Summary Of the Markets Today:
- The Dow closed up 36 points or 0.09%,
- Nasdaq closed up 0.30%,
- S&P 500 closed up 0.09%,
- Gold $2,337 up $23.40,
- WTI crude oil settled at $82 up $1.02,
- 10-year U.S. Treasury 4.288 down 0.028 points,
- USD index $105.92 down $0.130,
- Bitcoin $61,359 up $543 or 0.89%,
*Stock data, cryptocurrency, and commodity prices at the market closing.
Click here to read our current Economic Forecast – May 2024 Economic Forecast: No Real Change So Expect The Economy To Continue To Plod Along
Today’s Economic Releases Compiled by Steven Hansen, Publisher:
New orders for manufactured durable goods in May 2024 remained in contraction down 1.5% year-over-year. Most sectors were down lead by civilian airplanes (Boeing). Manufacturing is not doing well in the U.S.
The third estimate of 1Q2023 Real gross domestic product (GDP) increased at an annual rate of 1.4 percent in the first quarter of 2024 – up from the 1.3% in the second estimate. In the fourth quarter of 2023, real GDP increased 3.4 percent. The upward revision primarily reflected a downward revision to imports, which are a subtraction in the calculation of GDP, and upward revisions to nonresidential fixed investment and government spending. These revisions were partly offset by a downward revision to consumer spending.
In the week ending June 22, the advance figure for seasonally adjusted initial unemployment claims 4-week moving average was 236,000, an increase of 3,000 from the previous week’s revised average. The previous week’s average was revised up by 250 from 232,750 to 233,000.
Pending home sales in May 2024 year over year, pending transactions were down 6.6%. An index of 100 is equal to the level of contract activity in 2001. NAR Chief Economist Lawrence Yun explained:
The market is at an interesting point with rising inventory and lower demand. Supply and demand movements suggest easing home price appreciation in upcoming months. Inevitably, more inventory in a job-creating economy will lead to greater home buying, especially when mortgage rates descend.
Here is a summary of headlines we are reading today:
- Lithium: A Clean Energy Solution with a Dirty Secret
- Why Is BHP So Obsessed With Anglo American?
- Can Renewable Energy Sustain Our Cooling Needs During Heat Waves?
- Oil Rally Extends on Fears of Significant Escalation in Israel-Lebanon Conflict
- The Key Takeaways of the 2024 Statistical Review of World Energy
- Russia Appears to Be Amassing a Dark Fleet to Ship LNG
- There’s a big Fed inflation reading coming Friday. Here’s what to expect
- Walgreens stock plunges as drugstore chain slashes profit guidance in ‘challenging’ consumer environment
- Supreme Court blocks Purdue Pharma opioid settlement, threatening billions of dollars for victims
- Bonds, Bullion, Bitcoin, & Big-Tech (Ex-NVDA) Bid Despite Macro Meltdown
- Mortgage costs to rise for 3 million, says Bank
- 2-year Treasury yield ends at lowest in more than a week after soft first-quarter GDP estimate
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. | |
 |
Lithium: A Clean Energy Solution with a Dirty SecretLithium is essential to saving the world from climate change – but will it destroy the environment in the process? Ironically, lithium extraction is just as associated with sharply negative environmental externalities as it is with clean and green energy initiatives. The communities where lithium is extracted are already suffering from dire health and ecological issues stemming from the extraction of the metal, but the lithium industry is just getting started. To avoid devastation for such communities, something about the lithium extraction… Read more at: https://oilprice.com/Energy/Energy-General/Lithium-A-Clean-Energy-Solution-with-a-Dirty-Secret.html |
|
Bill Gates: AI Energy Usage Doom Is A Bit DramaticThe doomsayers calling for panic over artificial intelligence’s high energy use have gone a little too far, according to Bill Gates, who spoke in London about the topic. While the energy demands of AI systems are substantial, Gates argues that the benefits and efficiencies AI brings can outweigh these concerns. AI technologies, especially large language models and machine learning systems, require significant computational power and energy. However, Gates emphasizes that these technologies also have the potential to drive efficiencies and innovations… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Bill-Gates-AI-Energy-Usage-Doom-Is-A-Bit-Dramatic.html |
|
Why Is BHP So Obsessed With Anglo American?Via Metal Miner Australian mining multinational BHP recently abandoned its bid for London- and Johannesburg listed Anglo American after the target company rejected the latest offer. “While we believed that our proposal for Anglo American was a compelling opportunity to effectively grow the pie of value for both sets of shareholders, we were unable to reach agreement with Anglo American on our specific views in respect of South African regulatory risk and cost,” BHP quoted CEO Mike Henry as saying. “Despite seeking to engage… Read more at: https://oilprice.com/Metals/Commodities/Why-Is-BHP-So-Obsessed-With-Anglo-American.html |
