BloggingStocks

BP Thrives as Oil Sector Gets Shaky

Gary Sattler — Thu, 06 May 2010 11:00:00 EST

Filed under: Forecasts, Products and Services, Industry, Exxon Mobil (XOM), Chevron Corp (CVX), BP p.l.c. ADS (BP), Politics, Oil

A dip in the shares of British Petroleum (BP) was to be expected following the massive oil spill and the expected costs BP will have to incur. Some buyers took advantage of the over-selling and got a bargain. Next will be the profit-taking. Only after that cycle is complete will we begin to sense how the market will assign value to the Gulf of Mexico tragedy.

Meanwhile, shares of Chevron Corp. (CVX), Exxon Mobil Corp. (XOM) and Royal Dutch Shell (RDS) also took mild hits. The declines were most likely due to investors who don't want to keep money tied up long term in a sector that has just entered an indefinite period of instability. The hard-core oil bulls will claim that nothing has changed, but the fact remains that it's a new world for crude oil investments.

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BP Thrives as Oil Sector Gets Shaky originally appeared on BloggingStocks on Thu, 06 May 2010 11:00:00 EST. Please see our terms for use of feeds.

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Insurance Industry Faces More Pressure on Iran

Tom Johansmeyer — Mon, 01 Mar 2010 10:50:00 EST

Filed under: Bad News

If you do business with Iran, it's probably going to be harder to get insurance coverage. Regulators and lawmakers in the U.S. are looking for stiffer penalties to thrust upon companies that do business with Iran. And insurers, likely acutely aware of how risk can spread, are starting to pull back.

Munich Re (0KFE) and Allianz (AZSEY) announced that they are suspending business in Iran, according to a report by Business Insurance. Neither company, however, stands to lose much. For Allianz, the lost premium is "negligible," and for Munich Re, it's only around $13.6 million.

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Insurance Industry Faces More Pressure on Iran originally appeared on BloggingStocks on Mon, 01 Mar 2010 10:50:00 EST. Please see our terms for use of feeds.

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Before the bell: Futures higher as oil bursts through $135

Melly Alazraki — Thu, 22 May 2008 07:49:00 EST

Filed under: Before the Bell, Exxon Mobil (XOM), Market Matters, Chevron Corp (CVX), ConocoPhillips (COP), Amer Intl Group (AIG), BP p.l.c. ADS (BP), Economic Data, Oil

Stock futures were a little higher early Thursday morning as stocks seemed poised for a rebound after plunging the last two straight sessions and as oil crossed $135 per barrel.

On Wednesday, U.S. stocks dropped sharply, again, as oil continued to rally, breaking new highs throughout the day and as the FOMC minutes indicated the Federal Reserve expects higher inflation and slower economic growth. The Dow industrials finished the day down 227 points, or 1.77%, the same as the Nasdaq Composite which lost 43 points, and the S&P 500 declined 22 points, or 1.61%.

Not much economic news today except for weekly jobless claims, but no doubt investors will continue to focus on the surging price of oil, now blamed also on Wall Street as traders are scrambling to cover bets. Oil prices rose above $135 to $135.09 a barrel for the first time Thursday, as supply concerns continued increased with reports that the International Energy Agency would cut its supply predictions. Even with assumption that global demand possibly weakening, the weakening U.S dollar drove crude futures up. Still, some blame the oil's rally due to traders covering wrong-way bets that prices would decline and buying crude, according to data from the New York Mercantile Exchange.

Continue reading Before the bell: Futures higher as oil bursts through $135

Before the bell: Futures higher as oil bursts through $135 originally appeared on BloggingStocks on Thu, 22 May 2008 07:49:00 EST. Please see our terms for use of feeds.

