Stocks today hit new highs in early trading thanks to strength in bank and tech stocks but then some Trump sabre rattling regarding North Korea sent shares lower into the close. The Dow closed off 35 points on heavy trading volume at 22,085. Some retail stocks reported earnings which were better than expected but other than that it was a quiet day.
West coast dockworkers formally extended their contract for another 3 years guaranteeing a stable labor force as the peak shipping season is underway. The Longshoreman’s Union which represents 20k workers at 29 ports from Washington to California agreed to the contract with the PMA (Pacific Maritime Association) on pay raises, pensions and healthcare. Well…. I guess that’s one thing less thing to worry about. Now all we have to do is bask in the beauty of our “lightning caused, Organic, Non MSG, Canadian wood smoke” air pollution.
WTI crude oil has risen to its highest level since late May hitting $50 per barrel but at the same time it seems unable to break out above that level. Kyle “The Kid” Cooper of ION Energy in Huston noted the inability of oil to break out of the $45 to $50 price range is due to production gains in the US and other stable peaceful nations like Libya being offset by production cuts in OPEC and a drawdown in US stockpiles as demand for US gasoline is on the rise. WTI crude closed the day at $9.31 off 22 cents per barrel.