Well, we had another crazy day in trading, and that’s not even including Bitcoin. As the banks and retailers, not named Amazon, saw their shares advance nicely; NASDAQ, led by the momentum guys (Amazon, Apple, Google, Facebook etc.) tumbled mightily. Some attributed the action to rotation, some to the effects of the proposed tax bill, but whatever the reason it was surely a day of distinct winners and losers.
By the close, the Dow Jones Industrial Average was up 103 points to finish the day at 23,940. The S&P 500 was down 1 point to close at 2,626. Gold was down $12 to trade at $1,287 per ounce, while oil was down $.63 to trade at $57.36 per barrel WTI.
On the economic front, the GDP number for the 3rd quarter was revised higher and the pending home sales number was much higher than expected. We continue to build a strong economic backdrop to the market’s strength, and the tax bill looks like it might actually get passed at some point. It will be interesting if all this time market participants have been buying the rumor and will eventually sell the news. In the meantime, the economic reality is actually confirming the strength in stocks.
Have a nice evening everyone.