It was an eventful weekend full of surprises per usual with the US and China agreeing to resume trade talks and delay new tariffs while the nuc talks with North Korea appear to be back on. Stocks had their best performing month in June since 1980 gaining about 6.5%. At the close the Dow was up 117 points to 26,717 on heavy trading volume.
Oil prices moved higher after Saudi Arabia and Russia agreed to extend oil production cuts by another six to nine months. WTI crude finished the day up 1.27% at $59.22 per barrel. Meanwhile gold fell back below $1,400 an ounce as tensions between G20 leaders appears to have taken a step back. Gold was down 1.8% at $1,388 an ounce.
Canadian infrastructure giant Brookfield announced it is buying US based Genesee & Wyoming Railroad in an $8.4 billion deal. G&W got started in 1899 hauling rock salt to New York City and over the years expanded to become the largest short track owner in the US with 16,000 miles of track organized into 120 short line railroads. Local operations in the state of Washington include Tacoma Rail which runs from Tacoma to Olympia then heads west near the Rain Country Restaurant in McCleary, which, like Frank’s in Spokane, has a great breakfast, before ending in Aberdeen. Another G&W line runs from Wenatchee north to Oroville. G&W also has operations in Australia and Europe.
Stock exchanges this week will operate normally on Tuesday buy only half day on Wednesday and will be closed on Thursday as we celebrate the 4th of July and the 243rd birthday of our wonderful Republic. Friday will be a normal trading day although trading volume will most likely be light as a feather.