Archive for January 6th, 2011

Evening Reading – January 6, 2010 – XXL Bear Edition

*** FT Alphaville: Burdensharing for bank bondholders is here! ***
*** FT Alphaville: President Trichet are you watching? ***
*** FT Alphaville: The Belgians are still waffling ***
*** FT Alphaville: Shadow inventory backlog still growing ***
*** FT Alphaville: What the China risk is ***
*** FT Alphaville: Lowering claims, lowering expectations ***
*** FT Alphaville: Japan: land of rising contrasts ***
*** FT BeyondBRICs: Brazil: another currency salvo ***
*** The Big Picture: Volcker Resigns ***
*** The Big Picture: Can Banks Foreclose on Mortgages They Do Not Own? ***
*** The Big Picture: SPX Index Secular Markets (1900-2010) ***
*** Macro Man: 2011 Non-Predictions 3 – Rates ***
*** The Slope of Hope: Weekly Commitment of Traders Report – Week Ending 12/28 ***

U.S. Natural Gas Weekly – January 6, 2011

Working gas in storage fell 135 Bcf from previous week. The consensus was at 130 Bcf.

Although the draw was above consensus, it’s a disappointment overall as storage level is only 21 Bcf lower than same time year ago. In short – a replay of last’s year oversupply.

Baltic Dry Index At 1544, Down 4.8%

Yes…Queensland commodity exports are frozen because of floods, but nevertheless this is looking quite ugly.

Monster Employment Index For December At 130

Monster Employment Index fell to 130 in December; November reading was at 134.

Monster Employment Index is a gauge for online job demand; so no confirmation of ADP reading here.

U.S. Initial Jobless Claims At 409.000; Up 18.000

nitial jobless claims in the U.S. were reported right at 409.000 vs. 412.000 consensus; last week revised (up 3.000) reading was at 391.000.

Previous reading which was bellow 400.000 was after all a product of seasonal effects. Taking ADP employment into account we can say that U.S. economy is crating jobs at faster pace, but the pace of job losses is also faster than long term average. Even with this improved equation of job creation and job losses the inflow of people into work force will keep unemployment high for some time.

U.S. Petroleum Weekly – January 6, 2011

Crude oil stocks fell 4.2 million barrels; Gasoline stocks rose 3.3 million barrels; Distillate stocks increased 1.4 million barrels; Propane/propylene stocks were down 2.7 million barrels; Other oils stocks fell 3.4 million barrels; Total crude oil and petroleum stocks were 6.3 million barrels lower for the week.

Refinery utilization rose 0.2% to 88.0%.

Crude oil and petroleum product net imports fell 1.3 million barrels to 7.9 million barrels.

Demand is mostly unchanged; stocks are falling on increased exports and smaller imports.

Going into new year crude oil stocks will probably rise on refiner restocking.

Morning Reading – January 6, 2011

*** PIMCO //William H. Gross: Off With Our Heads! ***
*** The Wall Street Journal // Deal Journal: You Decide: Goldman’s Facebook Pitch or Nigerian Email ‘Opportunity’ ***
*** The Big Picture: Surprise! Ratings Agencies Still Suck! ***
*** Mandel on Innovation and Growth: A Bizarre Labor Market (with data) ***
*** FT Alphaville: Europe’s 2011 pressure points ***
*** FT Alphaville: Waiting for a senior bank bond haircut… ***
*** FT Alphaville: Does RBS need to take an Irish hit? ***
*** FT BeyondBRICs: Indian food: even more expensive ***

 

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