed China was sincere about wanting to reach a trade deal, while Chinese Vice Premier Liu He said China was willing to resolve the dispute through “calm” negotiations.

On Tuesday, however, concerns resurfaced after China’s foreign ministry said it had not heard of any recent telephone call between the United States and China on trade, and that it hoped Washington could create conditions for talks.

Crude prices have fallen about a fifth from 2019 highs hit in April, partly because of worries that the trade war is hurting the global economy and could dent oil demand.

Morgan Stanley on Wednesday lowered its price outlook for the rest of the year for Brent to around $60 per barrel from $65 and for U.S. crude to $55 per barrel from $58 as it downgraded its demand growth forecast for this year and next.


Company: cnbc, Activity: cnbc, Date: 2019-08-28
Keywords: news, cnbc, companies, prices, rise, api, barrel, drop, china, inventories, stockpiles, crude, oil, trade, truck, weekly, data, worries


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Dow drops more than 100 points as bond-market recession indicator, trade worries worsen

The Dow Jones Industrial Average more than erased a 155-point rally on Tuesday as a recession indicator from the bond market worsened and fears around the U.S.-China trade war weighed on equity trading. The Dow fell 120.93 points during the session to finish at 25,777.90, reversing a morning rally that sent the 30-stock index up more than 150 points. The spread between the 10-year Treasury yield and the 2-year rate fell to negative 5 basis points, its lowest level since 2007. “The whole U.S.-Chi


The Dow Jones Industrial Average more than erased a 155-point rally on Tuesday as a recession indicator from the bond market worsened and fears around the U.S.-China trade war weighed on equity trading. The Dow fell 120.93 points during the session to finish at 25,777.90, reversing a morning rally that sent the 30-stock index up more than 150 points. The spread between the 10-year Treasury yield and the 2-year rate fell to negative 5 basis points, its lowest level since 2007. “The whole U.S.-Chi
Dow drops more than 100 points as bond-market recession indicator, trade worries worsen Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: fred imbert thomas franck, fred imbert, thomas franck
Keywords: news, cnbc, companies, bondmarket, recession, indicator, points, china, uschina, sp, drops, treasury, trade, war, worsen, rally, dow, fell, worries, 100


Dow drops more than 100 points as bond-market recession indicator, trade worries worsen

The Dow Jones Industrial Average more than erased a 155-point rally on Tuesday as a recession indicator from the bond market worsened and fears around the U.S.-China trade war weighed on equity trading.

The Dow fell 120.93 points during the session to finish at 25,777.90, reversing a morning rally that sent the 30-stock index up more than 150 points. The S&P 500 fell 0.32% to 2,869.16 while the Nasdaq Composite dropped 0.34% to finish at 7,826.95 amid losses in Netflix, Nvidia and T-Mobile.

The spread between the 10-year Treasury yield and the 2-year rate fell to negative 5 basis points, its lowest level since 2007. This is called a yield-curve inversion. Experts fear it because in the past it has preceded recessionary periods. The 3-month Treasury bill rate also traded higher than the 30-year bond yield.

“The primary thing is yields are going down and going down with some acceleration,” said Art Cashin, director of floor operations at UBS.

Bank shares fell broadly. Bank of America fell 1.1% lower while Citigroup dropped 1.6%. J.P. Morgan Chase slid 1%.

Sentiment was also dampened after Hu Xijin, editor-in-chief of the Global Times in China, tweeted that China is “putting so much emphasis on trade talks,” adding that “it’s more and more difficult for the US to press China to make concessions” as China’s economy becomes increasingly driven by its domestic growth. China announced measures aimed at boosting consumption, including potentially removing car-buying restrictions.

“Markets have been headline-driven, to say the least” said Erik Bregar, head of FX strategy at the Exchange Bank of Canada. “The whole U.S.-China trade war is very hard to trade around right now.” He added traders should pay close attention to technical levels when navigating this market as they can cut through “noisy” headlines.

Tuesday’s moves follow a rally in the previous session. The Dow, S&P 500 and Nasdaq Composite all rose more than 1% on Monday as semiconductor stocks and Apple climbed. The major indexes are all down at least 3.7% for the month of August.

