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Why Obamacare Repeal Failed

...rural Trump-backers have come to terms with Obamacare. “As much as I was against it,” said one fiscally conservative voter, “at this point I’m against the repeal.” One restaurant owner commented, “I can’t even remember why I opposed it.”

WTI Slides After Disappointing Crude Draw & Production Surge

WTI prices dumped on last night's surprise crude build but have limped back above $49 heading into the DOE prints this morning (although Russia sanctions headlines dipped it). DOE did not help as the report was a disappointment for the bulls with production rising to a new cycle high, crude inventories drawing less than expected but total U.S. oil inventories (that's crude plus all products, including the often volatile "other oil" category) rose by 1.1 million barrels last week.

McMaster And Mattis Have Twelve Months To Succeed In Afghanistan

"There is no Afghanistan 'policy vacuum', General McMaster has simply forgotten that it is his job to get in sync with the President, not the other way around. His thinking is emblematic of the military’s approach to sunk costs – the dead and wounded soldiers – as opposed to a businessman’'s..."

RBA Preview: Beware Of Doves, Leaks And Stop Hunts

FX traders will want to keep a close eye on sharp AUDUSD moves seconds before the announcement: on at least one occasion, most famously in April 2015, the RBA statement was leaked in advance, with the entire currency move taking place roughly 7 seconds before the official release.

Bitcoin Is Rallying As 'Fork'-Day Arrives

With only a few hours remaining before the widely-expected Bitcoin network’s SegWit activation and its anticipated fork, there is a bifurcation in the crytpo-world with Bitcoin higher (up 5%) and the rest of the major virtual currencies lower (down 4%). For now, crypto markets seem relatively calm and stable ahead of what was feared to be an extreme volatility moment.

Global Stocks Rise On "Growth Optimism", Ignore Political Turmoil; Dollar, Oil Creep Higher

S&P futures rose 0.1% on the last trading day of the month, trailing European and Asian markets boosted by China's July Mfg. PMI, which despite declining from from 51.7 to 51.4, and missing expecations  of 51.5, saw the construction index rise to its highest level since December 13, sending Chinese iron ore futures surging and the European commodity sector broadly higher.

Electric Vehicles No Threat To Oil Prices Anytime Soon

Hardly a day goes by without another media report about the impending demise of the Internal Combustion Engine as petroleum powered cars and trucks are replaced by uber-clean Electric Vehicles. It is just a matter of time before EVs start to materially reduce global oil demand thereby capping a meaningful oil price recovery now and creating an ever-shrinking industry in the future... Except it isn’t true.

Foxconn To Get $230,000 In Incentives For Every Wisconsin Job Created

The "incentive package" for the Foxconn deal will total $3 billion over 15 years, including $1.5 billion in state income tax credits for job creation; up to $1.35 billion in state income tax credits for capital investment and up to $150 million for the sales and use tax exemption. In other words, just over $230,000 for each new job that Foxconn may (or may not) create.

The Myth Of India's Information Technology Industry

"The Indian IT industry and most Indian businesses are run by people who are more akin to power-brokers and traders. In IT, they have just created a story and traded Indian 'coolies' for wage-arbitrage.  For them IT jobs are passports to get Green Cards and go to US...Inside the country, Indians have increased their gold hoarding...Those who can are moving their gold and wealth abroad."