Plans for the DJ and Delaware Basins
The DJ and Delaware basins have the 12th and fifth-lowest break-even costs for oil production among the 50 top offshore and shale projects, according to RS Energy Group.
Noble Energy (NBL) expects the EPIC crude pipeline to be operational in the third quarter, which will likely reduce the price discount of its oil produced to grades of oil in the Gulf Coast. On March 19, the WTI at Midland was at a discount of $8.1 per barrel to LLS (Light Louisiana Sweet). LLS represents a Gulf Coast grade of oil.
Apart from the rise in oil prices, the factors we discussed in this series might have pushed Noble Energy higher.
Tencent (TCEHY) has been in the news for the last few days. According to Bloomberg, Tencent “is weighing a bid for part of Temasek Holdings Pte’s stake in global retailer A.S. Watson Group.
Broadcom (AVGO) stock fell ~8.5% after markets closed yesterday following the semiconductor giant's fiscal 2019 second-quarter earnings release. It missed analysts' revenue estimate and cut its fiscal 2019 revenue guidance by $2 billion to $22.5 billion due to sluggishness in its semiconductor solutions business.
The SPDR Gold Shares ETF (GLD), which tracks physical gold prices, has underperformed the broader markets year-to-date, rising just 4.4% compared to the S&P 500’s (SPY) gain of 15.9% as of June 14. The sentiment for gold, however, has been turning around.
Safe havens such as Treasuries and gold were back in favor on June 14 as stocks fell due to rising tensions in the Middle East, concerns over growth, and the looming threat of the US-China trade war. The tech-heavy Nasdaq Composite Index fell 0.67% in the first hour of trading.
Lululemon (LULU) stock rose 2.1% on June 13 in reaction to better-than-expected first-quarter results and an upgraded outlook for fiscal 2019 overall. The company's first-quarter adjusted EPS grew 34.5% to $0.74 on revenue growth of 20.4% to $782.32 million. Analysts had expected EPS of $0.70 and revenue of $755.31 million. Here's why the outlook got an upgrade.
As of 4:40 AM Eastern Time today, US crude oil active futures were at $51.83, ~4% below their closing level in the previous week. If US crude oil prices stay at those levels today, they'll mark their third week of decline in five weeks.
Amazon is discontinuing its Amazon Restaurants service, which has been delivering food for restaurants in parts of the United States. Amazon Restaurants launched in the United States in 2015 and entered the British market the following year. However, it met strong opposition in the British market.