Monday, June 30, 2014

For Investors Only -- June 30, 2014 -- The Last Day Of The Quarter; Hottest Month On Record? July, 1936

An interesting market today. The broader market is slightly negative, the S&P up slightly. Crude oil down slightly. But shares in oil-related companies seem to be doing well.

Disclaimer: this is not an investment site. Do not make any investment decisions based on anything you read here or anything you think you may have read here.

Trading at new 52-week highs: AEP, BK, BKH, CLR, CNP, CRR, DVN, EEP, EEQ, EPD, ERF, HAL, HK, NFX, NOV, ONE, QEP, SLB. Ah, yes, it looks like SLB will close at a new high.

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Hottest Month On Record For GM Recalls?
GM Adds Another 8 Million Cars To Ignition-Switch Recall
Link: here.


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NOAA: July, 2012, 1936, Was / Is Still The Hottest Month On Record

The mainstream media is NOT reporting:
The National Oceanic and Atmospheric Administration, criticized for manipulating temperature records to create a warming trend, has now been caught warming the past and cooling the present.
July 2012 became the hottest month on record in the U.S. during a summer that was declared “too hot to handle” by NASA scientists. That summer more than half the country was experiencing drought and wildfires had scorched more than 1.3 million acres of land, according to NASA.
According to NOAA’s National Climatic Data Center in 2012, the “average temperature for the contiguous U.S. during July was 77.6°F, 3.3°F above the 20th century average, marking the warmest July and all-time warmest month on record for the nation in a period of record that dates back to 1895.”
Watts ran the same data plot again on Sunday and found that NOAA inserted a new number in for July 1936. The average temperature for July 1936 was made slightly higher than July 2012, meaning, once again, July 1936 is the hottest year on record. 
Someone is not getting the memo: "The science is settled. Shut up and color."

The next thing we're gonna hear is that this past winter wasn't all that cold.

Wow, this just made it under the wire. Starting tomorrow, the new tag will be "Global_Warming_2014_2015."

Good luck to all, regardless of what side of the fence you're sitting on when it comes to this scam hoax science.

Price At The Pump Highest In Six Years

Another Obama legacy: gasoline prices at the pump are the highest in six years. MarylandCBSLocal is reporting:
Expect to pay more at the pump. Conflicts in Iraq have substantially caused gas to go up.
Marcus Washington reports right now gas prices are at a six year high for early summer.
As a projected 41 million people hit the road during this Fourth of July weekend, experts say get ready to pay more at the pump. 
“Both nationally and in Maryland, the average today is $3.68 a gallon. That’s up two cents from a week ago nationally. And here in Maryland, it’s up about three cents,” said Ragina Cooper-Averella, AAA Mid-Atlantic. 
The rising price of gas is a direct reflection of conflict in Iraq. Analysts are now focused on the militant uprising in the country, where America gets a large percentage of its oil supply.
I would tend to disagree.

Two things: first, I was unaware that "America gets a large percentage of its oil supply" from Iraq.

Second, the effect of the conflict in Iraq on the price of WTI crude oil. One week before the outbreak of the Iraqi uncivil war, which took everyone by surprise, the price of WTI was $103. Today the price of WTI is below $106 and never got above $108 during this period.

It's important to note that the current Iraqi uncivil took everyone by surprise because one could argue that the price of oil was melting up in anticipation of conflict. That was not the case.

If there is any one reason for rising gasoline prices, it has to do with the war on fossil fuels and the "green energy" initiatives coming out of the Obama administration.

We will never know, but common sense tells me that a glut of oil coming down from Canada through the Keystone XL would have significantly dropped the price of oil -- simple supply and demand. Folks will debate that. That's fine. But one could easily write the headline that killing the Keystone is the reason for high gasoline prices and many (most?) would believe it's not far off the mark.

But to blame high gasoline prices at the pump because of the Iraqi uncivil war is …. well, ludicrous.

Happy Fourth Of July Week -- Last Day Of The Quarter -- June 30, 2014

Supreme Court: I haven't seen the stories yet but I'm told the Supreme Court ruled on a) unions; and, b) birth control pills. Based on what I've heard, these could be "good news" stories. Yes, here they are, both reported in The Los Angeles Times:
  • The Supreme Court deals a blow to Obamacare by ruling 5-4 that closely held businesses whose owners object to birth control may refuse to include it in their employees' insurance.
  • In a 5-4 ruling that is a setback for unions, the court says such employees have a constitutional right not to support a union they oppose.  
US pending home sales high 8-month high in May.

Active rigs in North Dakota:


6/30/201406/30/201306/30/201206/30/201106/30/2010
Active Rigs191189215173129

RBN Energy: first in a series on changing role of crude oil storage along the Gulf Coast.

