10 October 2019

1) PG&E (Pacific Gas & Electric), the massive power supplier of California, has announced they are planning power outages for Northen and Central California which will effect an expected 800,000 customers in 31 counties to reduce the risk of wildfires in windy conditions. The Paradise fire and the 2017 Wind Country fires were ignited when wind blown power lines sparked. It is unknown what the economic impact will be from such a massive loss of electrical power that may last for days on end.

2) The prices for many popular drugs is rising far faster than inflation, more than twice the medical consumer price index since 2017. Prices may not be justified by clinical improvements to the drugs themselves. This is especially important for people with limited income, in particularly the elderly on fixed incomes who are the major consumer of drugs in America. This is at a time when President Trump is vowing to attack high drug prices in America.

3) American Airlines announced extensions of 737 MAX cancellations of flights through January 15, despite Boeing’s promises that the grounded jets would be flying again before year’s end. American said full year profit would be reduced by about $400 million dollars if the jet remained grounded through the second of November, and is likely to spill over into 2020.

4) Stock market closings for – 9 OCT 19:

Dow               26,346.01    up    181.97
Nasdaq            7,903.74    up      79.96
S&P 500           2,919.40    up      26.34

10 Year Yield:    up    1.59%

Oil:    down    $52.65