Shares of Boeing and Apple pushed markets higher today as the Dow closed up 227 points at 27,137. Apple yesterday introduced a new phone, new iPad, new watch, new gaming service and said it would launch TV+ on November 1st at $4.99 per month which is much less than streaming services by Disney and Netflix. While Boeing said deliveries in August were the lowest in 8 years, gurus at Morgan Stanley put a buy rating of the lazy B with a $500 target price.
Oil prices fell over a buck today with WTI crude at $56 per barrel. OPEC eased its demand forecast which offset reports of lower US stockpiles and production. Meanwhile some gurus attributed the fall in oil prices to the firing of John Bolton because with him out of the White House, the chances of a war happening somewhere are greatly diminished. Also, in the oil patch, legendary oil man T. Boone Pickens passed away at the age of 91. His donations to the Oklahoma State University were such that it seems half the campus is named after him.
An outfit called Jungle Scout, which helps small businesses sell product on Amazon conducted a survey of 197 of its customers who source product from China to better ascertain the effects of the tariffs. They found that 72% are seeing higher costs and are either cutting margins or raising prices while 51% said they are considering moving supply lines away from China and 19% are looking to find manufacturing in the US. 77% are seeing higher freight costs and 25% are thinking of calling it quits. Jungle Scout says it has over 97,000 customers and provides them data and services on how best to run a business on the Amazon platform. Selling on Amazon is not easy. While Amazon’s overall sales continue to rise, third party sellers pay 15% off the top to Amazon and then must put up with tariffs, shipping, inventory etc. Amazon can be a jungle!
Sept 11th is a day we must never forget. When under attack, whether it be from radical Islamic terror groups or any other source that seeks to control a free people through fear, let us always remember those who were compelled to help others even at the cost of their own lives.