Reasons Why The Market Is Up; Three Wells Coming Off Confidential List Today -- July 2, 2020

Report: US employers added almost 5 million jobs in June. That's more job creation than any president in history. Five million jobs added in one month. President Trump able to claim all-time new employment records. LOL. It's amazing how bandanas were the answer. If we had only known.

Jobs report, link here:

• prior: 1.480 million
• revised: 1.482 million (note the fake precision)
• consensus: 1.400 million
• actual: 1.427 million

Market response: Dow surges; up over 400 points in pre-market trading

The wall: Mexico now has the 6th-deadliest outbreak, passing Spain. This is a great Covid-19 update. Great weekend reading. Finding and posting this link is worth the price of the subscription to the blog.

They're reading the blog. We talked about this yesterday:

Disclaimer: this is not an investment site.  Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here.

Futures: the Dow is up almost 300 points in pre-market trading. Who wudda thought? Prepare for lots of volatility today. LOL. I love it: the headlines that tell us in ten words or less why the market is up, down, or flat. Today: the market is up in anticipation of a great jobs report. Some alternative headlines:

• the market is up: the Fed just bought Berkshire Hathaway
• the market is up in anticipation of a Biden win in November
• the market is up: North Korea hasn't fired a missile in several weeks
• the market is up, noting no weird Elon Musk tweets in the past 24 hours
• the market is up, traders see last chance to buy today; Friday, markets closed
• the market is up, traders dismiss the new "Russian collusion" story
• the market is up as traders prepare for four-day weekend
• the market is up for no reason

Looking at the Dow components, I can't get excited about any of them. LOL. Even AAPL is hardly moving.  

Later: after the jobs report, AAPL up almost 3/4ths percent, up almost $3.00; trading at $367 in pre-market trading.

Motley Fool: could the new iPhone 12 propel AAPL to $500? Sure. Just not any time soon. Click bait.

Where Apple and energy intersect. Data mining.

DAPL: declares force majeure. Buys time. Link here.

OPEC basket:wow, wow, wow -- it looks like Prince MbS has quit playing games. OPEC basket surges -- hits $42.66. Link here. The rise is remarkable. This is stunning to say the least. Oilprice doesn't reflect the surge. WTI is barely above $40, but if OPEC basket number is real, one would expect WTI to follow. We'll see.

Agile but slow US shale recovery likely: Rigzone. Link here.

Three dots to connect:

• Banks tightening credit on shale companies (Reuters story today)
  
• Harold Hamm buying up outstanding shares in CLR; owns 80%; announced plans to buy more;
• some years ago, analyst asked HH point blank: why don't you take your company private?

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Back to the Bakken 

Active rigs:

$40.16	7/2/2020	07/02/2019	07/02/2018	07/02/2017	07/02/2016
Active Rigs	11	60	67	58	30

Permits coming off the confidential list today -- Thursday, July 2, 2020: 9 for the month; 9 for the quarter, 454 for the year:

• 36864, drl/NC, WPX, Omaha Woman 24-13-12HD, squaw Creek,
• 35644, SI/A, CLR, Boise 5-24H1, Brooklyn, t--; cum 40K in 47 days; extrapolates to 25K over 30 days;
• 35643, SI/A, CLR, Boise 6-24H, Brooklyn, t--; cum 53K in 54 days; extrapolates to 29K over 30 days;

RBN Energy: Texas solar ramps up at expense of coal, no natural gas. Dog bites man.

Solar photovoltaic projects accounted for an impressive 40% of all the new electric generating capacity installed in the U.S. in 2019 — the third time since 2015 that solar additions outpaced installations of natural-gas capacity. And the early 2020s are shaping up as another good period for solar, especially in states that offer both intense sun and the broad expanses of land required for large-scale solar projects. Texas is a case in point; some 8,000 megawatts (MW) of new solar capacity is expected to be added there in the 2020-22 period. Solar power, like wind power before it, has come to be so prolific in the Lone Star State that you’d think it would be having a significant impact on how much gas-fired generation is needed day to day, right? Today, we discuss the increasing role of solar generation in the second-largest state and its impact on the demand for traditional power plant fuels.

While rig counts and production have been sagging in the Permian Basin and other plays as producers and their financial backers cut back on investments, there’s a surge under way in capital spending on renewables, especially in West Texas but also in other parts of the state. Though Texas has long been the U.S.’s leader in wind generation, with almost 30,000 MW of wind farms now online, the state’s grid has been getting even greener via new growth in solar generation — a sector historically associated more with California and the desert Southwest than hydrocarbon-centric Texas.