The oil market stabilized its short-term selloff yesterday and rebounded slightly, but evidence is unclear as to whether a bottom has been formed. The action was not typical of a bottom, as volumes appeared to be light and fresh economic data was mixed.
The oil market may continue its short-term correction in the near-term, but it’s also entering a support range between
$81.00 and $85.00/bbl. We think that the rate of decline will slow in the near-term, as some of the impulsive selling and weak longs exited the market during Monday’s session.
Oil prices may continue their short-term correction over the next few days, with support in WTI offered between $81.00 and $85.00/bbl. We think that the rate of decline will slow in the near-term, as some of the impulsive selling and weak longs have exited the market. A focus will be on the FOMC announcement today, but little change in policy is expected after the last meeting’s implementation of QE3.
Welcome to Wednesday’s Morning Coffee Break – Yesterday’s rally of triple digits on the Dow Jones Industrial and over 14 points in the S&P 500 has put U.S. markets back in the green for the month of October, just 8 session before Friday’s 25th anniversary of the 1987 stock crash.
Welcome to Friday’s Morning Coffee Break – As we begin the final trading session in the week and finish off the first two full weeks of October U.S. stock indexes are on pace for the largest weekly drop in four months. October historically is a down month as markets prepare for the final two months of the year and it appears Mr. Market wants to stay with tradition as the
Welcome to Friday’s Morning Coffee Break – As market participants prepare for the final session of week and as traders prepare to close out the first week of the 4th quarter traders find the markets walking a thin line. As of yesterday’s close U.S. markets appear to be on track for their first positive week in 3 weeks. However, as the aforementioned thin line markets could swing to either side
The weak tone of yesterday’s session indicates that oil prices may move toward the lower end of the two-week consolidation near $89.00 in the near-term. Focus will be on DOE inventories and ADP payrolls today, which may offer modest pressure. Pressure could also come from a lack of investment moving into energy markets at the start of Q4, concerns over global growth, and a slow pace of reform in Spain and Greece. Support may be found from favorable car sales reported yesterday, and relative strength in the euro. We’d look for prices to test support at $88.95 (Sep 26th low) over the next few days.
Crude oil continue to moved lower in today’s session on fear of global economic growth and worries about Spanish debt crisis spinning out of control. Energy traders as well traders of growth commodities became cautious on Monday when Federal Reserve Bank of New York index was reported to have fallen to -10.4 for the month of September hitting a 3 year low. The previous months reading was -5.8 with analysts’
Below are Monday’s trending equities ahead of the opening bell.
Trending Stocks Ahead of the Bell for June 26, 2012
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