Five interesting things that Hodges Capital research analysts discovered this week...

#1 CRUDE REALITY: According to the latest data from the Energy Information Administration, the US is now producing more oil than ever before. US oil production has surpassed pre-pandemic levels, reaching 13.2 million barrels per day. As a result, the US makes up an estimated 15% of the World's oil production. Texas contributes 40% of the US crude production and would be the World's fourth largest producer if it were a standalone nation.

#2 INTEREST COSTS VS. DEFENSE SPENDING: This week, a report from Strategas Research highlighted that net interest costs on the Nation's debt exceeded defense spending in November, which had not happened in more than twenty years. Interest costs reached 15.8% of tax revenue in November.      

#3 RED METAL: Recent conversions with a large buyer of raw copper cathode have suggested that the physical copper supplies in North America remain tight as copper prices have moved modestly higher over the past month to around $2.77/lb. A tight supply of copper is likely a function of lower capital investment among miners in recent years and low inventories stemming from uncertain global economic conditions.      

#4 MARKET SENTIMENT: AAII Bullish sentiment ticked down last week while bearish sentiment rose and neutral sentiment fell. As a contrarian indicator, such changes in public opinion are often viewed as constructive for stock prices to move higher.  

#5 RV SALES: As reported by Stephens, RV sales through October remain down, with towable unit sales down 12.3% from a year ago and Motorized unit sales down 15.6% from a year ago.  

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