Tech Companies Announce More Layoffs
January 5, 2023
The API inventory report called crude oil up 3.3 million barrels, gasoline up 1.2 million barrels, and distillates down 2.4 million barrels. Despite the draw in crude prices are higher this morning. After two big down days the market is due a bounce. The big questions everyone want to know is this the start of a longer term up trend or will the market turn around and test the December lows.
The average estimates for the DOE inventory update today is for crude inventories to be up 1.154 million barrels, gasoline down 396,000 barrels, and distillates down 486,000 barrels.
Average estimate for today’s propane inventory update is for stocks to be down 3 million barrels
Platts is reporting that according to trade sources Chevron is scheduled to load 2.2 million barrels of Venezuelan crude for export to the US in January. Chevron has not lifted crude oil from Venezuela since January 2019.
The US ISM Manufacturing index for December contracted again for the second straight month to the lowest level since May 2020. The number came in at 48.4 with the expectation for 48.5.
The minutes of the Fed’s December meeting basically point out that the Fed will continue to raise rates as what they have done so far has not achieve their goal. Of course, continued higher rates is a bearish thing for markets and not good news for the economy.
Salesforce announced that they are laying off 10% of their workforce and Amazon has announced layoffs of 18,000 workers amid the economic uncertainty.