The major indexes rose after President Donald Trump said he expected the U.S. to strike a trade deal with China, citing economic pressure on Beijing. China also called for a resolution to the ongoing dispute.


Company: cnbc, Activity: cnbc, Date: 2019-08-27  Authors: fred imbert thomas franck, fred imbert, thomas franck
Keywords: news, cnbc, companies, bondmarket, recession, indicator, points, china, uschina, sp, drops, treasury, trade, war, worsen, rally, dow, fell, worries, 100


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Here are the biggest analyst calls of the day: Hewlett Packard, Nike, L Brands & more

Raymond James said in its upgrade that the company has a “strong” balance sheet and a dividend that continues to increase. “Recognizing that we do not live in a vacuum, we acknowledge that China tariffs and potential recession worries combine to frighten some to the sidelines. Accordingly, we are using our less-than- strongest rating, not for lack of conviction, but on the supposition that investors may need to be patient while the market comes to recognize LZB’s value. That said, La-Z-Boy’s bal


Raymond James said in its upgrade that the company has a “strong” balance sheet and a dividend that continues to increase. “Recognizing that we do not live in a vacuum, we acknowledge that China tariffs and potential recession worries combine to frighten some to the sidelines. Accordingly, we are using our less-than- strongest rating, not for lack of conviction, but on the supposition that investors may need to be patient while the market comes to recognize LZB’s value. That said, La-Z-Boy’s bal
Here are the biggest analyst calls of the day: Hewlett Packard, Nike, L Brands & more Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-23  Authors: michael bloom
Keywords: news, cnbc, companies, balance, vacuum, packard, analyst, value, upgrade, nike, day, dividend, worries, brands, sheet, calls, weeks, hewlett, biggest, strong, using


Here are the biggest analyst calls of the day: Hewlett Packard, Nike, L Brands & more

Raymond James said in its upgrade that the company has a “strong” balance sheet and a dividend that continues to increase.

“Recognizing that we do not live in a vacuum, we acknowledge that China tariffs and potential recession worries combine to frighten some to the sidelines. Accordingly, we are using our less-than- strongest rating, not for lack of conviction, but on the supposition that investors may need to be patient while the market comes to recognize LZB’s value. That said, La-Z-Boy’s balance sheet is strong with no funded debt and the dividend has increased each year since 2013. In addition, the host of retail earnings over the last two weeks seem to point to a healthy U.S. consumer. “


Company: cnbc, Activity: cnbc, Date: 2019-08-23  Authors: michael bloom
Keywords: news, cnbc, companies, balance, vacuum, packard, analyst, value, upgrade, nike, day, dividend, worries, brands, sheet, calls, weeks, hewlett, biggest, strong, using


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Recession worries and other news affecting your money this week

The U.S. stock market fell for a third straight week last week, as the S&P 500 has slumped more than 4% since reaching an all-time high in late July. There were already signs the economy was slowing; that was why the Federal Reserve cut interest rates at its July meeting. This week, traders will get some additional context about that decision when the minutes from the Fed’s July meeting are released on Wednesday. What it means for you: The Fed’s goal in lowering interest rates is to encourage bu


The U.S. stock market fell for a third straight week last week, as the S&P 500 has slumped more than 4% since reaching an all-time high in late July. There were already signs the economy was slowing; that was why the Federal Reserve cut interest rates at its July meeting. This week, traders will get some additional context about that decision when the minutes from the Fed’s July meeting are released on Wednesday. What it means for you: The Fed’s goal in lowering interest rates is to encourage bu
Recession worries and other news affecting your money this week Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-19  Authors: anna-louise jackson
Keywords: news, cnbc, companies, cut, market, housing, worries, rates, affecting, recession, fed, fell, interest, traders, week, money


Recession worries and other news affecting your money this week

The U.S. stock market fell for a third straight week last week, as the S&P 500 has slumped more than 4% since reaching an all-time high in late July. At the heart of the recent market sell-off is concern among those on Wall Street about a possible U.S. economic recession. For the first time since December 2005, the yield on the 10-year Treasury note on Wednesday fell below the two-year rate, a phenomenon that’s been a reliable indicator for recessions in the past. There were already signs the economy was slowing; that was why the Federal Reserve cut interest rates at its July meeting. Fresh threats in the U.S.-China trade war have also added to concerns. This week, Wall Street will focus again on the Fed, along with a slew of reports on the housing market. Here’s how the news could affect you.

