Bonds make a 7-week high
The
ISM services index was 53.3 vs
65.0 in August, below expectations. It was the slowest expansion in over two
years. 10-year yields rose to the highest levels in seven weeks on speculation
the Fed will continue raising rates.
Crude inventories fell 246,000 barrels, more than expected. Gasoline
stocks fell 4.38 million barrels; distillates fell 5.53 million barrels, both
also more than expected.
Gas futures fell–the fifth straight decline–on
news that demand is slowing. Gas demand is 2.9% below this period last year.
Gulf production is still off by 87%. Refineries nationwide are operating at
69.8% of capacity.
Rain is expected in Northeast Florida and parts
of Georgia today, due to Tropical Storm Tammy.
Copper closed at a record $1.787/pound, up 1.2%,
on global supply concerns.