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Royal Dutch Shell plant in Nigeria bombed -- oil supply concerns mount

Gary Sattler — Mon, 05 May 2008 10:47:00 EST

Filed under: Bad News, Industry, Exxon Mobil (XOM), Oil, Headline News

BBC news reported Saturday that militants in Nigeria have again sabotaged oil transfer infrastructure belonging to Royal Dutch Shell (NYSE: RDS A). This is the fifth incident of such attacks in recent weeks. The BBC report states: "Several previous ones have been blamed on supporters of the militant leader Henry Okah, who is currently awaiting trial on treason charges."

A Shell Oil spokesperson is quoted as stating that multiple oil delivery lines are affected and that some amount of oil has spilled into the environment. The company is undertaking oil containment measures and production volume has been reduced. Reuters News Service reported: "...the rebel Movement for the Emancipation of the Niger Delta (MEND) ... has already knocked 164,000 barrels a day off Shell's production in Nigeria with a pipeline bombing last month."

According to Reuters, local security forces are reporting that not just oil delivery lines have been affected. They claim that three oil wells and other equipment were also subjected to damage. Additionally, this news of sabotage comes on the heels of an eight day Nigerian labor strike against Exxon Mobil Corp. (NYSE: XOM). That strike ended this past Thursday and had temporarily cut that company's Nigerian oil production in half. And of course, with oil supply problems and concerns, oil prices have increased.

Royal Dutch Shell plant in Nigeria bombed -- oil supply concerns mount originally appeared on BloggingStocks on Mon, 05 May 2008 10:47:00 EST. Please see our terms for use of feeds.

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Oil sets another new high above $118

Michael Fowlkes — Tue, 22 Apr 2008 08:40:00 EST

Filed under: Major Movement, International Markets, Forecasts, Bad News, Consumer Experience, Middle East, Mexico, Economic Data, Commodities, Oil, Federal Reserve, Recession

Oil prices have once again hit new highs today, trading up all the way to $118.05, before cooling off slightly, and are currently sitting at $117.85.

The main concern fueling today's move is over supplies from some of the world's major oil producing countries. Nigeria is on the list, as a joint venture of Royal Dutch Shell PLC (NYSE: RDS) stated that it would be reducing its output in April and May by around 169,000 barrels a day. This comes in response to a militant attack on one its pipelines last week.

This is really nothing new to Nigeria, which over the past two years has been the victim of multiple attacks on its oil infrastructure. The country is a major supplier to the the United States, and over the past 2 years the country has seen its oil output fall by a pretty hefty 25%. All the result of militant attacks.

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Oil sets another new high above $118 originally appeared on BloggingStocks on Tue, 22 Apr 2008 08:40:00 EST. Please see our terms for use of feeds.

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Option Update: Royal Dutch Shell volatility flat as oil trades above $117

Paul Foster — Mon, 21 Apr 2008 10:15:00 EST

Filed under: Options

Royal Dutch Shell (NYSE: RDS.A) closed at $76.39. Crude futures are up 0.45% to $117.21, according to Bloomberg. RDS over all option implied volatility of 23 is near its 26-week average of 25 according to Track Data, suggesting non-directional fluctuations.

The Volatility Index for S&P 500 Options (VIX) is at 20.12; the 10-day moving average is 22.06.

Financial Select Sector (XLF) overall volatility is at 33; the 26-week average is 35.

Options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Option Update: Royal Dutch Shell volatility flat as oil trades above $117 originally appeared on BloggingStocks on Mon, 21 Apr 2008 10:15:00 EST. Please see our terms for use of feeds.

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Before the bell: Futures little lower amid economic concerns

Melly Alazraki — Fri, 22 Feb 2008 07:45:00 EST

Filed under: Before the Bell, Earnings Reports, Microsoft (MSFT), Market Matters, BP p.l.c. ADS (BP), Intuit Inc (INTU), Oil

U.S. stock futures were mixed to lower early in the morning indicating a similar start on Wall Street. Investors remained cautious following yesterday's declines and given today doesn't bring much in terms of economic news. Oil prices retreated somewhat.

