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Sector Update: Financial

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Financial stocks were edging lower in late Tuesday afternoon trading, with the NYSE Financial Index down 0.4% and the State Street Financial Select Sector SPDR ETF (XLF) shedding 0.1%.

The Philadelphia Housing Index fell 1.8%, and the State Street Real Estate Select Sector SPDR ETF (XLRE) was up 1.7%.

Bitcoin (BTC-USD) was decreasing 0.1% to $63,693, and the yield for 10-year US Treasuries rose 5.8 basis points to 4.54%.

In corporate news, PennyMac Financial Services (PFSI) shares fell 4.1% after Barclays downgraded the stock to equalweight from overweight and cut its price target to $93 per share from $107.

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Sectors

Update: Oil Steady at Prewar Levels as Ships Continue to Moving Through Strait of Hormuz

(Updates prices in the second paragraph.)Oil prices were mostly steady midafternoon Friday, hovering near four-month lows on expectations that the U.S. and Iran will reach a peace agreement and continue to free up ships trapped in the Persian Gulf.West Texas Intermediate crude oil for August delivery was last seen up $0.09 to $68.78 per barrel in light electronic trading, with US markets closed ahead of the July 4 Independence Day holiday. September Brent crude was up 0.5% at $72.12.The decline comes as a ceasefire agreement reached last month between Iran and the U.S. continues to hold, while the two sides hold peace talks in Qatar.The ceasefire is allowing ships trapped within the Persian Gulf since the Feb. 28 start to the war to begin transiting the Strait of Hormuz, ending the largest-ever supply shock. Hormuzstraitmonitor.com reported 27 ships moved through the Strait in the past day, including tankers carrying 3.3-million barrels of oil, easing prices that rose to four-month highs during the conflict."Brent trades near unchanged on the week, having returned to pre-war levels, with support emerging ahead of USD 70. This may signal that the ongoing recovery in supply flows through the Strait of Hormuz is now largely priced in, while US-Iran talks continue with several issues still unresolved. Following the initial wall of supply attention may turn to efforts to re-build strategic and commercial reserves which in the coming months should boost demand beyond what's needed for consumption," Saxo Bank noted.

$CLQ6$LCOU6$USO
Sectors

Update: Gold Moves Higher as the Dollar Weakens on Easing Inflation Worries

(Updates prices in the second paragraph.)Gold traded higher midafternoon Friday in light electronic trading as the dollar continued to weaken after a report the previous day showed weaker-than-expected U.S. job growth.Gold for August delivery was last seen up 1.5% to $4,187.30 per ounce in thin trade with US markets closed ahead of the July 4 Independence Day holiday.The rise comes after the U.S. Bureau of Labor Statistics on Thursday reported the economy added just 57,000 jobs last month, down from 129,000 in May and well below expectations for an increase of 115,000, according to MarketWatch.The weak payrolls report, combined with falling oil prices as the ceasefire between Iran and the U.S. holds, is easing inflation concerns and lowering expectations that the Federal Reserve will need to raise interest rates, a positive for gold since it pays no interest."Gold trades higher for a third day, heading towards USD 4,200 and, following four weeks of losses, is on track for its best weekly gain since February, up 2.1%. Weak US jobs data and falling energy prices have reduced pressure on the Fed to raise rates this year, supporting bullion through a weaker dollar and softer yields," Saxo Bank wrote.The dollar eased, with the ICE dollar index last seen down 0.02 points to 100.84. Treasury yields were unavailable with markets closed due to the holiday.

$GCQ6$GLD
Sectors

Natural Gas Rises as Forecasts Expect Heat to Continue for Most States

Natural gas traded higher early on Friday as forecasts expect hot weather to continue for most states, keeping cooling demand high.Gas for August delivery was last seen up $0.05 to $3.25 per million British thermal units in electronic trade, with US markets closed ahead of Saturday's Independence Day holiday.The rise comes as long-term forecasts from the National Weather Service expect hot weather to continue, with nearly all states to see warmer than seasonal temperatures over its six to 14 day outlook, keeping air-conditioning demand high.The Energy Information Administration on Thursday released its weekly look at U.S. inventories of the fuel. The agency said gas stocks rose by a more than expected 87-billion cubic feet, leaving inventories at 2.92-trillion cubic feet, 6.4% above the five-year average.

$NGQ6$UNG