|Bid||73.83 x 800|
|Ask||73.84 x 800|
|Day's Range||72.50 - 73.01|
|52 Week Range||44.52 - 73.30|
|Beta (3Y Monthly)||0.88|
|PE Ratio (TTM)||79.27|
|Earnings Date||Jan 13, 2020 - Jan 17, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||74.44|
(Bloomberg) -- OPEC+ will adjust its output target and redistribute production cuts between its members under pressure from Saudi Arabia, which has long carried an outsized share of the burden.The group, which pumps more than half the world’s oil, agreed in Vienna on Friday to reduce its output target by 500,000 barrels a day, said delegates, bringing it in line with recent production levels. Saudi Energy Minister Prince Abdulaziz bin Salman gave a clear signal before the meeting that his priority was to get some members to stop cheating and implement the cuts they have promised.“Like religion, if you are a believer you have to practice. And without practice you are an unbeliever,” Prince Abdulaziz said at the opening session of Friday’s meeting. “The market will have to trust us. The analysts will have to believe us” and if they don’t “we cannot deliver what we want to achieve. It is as simple as that, and sometimes it is as tough as that.”After days of rumor and mixed messages that whipsawed prices, the shape of the adjusted deal between the Organization of Petroleum Exporting Countries and its allies gradually emerged. Oil futures fell in New York on Friday as it became clearer that the group wasn’t planning to remove any additional barrels from the market.Instead, delegates said it would rejig its deal to formalize the extra supply reductions some of its members, notably Saudi Arabia, have already been making for most of the year. Then it would share them out more equitably among the countries that have consistently failed to meet their targets.Saudi Arabia, the world’s largest oil exporter and the group’s defacto leader, will continue to pump at current levels under the new agreement, said delegates, who asked not to be named because the information isn’t yet public.“This is housekeeping,” said Roger Diwan, the veteran OPEC watcher at consultant IHS Markit Ltd., who’s in Vienna monitoring the meeting. “OPEC is re-adjusting its production quotas.”Under the new deal, the size of the OPEC+ daily production cuts target will be increased from 1.2 million barrels to 1.7 million barrels, compared to a baseline of October 2018, according to ministers including Russia’s Alexander Novak and Iran’s Bijan Namdar Zanganeh. That doesn’t require the group as a whole to pump less oil, since it was already implementing an additional cut of that size in October 2019.Saudi Arabia, wishing to lead by example, has pumped well below its quota of 10.3 million barrels day for the duration of the agreement. The kingdom’s output averaged 9.8 million so far this year, according to data compiled by Bloomberg. Other nations including Angola, Azerbaijan and Mexico have simply been unable to sustain their production due to natural declines.The “adjustment cannot really be interpreted as something that effectively changes the expected oil balance,” consultant JBC Energy GmbH said in a note. “It is more of a compliance maneuver and an effort to distribute the Saudi over-compliance that has been in place since about April to other OPEC+ members.”Click here for a more detailed explanation of why the agreement for deeper OPEC+ cut may not be quite what it seems.The target will only come into force if all members of OPEC+ implement 100% of their pledged curbs, Novak said in a Bloomberg TV interview on Thursday. That’s something the alliance has struggled to achieve throughout the three years of its existence, with some countries such as Iraq actually increasing output after promising to cut.Those nations that have failed to make their pledged cuts may have to reduce their current output under the adjusted agreement. The new target for Iraq was a particular sticking point during the six hours of talks on Thursday, delegates said. OPEC+ ministers were in the process of finalizing each country’s new quotas, said a delegate.