Frontrunning: September 15

  • Global stocks struggle for footing after bond slip (Reuters)
  • Mobileye says Tesla was 'pushing the envelope in terms of safety' (Reuters)
  • Donald Trump is a problem for the whole world, EU's Schulz says (Reuters)
  • Stuck on Ship, One Gloomy Hanjin Crew Waits to Learn Its Fate (WSJ)
  • U.K. Approves EDF’s £18 Billion Hinkley Point Nuclear Project (BBG)

"It's An Inside Job" Oliver Stone Says DNC Hack Is A "Disguise From What's Really Going On"

Never one to shy away from controversy, infamous director Oliver Stone (see here, here, and here) is once again challenging the mainstream media's narrative; this time with regard the "russian hacking and leak of the DNC." Speaking with CNN's Christine Amanpour, the Hollywood director said he believes the Democratic National Committee email hacking scandal was an "inside disguise what’s really going on..."

US To Provide Israel With Record $38 Billion In Military Aid

While the US relationship with Saudi Arabia can be described, perhaps courtesy of the latter's donations to the Clinton campaign, as one of preferential treatment when it comes to arms deals, the relationship with Israel is even simpler. As Reuters reports, the US and Israel reached an agreement on a record new package of at least $38 billion in U.S. military aid to be supplied to Israel over the next decade.

Frontrunning: September 13

  • IEA Changes View on Oil Glut, Sees Surplus Enduring in 2017 (BBG)
  • Futures dip with oil as investors assess rate hike chances (Reuters)
  • Hilsenrath - Divided Federal Reserve Is Inclined to Stand Pat (WSJ)
  • 'I didn't think it was a big deal,' Clinton says of pneumonia bout (Reuters)
  • Clinton's Lead Narrows Among Independents, Voters Nationally (NBC)
  • Libor’s Reaching Point of Pain for Companies With Big Debt Loads (BBG)

Oil Slides After IEA Turns Pessimistic, Sees Oversupply Extending On "Dramatic Deceleration" In Crude Demand

Earlier today the IEA revealed a much more pessimistic outlook on the state of the oil market, predicting that a sharp slowdown in global oil demand growth, coupled with ballooning inventories and rising supply means the crude market will be oversupplied into late 2017. The reason: a "dramatic deceleration in China and India” this quarter coupled with “vanishing growth” in developed economies.

Bloomberg Tries To Explain Why Allowing 9/11 Victims To Sue Saudis Is Un-American

Given the Obama administration's (and Hillary's campaign financing) vehment dissent over The House and The Senate's unequivocal confirmation of a bill allowing 9/11 victims' families to sue Saudi Arabia, the mainstream media has been unleashed to change the narrative. First, CNN's Wolf Blitzer explained the bill could create economic collapse in America; and now Bloomberg's Editorial Board suggest it will "allow anti-American sentiment to flourish," potentially expose state secrets and "potential monetary costs," and "leave the U.S. vulnerable to on the global stage."

Oil Slides As Freeze 'Deal' Hope Falters

Of the four scenarios that we laid out yesterday, it appears "exemptions" or "no deal" are now the only ones left on the table for Algiers - neither of which are good for oil prices. As Bloomberg reports, Iran, Libya, and Nigeria have demanded the right to increase production - a solution that makes a Saudi agreement to 'freeze' less likely and a "no deal" reaction in Algiers more likely.

Four Scenarios For Oil Producers Ahead Of Algiers

After two years of a Saudi-led strategy of all-out pumping, adopted to protect market share against the surge in U.S. shale oil, OPEC and Russia are putting cooperation back on the table. As Bloomberg notes, their last attempt to do this - a proposal to freeze output in April - collapsed in acrimony because of rivalry between Saudi Arabia and Iran. There may be four potential outcomes from the Algiers talks.

Crude Soars Above $47 After Biggest Inventory Draw Since 1999

Following last night's API-reported 12mm barrel drawdown (the most since 1999) - attributed to last week's Gulf shut-ins due to tropical storm Hermine - EIA reported an even bigger 14.5 million barrel draw. Production fell for the 3rd week and Distillates saw a big inventory build but the headline crude build dominated algos which spiked WTI above $47.

Russian Jet Flies Within 10 Feet Of US Spy Plane

A Russian Su-27 fighter carried out an "unsafe and unprofessional" intercept of a U.S. P-8 spy plane flying a "regular patrol" over the Black Sea, coming within 10 feet of the American aircraft.

DOJ Threatens To Rip Up HSBC's "Get Out Of Jail Free" Card

The DOJ is considering whether to void a previously signed "deferred-prosecution agreement" with HSBC on claims it didn't comply with terms of the agreement.  Voiding the agreement would open the bank up to criminal charges in the U.S.

Frontrunning: September 7

  • Trump and Clinton look to pass U.S. commander-in-chief test (Reuters)
  • Undecided GOP-Leaning Voters Provide an Opening for Donald Trump (WSJ)
  • Stage set for iPhone 7, but many await 8 (Reuters)
  • Dollar Slides Versus Yen as Prospect of September Fed Hike Dims (BBG)
  • World stocks hit one-year highs as Fed hike prospects fade (Reuters)
  • Merkel strikes back, defends migrant policy after election rout (Reuters)