Energies Hit New Highs On Tighter Supplies
December crude oil [CLZ9>CLZ9] and its products rallied to three-year highs following the American Petroleum Institute’s (API) weekly report showing that both crude oil and gasoline inventories fell to two-year lows.
From the Momentum-5 List, crude and unleaded gas [HUZ9>HUZ9] rallied 3.5% each and heating oil [HOZ9>HOZ9] gained .0152 to .6873. An OPEC-led cutback in exports has reduced the global oil supply by 7%.
T-bonds [USZ9>USZ9] continued a tumble began yesterday that followed from the Fed’s decision to raise the fed funds and discount rates 1/4%. Today’s Consumer Price Index (CPI) and its core rate– although coming in as expected–did not assuage bond traders concern that rates will soon rise and the December contract sold off 26/32 to end at 113 27/32.
Stock index futures were also sold down as traders took profit following yesterday’s big Fed-inspired move. December Dow futures [DJZ9>DJZ9] fell 82 to 10,933, S&P futures [SPZ9>SPZ9] lost 13.00 to 1418.00 and NASDAQ 100 futures [NDZ9>NDZ9] closed 46.50 lower at 2930.00.
December dollar index futures [DXZ9>DXZ9] slipped .63 to 100.08, moving down along with lower equity prices. Moving in opposition the dollar, the Japanese yen [JYZ9>JYZ9] rose .0041 to .9523, Swiss francs [SFZ9>SFZ9] gained .0048 to .6514 and the British pound [BPZ9>BPZ9] added .0066 to 1.6254.
Registering on the Pullback Off Lows List in the metals, December silver [SIZ9>SIZ9] headed back toward recent lows and dropped 5.7 to 510.8.
Also from the Pullback Off Lows List, December wheat [WZ9>WZ9] fell 5 to 245 3/4 and January soybeans [SF0>SF0] slipped 4 1/4 to 466 1/4
February pork bellies [PBG0>PBG0] squeaked out a new high, than dropped almost their daily limit falling, 2.775 to 74.275. December lean hogs [LHZ9>LHZ9] also fell .400 to 50.975.