NYSE Dow Jones finished today at:

[bigdog]

Major U.S. stock indexes ended mixed Monday as large companies gave up early gains and smaller companies closed broadly higher.

The S&P 500 ended virtually flat as losses in technology and health care stocks outweighed gains in financials and other sectors. The Russell 2000 index of smaller company stocks, which has lagged the S&P 500 this year, outpaced the rest of the market.

The S&P 500 inched 0.28 points lower, or less than 0.1%, to 2,978.43. The index, which has finished higher the past two weeks, is within 1.6% of its all-time high set in late July.

The Dow Jones Industrial Average rose 38.05 points, or 0.1%, to 26,835.51. The Nasdaq fell 15.64 points, or 0.2%, to 8,087.44. The Russell 2000 climbed 19.06 points, or 1.3%, to 1,524.23.

According to the latest SPI futures, the ASX 200 index is expected to open the day 7 points or 0.1% lower after another mixed night of trade on Wall Street.

https://www.usnews.com/news/busines...stly-rise-as-market-players-weigh-mix-of-data

S&P 500 Finishes Flat; Smaller Company Stocks Notch Gains
Major U.S. stock indexes ended mixed Monday as large companies gave up early gains and smaller closed broadly higher.
By Associated Press, Wire Service Content Sept. 9, 2019, at 5:09 p.m.

By ALEX VEIGA, AP Business Writer

Major U.S. stock indexes ended mixed Monday as large companies gave up early gains and smaller companies closed broadly higher.

The S&P 500 ended virtually flat as losses in technology and health care stocks outweighed gains in financials and other sectors. The Russell 2000 index of smaller company stocks, which has lagged the S&P 500 this year, outpaced the rest of the market.

Investors are taking a shine to smaller-company stocks in hopes that they'll be better shielded from the fallout of the costly trade war between the U.S. and China than large multinationals.

"If you're making your product or service in the U.S. and selling it to U.S. customers, you're somewhat more insulated from the global trade volatility and the slower growth that's spawning from that globally, too," said Ben Phillips, chief investment officer at EventShares.

The S&P 500 inched 0.28 points lower, or less than 0.1%, to 2,978.43. The index, which has finished higher the past two weeks, is within 1.6% of its all-time high set in late July.

The Dow Jones Industrial Average rose 38.05 points, or 0.1%, to 26,835.51. The Nasdaq fell 15.64 points, or 0.2%, to 8,087.44. The Russell 2000 climbed 19.06 points, or 1.3%, to 1,524.23.

The broader market has bounced back the past two weeks following a bout of volatility brought on by the trade war as Washington and Beijing imposed new tariffs on more of each other's imported goods. Investors worry the escalation of tariffs may be dampening global economic growth and threatening to nudge the United States into a recession.

Traders are hoping for a deal between the world's two largest economies and were encouraged last week by news that talks will resume in October.

A mixed bag of economic data has also kept Wall Street focused on central banks and whether they will continue taking measures to shore up economic growth. On Friday, Federal Reserve Chairman Jerome Powell said the central bank doesn't expect a recession and will take necessary actions to maintain growth.

Economists expect the Fed to cut interest rates when it meets next week. Separately, the European Central Bank is expected to unveil new monetary stimulus measures on Thursday to help shore up the region's economy.

U.S. stock indexes appeared set to extend their gains from last week in early trading Monday, led by gains in banks and communications companies. But the momentum faded by midmorning and the major indexes veered between small gains and losses the rest of the day.

At the same time, the Russell 2000 continued to climb. It's 13% gain year-to-date is still far behind the 18.8% increase in the S&P 500. That's one reason why the smaller-company stocks are looking attractive right now.

"People are rotating out of the more expensive stuff, some of the things that are probably risky in a downturn, like tech, and going into some more traditional value," Phillips said.

Among the winning small-cap stocks Monday were video-game retailer GameStop, which jumped 10.4%, and prison operator GEO Group, which rose 2.6%.

Payment processors helped weigh down technology sector stocks. Visa slid 2.3%, Mastercard fell 2.8% and PayPal lost 4.2%. Drugmakers led the slide in health care stocks. Merck fell 3.6% and Abbott Laboratories dropped 2.1%.

Rising bond yields gave banks a boost. Lenders rely on higher yields to set more lucrative interest rates on loans. JPMorgan Chase rose 2.5% and Bank of America gained 3.3%.

The yield on the 10-year Treasury rose to 1.64% from 1.55% late Friday in a sign that investors remain confident that the economy will continue growing. They also shifted money out of safe-play sectors like utilities and makers of consumer products.

Energy stocks climbed as the price of U.S. crude oil rose 2.4%. Oilfield services company Schlumberger jumped 5.9% and Halliburton gained 4.5%.

Benchmark crude oil rose $1.33 to settle at $57.85 a barrel. Brent crude oil, the international standard, gained $1.05 to close at $62.59 a barrel.

AT&T rose 1.5% after activist investment manager Elliott Management, which has a $3.2 billion stake in the telecom company, sent a letter to AT&T's board, noting that its stock has badly lagged the broader market over the past 10 years and urged it to shed businesses and trim costs. AT&T said it will review the proposals.

Freddie Mac and Fannie Mae each soared 42.8% after an appeals court overturned a ruling that supported the government's practice of collecting most of the profits generated by the mortgage finance giants.

Last week, the Trump administration unveiled a plan for ending government control of Fannie Mae and Freddie Mac. The companies nearly collapsed in the financial crisis 11 years ago and were bailed out by the government.

In other commodities trading Monday, wholesale gasoline rose 1 cent to $1.58 per gallon. Heating oil climbed 3 cents to $1.93 per gallon. Natural gas rose 9 cents to $2.59 per 1,000 cubic feet.

Gold fell $4.00 to $1,502.20 per ounce, silver rose 5 cents to $18.02 per ounce and copper fell 1 cent to $2.61 per pound.

The dollar rose to 107.16 Japanese yen from 106.89 yen on Friday. The euro strengthened to $1.1052 from $1.1028.

Major stock indexes in Europe also ended mixed Monday as economic growth concerns and Britain's potentially chaotic exit from the European Union weigh on investors. Stocks in Asia finished broadly higher.

 

[bigdog]

Major U.S. stock indexes closed mostly higher Tuesday, erasing much of an early slide, as investors favored smaller, U.S.-focused companies for the second straight day.

Industrial, energy and health care stocks helped power the market higher. Banks also notched solid gains amid a broad pullback in demand for U.S. government bonds, which pushed yields higher. The yield on the 10-year Treasury note climbed to 1.73% from 1.62% late Monday, a big move.

Lenders rely on higher yields to set more lucrative interest rates on loans. Bank of America rose 2.5%, Goldman Sachs gained 1.7% and State Street vaulted 9%.

The S&P 500 index inched up 0.96 points, or less than 0.1%, to 2,979.39. The Dow Jones Industrial Average rose 73.92 points, or 0.3%, to 26,909.43. The average was briefly down 118 points.

The Nasdaq, which is heavily weighted with technology stocks, slid 3.28 points, or less than 0.1%, to 8,084.16.

According to the latest SPI futures, the ASX 200 index is expected to open the day 18 points or 0.3% higher this morning after a mildly positive night on Wall Street.

US Stock Indexes End Mostly Higher After Late Buying Burst
Major U.S. stock indexes closed mostly higher Tuesday, erasing much of an early slide, as investors favored smaller, U.S.-focused companies for the second straight day.
By Associated Press, Wire Service Content Sept. 10, 2019, at 5:12 p.m.

By ALEX VEIGA, AP Business Writer

Major U.S. stock indexes closed mostly higher Tuesday, erasing much of an early slide, as investors favored smaller, U.S.-focused companies for the second straight day.

Industrial, energy and health care stocks helped power the market higher. Banks also notched solid gains amid a broad pullback in demand for U.S. government bonds, which pushed yields higher. The yield on the 10-year Treasury note climbed to 1.73% from 1.62% late Monday, a big move.

Lenders rely on higher yields to set more lucrative interest rates on loans. Bank of America rose 2.5%, Goldman Sachs gained 1.7% and State Street vaulted 9%.

For the second day in a row, traders unloaded technology stocks and shares in companies that rely on consumer spending. Microsoft dropped 1.1%, as did payment processors Visa and Mastercard, losing 2.8% and 3.9%, respectively.

"It seems like a complete reversal of what's kind of been the theme over the last few months, where it's been more about higher quality, higher market cap, higher growth, more stable growth and lower volatility," said Sameer Samana, senior global market strategist at Wells Fargo Investment Institute. "Things that had been doing well just completely got sold and the things that had been lagging completely got bought."

The S&P 500 index inched up 0.96 points, or less than 0.1%, to 2,979.39. The Dow Jones Industrial Average rose 73.92 points, or 0.3%, to 26,909.43. The average was briefly down 118 points.

The Nasdaq, which is heavily weighted with technology stocks, slid 3.28 points, or less than 0.1%, to 8,084.16.

Investors continued to flock to smaller-company stocks. They're seen as being better shielded from the fallout of the costly trade war between the U.S. and China than large multinationals.

Among the small-cap gainers were ABM Industries, which rose 3.1% and Spectrum Pharmaceuticals, which jumped 16.9%.

The Russell 2000 index of smaller-company stocks led the gainers, adding 18.76 points, or 1.2%, to 1,542.99.

The broader market has been gaining ground for two weeks as investors remain confident in the strength of the economy, despite the lingering trade war between the U.S. and China. The feud between the world's two largest economies has been injecting doses of volatility into the market as both sides escalate and then pull back. Recent plans for trade talks to resume in October raised some hope on Wall Street for a resolution.

