FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.

12Aug2016 Pre-Market Commentary: US Futures Drifting Lower, Gold Skyrocketing, US Dollar Water-Falling And WTI Crude Melts Up To The 43 Handle

Written by Gary

US stock index futures were drifting lower (SPY -0.1%), a day after all three main indexes closed at record highs for the first time since 1999. US economic financial reports were all negative this morning sending gold to new highs(1360) and the US dollar dropping like a rock (95.21) and it is not over. Short-term indicators bearish, but large moves tend to pull back.

Here is the current market situation from CNN Money

European markets are lower today with shares in Germany off the most. The DAX is down 0.40% while London's FTSE 100 is off 0.15% and France's CAC 40 is lower by 0.04%.

The first column is what was reported. The second column is what analysts were expecting and the third is the last report.

What Is Moving the Markets

Here are the headlines moving the markets.

Futures flat after indexes close at record highs

(Reuters) - U.S. stock index futures were little changed on Friday, a day after all three main indexes closed at record highs for the first time since 1999.

U.S. labor market firming; inflation remains benign

WASHINGTON (Reuters) - The number of Americans filing for unemployment benefits fell last week, pointing to sustained labor market strength in early August that could help spur faster economic growth.

Fed should raise interest rates this year, Williams says

SAN FRANCISCO (Reuters) - The Federal Reserve should raise interest rates further this year, a top U.S. central banker said in an interview published on Thursday, reflecting improved labor market conditions and the likelihood that inflation is heading higher.

Didi's Cheng Wei: Chinese patriot who tamed Uber

BEIJING (Reuters) - Cheng Wei, 34, was once assistant to the head of a foot massage firm. Last week, his company Didi Chuxing bagged Uber's China business in a deal valuing his ride-hailing start-up at $35 billion - a second success in as many years in a grueling battle with a rival.

Taking on Tesla: China's WM Motor sees mass market electric cars

SHANGHAI (Reuters) - It remains more promise than product, but the electric vehicle (EV) sector is drawing more talent from mainstream automakers which are reluctant to go full tilt at the new technology.

Exclusive: Wall St. banks ask Fed for five more years to comply with Volcker rule

(Reuters) - Big Wall Street banks are asking the U.S. Federal Reserve to grant them an additional five-year grace period to comply with a financial reform regulation known as the Volcker rule, people familiar with the matter said.

Electronic Marlboro sucks Japanese smokers away from Japan Tobacco

TOKYO (Reuters) - Marlboro maker Philip Morris International says its e-cigarette has rapidly captured close to 3 percent of Japanese tobacco sales, making inroads into a market Japan Tobacco (JT) relies on for 40 percent of its profit.

Email campaign asks McDonald's to take U.S. antibiotic curbs global

LOS ANGELES (Reuters) - A charity looking to fight the rise of dangerous, drug-resistant bacteria on Thursday asked the public to help convince McDonald's restaurants around the world to stop serving meat and milk from animals raised with routine use of medically important antibiotics.

Valeant stock falls as report of criminal probe adds to woes

NEW YORK (Reuters) - Valeant Pharmaceuticals International Inc shares fell about 11 percent on Thursday as new details about a criminal investigation into the drugmaker reignited investor concerns about the company's past business relationship with a mail-order pharmacy that sold its products.

Hillary Sounding Suspiciously Like Trump On Trade

Submitted by Michael Shedlock via,

When it comes to free trade, Hillary Clinton sounds more and more like Donald Trump every day.

This is a clear attempt to take votes from Trump's strongest supporters: disgruntled rust-belt workers who blame China and Mexico for stealing US jobs.

CNN Money reports Hillary Clinton Vows to Slap Tariffs on Trade Cheaters

For months, Trump has slammed U.S.' trade deals with Mexico and South Korea as "horrible" and "disastrous." He wants to fix them by placing hefty fines — known as tariffs — on goods coming into the U.S. from foreign countries that don't play fair.

Now, Clinton says she's ready to impose tariffs too.

"When countries break the rules, we won't hesitate to impose targeted tariffs," she told the crowd at a manufacturing plant in Warren, Michigan.

"I'm going to ramp up enforcement by appointing a new chief trade prosecutor, tripling the number of enforcement officers," she said.

On Thursday, Clinton went out of her way to stress that she is not supporting the controversial Trans-Pacific Partnership trade deal that President Obama has been pushing.

"I oppose it now, I'll oppose it after the election, and I'll oppose it as president," she said.

Trump's Big Plans

Also consider

"The Final Melt Up", "A Blow Off Top": Money Floods In As Investors Turn Euphoric At Triple Record High

In a historic trifecta, yesterday for the first time this century, all three US indexes posted concurrent record highs. The last time this had happened was on December 31, 1999.

At the same time, as the WSJ points out, the ratio of NYSE and NASDAQ stocks hitting 52-week highs versus 52-week lows surged to its highest level in years. "The last time we've seen levels like this consistently was in 2013, which went on to be one of the best years for stocks," said Frank Cappelleri, executive director of institutional equities at Instinet LLC. In 2013, the S&P 500 rose 30%.

Ironically, the ongoing meltup continues even as major sellside banks from JPM to Goldman Sachs, have been warning about an imminent downturn. Less than two weeks ago, we reported that Goldman had turned outright bearish, urging clients to "sell" stocks over the next three months, reiterating a bearish call it has made for the past quarter. Framing our skepticism, we asked whether "Goldman will again be wrong? It's distinctly possible, in which case we expect t ...

