Weekly Market Update: Stocks and commodities float higher in light holiday trading
Fri, 27 Dec 04:10 PM EST/09:10 PM GMT
Stocks continued to push out to new highs in the holiday shortened trading week. A Santa Claus rally took full effect in predictably thin year-end trading. US and Chinese officials indicated they remain in close contact as they hammer out the text of a ‘phase one’ trade agreement for signing in January. The Dow was helped by news that Boeing’s CEO was finally being replaced as the 737 Max debacle drags into the New Year. Tesla shares also turned heads, rising past the notorious $420 level, to notch new highs as the electric car maker continues to impress with its rapid expansion in China. The US economic data was somewhat soft with both the Richmond Fed and new home sales figures coming up short of expectations. That along with strong demand for US Treasury coupon auctions enabled Treasury yields to drift lower. Gold popped back above $1,500 for the first time since October, coinciding with marginal weakness in the US dollar. For the week, the S&P added 0.6%, the DJIA rose 0.7%, and the Nasdaq gained 0.9%.
SUNDAY 12/22 (JP) Japan Chief Cabinet Sec Suga: Has not eased export controls on South Korea; changes to controls are just procedural
MONDAY 12/23 TSLAReportedly agrees 5-yr loan facility of up to CNY10B (~$1.4B) with Chinese banks - press (US) NOV PRELIMINARY DURABLE GOODS ORDERS: -2.0% V +1.5%E; DURABLES (EX-TRANSPORTATION): 0.0% V 0.2%E BA Dennis A. Muilenburg resigns as CEO effective immediately; Names current Chairman David L Calhoun as CEO; effective Jan 13th 2020 (US) NOV NEW HOME SALES: 719K V 730KE (CN) According to China Association of Automobile Manufacturers (CAAM) China 2019 auto sales are tracking to be -9% to -8%; see 2020 sales -2% and 2021 flat or slightly slower – press
TUESDAY 12/24 UBER Founder Travis Kalanick to resign from Board of Directors; effective Dec 31
THURSDAY 12/26 UBERRBC's Mahaney sees Uber as top tech pick for 2020 - CNBC interview
FRIDAY 12/27 (EU) ECB ECONOMIC BULLETIN: Sees signs of stabilization in global economy beginning to emerge towards the end of the year (US) Nevada reports Nov casino gaming Rev $937.5M, -3.1% y/y; Las Vegas strip Rev $517.9M, -3.1% y/y