Meanwhile, investors continue to watch the steady flow of economic data for a clearer picture of the U.S. economy's health. Recent reports have been a mixed bag, including a Labor Department report Tuesday that showed both a slip in job openings as well as a slight increase in hiring in July.

The Labor Department will report the latest consumer price index figures on Thursday and the Commerce Department will report August retail sales data on Friday. Economists continue to expect the Federal Reserve to cut interest rates at its meeting next week to help maintain U.S. economic growth.

Apple rose 1.2% after announcing a new slate of iPhones and other products, including a $5 a month streaming video service, which would be cheaper than rival offerings. Netflix and Disney each fell 2.2%.

Traders knocked Wendy's shares 10.5% lower after the fast-food chain cut its profit growth forecast because of plans to expand its breakfast options nationwide. The company plans to invest $20 million this year in the expansion and expects up to 6.5% profit growth instead of 7% growth.

Ford dropped 1.3% after Moody's cut the automaker's credit rating to "junk." Moody's is concerned that the company will be weighed down by weak earnings as it restructures. The move by Moody's makes it more costly for Ford to borrow money.

A mix of consumer product makers and consumer-focused stocks also fell Tuesday. Procter & Gamble dropped 1.9% and McDonald's slid 3.5%.

Energy and industrial companies notched solid gains. Schlumberger rose 3.4% and Deere & Co., rose 3.6%.

Major stock indexes in Europe finished higher Tuesday. Markets in Asia were mixed.

Benchmark crude oil fell 45 cents to settle at $57.40 a barrel. Brent crude oil, the international standard, slipped 21 cents to close at $62.38 a barrel. Wholesale gasoline rose 1 cent to $1.59 per gallon. Heating oil was unchanged at $1.93 per gallon. Natural gas fell 1 cent to $2.58 per 1,000 cubic feet.

Gold fell $11.90 to $1,490.30 per ounce, silver rose 2 cents to $18.04 per ounce and copper was unchanged at $2.61 per pound.

The dollar rose to 107.43 Japanese yen from 107.16 yen on Monday. The euro weakened to $1.1047 from $1.1052.


https://www.usnews.com/news/busines...xed-as-investors-look-ahead-to-rate-decisions

 

[bigdog]

Stocks notched broad gains on Wall Street Wednesday as investors drew encouragement from China's move to exempt some U.S. products from a recent round of tariffs.

Technology, health care and communication services stocks powered much of the rally. The benchmark S&P 500 index, which had been essentially flat since Friday, is on track for its third straight weekly gain.

Bond yields continued to climb. Oil prices fell, and investors also continued to favor smaller-company stocks.

The S&P 500 rose 21.54 points, or 0.7%, to 3,000.93. It's the first time the index has finished above 3,000 points since July 30.

The Dow Jones Industrial Average gained 227.61 points, or 0.8%, to 27,137.04. The Nasdaq picked up 85.52 points, or 1.1%, to 8,169.68.

According to the latest SPI futures, the ASX 200 index is expected to open the day 25 points or 0.4% higher this morning

https://www.usnews.com/news/busines...hares-mostly-higher-after-rise-on-wall-street

US Stocks Notch Solid Gains as China Eases Trade Tensions
Stocks notched broad gains on Wall Street Wednesday as investors drew encouragement from China's move to exempt some U.S. products from a recent round of tariffs.
By Associated Press, Wire Service Content Sept. 11, 2019, at 4:59 p.m.

By ALEX VEIGA, AP Business Writer

Stocks notched broad gains on Wall Street Wednesday as investors drew encouragement from China's move to exempt some U.S. products from a recent round of tariffs.

Technology, health care and communication services stocks powered much of the rally. The benchmark S&P 500 index, which had been essentially flat since Friday, is on track for its third straight weekly gain.

Bond yields continued to climb. Oil prices fell, and investors also continued to favor smaller-company stocks.

Wednesday's push into technology companies marked a reversal from the first couple of days of the week, when traders bid up energy, financials and other sectors that had sold off in recent weeks. The tech sector is particularly sensitive to fallout from the trade war between Washington and Beijing because many big companies, such as Apple, manufacture products in China.

"Today you have a little bit of a rotation back," said Rob Haworth, senior investment strategist at U.S. Bank Wealth Management. "You're getting some movement that trade may not be as bad as we think, with China relieving some of the restrictions on its own tariffs."

The S&P 500 rose 21.54 points, or 0.7%, to 3,000.93. It's the first time the index has finished above 3,000 points since July 30.

The Dow Jones Industrial Average gained 227.61 points, or 0.8%, to 27,137.04. The Nasdaq picked up 85.52 points, or 1.1%, to 8,169.68.

The Russell 2000 index of smaller-company stocks outpaced the broader market, climbing 32.72 points, or 2.1%, to 1,575.71.

Major indexes in Europe also finished broadly higher.

Bond prices fell. The yield on the 10-year Treasury rose to 1.75% from 1.70% late Tuesday.

Financial markets have been roiled this summer as the trade war escalated. Investors worry the impact of tariffs and a slowing global economy could tip the U.S. into a recession. The economic uncertainty has also become a drag on companies.

Some of those trade concerns appeared to ease Wednesday after China said it will exempt American industrial grease and some other imports from tariff increases, though it kept in place penalties on soybeans and other major U.S. exports ahead of negotiations next month.

The move could indicate that both sides are settling in for an extended conflict even as they prepare for talks in Washington aimed at ending the dispute that threatens global economic growth.

Investors continue to expect the Federal Reserve will cut interest rates at its meeting next week in another bid by the central bank to help maintain U.S. economic growth. The Fed raised its benchmark interest rate in July by a quarter point. That was its first hike in a decade.

Despite a rough and tumble August, the stock market is off to a solid September, with the S&P 500 coming off two weeks of gains.

The Russell 2000 is the clear winner midway into this week, boasting a 4.7% gain. Smaller companies within the index are viewed as more insulated from the impact of volatile swings in the U.S.-China trade war. They are also less affected by a stronger U.S. dollar than multinational companies.

"The stronger dollar does tend to mean domestic companies that are wholly domestic are going to do better," said Haworth.

The S&P 500 is up 0.7% for the week and the Nasdaq is up 0.8%. The Dow is slightly stronger, notching a 1.3% gain.

Apple was among the big gainers as investors snapped up technology stocks. Shares in the iPhone maker, which unveiled a variety of new products and services on Tuesday, climbed 3.2%. Chipmaker Intel gained 1.9%.

Health care and communications stocks also made strong gains. Medtronic rose 1.1% and AT&T climbed 3.1%.

The financial sector wobbled between small gains and losses after pulling out of an early slide. Wells Fargo added 1.1%. Real estate stocks finished flat.

Shares in tobacco giants Altria Group and Philip Morris International rose after a brief slide following the Trump administration's announcement that it is looking to ban thousands of flavors used in e-cigarettes amid an outbreak of breathing problems tied to vaping.

State and federal health authorities are investigating hundreds of breathing illnesses reported in people who have used e-cigarettes and other vaping devices. No single device, ingredient or additive has been identified.

Altria, which has taken a roughly $13 billion stake in vaping giant Juul, rose 0.6%. Philip Morris gained 0.7%. The companies confirmed last month that they are in talks to merge after they split in 2008.

Traders also weighed a mixed batch of corporate earnings and outlooks Wednesday.

Oracle shares declined 3.1% in after-hours trading after the company announced that its CEO is taking a leave of absence for health reasons.

GameStop plunged 10.2% after the video game retailer slashed its full-year profit forecast following a disappointing second quarter. The company continues to struggle as it competes with online game sellers.

Dave & Buster's Entertainment fell 4.6% after the restaurant and arcade operator cut its sales forecast for the year. The company is facing increased competition.

Shares in RH, the owner of furniture company Restoration Hardware, rose 5.3% after its latest quarterly results topped Wall Street's expectations. The company also raised its financial forecast for the year.

Benchmark crude oil fell $1.65 to settle at $55.75 a barrel. Brent crude oil, the international standard, dropped $1.57 to close at $60.81 a barrel. Wholesale gasoline fell 2 cents to $1.57 per gallon. Heating oil declined 3 cents to $1.90 per gallon. Natural gas fell 3 cents to $2.55 per 1,000 cubic feet.

Gold rose $4.10 to $1,494.40 per ounce, silver fell 1 cent to $18.03 per ounce and copper fell 1 cent to $2.60 per pound.

The dollar rose to 107.79 Japanese yen from 107.43 yen on Tuesday. The euro weakened to $1.1007 from $1.1047.

 

[bigdog]

Stocks rose on Wall Street Thursday after the U.S. and China took steps to ease tensions in their costly trade war, putting investors in a buying mood.

Technology, financial and consumer-focused stocks helped power the modest rally, which extended the market's solid gains from the day before despite losing some momentum in the final hour of trading. The benchmark S&P 500 index closed within 0.6% of its all-time high set July 26.

The U.S. agreed to delay another round of tariffs on Chinese imports by two weeks to Oct. 15. Meanwhile, Chinese importers have asked U.S. suppliers for prices for soybeans, pork and other farm goods — a sign they might step up purchases of American agricultural products.

The S&P 500 index rose 8.64 points, or 0.3%, to 3,009.57. The Dow Jones Industrial Average extended its winning streak to a seventh straight day, gaining 45.41 points, or 0.2%, to 27,182.45.

