Summary Of the Markets Today:
- The Dow closed up 247 points or 0.62%, (Closed at 40,001, Historic high 40.257)
- Nasdaq closed up 0.63%,
- S&P 500 closed up 0.55%, (Closed at 5,615, New Historic high 5,656)
- Gold $2,418 down $4.10,
- WTI crude oil settled at $82 down $0.41,
- 10-year U.S. Treasury 4.182 down 0.010 points,
- USD index $104.09 down $0.340,
- Bitcoin $57,595 down $254 or 0.44%,
- Baker Hughes Rig Count: U.S. -1 to 584 Canada +14 to 189
*Stock data, cryptocurrency, and commodity prices at the market closing.
Click here to read our current Economic Forecast – July 2024 Economic Forecast: One Recession Flag Removed But Little Indication The Economy Is Strengthening
Today’s Economic Releases Compiled by Steven Hansen, Publisher:
There are underlying elements for inflation. One of the major elements is the Producer Price Index (PPI). Unfortunately, the PPI Final Demand edged upward from 2.4% last month to 2.7% year-over-year in June 2024. This increase was driven by the services sector which jumped from 3.0% last month to 3.5% this month. I keep reminding readers that there are inflationary elements and forces that are not subsiding – and it is a mistake to believe inflation is going away.
Here is a summary of headlines we are reading today:
- China’s Role in Russia-Ukraine War Draws Scrutiny at NATO Summit
- U.S. Oil, Gas Drilling Activity Continues To Drop
- Neither Israel Nor Hezbollah Want All-Out War
- Europe Increasingly Reliant on American Diesel
- Brent Tops $86 on Hopes of Fed Cut in September
- Dow rises more than 200 points, touches new record above 40,000: Live updates
- JPMorgan’s Jamie Dimon warns inflation and interest rates may stay higher
- AT&T says hackers stole records of nearly all cellular customers’ calls and texts
- Southwest Airlines, Archer Aviation ink air-taxi deal
- 2-year Treasury yield ends at lowest since February after decline in consumer sentiment
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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China’s Role in Russia-Ukraine War Draws Scrutiny at NATO SummitAs NATO leaders gathered in Washington for a landmark summit and issued “irreversible” support for Ukraine and deep criticism of Beijing for its support of Russia, China was holding maneuvers with Belarusian troops on the alliance’s eastern edge. The 11-day joint military exercises named Eagle Assault 2024 kicked off on July 8 — the eve of the NATO summit — and are under way near the Belarusian city of Brest, some 5 kilometers from the Polish border.The first of their kind between China and Belarus, the drills reflect growing defense ties between… Read more at: https://oilprice.com/Geopolitics/International/Chinas-Role-in-Russia-Ukraine-War-Draws-Scrutiny-at-NATO-Summit.html |
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Nigeria’s Dangote Refinery Branches Out Into Brazilian CrudeNigeria’s Dangote refinery is set to receive its first shipment of Brazilian crude oil as it continues towards full operational capacity. The purchase of Brazilian crude is a first for Nigeria. The refinery will import a one-million-barrel cargo of Brazil’s Tupi crude, scheduled for delivery in the latter half of next month. The Dangote refinery has been pivotal in reducing Nigeria’s reliance on imported fuel. Despite being Africa’s largest oil producer, Nigeria has historically depended on foreign fuel imports to meet its domestic needs, with… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Nigerias-Dangote-Refinery-Branches-Out-Into-Brazilian-Crude.html |
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U.S. Oil, Gas Drilling Activity Continues To DropThe total number of active drilling rigs for oil and gas in the United States fell this week, according to new data that Baker Hughes published on Friday. The total rig count fell by 1to 584 this week, compared to 675 rigs this same time last year. The number of oil rigs fell by 1 this week, after holding steady in the week prior. Oil rigs now stand at 478—down by 59 compared to this time last year. The number of gas rigs also fell by 1 this week to 100, a loss of 33 active gas rigs from this time last year. Miscellaneous rigs gained one… Read more at: https://oilprice.com/Energy/Energy-General/US-Oil-Gas-Drilling-Activity-Continues-To-Drop.html |
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Oklo to Start Building First Small Modular Reactors in 2027Sam Altman-backed nuclear company Oklo is “push[ing] towards its target of building its first small modular reactor by 2027 at the Idaho National Laboratory,” according to a new report from Reuters. The company – which we have highlighted as the potential solution to the extreme forthcoming demands in energy as a result of artificial intelligence – makes nuclear power plants, ranging from 15 MWe to 50 MWe, utilizing liquid metal reactor technology. And while licensing and fuel supply are still bottlenecks, according to the report, the company… Read more at: https://oilprice.com/Alternative-Energy/Nuclear-Power/Oklo-to-Start-Building-First-Small-Modular-Reactors-in-2027.html |