|
Baku’s COP29 Architectural Renovations Draw CriticismPreservationists are accusing government agencies in Azerbaijan of architectural vandalism as the capital, Baku, prepares to host the annual United Nations climate conference. The UN conclave of environmentalists will convene in Baku in November. Azerbaijani authorities are already hard at work sprucing up the host city. But according to local architects and others, their methods to improve the city’s look are doing more harm than good. A torrent of criticism has circulated on social media. One Baku-based architect Abdul Huseynov voiced… Read more at: https://oilprice.com/Energy/Energy-General/Bakus-COP29-Architectural-Renovations-Draw-Criticism.html |
|
Polish Firm Warns European Companies It Could Seize Their Payments to GazpromPoland’s energy firm Orlen has warned gas companies in three other central European countries that it could seize their payments to Gazprom for natural gas imports as part of a claim against the Russian gas giant for losses Poland has incurred, Reuters reported on Thursday, citing sources with knowledge of the matter. Gazprom cut off gas supply to Poland in 2022, shortly after the Russian invasion of Ukraine, after demanding that customers pay for Russia’s gas supply in rubles. Poland and several other EU countries refused… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Polish-Firm-Warns-European-Companies-It-Could-Seize-Their-Payments-to-Gazprom.html |
|
Can Renewable Energy Sustain Our Cooling Needs During Heat Waves?Authored by Connor O’Keefe via The Mises Institute, On Sunday, activists from the environmentalist organization Extinction Rebellion stormed the green in the final, pivotal moments of the Travelers Championship, a professional golf tournament. The protesters tossed red and white chalk and smoke bombs before being tackled to the ground by police. The stunt came days after two protesters with the group Just Stop Oil, a youth-led offshoot of Extinction Rebellion, sprayed orange paint on Stonehenge. The environmentalist protesters who do stunts like… Read more at: https://oilprice.com/Energy/Energy-General/Can-Renewable-Energy-Sustain-Our-Cooling-Needs-During-Heat-Waves.html |
|
Egypt’s Much-Needed $10 Billion Wind Power Project Delayed Until 2026A $10-billion wind power project in Egypt, one of the world’s biggest, is set to see its construction start by March 2026, delayed from this year due to the process of land acquisition, the chairman of one of the companies involved in the project told Bloomberg. The wind farm with a planned capacity of 10 gigawatts (GW) is being developed by Infinity Power, the largest African renewable energy developer, Hassan Allam Utilities, and the UAE’s flagship renewable energy company, Masdar. The construction was delayed from the initial… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Egypts-Much-Needed-10-Billion-Wind-Power-Project-Delayed-Until-2026.html |
|
Oil Rally Extends on Fears of Significant Escalation in Israel-Lebanon ConflictBrent crude overtook $86 on Thursday as fears of an all-out war between Israel and Lebanon took center stage, with Iraq’s Iran-backed militias vowing to strike U.S. interests in the Middle East if Israel launches a large-scale campaign against Hezbollah in southern Lebanon. Overnight, an Israeli strike on southern Lebanon injured more than 20 people after hitting a residential building in the city center of Nabatieh, with Lebanese news agencies saying there were no casualties and injuries were not critical. German Foreign Minister… Read more at: https://oilprice.com/Energy/Oil-Prices/Oil-Rally-Extends-on-Fears-of-Significant-Escalation-in-Israel-Lebanon-Conflict.html |
|
Trans Mountain Oil Pipeline Will Rely on Spot Shipments to Turn a ProfitThe expanded Trans Mountain oil pipeline will rely on spot customers to see a positive equity return or return on capital in 2026, according to company filings with Canadian regulators reviewed by Reuters. The expanded Trans Mountain pipeline is tripling the capacity of the original pipeline to 890,000 barrels per day (bpd) from 300,000 bpd to carry crude from Alberta’s oil sands to British Columbia on the Pacific Coast. The Trans Mountain Expansion Project (TMX), which became operational last month, has reserved 20% of its capacity –… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Trans-Mountain-Oil-Pipeline-Will-Rely-on-Spot-Shipments-to-Turn-a-Profit.html |
|