Clues about whether the Fed will cut rates again

What’s happening: Federal Reserve policymakers cut interest rates in July in an effort to stimulate economic growth amid signs of a slowdown. This week, traders will get some additional context about that decision when the minutes from the Fed’s July meeting are released on Wednesday. In addition, policymakers will convene Thursday through Saturday in Jackson Hole, Wyoming, for a symposium on the topic of monetary policy. Traders will monitor the discussions from this event for clues about the central bank’s next steps. Why it matters: When the yield on the 10-year Treasury note fell below that of the two-year security last week — what’s known as an inverted yield curve — that rattled market participants, because this phenomenon has preceded every recession since 1978. These recession fears also raise questions about how the Fed will respond. A majority of traders are betting that the central bank could cut interest rates at least three more times by year end. Central bankers convene for their next policy meeting in mid-September. What it means for you: The Fed’s goal in lowering interest rates is to encourage businesses and consumers to borrow more money. As traders try to predict what the Fed will do to support the record-setting current economic expansion, there’s likely to be more choppiness ahead in the stock market.

Economists expect mixed results on home sales in July

What’s happening: This week is a busy one for economic reports related to housing activity in July. Economists currently project that the pace of existing home sales picked up last month as compared with June, whereas new home sales slowed. Why it matters: Buying a home is the most expensive purchase most Americans will ever make. The Fed lowered interest rates to make it more attractive for consumers to borrow money, like taking out a mortgage. That said, it will take a few months to see if that rate cut — which happened at the end of July — has a meaningful impact on the housing market. Already, some homeowners have taken advantage of lower interest rates by refinancing their mortgages — there was a 37% spike in refinance activity one week earlier this month. But home-building activity fell for the third straight month. What it means for you: The housing market is a key component of gross domestic product, so traders will want to see if the Fed’s rate cut will help stimulate buying activity — or whether potential buyers could be spooked by the recession talk. If you’re a homeowner, you may want to check if it makes sense to refinance your loans. Shopping for a home? Mortgage rates have fallen to multiyear lows recently, though you still need to consider how much money you’ll need to put down to buy.

The bottom line


Company: cnbc, Activity: cnbc, Date: 2019-08-19  Authors: anna-louise jackson
Keywords: news, cnbc, companies, cut, market, housing, worries, rates, affecting, recession, fed, fell, interest, traders, week, money


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Investor: I’m ‘fairly concerned’ about Hong Kong’s unrest

Investor: I’m ‘fairly concerned’ about Hong Kong’s unrest23 Hours AgoSat Duhra of Janus Henderson Investors says Hong Kong’s protests are becoming a “stronger” concern, but the U.S.-China trade war, Brexit and Fed policy are still “way ahead” in terms of global issues he worries about.


Investor: I’m ‘fairly concerned’ about Hong Kong’s unrest23 Hours AgoSat Duhra of Janus Henderson Investors says Hong Kong’s protests are becoming a “stronger” concern, but the U.S.-China trade war, Brexit and Fed policy are still “way ahead” in terms of global issues he worries about.
Investor: I’m ‘fairly concerned’ about Hong Kong’s unrest Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-13
Keywords: news, cnbc, companies, investor, way, kongs, im, terms, stronger, uschina, fairly, concerned, worries, war, unrest23, trade, hong, unrest


Investor: I'm 'fairly concerned' about Hong Kong's unrest

Investor: I’m ‘fairly concerned’ about Hong Kong’s unrest

23 Hours Ago

Sat Duhra of Janus Henderson Investors says Hong Kong’s protests are becoming a “stronger” concern, but the U.S.-China trade war, Brexit and Fed policy are still “way ahead” in terms of global issues he worries about.


