'Bakken Pipeline' Could Ramp-Up U.S. Crude Production Faster-Than-Expected

Posted on by Robert Boslego

Robert Boslego - INO.com Contributor - Energies


Energy Transfer Partners, L.P. (NYSE:ETP) announced that:

“Dakota Access, LLC (“Dakota Access”) has received an easement from the U.S. Army Corps of Engineers (“Army Corps”) to construct a pipeline across land owned by the Army Corps on both sides of Lake Oahe in North Dakota. The release of this easement by the Army Corps follows a directive from President Donald Trump to the Department of the Army and the Army Corps to take all necessary and appropriate steps that would permit construction and operation of the Dakota Access Pipeline, including easements to cross federal lands. With this action, Dakota Access now has received all federal authorizations necessary to proceed expeditiously to complete construction of the pipeline.”

The Dakota Access Pipeline consists of approximately 1,172 miles of new 30-inch diameter crude oil pipeline from North Dakota to Patoka, Illinois, and the Energy Transfer Crude Oil Pipeline consists of more than 700 miles of existing pipeline that has been converted to crude oil service from Patoka to Nederland, Texas. The two pipelines (together, the “Bakken Pipeline”) are expected to be in service in the second quarter of 2017. Continue reading "'Bakken Pipeline' Could Ramp-Up U.S. Crude Production Faster-Than-Expected" →

Love Metals? Good For You!

Posted on by Aibek Burabayev

Aibek Burabayev - INO.com Contributor - Metals


There is an interesting opinion that I have read on the web that it wasn’t Trump who put the metals on the rise as many people think, it could be the Chinese huge economic stimulus instead, as shown in the chart below.

Chart 1. China Government Spending, China Interest Rate
Chinese Interest Rate vs. Govt. Spending
Chart courtesy of tradingeconomics.com

I decided to make my own analysis of the price dynamics to check this assumption.

Chart 2. 1-Year Comparative Chart of ETFs and Metals: Synergy Wins!
ETFs vs. Metals
Chart courtesy of tradingview.com

In the chart above, I have combined three ETFs and three metals for clear illustrations of two important things - the first thing is timing and the second thing is the result of the instrument choices.

The three ETFs are: Continue reading "Love Metals? Good For You!" →

McKesson's Misses For 5th Consecutive Quarter - Buying Opportunity?

Posted on by Noah Kiedrowski

Noah Kiedrowski - INO.com Contributor - Biotech


Introduction

McKesson Corporation (NYSE:MCK) missed Q3 2017 numbers and this marks the fifth consecutive quarter in which McKesson has missed its revenue targets. The stock sold off shapely as a result of its recent revenue miss, sliding 8.3% or $12.55 per share. McKesson has paid dearly for this string of revenue misses, shedding over $102 per share or 42.5% from its all-time highs in May of 2015 falling from $240 to roughly $138 as of recent trading (Figure 1). There’s been a tremendous amount of pressure regarding the pharmaceutical supply chain in terms of pricing competition and potential erosion of the pharmaceutical wholesaler model. As if this wasn’t enough, social and political pressures over drug pricing have exacerbated these issues to the point of fierce pricing competition and the slowing of drug price increases (negatively impacting McKesson’s ability to take larger dollar amount cuts from the volume of business). As the negative sentiment is priced into the stock and acquisitions starting to bear fruit, will this finally be the turning point? Continue reading "McKesson's Misses For 5th Consecutive Quarter - Buying Opportunity?" →

Weekly Futures Recap With Mike Seery

Posted on by The INO.com Team

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Crude Oil Futures

Crude oil futures in the March contract settled last Friday at 53.83 a barrel while currently trading at 53.70 basically unchanged as I'm looking for a breakout above 54.34 for a bullish position to the upside as prices have gone nowhere over the last 2 months. Oil in Wednesday's trade hit a 9 week low creating a false breakout to the downside before rallying & finished higher on the trading session as prices have now traded up for the last 3 consecutive days so keep a close eye on this market as I still think higher prices are ahead. OPEC continues to hint that they might cut production in 2017 as they would like to see prices between $65/$75 a barrel and I think they will use their power to enhance prices as we are still trading above the 20 & 100-day moving average telling you that the short-term trend is higher. The chart structure will start to improve later next week as a breakout is looming in my opinion as we are just not going to trade sideways forever as the commodity markets still look bullish in my opinion. Continue reading "Weekly Futures Recap With Mike Seery" →

The Trump Trade Pushes Stocks To New Records

Posted on by The INO.com Team

Hello MarketClub members everywhere. By saying the words "Phenomenal tax plan" on Thursday, President Trump jump-started the "Trump Trade" as markets resumed their assault on record highs. President Trump also said in a meeting with the airlines on Thursday that "lowering the overall tax burden on American business is big league... that's coming along very well," adding that an announcement would come over the next two or three weeks. Stocks have climbed to record highs following these remarks.

MarketClub's Mid-day Market Report

But that begs the question, who was really trading yesterday? With the massive snowstorm in the northeast the trading volume was lower than average and it seems that the trading computers were the ones pushing the market higher. Scary to think about right?

Key levels to watch next week: Continue reading "The Trump Trade Pushes Stocks To New Records" →