Stocks were mixed today as the Dow fell while the NASDAQ was higher. While markets are steady and trading near highs, the general concern is that Wall Street does not know how to model the Trump rally since they can only guess about potential policy changes. At the close the Dow was off 76 points to 19,887. Trading volume was unchanged.
As the Detroit Auto show started up this weekend, Fiat Chrysler announced on Sunday that it was investing $1 billion in plant expansions in Michigan and Ohio for production of the Jeep Grand Wagoneer and a new Jeep pickup. The expansion is estimated to be done by 2020 and result in 2,000 more manufacturing jobs. Speaking of jobs, China based Alibaba CEO Jack Ma met with Trump today and then announced a 5 year plan to create a million jobs mostly in the small business sector by connecting Asian buyers on its network to small manufacturers in the US. How this plays out is yet to be seen but it does clearly signal that job creation is a priority for the new administration.
Last night’s Golden Globes were glitzy as usual but during the show I noticed that Jeff “Big Bucks” Bezos, CEO of Amazon, was siting front and center right next to Matt “The Rat” Damon! Amazon has invested heavily into content and this year pulled in 11 nominations and picked up some bling to boot. This shows that the company continues to invest and grow in a seemingly unlimited fashion beyond retail, tech and logistics. Bezos is showing up everywhere. He is the modern day “Where’s Waldo”. Could we someday see him at the Paris Fashion show or the Tacoma Dome Monster Truck rally?
Oil Prices pulled back today thanks to speculation that a rise in US drilling activity will flood the markets and make up for any OPEC cuts. WTI crude today fell 3.9% to $51.88. Gold meanwhile gained $9.50 an ounce to $1,182.