For FKLI
For FCPO
Monday, June 30, 2008
5:08 pm - FKLI is weakening toward EOD !
The institution rollover has cause the FKLI turn bearish and once the rollover is over, it is back to normal - weak to bearish.
3:21 pm - FKLI July is bullish due to the month end rollover
Despite cash market selling down -6.62, you see July contract bullish.
2:53 pm - Kucinich: 'We went to war for the oil companies'
Kucinich: 'We went to war for the oil companies'
By Nick Juliano
Rep. Dennis Kucinich, who has introduced measures to impeach George W. Bush and Dick Cheney, said Thursday that oil executives who secretly met with the vice president in 2001 should be held criminally liable for pushing an illegal war.
"In March of 2001, when the Bush Administration began to have secret meetings with oil company executives from Exxon, Shell and BP, spreading maps of Iraq oil fields before them, the price of oil was $23.96 per barrel. Then there were 63 companies in 30 countries, other than the US, competing for oil contracts with Iraq," the Ohio Democrat said during a speech on the House floor.
"Today the price of oil is $135.59 per barrel, the US Army is occupying Iraq and the first Iraq oil contracts will go, without competitive bidding to, surprise, (among a very few others) Exxon, Shell and BP."
The New York Times reported last week that those companies, Chevron, Total and some smaller companies were set to receive no-bid contracts from Iraq's Oil Ministry. According to the paper, such deals "are unusual for the industry," and the companies prevailed over more than 40 others, including some from Russia, China and India.
In March 2001, two years before Iraq was invaded, Cheney met with top executives from Exxon Mobil Corp., Shell Oil Co., BP America Inc. and others on his infamous secret Energy Task Force.
Kucinich seemed to accuse participants in that meeting of plotting the invasion of Iraq. There's no indication that the participants discussed military action, although documents later released showed they did eye Iraq's oil fields.
The White House convinced the Supreme Court to let it keep secret the proceeding's of Cheney's task force, although the Washington Post later revealed most of its activities.
Kucinich accused the US government of forcing Iraq to privatize its oil fields, which are estimated to hold more than 100 billion barrels of oil, and keeping US troops at war to protect the oil reserves.
"Our nation's soul is stained because we went to war for the oil companies and their profits. There must be accountability not only with this Administration for its secret meetings and its open illegal warfare but also for the oil company executives who were willing participants in a criminal enterprise of illegal war, the deaths of our soldiers and innocent Iraqis and the extortion of the national resources of Iraq," he said.
"We have found the weapon of mass destruction in Iraq. It is oil," Kucinich continued. "As long as the oil companies control our government Americans will continue to pay and pay, with our lives, our fortunes our sacred honor."
By Nick Juliano
Rep. Dennis Kucinich, who has introduced measures to impeach George W. Bush and Dick Cheney, said Thursday that oil executives who secretly met with the vice president in 2001 should be held criminally liable for pushing an illegal war.
"In March of 2001, when the Bush Administration began to have secret meetings with oil company executives from Exxon, Shell and BP, spreading maps of Iraq oil fields before them, the price of oil was $23.96 per barrel. Then there were 63 companies in 30 countries, other than the US, competing for oil contracts with Iraq," the Ohio Democrat said during a speech on the House floor.
"Today the price of oil is $135.59 per barrel, the US Army is occupying Iraq and the first Iraq oil contracts will go, without competitive bidding to, surprise, (among a very few others) Exxon, Shell and BP."
The New York Times reported last week that those companies, Chevron, Total and some smaller companies were set to receive no-bid contracts from Iraq's Oil Ministry. According to the paper, such deals "are unusual for the industry," and the companies prevailed over more than 40 others, including some from Russia, China and India.
In March 2001, two years before Iraq was invaded, Cheney met with top executives from Exxon Mobil Corp., Shell Oil Co., BP America Inc. and others on his infamous secret Energy Task Force.
Kucinich seemed to accuse participants in that meeting of plotting the invasion of Iraq. There's no indication that the participants discussed military action, although documents later released showed they did eye Iraq's oil fields.
The White House convinced the Supreme Court to let it keep secret the proceeding's of Cheney's task force, although the Washington Post later revealed most of its activities.
Kucinich accused the US government of forcing Iraq to privatize its oil fields, which are estimated to hold more than 100 billion barrels of oil, and keeping US troops at war to protect the oil reserves.
"Our nation's soul is stained because we went to war for the oil companies and their profits. There must be accountability not only with this Administration for its secret meetings and its open illegal warfare but also for the oil company executives who were willing participants in a criminal enterprise of illegal war, the deaths of our soldiers and innocent Iraqis and the extortion of the national resources of Iraq," he said.