Company: cnbc, Activity: cnbc, Date: 2019-08-13
Keywords: news, cnbc, companies, investor, way, kongs, im, terms, stronger, uschina, fairly, concerned, worries, war, unrest23, trade, hong, unrest


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10-year Treasury yield dips back below 1.7% amid global growth worries

U.S. government debt yields were sharply lower on Monday, amid trade tensions between the world’s two largest economies and concerns of slowing global economic growth. The yield on the benchmark 10-year Treasury note, which moves inversely to price, was lower at around 1.63%, while the yield on the 30-year Treasury bond was also lower at around 2.127%. The spread between 2-year and 10-year Treasury yields narrowed to about only 5 basis points on Monday, near its lowest level since 2007. Market f


U.S. government debt yields were sharply lower on Monday, amid trade tensions between the world’s two largest economies and concerns of slowing global economic growth. The yield on the benchmark 10-year Treasury note, which moves inversely to price, was lower at around 1.63%, while the yield on the 30-year Treasury bond was also lower at around 2.127%. The spread between 2-year and 10-year Treasury yields narrowed to about only 5 basis points on Monday, near its lowest level since 2007. Market f
10-year Treasury yield dips back below 1.7% amid global growth worries Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-12  Authors: sam meredith
Keywords: news, cnbc, companies, billion, dips, 17, yuan, amid, yields, lower, treasury, set, worries, trade, china, 10year, global, growth, yield, tensions


10-year Treasury yield dips back below 1.7% amid global growth worries

U.S. government debt yields were sharply lower on Monday, amid trade tensions between the world’s two largest economies and concerns of slowing global economic growth.

The yield on the benchmark 10-year Treasury note, which moves inversely to price, was lower at around 1.63%, while the yield on the 30-year Treasury bond was also lower at around 2.127%.

The spread between 2-year and 10-year Treasury yields narrowed to about only 5 basis points on Monday, near its lowest level since 2007.

“Persistently low inflation in developed economies should constrain nominal yields, and tariffs are more likely to weigh on prices via demand destruction,” Michael Reynolds, investment strategy officer at Glenmede Trust Company. “Overall, these factors are holding back aggregate demand for both consumer spending and business investment, culminating in lower bond yields that reflect diminished growth expectations.”

Market focus is largely attuned to simmering trade tensions between Washington and Beijing.

On Friday, President Donald Trump said he was not ready to make a deal with China and called into question the next round of trade talks. It comes after the U.S. president said he would impose a 10% tariff on the remaining $300 billion worth of Chinese imports on September 1. China responded by halting its purchases of U.S. agricultural products.

Last week, the U.S. accused China of being a currency manipulator after Beijing allowed the yuan to dip below the 7-per-dollar level for the first time in more than a decade.

On Monday, the People’s Bank of China set its daily midpoint for yuan trading — which determines the limits for its onshore movement — at 7.0211 per dollar. That was weaker than Friday’s session, but stronger than market expectations.

Meanwhile, the U.S. Treasury is set to auction $42 billion in 13-week bills and $42 billion in 26-week bills.


Company: cnbc, Activity: cnbc, Date: 2019-08-12  Authors: sam meredith
Keywords: news, cnbc, companies, billion, dips, 17, yuan, amid, yields, lower, treasury, set, worries, trade, china, 10year, global, growth, yield, tensions


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European stocks close lower amid trade war worries; Tullow Oil up 20%

Banks were the biggest fallers, led by a 5% slide for CYBG, while chemicals stocks were the best performers. Trade talks are set to resume in Washington in early September after a new 10% tariff on an additional $300 billion worth of Chinese goods comes into effect on September 1. President Donald Trump told reporters on Friday that the U.S. is not ready to strike a trade deal with China just yet. AMS stock plunged almost 12% while Osram shares leaped over 10% on the news. Meanwhile, Tullow Oil


Banks were the biggest fallers, led by a 5% slide for CYBG, while chemicals stocks were the best performers. Trade talks are set to resume in Washington in early September after a new 10% tariff on an additional $300 billion worth of Chinese goods comes into effect on September 1. President Donald Trump told reporters on Friday that the U.S. is not ready to strike a trade deal with China just yet. AMS stock plunged almost 12% while Osram shares leaped over 10% on the news. Meanwhile, Tullow Oil
European stocks close lower amid trade war worries; Tullow Oil up 20% Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-12  Authors: elliot smith
Keywords: news, cnbc, companies, tullow, peso, close, amid, lower, set, european, osram, shares, worries, chinese, war, stoxx, president, trade, oil, stocks, talks


European stocks close lower amid trade war worries; Tullow Oil up 20%

The pan-European Stoxx 600 closed provisionally down nearly 0.3%. The index had posted an almost 1% gain earlier in the session. Banks were the biggest fallers, led by a 5% slide for CYBG, while chemicals stocks were the best performers.

