Wall Street opened sharply down and traded sideways in a narrow range until the Fed released today’s minutes reveling its policy tightening plans. Equities immediately pushed the three indexes sharply higher, then slid to a new session low . After reaching the bottom, the BTFDers picked up the slack, aggressively pushing the indexes higher. Finally, realizing profits, the markets slacked off and then closed down after a wild afternoon trading stint.
Deutsche Bank became the first major bank to predict that the US economy would fall into a recession late next year because the Fed was too late to the rate-hike game. “Moody’s Analytics put the odds of one at 33% (at least), Goldman Sachs estimates there’s a 35% chance, and former president of the New York Fed, William Dudley, said it was “virtually inevitable”—so let’s go with 99%,” said SA this morning.
Fed minutes suggest plans to ‘expeditiously’ raise interest rates while trimming the central bank’s $9 trillion balance sheet.
A summary of headlines we are reading today:
- WTI Crude Falls 5% As IEA Agrees To 120 Million Barrels SPR Release
- Levi Strauss Earnings Top Estimates As Shoppers Buy At Higher Prices, Denim Retailer Reaffirms 2022 Outlook
- Scientists Divided On Need For 4th COVID Shot After The FDA Quietly Approved Another Round Of Boosters
- Jetblue Is Willing To Spend $3.6 Billion On Spirit To Compete Against Giant Airlines
These and other headlines and news summaries moving the markets today are included below.
The Market in Perspective
| Here are the headlines moving the markets. | |
 |
One Of The Most Gas-Rich Countries In The World Is Facing An Energy CrisisA fuel shortage is causing political turmoil and social unrest in Argentina, and could even result in a food shortage as the South American nations grain transporters call for a strike in the face of sky-high fuel prices during the harvest season for soy and corn. A blow to Argentinian grain exports would have sweeping consequences both at home and overseas, as the country is a major exporter on a global scale. According to Reuters, the second quarter of the year is the time when the bulk of soybeans and corn are harvested, which Read more at: https://oilprice.com/Energy/Natural-Gas/One-Of-The-Most-Gas-Rich-Countries-In-The-World-Is-Facing-An-Energy-Crisis.html |
|
WTI Crude Falls 5% As IEA Agrees To 120 Million Barrels SPR ReleaseThe members of the International Energy Agency (IEA) have agreed to release 120 million barrels of crude oil, according to Bloomberg. But 60 million barrels of that 120 million has already been accounted for as part of the 180 million barrel SPR release that the Department of Energy made last week. Between the IEA and the United States, 240 million barrels of crude oil is set to be released from the worlds strategic energy stores. In the United States, the first 90 million barrels of the 180 million set to be released from the Strategic Read more at: https://oilprice.com/Latest-Energy-News/World-News/WTI-Crude-Falls-5-As-IEA-Agrees-To-120-Million-Barrels-SPR-Release.html |
|
U.S. LNG Exporter Signs Another Long-Term Deal With ChinaNextDecade Corporation signed on Wednesday another long-term agreement for a U.S. exporter to sell liquefied natural gas (LNG) to China in the most recent deal between American and Chinese firms. NextDecade announced today a deal with ENN LNG (Singapore) Pte Ltd, a wholly-owned subsidiary of Chinas ENN Natural Gas Co., Ltd, for the supply of LNG from NextDecades Rio Grande LNG export project in Brownsville, Texas. Under the 20-year sale and purchase agreement, ENN LNG will purchase 1.5 million metric tons per annum (MTPA) of Read more at: https://oilprice.com/Latest-Energy-News/World-News/US-LNG-Exporter-Signs-Another-Long-Term-Deal-With-China.html |
|
Will Bidens Oil Release Bring Down Prices At The Pump?The Biden Administrations decision to go for a big bang release of strategic petroleum reserves (SPR) has successfully decreased oil prices, for now. The announced release of 180 million barrels will be spread over the next six months. This has delivered an expected change in the Brent futures curve, by shifting prices down in the short term while pushing them upwards again by comparable amounts for contracts expiring later in the year. A pivot around September 2022 can be expected, when the SPR release is likely to end, Rystad Read more at: https://oilprice.com/Energy/Energy-General/Will-Bidens-Oil-Release-Bring-Down-Prices-At-The-Pump.html |
|
