Benval Research Platform - brp

"The value of an idea lies in the using of it.” — Thomas Edison

Listed Equities

Energy Market

The U.S. was a net oil exporter for the week ended February 22, according the U.S. Energy Information Administration, with 162 thousand barrels per day. This is the second time in the past few months that the U.S. has been a net oil exporter, the other was at the end of November 2018, when the net oil exports for the U.S were 211 thousand barrels per day.

U.S. Energy Information Administration, Weekly Petroleum Status Report, week ending 03/01/2019

The WTI oil benchmark is just over $56 usd/bbl, a sharp decline from a local high in October 2018 at just over $76.

Fixed Inocme

The yield curve in the U.S. has generally flattened between the 1 year and the 5 year: the 1 year (2.54%), the 2 year (2.55%), the 3 year (2.52%), the 5 year (2.53%); and the 10 year is at 2.72%.

The spread between the US 2 Year Treasury Note and the 10 Year Treasury Note, also known as the 2-10 spread. When this curve inverts, meaning the 2 year rate is higher than the 10 year rate it has, in the past been a strong indicator for economic recession. It's nearly inverted now, we'll keep a close watch, see FRED graph below for data going back to the 1970's.

2-10 Spread

Useful Links

U.S. Federal Reserve

U.S. Securities and Exchange Commission

U.S. Department of the Treasury

U.S. Energy Information Administration