Crude Finishes The Week Down 16%
Traders sold oil futures for a fifth day as evidence mounted that OPEC is exceeding cartel production limits. OPEC production increased nearly 1% last month, “compliance” is dropping and inventories are rising. November crude [CLX9>CLX9] closed down 1.55 to 20.90, unleaded gas [HUX9>HUX9] dropped .0361 to .5915 and heating oil [HOX9>HOX9] fell .0374 to .5372.
December T-bond’s [USZ9>USZ9] narrow finish (one tick lower at 112 18/32) belies the volatile trading that followed this morning’s release of the jobs report. Traders initially bought bonds, ratcheting the price up to a high of 113 11/32, then focused on the rising wages component, driving the price down nearly one point. Bonds traded in a shortened session today and will be closed Monday for Columbus Day.
Stock index futures rallied after starting lower while digesting the jobs report. December Dow futures [DJZ9>DJZ9] gained 119 to 10,722, S&P futures [SPZ9>SPZ9] added 17.50 to 1346.50 and NASDAQ 100 futures [NDZ9>NDZ9] closed at a new all-time high.
December dollar index futures [DXZ9>DXZ9] gained .70 to 98.78 while Swiss francs [SFZ9>SFZ9] fell .0070 to .6700. The Japanese yen [JYZ9>JYZ9] flat-lined for a third day, priming the contract for a volatility
move.
December copper [HGZ9>HGZ9] gapped open below a neckline of a one-month head-and-shoulders pattern and kept tumbling, losing 3.75 on the day to close at 76.75.
Gold [GCZ9>GCZ9], shaping into a bullish pennant pattern, fell 2.6 to 321.7 and silver [SIZ9>SIZ9] dropped 4.5 to 555.0.
Narrow closes in the grains masked volatility in the beans. November soybeans [SX9>SX9] popped open 20, then sold off the entire session to close on the low of the day up 2 1/4 at 491 1/2. From the Implosion-5 List, wheat [WZ9>WZ9] fell 4 to a contract low and corn [CZ9>CZ9] (which also signaling on the Pullback Off Lows List) fell 4 3/4 to 198 1/2.
Livestock slept today, closing slightly lower, although December live cattle [LCZ9>LCZ9] set a new contract high.
March 2000 sugar [SBH0>SBH0] continued profiting from a Turtle Soup Plus One Buy set up triggered yesterday and got extra boost today from a 6/100 Low Volatility set up. The contract ended up .17 at 6.89.
Finally, November orange juice [OJX9>OJX9] fell 4.15 to 86.35.