Summary Of the Markets Today:
- The Dow closed up 79 points or 0.20%,
- Nasdaq closed down 0.09%, (Closed at 17,173, New Historic high 17,236)
- S&P 500 closed down 0.02%, (Closed at 5,353, New Historic high 5,362)
- Gold $2,391 up $15.70,
- WTI crude oil settled at $76 up $1.48,
- 10-year U.S. Treasury 4.287 down 0.002 points,
- USD index $104.12 down $0.140,
- Bitcoin $70,528 down 598 or 0.83%
*Stock data, cryptocurrency, and commodity prices at the market closing.
Click here to read our current Economic Forecast – June 2024 Economic Forecast: Our Index Marginally Weakened And There Is Another Indicator Warning Of A Recession
Today’s Economic Releases Compiled by Steven Hansen, Publisher:
According to NFIB’s monthly jobs report, a net 18% (seasonally adjusted) of small business owners plan to raise compensation in the next three months in May 2024, down three points from last month and the lowest reading since March 2021. Seasonally adjusted, a net 37% of owners reported raising compensation, down one point from April but historically very high. NFIB Chief Economist Bill Dunkelberg stated:
An exceptionally high number of small businesses are still struggling to fill open positions. Although plans to increase compensation have fallen, small firms continue in their efforts to attract and retain workers.
April 2024 imports were up 3.4% year-over-year (down from 3.7% year-over-year in March 2024. April exports were up 6.1% year-over-year (up from 3.4% year-over-year in March. Year-to-date, the goods and services deficit increased $5.5 billion, or 2.0 percent, from the same period in 2023.
U.S.-based employers announced 63,816 cuts in May, a 1.5% decrease from the 64,789 cuts announced one month prior. It is down 20% from the 80,089 cuts announced in the same month in 2023. According to Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas, Inc.:
Job cuts remained flat in May as companies assess performance and make plans for Q3 and Q4. Meanwhile, hiring announcements are at their lowest levels in a decade. The typical churn in a healthy labor market appears to be stalling. Cuts in the Technology sector dominated announcements last year. While the sector continues to make cuts, it isn’t nearly at the same pace.
In the week ending June 1, the advance figure for seasonally adjusted initial unemployment claims 4-week moving average was 222,250, a decrease of 750 from the previous week’s revised average. The previous week’s average was revised up by 500 from 222,500 to 223,000.
Nonfarm business sector labor productivity increased 2.9% year-over-year in the first quarter of 2024. Unit labor costs are up 0.9% year-over-year. If productivity grows faster than labor costs – it is a sign of increased competitiveness on the international stage.
Here are some of headlines we are reading today:
- Surge in Demand Drives Up Shipping Costs for U.S. Importers
- Trafigura Profit Drops 73% As Oil Price Boom Fades
- Algorithm Trades Worsened The Oil Price Slump after OPEC’s Decision
- U.S. Seeks to Pressure Houthis to Stop Red Sea Ship Attacks
- Commodity Stocks Poised for Further Gains
- Billionaire Frank McCourt’s TikTok bid wins key backer as he looks past app’s prized algorithm
- Young job seekers are finding it tougher to find employment, despite a bustling labor market: ‘It was brutal’
- The low-end consumer ‘is really being stretched,’ says Five Below CEO
- EV slump, Hertz fire sale take used Teslas to ‘no haggle’ $25,000 price
- This bond-market recession signal has been flashing since 2022, with no downturn
- Your summer stock-market rally is coming as the S&P 500 flashes a ‘buy’ signal
Click on the “Read More” below to access these, other headlines, and the associated news summaries moving the markets today.
