Your Tuesday Blip 12/22/20

Your Tuesday Blip 12/22/20

Stocks ended the day mixed as Congress cleared the $900 billion stimulus bill and sent it to President Trump for his signature. Vaccines continue to make their way into the healthcare system and stocks continue to trade near the 30k mark. At the close the Dow was off 200 points to 30,015. Trading volume was light and tech stocks were market leaders. Both IBD and BTS indicators continue to list markets as being in rally mode.
Alaska Air continues to focus on long range plans despite the crazy times we live in. The company today said it would buy 23 more Boeing 737 Max jets building on a previous order of 97 airplanes and bringing its total Max order to 120. Deliveries are expected to start in 2021 and run through 2024. The new 737 Max jets will replace older Airbus planes that came with the Virgin Atlantic purchase a few years ago. By using the 737 Max as the sole aircraft of its fleet, Alaska will have lower costs and arguably the most environmentally friendly fleet of jets attainable at this point in time.
The US Housing market remains robust. The NAR or National Association of Realtors reported that sales of existing homes fell 2.5% in November for the first time in 6 months. Contract closings have skyrocketed this year and are running at an annualized rate of 6.69 million which is a level not seen since 2006. Home prices jumped 14.6% from a year earlier at an average of $310,800. The inventory of homes remains a challenge having dropped 22% over the past year with only 2.3 months’ supply on the market.