Canada, The Unexpected Winner in the Global Oil BoomCanada’s oil output is booming as producers ramp up projects and extraction amid expanded market access and narrowing discounts of the Canadian heavy crude to the U.S. benchmark. The Trans Mountain Expansion Project, now finally completed and operational after years of delays, is changing the fortunes of the oil sands producers in Alberta, giving them access to markets in Asia and the U.S. West Coast. Constrained for years due to insufficient egress, Canada’s oil now has nearly 600,000 barrels per day (bpd) of additional market access.… Read more at: https://oilprice.com/Energy/Crude-Oil/Canada-The-Unexpected-Winner-in-the-Global-Oil-Boom.html |
|
CNOOC Begins Oil Production at South China Sea FieldChina’s state-held oil and gas giant CNOOC said on Thursday that it had launched crude oil production from a new development project in the South China Sea. CNOOC, which specializes in offshore exploration and production in China and abroad, announced the start of the Enping 21-4 Oilfield Development Project in the eastern South China Sea, at an average water depth of about 89 meters (292 ft). The Enping 21-4 project is expected to reach peak production of approximately 5,300 barrels of oil equivalent per day (boepd) of light crude… Read more at: https://oilprice.com/Latest-Energy-News/World-News/CNOOC-Begins-Oil-Production-at-South-China-Sea-Field.html |
|
Italian Oil Major Eni Sells Alaska Assets To HilcorpItalian oil major Eni SpA told the media today that it decided to sell two high quality upstream assets in Alaska. According to a press release on its website, the company signed a binding agreement with Hilcorp, a large US privately owned firm with extensive experience operating in Alaska to sell the Nikaitchuq and Oooguruk assets in which it has a 100% stake. While the value of the deal isn’t exactly known as of today, according to Reuters, financial analysts estimate the deal value to be somewhere between $428 million and $855 million… Read more at: https://oilprice.com/Energy/Crude-Oil/Italian-Oil-Major-Eni-Sells-Alaska-Assets-To-Hilcorp.html |
|
The Key Takeaways of the 2024 Statistical Review of World EnergyLast year, after 70 years of publishing the Statistical Review of World Energy, BP handed over the publication to the Energy Institute (EI). The full report and all data can be found at this link. The Statistical Review is instrumental in providing comprehensive data on global oil, gas, and coal production and consumption, as well as on carbon dioxide emissions and renewable energy statistics. On June 20th, the EI published its second Statistical Review. It was another year of record highs for consumption of fossil fuels and emissions, but… Read more at: https://oilprice.com/Energy/Energy-General/The-Key-Takeaways-of-the-2024-Statistical-Review-of-World-Energy.html |
|
Novatek Proceeds With Arctic LNG 2 Despite New Sanctions on RussiaDespite increased sanctions pressure from the West, Russia’s LNG developer and exporter Novatek prepares to begin delivery of the equipment and structure for the second stage of its Arctic LNG 2 project at the end of July, Reuters reported on Thursday, quoting sources with knowledge of the plans. The deliveries of the foundation structures, the so-called gravity-based structures (GBS), will begin between July 22 and 25 from a plant in the Murmansk region, according to one of Reuters’ sources. Novatek’s Arctic LNG… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Novatek-Proceeds-With-Arctic-LNG-2-Despite-New-Sanctions-on-Russia.html |
|
Russia Appears to Be Amassing a Dark Fleet to Ship LNGRussia appears to have started to amass a dark fleet of tankers to ship its LNG in vessel ownership transfers similar to the moves that Moscow began after the invasion of Ukraine to create a shadow fleet to export oil and products in the face of Western sanctions. Russia has already amassed a large shadow fleet of oil tankers, and it’s now working on a similar plan for LNG to circumvent current and future sanctions on its LNG, according to data from shipping database providers cited by Bloomberg. The analysis by Bloomberg has found that… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Russia-Appears-to-Be-Amassing-a-Dark-Fleet-to-Ship-LNG.html |
|
There’s a big Fed inflation reading coming Friday. Here’s what to expectThere could be some pretty good inflation news on the way from the Commerce Department when it releases a key economic report Friday. Read more at: https://www.cnbc.com/2024/06/27/theres-a-big-fed-inflation-reading-coming-friday-heres-what-to-expect.html |
|
Rivian investor day focuses on cost reductions, efficiencies and next-generation EVsRivian shares fell about 2% to 6% for much of the event on Thursday, eating into their 23% gain the day before on news of an up to $5 billion investment by VW. Read more at: https://www.cnbc.com/2024/06/27/rivian-investor-day-focuses-on-cost-reductions-efficiency-gains.html |
|
