Mon, Jan. 11, 4:38 AM
- JPM strategists note that earnings expectations have been managed aggressively going into earnings season. Four months ago, the "hurdle rate" for S&P 500 stocks was +5% Y/Y; now it's -4% Y/Y. “If this were to materialize, it would be the weakest quarter for EPS delivery so far in the upcycle.”
- Energy sector earnings consensus signals only single-digit losses, while oil prices are 36% below the 21015 average.
- Sees euro-zone earnings outperforming U.S. for second year running.
- Overall, firm says risk/reward for stocks is poor. Use bounces as selling opportunities.
- ETFs: SPY, QQQ, DIA, SH, XLE, SSO, SDS, VOO, IVV, VDE, UPRO, PSQ, SPXU, ERX, TQQQ, OIH, SPXL, SPLV, XOP, RSP, SPXS, QID, PRF, SQQQ, ERY, FCG, QLD, CRF, DOG, DIG, GASL, DXD, PBW, RWL, UDOW, EPS, DUG, SDOW, BGR, XES, IYE, VV, USA, IEO, SCHX, DDM, VFINX, IEZ, QCLN, FENY, PXE, IWB, OEF, PXI, ZF, FIF, PXJ, SPHB, MGC, SPHQ, PSCE, BXUB, NDP, RYE, QQEW, FEX, QQQE, VONE, XLG, JKD, FXN, EEH, SPLX, PUW, SFLA, BXUC, EQL, QQXT, DDG, ROLA, IWL, SPUU, ONEK, HECO, EQWL, EWRI, LGLV, ERW, FWDD, EQAL, ZLRG, FMK, CFA, SYE, CFO, LLSP, UDPIX, SBUS, USWD, USSD, DRIP, GUSH, OTPIX, QUS, RYARX, GSLC
Sep. 25, 2015, 7:57 AM
- California regulators are expected to restore a first-in-the-nation climate change program that requires a 10% cut in carbon emissions on transportation fuels sold in the state by 2020.
- The California Air Resources Board is expected to vote today on the clean fuel standard, which has survived a long legal challenge from fuel makers, particularly out-of-state refiners and ethanol companies who argued that transporting the fuels into California alone made them less competitive against in-state producers.
- Oil producers say the standard will cost consumers much more in a state that already has some of the highest gas prices in the U.S. as the companies try to comply with the mandate or face being shut out of the market; supporters say the program will encourage greater use of cleaner biofuels and electric vehicles.
- ETFs: XLE, VDE, ERX, OIH, ERY, DIG, PBW, DUG, BGR, IYE, QCLN, FENY, FIF, PXJ, RYE, FXN, PUW, DDG, HECO
Aug. 2, 2015, 8:41 AM
- President Obama will unveil the final version of his plan to tackle greenhouse gases from coal-fired power plants on Monday, in what he calls the nation's most important step to combat climate change.
- The revised Clean Power Plan will seek to slash carbon emissions from the power sector 32% from 2005 levels in 2030, and will require each state to submit a plan next year that spells out how it will meet the goal assigned to it.
- ETFs: XLE, VDE, ERX, OIH, XOP, ERY, FCG, DIG, GASL, PBW, DUG, BGR, XES, IYE, IEO, IEZ, QCLN, FENY, PXE, PXI, FIF, PXJ, PSCE, NDP, RYE, GRN, FXN, PUW, DDG, HECO, DRIP, GUSH
Feb. 11, 2015, 3:39 PM
- For years deep-value investor Richard Pzena (PZN -0.6%) has been preaching of the opportunities in financial services and mature tech, and now he's adding energy to that list.
- Not ready to hit the "buy" button yet (though he does own and is comfortable with positions in major integrated oils), Pzena and crew are spending their time digging deep into companies to understand the nuances of their business models and financial strength.
- "Our investment team is working overtime researching the full range of companies in the industry including the major integrateds, exploration and production companies, servicers and drillers. We believe we have time on our side as our long-term view of oil prices of $60 to $80 per barrel is not out of line with consensus."
