Morgans Financial Limited

Morgans AM: Tuesday 17 December 2019


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The benchmark US equity indices carved out another round of record intra-day and closing highs amid ongoing US-China trade-related optimism - Dow up +100-points or +0.36% to 28,235.82. Boeing Co fell -4.3% after The Wall Street Journal reported Sunday (15 December) the company was nearing a decision on possibly halting or cutting production of the 737 Max. The report follows Federal Aviation Administration chief Steve Dickson telling CNBC last week the 737 Max jet’s return was unlikely to be cleared until 2020.  The broader S&P500 gained +0.71% (to 3,191.45), with Energy (up +1.43%), Utilities (+1.29%) and Health Care (+1.08%) leading ten of the eleven primary sectors higher, with Industrials (down -0.03%) the only laggard. The technology-centric NASDAQ rose +0.91% (to 8,814.32), with Tesla Inc (up +6.45%) the best index performer. Both the S&P500 and Nasdaq logged their third consecutive record closing highs. In merger and acquisition (M&A) news, Intel Corp fell -0.2% after the chip maker announced it had acquired artificial-intelligence firm Habana Labs for $2B to deepen its push into the data-centre business. Separately, Uber Technologies Inc climbed +5.5% after news reports said the ride-hailing app company was in talks to sell its food-delivery business in India to a local competitor.
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