1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News. 2 00:00:08,520 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,440 --> 00:00:15,880 Speaker 2: in the stock market, harnessing the power of Bloomberg Data. 4 00:00:17,120 --> 00:00:19,320 Speaker 1: I'm Carol Master along with Tim Stanevik. Let's get to 5 00:00:19,440 --> 00:00:21,640 Speaker 1: some stocks on the move today. With US is Bloomberg 6 00:00:21,640 --> 00:00:26,000 Speaker 1: News Aquaries reporter Natalia Kenny Jevich. Good to have you here. 7 00:00:26,079 --> 00:00:29,159 Speaker 1: Tim just mentioned higher oil prices and that's got a 8 00:00:29,160 --> 00:00:30,840 Speaker 1: group of stocks moving today exactly. 9 00:00:30,920 --> 00:00:33,760 Speaker 3: So let's talk about petrochemical stocks. So one of them 10 00:00:33,880 --> 00:00:37,479 Speaker 3: ALIGNE del Ba Sell. The ticker is l y B. 11 00:00:37,920 --> 00:00:41,120 Speaker 3: The stock is up by six point six percent. So 12 00:00:41,240 --> 00:00:45,000 Speaker 3: this is all about the so called oil to gas ratio. 13 00:00:45,159 --> 00:00:48,960 Speaker 3: So all these petrochemical companies they use in the US, 14 00:00:49,159 --> 00:00:52,639 Speaker 3: they use natural gas to produce their products. In Europe, 15 00:00:52,720 --> 00:00:58,560 Speaker 3: they use oil or mostly oil in Europe or in Asia. 16 00:00:58,640 --> 00:01:01,800 Speaker 3: So it means that natural prices are still at about 17 00:01:01,840 --> 00:01:05,440 Speaker 3: the same level. Oil prices are moving up. It means 18 00:01:05,440 --> 00:01:10,160 Speaker 3: that production costs for global producers are moving higher. Here 19 00:01:10,200 --> 00:01:12,720 Speaker 3: in the US they are still the same. And Bloomberg 20 00:01:12,760 --> 00:01:17,240 Speaker 3: analysts are saying that potentially global petrochemical producers will have 21 00:01:17,319 --> 00:01:22,320 Speaker 3: to increase prices for their products, which means higher margins 22 00:01:22,360 --> 00:01:27,040 Speaker 3: for US petrochemical producers. And we also saw that City 23 00:01:27,120 --> 00:01:32,240 Speaker 3: Group analysts are removed downside catalysts for Lindel Basel. They 24 00:01:32,280 --> 00:01:35,560 Speaker 3: also raised price target to footy six dollars from footy. 25 00:01:35,840 --> 00:01:38,399 Speaker 4: Yeah, I'm seeing shares of APA up right now in 26 00:01:38,400 --> 00:01:40,360 Speaker 4: the S and P f Avenor by more than six percent, 27 00:01:41,280 --> 00:01:43,840 Speaker 4: Conco Phillips up right now by five and a half percent, 28 00:01:43,959 --> 00:01:47,640 Speaker 4: Devin Energy up by close to five percent, Valero up 29 00:01:47,640 --> 00:01:49,960 Speaker 4: by four point four percent. So a good day to 30 00:01:49,960 --> 00:01:51,920 Speaker 4: be long in those companies, but it's been a challenging 31 00:01:51,960 --> 00:01:52,639 Speaker 4: couple of weeks. 32 00:01:52,720 --> 00:01:54,720 Speaker 1: Yeah, and dew Have Chemical right is also one of 33 00:01:54,760 --> 00:01:57,760 Speaker 1: the names that is definitely among an app performer. I 34 00:01:57,760 --> 00:01:59,800 Speaker 1: believe in the S and P five hundred. So we've 35 00:02:00,000 --> 00:02:03,360 Speaker 1: finely seeing those names some mat performance there and you 36 00:02:03,480 --> 00:02:05,320 Speaker 1: understand fundamentally at least for today. 37 00:02:05,640 --> 00:02:08,160 Speaker 3: And also it's interesting when I look at positioning across 38 00:02:08,160 --> 00:02:12,320 Speaker 3: different sectors. Positioning across energy sectors are very low. It 39 00:02:12,480 --> 00:02:15,919 Speaker 3: means that there is still more room for upside if 40 00:02:15,960 --> 00:02:20,079 Speaker 3: investors want to increase exposure. So it's not excessively bullish. 41 00:02:20,440 --> 00:02:23,000 Speaker 1: Okay, that makes sense. I got to talk about also 42 00:02:23,000 --> 00:02:25,360 Speaker 1: making sense talking about banks because they continue to report 43 00:02:25,400 --> 00:02:27,280 Speaker 1: their numbers. Wells Fargo is on your radar. 44 00:02:27,360 --> 00:02:30,800 Speaker 3: Yeah, so Wells Fargo shares are down by almost five 45 00:02:30,880 --> 00:02:32,040 Speaker 3: percent today. 46 00:02:31,800 --> 00:02:34,480 Speaker 1: So getting missed summer today, aren't they exactly? 