Crude Oil Trades Higher On Positive Economic Outlook
Posted on Sunday, August 30, 2009
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Crude Oil,
Stochastics,
US Dollar
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Crude oil closed higher on Friday as it consolidates above the 20 day moving average crossing at 72.43. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term. The mid range close sets the stage for a steady opening on Monday.
Closes below last Monday's low crossing at 67.42 would open the door for a larger degree decline into September. If October renews this month's rally, June's high crossing at 75.27 is the next upside target.
First resistance is Tuesday's high crossing at 75.00
Second resistance is June's high crossing at 75.27
First support is Thursday's low crossing at 69.83
Second support is last Monday's low crossing at 67.42
Natural gas closed lower on Friday as it extends this summer's decline. The low-range close sets the stage for a steady to lower opening on Monday. Stochastics and the RSI are oversold and are neutral to bullish hinting that a short term low might be in or is near. Closes above the 20 day moving average crossing at 3.641 are needed to confirm that a short term low has been posted.
If September extends this month's decline, monthly support crossing at 2.640 is the next downside target.
First resistance is the 10 day moving average crossing at 3.32
Second resistance is the 20 day moving average crossing at 3.64
First support is today's low crossing at 3.02
Second support is monthly support crossing at 2.64
The U.S. Dollar closed higher on Friday due to short covering while extending this month's trading range. The high range close sets the stage for a steady to higher opening on Monday. Stochastics and the RSI remain neutral to bearish signaling that sideways to lower prices are possible near term.
If September renews last week's decline, the reaction low crossing at 77.52 is the next downside target. Closes above last Monday's high crossing at 79.36 are needed to confirm that a short term low has been posted.
First resistance is Wednesday's high crossing at 78.89
Second resistance is last Monday's high crossing at 79.69
First support is last Friday's low crossing at 77.81
Second resistance is the reaction low crossing at 77.52
Dow Jones Industrial Index on 28/08/09
Posted on Friday, August 28, 2009
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Dow Jones,
NYSE
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The Dow Jones Industrial Average fell 36.43 points, or 0.38%, to 9544.20, the Standard & Poor's 500 lost 2.05 points, or 0.20%, to 1028.93 and the Nasdaq Composite picked up 0.05 points, or 1.04%, to 2028.77.
While the Dow's run came to an end on Friday, the index gave back just a fraction of its 445-point gain over that span. The bears and even some bulls have been calling for a correction, fearing stocks have gotten too far ahead of the slowly-recovering economy. But a sizable correction has yet to materialize during the Dow's 3,000 point surge since March 9.
The modest selloff prevented the Dow from notching its first nine-day winning streak since Nov. 1996. Still, the benchmark index climbed higher for the second week in a row remains on track for its best August since 2000.
“We are certainly due for a retracement,” said NSYE trader Jason Weisberg of Seaport Securities. “But down 50, 75, or even 100 points is not a retracement that people are looking for. That tells me the bears aren’t going to have their way this week and probably won’t have it next week either.”
Yahoo ! hit after deal with Mircosoft
Carol Bartz, who was brought in as Yahoo's CEO after Jerry Yang failed to accept Microsoft's acquisition offers, seemed determined to get Yahoo back on its feet independent of all other companies. Or failing that, she was at least supposed to hold out for "boatloads of money."
But she didn't. The new Microsoft-Yahoo deal doesn't involve any sort of upfront payment; a bit of revenue-sharing is all that's supposed to take place.
So Yahoo's stock has taken quite a hit since the deal went through. On July 28th - just before the official announcement was made - it closed $17.22. This morning, it's trading at $14.63 - a full 15.0 percent lower.
Meanwhile, investors are behind Microsoft, but not in a particularly big way - it's just moved from $23.47 to $23.88 (an increase of 1.7 percent) during the same time period.
We might be witnessing a deal that'll go down as one of the online sector's biggest ever goofs, then. (Assuming it goes through at all. Microsoft and Yahoo have set their sights on early 2010, with all sorts of integration issues and antitrust investigations possibly standing before them.) Yahoo's shareholders might try to take a bit of comfort in that fact, at least.
