Oil prices are surging amid production disruptions in Saudi Arabia. That could affect a host of different stocks in the energy space, according to Goldman Sachs strategists. In a note to clients, Goldman says the companies with “the greatest 4Q19 potential operating cash flow percentage uplift” from rising oil prices include names like Hess (HES), Occidental Petroleum (OXY), Cimarex Energy (XEC) and Apache (APA), among others.
An intensifying Middle East conflict is threatening to throw the world's energy market into disarray after weekend drone attacks destroyed parts of Saudi Aramco's Abqaiq plant — one of the world's largest processors of oil — and a separate nearby oil field. On Saturday, the drone attacks, directed at Saudi Arabian oil facilities that account for nearly 10 million barrels of crude-oil production, resulted in massive plumes of black smoke emanating from the oil field, and a shutdown that could lead to about 50% of its production being at least temporarily thrown offline. Prominent crude-oil strategist Phil Flynn at Price Futures Group told MarketWatch on Sunday that the drone strike was a “big deal” that could result in a major spike in crude-oil prices, because of the potential disruption to global supplies.
Oil servicers and exploration & production stocks with high short interest, including Whiting Petroleum Corp. are leading the way Monday, with Whiting soaring as much as 35%, the most ever. Refiners such as PBF Energy Inc.
Value stocks and exchange traded funds are on the mend, a theme that's garnering considerable attention. Data from ETF Replay indicate that over the past 90 days, the S&P 500 Value Index is higher by 5.9% compared to gains of 3.5% and 4.6%, respectively, for the S&P 500 Growth Index and the S&P 500. On that note, almost overlooked is the fact that the S&P 500 Value Index is topping the growth rival and the S&P 500 itself over the past 12 months, albeit by modest margins.
U.S. private equity firm Advent International won its battle to buy Britain's Cobham for $5 billion on Monday, taking advantage of the weak pound to pounce on the defence and aerospace group that pioneered air-to-air refuelling. Chairman Jamie Pike told a shareholder meeting the management had "pushed as hard as they could push" and engaged in some "arm wrestling" before finally settling on a price that marked a 50% premium to the three-month average share price before the deal was announced. Cobham, based in Wimborne Minster, south-west England, is the latest European company to be bought by a private equity firm seeking a home for their bumper cash balances.
Roberto Campos Neto, who arrived in the bank's top job from the not–very-serene world of foreign-exchange trading, has scrapped it. The biggest one for Campos Neto is to jump-start Brazil's economy –- which only just avoided falling into recession last quarter -- without jeopardizing his predecessor's success in anchoring inflation expectations. Campos Neto lowered interest rates more than expected, launching what's likely to be a cycle of cuts.
Joanne Lim, algorithmic and portfolio trader at Bernstein, discusses her outlook for Chinese stocks. She speaks on “Bloomberg Markets: China Open.
Millennials are famous for their skinny jeans and avocado toast. But they've had pretty good luck picking some top stocks this year, too. Eight of the most widely held stocks by millennial-aged investors (born early 80s to early 2000s) are up 50% or more this year.
Crude oil prices soared following an attack on Saudi Arabia's output over the weekend, resulting in the largest disruption of oil supplies ever. It will reportedly take longer for Saudi Aramco to restore production at its Abqaiq processing plant following a drone attack over the weekend. "No matter whether it takes Saudi Arabia five days or a lot longer to get oil back into production, there is but one rational takeaway from this weekend's drone attacks on the kingdom's infrastructure — that infrastructure is highly vulnerable to attack, and the market has been persistently mispricing oil," Ed Morse, Citigroup's global head of commodities research, wrote in a note.
After getting engaged I found out about her debt, bad FICO score excess parking tickets, etc. I educated and worked with her, and she eventually climbed out of it. Life is good, except she has new debt.
On Friday, Azer initiated coverage on five U.S. cannabis companies that she deemed noteworthy as she reiterated her call for total U.S. cannabis sales to hit $80 billion by 2030. Relative to their Canadian cannabis peers, Azer notes that the operating paradigm for U.S. multi-state cannabis companies is more nuanced given tax differences and restrictions in scientific research. However, “brand development in the U.S. is much easier, given regulatory nuances, which favors the U.S. operators who emphasize a traditional CPG model that relies more on high-margin finished goods, as opposed to specialty retail,” she wrote in a note published Friday.
One of the biggest retirement mistakes you can make is not realizing what you don't know. I regularly hear from people in or near retirement who misunderstand how Social Security works, dramatically underestimate life expectancies or fail to plan for big expenses, such as long-term care or taxes. These aren't folks looking for advice.
Helios Towers, operator of mobile masts in Africa, has dusted off old plans to list in London. Eight companies have floated on the Alternative Investment Market against 29 in the first eight months of 2018. The LSE is quick to point out the value of IPOs rose 35 per cent between January and July against the same period last year.
