Oil Prices Slide On China Demand Concerns

Oil prices fell around 1 percent on Tuesday amid fading hopes of top consumer China easing its strict zero-COVID policy.

Benchmark Brent crude futures fell 0.8 percent to $97.15 a barrel, while WTI crude futures were down 1.1 percent at $90.80.

Both benchmarks hit their highest since August Monday on the back of expectations that Beijing will lift strict COVID-19 restrictions in the near future.

China, the world’s top crude importer, is seeing a surge in new coronavirus cases in Guangzhou and other Chinese cities, preventing the country from stamping out the virus and relaxing controls.

The global manufacturing hub is fighting its worst flare-up ever, testing its ability to avoid a Shanghai-style lockdown.

The new virus outbreaks sparked fears of lower fuel demand and outweighed supply worries.

The Wall Street Journal reported on Monday that Beijing may take a gradual approach to easing pandemic policies despite concerns about the impact on the economy.

Authorities would like to proceed cautiously and there is no set timeline or measures for lifting the zero-COVID policy, the report said.

A firmer greenback also weighed on oil prices as Americans vote in the U.S. midterm elections.

EI DuPont De Nemours & Co. Announces Decline In Q3 Bottom Line

EI DuPont De Nemours & Co. (DD) released earnings for third quarter that decreased from the same period last year

The company’s bottom line totaled $367 million, or $0.73 per share. This compares with $391 million, or $0.75 per share, in last year’s third quarter.

Excluding items, EI DuPont De Nemours & Co. reported adjusted earnings of $411 million or $0.82 per share for the period.

The company’s revenue for the quarter rose 3.8% to $3.32 billion from $3.20 billion last year.

EI DuPont De Nemours & Co. earnings at a glance (GAAP) :

-Earnings (Q3): $367 Mln. vs. $391 Mln. last year.
-EPS (Q3): $0.73 vs. $0.75 last year.
-Revenue (Q3): $3.32 Bln vs. $3.20 Bln last year.

-Guidance:
Full year EPS guidance: $3.30
Full year revenue guidance: $13,000 Mln

Gold Slips On Dollar Strength As US Votes For Midterm Polls

Gold prices fell slightly in early European trade on Tuesday and the dollar rose as investors awaited the outcome of the mid-term elections in the United States.

Spot gold slipped 0.2 percent to $1,671.36 per ounce, while U.S. gold futures were down 0.4 percent at $1,673.45.

Americans vote today in crucial midterm elections that could decide the political future of both President Joe Biden and his predecessor Donald Trump.

The Republican party is expected to get a majority in both Houses, paving the way for a political deadlock.

Against the backdrop of Donald Trump’s expected jump into the race for the White House in 2024, Trump said he would make a “very big announcement” next week on November 15.

Meanwhile, U.S. Treasury yields held steady as focus shifted to the U.S. consumer inflation report, due on Thursday that could shed more clues on the Fed’s monetary policy tightening stance.

U.S. Manufacturing Index Indicates Modest Growth In October

A report released by the Institute for Supply Management on Tuesday showed a slight increase in U.S. manufacturing activity in the month of October.

The ISM said its manufacturing PMI edged down to 50.2 in October from 50.9 in September, but a reading above 50 still indicates growth in the sector. Economists had expected the index to dip to 50.0.

“The U.S. manufacturing sector continues to expand, but at the lowest rate since the coronavirus pandemic recovery began,” said Timothy R. Fiore, Chair of the ISM Manufacturing Business Survey Committee.

He added, “With panelists reporting softening new order rates over the previous five months, the October index reading reflects companies’ preparing for potential future lower demand.”

The report showed the new orders index climbed to 49.2 in October from 47.1 in September, while the production index rose to 52.3 from 50.6.

The employment index also increased to 50.0 in October from 48.7 in September, suggesting employment in the manufacturing sector was unchanged.

Meanwhile, the prices index tumbled to 46.6 in October from 51.7 in September, indicating a decrease in prices for the first time since May 2020.

On Thursday, the ISM is scheduled to release a separate report on activity in the service sector in the month of October. The services PMI is expected to dip to 55.5 in October from 56.7 in September.

Pre-market Movers: NRBO, HIMS, OCUP, TRIP, TTWO…

The following are some of the stocks making big moves in Tuesday’s pre-market trading (as of 07.15 A.M. ET).

In the Green

NeuroBo Pharmaceuticals, Inc. (NRBO) is up over 42% at $3.07
Hims & Hers Health, Inc. (HIMS) is up over 26% at $5.85
Ocuphire Pharma, Inc. (OCUP) is up over 26% at $2.65
Tenaya Therapeutics, Inc. (TNYA) is up over 17% at $2.26
Direct Digital Holdings, Inc. (DRCT) is up over 16% at $2.97
Concert Pharmaceuticals, Inc. (CNCE) is up over 15% at $5.14
Lordstown Motors Corp. (RIDE) is up over 12% at $2.08
SolarEdge Technologies, Inc. (SEDG) is up over 10% at $233.40
TaskUs, Inc. (TASK) is up over 10% at $17.73
Cango Inc. (CANG) is up over 7% at $2.69
MFA Financial, Inc. (MFA) is up over 6% at $10.80
Ultrapar Participações S.A. (UGP) is up over 6% at $2.83

In the Red

Tripadvisor, Inc. (TRIP) is down over 20% at $18.84
Take-Two Interactive Software, Inc. (TTWO) is down over 18% at $88.59
Lyft, Inc. (LYFT) is down over 18% at $11.47
Marinus Pharmaceuticals, Inc. (MRNS) is down over 17% at $4.62
NanoString Technologies, Inc. (NSTG) is down over 15% at $7.80
Five9, Inc. (FIVN) is down over 11% at $41.68
DigitalOcean Holdings, Inc. (DOCN) is down over 11% at $26.00
Broadmark Realty Capital Inc. (BRMK) is down over 10% at $5.04
Medtronic plc (MDT) is down over 5% at $80.98