Oil prices drop
On Wednesday Oil prices went back from profits racked up during the previous day. Prices pushed down amid a surprise climb in U.S. crude stockpiles. U.S. West Texas Intermediate crude dropped 0.20%, or 14 cents, to $69.70 a barrel. Brent crude futures dropped 22 cents, or 0.28 percent, to $78.81 per barrel by 0042 GMT, chipping away at Tuesday’s 1.26 percent gain.
U.S. crude inventories went up by 1.2 million barrels to 397.1 million last week to Sept. 14, according to the data reported yesterday by the American Petroleum Institute (API). Allying with analyst expectations for a drop of 2.7 million barrels. Stockpiles of diesel and heating oil rose by about 1.5 million barrels, the API data showed, compared with expectations for a 651,000-barrel gain. Chen Kai, head of commodities research at broker Shengda Futures said: “The U.S. crude build temporarily grabbed trader attention.”
Dow surges about 185 points
Yesterday stocks went up due to the latest tariffs on U.S. Chinese goods as results from the fear was not as bad as expected. Good profits in the tech sector also boosted the broader market. The S&P 500 gained about 0.49% to close at 2,904.30, led by consumer discretionary and industrials. The S&P 500 is also less than 0.5% down from its record high. The Dow Jones Industrial Average surged about 188 points to 26,246.94 as Nike and Boeing went higher. The 30-stock Dow also noted a 5 day winning in a row. The Nasdaq Composite went up by about 0.8% to 7,956.11 as Netflix, Amazon, Apple, and Alphabet closed in higher levels.
Bitcoin – Bulls watching the $6,400 level
Bitcoin gained more than 1.30% yesterday. It has partially reversed Monday’s fall that was more than 3.9% to end the day at about $6,332. A range-bound was in effect early morning and we saw the popular coin to move from a start of a day intraday low $6,228.0 to a morning high $6,291.5 before going back to $6,300. Watching the broader market, a mid-day positive momentum found Bitcoin move through to an early afternoon intraday high $6,384 before going back to $6,300 levels, late in the day it is possible to recover to $6,300 levels by the day’s end. While Bitcoin has tended to be the barometer for the broader cryptomarket, Ripple’s XRP may have stolen the show on Tuesday, with news of Saudi bank the National Commercial Bank adopting the Ripple platform driving sentiment through the day.
Markets not reacting much to China’s new tariffs on US
Markets started not paying attention to the news that China will put new tariffs of U.S. goods to the value of about $60 billion, according to a Reuters report. The new tariffs of between 5% and 10% will be on a list of 5,207 U.S. products on September 24. These Tariffs are the countermeasures from China from Monday’s actions by the U.S. administration. Last Tuesday, the US President Trump’s administration said that it will impose 10% tariffs on about $200 billion of imports from China and that will be implemented on September 24. Trump also said that if a new trade deal isn’t in place before the end of the year, the tariffs would rise to 25% on January 1, 2019.