Morning Briefing: Oil below $40 as OPEC disappoints

Morning Briefing: Oil below $40 as OPEC disappoints

Morning Briefing: Oil below $40 as OPEC disappoints Oil below $40 as OPEC disappoints
The much-anticipated meeting of OPEC members Friday ended in disappointment with no movement on production levels. Oil prices have been declining so far Monday with West Texas Crude falling below $40 and benchmark Brent prices falling to near 2015 lows.

Equity markets are mixed so far. Asian indexes digested US jobs data and regional indicators and Shanghai, Tokyo and Sydney were among those closing with gains.

In Europe investors are still weighing a disappointing announcement on stimulus measures from the ECB although this was tempered by comments from the central bank’s president that there were ‘unlimited’ tools available if needed. US jobs data is also in focus along with the strong US dollar against the Euro. Most markets are trading higher so far.

Wall Street and Toronto are expected to open higher.
  Latest 1 month ago 1 year ago
North America (previous session)
US Dow Jones 17,847.63 (+2.12 per cent) -0.35 per cent -0.62  per cent
TSX Composite 13,358.77 (+0.26 per cent) -1.44 per cent -7.70 per cent
Europe (at 6.00am ET)
UK FTSE 6,273.78 (-0.57 per cent) -1.26 per cent -6.96 per cent
German DAX 10,970.90 (+2.03 per cent) -0.16 per cent +8.76 per cent
Asia (at close)
China CSI 300 3,687.61 (+0.27 per cent) -2.79 per cent +18.01 per cent
Japan Nikkei 19,698.15 (+0.99 per cent) +2.25 per cent +9.92 per cent
Other Data (at 6.00am ET)
Oil (Brent) Oil (WTI) Gold Can. Dollar
(-0.63 per cent)
(-1.35 per cent)
(-0.02 per cent)
Aus. Dollar
 US economists cut growth forecast, jobs strong
A survey of economists reveals a bullish view on US economic growth in 2016. The National Association for Business Economics poll suggests 2.6 per cent growth, down from the 2.7 per cent forecast in September. However, the jobs market is set to be buoyant with unemployment down to 4.7 per cent by the end of next year from the current 5 per cent rate.
Oil will stay low in 2016 says Total boss
The chief executive of French energy firm Total said Monday that the price of oil is unlikely to recover in 2016. Patrick Pouyanne believes that supply will outstrip demand in 2016 with prices under continued pressure. He told the BBC that both US and OPEC supply will start to contract during the year but with demand also lower there will be little movement on prices.

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