Money "Madness" Negative Interest Rates Sees Gold Buying Surge

Gold buying surged to record levels in H1, 2016 due to increasing concerns about the political, economic and monetary outlook. In particular, deepening concerns about the negative interest rate money "madness" of central banks today.

buy_gold_GermanyHeike Hofmann sells fruit and vegetables in Germany. She reacted to negative rates by cutting spending & buying gold bars. Photo: Georgi Kantchev/ Wall Street Journal

Yesterday we covered this surge in gold buying in western markets as detailed by the World Gold Council and what is driving this increased demand. Monetary policies and their impact on savers, along with political risks, contributed to record H1 gold investment demand, surpassing even that of the 2009 financial crisis.

One of the key causes of the sur ...

Frontrunning: August 12

Stocks Hit New Highs, and That Could Be Just the Start (WSJ)

China Slows as Stimulus Impact Wanes (WSJ)

How the China Shock, Deep and Swift, Spurred the Rise of Trump (WSJ)

Italian Economy Unexpectedly Stagnates in Threat to Renzi (BBG)

Clinton disparages Trump's economic plan, vows to help workers (Reuters)

Email Questions Haunt Hillary Clinton (WSJ)

Congressional leaders were briefed a year ago on hacking of Democrats (Reuters)

Senior Justice Official Raised Objections to Iran Cash Payment (WSJ)

Fidelity Plans Non-Transparent Exchange-Traded Product (WSJ)

Broker-dealer TradeZero launches first 'dark pool' exchange for bitcoin (Reuters)

Turkey prosecutors seek five years in jail for pro-Kurdish party leader (Reuters)

Fast and furious? China's stalling box ...

Why Shutters are Coming Down at Macy's

Macy's move to close 100 stores isn't a magic bullet, but it is better than standing still.

Why Earnings Beats Are a Poor Measure of Corporate Health

Whether profits beat or fall short of analyst forecasts has succumbed to Goodhart's Law: When a measure becomes a target, it ceases to be a good measure.

Italy: At the Heart of Europe's Growing Pains

Stagnation in Italy emphasizes the importance of Matteo Renzi's constitutional reform referendum.

Economic Report: U.S. wholesale prices fall sharply in July

Prices at the wholesale level fell 0.4% in July, the biggest monthly decline since September 2015, the Labor Department said Friday.

In One Chart: How oil prices are trapped in a vicious circle, in one chart

Oil is on track for a sizable weekly gain, thanks in large part to Saudi Arabia sparking hopes for a production freeze.

Economic Report: Retail sales stall in July

Retail sales were flat in July below expectations and down from a strong June report.

Earnings Summary for Today

Earnings Calendar provided by

leading Stock Positions

Leading Stock Quotes powered by

Current Commodity Prices

Commodities are powered by

Current Currency Crosses

The Forex Quotes are powered by

To contact me with questions, comments or constructive criticism is always encouraged and appreciated:

Click here for Historical Releases Listing

Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, using Livefyre just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.

You can also comment using Facebook directly using he comment block below.

Econintersect Live Market


Print this page or create a PDF file of this page
Print Friendly and PDF

The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.

Take a look at what is going on inside of
Main Home
Analysis Blog
A Short Note on a Connection Between Marginalist Economics and Folk Medicine
Run A High Pressure Economy? Janet Yellen Does Not Understand the Problem
News Blog
How 'Neurosexism' Is Holding Back Gender Equality - And Science Itself
High Housing Costs Hinder Job Creation
What We Read Today 28 October 2016
Ten Ways To Live A Happier Life According To Animals
21 October 2016: ECRI's WLI Growth Index Again Declines
Advance Estimate 3Q2016 GDP Quarter-over-Quarter Growth at 2.9 Percent.
Rail Week Ending 22 October 2016 Better Than The Previous Week
What Happens After The Islamic State Loses Mosul
Infographic Of The Day: The History Of Women's Ice Hockey In Canada
Early Headlines: Asia Stocks Mixed, Huge Antarctic Marine Park, Can Trump Get To 270?, US Workers Gaining, UK Inflation, France GDP, India Savings Lag And More
Why Amazon Gives So Many Perks To Prime Members
Where Workplace Trust Is Strongest
How A Lack Of Sleep Affects Your Brain - And Personality
Investing Blog Weekly Summary 28 October 2016
Technical Thoughts: Looking For The Rebounds
Opinion Blog
Global Debt Investors: The Silence Of The Lambs
A Hard Brexit And Reduced Migration Won't Benefit UK Workers
Precious Metals Blog
Inflation Surging As Platinum Signals Stock Market Decline
Live Markets
28Oct2016 Market Close: US Stock Markets Close Fractionally Lower After FBI Opens Probe Into Hillary's Emails Over Shadows Positive GDP Report, Indicators Fractionally Bearish
Amazon Books & More

.... and keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Middle East / Africa
USA Government

Crowdfunding ....



Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day


Asia / Pacific
Middle East / Africa
USA Government

RSS Feeds / Social Media

Combined Econintersect Feed

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution



  Top Economics Site Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2016 Econintersect LLC - all rights reserved