The Nasdaq added 24.79 points, or 0.3%, to 8,194.47. The Russell 2000 index of smaller company stocks gave up an early gain, sliding 0.65 point to 1,575.07.

According to the latest SPI futures, the ASX 200 index is expected to open the day 25 points or 0.4% higher this morning

https://www.usnews.com/news/busines...shares-mixed-after-china-eases-trade-tensions

Stocks Rise on Fresh Optimism Ahead of US-China Trade Talks
Stocks rose broadly on Wall Street Thursday after the U.S. and China took steps to ease tensions in their costly trade war, putting investors in a buying mood.
By Associated Press, Wire Service Content Sept. 12, 2019, at 4:40 p.m.

By ALEX VEIGA, AP Business Writer

Stocks rose on Wall Street Thursday after the U.S. and China took steps to ease tensions in their costly trade war, putting investors in a buying mood.

Technology, financial and consumer-focused stocks helped power the modest rally, which extended the market's solid gains from the day before despite losing some momentum in the final hour of trading. The benchmark S&P 500 index closed within 0.6% of its all-time high set July 26.

The U.S. agreed to delay another round of tariffs on Chinese imports by two weeks to Oct. 15. Meanwhile, Chinese importers have asked U.S. suppliers for prices for soybeans, pork and other farm goods — a sign they might step up purchases of American agricultural products.

The gestures stoked cautious optimism among investors that the next round of trade talks in October between Washington and Beijing may lead to some progress after a string of failed attempts at resolving the longstanding dispute.

"What's driving markets today is the potential for an interim trade deal," said Tony Roth, chief investment officer at Wilmington Trust. "There's enough pain to (China's) domestic economy and there's enough pain to our domestic economy that it's in both presidents' interests to take a step back and have a little bit of breathing room right now. That's what's changed."

The S&P 500 index rose 8.64 points, or 0.3%, to 3,009.57. The Dow Jones Industrial Average extended its winning streak to a seventh straight day, gaining 45.41 points, or 0.2%, to 27,182.45.

The Nasdaq added 24.79 points, or 0.3%, to 8,194.47. The Russell 2000 index of smaller company stocks gave up an early gain, sliding 0.65 point to 1,575.07.

The U.S.-China talks have basically gone nowhere since early May, when the two sides appeared to be nearing a deal. Along the way, the countries have slapped import taxes on hundreds of billions of dollars' worth of each other's products.

Financial markets were rattled in August as the trade conflict escalated yet again, fueling worries that more tariffs and a slowing global economy could bump the U.S. into a recession. The economic uncertainty has also become a drag on companies.

The two countries' conciliatory moves Wednesday and Thursday have raised hopes on Wall Street that the upcoming round of trade negotiations may yield a different outcome than previous attempts.

The reason? The trade war has begun to take its toll economically on both economies.

"Six months ago, even three months ago, you weren't registering as much economic deterioration as you are now in both economies," Roth said. "The markets are believing that there's some credibility in the idea that there may be an interim trade truce, let's call it, where they roll back some of the tariffs, the Chinese would by some stuff, and there would be relief to both economies."

Several weeks of solid gains have helped the S&P 500 more than recoup its losses in August, nudging it closer to another record high close this week.

The index is also on track for its best September since 2013. The S&P 500 is up 2.8% this month after slipping 1.8% in August. That's notable because the index has fallen in September 55% of the time since World War II, although the record has been better during the 10-year bull market.

Small companies are the star performers so far this month. The Russell 2000 index of smaller-company stocks is up 5.4%, with much of the gain coming this week. Those smaller companies are viewed as more insulated from the impact of volatile swings in the U.S.-China trade war.

Tech stocks notched solid gains Thursday. The sector's companies, particularly chipmakers, are heavily impacted by the trade war because many of them make products in China or rely on Chinese suppliers.

Chipmaker Intel gained 0.4%, while Advanced Micro Devices rose 1.5%. Microsoft, the most valuable company in the S&P 500, added 1%.

Consumer-focused stocks also helped lift the market. Starbucks rose 1.2%.

Energy companies tumbled as oil prices slid 1.2%. Oilfield services company Schlumberger dropped 1.1%.

Health care stocks gave up an early gain. UnitedHealth Group fell 1.8%.

The yield on the 10-year Treasury rose to 1.78% from 1.73% a day earlier, giving a boost to financial sector stocks. Higher yields drive interest rates on mortgages and other consumer loans higher, which drives up bank profits. SunTrust Banks gained 1.3% and American Express rose 0.9%.

Tailored Brands plunged 29.8% after the owner of Men's Wearhouse and Jos. A Bank gave investors a dismal third quarter profit forecast and halted its dividend.

Investors gave a cool reception to SmileDirectClub's stock market debut. Shares in the direct-to-consumer teeth-straightening company ended 27.5% lower than its opening price.

Benchmark crude oil fell 66 cents to settle at $55.09 a barrel. Brent crude oil, the international standard, dropped 43 cents to close at $60.38 a barrel. Wholesale gasoline fell 2 cents to $1.55 per gallon. Heating oil declined 1 cent to $1.89 per gallon. Natural gas rose 2 cents to $2.57 per 1,000 cubic feet.

Gold rose $4.30 to $1,498.70 per ounce, silver rose 1 cent to $18.04 per ounce and copper rose 2 cents to $2.62 per pound.

The dollar rose to 108.14 Japanese yen from 107.79 yen on Wednesday. The euro strengthened to $1.1073 from $1.1007.

Stocks in Europe finished higher following the European Central Bank's latest round of economic stimulus.

 

[bigdog]

The S&P 500 notched its third straight weekly gain Friday, even as the major U.S. stock indexes ended the day mostly lower.

A slide in technology stocks, along with losses in consumer-focused and real estate companies, offset solid gains elsewhere in the market, including big Wall Street banks and industrial stocks.

The S&P 500 index slipped 2.18 points, or 0.1%, to 3,007.39. With a gain of about 1% this week, the benchmark S&P 500 moved closer to its all-time high of 3,025.86 set on July 26.

The Dow Jones Industrial Average posted its eighth straight gain, rising 37.07 points, or 0.1%, to 27,219.52.

The technology heavy Nasdaq fell 17.75 points, or 0.2%, to 8,176.71.

My NYSE postings for the next two weeks will be later and closer to 10:00 AM

DOW versus AORD chart

https://www.usnews.com/news/busines...es-gain-on-fresh-optimism-over-us-china-trade

US Stock Indexes End Mixed; S&P 500 Notches 3rd Weekly Gain
The S&P 500 notched its third straight weekly gain Friday, even as the major U.S. stock indexes ended the day mostly lower.
By Associated Press, Wire Service Content Sept. 13, 2019, at 4:47 p.m.

By ALEX VEIGA, AP Business Writer

The S&P 500 notched its third straight weekly gain Friday, even as the major U.S. stock indexes ended the day mostly lower.

A slide in technology stocks, along with losses in consumer-focused and real estate companies, offset solid gains elsewhere in the market, including big Wall Street banks and industrial stocks.

Bond yields rose sharply after the government reported that Americans kept spending money in August, particularly on cars.

An easing of tensions in the costly trade war between the U.S. and China bolstered the market this week, renewing hope among investors that a new round of negotiations slated to begin next month may yield some progress.

Investors are now looking ahead to next week, when the Federal Reserve is expected to announce another interest rate cut. The central bank lowered its benchmark interest rate in July by a quarter point, its first cut in a decade, in a bid to help maintain U.S. economic growth.

"When you have a run like we had, the market tends to pull back," said Quincy Krosby, chief market strategist at Prudential Financial. "Going into the Fed meeting next week, there may be a little bit of caution."

The S&P 500 index slipped 2.18 points, or 0.1%, to 3,007.39. With a gain of about 1% this week, the benchmark S&P 500 moved closer to its all-time high of 3,025.86 set on July 26.

The Dow Jones Industrial Average posted its eighth straight gain, rising 37.07 points, or 0.1%, to 27,219.52.

The technology heavy Nasdaq fell 17.75 points, or 0.2%, to 8,176.71. The Russell 2000 index of smaller-company stocks gained 3.07 points, or 0.2%, to 1,578.14.

Smaller-company stocks were the big winners for the week as the Russell 2000 climbed 4.9%. The smaller, U.S.-focused companies in the Russell are seen as more insulated from the volatile swings in the U.S.-China trade war.

Investors' renewed optimism on trade marks a stark contrast to the entire month of August, when both the U.S. and China made increasingly damaging retaliatory moves to escalate the dispute that has threatened to slow global economic growth and potentially prompt a recession.

"The palpable fear in the market during August has eased as the trade headlines have eased," Krosby said. "But we also saw stimulus from the European Central Bank. The market applauded that and expects the Fed to cut rates."

Central banks around the globe are trying to invigorate their economies at a time when growth is slowing. On Thursday, the ECB delivered a blast of monetary stimulus to try to rescue Europe's teetering economy in the face of sputtering growth and uncertainties caused by the U.S.-China trade conflict and Britain's expected exit from the European Union.

The U.S. economy looks far sturdier than Europe's, and the Fed's action is seen as a pre-emptive bid to help sustain a decade-long expansion.

Still, recent economic data has been mixed. On Friday, the Commerce Department's retail sales report beat economists' forecasts, but showed that consumers are becoming more cautious. The increase came from auto sales. Without those sales, spending was flat for the first time since February.

A steady rise in bond yields propelled bank stocks higher this week. The yield on the 10-year Treasury note is up more than 30 basis points from 1.55% late last week as investors grow more confident about economic growth amid easing trade war tensions. JPMorgan is up 6.8% and Bank of America gained 8.8% this week, far outpacing the broader market.

