China Cuts Tariffs, Boeing CEO Resigns, Durable Goods Drop, New Home Sales/Prices Rise & Markets Hit Records

Today, China announced that they would be cutting tariffs on a number, possibly totaling in the 100’s, of US goods from all sectors that are due to take effect on Jan1, 2020.

Recently maligned aircraft manufacturer and maker of the MAX 737 Boeing (BA) announced that its CEO had resigned propelling shares to $337.55/share up +2.91% today and helped drive the DJIA higher.

On a down note, total durable goods dropped by 2% in November below the 1.5% expected rate. However, new home sales in November surprisingly rose +1.3% month/month to a seasonally adjusted annual rate of 719k units while on a year/year basis new home sales are now up +16.9%. The median new-home price jumped +7.2% to $330,800 in November.

As a result, the markets were up across the board today and all hit closing record highs. The S&P 500 ended the day up +.09% at 3224.01, the Dow Jones Industrial Average ended up +.34% ending at 28,551.53. The Nasdaq was up .23% and is getting dangerously close to the 9k level closing at 8,945.65. The Russell 2000 moved higher +.13% at the close of trading now at 1,674.14. The “fear gauge” Vix (TVIX) ended a higher at $51.13/share at the close of trading up +1.03%.

Economic Reports

On Monday,  total durable goods dropped by -2% in November below the 1.5% expected rate. However, new home sales in November surprisingly rose +1.3% month/month to a seasonally adjusted annual rate of 719k units while on a year/year basis new home sales are now up +16.9%. The median new-home price jumped +7.2% to $330,800 in November.

Investing & Inspiration

“Money doesn’t make you happy. I now have $50 million but I was just as happy when I had $48 million.” -Arnold Schwarzenegger

Tomorrow

The US economic scheduled will not provide any points tomorrow on Christmas Eve however the markets will be open up at the regular time at 6:30 am pacific but close early at 10 am pacific.