US markets are 'channeling' trading between a minor support and and a major resistance on low, but moderate volume. Some analysts are seeing this as a consolidation before moving up. WTI crude failed again to move past its resistance at $38.20, now viewed as a significant stumbling block most likely supported by shorts. A late afternoon rally could take the Spooz up to 1994.
Here is the current market situation from CNN Money
North and South American markets are mixed. The S&P 500 is higher by 0.32%, while the IPC is leading the Bovespa lower. They are down 0.46% and 0.17% respectively.
$NYA200R chart below is the percentage of stocks above the 200 DMA and is always a good statistic to follow. It can depict a trend of declining equities which is always troubling, especially when it drops below 60% - 55%. Dropping below 40%-35% signals serious continuing weakness and falling averages.
BERLIN (Reuters) - Qatar Airways stepped up its criticism of U.S. engine maker Pratt & Whitney over delays and technical problems on Wednesday, saying that engines for its Airbus A320neo aircraft had not been adequately tested.
(Reuters) - Shares of Chipotle Mexican Grill Inc fell more than 6 percent in morning trading on Wednesday, a day after the popular burrito chain operator said it would temporarily shut a Massachusetts restaurant after four employees fell sick.
(Reuters) - Something is awry in the beleaguered U.S. shale patch: older wells, which normally gush oil or natural gas in their first few months before rapidly depleting, are not petering out as quickly as they should.
WASHINGTON (Reuters) - U.S. wholesale inventories unexpectedly rose in January as sales tumbled, suggesting that efforts by businesses to reduce an inventory overhang could persist well into 2016 and restrain economic growth in the coming quarters.
SAN FRANCISCO (Reuters) - After months of declines in Apple's stock, sentiment appears to be mending as investors focus on steady earnings expectations and bet that the expected launch of a new iPhone will add badly-needed fuel to sputtering sales.
(Reuters) - Amazon.com Inc will lease 20 Boeing 767 freighter aircraft, lessor Air Transport Services Group Inc said on Wednesday, as the online retailer moves closer to setting up its own air delivery network.
Echoing the less than exuberant credit market and confirming Jeff Gundlach's (and former Fed President Dick Fisher), infamous short-seller Muddy Waters' Carson Block told Reuters that the recent rally in the U.S. stock market feels like a "dead cat bounce."
"I would say that this does feel like it is a dead cat bounce because how much more ammunition really do policymakers have?"
The largest oil companies are struggling to balance competing objectives with dramatically lower revenues compared to previous years.
Nearly all have taken the axe to their spending levels, although to varying degrees. New exploration projects have been scrapped, suppliers have been squeezed, and workers have been laid off. But the top tier companies are fighting to protect their dividend policies above all else, an increasingly expensive priority that is forcing deeper cuts to spending.
But the strategies differ depending on the company. Chevron, for example, continues to cut spending in order to keep its dividend. The California-based multinational just announced that it would cut its capex in 2017 and 2018 by another 36 percent, bringing annual spending down to between $17 and $22 billion. That is down from an October 2015 estimate, when Chevron said that it expected to spend $20 to $24 billion each year in 2017 and 2018. It is also sharply lower than the $26.6 billion Chevron is spending this year, which itself is a 25 percent reduction from last year's levels.
The severe cuts come as Chevron has had to take on debt in order to afford shareholder dividends, as the company has not generated enough cash flow to cover the payouts with oil prices as low as they are. Dividends cost the company $8 billion in 2015 alone. Chevron would need oil trading at $50 in order to cover the dividend with cash flow.
This week is also notable for Chevron because the giant Gorgon LNG project in Australia is finally beginning operations. The $54 billion export facility has absorbed ...
Just two months ago, former Fed President Dick Fisher admitted that "The Fed front-loaded an enormous market rally in order to create a wealth effect." Today he is back, taking a victory lap onthe 7th anniversary of the crisis lows by explaining, rather stunningly, to CNBC that "we injected cocaine and heroin into the system" to enable a wealth effect (that he admits did not work, despite its success in raising asset prices), and "now we are maintaining it with ritalin." Fisher also confirmed his previous warning that "The Fed is a giant weapon that has no ammunition left."
Fisher explains how The Fed achieved its goals... but admits that didn't really fix anything...
And here is CNBC's higher quality (edited) version where the blame for everything is pinned on "feckless fiscal authorities..."
Once again, Fisher appears to be undertaking a major "cover-your-ass" episosde, proclaiming that he was against QE3 which is what has forced "valuations to be very richly priced."
The headlines say wholesale sales were down month-over-month with inventory levels remaining at levels associated with recessions. Our analysis shows a declining trend of the 3 month averages. The best way to look at this series may be the unadjusted data three month rolling averages.
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