Friends
Stocks were lower today but most of the damage was done in the Dow Jones Industrial Average. Huge declines in Goldman Sachs and Travelers dragged the Dow lower while the other market averages fared better. Goldman’s earnings miss was curious given that Morgan Stanley, a huge competitor, had a wonderful earnings release. While Goldman has been messing around with FinTech and failed banking services, Morgan continues to build out their wealth management offerings. With investment banking needs diminished at the moment, it has become evident that Morgan Stanley chose the better business model. We’ll see how Goldman responds.
As for today, by the close the Dow Jones Industrial Average was down 391 points to finish the day at 33,910. The S&P 500 was down 8 points to close at 3,990. The Nasdaq Composite Index was up 15 points to close at 11,095. Gold was down $10 to trade at $1,911 per ounce, while oil was up $1.29 to trade at $81.15 per barrel WTI.
It is likely to be a very interesting earnings season. Sentiment is still extremely negative, but we are seeing instances where bad news is being bought. Let’s settle and see what corporate America has to say over the next few weeks. Stay tuned.
Have a nice evening everyone.
