Refining yields indicate the quantity and variety of refined products produced. Higher complexity refineries produce more light hydrocarbons like gasoline.
From September 2011 to September 2016, WTI prices fell 47% and gasoline prices, while WTI fell 48% during the same period.
The Gulf Coast, a key US refining region, accounted for 9.6 MMbpd of total refining capacity, which represents 52% of the total refining strength in the US.
Of the total consumption of 20.2 MMbpd, in October 2016, gasoline accounts for around 9.1 MMbpd. Distillate fuel oil accounts for 4.1 MMbpd of the total.
This series will provide you a complete overview of the refining industry as well as a quick snapshot of downstream sector stocks in the US.
In 2015, the global refining capacity was 97.2 MM bpd, of which 34% was located in Asia-Pacific. China accounted for 15% while India held 5% in 2014.
Growth in emerging market (EMLC) (HYEM) and developing economies is projected to increase from 4% in 2015—the lowest since the 2008–09 financial crisis—to 4.3% and 4.7%…
Strong Local Currency Performance As Rates Remain Steady Returns in the emerging markets debt space have so far in 2016 ranked commensurately with risk. More specifically, local debt has been…
As the chart above shows, flows into emerging markets funds remained positive but diminished considerably from July and August.
Negative bond yields in Japan and the Eurozone, coupled with very low federal funds rates in the United States, are part of why emerging market bonds and currencies have performed so well in 2016.
In the current market environment, duration risk has risen across bond markets (BND) (LQD). When interest rates rise, bonds with a higher duration will likely be affected more.
All countries have suffered from yield increases, and monetary policy is turning less accommodative, even in Japan and the European Union.
The relationship between the CBOE Volatility Index (or VIX) and the spread between high-yield bonds over ten-year Treasuries is highly correlated.
The CBOE Volatility Index (or VIX), a measure of market turbulence, tumbled 12% during the week ended September 3, 2016. It was the biggest fall in two months.
Led by improvements in production-related indicators, the Chicago Fed National Activity Index (or CFNAI) rose to +0.27 in July from +0.05 in June.
The global hunt for returns has turned US junk bonds into an attractive investment option.
Amazon and Microsoft are positioned as leaders in Gartner’s Magic Quadrant. Google is positioned as a visionary, but Rackspace is considered a niche player.
The Financial Select Sector SPDR Fund (XLF) was hit the worst last week. The Fed kept interest rates unchanged. There were concerns about the “Brexit.”
Analysts’ estimates indicate upside potential of 23% for Citigroup from its closing price of $42.48 on June 17 for the next 12-month period.
While most subgroups within the financial sector generated negative returns last week, banks and diversified financial services stocks were impacted the most.