Stocks today were mixed as the Dow started lower and finished higher. At the close the Dow gained 27 at 17,758. Trading volume for the Dow lower but on the NASDAQ it was higher thanks to a tech retreat.
Tech shares were lower on news of slowing demand for iPhones in Asia. Credit Suisse reported that Apple has cut production orders for its iPhone 6 by up to 10% due to weak Asian demand. The iPhone 7 is not scheduled to debut until around September 2016 so demand could be soft until that date. Apple shares gapped lower on the news as did several chip suppliers.
Oil prices continue to trade near lows after the International Energy Agency or IEA, said that Saudi Arabia’s decision to set production levels in favor of securing higher market share could keep the price of Brent crude at around $50 a barrel through 2020 at which time prices could rise to $80 a barrel as demand begins to balance with supply. US based WTI crude today closed up a half point at $44.13 while North Sea Brent finished at $47 a barrel up a half.
Exports of US natural gas are set to begin in January of 2016. According to shipping records, Cheniere Energy will be the first US company in 50 years to export natural gas as an LNG ship is now booked to dock at Cheniere’s newly constructed Sabine Pass facility for loading of liquefied natural gas. Cheniere has been working on the project for years after getting gubment approval and in a recent interview CEO Charif Souki said his company will become the largest single buyer of natural gas in the US once they start exporting. Cheniere has already signed long term supply contracts with a French energy company.