Oil Prices Continue Dramatic Slide

Markets were way up in heavy trading today, breaking a week-long streak of losses. The Dow posted gains of 189.68 points, leading the day in advances, and closed out today at 17,630.27. The NASDAQ was up nearly 50 points to close out the day at 5,089.21. The S&P 500 rose 25.61 points and closed at 2,093.25. Although this doesn't erase the losses that have taken place in early summer, it does put the markets on firmer footing this week, going into another round of earnings reports.

Oil Prices Down Nearly 20% This Month

It's no secret that oil prices have been way down lately, but looking at the data for this month it's surprising just how much they've fallen.
Oil prices are down almost another full 20%, on top of huge losses last winter. They've fallen as far as $47 per barrel in interday trading, and closed today at $47.73 per barrel of crude.

This is on the heels of a further 13% fall for gold on the month, which has combined with the fall in oil in order to leave commodities investors reeling. In some ways the commodities market is a sign of just how strong the dollar is -- and that's especially true when it comes to gold. But in the case of oil, we're dealing with a supply glut combined with a reduction in demand, and that's a surefire equation for lower prices.

Transocean (RIG) Up Ahead of Earnings

In trading today, Transocean (RIG) rose 7.70% to close up 1.01 points at $14.12. The spike in price -- which you might not expect if you've been paying attention to the price of oil -- is mostly due to the fact that Q2 earnings are on the way. Although Transocean has hardly been performing well, it has beat the otherwise ailing Energy Minerals sector.

Tesla (TSLA) Climbs Nearly 5%

Electric car manufacturer Tesla (TSLA) posted big gains today on the back of their Q2 earnings report. Not only did they beat earnings, but the car company also revised guidance upwards slightly, giving them a positive outlook through the rest of the year. Tesla rose by 4.67% today, adding 11.81 points to their $264.82 share price.

China's Stock Market Continues to Slide

It's no secret that the Chinese economy has been ailing over the long run, despite isolated booms in their large and diverse population. But the Chinese stock market -- Hong Kong's Hang Seng is the de facto place that the Chinese go to trade -- has been a roller coaster over the past three months.

In a market that regularly posts declines and advances of nearly 1,000 points, the trend has been a bad one. The market has lost over 3,000 points -- or just above 13% -- since May. And there's just no telling where it will end up by the time summer is over with.
Published on Jul 28, 2015
By Aaron Phillips
Aaron Phillips is a financial researcher and journalist based out of Michigan. He regularly writes the IG Daily and IG Weekly columns.

Copyrighted 2020. Content published with author's permission.

Posted in ...