While the markets have seemed relatively calm in recent days, consumer confidence has taken a wallop.
In October, it suffered its sharpest monthly drop on record, reports Chris Reese for Reuters. The reading plunged from 70.3 in September to 57.6 this month. It’s slightly below the 57.8 economists had expected.
Oil prices are continuing their gyrations, dropping below $65 a barrel. It’s on pace to have its sharpest monthly decline since oil futures began trading on the New York Mercantile Exchange, Louise Watt for the Associated Press says. Since Oct. 1, oil has fallen $34, a drop that has never been seen in the 25 years of Nymex trading.
Meanwhile, lower oil and gas prices aren’t hurting the big companies: Chevron (CVX) saw its profit double in the third quarter on higher oil prices, while Exxon (XOM) had another record-breaking quarter of profits.
Together, the world’s major oil companies together posted earnings of $44.4 billion for the quarter, up 58% from a year ago.
Now that prices are lower, some of the most expensive oil exploration and development projects could be imperiled, reports Steven Mufson for the Washington Post. But even with the recent fall in oil prices, many of the giants in the industry are still on pace to have full-year earnings that will shatter records.
In terms of seconds, Exxon earned about $1,800 a second in the third quarter.
Energy Select Sector SPDR (XLE) is down 36.3% year-to-date. Chevron is 11.5%, and Exxon is 16.7%.