18Nov2020 Pre-Market Commentary: Wall Street To Open Fractionally Higher, DOW Up 120 Points, Nasdaq Up +0.1%, WTI Crude Advances To 41.43, Bitcoin Higher 18036

Here is the current market situation from CNN Money

European markets are higher today with shares in London leading the region. The FTSE 100 is up 0.29% while Germany’s DAX is up 0.25% and France’s CAC 40 is up 0.21%.

The Rally In Oil Stocks May Be Short-Lived

First Pfizer and now Moderna have provided a much needed shot in the arm to the embattled oil industry, with their news about vaccine candidate efficacy lifting stocks strongly in the past week. The Pfizer news kicked off the best week ever for energy stocks, CNBC reported, and Modernas update marked the start of what could be another strong week, especially as it came on the same day as OPEC+ decided to extend the current oil production cuts for three more months, till end-March. But how stable is the rally? This is the question investors

Why Iraq Isnt Producing 10 Million Barrels Per Day Yet

Despite its huge oil resources, Iraqs practical readiness to hit its 7 million barrels per day (bpf) oil production target (by 2025) came into question again last week, with statements from the developers of two of its major fields BP in Rumaila, and Japan Petroleum Exploration (Japex) in Gharraf that achieving higher output from their respective developments is not as straightforward as it might appear. Although Iraq could be producing at least 9 million bpd with ease by now even 12 million bpd if it were

Graphenes Big Moment In Energy May Have Finally Arrived

Ultrathin, incredibly strong, superconductive, cheap–and impossible to use. Those are some of the unfortunate oxymorons that have been used to describe graphene, the gee-whiz nanomaterial that was supposed to forever change the face of materials science as we know it. Yet, save for a few novel applications, the graphene promise has mostly remained mere hype 16 years after two Manchester University professors first figured a way to extract it from graphite. But a cross-section of experts now believes that graphene’s big moment might have finally

Climate Targets Could Slash Natural Gas Investment By $1 Trillion

Limiting global warming to 2 degrees Celsius above the temperature in pre-industrial times could mean significantly reduced investments in natural gas supply through 2040, analysts warn. If the world is to go down the 2-degree pathway, investment in new natural gas exploration and production could be slashed by 65 percent, from nearly US$2 trillion to US$700 billion, by 2040, because gas demand would peak earlier than previously thought, Wood Mackenzie said in a recent report. While international agencies and supermajors are now competing in calling

Oil Prices Under Pressure After API Reports Crude Inventory Build

The American Petroleum Institute (API) reported on Tuesday a build in crude oil inventories of 4.174 million barrels for the week ending November 13. Analysts had predicted an inventory build of 1.95-million barrels. In the previous week, the API reported a large draw in oil inventories of 5.147-million barrels, after analysts had predicted a draw of 913,000 barrels for the week. Oil prices were trading down on Tuesday afternoon before the API’s data release despite significant vaccine news, as OPEC+ indicated that it could extend its current production

Argentinas Huge Vaca Muerta Shale Could Become A Stranded Asset

Sharply weaker oil prices, growing threats to oil demand and the imminent arrival of peak oil demand could unleash a wave of stranded oil assets in South America. Among the most vulnerable is Argentinas Vaca Muerta shale play. There were already significant headwinds impacting operations and investment in the shale oil and gas play before the March 2020 price crash and outbreak of the COVID-19 pandemic. Rising uncertainty sparked by the poor outlook for crude oil coupled with high breakeven costs and rising unease with Peronist Alberto Fernandez

FAA clears Boeing 737 Max to fly again after 20-month grounding spurred by deadly crashes

Federal regulators cleared the Boeing 737 Max to fly again after a 20-month grounding that sparked a crisis inside one of the nation’s biggest exporters.

Pfizer says final data analysis shows Covid vaccine is 95% effective, plans to submit to FDA in days

Pfizer and BioNTech said final analysis found coronavirus vaccine was 95% effective in preventing Covid-19 and appeared to fend off severe disease.