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OPEC+ Cuts and Demand Woes Keep Oil Prices in Narrow Trading RangeOil prices have remained in a narrow $75 to $90 a barrel trading range since the end of 2022, as the OPEC+ group continues to keep supply off the market but often-resurfacing concerns about global oil demand have dampened bullish sentiment. After spiking to above $100 a barrel in the wake of the Russian invasion of Ukraine in early 2022, Brent Crude prices have traded between $75 and $90 per barrel since the end of 2022, LSEG data cited by Reuters showed on Friday. While the OPEC+ alliance is keeping a floor under oil… Read more at: https://oilprice.com/Latest-Energy-News/World-News/OPEC-Cuts-and-Demand-Woes-Keep-Oil-Prices-in-Narrow-Trading-Range.html |
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Neither Israel Nor Hezbollah Want All-Out WarThere is growing concern that any significant escalation in the Israel-Hezbollah conflict would disrupt gas supplies, first and foremost to Egypt, which is monitoring this with a fair amount of dread. The situation continues to intensify. On Tuesday, Israel launched its deepest strike into Israeli territory yet, hitting Hezbollah’s air defense systems in Janta, only about 50 miles outside of Beirut. Hezbollah then retaliated with a strike on an Israeli military base in the Golan Heights that killed two civilians. On Wednesday, Hezbollah… Read more at: https://oilprice.com/Geopolitics/Middle-East/Neither-Israel-Nor-Hezbollah-Want-All-Out-War.html |
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Russian Oil Product Shipments Slipped in JuneRussian shipments of oil products dropped by 4.2% in June compared to May, on the back of stronger domestic fuel consumption and unplanned maintenance at refineries, according to Reuters estimates and data from industry sources. While oil product shipments from the Baltic ports increased last month by 11.7% from May levels, seaborne exports from the Black Sea and Azov Sea ports slumped by 23.8% month-on-month in June, according to the data crunched by Reuters. Russia’s Artic ports of Murmansk and Arkhangelsk saw oil… Read more at: https://oilprice.com/Energy/Crude-Oil/Russian-Oil-Product-Shipments-Slipped-in-June.html |
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Both Supply and Demand Point to Higher CrudeFor a while now, crude prices have been driven largely by demand, both existing and forecast. Supply has been quite tight, but that has been offset by expectations for an economic slowdown, particularly in the US. Over the last few weeks, though, the view in that regard has begun to change. So much so, in fact, that OPEC issued a bullish demand forecast this week. Of course, the cynic would say that that is no surprise, given that the cartel exists primarily to support oil prices. Back when I worked in dealing rooms, talking your book was a common… Read more at: https://oilprice.com/Energy/Oil-Prices/Both-Supply-and-Demand-Point-to-Higher-Crude.html |
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Maduro Inserts Himself 13-Times on Venezuela Election BallotPolitics, Geopolitics & Conflict – On the Russia-Ukraine war front, Zelensky is now asking NATO to lift restrictions on using long-range weapons to target deep inside Russian territory during a summit in Washington on Wednesday. Much like the carefully calculated Israel-Lebanon conflict, such a move could push things over the edge and widen what has become an unofficial war between Russia and NATO (by proxy, for now). At the same time, NATO has emphasized that Ukraine’s path toward membership in the Western military alliance is now “irreversible”.… Read more at: https://oilprice.com/Geopolitics/International/Maduro-Inserts-Himself-13-Times-on-Venezuela-Election-Ballot.html |
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Europe Increasingly Reliant on American DieselNumbers Report – July 12, 2024 In the latest edition of the Numbers Report, we will take a look at some of the most interesting figures put out this week in the energy and metals sectors. Each week we’ll dig into some data and provide a bit of explanation on what drives the numbers. Let’s take a look. 1. Intense Heat Raises Risk of Refinery Upsets Around the World – Rampant heatwaves across the world are threatening refinery operations as most refineries were designed in the 1960s and 1970s when general temperatures were… Read more at: https://oilprice.com/Energy/Crude-Oil/Europe-Increasingly-Reliant-on-American-Diesel.html |
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Short Term Demand Boosts Oil MarketWeekly Recap of Crude Oil Market The crude oil market experienced a volatile week, influenced by a mix of geopolitical events, economic indicators, and supply-demand factors. Despite some downward pressure, the overall trend remained bullish on the weekly chart. Middle East Developments The week began with oil prices retreating as potential ceasefire negotiations in Gaza eased Middle East tensions. This de-escalation lowered the geopolitical risk premium factored into oil prices, as the region’s stability directly impacts global oil supply and… Read more at: https://oilprice.com/Energy/Oil-Prices/Short-Term-Demand-Boosts-Oil-Market.html |
