The market Blip is early today because we are at the annual KMS conference for the next two days where John, Cleo and I will listen an array of speakers talking about regulations and trends. I have some tooth picks to prop my eyes open during the sessions on new regs.
As of about 9 am Pacific Time the Dow was up over 200 points on slightly higher volume. The reason behind the rally were significantly lowered damage estimates for Hurricane Irma. Prior to the weekend the gurus had estimated damage could be in the $200 billion range but when the storm shifted west and weakened rapidly the sign of relief was palpable. Chuck Watson, Enki Research disaster modeler in Savannah, Georgia, dropped his damage estimates from $200 billion to under $50 billion saying that actual insured losses could be less than $10 billion. Bloomberg also lowered its insurance loss estimates from $33 billion to $13 Billion.
The news of lower than expected losses sent bank and insurance stocks higher while home improvement related stocks were lower. Orange juice futures also were off as damage to crops was less than feared. Global shares were also higher as was the US dollar and interest rates.
Today also marks the anniversary of the 9/11 terror attacks. Let us never forget the need to be smart, strong and ever grateful for the power of good in our lives and build on that.