On Thursday, stocks closed lower after several indicators pointed to a slowing economy. In light of higher inflation that was reported Wednesday, the word 'stagflation' was on many investors' lips. The Dow industrials yesterday dropped nearly 143 points, or 1.15%, the S&P 500 declined 17 points, or 1.29%, and the Nasdaq composite, shed 27%, or 1.17%.

Without major economic data releases today, investors will likely take their cue from different factors. One could very well be oil prices. After crude futures climbed over $101 a barrel earlier this week, it has slowly trended downward, reaching near $98 per barrel this morning. The U.S. government report of domestic crude inventories showed a rise last week, helped push oil prices down.

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Before the bell: Futures little lower amid economic concerns originally appeared on BloggingStocks on Fri, 22 Feb 2008 07:45:00 EST. Please see our terms for use of feeds.

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Before the bell 7-26-07: Futures indicate a lower start, despite Apple

Melly Alazraki — Thu, 26 Jul 2007 07:52:00 EST

Filed under: Before the Bell, Earnings Reports, Apple Inc (AAPL), Ford Motor (F), Exxon Mobil (XOM), 3M Corporation (MMM), Sony Corp ADR (SNE), Bristol-Myers Squibb (BMY), QUALCOMM Inc (QCOM), Dow Chemical (DOW), Symantec Corp (SYMC)

It seems that despite Apple's upbeat earnings last night, stock futures are still indicating a lower start from the market. Even the Nasdaq, which indeed got a boost from Apple earlier in the morning, is now in negative territory. As subprime concerns continue, the S&P 500, which doesn't have the tech bias, is indicating an even lower start. Unless some economic data and most earnings surprise to the upside another down day awaits U.S. stocks.

Yesterday markets were somewhat volatile as stocks started strong, later lost some ground on housing data, only to finish the day higher. After the close Apple Inc. (NASDAQ: AAPL) reported stellar results that beat the Street's estimates. Shares rose some 7% in after-hours trading.

Today, some economic data is scheduled for release:
At 8:30 a.m., before the market opens, June durable goods orders, which is expected to show an increase, and weekly jobless claims will be reported.
At 10:00 a.m., the Commerce Department is due to release June new home sales. The expectation is for yet another drop in sales.

Overseas, Asian indexes were mixed. Chinese stocks surged to a new high, boosted by expectations of stronger corporate profits despite government efforts to cool the sizzling economy, while Hong Kong set intraday records after the Chinese government eased overseas investment limits for insurance companies. Japanese shares, however, declined. European shares have a busy day from earnings perspective with Vivendi, Royal Dutch Shell and EADS reporting. European markets, which started the day steady, are now trading lower.

Corporate news:

Qualcomm Inc. (NASDAQ: QCOM) and Symantec Corp (NASDAQ: SYMC) reported last night, both beating estimates and are both up significantly in premarket trading.

Earnings are already coming in en-masse this morning. Dow companies 3M (NYSE: MMM) and Exxon Mobil (NYSE: XOM) are reporting. Ford (NYSE: F) is another company that have already reported and is gaining over 3% in premarket trading. Bristol-Myers Squibb (NYSE: BMY) and Dow Chemical (NYSE: DOW) are reporting.
From overseas, Royal Dutch Shell (NYSE: RDS) and Sony (NYSE: SNE) have already reported as well.

Before the bell 7-26-07: Futures indicate a lower start, despite Apple originally appeared on BloggingStocks on Thu, 26 Jul 2007 07:52:00 EST. Please see our terms for use of feeds.