The People’s Bank of China set the official midpoint reference for its yuan currency at 7.0211 per dollar on Monday, exceeding the psychological barrier of 7 per dollar for the third consecutive session.

Trade talks are set to resume in Washington in early September after a new 10% tariff on an additional $300 billion worth of Chinese goods comes into effect on September 1. President Donald Trump told reporters on Friday that the U.S. is not ready to strike a trade deal with China just yet.

On Wall Street, stocks fell as investor sentiment was knocked by concerns around slowing global economic growth. Goldman Sachs said on Sunday that fears of a recession as a result of the trade war are increasing, and the investment bank no longer expects a trade deal before the 2020 U.S. presidential election.

Elsewhere, the Argentinian peso sold off steeply Monday after the country’s center-right President Mauricio Macri performed poorly in primary elections.

Macri lost by a far greater margin than expected on Sunday, early official results showed, casting serious doubt over the incumbent’s re-election chances in October. The peso slipped more than 30% at one stage to a record low as traders demanded 65 to the U.S. dollar.

Hong Kong was also in focus as tensions between Chinese authorities and protesters escalated. Hong Kong International Airport, one of the world’s busiest terminals, was forced to cancel all departures on Monday amid mass disruption due to anti-government protests.

Back in Europe, Trump’s national security advisor John Bolton arrived in London Sunday for talks where he is expected to urge Britain to take a tougher stance on Iran and Chinese telecommunications firm Huawei.

Investors will also have an eye on political developments in Italy after Deputy Prime Minister Matteo Salvini’s Lega party filed a no-confidence motion to bring down the government on Friday.

In corporate news, Apple supplier AMS said Sunday that it has made an all-cash takeover offer of 38.5 euros ($43.15) per share for German lighting group Osram Licht. AMS stock plunged almost 12% while Osram shares leaped over 10% on the news.

Meanwhile, Tullow Oil shares surged 20% to lead the Stoxx 600 after it announced a major oil discovery in Guyana.


Company: cnbc, Activity: cnbc, Date: 2019-08-12  Authors: elliot smith
Keywords: news, cnbc, companies, tullow, peso, close, amid, lower, set, european, osram, shares, worries, chinese, war, stoxx, president, trade, oil, stocks, talks


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Week ahead could bring more volatility as worries over trade and the economy linger

Investors will also be watching to see what signal the stock market sends after outsized moves in both directions this week. There are just a few earnings in the week ahead with Walmart , Cisco Systems, Nvidia and Deere reporting as the second-quarter earnings season winds down. After a whipsawing week, stocks could face more volatile swings as investors assess new information on trade and the strength of the economy. But in the bond market, investors may continue to see the lowest yields in yea


Investors will also be watching to see what signal the stock market sends after outsized moves in both directions this week. There are just a few earnings in the week ahead with Walmart , Cisco Systems, Nvidia and Deere reporting as the second-quarter earnings season winds down. After a whipsawing week, stocks could face more volatile swings as investors assess new information on trade and the strength of the economy. But in the bond market, investors may continue to see the lowest yields in yea
Week ahead could bring more volatility as worries over trade and the economy linger Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-09  Authors: patti domm
Keywords: news, cnbc, companies, chinese, stocks, mccarthy, trade, week, economy, market, investors, yields, bring, worries, volatility, thats, data, probably, ahead, linger


Week ahead could bring more volatility as worries over trade and the economy linger

Investors will also be watching to see what signal the stock market sends after outsized moves in both directions this week.

But it is the behavior of the stock markets investors will be watching. It will be important to see how stocks react to variables like the level of Treasury yields and Chinese currency, which could be a bellwether for trade talks should the Chinese central bank allow the yuan to lose much more value.

Some pretty important economic reports are coming, however, spread across the week, with CPI inflation data Tuesday, and a load of key reports Thursday, including retail sales, PCE inflation data, industrial production and regional Fed surveys.

There are just a few earnings in the week ahead with Walmart , Cisco Systems, Nvidia and Deere reporting as the second-quarter earnings season winds down.