"We have found the weapon of mass destruction in Iraq. It is oil," Kucinich continued. "As long as the oil companies control our government Americans will continue to pay and pay, with our lives, our fortunes our sacred honor."
9:24 am - DJIA is looking very bad from here !
Next major support 10700. It closed on 11,346 last friday.
It's easy to short !
Saturday, June 28, 2008
7:29 am - Wall Street extends losses in volatile week
Wall Street extends losses in volatile week NEW YORK (AP) - Wall Street ended a depressing week with another big loss onFriday, with the Dow Jones industrials falling more than 100 points amidever-escalating worries about high oil prices and fallout from the creditcrisis. The major indexes are all down more than 3 percent for the week. The Dow has fallen nearly 460 points in the last two sessions and reachedits lowest point since September 2006. Investors again contended Friday with a seemingly relentless stream oftroubling news about the financial sector. Moody's Investors Service said it isreviewing investment bank Morgan Stanley for a possible downgrade. There werealso more reports that Merrill Lynch & Co. might have to write off nearly $6billion of risky mortgage-backed debt. In addition to anxiety about the financials, the market watched oil's marchhigher -- the price of crude rose to a new record of $142.99 a barrel on the NewYork Mercantile Exchange. Wall Street remains concerned that higher commodityprices will slam consumers with not only elevated costs for energy and food, butalso for other goods if cash-strapped companies decide to pass along the risingcosts. "People are trading with a lot of emotion," said Alexander Paris, aneconomist and market analyst for Chicago-based Barrington Research. "I think themarket is trying to make a bottom, but the question is will it hold there orjust crash through. It feels just like the top of the technology bubble in 2000,you know there's something wrong but it is hard to time it." Investors got little solace from economic data released on Friday. TheCommerce Department said spending rose 0.8 percent in May, as taxpayers startedreceiving their stimulus checks. The increase was higher than the 0.7 percenteconomists predicted. The report also said personal incomes surged 1.9 percent-- significantly more than anticipated. After taxes, incomes surged 5.7 percent,the largest amount in 33 years. The Dow fell 106.91, or 0.93 percent, to 11,346.51, compounding Thursday's358-point skid. The blue chip index is down 19.9 percent from its record highclose of 14,164.53 in October, and is on the verge of the 20 percent pullbackthat is considered the threshold for a bear market. Broader stock indicators also closed lower. The Standard & Poor's 500 indexfell 4.77, or 0.37 percent, to 1,278.38. The S&P, the index most closely watchedby market professionals, is down 18.3 percent from its October high. The Nasdaq composite index fell 5.74, or 0.25 percent, to 2,315.63. The market was pounded this week not only by a resurgence of bad news aboutthe financial sector and $140 oil, but by harbingers of problems to come inother parts of the economy. Poor outlooks for high-tech companies and theautomotive sector reminded Wall Street that the troubles have the potential tobecome widespread. There is also likely fear on the Street about upcoming second-quarterearnings reports and companies outlooks for the rest of the year. Oracle Corp.'swarning of difficult times ahead contributed to Thursday's huge drop. For the week, the Dow gave up 4.19 percent, the S&P shed 3 percent and theNasdaq fell 3.76 percent. With one trading day left in the second quarter, theDow is down 7.47 percent, the S&P 500 is off 3.35 percent and the Nasdaq is up1.60 percent. Year-to-date statistics show how badly the market has suffered from thecredit crisis and the impact of soaring oil: The Dow is down 14.46 percent, theS&P 500 is down 12.94 percent and the Nasdaq is down 12.69 percent. Even if the economic numbers coming out soon -- including the government'sJune employment report, to be issued on Thursday -- look better, the marketlikely won't be reassured, because the impact of higher oil is still not known. Declining issues outnumbered advancers by about 3 to 2 Friday on the NewYork Stock Exchange, where volume came to 1.4 billion shares. Bond prices edged higher. The yield on the benchmark 10-year Treasury note,which tends to move opposite its price, was at 3.96 percent, down from 4.03percent late Thursday. The dollar was lower against other major currencies,while gold prices rose. In other economic news, the University of Michigan's June index of consumersentiment came in at 56.4, a bit lower than its reading in May and slightlybelow the average analyst estimate. "The problem is that there's not one, single worry," said Hugh Johnson,chairman and chief investment officer of Johnson Illington Advisors. He pointedto high gas prices, still-tight credit market conditions, and the contractinghousing market. "If you're looking for problems that face investors, that facethe U.S. economy, they're everywhere." Also Friday, a Lehman Brothers analyst lifted his prediction of MerrillLynch's asset markdowns in the second quarter. His write-down estimate rose to$5.4 billion from $3 billion. On Thursday, a Goldman Sachs analyst forecast a$4.2 billion write-down at Merrill and a nearly $9 billion write-down atCitigroup Inc. Merrill shares fell 35 cents to $32.70, and Citigroup shares fell 42 cents,or 2.3 percent, to $17.25. Morgan Stanley dropped 12 cents to $36.71 after Moody's said the investmentbank's "financial performance and risk management has been inconsistent" sincecredit markets began last year. The company will focus its review on MorganStanley's ability to control risk and generate profit over the next one to twoyears -- a period Moody's expects will be challenging for investment banks. The Russell 2000 index of smaller companies fell 0.28, or 0.04 percent, to698.14. Overseas, Japan's Nikkei stock average fell 2.01 percent after Wall Street'stumble Thursday. Britain's FTSE 100 rose 0.21 percent, Germany's DAX index fell0.58 percent, and France's CAC-40 lost 0.65 percent. Copyright 2008 Associated Press. All rights reserved. This material may not be
Friday, June 27, 2008
11:11 am - Short sellers are covering their short position.