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Norway’s Oil Producer Aker BP Beats Q2 Profit EstimateNorwegian oil and gas producer Aker BP reported on Friday a net profit of $561 million for the second quarter, slightly beating a company-provided analyst consensus estimate. Aker BP, one of the biggest independent oil companies in Europe, was expected to book $539 million in net profit for the second quarter, according to a consensus of estimates provided by sell-side analysts it has compiled. Core earnings, or EBITDA, at Aker BP rose to $3 billion, up from $2.8 billion for the first quarter of 2024, and just in… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Norways-Oil-Producer-Aker-BP-Beats-Q2-Profit-Estimate.html |
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Brent Tops $86 on Hopes of Fed Cut in SeptemberBrent crude soared to $86 per barrel as better-than-expected U.S. inflation data stirred hopes of a September Fed rate cut. The beginning of this week has seen a slight downward correction for oil prices, with anticipated damages from Hurricane Beryl turning out to be less impactful than initially assumed, however, constructive macroeconomic data have reversed that downslide. With US consumer prices falling for the first time in four years last month, the September interest rate cut became a high-probability event for the Fed, lifting ICE Brent… Read more at: https://oilprice.com/Energy/Crude-Oil/Brent-Tops-86-on-Hopes-of-Fed-Cut-in-September.html |
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FTC Requests More Info On $22.5 Billion ConocoPhillips-Marathon Oil DealThe U.S. Federal Trade Commission (FTC) has sent a second request for additional information to ConocoPhillips and Marathon Oil while reviewing their proposed $22.5 billion merger, ConocoPhillips said on Friday. On July 11, 2024, ConocoPhillips and Marathon each received a request for additional information and documentary materials from the FTC in connection with the FTC’s review of the merger announced in May. “ConocoPhillips and Marathon continue to work constructively with the FTC in its review of the Merger… Read more at: https://oilprice.com/Energy/Crude-Oil/FTC-Requests-More-Info-On-225-Billion-ConocoPhillips-Marathon-Oil-Deal.html |
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China’s Crude Oil Imports Slump 11% in JuneChina’s imports of crude oil slumped by 11% in June from a record-high in the same month of 2023, amid tepid fuel demand and lower run rates at independent refiners. In the first half of 2024, crude arrivals also dropped, by 2.3% compared to the first half of last year, according to data from China’s General Administration of Customs cited by Reuters on Friday. Last month, crude imports in the world’s largest oil importer stood at 46.45 million metric tons, or around 11.3 million barrels per day (bpd). While… Read more at: https://oilprice.com/Energy/Crude-Oil/Chinas-Crude-Oil-Imports-Slump-11-in-June.html |
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Dow rises more than 200 points, touches new record above 40,000: Live updatesStocks rebounded from the S&P 500’s worst session since late April on Thursday. Read more at: https://www.cnbc.com/2024/07/11/stock-market-today-live-updates.html |
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Here’s the deflation breakdown for June 2024 — in one chartPrices have fallen for physical goods, gasoline, airfare and some grocery items like apples since June 2023, according to the consumer price index. Read more at: https://www.cnbc.com/2024/07/12/heres-the-deflation-breakdown-for-june-2024-in-one-chart.html |
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JPMorgan’s Jamie Dimon warns inflation and interest rates may stay higherJPMorgan Chase CEO Jamie Dimon on Friday issued another warning about inflation despite recent signs of easing in price pressures. Read more at: https://www.cnbc.com/2024/07/12/jpmorgans-jamie-dimon-warns-inflation-and-interest-rates-may-stay-higher.html |
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AT&T says hackers stole records of nearly all cellular customers’ calls and textsThe data contains records of calls and texts between approximately May 1 and Oct. 31, 2022, and on Jan. 2, 2023. Read more at: https://www.cnbc.com/2024/07/12/att-says-hackers-stole-records-of-nearly-all-cell-customers-calls-and-texts.html |
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Nearly 20 Democrats in Congress have called on Biden to quit racePresident Joe Biden says there is no way he would reconsider remaining in the election against Donald Trump, short of polls saying he had no chance to win. Read more at: https://www.cnbc.com/2024/07/12/biden-live-updates-democrats-trump-election.html |
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This strategy can offer double-digit yields — at a costWith yields that can reach 10% or more, covered-call exchange-traded funds have become a popular investment. Read more at: https://www.cnbc.com/2024/07/12/this-strategy-can-offer-double-digit-yields-at-a-cost.html |