The Market in Perspective
| Here are the headlines moving the markets. | |
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Surge in Demand Drives Up Shipping Costs for U.S. ImportersVia Metal Miner An unexpected surge in demand could complicate global import logistics, raising prices for U.S. importers. So far, global GDP growth has remained broadly positive this year, with growth rates consistently above expectations. Reports also indicate that manufacturing PMIs are at their highest level in almost two years, and a rising demand for shipping space seems to reflect this. The increase in demand has taken the market by surprise. Normally, the peak season would be in the fall, and spring would be considered a quieter time. There… Read more at: https://oilprice.com/Metals/Commodities/Surge-in-Demand-Drives-Up-Shipping-Costs-for-US-Importers.html |
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Nigeria to Spend Nearly $4 Billion on Fuel Subsidies This YearNigeria is projected to allocate 5.4 trillion naira ($3.7 billion) in 2024—50% more than the previous year—to maintain stable petrol prices. Additionally, the country plans to borrow an extra 6.6 trillion naira to address budgetary deficits, according to a draft document reviewed by Reuters on Thursday, shining a light on the country’s troubled refinery industry. The “Accelerated Stabilisation and Advancement Plan” (ASAP), developed by the finance ministry in collaboration with private sector leaders and economists, aims to tackle… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Nigeria-to-Spend-Nearly-4-Billion-on-Fuel-Subsidies-This-Year.html |
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Black Sea Port Becomes Geopolitical Battleground Between China and the EUGeorgia announced that a Chinese consortium submitted the sole bid to build a sprawling deep-sea port in Anaklia, marking the first megaproject on the Black Sea coast to be built and operated by Chinese firms. Finding Perspective: The development brings an end to a multiyear political saga inside Georgia over building a deep-sea port at Anaklia, while the role of the Chinese consortium pushes Tbilisi’s growing ties with Beijing into the spotlight. Georgian Economy and Sustainable Development Minister Levan Davitashvili made the announcement at… Read more at: https://oilprice.com/Geopolitics/International/Black-Sea-Port-Becomes-Geopolitical-Battleground-Between-China-and-the-EU.html |
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Trafigura Profit Drops 73% As Oil Price Boom FadesSingapore-based oil and commodities trading powerhouse Trafigura Group has posted the smallest profit since the 2020 oil crisis as volatility in energy markets hit new lows. Trafigura’s net profit dropped to $1.47 billion in the six months through March, good for a 73% decline from a record $5.5 billion posted a year earlier. The company’s revenue fell 5.4% to $124.2 billion, while group equity increased to $17.3 billion. The company’s energy division saw operating profit before depreciation and amortization… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Trafigura-Profit-Drops-73-As-Oil-Price-Boom-Fades.html |
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Armenia Courts Western Allies as Relations with Russia DeteriorateArmenian-Russian relations are experiencing another spike in tension. The Armenian government briefly pulled the plug on a major Russian propaganda platform, and Prime Minister Nikol Pashinyan has accused two unnamed member states of a Moscow-led security alliance of conspiring to help Azerbaijan to reconquer Nagorno Karabakh. Once strategic partners, Armenia and Russia have fallen out amid accusations by Yerevan that the Kremlin did not fulfill its obligations to defend Armenian security interests during the Second Karabakh War. The fighting ended… Read more at: https://oilprice.com/Geopolitics/International/Armenia-Courts-Western-Allies-as-Relations-with-Russia-Deteriorate.html |
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Hungary’s Orban Vows to Keep Using Russian GasA day after scooping up shares in an Azeri gas field, Hungary has said it will not give up Russian natural gas and plans to shore up business deals with Russia in areas that aren’t under the sanctions regime. The move comes as Hungary’s pro-Russian prime minister, Viktor Orban, comes under pressure ahead of June 9 European Union elections in which his ruling Fidesz party is facing a tough challenger. It also follows Hungary’s MGM group move to acquire a 5% stake in Azerbaijan’s Shah Deniz gas field, with the… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Hungarys-Orban-Vows-to-Keep-Using-Russian-Gas.html |
