29 September 2022 Market Close & Major Financial Headlines: Wall Street Tumbles In Broad Market Sell-Off Wiping Out Yesterday’s Gains.

The U.S. Plan To Power 100% Of Its Flights With Renewable Jet Fuel

Several world powers are launching renewable jet fuel initiatives in the race to be the first to provide a greener way to fly. With strict decarbonization policies being introduced by governments around the globe, several airlines are looking to decarbonize, as well as become more competitive in response to mounting public pressure to be more environmentally friendly. But when will airlines be able to deliver on renewable jet fuel promises? Renewable jet fuel, also known as aviation biofuels and biojet kerosene, currently accounts for

Read more at: https://oilprice.com/Alternative-Energy/Biofuels/The-US-Plan-To-Power-100-Of-Its-Flights-With-Renewable-Jet-Fuel.html

Aluminum Prices Soar By Record 8.5% As LME Weighs Ban On Russian Metals

The closer we get to year-end, the more we are reminded of the turbulent days of February and March when commodity prices soared to record highs on fears that Russian supplies would be permanently taken off the market. And while commodities as a whole are sharply below those levels, and in many cases are even down on the year, every now and then we get a reminder of just how complacent the market has become when it comes to continued Russian commodity supplies. Today was such a day for aluminum, which soared by a record 8.5% on the London Metal Exchange

Read more at: https://oilprice.com/Metals/Commodities/Aluminum-Prices-Soar-By-Record-85-As-LME-Weighs-Ban-On-Russian-Metals.html

Kremlin Calls Nord Stream Attacks State-Sponsored Terrorism

Four days after leaks spewing gas into the Baltic Sea were first spotted, Russia is blaming the incident on state-sponsored “terrorism. This looks like an act of terrorism, possibly on a state level. It is very difficult to imagine that such an act of terrorism could have happened without the involvement of a state of some kind,” Kremlin spokesman Dmitry Peskov said, as reported by Reuters. Three leaks–one in the Swedish zone and two in the Danish zone–were discovered earlier this week in Nord Stream 1 and 2 pipelines

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Kremlin-Calls-Nord-Stream-Attacks-State-Sponsored-Terrorism.html

The Idea Of A Windfall Tax On Oil And Gas Is Gaining Popularity

As the European Union introduces an extensive windfall tax, the region is putting pressure on other parts of the world to do the same. The U.K. may have already taxed oil and gas companies to subsidize rising consumer energy bills, but the E.U. is going one step further by planning a total overhaul of the energy market. Yet, other world powers, such as the U.S., have avoided taxing energy companies, instead turning to the oil and gas industry to increase production as it faces major shortages and price hikes. It remains to be seen if the Biden

Read more at: https://oilprice.com/Energy/Crude-Oil/The-Idea-Of-A-Windfall-Tax-On-Oil-And-Gas-Is-Gaining-Popularity.html

U.S. Planning New Sanctions On Irans Oil Sales

The United States is planning to announce new sanctions on Iran’s oil sales as early as today, according to a tweet by Bloomberg TVs Annmarie Hordern. The sanctions will focus on entities facilitating the oil trade, and will be part of a broader plan to set up sanctions on the regime in the coming weeks, Hordern said on Thursday afternoon. For months now, a new nuclear deal with Iran has kept the market on edge and has been routinely touted as imminent. A deal, however, has yet to be struck. In just the

Read more at: https://oilprice.com/Latest-Energy-News/World-News/US-Planning-New-Sanctions-On-Irans-Oil-Sales.html

BP Restarts Offshore Oil And Gas Platforms After Hurricane Ian

BP has restarted production at its offshore Na Kika and Thunder Horse oil platforms in the Gulf of Mexico after redeploying previously evacuated staff, BP PLC said on Thursday. BP halted production on the two platforms on Monday ahead of Hurricane Ian that made landfall in Florida on Wednesday. Chevron had also evacuated personnel and shut its production at its Petronius and Blind Faith platforms in the Gulf ahead of the storm. As of Thursday, 11 total Gulf of Mexico platforms had been evacuated, representing 2.11% of the total GOM capacity, according

Read more at: https://oilprice.com/Energy/Crude-Oil/BP-Restarts-Offshore-Oil-And-Gas-Platforms-After-Hurricane-Ian.html

Toyota CEO doubles down on EV strategy amid criticism it’s not moving fast enough

Toyota CEO Akio Toyoda said Thursday the company will move forward with plans to offer an array of so-called electrified vehicles for the foreseeable future.

