Oil Swings Amid Commodity Rebound as U.S. Crude Stockpiles Fall

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Oil swung between gains and losses amid a rebound in commodities while industry data showed U.S. crude stockpiles declined.

Futures were little changed in New York after advancing 2.8 percent Tuesday. U.S. crude inventories decreased by 7.3 million barrels last week, the American Petroleum Institute was said to have reported. An increase of 1.45 million barrels is forecast in a Bloomberg survey before an Energy Information Administration report Wednesday.

Oil remains down more than 35 percent from this year’s closing peak in June after plunging Monday to the lowest close since February 2009 on concern China’s fuel demand will falter while a global surplus persists. The Bloomberg Commodity Index of 22 raw materials including crude and metals rebounded Tuesday from a 16-year low.

West Texas Intermediate for October delivery was at $39.20 a barrel on the New York Mercantile Exchange, down 11 cents, at 9:24 a.m. Sydney time after rising as much as 1.2 percent. The contract climbed $1.07 to $39.31 on Tuesday. The volume of all futures traded was about 15 percent below the 100-day average. Prices have decreased 26 percent this year.

Brent for October settlement gained 52 cents, or 1.2 percent, to $43.21 a barrel on the London-based ICE Futures Europe exchange on Tuesday. The European benchmark crude ended the session at a premium of $3.90 to WTI.

Source : Bloomberg

Dollar Pares Gains as U.S. Stocks Fall Amid Renewed Volatility

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The dollar pared gains as U.S. stock markets erased advances after China cut interest rates following Monday’s $2.7 trillion global equity wipeout.

The dollar trimmed earlier gains, rising 0.5 percent to 118.98 yen as of 4:09 p.m. in New York, after slumping to 116.18 on Monday, the weakest since Jan. 16.

The greenback rose 1.1 percent to $1.1488 per euro, bouncing back after Europe’s single currency gained 5.4 percent in the previous four days, the most since March 2009. The Bloomberg Dollar Spot Index rose 0.6 percent to 1,195.07, the biggest gain in seven weeks.

Traders have increased the probability of the Fed raising rates at its September meeting to 28 percent, rebounding from as low as 20 percent Monday. The calculation is based on the assumption that the effective fed funds rate will average 0.375 percent after the first increase.

Source: Bloomberg

Saham Jepang, Hentikan Penurunan Dalam Enam Hari

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Indeks saham Jepang menguat, menghentikan penurunan dalam enam hari terakhir seiring para investor menimbang dampak pemangkasan suku bunga China.

Indeks Topix naik 1,2 persen ke level 1,449.75 pukul 09:05 pagi di Tokyo, dengan semua kelompok 33 saham sub industri mengalami penguatan. Indeks Nikkei 225 Stock Average menguat 0,3 persen ke level 17,864.88. Yen ditransaksikan pada level 118,81 per dolar setelah melemah 0,4 persen pada Selasa kemarin. Saham AS tersapu kenaikan suku bunga China mengirim saham AS ditutup melemah untuk hari keenam, penutupan terendah sejak Oktober lalu.

Setelah indeks Shanghai Composite turun sebesar 7,6 persen pada Selasa untuk mencatat penurunan sebesar 22 persen, penurunan hari keempat, para pembuat kebijakan China memangkas suku bunga untuk kelima kalinya sejak November lalu dan menurunkan jumlah kas bank yang harus disisihkan. Bank Rakyat China (PBOC) mengurangi suku bunga pinjaman satu tahun sebesar 25 basis poin menjadi 4,6 persen dan menurunkan rasio cadangan - jumlah minimum yang diperlukan yang akan diadakan oleh bank - sebesar 50 basis poin.

Stabilitas di pasar AS tidak berlangsung lama pasca indeks Standard & Poor 500 menghapus keuntungan sebanyak 2,9 persen menjadi ditutup turun 1,4 persen. Kontrak pada indeks S&P 500 turun 0,9 persen pada hari Rabu. (izr)

Sumber: Bloomberg

Relief Rally Evaporates in U.S. Stocks as China Anxiety Bubbles

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A rebound that took the Dow Jones Industrial Average up more than 440 points disappeared as traders said trepidation over what will happen in China’s market made holding on to stocks too risky for most investors.

The 30-stock index slid 1.3 percent to 15,665.77 at 4 p.m. in New York, down 4 percent from its highest point. The peak-to-trough retreat matched Monday’s selloff, when concern about global growth ignited the worst selloff in four years. The Standard & Poor’s 500 Index went from up 2.9 percent to down 1.4 percent, with most of the selling concentrated in the final two hours of trading.

The unwinding disappointed bulls who earlier in the day staked hopes on China’s efforts to inject stimulus into its economy. The central bank today cut interest rates for the fifth time since November and lowered the amount of cash banks must set aside in an attempt to stem the country’s biggest stock market rout since 1996 and a deepening economic slowdown.

Source : Bloomberg       

U.S. Stocks Rally as S&P 500 Rebounds From Drop Into Correction

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U.S. stocks rallied, with the Standard & Poor’s 500 Index clawing back some of its losses from a global rout that sent the benchmark into a correction amid the steepest two-day drop since the financial crisis.

Technology shares led the rebound as Apple Inc. jumped the most since January. JPMorgan Chase & Co. and Bank of America Corp. advanced at least 3.8 percent to lead banks back from their worst two-day slide in four years. Best Buy Inc. soared 15 percent after its quarterly profit topped analysts’ estimates, and Netflix Inc. added 9.3 percent to reverse Monday’s decline. Facebook Inc. surged 5.8 percent, the most in a year, after sliding 14 percent in the prior three sessions.

The S&P 500 rose 2.4 percent to 1,937.72 at 12:30 p.m. in New York, on track for its biggest gain this year, after closing Monday in a correction for the first time in four years. The Dow Jones Industrial Average added 358.77 points, or 2.3 percent, to 16,230.12. The Nasdaq Composite Index climbed 3.3 percent, headed for its best advance since 2011.

Index futures contracts briefly extended gains earlier after China cut interest rates for the fifth time since November and lowered the amount of cash banks must set aside in an attempt to stem the country’s biggest stock market rout since 1996 and a deepening economic slowdown.

Source: Bloomberg