Energy companies can spoil mood S P 500

Energy companies can spoil the mood S P 500

experts prepare
to hear the bad news from the energy
companies, a sharp drop in revenues,
which inhibit the growth of S P 500 index.
For the season of corporate last week
surprisingly reports spurred the stock market, helping the main index
to achieve their best results. But
great October mileage may
disappearing into a distant memory – on
This week is planned a series of
Reports in the energy sector.

Most companies
S P from list 500 that have already reported
for the third quarter showed a very good
results, but more importantly – the activity
many are still better than expected,
says strategist Dubravko Lakos-Buhas
from JP Morgan.

Energy companies,
may interrupt this flow – expected
earnings declined in this sector
by 65% ​​in annual terms, for prices
Crude oil is still at very low
elevations.

For 12 months the price of
WTI crude oil fell by more than 43% on Brent – at
43%. Today, both brands continue to become cheaper:
to 11:33 MSK Brent traded
at $ 49.29
(-0.54%) per barrel and WTI – at
at $ 46.27
(-0.70%).

In general, according to
sector is expected to decline friendly:
exploration and production
the company forecast profit slump
95% on delivery of the company (transportation,
storage, marketing) will lose 25%
and the profit for the processing companies and
Processing is expected to fall by 42%.

This week in
Monday will come reports of companies
Diamond Offshore Drilling, Noble Energy, Pioneer Natural Resources; Tuesday – Columbia Pipeline Group, NiSource, Sempra
Energy, Devon Energy, Newfield Exploration,
Oneok, Cimarex Energy; Wednesday, 4 November, will report
Chesapeake Energy, Spectra Energy, Marathon Oil, and on Thursday
– Apache and EOG Resources.

Prolonged feelings of the Chinese economy and the negative
the impact of higher interest rates
?? in the US is still putting pressure on markets and
investors. "Pullback in emerging
markets can feel resistance
in the coming days and in the end it will be felt in the shares of US companies"- says Katie Stockton,
chief technical strategist at BTIG.

Investors will also be
wait for comments from companies that
the impact on their financial
global economic indicators
growth, lower oil and gas prices,
strengthening of the US dollar.

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