01July2022 Market Close & Major Financial Headlines: Major Indexes Opened Down This Morning, Then Trended Upwards To Close Sharply Higher, Wall Street Markets Closed For Observance Of The Fourth Of July Holiday On Monday

Oil Should Stay In Triple Digits: Analyst

Crude oil prices should stay in the triple digits, Kplers head of Sweet Crude Analysis Matt Smith told Yahoo Finance. There won’t be continued downward pressure on oil, according to Smith. I don’t think that we’re going to see continued downward pressure on oil. I think what we’re seeing in the last couple of weeks in the oil market is this selloff as oil has got swept up in broader market sentiment as we’ve seen a selloff in equities, etc. It’s a risk appetite thing, Smith

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Oil-Should-Stay-In-Triple-Digits-Analyst.html

Supply Disruptions Drive Bullish Sentiment In Oil Markets

Bullish sentiment is once again building in oil markets as supply disruptions mount and global oil demand growth continues unabated. Friday, July 1st, 2022As uncertainty builds around the supply capacity of OPEC+ and oil demand rages on despite expectations of demand destruction, bullish sentiment is building in oil markets. Now, to add to that bullish sentiment, another form of supply disruption is springing up around the world: strikes. Operations at France’s Fos Refinery were halted by strikes and Norway’s offshore production

Read more at: https://oilprice.com/Energy/Energy-General/Supply-Disruptions-Drive-Bullish-Sentiment-In-Oil-Markets.html

India Slaps Windfall Tax On Oil Producers And Refiners

India has initiated a windfall tax on the country’s oil producers and oil refiners who are exporting more due to the high international price of crude oil and refined products, Reuters said on Friday. India’s windfall tax will be 23,250 rupees per ton on oil producers and 6 rupees per liter on gasoline and jet fuel. The windfall tax on gasoil exports will be 13 rupees per liter. What’s more, fuel exporters will be required to sell at least some of their products domestically. The new taxes will serve as an incentive to keep more products at home

Read more at: https://oilprice.com/Latest-Energy-News/World-News/India-Slaps-Windfall-Tax-On-Oil-Producers-And-Refiners.html

Mexican President Looks To Inaugurate Unfinished Refinery

Mexican President Andres Manuel Lopez Obrador plans to inaugurate the new Dos Bocas oil refinery on Friday, despite its unfinished status, Reuters reported. While Lopez Obrador and Energy Minister Rocio Nahle had said in 2019 that the refinery would be ready by this year, it will only be running near full capacity in 2025, two sources familiar with the matter told the wire service. The refinery project, which initially had an $8 billion budget at its start, may have costs reaching as much as $18 billion, Bloomberg News reported in June

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Mexican-President-Looks-To-Inaugurate-Unfinished-Refinery.html

U.S. Rig Count Slips

The number of total active drilling rigs in the United States fell by 3 this week, according to new data from Baker Hughes published on Friday. The total rig count slid to 750 this week275 rigs higher than the rig count this time in 2021. Oil rigs in the United States rose by 1 this week to 595. Gas rigs fell by 4 to 153. Miscellaneous rigs stayed the same at 2. The rig count in the Permian Basin stayed the same this week at 349. Rigs in the Eagle Ford fell by 4, to 68. Oil and gas rigs in the Permian are 112 above where they were this time

Read more at: https://oilprice.com/Energy/Energy-General/US-Rig-Count-Slips.html

Domestic Demand Helps Russian Oil Production To Rebound

The start of the summer driving season and favorable economics for Russian refiners have helped Russia’s oil production to rebound from the lows in April and May, according to government data and analysts cited by Bloomberg. Russia’s oil production rose in June and is approaching the levels last seen in February, just before the Russian invasion of Ukraine. Most of the rebound is due to higher intake from domestic refiners, which have increased processing rates after slashing them in April when the U.S. banned imports of all Russian

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Domestic-Demand-Helps-Russian-Oil-Production-To-Rebound.html

Fourth of July travel surge puts airlines — and passengers — to the test

Airlines have delayed and canceled flights at a higher rate this year than before the pandemic.

Read more at: https://www.cnbc.com/2022/07/01/airline-travel-of-july-weekend-puts-airlines-and-travelers-to-the-test-after-difficult-spring.html

Walmart is working on a response to the Supreme Court’s abortion decision, CEO says in memo

Walmart is the nation’s largest private employer and its headquarters is in Arkansas, a state with an abortion “trigger law” on the books.

Read more at: https://www.cnbc.com/2022/07/01/walmart-working-on-response-to-supreme-court-abortion-decision-ceo-says.html

GM’s quarterly sales fall but show improvement from the beginning of the year

The company’s U.S. vehicle sales were down about 15% in the second quarter from a year ago as the automaker continues to battle supply chain issues.