Bond yields rose sharply Friday following the retail sales report. The yield on the 10-year Treasury rose to 1.90% from 1.79% late Thursday.

That helped lift bank stocks, which rely on higher yields to set interest rates and make more money from loans. JPMorgan rose 2% and Citigroup rose 1.6%.

The decline in technology stocks marked a reversal from Thursday, when the sector led a broad market rally. Apple and Broadcom were the heaviest weights holding the sector down. Apple is among several big technology companies being asked for documents as part of a Congressional antitrust investigation. Apple slid 1.9%.

Chipmakers fell after Broadcom warned that demand remains weak and couldn't project when it will pick up again. Shares in Broadcom, which gets about 48% of its revenue from China, slid 3.4%.

Mining company Freeport-McMoRan climbed 3.8% as easing trade tensions between Washington and Beijing led to a 2.2% spike in copper prices.

Benchmark crude oil fell 24 cents to settle at $54.85 a barrel. Brent crude oil, the international standard, dropped 16 cents to $60.22 a barrel. Wholesale gasoline was unchanged at $1.55 per gallon. Heating oil declined 1 cent to $1.88 per gallon. Natural gas rose 4 cents to $2.61 per 1,000 cubic feet.

Gold fell $7.80 to $1,490.90 per ounce, silver fell 60 cents to $17.44 per ounce and copper rose 6 cents to $2.68 per pound.

The dollar fell to 108.13 Japanese yen from 108.14 yen on Thursday. The euro weakened to $1.1068 from $1.1073.

Major indexes in Europe moved broadly higher. Asian stocks finished with broad gains.

6391

 

[bigdog]

Airlines, cruise lines and other companies in fuel-dependent industries dragged U.S. stocks lower Monday after an attack on Saudi Arabia's biggest oil processing facility sent crude prices soaring.

The U.S. and international benchmarks for crude each vaulted more than 14% — that's comparable to the 14.5% spike in oil on Aug. 6, 1990, following Iraq's invasion of Kuwait.

The Dow Jones Industrial Average fell 0.5% to break a streak of eight consecutive gains. The S&P 500, while down modestly, had its biggest decline in two weeks. American Airlines was the biggest decliner in the index.

The S&P 500 fell 9.43 points, or 0.3%, to 2,997.96. That's the index's largest loss since Sept. 3.

The Dow Jones Industrial Average slid 142.70 points to 27,076.82. The Nasdaq lost 23.17 points, or 0.3%, to 8,153.54.

Small stocks in the Russell 2000 were better performers. The index rose 6.46 points, or 0.4%, to 1,584.60.

According to the latest SPI futures, the ASX 200 index is expected to open the day 13 points or 0.2% lower this morning.

https://www.usnews.com/news/business/articles/2019-09-16/asian-markets-mixed-as-oil-prices-surge

US Stocks Close Lower as Spike in Crude Oil Rattles Market
Airlines, cruise lines and other companies in fuel-dependent industries helped pull U.S. stocks broadly lower Monday after an attack on Saudi Arabia's biggest oil processing facility sent crude prices soaring.
By Associated Press, Wire Service Content Sept. 16, 2019, at 5:12 p.m.

By STAN CHOE and ALEX VEIGA, AP Business Writers

Airlines, cruise lines and other companies in fuel-dependent industries dragged U.S. stocks lower Monday after an attack on Saudi Arabia's biggest oil processing facility sent crude prices soaring.

The U.S. and international benchmarks for crude each vaulted more than 14% — that's comparable to the 14.5% spike in oil on Aug. 6, 1990, following Iraq's invasion of Kuwait.

The Dow Jones Industrial Average fell 0.5% to break a streak of eight consecutive gains. The S&P 500, while down modestly, had its biggest decline in two weeks. American Airlines was the biggest decliner in the index.

Shares of oil producers jumped, while prices for Treasurys, gold and other investments seen as less risky rose.

The weekend attack halted production of 5.7 million barrels of crude a day, more than half of Saudi Arabia's global daily exports and more than 5% of the world's daily crude oil production. President Donald Trump warned that the United States was "locked and loaded" to respond as his administration pinned the blame on Iran, which supports the Yemeni rebels who took credit for the attack.

The attack raised worries about the risk of more disruptions in the supply of oil at a time when the global economy's strength is seen as shaky.

Still, analysts expressed doubts that the disruption in Saudi Arabia's oil production would have much of an impact on the U.S. economy, at least in the short term.

"From a global perspective, there's probably a concern," said Willie Delwiche, investment strategist at Baird. "From a U.S. perspective, we produce more now than we used to, and our economy is less dependent on oil than it used to be."

The S&P 500 fell 9.43 points, or 0.3%, to 2,997.96. That's the index's largest loss since Sept. 3.

The Dow Jones Industrial Average slid 142.70 points to 27,076.82. The Nasdaq lost 23.17 points, or 0.3%, to 8,153.54.

Small stocks in the Russell 2000 were better performers. The index rose 6.46 points, or 0.4%, to 1,584.60.

Major stock indexes in Europe also fell. Markets in Asia finished mixed.

The stock market has been volatile since the summer, as worries waxed and waned about the U.S.-China trade war. The most recent move for stocks had been higher, boosted by renewed optimism in recent weeks about easing tensions between Washington and Beijing, and the S&P 500 had climbed back within 1% of its record.

Stocks lost their recent upward momentum Monday as investors weighed the implications of the attack in Saudi Arabia.

While analysts expected that the attack would only disrupt oil supplies temporarily, the bigger threat is the worry about more attacks in the future.

"At a time when oil markets have been in the shadows of a weak global macroeconomic backdrop, the attack on critical Saudi oil infrastructure calls into question the reliability of supplies from not just one of the largest net exporters of crude oil and petroleum products but also the country that holds most of the world's spare production capacity," Barclays analyst Amarpreet Singh wrote in a report.

Benchmark U.S. crude oil soared $8.05 to settle at $62.90 a barrel. Brent crude oil, the international standard, jumped $8.80 to close at $69.02 a barrel.

That helped energy stocks in the S&P 500 surge 3.3%. Marathon Oil gained 11.6%, Devon Energy jumped 12.2% and oilfield services provider Halliburton climbed 11%.

The spike in oil prices weighed on shares in airlines, whose operations can be hurt by any rise in the price of fuel.

American Airlines Group, which spent $3.7 billion on fuel and taxes in the first half of the year, dropped 7.3%. United Airlines slid 2.8%, and Delta Air Lines dropped 1.6%.

Cruise ships also burn lots of fuel, making them vulnerable to oil price swings. Carnival fell 3.2%.

Prices for U.S. government bonds rose as investors moved into safer investments. Yields for bonds fall when their prices rise, and the yield on the 10-year Treasury dropped to 1.85% from 1.90% late Friday. The yield on the two-year Treasury, which moves more on expectations for Fed policy, sank to 1.76% from 1.79%.

Gold, another investment seen as a safer place to park money, rose $12.20 to $1,503.10 per ounce.

Meanwhile, general Motors slumped 4.3% after more than 49,000 members of the United Auto Workers went on strike. It wasn't clear how long the walkout would last.

Small stocks once again did better than their larger rivals. The Russell 2000 is up nearly 7% since Sept. 4, while the big stocks in the S&P 500 are up only about 2%. If the trend lasts, it will mark a sharp turnaround from the last year, which saw big companies dominate their smaller rivals as worries about a possible recession pounded stocks seen as riskier investments.

That long stretch of sharp underperformance may have created a raft of bargains, some analysts say. Small stocks recently hit their cheapest level relative to the big stocks in the Russell 1000 since the summer of 2003, according to Jefferies.

The week's headline event is the Federal Reserve's meeting on interest rates. Investors are confident the central bank will cut short-term rates by a quarter of a percentage point to a range of 1.75% to 2%. It would be the second such cut in two months, as the Fed tries to protect the economy from a global slowdown and the effects of the U.S.-China trade war.

Investors will be looking for clues about what the Fed does next.

"The forward guidance is going to be critical," said Keith Buchanan, portfolio manager, at Globalt Investments.

In other commodities trading Monday, wholesale gasoline rose 20 cents to $1.75 per gallon. Heating oil climbed 20 cents to $2.08 per gallon. Natural gas rose 7 cents to $2.68 per 1,000 cubic feet.

Silver rose 46 cents to $17.90 per ounce and copper fell 6 cents to $2.62 per pound.

The dollar fell to 108.05 Japanese yen from 108.13 yen on Friday. The euro weakened to $1.1006 from $1.1068.

 

[bigdog]

U.S. stock indexes ticked closer to record heights on Tuesday, but the modest moves belied plenty of churning underneath.

Oil prices and energy stocks slumped to give back nearly half of their huge gains from a day earlier. Rising prices for technology stocks and companies that sell to consumers, though, more than made up for those losses. Treasury yields fell a second straight day as the Federal Reserve opened a two-day meeting on interest rates, where investors expect it to announce a cut for the second time in as many months.

The S&P 500 rose 7.74 points, or 0.3%, to 3,005.70. It's back to within 0.7% of its record set in late July.

The Dow Jones Industrial Average rose 33.98, or 0.1%, to 27,110.80, and the Nasdaq composite gained 32.47, or 0.4%, to 8,186.02.

According to the latest SPI futures, the ASX 200 index is expected to open the day 8 points or 0.1% higher this morning.

https://www.usnews.com/news/busines...eaker-after-spike-in-crude-oil-rattles-market

US Stock Indexes Edge up as Oil Gives up Half of Its Spurt
U.S. stock indexes ticked closer to record heights on Tuesday, but the modest moves belied plenty of churning underneath.
By Associated Press, Wire Service Content Sept. 17, 2019, at 4:57 p.m.

