Dow slid back 15, advancers over decliners 4-3 & NAZ was even. The MLP index was fractionally lower to the 219s & the REIT index rose 1+ to 401. Junk bond funds hardly budged & Treasuries were purchased. Oil climbed to 61 & gold jumped up 11 to 1500.
AMJ (Alerian MLP Index tracking fund)
America has a lot to look forward to in 2020, according to White House trade adviser Peter Navarro. He pointed to the deals with China, Canada, Mexico, Japan & South Korea, which combined, account for more than 60% of all US trade, as providing a tailwind for the economy, adding that they recently passed the $738B National Defense Authorization Act is just icing on the cake. “It’s gonna be a boom year in 2020 for the American economy,” Navarro said. “I’m looking at growth closer to 3 percent than 2 percent. As part of the US partial trade deal with China, Beijing agreed to buy $200B of US products over the next 2 years from the manufacturing, energy, agriculture & services sectors, in addition to protecting against intellectual property theft & technology transfer.” Navarro said that in preparation for those purchases, Beijing announced yesterday that it was cutting tariffs on 850 US products, including frozen pork, avocados & pharmaceuticals, in order to avoid an “added cost on their consumers” when they buy those products. Specifically, he singled out pork, of which China has a massive shortage due to an outbreak of African swine flu. Navarro also lauded other parts of the trade deal as wins, including financial markets access, forced technology transfers & protections for intellectual property. He added that the Defense Authorization Act & the appropriation bill passed last week are “a combination lock that clicks,” opening up everything else. “You’ve got stronger consumer. You’ve got strong exports now with the trade deals and now you will have a powerful government engine driving this,” Navarro said. He thinks the recent trade deals will propel the Dow over 30K next year, at least another 5% above the 28,551 where it settled yesterday. “It going to be a great year for America,” he said.
Hong Kong riot police fired tear gas at thousands of protesters, many wearing masks & reindeer horns, after scuffles in shopping malls & in a prime tourist district as anti-gov rallies escalated into chaos on Christmas Eve. Protesters inside the malls had thrown umbrellas & other objects at police who responded by beating some demonstrators with batons, with one pointing his gun at the crowd, but not firing. Police fired tear gas to disperse protesters who had occupied the main roads outside the malls & nearby luxury hotels, including the Peninsula. Many families with children had congregated in the same area to view the Christmas lights along the promenade in the Tsim Sha Tsui East tourist district of Kowloon, the spectacular backdrop of Hong Kong island on the opposite side of the harbor. The protests, now in their 7th month, have lost some of the scale & intensity of earlier violent confrontations. A peaceful rally earlier this month still drew 800K people, according to organizers, showing strong support for the movement. Scores of black clad, mask wearing protesters chanted slogans including "Revive Hong Kong, revolution of our time," & "Hong Kong independence" as they roamed the malls. "Lots of people are shopping so it's a good opportunity to spread the message and tell people what we are fighting for," said Ken, an 18-year-old student. "We fight for freedom, we fight for our future." At one mall in the teeming Mong Kok district, also on the Kowloon peninsula, police used pepper spray to disperse some protesters. Some protesters were planning to march in Tsim Sha Tsui & count down to Christmas, according to notices on social media. The Civil Human Rights Front, which has organized some of the biggest marches involving more than 1M people, has applied to stage another march on New Year's Day. Police have arrested more than 6K since the protests escalated in Jun, including a large number during a protracted, violent siege at the Hong Kong Polytechnic University in mid-Nov. Many Hong Kong residents are angry at what they see as Beijing's meddling in the freedoms promised to the former British colony when it returned to Chinese rule in 1997. China denies interfering & says it is committed to the "one country, two systems" formula put in place at that time & has blamed foreign forces for fomenting unrest.
It was indeed a Super Sat for the retail industry as shoppers set a record, making it the biggest single day in retail history, according to Customer Growth Partners. As the clock ticked toward Christmas, shoppers made a final push for presents & deals with sales reaching $34.4B. That means Sat topped Black Friday's $31.2B & Cyber Monday's $19.1B. Job growth & increasing incomes stronger household finances have put consumers in a buying mood this season according to Craig Johnson, pres of Consumer Growth Partners. Online spending this season has seen sales growth of 58% from a year ago.
A lot has changed since the market panic last Christmas Eve with the S&P 500 up nearly 40% since
Not much happening on this shortened day for trading. The Dow is up over 5K YTD, one speculator year even if it started from a depressed level. Excitement in Hong Kong is not quieting down. While not large in population relative to total China, it is a major factor in China's trade. Holiday sales are shaping up as pretty good, helped by the stock rally this year. However, worried investors are buying gold, taking it to a 2 month high.
