US Futures Rise as Investors Eye Earnings, Inflation Data, and Wildfire Impacts 
Bank of America Posts Strong Q4 2024 Results, Shares Rise 
Lithium Market Poised for Recovery Amid Supply Cuts and Rising Demand 
European Stocks Rally on Chinese Growth and Mining Merger Speculation 
US Gas Market Poised for Supercycle: Bernstein Analysts 
Indonesia Surprises Markets with Interest Rate Cut Amid Currency Pressure 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
Geopolitical Shocks That Could Reshape Financial Markets in 2025 
U.S. Stocks vs. Bonds: Are Diverging Valuations Signaling a Shift? 
Energy Sector Outlook 2025: AI's Role and Market Dynamics 
Goldman Predicts 50% Odds of 10% U.S. Tariff on Copper by Q1 Close 
Moody's Upgrades Argentina's Credit Rating Amid Economic Reforms 
China’s Growth Faces Structural Challenges Amid Doubts Over Data 
U.S. Treasury Yields Expected to Decline Amid Cooling Economic Pressures 
Moldova Criticizes Russia Amid Transdniestria Energy Crisis 
Wall Street Analysts Weigh in on Latest NFP Data 
Global Markets React to Strong U.S. Jobs Data and Rising Yields 
WTI and Brent prices has diverged recently, with WTI extending losses of -1.45% from last 3 days (currently trading at $55.30 level), while Brent surged 2.01% so far in this week. WTI’s slumps came after reports show US diesel and gasoline stockpiles increased on the week.
Distillate supplies rose 2.6mil bbl in the week past, against expectations of a -0.3mil bbl reduction in a Bloomberg poll.
The spread between WTI and Dubai oil prices have shrunk to about $1/bbl, the tightest since April 2018. It is likely that any correction may have to come from WTI as high prices dampen demand for US crude exports.
Updates on crude oil derivatives trades: In crude oil segment, we initiated a risk reversal strategy by going long in Brent Dec’19 10D call versus short Dec’19 10D put. They also went tactically short Brent-Dubai Q3’19 swap spread due to mounting risks from Iran sanctions.
Hence, contemplating above developments, crude oil derivatives trades are advocated on hedging grounds: WTI crude directional hedge is advised, by maintaining shorts in CME WTI futures for August delivery for arresting downside risks in short-run, simultaneously, longs in CME WTI futures of September’2019 month deliveries.