“The ruckus reflects pushback by producers facing stronger pressure than in the past to comply and contribute real, voluntary cuts,” said Bob McNally, president of Rapidan Energy Group and a former oil official at the White House under President George W. Bush. But Prince Abdulaziz is getting what he wants “and I think he’s going to put more pressure than anyone has before to get real cuts from these guys.”For Russia, which has achieved its targeted cuts in just three months this year, full compliance got easier on Thursday as OPEC agreed to exclude a very light oil called condensate from the country’s quota. Novak had argued that a recent increase in production of that hydrocarbon, which is extracted from natural gas fields, was the only reason Russia was falling short of its pledge.Tricky PatchThe new 500,000 barrel-a-day quota reduction will only apply in the first quarter of 2020, said Novak. The group will hold an extraordinary meeting in March to discuss what to do next, said a delegate.Those talks could coincide with a tricky patch for the oil market. Demand growth is slowing and another big expansion in rival production is coming down the pipeline. Together those factors could create another oversupply that drives international prices back down toward $50 a barrel.That’s too low for most OPEC members to balance their budgets, and would make an unfortunate epilogue for the record-breaking initial public offering of Saudi Arabia’s state oil company, which set the final price of its shares on Thursday.(Updates with analyst comment in seventh paragraph)\--With assistance from Julian Lee, Dina Khrennikova, Javier Blas, Golnar Motevalli and Salma El Wardany.To contact the reporters on this story: Grant Smith in London at email@example.com;Annmarie Hordern in Vienna at firstname.lastname@example.org;Laura Hurst in Vienna at email@example.com;Nayla Razzouk in Vienna at firstname.lastname@example.orgTo contact the editors responsible for this story: James Herron at email@example.com, Helen RobertsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- OPEC stood on the verge of a deal to reduce its official output target in line with recent production, but after six hours of fraught talks in Vienna on Thursday ministers left the cartel’s headquarters before a final agreement was nailed down.Saudi Prince Abdulaziz bin Salman, in his first meeting as energy minister, left reporters with a promise that “beautiful news” would be revealed on Friday. His comments were the culmination of a long day that yielded little of substance for oil traders wondering if the Organization of Petroleum Exporting Countries and its allies would take action to prevent a crude surplus coming back in 2020.Earlier in the day, ministers reached a deal in principle to deepen their output-cuts target by 500,000 barrels a day, delegates said. A reduction of that magnitude would be largely symbolic, simply formalizing the extra supply reductions the group has already been making for most of this year, rather than taking barrels off the market.Saudi Arabia’s new production target was likely to be above 10.1 million barrels a day, according to one delegate, slightly higher than recent levels.A deeper OPEC+ cut may not be quite what it seems: click here for explainerEven so, the cartel couldn’t finalize the details of how to divide the adjustment between members before further discussions with partners from the wider OPEC+ group on Friday, delegates said. The new output target for Iraq, which has the worst record of implementing the existing cuts of any major oil producer in OPEC, was a particular sticking point, delegates said.“The ruckus reflects pushback by producers facing stronger pressure than in the past to comply and contribute real, voluntary cuts,” said Bob McNally, president of Rapidan Energy Group and a former oil official at the White House under President George W. Bush. “Nobody said collective supply management was easy or fun, especially after four years of struggle against surpluses.”Brent crude traded little changed at $63.30 a barrel as of 7:47 a.m. in London on Friday, after climbing 0.6% on Thursday. West Texas Intermediate futures for January were also little changed, trading at $58.36 in New York.In any event, OPEC’s policy decision wouldn’t have been officially ratified until Friday, when the OPEC+ meeting is scheduled. But unresolved questions around Iraq’s contribution could be a bigger obstacle to a deal than usual.Crucially, the new 500,000 barrel-a-day quota reduction, which would apply in the first quarter of 2020, would only come into force if all members of OPEC+ implement 100% of their pledged curbs, Russian Energy Minister Alexander Novak said in a Bloomberg TV interview. That’s something the alliance has struggled to achieve throughout the three years of its existence, with some countries such as Iraq actually increasing output after promising to cut.OPEC+ agreed last year to reduce volumes by about 1.2 million barrels a day in order to eliminate a surplus and bolster crude prices. In reality, the alliance has cut far deeper for most of 2019 due to a combination of