The Wall Street Journal

Militants leverage Iraq gains in Syria -- the Islamic State of Iraq and al-Sham is expanding its foothold and footprint in Syria after recent gains in neighboring Iraq, intensifying its clashes in Syria against other Islamist rebel factions.

Another legacy of the Obama administration: refugee camps in the US? Obama seeks border control funds to respond to the surge in children and other migrants from Central America.

Which reminds me of a story elsewhere that folks in Detroit are asking for UN support because they are without water.

Restaurants are looking for ways to respond to high beef prices: Eat more chicken.

"Heard on the Street": higher oil prices pose a threat to the US economy, but not as much as they might have historically. That owes something to North Dakota, but more to Detroit.
Higher oil prices threaten the U.S. economy, but not like they used to.
North Dakota is a reason for that.
Changes in America's car industry and driving habits are bigger ones.
Amid sectarian violence in Iraq, oil prices have risen, and it isn't hard to imagine them going higher. That is unwelcome for a U.S. economy still struggling to find its footing. Starting with the downturn set off by 1973's oil shock, higher energy prices have been a constant factor in U.S. recessions. But the economy isn't what it was in 1973, or even in 2007, when rising gasoline prices added to strains on U.S. household spending power.
One difference is the shale boom. The U.S. now produces over eight million barrels of oil a day, up from five million in 2007. So when Americans pay more at the pump, more of what they pay ends up back in the pockets of other Americans. A shift in U.S. energy consumption toward abundant natural gas provides an additional offset.
The Los Angeles Times

Top story, front page: militants declare Islamic state in Iraq, Syria. ISIS announces that it is re-branding itself as simply the Islamic State because it has broken down borders with quick seizure of land in eastern Syria and northwestern Iraq. It was my understanding that the Obama administration was supporting the rebels in Syria against the Assad regime. Time to get out the score cards again. SecState will have to add another country to his list of those to which he will travel. Eventually an apology tour from the US president on all the injustices inflicted on that region by Americans.

Border crisis complicates immigration reform effort. Well, duh. Actually for some folks, especially those from Guatemala they already see the reform they were hoping for: open borders. 

This is intereting: we can see this bridge out our back door in San Pedro -- The Long Beach Port Bridge. There is a huge construction program going on -- started this past year or so. Now I see that the project has been delayed at least a year (and it has barely gotten started).
The $1.26 billion project to replace the Gerald Desmond Bridge delayed at least a year, officials say
Already $300 million over budget, Long Beach bridge delay blamed on design issues
The massive $1.26 billion project to replace the ailing Gerald Desmond Bridge in Long Beach will be delayed at least a year, port officials announced.
Originally expected to open by the end of 2016, port officials say the bridge that will rise over its port won’t be completed until late 2017 or early 2018.
The delay has been attributed to design issues, including delays in obtaining approval for designs from Caltrans officials, who have the ultimate authority over plans.

Quick, Name The Bakken Oil Fields Where Continental Resources Looks To Drill 56 Wells In One Spacing Unit? Hint: As Of June, 2014, There Are Eight Fields

From this post:


What some of these fields look like today: Rattlesnake Point, Cedar Coulee, Oakdale, Corral Creek, Jim Creek, and Chimney Butte.

Sunday, June 29, 2014

Wells Coming Off The North Dakota Confidential List Monday; Extent Of Sea Ice Hits New Record "Anomaly" -- Yes, Just An Anomaly; June 29, 2014

Monday, June 30, 2014
  • 25963, 987, Petro-Hunt, Syverson 156-99-30A-31-3H, East Fork, t5/14; cum 2K 5/14;
  • 26858, drl, Hess, EN-State D-154-93-2636H-8, Robinson Lake, no production data,
Sunday, June 29, 2014
  • 26663, drl, Hess, HA-Link-152-95-3526H-4, Hawkeye, no production data,
  • 26696, 396, Hess, EN-Schroeder-157-94-1102H-1, White Earth, t5/14; cum 4K 4/14;

Saturday, June 28, 2014
  • 25966, 955, CLR, Rehak Federal 5-25H1, Alkali Creek, t5/14; cum --
  • 26424, drl, KOG, P Manning 154-99-2-2-11-14H, Stockyard Creek, no production data,
  • 26497, drl, Hess, GN-Ring-158-98-1522H-1, Rainbow, no production data,
  • 27083, drl, BR, Denali 44-33TFH, Johnson Corner, no production data
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Global Warming: Another Inconvenient Truth
This Is Climate, Not Weather
What's Up With That?