By STAN CHOE and DAMIAN J. TROISE, AP Business Writers

NEW YORK (AP) — U.S. stock indexes ticked closer to record heights on Tuesday, but the modest moves belied plenty of churning underneath.

Oil prices and energy stocks slumped to give back nearly half of their huge gains from a day earlier. Rising prices for technology stocks and companies that sell to consumers, though, more than made up for those losses. Treasury yields fell a second straight day as the Federal Reserve opened a two-day meeting on interest rates, where investors expect it to announce a cut for the second time in as many months.

The S&P 500 rose 7.74 points, or 0.3%, to 3,005.70. It's back to within 0.7% of its record set in late July.

The Dow Jones Industrial Average rose 33.98, or 0.1%, to 27,110.80, and the Nasdaq composite gained 32.47, or 0.4%, to 8,186.02.

"We're drifting here a little bit," said David Joy, chief market strategist at Ameriprise Financial. "It's interesting to me, and somewhat encouraging, that the market has held up near its all-time highs despite all these concerns."

The newest of those concerns arrived this past weekend, when an attack on a Saudi Arabian oil facility raised the risk of major disruptions to the world's oil supply. Crude surged more than 14% on Monday, about as much as it did when Iraq invaded Kuwait before the 1991 Gulf War, and concern rose that spiraling oil prices would act as a huge, de facto tax imposed around the world.

But benchmark U.S. crude slumped $3.56 to $59.34 per barrel Tuesday, giving up close to half of its surge from a day earlier. Saudi Arabia's energy minister said that half of the production cut by the attack has already been restored. Brent crude, the international standard, fell $4.47 to $64.55.

That led to a 1.5% loss for energy stocks in the S&P 500, the sharpest among the 11 sectors that make up the index. Marathon Oil dropped 7.8%, and oilfield services provider Halliburton gave up 6.5%.

The drop in oil, though, helped companies carrying big fuel bills recoup some of their sharp losses from the day before. American Airlines Group rose 3.1%, for example, and clawed back about 40% of its loss from Monday.

Technology stocks also made modest gains, including Microsoft's 0.8% rise and Micron Technology's 1.4% climb.

Stocks that pay big dividends, including utilities and real-estate investment trusts, were among the market's leaders as a drop in interest rates made their payouts more attractive.

Investors still largely expect the Fed to cut short-term interest rates by another quarter of a percentage point Wednesday. The central bank cut rates in late July for the first time in more than a decade as it tries to shield the United States from the pain of a slowing global economy and the effects of the trade war with China.

Several economic reports have come in recently that are "good enough" to mean it's no longer a slam dunk that the Fed will cut rates Wednesday, Ameriprise's Joy said. Tensions in the trade war between the world's two largest economies, which has been the No. 1 concern for investors around the world, have seemed to diminish a bit recently, and representatives from Washington and Beijing are scheduled to talk next month. But Joy and many others still expect the Fed to cut Wednesday and perhaps again later this year, similar to the trio of cuts it implemented in 1995-1996 and again in 1998 as part of a "mid-cycle adjustment" in the 1991-2001 economic expansion.

The yield on the 10-year Treasury fell to 1.80% from 1.84% late Monday. The two-year yield, which is more heavily influenced by changes in Fed policy, fell to 1.72% from 1.75%.

Wholesale gasoline fell 8 cents to $1.68 per gallon. Heating oil declined 9 cents to $1.99 per gallon. Natural gas fell 1 cent to $2.67 per 1,000 cubic feet.

Gold rose $1.90 to $1,513.40 per ounce, and silver rose 11 cents to $18.14 per ounce. Copper fell 1 cent to $2.63 per pound.

The dollar rose to 108.20 Japanese yen from 108.05 yen on Monday. The euro strengthened to $1.1066 from $1.1006.

In markets abroad, France's CAC 40 rose 0.2%, and Germany's DAX lost 0.1%. The FTSE 100 in London was virtually flat.

Japan's Nikkei 225 added 0.1%, and South Korea's Kospi was virtually flat. The Hang Seng in Hong Kong dropped 1.2% after credit-rating agency Moody's downgraded Hong Kong, citing its recent political turmoil.

 

[bigdog]

Major U.S. stock indexes closed mostly higher Wednesday after the Federal Reserve cut its benchmark interest rate for a second time this year, citing slowing global economic growth and uncertainty over U.S. trade conflicts.

Gains in banks, utilities and technology companies outweighed losses elsewhere in the market, which had been broadly lower until the last hour of trading. Bond yields moved lower.

Stocks initially declined after the central bank announced the widely expected rate cut. Its policy statement failed to indicate whether more rate cuts were likely this year, though the central bank left the door open for additional rate cuts if the economy weakens.

The S&P 500 index inched 1.03 points higher, or less than 0.1%, to 3,006.73. The benchmark index is now within 0.7% of its all-time high set in July.

The Dow Jones Industrial Average rebounded after being down most of the day, adding 36.28 points, or 0.1%, to 27,147.08. The Nasdaq slid 8.62 points, or 0.1%, to 8,177.39.

The Russell 2000 index of smaller company stocks bore the brunt of the selling, dropping 9.95 points, or 0.6%, to 1,568.34.

According to the latest SPI futures, the ASX 200 index is expected to open the day 4 points or 0.05% higher this morning

https://www.usnews.com/news/busines...cks-rise-after-oil-falls-wall-street-advances

US Stocks End Mixed Following Fed's Decision to Cut Rates
Major U.S. stock indexes closed mostly higher Wednesday after the Federal Reserve cut its benchmark interest rate for a second time this year.
By Associated Press, Wire Service Content Sept. 18, 2019, at 5:00 p.m.

By DAMIAN J. TROISE and ALEX VEIGA, AP Business Writer

Major U.S. stock indexes closed mostly higher Wednesday after the Federal Reserve cut its benchmark interest rate for a second time this year, citing slowing global economic growth and uncertainty over U.S. trade conflicts.

Gains in banks, utilities and technology companies outweighed losses elsewhere in the market, which had been broadly lower until the last hour of trading. Bond yields moved lower.

Stocks initially declined after the central bank announced the widely expected rate cut. Its policy statement failed to indicate whether more rate cuts were likely this year, though the central bank left the door open for additional rate cuts if the economy weakens.

"We're not on a preset course," Fed Chairman Jerome Powell said in an afternoon press conference.

Even so, diverging opinions within the members of the Fed's policymaking committee left some investors feeling uneasy about what the Fed may do next.

"The (Fed) cut rates, as expected, but the quantity and necessity of future rate cuts were called into question," Sam Stovall, chief investment strategist at CFRA, wrote in a research note.

The S&P 500 index inched 1.03 points higher, or less than 0.1%, to 3,006.73. The benchmark index is now within 0.7% of its all-time high set in July.

The Dow Jones Industrial Average rebounded after being down most of the day, adding 36.28 points, or 0.1%, to 27,147.08. The Nasdaq slid 8.62 points, or 0.1%, to 8,177.39.

The Russell 2000 index of smaller company stocks bore the brunt of the selling, dropping 9.95 points, or 0.6%, to 1,568.34.

The Fed is trying to combat threats to the U.S. economy, including uncertainties caused by President Donald Trump's trade war with China, slower global growth and a slump in American manufacturing.

Investors largely expected the Fed to cut short-term interest rates by another quarter of a percentage point, following a similar cut in late July. The rate, which is now at a range of 1.75% to 2%, influences many consumer and business loans.

A look at how each of the central bank's policymakers voted offered few clues as to the likelihood of further rate cuts.

Fed officials approved the rate cut 7-3, with two officials preferring to keep rates unchanged and one arguing for a bigger half-point cut. It was the most Fed dissents in three years. The policy committee also remains split on whether rates should be a quarter-point lower, higher or the same as they are now by the end of this year.

The divisions among Fed officials underscore the challenges confronting Powell in guiding the Fed at time of high uncertainty in the U.S. economy. They also fuel doubts among investors looking for certainty on interest rate policy.

"The Fed didn't say a lot that was new, but there are some people who were just holding on and hoping against hope that there would be some kind of dovish surprise, and there wasn't," said Sameer Samana, senior global market strategist at Wells Fargo Investment Institute.

The broader market has been wobbling this week and is so far on track for a slight weekly loss after three consecutive weeks of gains. Those gains came as both sides in the U.S.-China trade war took steps to ease tensions ahead of planned negotiations in October.

But, the volatility has been taking its toll. The S&P 500 is eking modest gains of 2.2% for the quarter with just a few weeks left. That marks a pullback from gains of 3.8% in the second quarter and a notable deceleration from the 13.1% rise during the first quarter.

Bond prices rose and the yield on the 10-year Treasury fell to 1.80% from 1.81% late Tuesday. Investors typically shift money into bonds when they grow more concerned about the economy's health.

Financial stocks recovered from an early slide. JPMorgan gained 1% and Citigroup rose 0.9%.

A disappointing drop in quarterly profit weighed on FedEx shares, which tumbled 12.9%, making it the biggest decliner in the S&P 500. The package delivery giant also cut its full-year forecast.

Adobe fell 1.8% after giving investors a weak profit forecast.

Chewy slid 6.1% to $28.39 after the online pet store's fiscal second quarter loss was far wider than Wall Street had expected. The company debuted on the New York Stock Exchange in June at $22 per share and closed at $34.99 on its first day.