Two current and one former JPMorgan Chase & Co executives were charged over allegedly participating in market manipulation in the trade of precious metals including gold, silver, platinum and palladium between 2008 and 2016, the Department of Justice said on Monday. The three men – global precious metals desk head Michael Nowak, precious metals trader Gregg Smith, and former trader Christopher Jordan, who left JPMorgan in 2009 – were charged with a racketeering conspiracy and other federal crimes, it said in a statement. A spokesman for JPMorgan declined to comment.
Here are three stocks with a very bearish outlook from Goldman Sachs right now. According to the firm, these 3 stocks all deserve the most worrying 'underperform' rating based on their outlook for the coming months. Here we take a closer look at why Goldman Sachs is advising against these three stocks, and whether or not the rest of the Street agrees.
FIRE refers to the “financial independence, retire early” movement bubbling up in the younger generation these days as a pathway out of the grind — slash expenses, save a bundle and enjoy the freedom that approach ultimately allows. Using the name FluffayPenguin, one anonymous thirtysomething took to Reddit to illustrate his FIRE blueprint, which allowed him to graduate college in 2008 and build a small chunk of change all the way up to $930,000 in savings. Well, for starters, he lived at home half of that time, a choice many millennials are making as housing costs skyrocket.
Oil and gas pipeline company Energy Transfer LP said on Monday it would buy smaller rival SemGroup Corp for $1.35 billion and build a 75-mile oil pipeline to strengthen its oil transportation, terminalling and export operations. Energy Transfer will gain control of SemGroup's crude oil terminal on the Houston Ship Channel, and to connect it with its Nederland, Texas terminal, Energy Transfer said it will construct a pipeline between the two terminals. Energy Transfer will also add SemGroup's crude oil gathering assets in the DJ Basin in Colorado and the Anadarko Basin in Oklahoma and Kansas, as well as crude oil and natural gas liquids pipelines connecting the DJ Basin and Anadarko Basin with terminals in Cushing, Oklahoma.
Jimmy Conway, head of EMEA equity trading strategy at Citigroup Global Markets, talks about the U.K.'s political crisis and the implications for the financial markets. He speaks with Manus Cranny and Nejra Cehic on "Bloomberg Daybreak: Europe."
Energy stocks have underperformed the S&P 500 by about 14% so far this year as oil prices struggle to gain traction amid fears of a global economic slowdown caused by the ongoing trade spat between the United States and China – the world's two largest economies. With tensions already running high in the region after Iran allegedly attacked two oil tankers in the Strait of Hormuz and downed a U.S. drone earlier in the year, this weekend's attack on crucial energy infrastructure is likely to send prices skyrocketing. Crude oil futures for October delivery (CL=F) surged over 15% higher in early Monday trade but retreated slightly after U.S. President Donald Trump tweeted that he was authorizing the release of oil from reserves to keep markets "well-supplied." Even so, oil prices remain on track for their biggest one-day gain in more than three years.
Despite being funded with after-tax dollars, a Roth 401(k) account is not immune to taxes and potential penalties if you don't know how rules regarding withdrawals work. Understanding the requirements will keep you from losing part of your retirement savings. Roth 401(k)s: The Basics A Roth 401(k) includes a combination of the features of a traditional 401(k) and a Roth IRA.
The telecoms group, which orchestrated a controversial and ill-advised merger with Time Warner last year, is an underperforming, mismanaged dodo bird of a company — big enough to have racked up $190bn in debt yet not large enough to fend off the Big Tech apex predators ready to eat its lunch. in AT&T, says the company “not only failed to keep pace with the broader market, but has actually underperformed by over 150 percentage points” over the past decade.
The Value Portfolio Here we take a closer look at three hot stocks in the Top 10 holdings of JP Morgan's Large Cap Value Fund. To come up with these holdings, the firm analyzes company prospects for as long as five years, to gain insight into a company's real growth potential. Its goal: to identify the most undervalued securities in each sector “Looks for attractive valuations as well as catalysts for stock price increases, higher potential reward versus risk, and temporary mispricing caused by market overreactions” writes the firm.
Millennial home buyers are going to some troubling lengths to foot the bill for their first homes, according to a new survey. Millennials are more likely than their older counterparts to fund their down payment and closing costs by dipping into retirement savings (13%, versus 8% of Generation Xers and 7% of baby boomers), saving money by moving in with family or friends (14%, versus 5% of Gen Xers and 2% of boomers) or selling personal items (12%, versus 5% of Gen Xers and 2% of boomers), a recent Bankrate survey of 2,582 U.S. adults found. They're trying to exhaust all their options, and they're certainly doing that at higher levels than the other generations.
President Trump's suggestion to cut interest rates to zero or below could have some unpleasant effects for people who are close to, or in, retirement. Negative interest rates have a harrowing impact on cash. Banks already offer a relatively low interest rate to consumers in exchange for stashing their money in a savings account, and the interest they incur on their savings would only go lower if rates were cut.
Market prices currently imply a 90% chance the Federal Reserve will reduce short-term interest rates by a quarter-point to a range of 1.75%-2.0% when policy makers meet this week. Such a move would be consistent with the Fed's “midcycle adjustment” that began in July. The interesting question, therefore, is not what the Fed will do to rates when its two-day policy meeting concludes Wednesday, but what it will indicate it wants to do over the next few years.