Earnings will be in the spotlight as the season has officially opened. It is time to find out if the fundamentals match the technical conditions.

Chatbots are the all the rage – Microsoft’s failure and Facebook’s foray are on the list of topics we discuss.

Crude surges as inventories see the biggest drawdown for 2016 and rumors are floating about regarding the potential for a production freeze by Russia and Saudi Arabia.

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Oil surges above $42 on hopes of a production freeze (again) and the 4+ million barrel drawdown we saw last week. Also, rig counts keep falling and short sellers of the commodity are getting squeezed. Equity markets were not that happy – losses of 1%+ across major indices.

Weekly Crude Inventories

Oil Price Surge Chart

NYC Birthday Update – JCD

— News: Headlines today that Saudi Arabia and Russia have come to a consensus on an oil output freeze; Markets and oil spiking in reaction (WTI Crude spikes to $41.60+ or 3.5%)

Earnings season begins! Alcoa (AA) beat the $0.03 estimate by $0.04 but revenues missed and guided down aluminum production for the coming year. Many of the big banks start to report this week as well. (JPM) (BAC) (WFC)

Goldman Sachs (GS) finally has been forced to pay up for their part in deceiving investors about the mortgages that were sold leading up to and during the mortgage meltdown/crisis. $5 billion is the cost – stock was up on the news…

Tesla (TSLA) – Took deposits on more than 350,000 Model 3 the first week. Production problems? (Just announced, a recall of 2,700 Model X)

— Base price of the Model 3 ~ $35,000. With a $7,000 tax credit, that makes cost of car very very cheap!

IMF Fund sees world GDP expanding 3.2% in 2016, 3.5% in 2017 (They have poor record of forecasting and usually err on the optimistic side)

 

ANNOUNCING THE WINNERS of the

DHUnplugged Closest to the Pin Contest for US Steel (X) and Michael Kors (KORS)

Currently week CTP = Transocean LTD

ANNOUNCING – GoPro (GPRO)

Winners will be getting great stuff like the new DHUnplugged Shirts (Designed by Jimbo)

Sunglasses from Spitfire and more!

DHU’s Official Model – Vivi Jugo

U.S. government putting together regulations to stop/inhibit inversions. Allergan/Pfizer deal is busted.

— Obviously there is now the overhang that U.S. will be putting the clamps on corporate tax avoidance – what is next? Overseas profits?

— U.S.