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Analyst downgrades 7-16-07: AMZN, ATVI, RTP, SNDK and YRCW

Kevin Shult — Mon, 16 Jul 2007 10:23:00 EST

Filed under: Before the Bell, Analyst Reports, Analyst Upgrades and Downgrades, Amazon.com (AMZN), Aetna Inc (AET), KB HOME (KBH), Activision Inc (ATVI), YRC Worldwide (YRCW), Rio Tinto plc ADS (RIO), SanDisk Corp (SNDK)

MOST NOTEWORTHY: Amazon.com (AMZN), YRC Worldwide (YRCW), SanDisk (SNDK), Activision (ATVI), Royal Dutch Shell (RDS.A) and KB Home (KBH) were today's noteworthy downgrades:

BWS Financial cut Amazon.com (NASDAQ: AMZN) shares to Sell from Hold on valuation.

YRC Worldwide (NASDAQ: YRCW) was assumed with an Underweight rating, down from Neutral, as JP Morgan is cautious on the industry's L-T-L pricing.

UBS downgraded SanDisk (NASDAQ: SNDK) to Neutral from Buy on valuation.

Gabelli downgraded shares of Activision (NASDAQ: ATVI) to Hold from Buy to reflect their expectation of increasing competition for some of the company's key titles.

Royal Dutch Shell (NYSE: RDS.A) was downgraded to Underweight from Neutral at HSBC on valuation.

Matrix believes the prolonged weakness in the housing market is eliminating economic profits and cut KB Home (NYSE: KBH) to Strong Sell from Sell...

OTHER DOWNGRADES:

Citigroup and ABN Amro cut Rio Tinto Group (NYSE: RTP) to Hold from Buy.

Merrill Lynch downgraded J.M. Smucker (NYSE: SJM) to Sell from Neutral.

First Albany downgraded shares of Travelzoo (NASDAQ: TZOO) to Neutral from Buy.

Matrix downgraded Constellation Brands (NYSE: STZ) to Hold from Buy.

AG Edwards downgraded Aetna (NYSE: AET) to Hold from Buy.

Analyst summaries provided by TheFlyOnTheWall.com (subscription required).

Analyst downgrades 7-16-07: AMZN, ATVI, RTP, SNDK and YRCW originally appeared on BloggingStocks on Mon, 16 Jul 2007 10:23:00 EST. Please see our terms for use of feeds.

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Option update 7-3-07: Royal Dutch Shell volatility flat

Paul Foster — Tue, 03 Jul 2007 10:30:00 EST

Filed under: Before the Bell, Rumors, Apple Inc (AAPL), Research in Motion (RIMM), BP p.l.c. ADS (BP), Options, Oil

Royal Dutch Shell(NYSE:RDS) volatility flat as BP is mentioned as M&A partner. RDS is recently up .56 to $83.95. The Daily Mail is reporting that BP and RDS are in merger talks. RDS over all option implied volatility of 17 is near its 26-week average according to Track Data, suggesting non-directional risk.

Dendreon(NASDAQ:DNDN) implied volatility & volume at low end of range last two days. DNDN, a biotechnology company focused on discovery, development and commercialization of therapeutics to fight cancer, is recently trading up .73 to $7.99. DNDN over all option implied volatility of 57 is below its 26-week average of 111 according to Track Data, suggesting decreasing risk.

Option volume leaders today are: Research in Motion (NASDAQ:RIMM), Apple Computer (NASDAQ:AAPL) and Baidu (NASDAQ:BIDU).

Daily Option Update is provided by Stock Options Specialist Paul Foster of theflyonthewall.com.

Option update 7-3-07: Royal Dutch Shell volatility flat originally appeared on BloggingStocks on Tue, 03 Jul 2007 10:30:00 EST. Please see our terms for use of feeds.

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Jim Cramer's big list: 'Wild Bull Market' picks

Jon Ogg — Tue, 29 May 2007 20:30:00 EST

Filed under: Analyst Reports, Forecasts, Exxon Mobil (XOM), Caterpillar (CAT), Halliburton (HAL), Boeing Co (BA), Deere and Co (DE), Freep't McMoRan Copper (FCX)

On tonight's MAD MONEY on CNBC, Jim Cramer discussed where the "Wild Bull Markets" are that you want to be in for the rest of the year. He has six bull markets and he thinks this full year will be in bull market mode for these sectors and stocks.