Major stock indexes in Europe closed mostly higher. Asian stocks ended mixed.

Oil prices continued pulling back from a 14% spike on Monday as Saudi Arabia brings back production at an oil facility attacked over the weekend. Benchmark U.S. crude fell $1.23 to settle at $58.11 per barrel. Brent crude, the international standard, dropped 95 cents to close at $63.60.

Wholesale gasoline fell 2 cents to $1.66 per gallon. Heating oil declined 2 cents to $1.97 per gallon. Natural gas fell 3 cents to $2.64 per 1,000 cubic feet.

Gold rose $2.40 to $1,507.50 per ounce, silver fell 22 cents to $17.80 per ounce and copper fell 1 cent to $2.60 per pound.

The dollar rose to 108.35 Japanese yen from 108.20 yen on Tuesday. The euro weakened to $1.1032 from $1.1066.

 

[bigdog]

Major U.S. stock indexes ended mixed Thursday after an early rally lost its strength toward the end of the day.

The S&P 500 managed to hold on to a tiny gain that extended its winning streak to a third day. The benchmark index, which is within 0.7% of its all-time high set July 26, ended the day slightly down for the week.

Gains in health care, technology, utilities and other sectors outweighed losses elsewhere in the market Thursday. Advancers outnumbered decliners on the New York Stock Exchange. Bond yields were little changed.

The S&P 500 index rose 0.06 points, or less than 0.1%, to 3,006.79.

The Dow Jones Industrial Average gave up an early gain, sliding 52.29 points, or 0.2%, to 27,094.79.

The Russell 2000 index of smaller company stocks also relinquished an early gain, losing 6.87 points, or 0.4%, to 1,561.47.

The Nasdaq squeaked out a gain of 5.49 points, or 0.1%, to 8,182.88.

According to the latest SPI futures, the ASX 200 index is expected to open the day 12 points or 0.2% higher this morning.

https://www.usnews.com/news/busines...es-mixed-following-feds-decision-to-cut-rates

US Stock Indexes Finished Mixed After Early Rally Fades
Major U.S. stock indexes ended mixed Thursday after an early rally lost its strength toward the end of the dayflat.
By Associated Press, Wire Service Content Sept. 19, 2019, at 5:37 p.m.

By ALEX VEIGA, AP Business Writer

Major U.S. stock indexes ended mixed Thursday after an early rally lost its strength toward the end of the day.

The S&P 500 managed to hold on to a tiny gain that extended its winning streak to a third day. The benchmark index, which is within 0.7% of its all-time high set July 26, ended the day slightly down for the week.

Gains in health care, technology, utilities and other sectors outweighed losses elsewhere in the market Thursday. Advancers outnumbered decliners on the New York Stock Exchange. Bond yields were little changed.

The market rallied in the early going as investors weighed a batch of encouraging economic reports. The positive data reinforces the outlook from the Federal Reserve, which projects slower economic growth, but not a recession.

On Wednesday, the Fed reduced its benchmark interest rate for the second time this year in a bid to keep the economy from stalling in the face of slowing economic growth overseas and uncertainty over the U.S.-China trade war.

Fed officials were sharply divided in their outlook for future interest rate policy. As a result, the central bank didn't indicate clearly whether more rate cuts were likely this year. Still, Fed officials left the door open for additional rate cuts if the economy weakens.

"That's a nuanced message that markets are beginning to feel comfortable with," said Kate Warne, chief investment strategist at Edward Jones. "And the fact that the economic data today was a little better than expected is reassuring, as opposed to worrisome, in an environment where there's a lot of variation among voting members (of the Fed)."

The S&P 500 index rose 0.06 points, or less than 0.1%, to 3,006.79. The Dow Jones Industrial Average gave up an early gain, sliding 52.29 points, or 0.2%, to 27,094.79. The Russell 2000 index of smaller company stocks also relinquished an early gain, losing 6.87 points, or 0.4%, to 1,561.47.

The Nasdaq squeaked out a gain of 5.49 points, or 0.1%, to 8,182.88.

Bond prices were little changed. The yield on the 10-year Treasury held at 1.78%.

Traders were encouraged Thursday by new economic snapshots, including data indicating U.S. home sales rose sharply last month and an index of manufacturing activity that came in ahead of analysts' forecasts. In addition, applications for U.S. unemployment aid edged higher last week, but still totaled less than what economists projected.

Recent data suggests the U.S. job market is solid, wages are rising, consumers are still spending and even such sluggish sectors as manufacturing and construction have shown signs of rebounding. Still, investors have been trying to gauge how the economy will fare amid a slowdown in economies overseas and uncertainty over the trade war between the U.S. and China.

The Fed's outlook for the U.S. economy, and that of corporations, has been clouded this year as the trade conflict between the world's two biggest economies has escalated and multiple attempts at negotiating a resolution have failed.

Markets have rallied this month after the U.S. and China took steps to ease tensions in advance of talks next month. That's fueled speculation among investors that the two countries may at least reach an interim deal in their costly trade conflict.

"A lack of escalation or potential de-escalation would be something that would be viewed positively by the markets," said Bill Northey, senior investment director at U.S. Bank Wealth Management.

Washington and Beijing were set to begin trade talks Thursday ahead of more formal negotiations set for next month.

Meanwhile, France's finance minister said Europe is ready to impose retaliatory tariffs next year on U.S. goods as part of a long-running dispute over subsidies to plane makers Airbus and Boeing.

Merck & Co. was a big winner among health stocks Thursday, rising 1.1%. Microsoft climbed 1.8% after the software giant boosted its quarterly dividend and approved a $40 billion stock buyback. Sempra Energy added 1.1% to lead the gainers in the utilities sector.

Financial and industrial stocks were among the losers. Regions Financial slid 1.4% and Southwest Airlines dropped 2%.

Energy stocks, which rallied earlier in the week as crude oil prices soared following an attack on key oil facilities in Saudi Arabia, also declined. Hess slid 2%.

Several homebuilders rose after the National Association of Realtors said that sales of previously occupied U.S. homes climbed last month to a seasonally adjusted annualized rate of 5.49 million units, the best performance since March 2018. Sales have increased 2.6% from a year ago. Hovnanian Enterprises gained 3.6%.

U.S. Steel sank 11.2% after it warned investors that its third quarter loss will be wider than anticipated.

Darden Restaurants fell 5.1% after the owner of the Olive Garden and other restaurant chains reported first quarter results that disappointed investors. The company's earnings topped Wall Street's forecasts, but other performance metrics lagged amid weaker sales at some of Darden's chains.

Benchmark U.S. crude inched up 2 cents to settle at $58.13 a barrel. It's up 6.3% this week. Brent crude, the international standard, rose 80 cents to close at $64.40.

Wholesale gasoline rose 4 cents to $1.70 per gallon. Heating oil climbed 3 cents to $2.00 per gallon. Natural gas fell 10 cents to $2.54 per 1,000 cubic feet.

Gold fell $9.10 to $1,498.40 per ounce, silver fell 3 cents to $17.77 per ounce and copper fell 1 cent to $2.59 per pound.

The dollar fell to 107.97 Japanese yen from 108.35 yen on Wednesday. The euro strengthened to $1.1052 from $1.1032.

Major stock indexes in Europe finished mostly lower. Indexes in Asia were mixed.

 

[bigdog]

Wall Street closed out a volatile week with losses Friday as investors worried that upcoming trade talks aimed at resolving the costly trade war between Washington and Beijing could be in trouble.

The selling, which erased modest early gains for the market, snapped a three-week win streak for the S&P 500. The benchmark index is still up 2.2% for September.

The afternoon market slide came as investors reacted to published reports indicating Chinese officials canceled a planned trip to farms in Montana and Nebraska and would be returning to China. Representatives from the U.S. and China were engaging in preliminary discussions over the next two weeks to lay the groundwork for more formal negotiations next month.

The S&P 500 fell 14.72 points, or 0.5%, to 2,992.07. The Dow Jones Industrial Average dropped 159.72 points, or 0.6%, to 26,935.07. The index had been up about 100 points then swung as low as 168 points.

The Nasdaq lost 65.20 points, or 0.8%, to 8,117.67, weighed down by declining technology sector stocks. The Russell 2000 index of smaller company stocks slid 1.71 points, or 0.1%, to 1,559.76.

DOW versus AORD chart

https://www.usnews.com/news/busines...-shares-mostly-higher-as-china-cuts-loan-rate

Fresh US-China Trade Worries Erase Early Gains for Stocks
Stocks closed lower on Wall Street Friday after reports that a Chinese delegation cut short a visit to the U.S. fueled speculation that upcoming talks aimed at resolving the costly trade war between Washington and Beijing are in trouble.
By Associated Press, Wire Service Content Sept. 20, 2019, at 6:05 p.m.

By ALEX VEIGA, AP Business Writer

Wall Street closed out a volatile week with losses Friday as investors worried that upcoming trade talks aimed at resolving the costly trade war between Washington and Beijing could be in trouble.

The selling, which erased modest early gains for the market, snapped a three-week win streak for the S&P 500. The benchmark index is still up 2.2% for September.

The afternoon market slide came as investors reacted to published reports indicating Chinese officials canceled a planned trip to farms in Montana and Nebraska and would be returning to China. Representatives from the U.S. and China were engaging in preliminary discussions over the next two weeks to lay the groundwork for more formal negotiations next month.

The reports about the Chinese delegation came after President Donald Trump told reporters during a midday news conference that he wants a complete deal with China and won't accept one that only addresses some of the differences between the two nations. Trump also said he doesn't feel he needs to secure an agreement before next year's election.