Target crushes estimates as retailer uses new shopper habits to gain market share

Target on Wednesday reported fiscal third-quarter earnings that easily outpaced analysts’ estimates as the discount retailer won market share by turning shoppers’ pandemic habits into lasting gains.

Lowe’s shares tumble as earnings fall short despite robust sales gains

The results from Lowe’s come one day after Home Depot reported third-quarter earnings that beat estimates.

Global luxury sales are on track for a record decline in 2020. But business is booming in China.

The personal luxury goods market, which includes clothes and jewelry, is expected to contract this year for the first time since 2009.

FDA said to plan early December advisory meetings to discuss Covid-19 vaccines ahead of potential authorization

The FDA is said to have asked an advisory panel to plan to meet Dec. 8-10 to discuss Covid-19 vaccines, ahead of potential authorization.

UK electric vehicle maker Arrival is going public via SPAC at a $5.4 billion valuation

The company competes with Amazon-backed start-up Rivian in the electric van space.

Target CEO Brian Cornell says retailer is benefiting from its ‘one-stop solution’ advantage

Target said its diverse assortment, from groceries to apparel, has taken on additional importance as shoppers limit trips during the coronavirus pandemic.

‘All eyes’ on the Hong Kong-Singapore travel bubble as other Asian countries prepare for more, bookings firm says

All eyes will be on Singapore and Hong Kong’s forthcoming quarantine-free travel bubble, as Asia’s tourism boards prepare for similar arrangements, said Klook.

The UK plans to ban sales of diesel and petrol cars from 2030

There are some significant hurdles to overcome if the 2030 target is to be met.Â

Southwest Airlines could rally more than 50% once a vaccine is available, trader says

On the back of Jefferies’ bullish call on Southwest, Todd Gordon of TradingAnalysis.com says the stock could head to record highs.

5 things to know before the stock market opens Wednesday

Dow futures rose Wednesday after a rip-roaring rally to record highs this week took a pause.

Don’t expect business travel to bounce back anytime soon, start-up founders say

Business travel will take longer to recover compared to leisure travel as corporations have now shifted to virtual modes of meeting.

In The Biggest App Store Overhaul Since 2008, Apple Cuts Fees For Most Developers By 15%

In The Biggest App Store Overhaul Since 2008, Apple Cuts Fees For Most Developers By 15% Tyler Durden Wed, 11/18/2020 – 08:19

In the biggest change to the Apple store’s revenue structure since the iPhone maker launched the service in 2008, and one which could have an adverse impact on its Services revenue at least over the short-term, Apple announced it would cut by half the fees charged to most developers who sell software and services on the App Store. Apple’s standard 30% fee will remain for developers that generate more than $1 million in a calendar year.

Since the beginning of the App Store, Apple generally has charged developers a 30% slice of revenue generated by their apps. In 2016, Apple lowered to 15% the cut it takes from subscriptions purchased through the apps for more than a year. Earlier this year, Apple also loosened restrictions on some cloud-gaming apps and email services, charging a fee to fewer developers.

The company is lowering the App Store fee to 15% from 30% for developers who produce as much as $1 million in annual revenue from their apps and those who are new to the store. The changes kick in Jan. 1 as part of an App Store Small Business Program, the world’s largest company said Wednesday in a statement. The company said the new structure will apply to the œvast majority of developers who charge for apps and i …

For The First Time, Wall Street Admits That “Civil Unrest” Could Crash Markets

For The First Time, Wall Street Admits That “Civil Unrest” Could Crash Markets Tyler Durden Wed, 11/18/2020 – 08:08

Earlier today, we reported that sentiment in the latest Bank of America Fund Manager survey was so bullish, even survey organizer, BofA Chief Investment Officer Michael Hartnett, said it’s time to turn bearish for the near-term and “sell the vaccine” because Wall Street has gone “full bull”:

The most bullish Fund Manager Survey (FMS) of 2020 on the back of vaccine, election, macro; Nov FMS shows a big drop in cash, 20-year high in GDP expectations, big jump in equity, small cap & EM exposure; reopening rotation can continue in Q4 but we say “sell the vaccine” in coming weeks/months as we think we’re close to “full bull”.

