The KUIK Morning Market Report for Monday, December 19:
Markets are up.
Index
Direction
Change
Units
Time
Dow
Up
52
points
19,893
7:14 AM
S&P500
Up
0.2%
percent
2,263
Nasdaq Composite
Up
0.3%
percent
5,455
30 Year Treasury
Down
(4)
Basis Points
3.14
Annual Yield
Bloomberg reports Goldman Sachs warns that China’s capital outflows are accelerating and the People’s Bank of China is selling larger amounts of foreign exchange, as the yuan heads for its biggest annual drop in more than 20 years. A net $69.2 billion left November, compared with a monthly pace of around $50 billion since June. Money has been leaving in yuan payments for 14 consecutive months, while the central bank’s yuan holdings have fallen the most since January. The situation could get worse, said Banny Lam, head of research at CEB International Investment. “Capital outflows and yuan depreciation will continue or even worsen by the end of this year and the first quarter of 2017, as investors are getting increasingly concerned about a stronger dollar and China’s economic conditions,”
Here in the US, Disney leads the Dow on the strong opening weekend for Rogue One, it’s latest Star Wars movie. Investors are waiting on a speech by Fed Chairman Janet Yellen in Baltimore on the state of the job market.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