Read more at: https://www.cnbc.com/2022/09/29/toyota-ceo-stands-by-electrified-vehicle-strategy-amid-criticism.html

Buybuy Baby, a bright spot for Bed Bath & Beyond, reports steep drop in sales against tough comparisons

Bed Bath & Beyond chalked up the sales decline to tough year-over-year comparisons and pointed to initiatives to drive growth in the coming months.

Read more at: https://www.cnbc.com/2022/09/29/buybuy-baby-sales-fall-at-struggling-bed-bath-beyond.html

Disney names first president of Disney+ as it prepares to launch ad tier

Alisa Bowen has been tapped to take on the top mantle of the Disney+ subscription service.

Read more at: https://www.cnbc.com/2022/09/29/disney-names-alisa-bowen-president-disney-plus.html

Phil Collins, Genesis bandmates sell music rights in bundle deal — but Peter Gabriel isn’t involved in it

The deal involving Phil Collins and Genesis comes after similar deals involving Bob Dylan and Bruce Springsteen.

Read more at: https://www.cnbc.com/2022/09/29/phil-collins-genesis-sell-music-rights-in-300-million-deal.html

Summer’s over, but the European travel season isn’t

Airlines aren’t pulling back on U.S.-Europe capacity the way they did in 2019, before the Covid pandemic.

Read more at: https://www.cnbc.com/2022/09/29/summers-over-but-the-european-travel-season-isnt.html

Bed Bath & Beyond reports 28% drop in sales as it presses ahead with turnaround plan

Bed Bath & Beyond’s results didn’t reflect the struggling, debt-laden retailer’s turnaround plan, which it announced in August.

Read more at: https://www.cnbc.com/2022/09/29/bed-bath-beyond-bbby-q2-2022-earnings.html

Peloton will sell Bikes, Treads at Dick’s Sporting Goods in its first brick-and-mortar partnership

Dick’s Sporting Goods will begin selling Peloton equipment, the companies announced Thursday morning.

Read more at: https://www.cnbc.com/2022/09/29/peloton-to-sell-bikes-treads-at-dicks-sporting-goods-stores-.html

PGA Tour countersues LIV Golf in an escalating antitrust fight

The PGA Tour filed a countersuit against LIV Golf late Wednesday, alleging that the Saudi-backed upstart league is guilty of anti-competitive practices.

Read more at: https://www.cnbc.com/2022/09/29/pga-tour-countersues-liv-golf-in-antitrust-fight.html

Lordstown Motors begins production of its Endurance electric pickup truck

Lordstown said it’s on track to build about 50 of its electric Endurance pickups for customers by year-end.

Read more at: https://www.cnbc.com/2022/09/29/lordstown-motors-ride-begins-production-of-endurance-ev-pickup.html

McDonald’s owners group says company rejected request to delay big changes to franchise system

McDonald’s rejected restaurant owners’ request to delay new changes to its franchise policies, according to a letter viewed by CNBC.

Read more at: https://www.cnbc.com/2022/09/28/mcdonalds-owners-fight-franchise-policy-changes.html

LeBron James is a pickleball fan. And now he’s buying a team

LeBron James, the king of basketball courts, is one of the newest owners of a professional pickleball team.

Read more at: https://www.cnbc.com/2022/09/28/lebron-james-is-a-pickleball-fan-and-player-now-hes-buying-a-team.html

Porsche shares rise in landmark Frankfurt debut

The original range for the non-voting preferred shares was set between 76.50 euros and 82.50 euros in a prospectus released Sept. 19.

