Lower Prices At The Pump Ahead?
Crude oil had its biggest
decline in three months
after Secretary of State Colin Powell said the US
is more concerned with disarming Iraq than having a regime change. This may
avert an attack on the second-largest oil producer. Selling on the futures
market accelerated during the session when prices fell below $29 a barrel.
Still, oil has gained 43% this year, partly on concern that a US attack on Iraq would disrupt exports from the Middle East, source of
one-third of the world’s oil.
Crude oil for November delivery
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fell $1.21 or 4.12% to $28.37 a barrel on the New York Mercantile
Exchange, the biggest one-day drop since July 22. Crude set the negative tone
for the rest of the energies, Nov. heating oil
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cents or 4.92% to 76.29 a gallon. Nov unleaded gasoline
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at 81.03 a gallon down 4.01 or 4.73% and Nov. natural gas
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lost .08 to close at 4.15.
The S&P 500 Index futures, and
Nasdaq 100 futures rose as US stocks rallied, driving benchmark indexes to
their highest level in more than five weeks. Philip Morris
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Coca-Cola
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investors buy their shares. The gains extended a two-week rebound sparked by
better-than-expected quarterly profits. The rally began as the loss in the
S&P 500
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the 48.6% decline in the 1973-74 bear market. The Dec. S&P 500
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898.10, up 14.90 or 1.69%. The Nasdaq 100 for Dec.
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or 2.03% to 980.00.
Treasuries held support with
modest losses today. The Dec. 30-year bond
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support level before ending at 108.06 down 1.50 or 1.41% and the Dec. 10-year
note
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Grains and Beans were mixed at the Chicago Board
of Trade (CBOT). Dec. soymeal
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staying above the support level of 170.00. Key resistance is at the 50-day
moving average and the 38% retracement level (174.09) drawn from the Sept high
to the recent Oct. low. SMZ2 closed at 172.40 up 1.70. Dec wheat
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close lower by 2.25 cent at $4.08 3/4 a bushel. Dec. corn
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unchanged at $2.54 a bushel and soybeans for November
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1/2 cents to close at $5.50 1/2 a bushel.
In the metals, both silver and gold lost ground as
copper made a 20-day high. Dec. gold
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a troy ounce. Dec. silver
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Dec copper
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70.34 cents a pound, up 1.14 cent or 1.66%.