"This is why China has been reluctant to continue to negotiate with the Trump administration, because as soon as it looks like we're moving toward some sort of constructive talks, there is a change in direction and it seems like a lot of head fakes," said Ben Phillips, chief investment officer at EventShares.

Markets rallied this month after the U.S. and China took steps to ease tensions in advance of their next round of talks. That had fueled speculation among investors that the two countries may at least reach an interim deal on trade.

The S&P 500 fell 14.72 points, or 0.5%, to 2,992.07. The Dow Jones Industrial Average dropped 159.72 points, or 0.6%, to 26,935.07. The index had been up about 100 points then swung as low as 168 points.

The Nasdaq lost 65.20 points, or 0.8%, to 8,117.67, weighed down by declining technology sector stocks. The Russell 2000 index of smaller company stocks slid 1.71 points, or 0.1%, to 1,559.76.

Major European indexes closed mostly lower.

Even with Friday's selling, the S&P 500 remains relatively close to its all-time high. The benchmark index held steady this week despite volatility caused by a swing in oil prices and the Federal Reserve's latest interest rate cut.

On Monday, oil prices spiked more than 14% after a key Saudi Arabian oil processing facility was attacked. Oil prices retreated after the Saudi government said production could be restored by the end of the month, although they're still up nearly 6% for the week.

The Federal Reserve cut interest rates for the second time this year as it tries to shore up economic growth amid a lingering trade war between the U.S. and China and weak economic growth overseas. The central bank left open the possibility of additional rate cuts if the economy weakens.

The U.S. and China have slapped import taxes on hundreds of billions of dollars' worth of each other's products in a tariff war that has weighed on global trade and economic growth and created uncertainty for businesses deciding where to situate factories, find suppliers and sell their products.

The two countries appeared to be nearing a deal in early May, but talks stalled after the U.S. accused China of reneging on earlier commitments.

"The market is at a pretty fragile point right now," Phillips said. It's at all-time highs and there are risks, it seems like, building everywhere globally, with trade being the biggest one."

Technology stocks accounted for the biggest share of the market's losses. The sector is particularly sensitive to swings on the trade conflict because many companies manufacture products in China. Apple slid 1.5% and Microsoft dropped 1.2%.

Retailers and other companies that benefit from consumer spending also declined broadly. Amazon fell 1.5% and Starbucks dropped 1.6%.

Financial stocks veered lower as bond yields declined. The yield on the 10-year Treasury fell to 1.72% from 1.77% late Thursday. Bond yields, which can affect interest rates on mortgages and other consumer loans, slid steadily all week. Bank of America and American Express each fell 0.8%.

Netflix led communications services companies lower, sliding 5.5%. In an interview with Variety published Friday, Netflix CEO Reed Hastings acknowledged that the company faces tough competition from Disney, Apple and other companies rolling out streaming services in November. Netflix shares are down nearly 26% this quarter.

Shares in health care companies and utilities stocks rose. Johnson & Johnson added 1.2% and Exelon gained 1.4%.

Semiconductor maker Xilinx tumbled 6.8% as its chief financial officer, Lorenzo Flores, leaves the company for Toshiba Memory Holdings, where he will be vice chairman. Flores will stay at Xilinx through its second quarter financial report.

Benchmark crude oil fell 4 cents to settle at $58.09 a barrel. Brent crude oil, the international standard, dropped 12 cents to close at $64.28 a barrel.

Wholesale gasoline fell 2 cents to $1.68 per gallon. Heating oil declined 1 cent to $1.99 per gallon. Natural gas fell 1 cent to $2.53 per 1,000 cubic feet.

Gold rose $8.90 to $1,507.30 per ounce, silver fell 3 cents to $17.74 per ounce and copper was unchanged at $2.59 per pound.

The dollar fell to 107.67 Japanese yen from 107.97 yen on Thursday. The euro weakened to $1.1015 from $1.1052.

6604

 

[bigdog]

A listless day on Wall Street ended Monday with major indexes closing little changed as modest gains from earlier in the afternoon faded in the final minutes of trading.

The S&P 500 index slipped less than 0.1%, while the Nasdaq inched 0.1% lower. The Dow Jones Industrial Average notched a 0.1% gain. The stock indexes spent most of the afternoon holding on to slight gains following a wobbly morning in the market as investors digested some weak economic figures out of Germany.

Losses in the health care, communication services and industrial sectors outweighed gains in technology stocks, consumer-centric companies and banks. Bond yields declined, a sign that investors were seeking to avoid some risk.

The S&P 500 inched 0.29 points lower, or less than 0.1%, to 2,991.78. The Dow gained 14.92 points, or 0.1%, to 26,949.99. The Nasdaq fell 5.21 points, or 0.1%, to 8,112.46. The Russell 2000 index of smaller companies lost 1.52 points, or 0.1%, to 1,558.25

According to the latest SPI futures, the ASX 200 index is expected to open the day 13 points or 0.2% lower this morning following a poor night of trade in Europe following weak German economic data.

https://www.usnews.com/news/busines...res-fall-as-iran-china-us-trade-tensions-loom

Late Burst of Selling Leaves US Stock Indexes Little Changed
A listless day on Wall Street ended Monday with major indexes closing little changed as modest gains from earlier in the afternoon faded in the final minutes of trading.
By Associated Press, Wire Service Content Sept. 23, 2019, at 5:01 p.m.

By ALEX VEIGA, AP Business Writer

A listless day on Wall Street ended Monday with major indexes closing little changed as modest gains from earlier in the afternoon faded in the final minutes of trading.

The S&P 500 index slipped less than 0.1%, while the Nasdaq inched 0.1% lower. The Dow Jones Industrial Average notched a 0.1% gain. The stock indexes spent most of the afternoon holding on to slight gains following a wobbly morning in the market as investors digested some weak economic figures out of Germany.

Losses in the health care, communication services and industrial sectors outweighed gains in technology stocks, consumer-centric companies and banks. Bond yields declined, a sign that investors were seeking to avoid some risk.

Even so, Monday was a relatively quiet day for stocks after last week, when the Federal Reserve lowered interest rates again and fresh jitters over the next round of negotiations in the trade conflict between the U.S. and China helped give the S&P 500 its first week of losses following three straight gains.

"It's a bit of calm after the storm," said Craig Birk, chief investment officer at Personal Capital. "Last week there was a lot going on with geopolitical events and trade developments and central banks. This week, so far, there's nothing so dramatic."

The S&P 500 inched 0.29 points lower, or less than 0.1%, to 2,991.78. The Dow gained 14.92 points, or 0.1%, to 26,949.99. The Nasdaq fell 5.21 points, or 0.1%, to 8,112.46. The Russell 2000 index of smaller companies lost 1.52 points, or 0.1%, to 1,558.25.

The major indexes are each up modestly for the month and the quarter. The benchmark S&P 500 index remains close to its all-time high set in late July.

Bond prices rose, pulling down the yield on 10-year Treasury notes to 1.72% from 1.75% late Friday.

Markets have rallied this month as investors welcomed steps by Washington and Beijing to ease tensions in advance of their next round of talks next month. That's fueled speculation among investors that the two countries may at least reach an interim deal on trade.

But prospects for a trade war resolution appeared to cool once again late last week following comments by President Donald Trump that he doesn't necessarily need to make a deal before the next U.S. elections in 2020. Chinese officials canceled a planned trip to farms in Montana and Nebraska, an action that raised concerns of yet another halt in trade negotiations.

The Fed cut interest rates for the second time this year last week in another bid to shore up economic growth amid the lingering trade war and weak economic growth overseas. The central bank left open the possibility of additional rate cuts if the economy weakens.

Several companies could provide a clearer picture this week of the impact that the costly trade dispute is having on their business.

Nike, which could be a gauge of the trade war's effect on shoemakers and retailers, will report fiscal first quarter results on Tuesday. Technology company Micron will report its fiscal fourth quarter results on Thursday.

"This quarter will be somewhat interesting in that tariffs have been around for a while now and the whole trade conflict is almost two years old," Birk said. "We'll start to see more this quarter if tariffs are truly having an impact, how well companies are able to navigate that or how much it's just an excuse."

Meanwhile, oil prices and the energy sector could experience more volatility this week as Trump takes seeks a coalition to confront Iran, which the U.S. blames for last week's strike on a Saudi Arabian oil facility.

Health care stocks were the biggest laggards Monday. UnitedHealth Group slid 1.8% and Medical supply company McKesson dropped 2.6%.

Netflix was among the big decliners in the communication services sector. The stock fell 1.8%.

Chipmakers were big winners in tech stocks. Nvidia rose 1.2% and Qualcomm gained 1%. Traders also bid up shares in several retailers and restaurant chains. Target climbed 2% and McDonald's rose 1%.

Utilities showed small gains. Investors typically shift to that sector and bonds when they are seeking safer places to put their money amid worries about economic growth.

E-commerce company Overstock.com slumped 25.3% after the company cut its financial forecast partly because tariffs have increased the costs of goods from China. It also named Jonathan Johnson as its new CEO. He has been acting CEO since August when Patrick Byrne resigned.

Benchmark crude oil rose 55 cents to settle at $58.64 a barrel. Brent crude oil, the international standard, gained 49 cents to close at $64.77 a barrel. Wholesale gasoline was unchanged at $1.68 per gallon. Heating oil climbed 1 cent to $2.00 per gallon. Natural gas was unchanged at $2.53 per 1,000 cubic feet.

