Friends
It is very early, but the first several big firms that have reported earnings have beaten the bottom line estimates rather handedly. Now, the way the shares have reacted to the earnings release has been varied, with some rising on the good news, while others did not. We are not surprised that stock price reaction is mixed, given that stocks have gone straight up since the beginning of the year. What we are looking for, as we mentioned in our quarterly piece, is whether this rally in stocks so far this year has been well earned.
As for today, by the close the Dow Jones Industrial Average was down 23 points to finish the day at 27,335. The S&P 500 was down 10 points to close at 3,004. Gold was down $8 to trade at $1,405 per ounce, while oil was down $1.69 to trade at $57.89 per barrel WTI.
As mentioned, the likes of Johnson & Johnson, Goldman Sachs, and J P Morgan beat earnings estimates to day. Let’s see if that trend continues. I’d like to see the gains of the first half of 2019 justified, before we embark on the next phase of our market journey.
Have a nice evening everyone.