voluntary and involuntary measures. The group’s Joint Technical Committee concluded that supply reductions exceeded that target by about 40% in October, equivalent to about 500,000 barrels a day of additional curbs.Saudi Arabia, wishing to lead by example, has pumped well below its quota of 10.3 million barrels day for the duration of the agreement. The kingdom’s output averaged 9.8 million so far this year, according to data compiled by Bloomberg. Other nations including Angola, Azerbaijan and Mexico have simply been unable to sustain their production due to natural declines.The deal expires at the end of March, right in the middle of what looks to be a tricky patch for the oil market. Demand growth is slowing and another big expansion in rival production is coming down the pipeline.Together those factors could create another oversupply that drives international prices back down toward $50 a barrel. That’s too low for most OPEC members to balance their budgets, and would make an unfortunate epilogue for the record-breaking initial public offering of Saudi Arabia’s state oil company, which set the final price of its shares on Thursday.Condensate ChangeThe emphasis on compliance with the production cuts reflects Saudi Prince Abdulaziz’s unhappiness with the status quo, in which countries including Iraq, Nigeria and Russia have consistently failed to implement their promises.For Russia, which has achieved its targeted cuts in just three months this year, full compliance got easier on Thursday as OPEC agreed to exclude a very light oil called condensate from the country’s quota. Novak had argued that a recent increase in production of that hydrocarbon, which is extracted from natural gas fields, was the only reason Russia was falling short of its pledge.Nigeria and Iraq have actually increased output, according to data from the International Energy Agency. Those two nations might be the only ones who have to adjust production as a results of Thursday’s deal, Roger Diwan, a veteran OPEC watcher at consultant IHS Markit Ltd., said in Vienna.“It’s a rollover for everyone but Iraq and Nigeria,” Diwan said.(Updates with analyst comment in sixth paragraph.)\--With assistance from Julian Lee, Dina Khrennikova, Annmarie Hordern, Javier Blas, Laura Hurst, Alex Longley and Golnar Motevalli.To contact the reporters on this story: Grant Smith in London at firstname.lastname@example.org;Javier Blas in Vienna at email@example.com;Salma El Wardany in Vienna at firstname.lastname@example.org;Nayla Razzouk in Vienna at email@example.comTo contact the editors responsible for this story: James Herron at firstname.lastname@example.org, Amanda JordanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
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The tight labor market continues to positively impact wage growth, according to the latest Paychex | IHS Markit Small Business Employment Watch. Hourly earnings grew 3.11 percent among employees of small businesses, the highest level since reporting began in 2011. Weekly earnings continue to grow, accelerating 3.75 percent in November. Essentially unchanged from the previous month, the national jobs index moderated 0.03 percent, remaining above 98.
The IHS Markit Brazil manufacturing purchasing managers index (PMI) rose to 52.9 from 52.2 in October, the fourth consecutive month of growth and the second fastest pace this year. "Buoyed by an upturn in new orders from the domestic market, goods producers ramped up output to the greatest extent in almost a year and a half," said Pollyanna De Lima, principal economist at IHS Markit, referring to the output index's jump to 54.9. On the other hand, even though the employment index rose to 50.5 from 50.1, the labor market remains an "Achilles heel" for the prospects of a sustainable economic recovery, de Lima said.
IHS Markit , a world leader in critical information, analytics and solutions, today announced that two of its executive leaders will present at the Credit Suisse 23rd Annual Technology Conference in Scottsdale, AZ on Wednesday, December 4, 2019 at approximately 4:20 p.m.
IHS Markit (INFO), a world leader in critical information, analytics and solutions, today announced it won Alternative Data Vendor of the Year and FRTB Product of the Year in the annual Risk Markets Technology Awards. Presented by Risk magazine, they are the longest-running and most prestigious awards for firms involved in the global derivatives markets and in risk management. “Today’s information rush will transform tomorrow’s economy,” said Adam Kansler, president of Financial Services at IHS Markit.