Read more at: https://www.cnbc.com/2022/07/01/general-motors-gm-q2-2022-us-sales.html

Kohl’s says a real estate sale is on the table after scrapping deal talks

Kohl’s might not be selling its business after all. But it’s now looking to sell some of its real estate.

Read more at: https://www.cnbc.com/2022/07/01/kohls-real-estate-sale-on-the-table-after-deal-talks-fall-apart.html

Panera Bread terminates SPAC deal with Danny Meyer’s investment group

Danny Meyer’s SPAC and Panera Bread have called off their investment deal, citing market conditions.

Read more at: https://www.cnbc.com/2022/07/01/panera-bread-terminates-spac-deal-with-danny-meyers-investment-group.html

Self-driving cars from GM’s Cruise block San Francisco intersection in latest problem for autonomous vehicles

At least seven Cruise vehicles blocked traffic by clustering an intersection starting late Tuesday night, blocking traffic.

Read more at: https://www.cnbc.com/2022/07/01/self-driving-cars-from-gms-cruise-block-san-francisco-streets.html

Chinese automaker Nio reports record EV sales in June as Covid wave fades, but it still lags XPeng and Li Auto

Nio, XPeng and Li Auto all reported strong deliveries totals for June as their factories returned to full speed following the latest Covid outbreak.

Read more at: https://www.cnbc.com/2022/07/01/nio-xpev-li-report-strong-deliveries-for-june-as-covid-wanes.html

Kohl’s ends sale talks with Franchise Group, lowers outlook

This decision from Kohl’s comes as its stock price slumps and its sales decline.

Read more at: https://www.cnbc.com/2022/06/30/kohls-terminates-sale-talks-with-franchise-group.html

FCC authorizes SpaceX to provide mobile Starlink internet service to boats, planes and trucks

The FCC authorized SpaceX to provide Starlink satellite internet to vehicles in motion, a key step for Elon Musk’s company to further expand the service.

Read more at: https://www.cnbc.com/2022/06/30/fcc-approves-spacex-starlink-service-to-vehicles-boats-planes.html

GM warns of manufacturing issues in second quarter but stands by 2022 forecast

Shares of the automaker were down by 2% after briefly being halted during pre-market trading, pending news.

Read more at: https://www.cnbc.com/2022/07/01/gm-expects-q2-net-income-of-between-1point6-billion-and-1point9-billion-.html

American Airlines offers pilots nearly 17% raises in new contract proposal

American Airlines CEO Robert Isom on Thursday said the carrier has offered its pilots pay raises totaling nearly 17% under a new contract.

Read more at: https://www.cnbc.com/2022/06/30/american-airlines-offers-pilots-nearly-17percent-raises-in-new-contract-proposal-.html

Housing shortage starts easing as listings surge in June

The historic housing shortage brought on by slow construction and strong demand from buyers in the pandemic is finally starting to ease.

Read more at: https://www.cnbc.com/2022/06/30/housing-shortage-starts-easing-as-listings-surge-in-june.html

Walgreens profits squeezed as Covid vaccine wanes, health-care investment rises

The drugstore reiterated its forecast for the year after seeing online purchases jump and retail sales bounce back in the quarter.

Read more at: https://www.cnbc.com/2022/06/30/walgreens-wba-q3-2022-earnings-.html

Inflation ‘Off’, Recession ‘On’: Stocks Purged As Bonds & The Dollar Surged

“You Are Here”… in the “strongest economy in the world”

Well that was a week…

All of a sudden the world stopped worrying about inflation and started fearing recession.

Economic data has been collapsing recently…

Read more at: https://www.zerohedge.com/markets/inflation-recession-stocks-purged-bonds-dollar-surged

California Trucking Prepares For “Radically New World” Under Independent Contractor Law AB5

By John Kingston of FreightWaves,

It is going to be a radically new world in California’s trucking sector with the imposition of AB5, and it isn’t clear what parts of the industry — if any — are ready for it.

“Most immediately, motor carriers must evaluate and adopt alternative operating models to mitigate risk if they intend to continue to do business in California” was the admonition from the Benesch law firm in the wake of the Supreme Court decision in the case of California Trucking Association vs. (state Attorney General) Bonta. The decision opens the door for the imposition of AB5, the law on independent contractors that leans heavily toward classifying workers as employees rather than ICs.

“Motor carriers should immediately evaluate their California operations to determine what steps, if any, should be taken to respond to the changed backdrop for trucking” was the call to action from the trucking-focused Scopelitis law firm.

Read more at: https://www.zerohedge.com/markets/california-trucking-prepares-radically-new-word-under-independent-contractor-law-ab5

Flight Delay Chaos Begins As Delta Pilots Warn Of “Perfect Storm”

The busiest travel period of the year is underway as hundreds of flights are already delayed setting up for what could be a “perfect storm” of disruptions over the Independence Day holiday weekend.