Read more at: https://www.cnbc.com/2022/09/29/porsche-shares-rise-in-frankfurt-market-debut.html

Lionsgate leaning toward spinning off its studio business instead of Starz

Lionsgate hasn’t given up on also selling a minority stake in Starz, but there’s more investor interest in the studio business.

Read more at: https://www.cnbc.com/2022/09/28/lionsgate-leans-toward-spinning-off-studio-business-instead-of-starz.html

When We’ll Know The Bear Market Is Over

By Simon White, Bloomberg Markets Live reporter and analyst

It’s a Gordian Knot, but it remains the central question for investors: When will the bear market in US equities and other risk assets be over?

Nobody has a crystal ball, but there are three strong contenders for conditions that will first need to be met:

A return of “fiscal credibility”.

Real-yield curve inversion.

Positive and rising liquidity.

Today’s backdrop is all about inflation. The seismic moves in assets and currencies around the world all boil down to the world’s largest central bank locked in a “death or glory” fight with unanchored price rises. The corollary is we won’t get a green light for risk assets to climb on a sustainable basis until the Federal Reserve has done enough to return inflation to a low and stable regime
The ultimate cause of the current inflation is the large fiscal deficits funded by monetary largesse in the years leading up to the pandemic. The pandemic itself and the Ukraine war didn’t jump-start the rise in prices, they merely worsened the already-changing underlying inflation dynamics.

The role of government spending is critical to understanding this. In a recent Fed paper presented at Jackson Hole, the authors show that when investors do not believe large fiscal imbalances will be stabilized the job of the central bank becomes extremely difficult.

Simply put, if there is a belief public debt will not be contained, it leads to a structural rise in inflation because any monetary tightening by the central bank causes growth to slump …

Read more at: https://www.zerohedge.com/markets/when-well-know-bear-market-over

Next Blowup Shows The Sheer Pain In UK Backdrop

By Heather Burke, Bloomberg markets live commentator and reporter

To get a sense of the deteriorating UK macro backdrop, look no further than the slump in one of its biggest retailers as UK stocks, the pound and bonds have another tough day.

Next gave its second profit warning this year, saying inflation is keeping UK shoppers from buying non-essential items. The bellwether said in its financial report:

“Sales during August were below our expectations and, despite improving sales in September, we think it is sensible to moderate our expectations for sales and profit in the second half. It is important to stress that, with so many variables at play, predicting near-term sales trends is unusually difficult. All the more so with recent Government stimulus measures yet to take full effect.”

Next also said the pound’s devaluation looks set to prolong inflation, even once factory gate prices ease. It looks like “we may be set to have two cost of living crises: this year, a supply side led squeeze, next year a currency led price hike as devaluation takes effect.”

Read more at: https://www.zerohedge.com/markets/next-blowup-shows-sheer-pain-uk-backdrop

Facebook Announces Hiring Freeze, Warns Of “Team Restructuring”, Stocks Slumps

As advertising revenue growth stalls, Meta Platforms Inc., the owner of Facebook and Instagram, told employees that it plans to implement a hiring freeze and restructure employee teams in the latest effort to trim costs, reported Bloomberg.

A person in attendance during a company Q&A session said CEO Mark Zuckerberg announced the hiring freeze as this is the latest evidence advertising revenue growth for the social media giant is slowing. There’s also the concern about waning activity among users.

“For the first 18 years of the company, we basically grew quickly basically every year, and then more recently our revenue has been flat to slightly down for the first time,” Zuckerberg told staff Thursday.

“I had hoped the economy would have more clearly stabilized by now, but from what we’re seeing it doesn’t yet seem like it has, so we want to plan somewhat conservatively,” he added.

Last week, Meta began quietly cutting staff by reorganizing departments while giving ‘reorganized’ employees the ability to apply for other roles within the company, according to WSJ.