47 00:02:34,639 --> 00:02:39,240 Speaker 3: Yes, and such an interesting actually earning season. So profit 48 00:02:39,360 --> 00:02:43,800 Speaker 3: estimates missed because severance costs drove up expenses. The company 49 00:02:44,040 --> 00:02:47,960 Speaker 3: is spending about six hundred twelve million dollars on those costs, 50 00:02:47,960 --> 00:02:51,600 Speaker 3: and CEO also said that he expects higher expenses in 51 00:02:51,639 --> 00:02:54,639 Speaker 3: the fourth quarter because the band continues to lower this 52 00:02:55,320 --> 00:02:58,760 Speaker 3: cost base and more job cuts are likely to come 53 00:02:58,800 --> 00:03:01,000 Speaker 3: this year. Just to give you some guys, So at 54 00:03:01,000 --> 00:03:04,240 Speaker 3: the end of September, the bank had almost two two 55 00:03:04,320 --> 00:03:09,480 Speaker 3: hundred eleven thousand employees, and that number was just above 56 00:03:09,800 --> 00:03:13,360 Speaker 3: two or five one hundred thousand at the end of 57 00:03:13,360 --> 00:03:17,960 Speaker 3: this year, So the bank bank is lowering the number 58 00:03:18,040 --> 00:03:23,359 Speaker 3: of employees. And also, of course everyone is watching how 59 00:03:23,400 --> 00:03:26,920 Speaker 3: bank executives are reacting to Donald Trump's proposal to reduce 60 00:03:26,919 --> 00:03:31,120 Speaker 3: that credit cap interest rate, and of course Wells Fargo 61 00:03:31,240 --> 00:03:33,560 Speaker 3: is saying that yes, it is a concern for industry 62 00:03:33,600 --> 00:03:37,840 Speaker 3: and it could potentially hurt consumers' access to bank credit. 63 00:03:38,960 --> 00:03:41,240 Speaker 1: There's a narrative around this big bank for sure, and 64 00:03:41,280 --> 00:03:43,720 Speaker 1: we're definitely seeing a play out. So we should all 65 00:03:43,760 --> 00:03:45,000 Speaker 1: the champanership in cocrizing. 66 00:03:45,080 --> 00:03:46,240 Speaker 4: Yeah, let's take to the sas. 67 00:03:46,680 --> 00:03:49,440 Speaker 1: Let's take to the sas. Royal Caribbean is something that 68 00:03:49,480 --> 00:03:50,040 Speaker 1: you've been watching. 69 00:03:50,160 --> 00:03:53,560 Speaker 3: Yes, So Royal Caribbin shares are also down by five percent. 70 00:03:53,760 --> 00:03:57,360 Speaker 3: So today we've heard from couple analysts. So one of 71 00:03:57,400 --> 00:04:02,600 Speaker 3: them has actually put this company on its so called 72 00:04:02,720 --> 00:04:08,960 Speaker 3: short downside list, so they see some headwinds for the company. So, 73 00:04:08,960 --> 00:04:12,720 Speaker 3: for example, they say that demand is slowing down for 74 00:04:12,880 --> 00:04:19,200 Speaker 3: our crew operators, and then we also heard that pricing 75 00:04:19,440 --> 00:04:21,280 Speaker 3: is also an issue for some of them, and they 76 00:04:21,320 --> 00:04:24,680 Speaker 3: also say that supply can be a challenge and maybe 77 00:04:24,720 --> 00:04:27,880 Speaker 3: there is some kind of oversupply in this area overall. 78 00:04:28,480 --> 00:04:31,760 Speaker 3: And of course today we've got news that the US 79 00:04:31,800 --> 00:04:35,080 Speaker 3: State Department kind of thinks about suspending visas right for 80 00:04:35,279 --> 00:04:40,479 Speaker 3: multiple countries, and we saw shares of hotels, airliners, online 81 00:04:40,520 --> 00:04:43,400 Speaker 3: travel operators are moving lower across the wold. 82 00:04:43,720 --> 00:04:45,640 Speaker 1: I feel like these crews guys have been on a 83 00:04:45,800 --> 00:04:48,800 Speaker 1: tear though for a few years, and I feel like 84 00:04:48,800 --> 00:04:51,839 Speaker 1: we've talked to a bunch of the CEOs or key executives, 85 00:04:51,880 --> 00:04:54,200 Speaker 1: and they've been pretty upbeat and positive. But that's a 86 00:04:54,320 --> 00:04:55,280 Speaker 1: very different town. 87 00:04:55,240 --> 00:04:58,560 Speaker 3: Exactly just last year in December, everyone was so positive. 88 00:04:58,600 --> 00:05:00,800 Speaker 3: Now we see the Delta airline and also was not 89 00:05:00,920 --> 00:05:03,839 Speaker 3: that creat in terms of all books, So yeah, did 90 00:05:03,839 --> 00:05:06,080 Speaker 3: you travel Sceptor is definitely something to watch. 91 00:05:08,080 --> 00:05:12,320 Speaker 2: The Stockmovers report from Bloomberg Radio. 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