Gasoline Prices Rise As Production Remains Shut
Consumer
Confidence plummeted in September as the toll of hurricanes Katrina and Rita,
and high gasoline prices weighed on consumers. The Conference Board’s
Confidence Index hit the lowest level in nearly 2-years, falling to 86.6 versus
the consensus estimate of 98.0 and down from 105.5 in August. The Present
Situation Index and Expectation Index also declined sharply (Full
Report).
Source: September 2005 Consumer Confidence Index, The Conference Board.
Treasuries declined after the report and
closed lower on the session,
10yr T-Note -0.08%, 5yr T-Note -0.07% and 2yr T-Note -0.06%,
while the US Dollar Index +0.55% closed higher.
Today’s report by the
Minerals Management
Service showed no improvement in oil production and even less gas production
than yesterday despite a fall in the number of platforms and rigs currently
evacuated. Shut-in oil production is equivalent to 100% of the daily oil
production, shut-in gas production is equivalent to 78.56% of the daily gas
production in the Gulf of Mexico.
Energy futures were mixed in volatile
trading. Crude Oil -1.14% fell, while Natural Gas +0.10%,
Heating Oil +0.25% and Harbor Unleaded Gasoline +0.60% rose.
Metals were also mixed with Palladium
+1.01% and Platinum +0.05% closing higher, Copper -0.49%,
Silver -0.50% and Gold -0.70% closing lower.
For the second consecutive day all the major grains closed lower.
Wheat -0.53%, Soybeans -1.76% and Corn -0.49%.
All the softs closed higher. Leading the
advance was Sugar +5.92%, followed by Cotton +5.52%, Lumber
+2.09%, Cocoa +1.35%, Frozen Orange Juice +0.90% and Coffee
+0.63%.
Livestock was mixed, Pork Bellies
-1.16% and
Lean Hogs -1.23% fell. Live Cattle +0.23% and Feeder Cattle
+0.53% rose.
Economic News
ICSC-UBS Store Sales:
W/W Change – Actual 0.1%
Consumer Confidence:
Confidence Index – Actual 86.6 Consensus 98.0
New Home Sales:
Actual 1,237,000 Consensus 1,363,000
Ashton Dorkins