Antarctica sets new record for ice extent is being reported by What's Up With That based on studies coming out of one of President Obama's home states, Illinois, 
The sea ice surrounding Antarctica, which, as I reported in my book, has been steadily increasing throughout the period of satellite measurement that began in 1979, has hit a new all-time record high for areal coverage.
The new record anomaly for Southern Hemisphere sea ice, the ice encircling the southernmost continent, is 2.074 million square kilometers and was posted for the first time by the University of Illinois at Urbana-Champaign’s The Cryosphere Today early Sunday morning. 
The previous record anomaly for Southern Hemisphere sea ice area was 1.840 million square kilometers and occurred on December 20, 2007.
Global sea ice area, as of Sunday morning, stood at 1.005 million square kilometers above average.
What's up with that?

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Russian Jets Arrive In Baghdad

What's up with this? rt.com is reporting: the first batch of Russian jets have arrived in Baghdad. President Obama refused to sell our allies* in Iraq any jets, not even any old ones mothballed in the desert.

What's up with that?  I assume the primary need for the jets is to protect a) the Baghdad government; and, b) the oil fields that will now become Russia's. Russia is playing two chess games now, magnificently: one in the Ukraine; and, now one in Iraq.

*Allies? One year ago, Mr Maliki seemed to think the US and Iraq were allies, and Mr Obama certainly suggested the same, as reported in this Washington Post op-ed:
But does that mean Iraq is not the "sovereign partner" of the United States that Maliki describes? The assessments are mixed. Speaking with Maliki as U.S. forces withdrew from Iraq in December 2011, President Obama declared, "Our strong presence in the Middle East endures, and the United States will never waiver in the defense of our allies, our partners, and our interests."
As far as chess goes, Russia supplying the jets was Putin executing an en passant capture, and done quite well, one might add. Which I just did.

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Main Street Bistro and Bakery, Grapevine, Texas

It's funny how things work out. When we were stationed in Germany (decades ago), my wife and I would go out every so often, late in the evening, for frog legs and a beverage. In England we often went for afternoon tea between 2:00 and 4:00 p.m., not often, but often enough. Since then, back in the states, we've tried to relive those memories. We've come close, but it's never quite the same.

Today, of all things, after watching "Moonstruck" with Cher and Nicolas Cage, I suggested afternoon tea, either at the Cheesecake Factory in Southlake, or the bakery on Main Street in Grapevine. Both of us preferred the bakery.

I always thought the Main Street Bistro and Bakery had been part of Grapevine in one form or another for decades. It is modeled after a European bistro, but has the feeling that it's been there for decades. I was surprised to see that it opened for business on October 27, 2000.

We had coffee and shared an almond croissant, and then, totally unexpected, in one corner was a flat-screen television tuned to the Costa Rica - Greece World Cup soccer game. It was an incredible game, but the almond croissant was not going to last the length of the game. Earlier I had talked with one of the bistro employees so I knew that their mussels were one of their most asked-for appetizers. During the shoot-out (Costa Rica won, 5-3) we had the mussels and shared a glass of white wine. It was incredible.

It came as close to our afternoon teas that we remember in England as anything we've experienced back in the states.

Earlier this week I read a short essay on "modern-day" dating; I thought the article was in The Wall Street Journal but I can't find it now. Whatever. The writer noted that women these days were frustrated that when they "went out" with their male friends, they did not know if they were on a "date" or not. The writer said women were still interested in real dates: planned events, one-on-one, no distractions (like mobile devices). So, taking that to heart, I asked my wife if she would like a standing date: every Sunday after when we are in town, no other conflicts, we would have Sunday tea at the Main Street Bistro, and dinner at the same location on Thursday evenings.

So, after our first year in our new home, we finally have a new dating tradition. We'll see how it goes.

[Update: I found that story on "dating." It was in The Los Angeles Times. I should have guessed. From the article:
“In a new Glamour survey, 73 percent of single women said they often can’t even tell whether they’ve been on a date or not — and, shockingly, 19 percent said they had never been on a ‘real date’ at all. Women in relationships aren’t faring much better; just 12 percent of them have a regular date night with their significant other. There seem to be no dating rules anymore — or even any expectations.
“Here’s what is happening instead: ‘My boyfriend won’t turn off his phone alerts when we’re out,’ says Alexandra Einstein, 26, an account manager from Greenville, South Carolina. ‘The other night I grabbed it and read ‘Drunk fan falls asleep in front row during Blazers game.’ Thank God we were alerted.’ And everyone’s gotten lazy about planning time together, as evidenced by this, spotted recently on a Tinder profile: ‘No more Netflix on a first date.’ No wonder we’re all complaining about our love lives. The bar for acceptable night-out behavior has dropped to the floor.”]