Read more at: https://www.zerohedge.com/markets/facebook-parent-meta-announces-hiring-freeze

US Rail Volumes Fell 4.4% In Latest Week

US Rail Volumes Fell 4.4% In Latest WeekBy Progressive Railroading.

U.S. freight-rail traffic declined 4.4% to 489,111 carloads and intermodal units in the week ending Sept. 24 compared with the same period in 2021, according to Association of American Railroads data.

The railroads logged 231,258 carloads, down 3.2%, and 257,853 containers and trailers, down 5.4%.

Three of the 10 carload commodity groups that AAR tracks weekly posted increases. They were motor vehicles and parts, up 1,610 carloads to 13,165; coal, up 819 carloads to 70,697; and nonmetallic minerals, up 372 carloads to 34,436.

Commodity groups that posted decreases compared with the same week in 2021 included metallic ores and metals, down 3,405 carloads to 20,708; grain, down 2,276 carloads to 19,540; and chemicals, down 1,758 carloads to 30,261.

For the first 38 weeks of 202 …

Read more at: https://www.zerohedge.com/economics/us-rail-volumes-fell-44-latest-week

Kwasi Kwarteng: We stopped consumer spending collapse

Chancellor Kwasi Kwarteng says he will stick to his tax cut plan despite days of market turmoil.

Read more at: https://www.bbc.co.uk/news/business-63079743?at_medium=RSS&at_campaign=KARANGA

Government is undercutting UK institutions, says former Bank governor

Former Bank of England governor Mark Carney accuses Downing Street of working at cross-purposes with the Bank.

Read more at: https://www.bbc.co.uk/news/business-63070485?at_medium=RSS&at_campaign=KARANGA

Tax cuts are right plan for economy, says Liz Truss

The prime minister insists her plans will boost long-term growth, despite resulting market turmoil.

Read more at: https://www.bbc.co.uk/news/uk-politics-63072194?at_medium=RSS&at_campaign=KARANGA

Bears could drag Nifty50 to 16,300 if RBI rings alarm bells

The correction seen by domestic equities in seven consecutive sessions indicates that investors have factored in a 50-basis-point hike in the repo rate by the RBI.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/bears-could-drag-nifty50-to-16300-if-rbi-rings-alarm-bells/articleshow/94540394.cms

Tech View: Nifty fails to stage a rebound. What investors should do on Friday

We feel the overall tone would remain bearish until the Nifty reclaims 17,200. On the downside, a decisive break of 16,800 could further fuel the decline. Participants should align their positions accordingly and maintain positions on both sides.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/tech-view-nifty-fails-to-stage-a-rebound-what-investors-should-do-on-friday/articleshow/94535183.cms

US rate cycle, dollar movement to keep Indian equities volatile: Morgan Stanley

Steep rate hikes in the US and a slowdown in growth has increased the risk of the world’s largest economy entering into a recession. This does not bode well for India as, historically, domestic equities have entered into a bear market when the US slips into recession.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/us-rate-cycle-dollar-movement-to-keep-indian-equities-volatile-morgan-stanley/articleshow/94531933.cms

Futures Movers: Oil ends lower, with traders caught between demand prospects, OPEC+ expectations

Oil futures finish lower on Thursday, with pressure from worries about the outlook for energy demand partially offset by prospects for a production cut by OPEC+.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C06575-04D4-B545-712C-E15FC0C70BA9%7D&siteid=rss&rss=1

The Moneyist: I inherited my father’s home along with my three siblings, but the maintenance and taxes are too high. What should I do?

‘I have little to no interest in using the house: I am not enamored with the area. The house requires repair and upkeep, as none of us live in it full time.’

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C06575-04D4-B545-712D-6266A4344BE2%7D&siteid=rss&rss=1

Financial Face-Off: Financial Face-off: You had $10,000 in student loan debt canceled. Should you pay off your other debts — or invest in stocks?

Student-loan borrowers who’ve been putting off financial goals may have a chance to reset.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C06575-04D4-B545-712C-B3BC16C00B91%7D&siteid=rss&rss=1