Your Thursday Blip 6/25/20

Your Thursday Blip 6/25/20

A spike in covid-19 cases is giving stocks a case of the “willies”. Healthcare stocks were up on possible news of a vaccine but at this stage there are so many moving parts to the news cycle that it’s hard to figure it out what is meaningful. The Dow closed the day up 299 at 25,745. The current trading range is holding tight. IBD is in rally mode and BTS has gone to cash and treasuries.
Redfin noted today that home searchers on its web site continue to show increasing interest in homes outside of downtown “CHOP” urban settings. The latest reading showed that 27% of searches are about moving away from metro areas up from 26% last quarter. Page views of homes in towns less than 50,000 people were up 87% while page views of homes in cities with more than a million in population was up 22%.
With infections in the south and west rising, Disneyland in California has put a planned July 17th opening on hold and other states like Florida are taking a hard look at their situations. Texas said it was pausing its reopening as hospital beds fill up. In New York where the first wave originally hit hard, cases continue to flatten and plans are on track to reopen as early as July 6th. A renewed wave of cases could impact domestic air travel as well as travel between the states.
Boeing was lower after the FAA issued a final airworthiness directive for the 737 Max saying the jet lacks adequate shielding of wiring near the engine strut to protect it from high intensity radiated fields. The fix will require money and a possible rework before the planes are allowed back in the air.
In economic news the number of people receiving unemployment benefits fell below 20 million. New jobless claims rose by 1.4 million which was higher than guru estimates. Orders to American factories for big-ticket items like refrigerators and cars rebounded in May with a 15.8% jump. This comes after an 18.1% drop in April.

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