Biggest US Bank to Shut Down this year - Colonial BancGroup
Real estate lender Colonial BancGroup Inc. has been shut down by federal officials in the biggest U.S. bank failure this year.
The Federal Deposit Insurance Corp., which was appointed receiver of the Montgomery, Ala.-based Colonial and its about $25 billion in assets, said the failed bank's 346 branches in Alabama, Florida, Georgia, Nevada and Texas will reopen at the normal times starting on Saturday as offices of Winston-Salem, N.C.-based BB&T.
The FDIC has approved the sale of Colonial's $20 billion in deposits and about $22 billion of its assets to BB&T Corp.
Regulators also closed four other banks: Community Bank of
The closures boosted to 77 the number of federally insured banks that have failed in 2009.
The agency established a temporary government bank for Community Bank of
Community Bank of
Dwelling House had $13.4 million in assets and $13.8 million in deposits as of March 31. PNC Bank, part of Pittsburgh-based PNC Financial Services Group Inc., has agreed to assume all of Dwelling House's deposits and about $3 million of its assets; the FDIC will retain the rest for eventual sale.
The failure of Colonial is expected to cost the deposit insurance fund an estimated $2.8 billion and that of Community Bank of
The 77 bank failures nationwide this year compare with 25 last year and three in 2007.
As the economy has soured -- with unemployment rising, home prices tumbling and loan defaults soaring -- bank failures have cascaded and sapped billions out of the deposit insurance fund. It now stands at its lowest level since 1993, $13 billion as of the first quarter.
While losses on home mortgages may be leveling off, delinquencies on commercial real estate loans remain a hot spot of potential trouble, FDIC officials say. If the recession deepens, defaults on the high-risk loans could spike. Many regional banks hold large numbers of them.
The number of banks on the FDIC's list of problem institutions leaped to 305 in the first quarter -- the highest number since 1994 during the savings and loan crisis -- from 252 in the fourth quarter. The FDIC expects U.S. bank failures to cost the insurance fund around $70 billion through 2013.
The May closing of struggling
The largest U.S. bank failure ever also came last year: Seattle-based thrift Washington Mutual Inc. fell in September, with about $307 billion in assets. It was acquired by JPMorgan Chase & Co. for $1.9 billion in a deal brokered by the FDIC.
US Jobless Claims Increase In July
More Americans than forecast filed claims for unemployment insurance last week, the Labor Department said Thursday, underscoring the threat to spending from the continued deterioration in the job market.
The Labor Department said 558,000 people filed first-time claims for jobless benefits last week, up from 554,000 the week before.
“Until we start seeing job growth, consumers are still going to be very cautious,” said Michael Gregory, a senior economist at BMO Capital Markets in
Other reports showed companies trimmed inventories in June for a 10th consecutive month, and prices of imported goods dropped in July for the first time in six months as the cost of commodities such as petroleum and chemicals decreased.
The economy has lost about 6.7 million jobs since the recession started in December 2007, the worst of any downturn since World War II.
Banks Are Hiring Again
It’s not often that a single announcement creates shock waves in
More recently, and on a more positive note, comes Standard Chartered’s revelation that it’s hiring 300 relationship managers in priority banking, more than double its current RM headcount.
This seems significant for several reasons. Firstly, Stand Chart divulged its plans directly to the media, perhaps signalling that because the era of mass layoffs has ended, banks are no longer embarrassed to shout about their recruitment.
Secondly, the jobs on offer are all client facing, unlike other recent recruitment drives which have largely been limited to building up IT and back-office hubs. Thirdly, there’s the sheer scale of Stand Chart’s plans, which stand out in a market dominated by selective, senior recruitment.
And finally, these are priority banking positions (serving clients with between S$200k and S$1m to invest). Is this much maligned job function now making a comeback in the wake of several mis-selling scandals?
SCB believes expanding its Singapore-based priority team will give it better access to a growing pool of medium-rich investors across
Other banks, including HSBC and UOB, are also hiring in
Excluding SCB,
And even Stand Chart isn’t rushing to recruit. Ngo Min Ying, SCB’s general manager of premium banking, says the firm will hire over the next two to three years, depending on talent availability.
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