After a whipsawing week, stocks could face more volatile swings as investors assess new information on trade and the strength of the economy.

Sam Stovall, chief investment strategist at CFRA, said he believes the worst is over and stocks could trade at their highs again by the end of the month.

“I think what we went through was a retest of the May pullback and it ended up being successful,” he said. Stovall said he has been watching the sub industries of the S&P 1500, and as of July 12, 91% were above their 50-day moving average, an unusually high number.

But as of Monday, when stocks were cratering, just 10% were above their 50-day moving average.

“That to me was an indication of a washout,” Stovall said. He added that it was also a rapid move to the 5% decline level from the peak, indicating the market could make a quick comeback.

“We are probably coming out of this pullback, and we’ll probably get there quickly. History says we’ll get there by the end of the month, meaning by the end of the month we’ll probably close with a new all-time high,” he said.

Despite small losses on Friday, stocks regained most of the steep losses from earlier in the week. The S&P 500 and Nasdaq Composite were down just 0.2% week to date while the Dow had lost 0.5%. After Monday’s close, the Dow and S&P 500 had plunged around 3% while the Nasdaq had lost 3.5%.

But in the bond market, investors may continue to see the lowest yields in years. In the past week, Treasury yields moved lower in a dramatic global slide amid concerns about global growth and as the world’s central banks have been cutting interest rates.

“Trade tensions have unambiguously caused global growth to slow down, U.S. growth to slow and caused inflation to decelerate. That’s quite clear. That’s all the White House,” said Ward McCarthy, chief financial economist at Jefferies.

Treasury yields went on a wild ride in the past week, with the 10-year dipping as low as 1.59% from as high as 2.08% the week earlier.

“We’re in the crazy time of the summer … when volumes are thin, moves tend to be exaggerated. That’s probably what we should expect,” McCarthy said.

Stocks reacted negatively to the move in yields and to a drop in the Chinese yuan below a former red line level of 7 per dollar. Bond yields, in terms of basis points, last moved this fast right after President Donald Trump was elected.

“As this things accelerate, the [bond] market has been dealing with known unknowns, and now you’re starting to see people worrying about unknown unknowns. We’re in dangerous territory,” said McCarthy. “There’ s a widespread perception that there’s a race to the bottom going on here in yields, and it’s not necessarily the U.S. that’s driving this. It’s the fact we’re the high yielding market.”

As rates also fall on foreign sovereign debt, U.S. Treasurys, with a higher yield, look more attractive and lure buyers. Rates move opposite price, so yields move lower when prices turn higher.

As for the Chinese currency, the market was surprised when China failed to defend it, allowing it to sink below 7 to the dollar. The move was seen as a reaction to the latest round of tariffs Trump threatened to impose on China, effective Sept. 1.

“It’s really hard to make any kind of definitive material decision about what’s going on in China because there’s no verifiable data to work with,” said Steve Massocca, managing director at Wedbush Securities. “If the Chinese really have the capability to keep this from blowing up, they’re not going to let this blow up.”

As for economic data, McCarthy said the CPI and retail sales data will be particularly important. “I think retail sales will be solid. Everything we see on the household side is good. CPI headline could be feisty. Gasoline prices will boost it by more than a tenth,” he said.


Company: cnbc, Activity: cnbc, Date: 2019-08-09  Authors: patti domm
Keywords: news, cnbc, companies, chinese, stocks, mccarthy, trade, week, economy, market, investors, yields, bring, worries, volatility, thats, data, probably, ahead, linger


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FANG stocks have lost their characteristic mojo, but investors are sticking with them

The mega-cap tech stocks that have led much of the record-long bull run have started to lose steam, but investors are still giving them the benefit of the doubt. The so-called FANG block of tech giants — Facebook, Amazon, Netflix and Google’s parent Alphabet — are still mostly in the red for the trailing 12 months despite their strong year-to-date comeback. Amazon’s single-digit gains in the past 12 months can also be compromised if the e-commerce giant disappoints when reporting earnings next w


