Your Weekly Market Blip 10/12/18

Your Weekly Market Blip 10/12/18

Stocks rebounded like Denis Rodman on the basket ball court with the Dow up 287 at 25,339 to end a wild trading week. Trading volume on Friday was low which means that the big boys are still on the sidelines like first year boy scouts huddled on the dock because they are too afraid to jump into a wild mountain lake. For the week the Dow was down 1,045 points or 3.95%. for the year the Dow is up about 2.7%.

Reuters had an interesting article about the long-haul truck industry. A firm called FTA noted that orders for class 8 semi-trucks jumped 92% in September as trucking companies grapple with tight capacity and a booming US freight market. FTA said that preliminary North American orders for 18 wheelers in September reached 42,300 up from 22,082 for September 2017. "The economy is surging right now, putting stress on shippers to find trucks to deliver goods on time," Don “Open Road” Ake, FTR's vice president of commercial vehicles, said in a statement. "Fleets don't want to be stuck in the same situation next year, so they are placing huge orders for trucks well ahead of time." He also noted that looking ahead, the surge in orders indicates that shipping demand could continue to strengthen. Truck orders jumped big in 2017 and these recent reports indicate that the trend of booming orders is not abating.

Big banks are reporting earnings and the numbers are all above estimates so far. JP Morgan Chase posted A 13% increase in revenue and a 33% increase in profits. Consumer banking was up 60%, net interest margins were higher and loan losses fell. Citigroup came in with a 9% revenue increase and a 23% rise in net income. PNC, the big regional bank in Pittsburg reported a 12% revenue gain and a 31% increase in profits. While all these reports are good the banks expressed caution in their forward guidance citing trade issues and rising interest rates.