When you buy a stock there is always a possibility that it could drop 100%. But on the bright side, if you buy shares...
IHS Markit (INFO), a world leader in critical information, analytics and solutions, today announced it is reaffirming its 2019 revenue, Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) and Adjusted earnings per diluted share (Adjusted EPS) guidance, as well as providing its financial guidance for the year ending November 30, 2020. Adjusted EPS trending to $2.57 to $2.59 per diluted share, versus prior guidance of $2.57 per diluted share. Adjusted EPS in a range of $2.82 to $2.88 per diluted share.
The (INFO) global business outlook—which surveys 12,000 companies three times a year—fell to the worst level since 2009, when data was first collected. The Ifo Institute said assessments of the current situation were unfavorable, particularly in emerging markets. In emerging markets, the downward trend was based mostly in Asia; in advanced economies, it was concentrated in the U.S., the Ifo said.
Complaint Filed in U.S. District Court Against Primeritus Financial Services CENTREVILLE, Va. , Nov. 6, 2019 /PRNewswire/ -- CARFAX filed a complaint in U.S. District Court as part of an ongoing effort ...
U.S. shale production—the chief source of rapid growth that made the United States the world’s largest oil producer—is slowing down fast, says a new report by IHS Markit, (INFO), a world leader in critical information, analytics and solutions. The new IHS Markit outlook for oil market fundamentals for 2019-2021 expects total U.S. production growth to be 440,000 barrels per day (b/d) in 2020 before essentially flattening out in 2021. “Going from nearly 2 million barrels per day annual growth in 2018, an all-time global record, to essentially no growth by 2021 makes it pretty clear that this is a new era of moderation for shale producers,” said LeBlanc.
IHS Markit , a world leader in critical information, analytics and solutions, today announced that three of its executive leaders will present at the J.P. Morgan Ultimate Services Investor Conference in New York City on Wednesday, November 13, 2019 at approximately 10:30 a.m.
The U.S. manufacturing sector saw a further modest improvement in operating conditions in October, supported by faster expansions in output and new business. The seasonally adjusted IHS Markit final U.S. Manufacturing Purchasing Managers’ Index™ (PMI™) posted 51.3 in October, up slightly from 51.1 in September. The latest headline figure was the highest since April, but remained consistent with only a modest improvement in the health of the manufacturing sector.
October data signalled a modest improvement in business conditions across the Canadian manufacturing sector, driven a sustained rebound in output and new business levels. At 51.2 in October, up from 51.0 in September, the seasonally adjusted IHS Markit Canada Manufacturing Purchasing Managers’ Index® (PMI®) posted above the crucial 50.0 no-change value for the second month running. At the same time, goods producers noted that subdued global trade conditions remained a drag on growth.
United States wind operations and maintenance (O&M) annual spending is expected to increase to more than $7.5 billion by 2030, a 50% increase above 2018 spending, according to a new report by IHS Markit (INFO), a world leader in critical information, analytics and solutions. According to the IHS Markit 2019 Wind Power Plant Benchmarking in North America: Technological Advancements for Operations and Maintenance, the forecasted increase in O&M spending follows the race to leverage a soon-to-expire U.S. federal tax credit for wind energy.
IHS Markit (INFO), a world leader in critical information, analytics and solutions, today said the company will announce financial guidance for fiscal year 2020 during a conference call and webcast at 4:30 p.m. ET on Tuesday, November 12, 2019. To hear the live event on November 12, visit the IHS Markit website at https://investor.ihsmarkit.com and log in at least 15 minutes prior to the start of the webcast. The webcast recording will be available on the IHS Markit investor website for one year.
IHS Markit (INFO), a world leader in critical information, analytics and solutions, today announced that ClearPar has introduced electronic trade settlement to the distressed leveraged loan market. Deutsche Bank was the first to close a trade using the new technology. As a result, the average settlement time for distressed loans in 2018 was more than four times longer (T+67) than that of par/near par loans (T+16).