As of 1440 ET, FlightAware, a flight tracking company, reports 680 flights are delayed and 28 canceled. The number has been steadily increasing Friday as air travel demand soars amid pilot and crew shortages causing flight disruptions. Most of the delays are at airports across the Northeast, including New York City and Washington–Baltimore metropolitan regions.

“We’re now going into the Independence Day Holiday weekend and are concerned that our customers’ plans will be disrupted once again,” Captain Jason Ambrosi, Chairman of the Delta Master Executive Council (MEC), a unit of the Air Line Pilots Association, said in a statement.

Ambrosi continued: “< …

Read more at: https://www.zerohedge.com/markets/flight-delay-chaos-begins-delta-pilots-warn-perfect-storm

“Worst Start Since 1788”: A Closer Look At The Catastrophic First Half Performance

As discussed yesterday…

Worst first half for stocks in 52 years. pic.twitter.com/mOYvbJ6pvo

— zerohedge (@zerohedge) June 30, 2022

… and again this morning, when Rabobank’s Michael Every said that “if you bought stocks in H1, you lost; if bonds, you lost; if commodities, you were doing great until recently; if crypto you lost; if the US dollar, you were fine” but lost purchasing power to inflation, the first six months of the year were terrible.

Just how terrible? To quantify the destruction, we go to the latest chart of the day from DB’s Jim Reid who writes that “the good news is that H1 is now over. The bad news is that the outlook for H2 is not looking good.”

To demonstrate just how bad H1 was, Reid shares three charts.  They show that:

1) Deutsche Bank’s US 10yr Treasury proxy index did indeed see the worst H1 since 1788 in spite of a sizeable late June rally, and…

Read more at: https://www.zerohedge.com/markets/worst-start-1788-closer-look-catastrophic-first-half-performance

Rail strikes: No rush to call for more action, says union

The RMT’s comments follow last week’s industrial action which caused travel disruption across the UK.

Read more at: https://www.bbc.co.uk/news/business-62009982?at_medium=RSS&at_campaign=KARANGA

Russia moves to take control of Sakhalin-2 oil and gas project

The Russian government moves to take over Sakhalin-2 in which Shell has a share of more than a quarter.

Read more at: https://www.bbc.co.uk/news/business-62008413?at_medium=RSS&at_campaign=KARANGA

UK and New Zealand expand working holiday visas

The age limit for a visa to live and work in either country will go up to 35 under a new deal.

Read more at: https://www.bbc.co.uk/news/uk-62014494?at_medium=RSS&at_campaign=KARANGA

ETMarkets Mid-year Survey: Bear run flushing weak hands out of D-St; SIP investors hold fort for now

“This indicates that interest in the market has significantly dropped. Further, the number of NSE stocks trading above their 200-day simple moving average (SMA) has dropped to 13.7 percent against 96 percent in June 2021. During the Covid outbreak in March 2020, only 10 percent of the stocks were above their 200 SMA. So right now, the apprehension to invest fresh money seems high,” she said.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/etmarkets-mid-year-survey-bear-run-flushing-weak-hands-out-of-d-st-sip-investors-hold-fort-for-now/articleshow/92594492.cms

Tech View: Nifty50 stays in consolidation range; 15,900 a hurdle

“Such market action signals a short-term bottom reversal pattern for the market. This could also indicate a false downside breakout of the small range at the 15,700 level. This is a positive indication, and one may expect upside in the short term,” Shetti said.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/tech-view-nifty50-stays-in-consolidation-range-15900-a-hurdle/articleshow/92601329.cms

Want to enter D-Street now? Read this before you hop on the buy-on-dip bandwagon

However, if the market corrects further then a gradual increase in allocation towards equities should be done at lower levels which would be beneficial in the long term. So this should not be a one-time activity, but investors should review the markets from time-to-time and accordingly make necessary changes.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/want-to-enter-d-street-now-read-this-before-you-hop-on-the-buy-on-dip-bandwagon/articleshow/92591448.cms

Market Snapshot: Dow climbs more than 300 points, stocks gains pick up steam heading toward the bell after a bruising first half of 2022

Stocks trade higher Friday afternoon ahead of a long holiday weekend and after a miserable first half of the year.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7F32-03C3E03B8E78%7D&siteid=rss&rss=1

Chip sector looks at 10% drop on week as signs point to declining demand

The semiconductor sector was facing one of its worst weeks in an already lousy year following more evidence that the COVID-19 chip sector boom was drawing to a close.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7F38-907D8211C1B6%7D&siteid=rss&rss=1

The Moneyist: ‘I worry my sister and I will not see anything’: My grandfather married a second time before dying. Do I have any right to an inheritance?

‘He was a wealthy man and helped put me through college.’

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7F30-A89E12E9A152%7D&siteid=rss&rss=1