|Day's range||3,075.82 - 3,088.33|
|52-week range||2,346.58 - 3,097.77|
Stocks pared earlier losses and the Dow pushed into positive territory as Walgreens (WBA) and Boeing (BA) shares jumped. Earlier, equities had retreated from Friday’s record levels as concerns over trade and protests in Hong Kong flared up.
on new factories and equipment by big US companies appears to have persisted through the third quarter of 2019, according to the latest round of earnings reports, which featured warnings from executives that budgets are likely to slow further in the final months of this year. Company executives have also indicated during earnings season that the pace of growth will slump to 1.8 per cent in the fourth quarter, underlining the shadow cast on boardrooms by trade wars and other global factors. “Corporate cash spending will continue to face pressure as management teams deal with persisting uncertainty,” David Kostin, chief US equity strategist for Goldman Sachs, said in a research note.
Based on Monday’s price action and the close at 3087.50, the direction of the December E-mini S&P; 500 Index on Tuesday is likely to be determined by trader reaction to the pivot at 3080.00.
Wall Street was mostly lower Monday in a quiet holiday session, but Boeing's announcement on returning its 737 MAX to service after two deadly crashes provide a boost to the Dow. The aviation giant said it still hopes the Federal Aviation Administration (FAA) will allow it to resume MAX deliveries to airlines before the end of the year, and to approve the aircraft to begin flying in January. Boeing shares jumped 4.6 percent and that helped the Dow Jones Industrial Average recover from early losses to end the day a fraction higher at 27,691.49.
President Donald Trump said over the weekend that reports about U.S. willingness to lift tariffs were "incorrect," only two days after a Chinese official said both sides agreed to rollbacks if talks progress. The Dow Jones Industrial Average edged up to another record, largely due to a big gain by Boeing.
Shares were mixed in Asia on Tuesday as investors awaited cues on trade talks between China and the U.S. The next hints on progress in the negotiations between Beijing and Washington could come later in the day, when Trump is scheduled to give a speech on trade and economic policy at the Economic Club of New York. Japan's Nikkei 225 index gained 0.1% to 23,362.24, while the Hang Seng in Hong Kong added 0.1% to 26,947.66.
Stock markets initially pulled back to start off the week, as traders are dealing with the fact that Donald Trump suggests he has not made up his mind about rolling back tariffs against the Chinese.
Investing.com – Wall Street fell on Monday as violent clashes in Hong Kong and trade comments from U.S. President Donald Trump caused investors to dial down last week's optimism.
Boeing propelled the Dow to a record high, but US stocks were otherwise under pressure with investors still racked by uncertainty over trade talks and as political tensions in Hong Kong flared up. Activity on Wall Street was subdued owing to the Veterans Day holiday, with equities trading but the Treasury market closed. The S&P 500 fell 0.2 per cent, while the Nasdaq Composite eased 0.1 per cent lower coming off their record highs on Friday.
Throughout the past week, the US dollar has received support after strengthening expectations that the Fed will take an extended break after three consecutive rate cuts.
This current market environment is very reminiscent of the 2006-08 market environment where price rotated into weakness on technicals and continued to establish new all-time price highs in the process – creating what we are calling a “zombie-land melt-up”.
Shares around the world fell Monday as hopes for a breakthrough in the trade war between the United States and China diminished after President Donald Trump said Washington had not agreed to gradually roll back tariffs as negotiations progress. Hopes were shaken when Trump on Friday dismissed a Chinese official's assertion that the U.S. side had agreed to gradually lift tariffs on Chinese goods that it has imposed in the conflict over trade and technology policies. "They'd like to have a rollback," Trump told reporters at the White House.
Given the ongoing trade issues, the political drama in Washington, the Fed’s multiple moves and geopolitical uncertainties, the one constant this year underpinning stocks has been corporate earnings results.
The toppling of the Berlin Wall made free market economics the norm across Europe - but which financial markets have done the best since then? While the events of 1989 redefined Europe's boundaries, they also ushered in almost two decades of powerful economic liberalisation and globalisation that took in China, India and Latin America - a wave that is only now cresting. Also at work is a 30-year drop in global borrowing costs as inflation has been beaten back - even amid a boom for commodity producers, whose resources China has gobbled up.
The dollar slid and global equity markets fell on Monday after U.S. President Donald Trump's remarks over the weekend suggested an end to the trade war with China was still not in sight, dashing recent investor optimism. Trump said on Saturday that the U.S.-Sino trade talks were moving along "very nicely" but more slowly than he would have liked. U.S. and Chinese officials last week said the two countries had agreed to roll back tariffs already in place in a "phase one" trade deal.
The dollar slid and global equity markets fell on Monday after U.S. President Donald Trump's remarks over the weekend dashed investor optimism that Washington and Beijing would soon reach a deal to end their debilitating trade war. Trump said on Saturday that the U.S.-Sino trade talks were moving along "very nicely" but more slowly than he would have liked. Last week, U.S. and Chinese officials said they had agreed to roll back tariffs - a key consideration for China - that already are in place in a "phase one" trade deal.
Investors will be watching monthly US retail sales closely this week. September saw the first stumble in seven months, fanning worries that slowing economic growth had finally caught up with the American consumer. Economists surveyed by Bloomberg expect the data for October, to be released on Friday, to show an increase of 0.2 per cent.
Based on Friday’s price action and the close at 3090.50, the direction of the December E-mini S&P; 500 Index on Monday is likely to be determined by trader reaction to the minor pivot at 3080.00.
The Federal Reserve Bank of San Francisco held the central bank's first ever conference focused on climate change on Friday.
China cast a shadow over trading on Wall Street Monday. Stocks fell after President Donald Trump said he'd only make a trade deal if it was right for America. The S&P 500 snapped a 3-day winning streak, but a jump in Boeing shares helped the Dow eke out a gain for another record close. Pence Wealth Management chief investment officer Dryden Pence: SOUNDBITE: PENCE WEALTH MANAGEMENT CHIEF INVESTMENT OFFICER DRYDEN PENCE (ENGLISH) SAYING: "Every time we get around these top these new highs, you get some increased volatility. And so I think we're going to see for the next several weeks these moments where the markets open lower or headlines will create some downward volatility and then fundamentals will push it back up." Chip makers like Micron Technology and Texas Instruments, which get a big chunk of their sales from China, dragged down tech stocks. Qualcomm weighed on the S&P 500 and Nasdaq after Morgan Stanley downgraded the chipmaker's shares to "equal-weight" from "overweight." Among the day's biggest gainers on the S&P 500: Boeing and Walgreens Boots Alliance. The planemaker said it expects to resume commercial service for its grounded 737 MAX jets in January. Walgreens got a lift after Bloomberg reported KKR has approached the drug store chain operator about a deal in what could be one of the largest leveraged buyouts.