Look at the volume drying up as it moves higher !
10:21 am - Oil Falls From Record as U.S. House Passes Speculation Measure
By Christian Schmollinger and Margot Habiby
June 27 (Bloomberg) -- Crude oil fell in New York, retreating from the record $140.39 a barrel reached yesterday, as the U.S. House of Representatives approved a bill aimed at curbing excessive energy-market speculation.
The bill, which passed 402-19, would require the Commodity Futures Trading Commission to consider using position limits, or constraints on the size of the stake each speculative investor can own, and raising margin requirements, the amount of money required to trade. The vote came after the record was set.
``Sentiment may push prices down initially,'' said Mark Pervan, a senior commodity strategist with Australia and New Zealand Banking Ltd. in Melbourne. ``Curbing the speculative element might cause prices to fall so sentiment alone would suggest that we might see some profit-taking.''
Crude oil for August delivery fell as much as $1.03, or 0.7 percent, to $138.61 a barrel in after-hours trading on the New York Mercantile Exchange. It was at $139.38 a barrel at 9:35 a.m. Singapore time.
Yesterday, oil rose $5.09, or 3.8 percent, to $139.64 a barrel, a record settlement price, as Libya threatened to cut output, OPEC's president said prices may reach $170 by the summer and the dollar weakened. Yesterday's all-time-high intraday price surpassed the $139.89 reached June 16.
Oil futures have moved by 2 percent or more on half of the trading days this month. Prices veered 43.4 percent from the 30- day average yesterday, the highest volatility in 16 months, according to Bloomberg data. Volatility is a measure of how far the price of a commodity such as oil deviates from average closing prices over a prior period, such as 30 or 60 days.
``When you've got such an active market, it's very news sensitive,'' said ANZ's Pervan. ``These markets can move quite sharply because you're talking about a higher volume game.''
Pre-Recess Vote
The House passed the measure just hours before recessing for a week for the July 4 Independence Day holiday, a time when members typically return home and meet with constituents. Rising retail gasoline prices, which averaged $4.07 a gallon on June 25 and reached a high of $4.08 on June 16 according to the AAA, have angered voters. Gasoline prices are up 34 percent this year.
The measure calls on the CFTC use its emergency powers to ``curb immediately the role of excessive speculation'' in any market it oversees in which energy futures or swaps are traded.
An emergency in commodity markets is defined as a ``threatened or actual market manipulations or corners,'' any domestic or foreign government decision affecting prices, or ``any other major market disturbance which prevents the market from reflecting supply and demand,'' the CFTC said in a statement yesterday.
The agency ``has never exercised emergency power based on price trends that have developed over months or years,'' the statement said. Emergency powers have been invoked four times since the CFTC was formed in 1976.
Task Force
The measure is ``not likely to be bullish,'' said Tim Evans, an energy analyst for Citi Futures Perspective in New York. ``You can argue that it may not be effective, but I don't know that you can actually argue that it's bullish.''
The measure needs to be passed by the Senate and signed by the president before becoming law.
The CFTC, which regulates U.S. commodity futures and options markets, said earlier this month that it formed an interagency task force to evaluate developments in commodity markets, including the role of speculators. The task force includes the Federal Reserve, the Securities and Exchange Commission, the CFTC and the U.S. Departments of Treasury, Energy and Agriculture.
The House defeated a separate measure mandating that oil companies produce energy from current leases or be disqualified from future leasing.
