Stocks continue on a wild ride as traders focus on interest rates, midterm elections and tariffs. The Q3 GDP growth rate came in above estimates at 3.5% and earnings reports continue to hit the news wires. Reuters had a good article about how China is starting to quietly lower its tariffs. Check it out on our Facebook page. At the close the Dow was down 298 at 24,688. Trading volume was lower in the morning during the initial selloff but grew heavier when stocks started to rally. For the week the Dow was off 2.6% and for the year is flatter than a pancake.
Amazon reported Q3 numbers and while they are good, Mr. Market did not like them because revenue figures and forward guidance was lower than expected. Every analyst in the book however maintained their buy ratings on Amazon and talked of a positive long-term outlook for the company. Amazon reported a 29% sales gain and an increase in net income of over 1,000%! Net income was 54 cents per share for Q3 last year and this quarter it was $5.74 per share! The headcount for Amazon’s global workforce is now above 600,000 and grew 13% over the past year.
Weyerhaeuser posted a revenue gain of 2% and a revenue decline of 18% which upset the gurus. Shares dropped on the news. The company however said it was increasing the dividend by 6% and will buy back $290 million worth of stock. CEO Doyle “Thag” Simons noted that during the quarter they took charges for Canadian softwood lumber tariffs, storm damage in the south and unusual volatility in lumber prices. Going forward the company lowered its guidance but stressed that it continues to deliver solid operational performance in a volatile market.
Last night the Boy Scout troop had our fall court of honor and it was fun. The place was packed with happy parents and energetic scouts. Hats off to our Scoutmaster Patrick M. Over the past 4 months, the scouts earned 142 merit badges and 30 rank advancements. 6 kids went to NYLT and no one dyed their hair this time. During the summer months, 20 scouts went to Sea base in Florida, and other groups of scouts hiked a combined distance of over 300 miles in both the Cascades and Olympic mountains. The best part of all however was the adults finally figured out not to let the scouts get first crack at the desert line! Check out pictures on our Facebook page.