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Majority of economists say inflation would be higher under Trump than Biden: WSJ surveyPresident Biden has touted an optimistic inflation report that showed consumer prices declined in June for the first time in more than four years. Read more at: https://www.cnbc.com/2024/07/12/economists-trump-inflation-biden-wsj.html |
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Democratic megadonor Ron Conway took his concerns about Biden directly to PelosiPresident Joe Biden might be on the brink on losing a key ally in Silicon Valley. Read more at: https://www.cnbc.com/2024/07/12/biden-ally-ron-conway-spoke-to-nancy-pelosi-about-concerns.html |
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StubHub delays IPO until after Labor DayThe online ticketing service had been eyeing a summer initial public offering, aiming for a valuation of at least $16.5 billion. Read more at: https://www.cnbc.com/2024/07/12/stubhub-punts-ipo.html |
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House fails to override veto of SEC crypto guidance, and probe into Stacks ends: CNBC Crypto WorldCNBC Crypto World features the latest news and daily trading updates from the digital currency markets and provides viewers with a look at what’s ahead with high-profile interviews, explainers, and unique stories from the ever-changing crypto industry. On today’s show, Bill Barhydt, founder and CEO of Abra, a global platform for digital asset prime services and wealth management, weighs in on why the price of bitcoin has been stuck below $60,000. Read more at: https://www.cnbc.com/video/2024/07/12/house-fails-override-veto-sec-crypto-guidance-probe-stacks-ends-cnbc-crypto-world.html |
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These are America’s 10 most expensive states to live in for 2024Inflation is coming down, but in these 10 U.S. states, residents still face the nation’s highest cost of living, from food to insurance and housing. Read more at: https://www.cnbc.com/2024/07/12/americas-10-most-expensive-states-to-live-in.html |
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These are America’s 10 cheapest states to live in for 2024Consumer prices are falling, but inflation remains elevated across the U.S., making these 10 states America’s best places to live inexpensively. Read more at: https://www.cnbc.com/2024/07/12/americas-10-cheapest-states-to-live-in.html |
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This week’s most overbought stocks include several real estate names and a regional bankA better-than-expected consumer inflation report led investors to buy rate-sensitive stocks such as REITs and industrials. Read more at: https://www.cnbc.com/2024/07/12/weeks-most-overbought-stocks-include-real-estate-and-a-regional-bank.html |
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After Hundreds Of Launches, SpaceX Falcon 9 Rocket Suffers Rare Engine FailureSpaceX’s workhorse Falcon 9 rocket suffered a rare engine failure on Thursday night during a Starlink mission to deploy satellites in low Earth orbit. This was the first mid-flight incident with the Falcon 9 rocket since June 2015. The Falcon 9 rocket lifted off from Vandenberg Space Force Base in California around 2235 ET, carrying 20 Starlink satellites, 13 of which are the new direct-to-cell satellites. SpaceX wrote on X that “the second stage engine” of the Falcon 9 rocket “did not complete its second burn.” “As a result, the Starlink satellites were deployed into a lower than intended orbit,” Elon Musk’s space company said, adding, “SpaceX has made contact with 5 of the satellites so far and is attempting to have them raise orbit using their ion thrusters.”
Musk chimed in shortly after, “We’re updating satellite software to run the ion thrusters at their equivalent of warp 9. Unlike a Star Trek episode, this will probably not work, but it’s worth a shot. The satellite thrusters ne … Read more at: https://www.zerohedge.com/technology/after-hundreds-launches-spacex-falcon-9-rocket-suffers-rare-engine-failure |
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Biden Advisors Threaten To “Beat The Shit Out Of” Staffers Who Don’t Keep QuietAuthored by Steve Watson via modernity.news, It’s weird seeing the media pile on with the ‘scoops’ about what exactly is going on behind the scenes with Biden’s panicking entourage, but this one takes it to another level.
CNN reports that a prominent Democrat has claimed Biden’s advisors have threatened White House staffers, saying they will “beat the shit out” of anyone who says anything about Biden’s health that runs contrary to their narrative. CNN anchor Jake Tapper spoke with reporter MJ Lee in a bizarre segment in which she revealed the claims.
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BlackRock ‘Tokenized’ Treasury Fund BUIDL Tops $500 MillionAuthored by Brayden Lindrea via CoinTelegraph.com, The BlackRock USD Institutional Digital Liquidity Fund has reached a $500 million market cap, making it the first tokenized treasury fund to reach this milestone.
