The U.S. equity market delivered an ever-so slightly bullish session yesterday, which was no small feat given that the major averages succumbed to some early profit taking following two notable rallies during the prior two trading sessions. The equity futures, for today's session, are suggesting we are in store for some early profit taking once again on Wall Street. The move lower is likely to be headed by the commodities stocks, as both oil and gold prices are falling in early morning trading.
Chevron, the world's fourth-largest oil company based on proven reserves, saw its second-quarter sales and earnings fall sharply from a year earlier, as declines in oil and natural gas prices took a toll, as did costs associated with decommissioning rigs and facilities.
Oil giant Exxon Mobil has reported second-quarter share earnings of $1.00, close to our estimate, but significantly below the year-earlier tally. The steep decline in oil prices over the past year proved a major stumbling block for corporate results, as did lower natural gas price realizations.