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Algorithm Trades Worsened The Oil Price Slump after OPEC’s DecisionThe market reaction to OPEC’s latest production policy announcement was excessively negative, partly due to many executed trades based on trend-following algorithms, analysts say. While most analysts see the OPEC+ alliance’s announcement this weekend as bearish for oil prices toward the end of the year because of the plan to begin unwinding some of the cuts as early as in October – market conditions permitting – the price move in oil early this week was likely overdone, observers and analysts said. Algorithmic Traders Drag Oil… Read more at: https://oilprice.com/Energy/Crude-Oil/Algorithm-Trades-Worsened-The-Oil-Price-Slump-after-OPECs-Decision.html |
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U.S. Seeks to Pressure Houthis to Stop Red Sea Ship AttacksThe United States is looking to reduce financing options for the Houthi rebels in Yemen to get them to stop attacking commercial ships, including tankers, in the Red Sea, sources told Bloomberg on Thursday. The U.S. has recently signaled to its allies, including Saudi Arabia, that it wouldn’t endorse a UN-led plan to end the conflict in Yemen unless the Houthis, backed by Iran, cease the campaign to strike merchant vessels in and around the Red Sea, said Bloomberg’s sources who had recently met with U.S. officials. While the… Read more at: https://oilprice.com/Latest-Energy-News/World-News/US-Seeks-to-Pressure-Houthis-to-Stop-Red-Sea-Ship-Attacks.html |
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Russia Says it Continues to Cut Oil Production under OPEC+ DealRussia continued to cut its oil production in May per the OPEC+ agreements, Russian Deputy Prime Minister Alexander Novak said on Thursday, in another attempt to reassure the market that OPEC+ producers are committed to the pact and to stabilizing the oil market. “Our reduction against April continued in accordance with our OPEC+ agreements,” Novak told reporters on the sidelines of the St. Petersburg International Economic Forum, as quoted by Russian news agency TASS. Asked about exact numbers for the May oil production,… Read more at: https://oilprice.com/Energy/Crude-Oil/Russia-Says-it-Continues-to-Cut-Oil-Production-under-OPEC-Deal.html |
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Ukraine Strikes Oil Installations in Russian Border RegionsSuspected Ukrainian drone strikes early on June 6 set Russian oil installations on fire in two regions bordering Ukraine as Russia continued to launch strikes on civilian targets in several Ukrainian regions. A drone attack on an oil refinery in Novoshakhtinsk in Russia’s Rostov region early on June 6 has caused a fire, prompting a temporary halt of operations, regional governor Vasily Golubev said. “Work was suspended due to a repeated attack, the personnel were evacuated to a safe distance,” local Telegram channels… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Ukraine-Strikes-Oil-Installations-in-Russian-Border-Regions.html |
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OPEC+ Reassures Oil Markets, Allays Oversupply ConcernsThe energy ministers of the most influential OPEC+ producers presented a united front on Thursday, seeking to allay market concerns about oversupply and saying that the oil production plans unveiled this weekend could always be amended or reversed. The OPEC+ group extended this weekend most oil output reductions into 2025. But it also said it could begin unwinding some voluntary cuts after the end of the third quarter of 2024—subject to market conditions. The potential of OPEC+ barrels coming on the market in the fourth quarter… Read more at: https://oilprice.com/Energy/Crude-Oil/OPEC-Reassures-Oil-Markets-Allays-Oversupply-Concerns.html |
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Foreign Demand Spikes for Saudi Aramco’s $12-Billion Share OfferingThe $12-billion secondary share offering of Saudi oil giant Aramco has drawn strong demand from foreign investors, sources with knowledge of the matter told Bloomberg on Thursday. Saudi Aramco launched on Sunday a secondary public offering of 1.545 billion shares of the company, representing approximately 0.64% of the company’s issued shares. Aramcos’s share offer sold out in hours after opening on 2 June, Bloomberg reported on Sunday. Currently, the Saudi government owns about 82% of Aramco, while the… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Foreign-Demand-Spikes-for-Saudi-Aramcos-12-Billion-Share-Offering.html |
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Commodity Stocks Poised for Further GainsBy Farah Elbahrawy, Bloomberg markets live reporter and strategist Outperforming mining and energy stocks are set for further gains as a constructive backdrop for commodity prices and demand is set to support earnings. Basic resources and energy shares have outpaced the benchmark over the past three months, despite May’s drop in crude prices. Strategists are turning increasingly positive, with shareholder payouts and a wide discount to the market supporting the case for the sector.JPMorgan’s Mislav Matejka said miners’ earnings-per-share… Read more at: https://oilprice.com/Energy/Energy-General/Commodity-Stocks-Poised-for-Further-Gains.html |