1) Agriculture: The subsidies bring in $55 billion in revenues to large farm companies alone. His three picks in this are Deere & Co. (NYSE: DE), Monsanto Co. (NYSE: MON), and Sociedad Quimeca y minea (NYSE: SQM).

2) Machinery: His pick is Caterpillar Inc. (NYSE: CAT).

3) Infrastructure, perhaps the most wild bull market: the two cheapest after the big runs are Foster Wheeler (NASDAQ: FWLT) and McDermott Intl. (NYSE: MDR).

4) Aerospace: Cramer's pick is Boeing Co. (NYSE: BA) and he now thinks it will pass $100.

5) Oil & Gas, which were down hard today: Halliburton Co. (NYSE: HAL) is his number one service and driller; in Oil Royal Dutch Shell (NYSE: RDS.A).

6) Minerals, where the mergers are nuts: The buy for the things the Chinese use is Freeport-McMoRan Copper and Gold (NYSE: FCX) for copper and gold that could see its 9-times earnings go to 12-times.

Continue reading Jim Cramer's big list: 'Wild Bull Market' picks

Jim Cramer's big list: 'Wild Bull Market' picks originally appeared on BloggingStocks on Tue, 29 May 2007 20:30:00 EST. Please see our terms for use of feeds.

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Before the bell 5-3-07: Futures flat as GM, economic data in focus

Melly Alazraki — Thu, 03 May 2007 07:42:00 EST

Filed under: Before the Bell, Major Movement, International Markets, Starbucks (SBUX), General Motors (GM), Indices, Bank of America (BAC), Economic Data, Barclays plc ADS (BCS), Unilever ADR (UL)

Stock seem ready to put on the breaks today as stock futures are lower to flat in early morning trade. Investors will examine General Motors earnings and analyze productivity data and await tomorrow's jobs report.

Yesterday the Dow Jones Industrial average pushed past 13,200 for the first time, marking a streak of five record high closes in six sessions. Yesterday it was media deals, stronger-than-expected factory data and Time Warner earnings among other factors that helped stocks push higher.

Today, General Motors Corp. (NYSE: GM) is expected to report a loss of 87 cents before the opening bell sounds on Wall Street. Strong performance at GM could change the sentiment on the Street. Starbucks Corp. (NASDAQ: SBUX) is due to report after the close.

While awaiting labor report tomorrow, investors will have some more economic data to chew on:

At 8:30 a.m., first quarter productivity will be reported and is estimated to have risen 0.8% the past quarter after a 1.6% increase in the previous quarter.
Also at 8:30, weekly jobs claims is due.
At 10:00 a.m., the Institute for Supply Management will release its April service sector index. It is expected to tick up to 53 from 52.4 in March.

Overseas, Asian stocks (except for Japan, which was closed) closed higher, following the U.S. markets. European stocks are mixed, with the index retreating from a 6 1/2- year high. UBS AG (NYSE: UBS), and Bayerische Motoren Werke AG (BMW) reported earnings that missed analysts' estimates. Shares at Unilever (NYSE: UL) and Royal Dutch Shell Plc (NYSE: RDS) were up after reporting better-than-expected earnings.

Some corporate news:
After Swiss bank UBS reported its third lower quarterly profits, it announced the closure of its Dillon Read hedge fund arm, which was hit by losses in the U.S. subprime mortgage market. Shares dropped over 4% in Europe.

Dutch courts will decide today if ABN AMRO (NYSE: ABN) could sell its LaSalle arm to Bank of America (NYSE: BAC). This would determine whether ABN would be sold to Barclays (NYSE: BCS) or a Royal Bank of Scotland-led consortium.

Before the bell 5-3-07: Futures flat as GM, economic data in focus originally appeared on BloggingStocks on Thu, 03 May 2007 07:42:00 EST. Please see our terms for use of feeds.

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