The mega-cap tech stocks that have led much of the record-long bull run have started to lose steam, but investors are still giving them the benefit of the doubt. The so-called FANG block of tech giants — Facebook, Amazon, Netflix and Google’s parent Alphabet — are still mostly in the red for the trailing 12 months despite their strong year-to-date comeback. Amazon’s single-digit gains in the past 12 months can also be compromised if the e-commerce giant disappoints when reporting earnings next w
FANG stocks have lost their characteristic mojo, but investors are sticking with them Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: yun li
Keywords: news, cnbc, companies, yeartodate, hiccups, sticking, stocks, lost, investors, characteristic, tech, netflix, earnings, months, worries, mojo, run, fang, 12


FANG stocks have lost their characteristic mojo, but investors are sticking with them

The mega-cap tech stocks that have led much of the record-long bull run have started to lose steam, but investors are still giving them the benefit of the doubt.

The so-called FANG block of tech giants — Facebook, Amazon, Netflix and Google’s parent Alphabet — are still mostly in the red for the trailing 12 months despite their strong year-to-date comeback. Amazon’s single-digit gains in the past 12 months can also be compromised if the e-commerce giant disappoints when reporting earnings next week.

It has become apparent that the backdrop for big tech is turning unfavorable from the government crackdown to the U.S.-China trade war to a global economic slowdown. Adding to the list of worries is their earnings trend— Netflix tanked more than 10% on Thursday on a surprising drop in the subscriptions number. But so far, many investors believe these are just “hiccups” on their mega upward trend.

“It’s undeniable they’ve had a very robust run,” said Mike Loewengart, chief investment officer at E-Trade Capital. “With the ones that have elevated evaluations where there are a lot of expectations going into their near-term results, when there are hiccups along the way, it’s not unreasonable to see them fall in response to that.”


Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: yun li
Keywords: news, cnbc, companies, yeartodate, hiccups, sticking, stocks, lost, investors, characteristic, tech, netflix, earnings, months, worries, mojo, run, fang, 12


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Europe stocks trade higher as China data meets expectations; Galapagos up 17%

European stocks traded higher Monday morning, despite worries that China’s economy is slowing amid a trade war with the U.S. Traders kept a close watch on the latest economic figures out of China. The country posted second-quarter figures on Monday that showed its economy grew 6.2% in the second-quarter, at its slowest pace in 27 years. Still, China’s GDP (gross domestic product) growth was in line with expectations, and data for industrial production, retail sales and fixed-asset investment cam


European stocks traded higher Monday morning, despite worries that China’s economy is slowing amid a trade war with the U.S. Traders kept a close watch on the latest economic figures out of China. The country posted second-quarter figures on Monday that showed its economy grew 6.2% in the second-quarter, at its slowest pace in 27 years. Still, China’s GDP (gross domestic product) growth was in line with expectations, and data for industrial production, retail sales and fixed-asset investment cam
Europe stocks trade higher as China data meets expectations; Galapagos up 17% Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-15  Authors: elliot smith ryan browne, elliot smith, ryan browne
Keywords: news, cnbc, companies, secondquarter, composite, europe, galapagos, figures, chinas, watch, economy, trade, stocks, data, 17, worries, expectations, meets, china, higher


Europe stocks trade higher as China data meets expectations; Galapagos up 17%

European stocks traded higher Monday morning, despite worries that China’s economy is slowing amid a trade war with the U.S.

The pan-European Stoxx 600 edged 0.5% higher in early deals. Basic resources leading led the gains with a 1.3% rise while food and beverage stocks slipped 0.2% and were the only sector trading in negative territory.

Traders kept a close watch on the latest economic figures out of China. The country posted second-quarter figures on Monday that showed its economy grew 6.2% in the second-quarter, at its slowest pace in 27 years. Still, China’s GDP (gross domestic product) growth was in line with expectations, and data for industrial production, retail sales and fixed-asset investment came in above analyst expectations.

Chinese stocks got a boost from the fresh data, with the Shanghai composite climbing 0.76% and the Shenzhen composite up 1.26%. MSCI’s broadest index of Asian shares outside Japan rose 0.26%.


Company: cnbc, Activity: cnbc, Date: 2019-07-15  Authors: elliot smith ryan browne, elliot smith, ryan browne
Keywords: news, cnbc, companies, secondquarter, composite, europe, galapagos, figures, chinas, watch, economy, trade, stocks, data, 17, worries, expectations, meets, china, higher


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