Officials: Floating Mines Threaten Oil, Grain Shipping In Black SeaThe risk of hitting floating mines in the major Black Sea shipping route is adding to perils for the few merchant ships still sailing in the region, and governments must ensure safe passage to keep supply chains running, maritime officials said according toReuters. The Black Sea – whose waters are shared by Bulgaria, Romania, Georgia and Turkey, as well as the warring Ukraine and Russia – is key for shipping grain, oil and oil products.Ukraine and Russia have accused each other of laying mines in the Black Sea, and in recent days, Turkish Read more at: https://oilprice.com/Latest-Energy-News/World-News/Officials-Floating-Mines-Threaten-Oil-Grain-Shipping-In-Black-Sea.html |
|
Iran Is Ready To Sign The Nuclear Deal But Is Done With NegotiationsOfficials with Irans Foreign Ministry are giving indications that the Vienna negotiations are not just “stalled” but effectively over. They say they are prepared to return to Vienna to sign the final deal, but not if its just for more negotiations. It’s not always clear how the Vienna talks are going since the US and Iran have been the only really negotiating parties for weeks, and they dont meet face to face. Indirect talks through EU negotiators look similar no matter how active they are. All the reports of things being “close” Read more at: https://oilprice.com/Energy/Energy-General/Iran-Is-Ready-To-Sign-The-Nuclear-Deal-But-Is-Done-With-Negotiations.html |
|
Levi Strauss earnings top estimates as shoppers buy at higher prices, denim retailer reaffirms 2022 outlookLevi Strauss sold more of its jeans and T-shirts at higher price points, often directly to consumers. Read more at: https://www.cnbc.com/2022/04/06/levi-strauss-co-levi-reports-q1-2022-earnings-beat.html |
|
NFL, MLB and players unions lead the latest round of investment in rapidly growing FanaticsThe NFL, other major sports leagues, players unions and team owners are leading the latest round of investment in Fanatics Read more at: https://www.cnbc.com/2022/04/06/nfl-mlb-players-unions-lead-latest-investment-in-fanatics.html |
|
Walgreens expands its medical-care offerings in major California marketsThe Health Corner locations are a piece of Walgreens’ strategy to become a bigger health care player. Read more at: https://www.cnbc.com/2022/04/06/walgreens-expands-its-medical-care-offerings-in-major-california-markets.html |
|
NFL gets a warning from state attorneys general: Address women’s hostile-workplace claims, or face investigationsSix attorneys general told NFL Commissioner Roger Goodell they had “grave concerns” about reports of an alleged hostile workplace culture toward women. Read more at: https://www.cnbc.com/2022/04/06/nfl-warned-to-address-gender-harassment-or-face-investigation.html |
|
After his Virgin Galactic spaceflight, Richard Branson now hopes to fly with Elon Musk’s SpaceXSir Richard Branson, less than a year after reaching space with Virgin Galactic, hopes to next trade flights with Elon Musk and fly with SpaceX. Read more at: https://www.cnbc.com/2022/04/06/richard-branson-hopes-to-fly-with-elon-musk-spacex.html |
|
Stocks making the biggest moves midday: JetBlue, Eli Lilly, Occidental Petroleum and moreThese are the stocks posting the largest moves in midday trading. Read more at: https://www.cnbc.com/2022/04/06/stocks-making-the-biggest-moves-midday-jetblue-eli-lilly-occidental-petroleum-and-more.html |
|
Disney’s networks among outlets that will air new PSA featuring trans teenAs tensions rise between Disney and Florida lawmakers, the company will air new a new public service announcement from GLAAD featuring a transgender teen. Read more at: https://www.cnbc.com/2022/04/06/disney-networks-among-outlets-that-will-air-psa-featuring-trans-teen.html |
|
Scientists divided on need for 4th Covid shot after FDA quietly approved another round of boostersThe FDA’s top vaccine regulator, Dr. Peter Marks, said shortly after the decision that another round of boosters will likely be needed in the fall. Read more at: https://www.cnbc.com/2022/04/06/scientists-divided-on-need-for-4th-covid-shot-after-fda-quietly-approved-another-round-of-boosters.html |
|
Porsche ups its investment in ‘e-fuels’ for the EV transition with a stake in a manufacturer in ChileE-fuels could allow companies like Porsche to continue producing vehicles such as the iconic 911 sports car alongside new electric models. Read more at: https://www.cnbc.com/2022/04/06/porsche-taking-stake-in-e-fuels-maker-highly-innovative-fuels-global.html |
