Stocks bounced into the green on Wednesday after Reuters reported that OPEC reached a deal to limit oil production.
The energy sector gained 3.9%, the most among the S&P 500’s 11 sectors as of 2:28 p.m. ET.
First up, the scoreboard:
- Dow:18,339.24, +110.94, (+0.61%)S&P 500: 2,171.37, +11.44, (+0.53%) Nasdaq:5,318.55, +12.84, (+0.24%)WTI Crude: $46.98, +$2.31, (+5.2%) 1o-year yield: 1.572%, +0.016
OPEC reportedly reached a deal to limit production, after which oil prices shot through the roof. Reuters reported, citing “sources” that “OPEC had agreed to limit oil production to 32.5 million barrels per day. Once the group reaches its target, OPEC will go to non-OPEC producers for output support, once source said.” Prices for Brent crude oil, the international benchmark, surged by as much 6.3% to $49.44 per barrel around 2:33 p.m. ET. Petrocurrencies, including the Russian ruble and the Norwegian krone, rallied. Durable goods orders were unchanged in August. Economists had forecast that orders for things designed to last for a long time fell 1.5% during the month, according to Bloomberg. Citi tells Disney: please don’t buy Twitter. “Any way we slice the data, we just can’t get enthusiastic about this potential transaction,” wrote Citi’s Jason Bazinet and his team in a note on Tuesday. The maker of La Croix soft drinks is crashing after a short seller accused it of cooking the books. Glaucus Research, a short-selling researcher, claimed that National Beverage’s CEO had admitted to an attorney that he was manipulating the stock price by creating false invoices for the firm. The Fed is making a big change to how it tests America’s banks. The Federal Reserve is considering changing the annual stress tests it gives to U.S. banks to see if they can withstand a massive financial crisis, and also using test results to set the capital buffers that banks must maintain to blunt the effects of a downturn, according to its chair, Janet Yellen.
Additionally:
Saudi stocks tanked after the kingdom slashed worker pay.
California just dealt another huge blow to Wells Fargo.
PIMCO: The global economy is now all about the 3 P's.