US stock markets have been trading sideways at elevated levels all morning and afternoon, but on low volume (SPY +0.5%). Crude prices rose today, with top exporter Saudi Arabia expected to raise prices for its crude as part of planned supply cuts.
Here is the current market situation from CNN Money
North and South American markets are mixed today. The S&P 500 is up 0.50% while the IPC gains 0.15%. The Bovespa is off 0.34%.
(Reuters) - Wall Street extended its gains into the second trading day of the new year, supported by consumer discretionary stocks, as investors awaited minutes of the Federal Reserve's December meeting where it raised interest rates.
DETROIT (Reuters) - Sales of new cars and trucks in the United States likely set new records for December and the full year, automakers said on Wednesday, and investors bid up shares in the sector as strong consumer confidence and stable fuel prices bolstered the industry's outlook.
(Reuters) - Exxon Mobil Corp and Rex Tillerson agreed to sever all ties to comply with conflict-of-interest requirements as the company's former chairman and chief executive awaits confirmation as U.S. secretary of state.
(Reuters) - President-elect Donald Trump said on Wednesday he intends to nominate Walter "Jay" Clayton, an attorney who advises clients on major Wall Street deals, to lead the U.S. Securities and Exchange Commission.
MONTREAL (Reuters) - Ford Motor Co on Wednesday reported slightly higher Canadian sales of autos and trucks for December and called 2016 its best year of sales since 1989, driven by demand for SUVs and pickups.
(Reuters) - The rate banks charge each other to borrow dollars for three months rose above 1 percent on Wednesday for the first time since May 2009 as global interest rates extend their climb on expectations of accelerating growth and inflation.
(Reuters) - Boeing Co said on Wednesday it had received an order for 75 of its 737 MAX 8 aircraft, valued at $8.25 billion at list prices, from General Electric Co's commercial aircraft leasing and financing arm.
While US equity prices push ebulliently towards their next level of Nirvana, financial conditions continue to tighten for American businesses.
For the first time since April 2009, 3-month LIBOR - one of the most important reference rates for business financing - topped 1.00% today.
We documented the real world implications of this in "Forget The Fed's 0.25%, Short-Term Rates Have Already Risen By 1% For The Real World"
While blowing out unsecured funding rates may no longer be a flashing red flag, a question has emerged as a lot of debt references Libor, debt ranging from household debt to non-financial business debt: some $28 trillion of it, to be specific, and just in the US. The question is just how concerned will the borrowers of said debt be once they get their next due balance.
Here is Goldman with the calculation:
Complete data on loan terms for all borrowers are not available, but we can make some rough approximations of the share indexed to LIBOR by combining a few datasets. For households, fixed-rate home mortgages account for the ...
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