The KUIK Morning Market Report for Monday, September 11:
Markets are up.
Dow Jones Industrial Average
30 Year Treasury
Stocks are up on news Hurricane Irma hit Florida with less force than expected and North Korea did not conduct another nuclear missile test over the weekend. Goldman Sachs, which argues that cautious investors are one of two reasons that “an imminent correction is unlikely” in U.S. markets. In a note to investors it says “at some point the S&P 500 will retreat; it has been 14 months since a 5% selloff and 19 months since a 10% correction,” wrote David Kostin, Goldman’s chief U.S. equity strategist. “But because investor euphoria is nonexistent, an imminent start of a long decline seems unlikely.” The other reason is the continuing strength of the U.S. consumer.
Irma was downgraded to a Category 1 storm this morning after tearing a destructive path across South Florida on Sunday. The hurricane is due to be downgraded to a tropical storm. It’s left at least 4 million residents without power, fewer than expected. AIR Worldwide estimates insured losses resulting from Hurricane Irma will be $20 billion to $40 billion. That compares with its estimate of damage from Hurricane Harvey of more than $65 billion.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.