Z-SYMBOLS

Bad news from China adds to global food crunch–add to positions in the DJP Bloomberg Commodity ETN

Bad news from China adds to global food crunch–add to positions in the DJP Bloomberg Commodity ETN

How does the lyric go (as sung by Albert King)? “If it wasn’t for bad luck, I would have no luck at all.” Maybe that song should be the theme song for the global food market right now. This month China’s agriculture minister Tang Renjian told colleagues at a high-profile government meeting in Beijing this month: “China faces big difficulties in food production because of the unusual floods last autumn. Many faming experts and technicians told us that crop conditions this year could be the worst in history.”

Australia ban on alumina shipments to Russia keeps aluminum rally hot

Australia ban on alumina shipments to Russia keeps aluminum rally hot

Australia has banned alumina shipments to Russia in response to the Russian invasion of Ukraine. The country is the source of 20% of the alumina used by Russia’s aluminum industry. Aluminum rose as much as 4.8% on the London Metal Exchange.The metal is now 25%for 2021. Shares of Alcoa (AA), which have been on a tear first on news of supply deficits and then on sanctions against Russian aluminum producers, gained 10.01% on Monday, March 21.

Saturday Night Quarterback (on a Sunday) says, For the week ahead expect…

Saturday Night Quarterback (on a Sunday) says, For the week ahead expect…

I expect a continuation of the “disagreement” between domestic Chinese and foreign investors about the risk and direction of China’s stock marketThe two groups see very different worlds when they look at Chinese stocks. China’s domestic investors see a market ready for a big rally from a severe bear market on support from the People’s Bank of China, stock market friendly changes in policy from China’s financial regulators, and promises of fiscal stimulus from the Beijing government. Foreign investors see a the dangers of a confrontation with the United States and the potential for economic sanctions on China

Norway’s Equinor gets adjusted permits to raise natural gas production

Norway’s Equinor gets adjusted permits to raise natural gas production

Norwegian oil and natural gas producer Equinor (EQNR) said Wednesday, March 16, that adjusted permits from the Norwegian government will allow higher natural gas production over summer from the North Sea Troll and Oseberg fields as well as the Heidrun fields in the Norwegian Sea. With European countries looking for alternatives to Russian natural gas Equinor can basically sell all the gas it can produce even at higher prices. Natural gas futures closed at $4.81 per million BTUs today in New York. That’s up from $3.80 on January 20. That’s a 26.6% increase. I added Equinor to my Volatility Portfolio back on January 21 as hedge against a Russian invasion of Ukraine and wide-reaching sanctions. That position is up 23.14% as of the close on March 18.

Trend turns against emerging markets–but it’s too late for my Puts: Selling my Put Options on EWZ,EWW and buying short emerging markets ETF

Trend turns against emerging markets–but it’s too late for my Puts: Selling my Put Options on EWZ,EWW and buying short emerging markets ETF

I think the trend has finally turned against emerging market stocks. All it took was the threat of a debt default by Russia. That shift is too late for the Brazil and Mexico Put Options I bought on January 24, which expire on Mach 18. But with a Russian debt default looming I’m replacing those Puts with an ETF that shorts the major emerging markets index.

Please watch my new YouTube video: Quick Pick Apple

Please watch my new YouTube video: Quick Pick Apple

This week, my Quick Pick is Apple (AAPL). I wrote a post about a month ago, saying that Apple would be a stock to buy place ahead of its new product event on March 9 (and the traditional fall announcement of more new products.). And I think the reveal yesterday had promising new products likely to boost sales. There’s a new iPad Air, an improved iPhone SE (the cheapest iPhone), and new generations of Mac computers all with Apple’s new in-house M1 chip. The stock has fallen a bit so far this year, but hasn’t been hammered as much as other tech stocks, and I think the potential for huge sales of these new items make it a good holding over the next year.

U.S. to ban Russian oil and natural gas–Brent hits $131 a barrel, WTI $127

U.S. to ban Russian oil and natural gas–Brent hits $131 a barrel, WTI $127

The United States will ban imports of oil and natural gas from Russia, President Biden announced Tuesday. U.S. allies in Europe also announced action on the energy front with a plan to cut natural gas imports from Russia by two-thirds in 2022. Even though the White House has said that the long-lead time on the ban would give importers and consumers time to find other sources by the end of 2022, oil futures soared today with the price of West Texas Intermediate, the U.S. crude benchmark, climbing to $126.98 a barrel, up 6.35%, for April delivery as of 12:30 p.m. in New York. International benchmark Brent creek rose 6.52%to $131.24 a barrel for April delivery.

Perfect storm of bad news on oil supply sends WTI crude over $120 a barrel

Perfect storm of bad news on oil supply sends WTI crude over $120 a barrel

I suppose there is something else that could add to the supply of bad news today on oil supply, but we’ve already got a full dance card At 2 P.m. in New York U.S. crude benchmark West Texas Intermediate traded up 5.07% to $121.55 a barrel; international benchmark Brent crude was up 6.24% to $125.48 a barrel. Where to start?

Airline stocks take another whack on fears that higher jet fuel prices will require many to sell stock to raise capital

Airline stocks take another whack on fears that higher jet fuel prices will require many to sell stock to raise capital

As far as I’ve been able to discover, it was a research note from Wolfe Research that began the negative “rethink.” Wolfe forecast that the airlines including United Airlines (UAL) and American Airlines (AAL) were burning cash so fast because of the jump in the cost of jet fuel that they might need to sell stock to secure more liquidity.. The worry isn’t outlandish. Oil broke above $115 a barrel (for U.S. West Texas Intermediate) today and JPMorgan Chase and Goldman Sachs have both recently projected that crude could rise to $185 a barrel by the end of 2022. Today shares of American Airlines (AA) were off 7.13%. United Airlines (UAL) dropped 9.07%. And Delta Air Lines (DAL) was down 5.63%.