Launched less than four months ago, BlackRock BUIDL, currently holds $502.8 million worth of tokenized Treasurys, according to Ethereum block explorer Etherscan. The milestone was reached after real-world asset tokenization firm Ondo Finance bought more BUIDL, which it uses as a backing asset for its OUSG token. Read more at: https://www.zerohedge.com/crypto/blackrock-tokenized-treasury-fund-buidl-tops-500-million |
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US Issues Largest Ever Batch Of Sanctions On Israeli Settlers & OutpostsThe White House on Thursday unveiled its most comprehensive round of sanctions on Israeli settlers and ‘extremists’ do date. The US Treasury described the targeted individuals and entities as those “who have weaponized them [West Bank outposts] as bases for violent actions to displace Palestinians.” This new action marks the fifth batch of sanctions, and impacts three individuals and five entities. Notably it includes a settler group led by Benzi Gopstein, widely viewed as a close ally of National Security Minister Itamar Ben Gvir.
Some of the new a … Read more at: https://www.zerohedge.com/geopolitical/us-issues-largest-ever-batch-sanctions-israeli-settlers-outposts |
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Carpetright close to collapse with 1,800 jobs at riskThe retailer says it intends to appoint administrators while it works to secure extra funding. Read more at: https://www.bbc.com/news/articles/ckkgl3zz1v6o |
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Unilever to slash a third of European workforceThe biggest job cuts at the company for decades are part of an effort to revive growth. Read more at: https://www.bbc.com/news/articles/c1wejzy6n7lo |
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‘We won’t run out of beer’: Pubs prep for Euro finalA surge in beer, burger, and pizza sales is expected ahead of England’s match with Spain on Sunday. Read more at: https://www.bbc.com/news/articles/cp9v0294r13o |
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These 7 unique stocks were held by mutual funds in June. Do you own any?In June 2024, Nippon India Mutual Fund held Sundaram Finance Holdings, with the Nippon India Small Cap Fund holding 90.35 lakh shares valued at ₹243.14 crore. Read more at: https://economictimes.indiatimes.com/mf/analysis/these-7-unique-stocks-were-held-by-mutual-funds-in-june-do-you-own-any/slideshow/111694259.cms |
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Ace investor Akash Bhansali raises stake to 1.21% in Paytm in June quarterBhanshali holds 19 stocks besides Paytm, totaling over ₹5,980.4 crore. Notably, retail investors increased their stakes in the company by 1.30% in the April-June quarter, reaching 16.56%. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/ace-investor-akash-bhansali-raises-stake-to-1-21-in-paytm-in-june-quarter/articleshow/111695236.cms |
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Demand side concerns continue for HCL Tech as it reports weaker revenueHCL Tech’s Q1 FY25 results were mixed, with better-than-expected net profit due to higher other income offsetting disappointing revenue growth. Operating margins were under pressure as anticipated, and the company secured fewer new deals compared to the previous quarter, a trend also seen in its larger competitor, TCS. Read more at: https://economictimes.indiatimes.com/markets/stocks/earnings/demand-side-concerns-continue-for-hcl-tech-as-it-reports-weaker-revenue/articleshow/111695851.cms |
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Southwest Airlines, Archer Aviation ink air-taxi dealThe companies aim to develop air-taxi networks in California. Read more at: https://www.marketwatch.com/story/southwest-airlines-archer-aviation-ink-air-taxi-deal-be887b8d?mod=mw_rss_topstories |
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2-year Treasury yield ends at lowest since February after decline in consumer sentimentRates on U.S. government debt finished lower on Friday, with 2- and 10-year yields hitting the lowest levels in four or five months, after data from the University of Michigan showed a drop in consumer sentiment. Read more at: https://www.marketwatch.com/story/treasury-yields-steady-as-investors-wait-for-u-s-ppi-sentiment-data-d5f7c2a1?mod=mw_rss_topstories |
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Oil posts first weekly loss in five weeks as traders weigh inflation data, demand signalsOil futures posted a decline on Friday to tally their first weekly loss in five, as traders weighed this week’s U.S. inflation data, prospects for supplies, and the latest signs of demand. Read more at: https://www.marketwatch.com/story/oil-prices-higher-after-cooler-inflation-data-d274ef61?mod=mw_rss_topstories |
Benzi Gopshtein. JPost/Flash90Interestingly it comes the same week that Biden has approved the resumption of 500-pound bomb shipments to Israel. These merely somewhat symbolic sanctions against a tiny handful of settlers appear more as a PR attempt at balancing pro-Israeli military policies for the sake of appeasing Progressive Democrats in the US.