- Pzena Investment Management earnings call transcript
- ETFs: XLE, ERX, VDE, OIH, XOP, ERY, FCG, DIG, PBW, GASL, DUG, IYE, XES, IEO, QCLN, IEZ, PXE, PXI, FENY, PXJ, PSCE, RYE, PUW, FXN, DDG, HECO
Jan. 5, 2015, 12:18 PM
- Energy stocks severely underperform the broader market, with the sector -4.2% vs. the S&P 500's -1.4%, as U.S. oil prices briefly slip below $50/bbl for the first time since April 2009; Nymex crude recently was -4.4% at $50.37, while Brent crude -5.9% at $53.08.
- Among the day's biggest losers: DNR -9%, RIG -7.6%, NBR -4.8%, CHK -5.9%, SDRL -9.1%, SD -12.3%, NOV -5.9%, PSX -6.2%, APA -5.9%, DVN -4.4%, EOG -6%, SU -5.2%, OXY -4.2%, APC -8.7%, PWE -9%, ECA -5.5%, MRO -5.3%.
- Global oil majors, which have been seen as less vulnerable to falling oil prices, are posting big losses: XOM -2.7%, COP -4.5%, CVX -3.8%, BP -5.8%, RDS.A -4.6%, TOT -6.5%.
- ETFs: USO, XLE, OIL, UCO, ERX, VDE, OIH, SCO, XOP, ERY, FCG, DIG, PBW, BNO, GASL, DTO, DBO, DUG, IYE, XES, IEO, QCLN, IEZ, UWTI, PXE, USL, PXI, FENY, DWTI, PXJ, DNO, PSCE, RYE, SZO, PUW, FXN, OLO, DDG, HECO, TWTI, OLEM
Nov. 28, 2014, 7:25 AM
- OPEC yesterday decided to hold production numbers despite the bear market in oil. WTI crude is down about $5 per barrel to $69.
- A premarket look at the top 10 holdings of the XLE: Exxon Mobil (NYSE:XOM) -4.1%, Chevron (NYSE:CVX) -4.1%, Schlumberger (NYSE:SLB) -4.6%, ConocoPhillips (NYSE:COP) -4.4%, EOG Resources (NYSE:EOG) -4.3%, Pioneer Natural Resources (NYSE:PXD) -4.8%, Occidental Petroleum (NYSE:OXY) -4.3%, Haliburton (NYSE:HAL) -4.7%, Anadarko Petroleum (NYSE:APC) -5%, Williams Companies (NYSE:WMB) -1.6%.
- ETFs: ERX, VDE, OIH, XOP, ERY, FCG, DIG, PBW, GASL, DUG, IYE, XES, IEO, QCLN, IEZ, PXE, PXI, FENY, PXJ, PSCE, RYE, PUW, FXN, DDG, HECO
Nov. 12, 2014, 3:57 AM
- Following over nine months of talks and negotiations, the U.S. and China have announced a landmark agreement to curb carbon emissions.
- Under the joint plan, the U.S would emit 26% to 28% less carbon in 2025 than it did in 2005. China has pledged to stop its emissions from growing by 2030, its first-ever commitment to do so.
- ETFs: GRN, PBW, QCLN, GEX, PBD, ICLN, PZD, PUW, HECO
Oct. 2, 2014, 6:37 PM
- Ethanol futures plunged 28% in September as falling domestic demand left U.S. producers with the largest inventories since March 2013, sending stock prices for some ethanol makers reeling recently following big gains earlier in the year; shares of Green Plains (NASDAQ:GPRE), one of the biggest U.S. producers, slid 16% in September, while Pacific Ethanol (NASDAQ:PEIX) plunged 40%.
- Ethanol prices have fallen for much of this year because the price of corn plummeted due to a record crop last year and expectations for an even larger one this year; industry margins fell to ~$0.22/gal. in late September, down from an all-time high of $2.04/gal. in April, but "ethanol margins have largely bottomed out for the short term and will likely rebound in the next three to six months due to exports," says Citi analyst Aakash Doshi.
- Producers are cutting output, with U.S. ethanol production falling to a six-month low of 881K bbl/day in the week ended Sept. 26 EIA says; transportation snags this winter also could send prices climbing again.
