Your Tuesday Blip 11/24/20

Your Tuesday Blip 11/24/20

This was supposed to be a quiet week from a trading perspective but Mr. Market did not get that memo and for the first time the Dow crested the 30,000 level. Vaccine hopes continue to fuel the rally plus news that Janet Yellen might be appointed head of Treasury gave Wall Street a boost. At the close the Dow was up 454 points at 30,046. Trading volume was heavy. IBD and BTS show markets in rally mode.
Oil prices continue to move higher. WTI crude gained 4% today to close at $44.88 per barrel. Boosting oil prices was a combination of indicators showing short term strength and an improving long term outlook for demand. As Asian countries come back online from the pandemic refineries are snapping up crude from all over the globe which is reducing the glut that had built up this year. Oil traders are jumping on the wagon and buying futures so as not to be left behind if the positive trends demonstrate resilience.
Alaska Airlines today announced it was going to lease 13 new Boeing 737 Max jets from Air Lease Corporation. Alaska also announced it was selling 10 Airbus A320s which were part of the Virgin America acquisition to Air Lease Corp. Alaska already has 32 Max jets on order and is expecting to take at least 5 deliveries by the summer of 2021. The 737 Max is 20% more fuel efficient than the A320. Alaska currently does not have any 737 Max jets in its fleet but with new safety enhancements it appears willing to add them to the rotation.
Bill is gone tomorrow getting supplies for the Boy Scout Christmas Tree lot so there will not be a blip but John and Cleo will be watching the phones. In talking to growers this year the early indications are that sales will be brisk since early demand for trees has been high.

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