|
Aurora and Werner Enterprises are testing self-driving tractor-trailers on a lonely Texas highwayAurora and Werner are pilot-testing self-driving trucks on a 600 mile stretch of Texas highway. Read more at: https://www.cnbc.com/2022/04/06/aurora-aur-werner-enterprises-wern-self-driving-trucks-in-texas.html |
|
UK has detected a new Covid variant. Here’s what we know so far about omicron XEA new omicron sub-variant has been detected in the U.K. as the country faces a renewed surge in Covid-19 hospitalizations. Read more at: https://www.cnbc.com/2022/04/06/uk-has-detected-a-new-covid-variant-heres-what-we-know-so-far-about-omicron-xe.html |
|
JetBlue is willing to spend $3.6 billion on Spirit to compete against giant airlinesJetBlue’s bid for discount airline Spirit confounded some analysts. Read more at: https://www.cnbc.com/2022/04/06/why-jetblue-is-willing-to-shell-out-3point6-billion-for-discount-airline-spirit.html |
|
Babylon Bee CEO Said Elon Musk Called To Confirm Their Suspension From Twitter Before Taking His StakeBabylon Bee CEO Said Elon Musk Called To Confirm Their Suspension From Twitter Before Taking His StakeTwitter banning parody news site The Babylon Bee seemed to be the straw that broke the camel’s back for Elon Musk. Seth Dillon, the CEO of The Babylon Bee, noted on Twitter yesterday that Musk had reached out to him before taking his stake in the company, to confirm that the Bee had, in fact, been suspended from the social media site.
Dillon also wrote that Musk was potentially considering buying the company. “He even mused on that call that he might need to buy Twitter. Now he’s the largest shareholder and has a seat on the board,” he wrote. Recall, The Babylon Bee’s editor-in-chief Kyle Mann was also placed in ‘twitter jail’, locked out of his account for suggesting that Twitter might lift its original suspension “if we throw a few thousand Uighurs in a concentration camp.” The comment was likely a reference to Twitter allowing Communist Chinese Party PR people and apologists to operate freely on the platform. As we < … Read more at: https://www.zerohedge.com/markets/babylon-bee-ceo-said-elon-musk-called-confirm-their-suspension-twitter-taking-his-stake |
|
Biden’s “Booming Economy” Is Just Another Front In The Media’s War On RealityBiden’s “Booming Economy” Is Just Another Front In The Media’s War On RealityAuthored by Kit Knightly via Off-Guardian.org, Did you know the economy was booming? This may come as a shock to anyone out there who a) is alive or b) has to buy things, but it’s definitely true. MSNBC and the New York Times said so. Mehdi Hasan did a segment on his show:
NBC report “President Biden’s approval rating has fallen to lowest level of his presidency despite booming economy”, and Hasan just doesn’t understand why people would be “unhappy with the way Biden is handling the economy” when wages are growing and they’ve added a “record 6.4 million job” in 2021. Now, OK, that reported 4.5% wage growth is lagging way behind inflation, meaning in real terms people are being paid less. Yes, alright, the “new jobs” were really just (some) of the people who lost their jobs during lockdown being rehired. And fine, the reas … Read more at: https://www.zerohedge.com/personal-finance/bidens-booming-economy-just-another-front-medias-war-reality |
|
Fed’s ‘Volcker Moment’ Slams Bonds, Stocks, Crypto, & CrudeFed’s ‘Volcker Moment’ Slams Bonds, Stocks, Crypto, & CrudeThe big headline from today was the mainstream media ‘finally’ getting the joke that we first warned about weeks ago… that The Fed needs to crash the market to slow/stop inflation. Former NYFed boss Dudley explained it to Bloomberg readers:
Which was then confirmed by The Fed Minutes showing fear that they may lose the public’s confidence in their resolve to battle inflation if they don’t act aggressively. Read more at: https://www.zerohedge.com/markets/feds-volcker-moment-slams-bonds-stocks-crypto-crude |
|