Yet while there were several other observations in the survey (the full report can be found here), all of which confirmed what we had previously seen in the latest AAII survey, namely that virtually every trader is now super bullish…

S&P Futures, Oil Jump On Vaccine Optimism; Bitcoin Hits $18,000

S&P Futures, Oil Jump On Vaccine Optimism; Bitcoin Hits $18,000 Tyler Durden Wed, 11/18/2020 – 07:43

After yesterday’s modest selloff as covid optimism fizzled amid fresh daily record numbers of new cases, on Wednesday futures contracts on three major U.S. equities indexes rebounded sharply as vaccine optimism made a triumphal comeback after Pfizer Inc. said a final analysis of clinical-trial data showed its Covid-19 vaccine was 95% effective, paving the way for the company to apply for the first U.S. regulatory authorization for a coronavirus shot within days. The news propelled S&P 500 futures as much as 0.4% higher, erasing earlier decline of as much as 0.6% as the reflation trade appeared back in vogue, while futures on the Nasdaq 100 and Dow Jones rose 0.2% and 0.5%, respectively, as of 7am ET, while Russell 2000 index futures rose 0.6% as the small cap outperformance was set to continue.

Final Results Show Pfizer COVID-19 Vaccine 95% Effective

Final Results Show Pfizer COVID-19 Vaccine 95% Effective Tyler Durden Wed, 11/18/2020 – 06:56

After confirming yesterday that its Phase 3 vaccine trial had finally recorded its last confirmed COVID-19 infection needed before applying for an emergency use approval from the FDA, Pfizer Wednesday morning has just released a summary of its “final” data which – as luck would have it – showed the Pfizer vaccine is actually 95% effective, leaving it on par with Moderna’s vaccine.

On the surface, this final number seems to be an improvement on the 90%+ effective preliminary finding released by Pfizer last week. What’s more, the new data answered a critical question posed by experts: how effective is the vaccine on older and more vulnerable patients? Pfizer and Biontech said Wednesday that the vaccine’s efficacy in people older than 65 was more than 94%.

According to WSJ, now that the final data is in, Pfizer expects to apply for the EUA within days, the company s …

Boeing’s 737 Max cleared to fly in the US after crashes

The jet has been grounded since March 2019, after two crashes that together killed 346 people.

House prices rise as Covid sparks rural relocation

Property prices in the South West of England have risen fastest in the UK, official statistics show.

Clothes and food price rises push inflation higher

The UK’s inflation rate, which tracks the prices of goods and services, increases to 0.7% in October.

Bitcoin breaks $18,000 as rally powers on, all-time high in sight

The original and biggest cryptocurrency was last up 3% at $18,175, its highest since Dec. 2017. It has gained over 160% this year, and has jumped 17% in the last 3 days alone.

HSBC upgrades SpiceJet to buy, raises its target price by 200%

“The company expects 737 Max to return to operations by Q1 2021. Once 737 Max returns to operations, SpiceJet could start receiving incentives as part of the sales and lease back agreement,” said HSBC.

F&O: Nifty range widens to 12,700-13,200; cooling VIX aiding bulls

India VIX slipped 3.43 per cent from 19.13 to 19.12 levels. Volatility has cooled down significantly, but needs to continue at lower levels to ride the momentum with a higher market base.

: American Airlines and British Airways trial COVID testing on trans-Atlantic flights instead of quarantine rules

The three-test approach is aimed at confirming a passenger’s negative status for COVID-19 throughout the travel journey.

: Why Poland and Hungary are blocking the EU’s $900 billion virus recovery fund

The Hungarian and Polish governments have withdrawn their approval for the launch of the European Union’s ‚¬750 billion COVID-19 recovery fund.

Key Words: George Soros laments investment in Palantir and says he will sell the rest when allowed

Billionaire investor George Soros says he regrets his firm’s investment in Palantir Technologies.