Stocks ended the week on a mixed note as the Trump rally seems to be cooling off a bit. The Dow closed off 9 points to 19,843 on higher trading volume but for the week the Dow gained about 0.4% and did hit a new high. The NASDAQ however fell 0.2% after hitting an intraweek high.
People in Seattle are walking around blinded after watching last night’s Seahawk game thanks to the new green uniforms. On TV the team resembled a herd of angry banana slugs on a park lawn.
The rise in US interest rates is causing ripple effects across the globe. The euro has fallen against the dollar and now sits close to parity at 1.03 to the dollar having fallen from a level of 1.30 ish. Meanwhile in Asia the Japanese stock market has hit new highs while the yen has weakened against the dollar. The new high in the NIKKEI is happening because investors are moving money into export related companies betting on a stronger US economy. Other countries in Asia are experiencing inflation because imported commodities are priced in US dollars. A stronger dollar hurts imports and domestic sales but could boost exports to the US. Currencies like the Chinese yuan (now at an 8 year low) are falling relative to the dollar so that companies have to pay more for raw materials while domestic selling prices and incomes in local currencies are capped.
The Boy Scout Christmas tree sale went off without a hitch except for the wise guy who used a counterfeit $100 bill to buy a tree. We sold out a week early and the scouts learned to talk to people, offer help, learn tree types and load trees onto cars. One poor family got tied into their car when two younger scouts could not figure out how to tie the tree on top of a car that had no roof rack. They had the people roll down their windows and ran the line through the car thus sealing them in. Thanks to the Ballard community for supporting our troop.