Melvin Capital Down 21% After Another Catastrophic QuarterMelvin Capital Down 21% After Another Catastrophic QuarterThe last time we looked at the hedge fund at the center of the “Gamestopped” debacle, we found that Melvin Capital was down a whopping 17% in January after the worst start to the year in decades. Fast forward to today when questions how Gabe Plotkin is still in business ring even clearer, following Bloomberg’s report that After a dismal January and a flattish February, Melvin Capital was down another 3.8% in March, dragging its Q1 performance to 20.6% a year after it suffered a historic 55% loss in January of 2021 when the reddit apes sparked a furious ramp across all of Melvin’s top short positions and leading to some $7 billion in losses. The losses follow a tumultuous 2021, when New York-based Melvin Capital ended the year down 39%. Amazingly, after a catastrophic year and quarter, and a bailout by both Steve Cohen and Ken Griffin, Melvin capital still somehow managed $10 billion as of March 1. The only explanation is that some people really have way too much money and they don’t care if their billions become millions then thousands in the hands of the Gabe Plotkin. Though maybe the stupidity won’t last too much longer: as we reported last month, both Citadel and Point72 have started asking for their money back realizing there will be no hail mary’s here. As Bloomberg notes, of Melvin’s six largest U.S. stock holdings at the end of the first year, five declined in the first quarter, with Bath & Body Works sinking by almost a third and Laboratory Corp. of America Holdings falling 16%. Read more at: https://www.zerohedge.com/markets/melvin-capital-down-21-after-another-catastrophic-quarter |
|
More Kinder Surprise egg products recalled over salmonella linksDifferent chocolate egg products have been recalled over a link to UK cases of salmonella in children. Read more at: https://www.bbc.co.uk/news/business-60993641?at_medium=RSS&at_campaign=KARANGA |
|
P&O Ferries preparing to restart Dover-Calais routeThe firm hopes to get its Pride of Kent and Spirit of Britain ships back in action, subject to inspection. Read more at: https://www.bbc.co.uk/news/business-60993640?at_medium=RSS&at_campaign=KARANGA |
|
Ukraine war: Bucha deaths ‘not far short of genocide’ – PMFurther sanctions against oligarchs and an end to imports of Russian coal and gas are announced by UK. Read more at: https://www.bbc.co.uk/news/uk-61011022?at_medium=RSS&at_campaign=KARANGA |
|
After announcing support to Sony-Zee merger, Invesco to offload about 8% stakeInvesco is the largest investor in Zee Entertainment and holds 18 per cent of the firm. It will be selling 7.4 crore shares worth Rs 2,200 via a block deal on Thursday, sources said. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/after-announcing-support-to-sony-zee-merger-invesco-to-offload-about-8-stake/articleshow/90688426.cms |
|
Why equity bulls should fret over rising bond yields as inflation theme heats upBenchmark 10-year government bond yields have hardened by 47 basis points so far in 2022 as a surge in crude oil prices since the Ukraine war has added to existing inflationary pressures, making a case for the RBI to consider rolling back accommodation. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/why-equity-bulls-should-fret-over-rising-bond-yields-as-inflation-theme-heats-up/articleshow/90684565.cms |
|
Trade setup: Nifty’s price action against 17,800 level to be crucialThe derivatives data does not paint a pretty picture. It shows that Nifty is unlikely to move past the 18,000-18,100 range easily over the coming days. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/trade-setup-niftys-price-action-against-17800-level-to-be-crucial/articleshow/90690686.cms |
|
: Levi Strauss stock rises after ‘strong demand’ boosts Q1 salesShares of Levi Strauss & Co. rose nearly 3% in the extended session Wednesday after the retailer reported quarterly earnings and sales that topped Wall Street views, saying it started the year enjoying “strong consumer demand and solid momentum.” Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7BB1-FDE6B97E9C0B%7D&siteid=rss&rss=1 |
|
Dow Jones Newswires: Sprinklr stock jumps more than 7% after sales, forecast beat expectationsSprinklr Inc. shares rose 7.8% to $12.28 in Wednesday’s after-hours trading session after the company reported higher revenue in the fiscal fourth quarter and guided for revenue above expectations. Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C0C4D5-7425-4434-F126-3EE28BCF0115%7D&siteid=rss&rss=1 |
|
Key Words: Fed must ‘inflict more losses’ on stock-market investors to tame inflation, says former central bankerThe Federal Reserve will have to get ugly with stock and bond investors if it wants to get inflation under control, says the former head of the New York Fed. Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7BA6-86407C238B6E%7D&siteid=rss&rss=1 |