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China’s Sinopec to Build Gas Pipelines for Saudi Aramco in $1-Billion DealA subsidiary of China’s energy giant Sinopec has signed a $1.3-billion deal with Saudi Aramco to procure and build pipelines for an expansion of the Kingdom’s natural gas distribution network, the Chinese firm said on Thursday. Under the turn-key fixed-price contract worth $1.3 billion (5.17 billion Saudi riyals), Sinopec International Petroleum Services Corporation, a wholly-owned subsidiary of Sinopec Oilfield Service Corporation, will be responsible for the in-country procurement and construction of Packages 6 and 7 of… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Chinas-Sinopec-to-Build-Gas-Pipelines-for-Saudi-Aramco-in-1-Billion-Deal.html |
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Key OPEC+ Ministers Dismiss Bearish Market Reaction to Output PlansThe energy ministers of heavyweight OPEC+ producers dismissed the bearish market reaction to the group’s latest oil production plan, saying that market participants and analysts will realize soon that the alliance did the right thing in communicating its intentions. While OPEC+ extended this weekend most oil output reductions into 2025, it said it could begin unwinding some voluntary cuts after the end of the third quarter of 2024—subject to market conditions. Most analysts see the OPEC+ alliance’s announcement as bearish… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Key-OPEC-Ministers-Dismiss-Bearish-Market-Reaction-to-Output-Plans.html |
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GameStop shares jump 40% as ‘Roaring Kitty’ schedules YouTube livestream for FridayShares of GameStop shot to session highs Thursday after “Roaring Kitty” scheduled a livestream on YouTube, which would be his first one in almost four years. Read more at: https://www.cnbc.com/2024/06/06/gamestop-shares-jump-30percent-as-roaring-kitty-schedules-youtube-livestream-for-friday.html |
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Billionaire Frank McCourt’s TikTok bid wins key backer as he looks past app’s prized algorithmPotential buyers for TikTok are circling after federal legislation was signed by President Joe Biden in April pushing ByteDance to sell the app or face a ban. Read more at: https://www.cnbc.com/2024/06/06/billionaire-frank-mccourts-tiktok-bid-backed-by-parents-group.html |
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Craft cocktails, mountain bikes and art: Walmart’s hometown is booming, and getting more expensiveAs Walmart gets into new businesses like advertising and tries to lure workers, its hometown of Bentonville, Arkansas, and its corporate offices are changing. Read more at: https://www.cnbc.com/2024/06/06/walmart-hometown-bentonville-arkansas-gets-more-expensive.html |
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Young job seekers are finding it tougher to find employment, despite a bustling labor market: ‘It was brutal’Worries are growing that the labor market is beginning to show cracks, particularly for younger aspirants. Read more at: https://www.cnbc.com/2024/06/06/young-job-seekers-are-finding-it-tougher-to-find-employment.html |
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Three stocks to play the booming energy needs of AI data centers, according to BTIGCompanies that can supply energy fast will benefit as data centers face a power squeeze. Read more at: https://www.cnbc.com/2024/06/06/three-stocks-to-play-the-booming-energy-needs-of-ai-data-centers-according-to-btig.html |
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The low-end consumer ‘is really being stretched,’ says Five Below CEOU.S. consumers may still be feeling the effects of inflation for quite some time, according to Five Below CEO Joel Anderson. Read more at: https://www.cnbc.com/2024/06/06/the-low-end-consumer-is-really-being-stretched-says-five-below-ceo.html |
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Alphabet’s new CFO was in the middle of the GLP-1 boom. Now she’s onto generative AIAfter running the books during a period of historic growth at Eli Lilly, Anat Ashkenazi is becoming Alphabet’s first new CFO since 2015. Read more at: https://www.cnbc.com/2024/06/06/alphabet-cfo-anat-ashkenazi-jumps-from-glp-1-boom-to-generative-ai.html |
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U.S. regulators to open antitrust probes into Nvidia, Microsoft and OpenAIFederal regulators will proceed with antitrust investigations focusing on Microsoft, OpenAI and Nvidia, according to a source familiar with the situation. Read more at: https://www.cnbc.com/2024/06/06/us-regulators-to-open-antitrust-probes-into-nvidia-microsoft-and-openai.html |
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Boeing Starliner docks with ISS, delivering its first NASA crew to space stationBoeing’s Starliner capsule made a delayed docking with the International Space Station on Thursday after NASA called off an initial approach. Read more at: https://www.cnbc.com/2024/06/06/boeing-starliner-iss-docking.html |
