Brent crude and WTI: Global oil prices back below $40 as oversupply concern weighs March 10, 2016 Oil prices fell today, as seasonal changes fed into fears that the recent rally would be short lived. Brent crude, the global benchmark, fell three per cent to $39.8 per barrel this afternoon. Meanwhile, US West Texas Intermediate, the US benchmark, slumped 2.3 per cent to $37.4. Analysts said they expect refineries around the world to buy less oil [...]
It’s Waterloo for the global economy – and we’re dangerously lacking reinforcements March 10, 2016 What has 1815 and the Battle of Waterloo got to do with 2016 and the world economy? On 18 June 1815, the Duke of Wellington could feel the battle slipping away, but he also knew the Prussians under General Blucher were coming and that could win the day. Fast forward to 2016 and there is no [...]
Amazon is going to lease Boeing planes in move to set up air delivery network March 9, 2016 Amazon.com is going to lease 20 Boeing aircraft as the online retailer makes a move toward setting up its own air delivery service. The online giant is going to lease Boeing 767 freighter aircraft, according to Air Transport Services Group (ATSG), and comes as the company has been testing drone deliveries. Amazon currently relies on [...]
Gold bullion is soaring as the US dollar weakens – could the dollar’s best days be behind us? March 8, 2016 Many would agree that strong monetary expansions often lead to weak paper currencies, but the evidence is mixed. The reason may be because money supply is usually treated as a generic concept, from base money, notes and coin, gold and other commodity monies. To really understand modern financial systems, we must acknowledge that they are [...]
Brent crude and WTI: Oil prices stay higher after US jobs report March 4, 2016 Oil prices rose today, as strong US employment data fed into optimism that the market may have finally bottomed out. Brent crude, the global benchmark, rose 1.4 per cent to $37.59 per barrel this morning, putting it on course to end the week with a gain of more than five per cent. Meanwhile, West Texas Intermediate crude, [...]
US non-farm payrolls smash it again – but wages fall March 4, 2016 US job openings leaped again in February, way above analyst expectations. Official figures from the US' statistics bureau showed openings rose to 242,000, against expectations of 195,000. That left unemployment at 4.9 per cent, a post-recession low. However, average hourly earnings fell by 0.1 per cent during the month, from a 0.2 per cent rise the month before. “Fed [...]
Dallas Fed warns oil market won’t stabilise this year March 4, 2016 The Dallas Fed chief said the oil market won't rebalance this year, as he warned persistent weakness in the energy sector could send "negative ripples effects" through financial markets. Robert Kaplan, Dallas Fed president, said demand and supply won't balance until mid-2017, however this could change if the Organization of the Petroleum Exporting Countries (Opec) alters its production strategy. "This forecast [...]
US service sector growth edges down to two-year low – Institute for Supply Management March 3, 2016 The US services and construction sectors grew at a slower rate February, according to survey data released today. The Institute for Supply Management's non-manufacturing edged down to a score of 53.4 in February from 53.5. Figures above 50 indicate growth with February's figure implying slightly lower growth than January. While most sectors reported growth, the mining, arts, retail and [...]
Donald Trump is right: The Federal Reserve has created the conditions for another financial crisis March 3, 2016 Following Super Tuesday, it’s time to start taking “the Donald” seriously, as the improbably-coiffed, globally-lampooned businessman now seems nearly certain to win the Republican nomination. Trump’s frequently bizarre outbursts, together with his left-field initiatives in foreign and domestic matters, have led many to disregard any remark he makes. However, and at the risk of losing [...]
New Barclays chief executive Jes Staley gets a frosty reception in the City as investors reject his case for slashing dividends, sending share price down more than 10 per cent March 2, 2016 New Barclays boss Jes Staley received a frosty reception in the City yesterday, as investors rejected his case for slashing dividends, sending the bank’s share price down by more than 10 per cent and wiping £2.3bn off its market value. Investors recoiled when Barclays said it planned on paying a dividend of 3p for this year [...]