I was unable to post for a few days due to lack of a sufficient internet connection. But the market did very well in the meantime reaching new highs in New York.
The terrible attack in Nice, France had no noticeable impact on North American stock markets. Interest rates did rise but that was from record lows. The unfortunate reality is that these attacks are no longer unexpected. But the world at large has to pursue business as usual. I was briefly in western France on the German border the morning after the attack and it was absolutely business as usual there in the tourist area and we did not feel as if the attack had been close by at all. Going about business as usual is perhaps one way that people can do there part to make sure that the terrorists don’t win.
Meanwhile, in the markets Wells Fargo reported earnings about as expected although it fell 2.5%.
Reports show that new house prices have held up very well even in Alberta and that bodes well for Melcor. The market value of its land holdings is likely down by only a small amount. It is well capable of lasting through the slowdown in lot sales. And it has its commercial rental income to provide stability in the meantime.
This week the market will have more Q2 earnings reports to digest.