Dow Jones Industrials
AMJ (Alerian MLP Index tracking fund)
| CL=F | Crude Oil | 60.81 | +0.29 | +0.5% |
| GC=F | Gold | 1,497.30 | +8.60 | +0.6% |
America has a lot to look forward to in 2020, according to White House trade adviser Peter Navarro. He pointed to the deals with China, Canada, Mexico, Japan & South Korea, which combined, account for more than 60% of all US trade, as providing a tailwind for the economy, adding that they recently passed the $738B National Defense Authorization Act is just icing on the cake. “It’s gonna be a boom year in 2020 for the American economy,” Navarro said. “I’m looking at growth closer to 3 percent than 2 percent. As part of the US partial trade deal with China, Beijing agreed to buy $200B of US products over the next 2 years from the manufacturing, energy, agriculture & services sectors, in addition to protecting against intellectual property theft & technology transfer.” Navarro said that in preparation for those purchases, Beijing announced yesterday that it was cutting tariffs on 850 US products, including frozen pork, avocados & pharmaceuticals, in order to avoid an “added cost on their consumers” when they buy those products. Specifically, he singled out pork, of which China has a massive shortage due to an outbreak of African swine flu. Navarro also lauded other parts of the trade deal as wins, including financial markets access, forced technology transfers & protections for intellectual property. He added that the Defense Authorization Act & the appropriation bill passed last week are “a combination lock that clicks,” opening up everything else. “You’ve got stronger consumer. You’ve got strong exports now with the trade deals and now you will have a powerful government engine driving this,” Navarro said. He thinks the recent trade deals will propel the Dow over 30K next year, at least another 5% above the 28,551 where it settled yesterday. “It going to be a great year for America,” he said.
Trump's deals set up 'boom year in 2020': Peter Navarro
Hong Kong riot police fired tear gas at thousands of protesters, many wearing masks & reindeer horns, after scuffles in shopping malls & in a prime tourist district as anti-gov rallies escalated into chaos on Christmas Eve. Protesters inside the malls had thrown umbrellas & other objects at police who responded by beating some demonstrators with batons, with one pointing his gun at the crowd, but not firing. Police fired tear gas to disperse protesters who had occupied the main roads outside the malls & nearby luxury hotels, including the Peninsula. Many families with children had congregated in the same area to view the Christmas lights along the promenade in the Tsim Sha Tsui East tourist district of Kowloon, the spectacular backdrop of Hong Kong island on the opposite side of the harbor. The protests, now in their 7th month, have lost some of the scale & intensity of earlier violent confrontations. A peaceful rally earlier this month still drew 800K people, according to organizers, showing strong support for the movement. Scores of black clad, mask wearing protesters chanted slogans including "Revive Hong Kong, revolution of our time," & "Hong Kong independence" as they roamed the malls. "Lots of people are shopping so it's a good opportunity to spread the message and tell people what we are fighting for," said Ken, an 18-year-old student. "We fight for freedom, we fight for our future." At one mall in the teeming Mong Kok district, also on the Kowloon peninsula, police used pepper spray to disperse some protesters. Some protesters were planning to march in Tsim Sha Tsui & count down to Christmas, according to notices on social media. The Civil Human Rights Front, which has organized some of the biggest marches involving more than 1M people, has applied to stage another march on New Year's Day. Police have arrested more than 6K since the protests escalated in Jun, including a large number during a protracted, violent siege at the Hong Kong Polytechnic University in mid-Nov. Many Hong Kong residents are angry at what they see as Beijing's meddling in the freedoms promised to the former British colony when it returned to Chinese rule in 1997. China denies interfering & says it is committed to the "one country, two systems" formula put in place at that time & has blamed foreign forces for fomenting unrest.
Christmas Eve chaos: Hong Kong police fire tear gas to disperse protesters
It was indeed a Super Sat for the retail industry as shoppers set a record, making it the biggest single day in retail history, according to Customer Growth Partners. As the clock ticked toward Christmas, shoppers made a final push for presents & deals with sales reaching $34.4B. That means Sat topped Black Friday's $31.2B & Cyber Monday's $19.1B. Job growth & increasing incomes stronger household finances have put consumers in a buying mood this season according to Craig Johnson, pres of Consumer Growth Partners. Online spending this season has seen sales growth of 58% from a year ago.
Saturday shopping set a single-day sales record
It’s shaping up to be a much more merry Christmas for investors this year. The stock market saw a dramatic sell-off last Christmas Eve, with the Dow falling 653. The S&P 500 briefly entered into a bear market, typically defined as a drop of more than 20% since recent highs,
during the trading day. Both indices & the NAZ
finished down more than 2% for the day. The Dow & S&P 500 last year posted their worst Dec since 1931 & their biggest monthly loss since 2009. The turmoil was punctuated
by the Federal Reserve's decision to raise interest rates that month &
Pres Trump's aggressive stance toward China in trade negotiations. The markets snapped back quickly, however, & then kept climbing. The S&P 500 is now up 37% from the bottom of the sell-off. All
11 main sectors of the S&P 500 are up at least 10% since their
closing level last Christmas Eve with Information Technology leading the way,
up nearly 58%. The factors that helped to spook investors last year have reversed
themselves as well. The market's banner year has been accompanied by
easing monetary policy & hints of progress in trade disputes. The Federal Reserve has cut its benchmark interest rate 3 times this year, with the latest cut in Oct bringing the target range to 1.5-1.75%. The US & China
have announced an agreement for phase one of a trade deal & the House has passed the new USMCA trade deal involving North American
countries. Small caps have also had a strong year, with the Russell 2000 rising
almost 32%. This was a bigger run than the Dow,
which has climbed more than 30.5%.
A lot has changed since the market panic last Christmas Eve with the S&P 500 up nearly 40% since
Not much happening on this shortened day for trading. The Dow is up over 5K YTD, one speculator year even if it started from a depressed level. Excitement in Hong Kong is not quieting down. While not large in population relative to total China, it is a major factor in China's trade. Holiday sales are shaping up as pretty good, helped by the stock rally this year. However, worried investors are buying gold, taking it to a 2 month high.
Happy Holidays to All!!
Dow Jones Industrials
No comments:
Post a Comment