Your Thursday Market Blip 1/14/16

Your Thursday Market Blip 1/14/16

Stocks rallied on strong volume today gaining 227 to close at 16,379. Today’s rally was compliments of a rally in oil and energy stocks.
JP Morgan Chase reported earnings for the 4th quarter beating estimates and posting a net income increase of 10.9% on a revenue gain of less than 1%. Head banker Jamie Dimon said that strong loan growth and credit quality drove results although he spoke of “some stress in energy” Falling oil prices are also to blame for a decline of trading revenue. Analysts all said the report was a good omen for the other bank earnings reports which will be out soon.
Oil prices continue to hold above the 29 handle as WTI crude was up 2.25% to close at $31.16 per barrel. Prices for North Sea Brent are trading close to WTI crude and were even inverted briefly for the first time in a decade. While some traders are saying that oil seems to have found a near term bottom some see more downside as Iran could begin ramping up exports as sanctions are lifted. Regardless of what happens any stability in oil right now would benefit markets.