Wall Street’s mood is still somber despite the steep declines seen in the past couple of sessions. The major U.S. index futures are pointing to a modestly higher open on Wall Street on Tuesday.
Occidental Petroleum Corporation (NYSE: OXY) opened lower on Monday after a big bullish day on Friday saw the stock rally almost 10% off Thursday’s closing price.
The cost of wholesale European gas has increased by 572% this year to 276.23 euros per megawatt-hour, or approximately $274.70. Analysts predict that price increases will continue as winter approaches, fueling inflationary fears as Europe battles to cope with Russia's interruption of natural gas supplies.
Russia’s state-owned multinational energy corporation announced another maintenance closure of the Nord Stream 1 pipeline, following a reduction in natural gas volume over the past few weeks, as the pipeline is currently operating at 20% of the contractual volume, per CNBC.
MARKET UPDATE
15% 2-month rally based on:
Decade low exposures (high cash levels, no hedge fund leverage)
Better than feared Q2 earnings
Peaking U.S. gas prices
Lower 10 year yield to 3% from 3.5%
Month-to-date