Chewy stock pops 34% after Roaring Kitty posts a dog picture, then gives it all backShares of the online pet food retailer saw a big roundtrip after Roaring Kitty posted a picture on social media platform X resembling its logo. Read more at: https://www.cnbc.com/2024/06/27/chewy-jumps-after-trader-roaring-kitty-posts-picture-of-cartoon-dog.html |
|
OpenAI, Microsoft sued by Center for Investigative Reporting as news industry bolsters attack on AIFollowing lawsuits filed by The New York Times and other publications, the Center for Investigative Reporting is now taking on OpenAI and Microsoft. Read more at: https://www.cnbc.com/2024/06/27/openai-microsoft-sued-by-center-for-investigative-reporting.html |
|
Trump will debate Biden while still bound by gag orders. Here’s what he can’t sayFormer President Donald Trump and President Joe Biden are set to debate for the first time in the 2024 presidential cycle, with polls showing a tight race. Read more at: https://www.cnbc.com/2024/06/27/trump-biden-debate-gag-orders-hush-money-trial.html |
|
This asset can provide investors hefty yields at a favorable tax rate. Here’s what you should knowPreferred stocks can enhance portfolio income and do so at a tax-advantaged rate, but they bring plenty of complexity and risk. Read more at: https://www.cnbc.com/2024/06/27/this-asset-can-provide-investors-hefty-yields-at-a-favorable-tax-rate.html |
|
Walgreens stock plunges as drugstore chain slashes profit guidance in ‘challenging’ consumer environmentThe results and guidance cut come as Walgreens works to slash costs by closing underperforming U.S. stores, among other measures. Read more at: https://www.cnbc.com/2024/06/27/walgreens-wba-earnings-q3-2024.html |
|
JPMorgan Chase says its stress test losses should be higher than what the Fed disclosedLast year, Bank of America and Citigroup made similar disclosures, saying that estimates of their own future income differed from the Fed’s results. Read more at: https://www.cnbc.com/2024/06/27/jpmorgan-chase-fed-stress-test-results-error.html |
|
How Walmart-owned Sam’s Club is trying to take on Costco’s private label KirklandWalmart-owned Sam’s Club is trying to raise the quality of its Member’s Mark private brand and compete with Costco’s Kirkland Signature. Read more at: https://www.cnbc.com/2024/06/27/how-walmarts-sams-club-is-trying-to-take-on-costcos-kirkland.html |
|
Freight train derails in Chicago suburb, triggering evacuations over suspected leakCanadian National Railway said the derailment in Matteson, Illinois, involved about 10 cars “carrying various substances.” Read more at: https://www.cnbc.com/2024/06/27/freight-train-derails-in-chicago-suburb-triggering-evacuations-over-suspected-leak.html |
|
Supreme Court blocks Purdue Pharma opioid settlement, threatening billions of dollars for victimsIn a loss for the Sackler family, the justices ruled that a bankruptcy judge did not have the authority to let its members evade facing future lawsuits. Read more at: https://www.cnbc.com/2024/06/27/supreme-court-blocks-purdue-pharma-opioid-settlement.html |
|
Supreme Court curbs SEC powers to enforce securities lawsThe case is one of several on the docket in which the conservative-majority court is weighing business-backed efforts to curb the power of federal agencies. Read more at: https://www.cnbc.com/2024/06/27/supreme-court-curbs-sec-powers-to-enforce-securities-laws.html |
|
Chinese automakers expected to achieve 33% global market share by 2030Chinese automakers are expected to continue rapidly expanding outside of China to achieve 33% of the global automotive market share by 2030. Read more at: https://www.cnbc.com/2024/06/27/chinese-automakers-expected-to-achieve-33percent-global-market-share-by-2030.html |
|
Bonds, Bullion, Bitcoin, & Big-Tech (Ex-NVDA) Bid Despite Macro MeltdownMacro was ugly – really ugly – today: Personal Consumption ugly (Q1 downgraded on 3rd look), continuing jobless claims ugly (highest since Nov 2021), core capital goods new orders and shipments ugly (not a great signals for Q2 GDP), pending home sales ugly (puke to record lows SAAR), and finally, Kansas City Fed manufacturing ugly (21st month in a row without expansion)… This smashed the US Macro Surprise Index to its weakest since January 2016 (and we have May’s PCE tomorrow)…
Source: Bloomberg Micro was not pretty: Micron spooked the AI trade (NVDA lower too)… Read more at: https://www.zerohedge.com/markets/bonds-bullion-bitcoin-big-tech-ex-nvda-bid-despite-macro-meltdown |
|
Biden Preparing To Approve Deployment Of US Military Contractors To UkraineIn yet another widening of policy which marks escalation in Ukraine, the Biden administration is preparing to lift a de facto ban on allowing American military contractors to deploy inside Ukraine. Four US officials described to CNN that the fundamental purpose would be to help the war-ravaged country’s country’s military maintain and repair US-provided weapons systems, much of which has already been damaged.