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Hunter Biden gun trial: Beau Biden’s widow Hallie Biden testifies about crack useThe Hunter Biden trial comes after former President Donald Trump was found guilty on 34 felony counts of falsifying business records. Read more at: https://www.cnbc.com/2024/06/06/hunter-biden-gun-trial-beau-biden-widow-hallie-biden-testifies.html |
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Photos show world leaders, veterans commemorating D-Day’s 80th anniversaryHeads of state from around the world have traveled to France over the past few days to commemorate the 80th anniversary of the D-Day landing. Read more at: https://www.cnbc.com/2024/06/06/photos-wwii-80th-anniversary-in-normandy-france.html |
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EV slump, Hertz fire sale take used Teslas to ‘no haggle’ $25,000 priceAs Hertz unloads its Teslas in a strategic about-face and used EV prices tank, a $25,000 Tesla is now reality. Read more at: https://www.cnbc.com/2024/06/06/ev-sales-slump-hertz-dump-take-used-tesla-to-no-haggle-25000-price.html |
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British tech pioneer Mike Lynch acquitted at U.S. fraud trialIt’s a major win for the entrepreneur who has been dogged by legal problems since selling his company to Hewlett-Packard in 2011. Read more at: https://www.cnbc.com/2024/06/06/british-tech-pioneer-mike-lynch-acquitted-at-us-fraud-trial.html |
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Eurozone cuts interest rate for first time in 5 yearsThe eurozone is the second major economy to cut its main lending rate this week after Canada. Read more at: https://www.bbc.com/news/articles/c511jy6z41vo |
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Autonomy co-founder Mike Lynch cleared of fraudFormer Autonomy boss Mike Lynch was accused of fraud related to the $11bn sale of his software firm. Read more at: https://www.bbc.com/news/articles/cneel8ed2vvo |
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Stats watchdog criticises PM’s £2,000 tax claimIt said most people would have no way of knowing that this estimate covered a four-year period. Read more at: https://www.bbc.com/news/articles/cyrredd71z0o |
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Breakout Stocks: How to trade UNO Minda, KNR Constructions and Amara Raja Batteries on FridayUNO Minda rose over 13% to hit a fresh high, KNR Constructions closed with gains of more than 11% and Amara Raja Batteries gained nearly 5% to hit a fresh record high. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/technical-breakout-stocks-how-to-trade-uno-minda-knr-constructions-and-amara-raja-batteries-on-friday/articleshow/110774094.cms |
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Best small cap mutual funds to invest in June 2024Small cap schemes invest in very small companies or their stocks. According to the Sebi mandate, small cap schemes must invest in companies that are ranked below 250 in terms of market capitalisation. These schemes also will have to invest at least 65% in small cap stocks. Read more at: https://economictimes.indiatimes.com/mf/analysis/best-small-cap-mutual-funds-to-invest-in-june-2024/articleshow/110756397.cms |
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FIIs sell shares worth Rs 6,868 crore on Thursday; DIIs net buyers at Rs 3,718 croreThe recent FII trends have taken a stark turn from Monday’s buying spree, where both FIIs and DIIs were net buyers, collectively purchasing shares worth Rs 8,765 crore. This buying activity was apparently fueled by exit polls predicting a resounding victory for the BJP-led NDA alliance. However, the subsequent FII trends have diverged significantly from this initial optimism. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/fiis-sell-shares-worth-rs-6868-crore-on-thursday-diis-net-buyers-at-rs-3718-crore/articleshow/110774740.cms |
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This bond-market recession signal has been flashing since 2022, with no downturnOne of the bond market’s most widely followed recession indicators has been pointing to the possibility of an economic downturn for almost two years. And it could keep doing so, even though no U.S. contraction has materialized. Read more at: https://www.marketwatch.com/story/this-bond-market-recession-signal-has-been-flashing-since-2022-with-no-downturn-88314ae0?mod=mw_rss_topstories |
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Your summer stock-market rally is coming as the S&P 500 flashes a ‘buy’ signalPlus there’s action for options traders in Walgreens Boots Alliance and Core Scientific shares. Read more at: https://www.marketwatch.com/story/your-summer-stock-market-rally-is-coming-as-the-s-p-500-flashes-a-buy-signal-cba9fecc?mod=mw_rss_topstories |
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These restaurant stocks could still thrive despite spending pressureChipotle, Texas Roadhouse and Domino’s are UBS’s top restaurant picks. Read more at: https://www.marketwatch.com/story/these-restaurant-stocks-could-still-thrive-despite-spending-pressure-7021c8c3?mod=mw_rss_topstories |