Brent crude oil for August settlement was at $139.50 a barrel, down 33 cents, on London's ICE Futures Europe exchange at 9:10 a.m. Singapore time. It rose $5.50, or 4.1 percent, yesterday to settle at a record $139.83 a barrel. Prices touched $140.56 a barrel, the highest since trading began in 1988.
To contact the reporters on this story: Christian Schmollinger in Singapore at christian.s@bloomberg.net; Margot Habiby in Dallas at mhabiby@bloomberg.net.
June 27 (Bloomberg) -- Crude oil fell in New York, retreating from the record $140.39 a barrel reached yesterday, as the U.S. House of Representatives approved a bill aimed at curbing excessive energy-market speculation.
The bill, which passed 402-19, would require the Commodity Futures Trading Commission to consider using position limits, or constraints on the size of the stake each speculative investor can own, and raising margin requirements, the amount of money required to trade. The vote came after the record was set.
``Sentiment may push prices down initially,'' said Mark Pervan, a senior commodity strategist with Australia and New Zealand Banking Ltd. in Melbourne. ``Curbing the speculative element might cause prices to fall so sentiment alone would suggest that we might see some profit-taking.''
Crude oil for August delivery fell as much as $1.03, or 0.7 percent, to $138.61 a barrel in after-hours trading on the New York Mercantile Exchange. It was at $139.38 a barrel at 9:35 a.m. Singapore time.
Yesterday, oil rose $5.09, or 3.8 percent, to $139.64 a barrel, a record settlement price, as Libya threatened to cut output, OPEC's president said prices may reach $170 by the summer and the dollar weakened. Yesterday's all-time-high intraday price surpassed the $139.89 reached June 16.
Oil futures have moved by 2 percent or more on half of the trading days this month. Prices veered 43.4 percent from the 30- day average yesterday, the highest volatility in 16 months, according to Bloomberg data. Volatility is a measure of how far the price of a commodity such as oil deviates from average closing prices over a prior period, such as 30 or 60 days.
``When you've got such an active market, it's very news sensitive,'' said ANZ's Pervan. ``These markets can move quite sharply because you're talking about a higher volume game.''
Pre-Recess Vote
The House passed the measure just hours before recessing for a week for the July 4 Independence Day holiday, a time when members typically return home and meet with constituents. Rising retail gasoline prices, which averaged $4.07 a gallon on June 25 and reached a high of $4.08 on June 16 according to the AAA, have angered voters. Gasoline prices are up 34 percent this year.
The measure calls on the CFTC use its emergency powers to ``curb immediately the role of excessive speculation'' in any market it oversees in which energy futures or swaps are traded.
An emergency in commodity markets is defined as a ``threatened or actual market manipulations or corners,'' any domestic or foreign government decision affecting prices, or ``any other major market disturbance which prevents the market from reflecting supply and demand,'' the CFTC said in a statement yesterday.
The agency ``has never exercised emergency power based on price trends that have developed over months or years,'' the statement said. Emergency powers have been invoked four times since the CFTC was formed in 1976.
Task Force
The measure is ``not likely to be bullish,'' said Tim Evans, an energy analyst for Citi Futures Perspective in New York. ``You can argue that it may not be effective, but I don't know that you can actually argue that it's bullish.''
The measure needs to be passed by the Senate and signed by the president before becoming law.
The CFTC, which regulates U.S. commodity futures and options markets, said earlier this month that it formed an interagency task force to evaluate developments in commodity markets, including the role of speculators. The task force includes the Federal Reserve, the Securities and Exchange Commission, the CFTC and the U.S. Departments of Treasury, Energy and Agriculture.
The House defeated a separate measure mandating that oil companies produce energy from current leases or be disqualified from future leasing.
Brent crude oil for August settlement was at $139.50 a barrel, down 33 cents, on London's ICE Futures Europe exchange at 9:10 a.m. Singapore time. It rose $5.50, or 4.1 percent, yesterday to settle at a record $139.83 a barrel. Prices touched $140.56 a barrel, the highest since trading began in 1988.
To contact the reporters on this story: Christian Schmollinger in Singapore at christian.s@bloomberg.net; Margot Habiby in Dallas at mhabiby@bloomberg.net.
10:14 am - DJIA has one of the biggest fall since Great Depression 1929
I see high volume yesterday but I want to see a doji tonite before DJIA can reverse up. Else DJIA may go down some more or move sideway.
9:48 am - FKLI July really jump off the cliff
In coming weeks, FKLI is very easy to trade. Just short on strength. If there is strength today, just sell short !
Thursday, June 26, 2008
5:18 pm - FKLI has a bearish pattern - July contract
FKLI is ready for short tomorrow ! Short July contract !
2:51 pm - Once the rollover is over, our KLCI will give way
Sending our FKLI back to bear again. Think to short !
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