“The policy is still being worked on by administration officials and has not received final sign-off yet from President Joe Biden, officials said,” CNN reports.< … Read more at: https://www.zerohedge.com/geopolitical/biden-preparing-approve-deployment-us-military-contractors-ukraine |
|
Train Derailment In Illinois Prompts Emergency “Long-Term Evacuation”Evacuations are currently underway in Matteson, Illinois, following a freight train derailment on Thursday morning.
NBC Chicago says local officials posted a mandatory evacuation order for all residents and businesses near the derailment site, which occurred around 217th Street and Main. Read more at: https://www.zerohedge.com/markets/train-derailment-illinois-prompts-emergency-long-term-evacuation |
|
“How F***ing Dare You!”: ZeroHedge Immigration Debate Gets HeatedLast night, ZeroHedge brought together four prominent pundits to debate one of the most combustible topics of the day: illegal immigration across the porous US border.
Immigration is the most important political problem facing the US today according to Gallup and about a half-dozen other pollsters, not to mention at least half of America. If you missed it, here were the highlights: “This is a leftist argument.” In response to arguments put forth by author Ryan Girdusky that immigrants lower American wages, The Hill correspondent Robby Soave dismissed it as a tactic of the left. “The economy arguments are nonsense.” Read more at: https://www.zerohedge.com/political/how-fing-dare-you-zerohedge-immigration-debate-gets-heated |
|
Mortgage costs to rise for 3 million, says BankAround 400,000 households could face monthly payment increases of over 50%. Read more at: https://www.bbc.com/news/articles/crged975jx7o |
|
IT expert ‘pressurised’ by Post Office over evidenceGareth Jenkins says he felt pressure from the Post Office over evidence he gave in the trial of Seema Misra. Read more at: https://www.bbc.com/news/articles/c3gvxdlrgw0o |
|
Justices reject plan to shield Sacklers in Purdue opioid dealThe deal would have protected members of the Sackler family from lawsuits over their role in fuelling the opioid crisis. Read more at: https://www.bbc.com/news/articles/crggl32dz2lo |
|
Infra and defence mutual funds dominate returns chart in first half of 2024The first half of 2024 showcased the dominance of infrastructure and defense-based mutual funds in the market. While some international funds faced challenges, strategic investment decisions were crucial. Diverse performances emphasized the need for a well-rounded portfolio strategy to navigate the market effectively. Read more at: https://economictimes.indiatimes.com/mf/analysis/infra-and-defence-mutual-funds-dominate-returns-chart-in-first-half-of-2024/articleshow/111305159.cms |
|
Quant Mutual Fund answers FAQs on Sebi probe, returns expectationsStating that there was no further action from SEBI int the suspected front running case in which it is being probed, Quant Mutual Fund today assured investors in a communique that the fund house is functioning normally and its performance would be at par with its style. Read more at: https://economictimes.indiatimes.com/mf/mf-news/quant-mutual-fund-running-normally-no-further-action-from-sebi-fund-house-assures-investors/articleshow/111316953.cms |
|
Tech View: Short covering rally takes Nifty beyond 24K. Here’s how to trade on FridayThe underlying trend of Nifty continues to be positive. A sustainable move above 24000-24100 levels could pull Nifty towards another Fibonacci extension resistance of around 24380-24400 levels in the near term. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/tech-view-short-covering-rally-takes-nifty-beyond-24k-heres-how-to-trade-on-friday/articleshow/111315998.cms |
|
What should Biden and Trump say to America’s most important voting bloc — seniors?Presidential debate topics crucial to older Americans — Social Security, Medicare and Medicaid — must get some airtime. Read more at: https://www.marketwatch.com/story/what-should-biden-and-trump-say-to-americas-most-important-voting-bloc-seniors-0ea8894b?mod=mw_rss_topstories |
|
If Arizona Iced Tea’s price kept pace with inflation, it would cost 124% more than it does todayThe flagship tea drink costs the same in 2024 as it did in 1992 Read more at: https://www.marketwatch.com/story/if-arizona-iced-teas-price-kept-pace-with-inflation-it-would-cost-124-more-than-it-does-today-a6094244?mod=mw_rss_topstories |
|
2-year Treasury yield ends at lowest in more than a week after soft first-quarter GDP estimateTreasurys rallied modestly on Thursday, sending yields lower, after revised data showed first-quarter annual U.S. GDP grew at a lackluster 1.4% rate. Read more at: https://www.marketwatch.com/story/treasury-yields-at-two-week-highs-as-crucial-pce-inflation-data-looms-d828c3b8?mod=mw_rss_topstories |
Illustrative US Army file image