- ETFs: CORN, PBW, UGA, QCLN, PUW, FUE, HECO
Sep. 24, 2014, 4:35 AM
- President Barack Obama urged countries to follow the U.S.'s lead on combating global warming at yesterday's U.N. Climate Summit.
- While leaders were united on laying the groundwork for a new global climate-change treaty, sharp differences arose on matters such as deforestation, carbon pollution and methane leaks from oil and gas production.
- The U.S. also decided not to join 73 countries in supporting a price on carbon, which Congress previously indicated it would reject.
- ETFs: GRN, PBW, QCLN, GEX, PBD, ICLN, PZD, PUW, HECO
May 6, 2014, 10:44 AM
- Climate change is having a present-day, negative impact on Americans' everyday lives and is damaging the U.S. economy, and calls on governments to find ways to lower emissions, particularly from energy production, according to a new National Climate Assessment report.
- But you can't expect people to willingly reduce their standard of living, so even as the U.S. turns away from coal, there are ready markets for America’s coal across the globe.
- Coal is so cheap that it is likely for many years to be the cornerstone for many nations’ energy policies: U.S. coal offers much of Europe a less expensive alternative than coal from nearby mines even including transportation costs, Japan looks to spend billions of dollars on new coal-fired plants, while coal is likely to be the fuel of China into the foreseeable future.
- ETFs: XLE, ERX, KOL, VDE, OIH, ERY, DIG, PBW, DUG, IYE, QCLN, GEX, PBD, PXJ, ICLN, PXI, PZD, PSCE, FENY, RYE, PUW, FXN, DDG, HECO
Sep. 27, 2013, 2:29 PM
- Solar ETFs lead in 2013 returns after years of losses, with water funds also bringing in strong returns for investors
- Metals and miners bring up the rear, both bleeding funds while the overall health of the U.S. economy continues to recover.
Aug. 9, 2012, 8:09 AMAnother coal-fired power plant is set to go dark, the Rochester, MN utilities board voting to retire its Silver Lake facility. Cheap natural gas and wind power is making it cheaper to buy power off the regional grid, and there's also the whole clean air thing. (see also) | Aug. 9, 2012, 8:09 AM | 5 Comments
Aug. 8, 2012, 10:01 AM
Data for the construction of power generation facilities in H1 paints a stark picture of the ascendance of natural gas, with 3,708 MW gas-fired plants built, 2,367 MW of wind farms developed, and 1,608 MW of coal stations constructed. Gas provides 41.8% of U.S. electricity, coal 29.7%, nuclear 9.2%, water 8.7%, wind 4.3%, geothermal 0.3%, and solar 0.3%.| Aug. 8, 2012, 10:01 AM
Jan. 30, 2012, 6:09 AM
Newly released data confirms the rising trend in world temperatures ended in 1997, and leading climate scientists say the sun is now heading towards a ‘grand minimum’ in its output which threatens colder seasons. This could have significant long-term consequences for investments in alternative energy technologies, as much of it has been driven by fears of man-made global warming. (submitted by John Petersen)| Jan. 30, 2012, 6:09 AM | 6 Comments
Nov. 18, 2011, 1:16 PM
A U.N.-created panel finds climate change is responsible for cases of extreme weather - citing floods, monsoons, and heat waves outside the normal range of occurrences. A report issued by IPCC (.pdf) on the controversial topic expresses "high confidence" that daily temperatures have increased due to greenhouse gases. Will green-leaning ETFs such as PBD, ICLN, PBD, PBW, QCLN, and PZD see a kick from upcoming talks on a new climate agreement or will a slumping global economy keep climate control on the backburner?| Nov. 18, 2011, 1:16 PM | 18 Comments
Nov. 16, 2011, 9:29 AM
A detailed forecast from Bloomberg New Energy Finance projects clean energy investments may double by 2020 to $395B. The report sees China taking over the renewable energy spending lead from Europe in 2014 with India, the Middle East, and Africa upping their spending rapidly. "Last year’s record renewable energy investment was no one-off despite the recent economic gloom."| Nov. 16, 2011, 9:29 AM
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