Stocks opened higher but then waffled on tax reform uncertainty and at the close the Dow was down 76 points to 24,508. Trading volume was lower. IBD has markets in rally mode and the BTS indicators are still in cash as rising interest rates are affecting the bond markets.
As we near the 10th anniversary of the 2008 housing crisis a mortgage data firm called Black Knight released a report showing that 1.36 million homes in the US are still underwater. This is double the average level in the years leading up to the crisis. Another firm called Attom Data noted that in addition to underwater homes there are millions of “laden” homes which are valued just above the mortgage balance but do not have enough equity to cover the closing costs. Attom says all these homes are stuck in limbo (just north of Idaho) and are making the low inventory of homes for sale a more lasting issue.
Seattle based real-estate firm Redfin is listing a condo for sale in Florida. What makes this unusual is the asking price is 33 bitcoin (~$535,000). The seller will not take US dollars or any other currency for that matter but the question remains: who wants to part with bitcoin when it is shooting up like a rocket? On the other hand if bitcoin falls then the buyer of the condo will look like a genius and the seller a chump. This is adding a sporting element to the listing.
Just before its annual meeting in Atlanta, GA where the Falcons are building an amazing new stadium, Delta Airlines announced it ordered 100 Airbus A321Neo jets and took options for another 100 to boot. The deal is valued at $12.7 billion or 76,148 bitcoin. Boeing had competed for the order but lost out. Delta also said its revenue per seat mile figures are coming in at the upper end of its forecasts. The company had projected growth at 2% to 4% but now is saying 4% or higher.