Gold rose $16.40 to $1,523.70 per ounce, silver rose 86 cents to $18.60 per ounce and copper was unchanged at $2.59 per pound.

The dollar fell to 107.45 Japanese yen from 107.67 yen on Friday. The euro strengthened to $1.0995 from $1.1015.

Major stock indexes in Europe closed broadly lower as a gauge of Germany's private sector activity contracted for the first time in nearly seven years, according to IHS Markit.

Germany is Europe's largest economy and often acts as an indicator for the continent's overall economic health. The latest data adds to worries that Europe is facing a slowdown. The European Central Bank is urging governments to spend more on stimulus as economic growth stalls.

 

[bigdog]

Stocks dropped on Wall Street Tuesday as House Democrats met to consider a potential impeachment probe of President Donald Trump and a report showed a drop in consumer confidence.

After a higher open, stocks declined as the Conference Board, a business research group, reported its consumer confidence index fell to 125.1 in September from a revised reading of 134.2 in August. That's worrisome because consumer spending has underpinned the economy during a slowdown in manufacturing.

The declines intensified after reports said a growing number of Democrats were in favor of launching an impeachment inquiry against the president and House Democrats were meeting to consider the possibility. Stocks recovered somewhat after Trump said he plans to release the full transcript of a July phone call with Ukraine's president that is at the center of the impeachment discussions.

It was the market's most volatile day this month. The Dow Jones Industrial Average swung from a gain of 130 points to a loss of around 245 points as investors' attention swung between headlines on economics and politics. The index finished with a loss of 142 points.

The S&P 500 index fell 25.18 points, or 0.8%, to 2,966.60. The benchmark index remains within 2% of its all-time high set in late July.

The Dow slid 142.22 points, or 0.5%, to 26,807.77. The Nasdaq lost 118.84 points, or 1.5%, to 7,993.63.

According to the latest SPI futures, the ASX 200 index is expected to open the day a disappointing 70 points or 1.1% lower this morning.

https://www.usnews.com/news/busines...s-edge-higher-as-china-us-trade-talks-planned

Stocks Fall as Democrats Turn up Heat on Trump
Stocks turned volatile on Wall Street Tuesday as investors watched developments surrounding a potential impeachment probe of President Donald Trump and weighed economic data showing a drop in consumer confidence.
By Associated Press, Wire Service Content Sept. 24, 2019, at 5:18 p.m.

By ALEX VEIGA, AP Business Writer

Stocks dropped on Wall Street Tuesday as House Democrats met to consider a potential impeachment probe of President Donald Trump and a report showed a drop in consumer confidence.

After a higher open, stocks declined as the Conference Board, a business research group, reported its consumer confidence index fell to 125.1 in September from a revised reading of 134.2 in August. That's worrisome because consumer spending has underpinned the economy during a slowdown in manufacturing.

The declines intensified after reports said a growing number of Democrats were in favor of launching an impeachment inquiry against the president and House Democrats were meeting to consider the possibility. Stocks recovered somewhat after Trump said he plans to release the full transcript of a July phone call with Ukraine's president that is at the center of the impeachment discussions.

It was the market's most volatile day this month. The Dow Jones Industrial Average swung from a gain of 130 points to a loss of around 245 points as investors' attention swung between headlines on economics and politics. The index finished with a loss of 142 points.

"News of increased likelihood of impeachment proceedings has just added to this overall level of uncertainty that's out there right now," said Willie Delwiche, investment strategist at Baird.

House Speaker Nancy Pelosi announced the House is moving forward with an official impeachment inquiry after the market closed.

The swings in stocks Tuesday disrupted the relative calm that has distinguished the market in September. Traders sought safety — they piled into bonds, sending yields sharply lower. They also bid up utilities and household goods makers. All other sectors declined.

The S&P 500 index fell 25.18 points, or 0.8%, to 2,966.60. The benchmark index remains within 2% of its all-time high set in late July.

The Dow slid 142.22 points, or 0.5%, to 26,807.77. The Nasdaq lost 118.84 points, or 1.5%, to 7,993.63.

Traders also turned away from smaller company stocks. The Russell 2000 index gave up 24.64 points, or 1.6%, to 1,533.61.

Trade news was also in the mix Tuesday. Investors were optimistic after U.S. Treasury Secretary Steven Mnuchin confirmed that trade negotiations with China will resume the week of Oct.7. But Trump dampened that sentiment with remarks before the U.N. General Assembly, where he underscored the need for a fair trade deal with China, threatening more tariffs.

"Trump's speech to the U.N. did not seem conciliatory toward China," Delwiche said. "The speech today didn't suggest that there was anything imminent in terms of good news from a trade perspective."

Tuesday's volatile turn in the market is a break from what has mostly been positive run for stocks this month after trade tensions between the U.S. and China eased somewhat, fueling speculation among investors that the countries' next round of negotiations might at least yield an interim deal on trade.

The market's gains have become weaker as September nears its end. The S&P 500 notched a 2.8% gain the first week of the month, but is currently on track for a gain of 1.4%.

While uncertainty over a possible impeachment probe into President Trump unsteadied markets Tuesday, history shows the impeachment of a president doesn't necessarily mean disaster for the stock market.

The S&P 500 dropped 1.7% on Sept. 9, 1998, when Independent Counsel Kenneth Starr delivered his report to Congress on possible impeachable offenses by President Bill Clinton. But concern that slumping economies abroad would drag down the U.S. economy was the bigger story of the day for the market.

Two days later, when Starr's report was released to the public, the S&P 500 jumped 2.9% after investors saw the allegations weren't as bad as some had feared.

Stocks veered up and down in the weeks that followed but were solidly higher when the House of Representatives voted in December 1998 to impeach Clinton. When trading opened for the first time following just the second impeachment in the nation's history, the S&P 500 rose 1.2%.

Stocks would keep jumping as they inflated until the dot-com bubble burst in 2000.

Technology stocks accounted for a big slice of the market's decline Tuesday. Chipmaker Intel fell 2.1% and Qualcomm dropped 2.6%.

Energy stocks also dragged on the market as crude oil prices fell 2.3%. Schlumberger slid 4.7% and Halliburton gave up 5.4%.

Investors shifted money into consumer product makers and utilities. Both those sectors moved higher as they are typically considered safer places to shift money when economic growth is uncertain.

Bonds rose and pushed yields lower in another sign that investors were becoming more cautious following the weak consumer confidence data. The yield on the 10-year Treasury slipped to 1.64% from 1.7% late Monday.

Banks, including Citigroup, slid on the lower bond yields. The lower yields hamper a bank's ability to raise interest rates on loans. Citigroup lost 2.4%.

AutoZone fell 4.4% after the auto parts retailer's fiscal fourth quarter sales fell shy of Wall Street forecasts.

Benchmark crude oil fell $1.35 to settle at $57.29 a barrel. Brent crude oil, the international standard, dropped $1.67 to close at $63.10 a barrel. Wholesale gasoline fell 3 cents to $1.65 per gallon. Heating oil declined 3 cents to $1.97 per gallon. Natural gas fell 3 cents to $2.50 per 1,000 cubic feet.

Gold rose $8.40 to $1,532.10 per ounce, silver fell 8 cents to $18.52 per ounce and copper was unchanged at $2.59 per pound.

The dollar fell to 107.05 Japanese yen from 107.45 yen on Monday. The euro strengthened to $1.1018 from $1.0995.

Major European stock indexes fell.

 

[bigdog]

U.S. stocks finished broadly higher Wednesday after President Donald Trump indicated that a deal to resolve the long-running, costly trade dispute with China could happen soon.

Trump's remarks, in addition to a sharp increase in sales of new U.S. homes, helped reverse an early slide for stocks.

Technology companies led the rally, which snapped a three-day losing streak for the market. Communication services stocks and companies that rely on consumer spending also notched solid gains. Health care stocks were the biggest loser.

The S&P 500 index rose 18.27 points, or 0.6%, to 2,984.87. The Dow Jones Industrial Average gained 162.94 points, or 0.6%, to 26,970.71.

The Nasdaq climbed 83.76 points, or 1.1%, to 8,077.38. The Russell 2000 index of smaller companies picked up 17.07 points, or 1.1%, to 1,550.65.

The S&P 500, Dow and Nasdaq are on track to end the third quarter with modest gains.

According to the latest SPI futures, the ASX 200 index is expected to open the day 12 points or 0.2% higher this morning.

https://www.usnews.com/news/busines...tocks-fall-as-democrats-turn-up-heat-on-trump

US Stocks Rebound on Housing Data, Trump Trade Deal Remark
U.S. stocks finish broadly higher after Trump indicates a deal to resolve the long-running, costly trade dispute with China could happen soon.
By Associated Press, Wire Service Content Sept. 25, 2019, at 4:57 p.m.

By ALEX VEIGA, AP Business Writer

U.S. stocks finished broadly higher Wednesday after President Donald Trump indicated that a deal to resolve the long-running, costly trade dispute with China could happen soon.

Trump's remarks, in addition to a sharp increase in sales of new U.S. homes, helped reverse an early slide for stocks.

Technology companies led the rally, which snapped a three-day losing streak for the market. Communication services stocks and companies that rely on consumer spending also notched solid gains. Health care stocks were the biggest loser.

The midmorning release of a rough transcript of a July phone call between Trump and Ukraine's president that is at the center of a congressional impeachment inquiry into Trump didn't have much of an impact on the market. That suggests traders are largely shrugging off the potential consequences the political drama might have for stocks at least for now.

"If the market really thought it was bad, it would go down and stay down, and it would be the only thing impacting the market," said Tom Martin, senior portfolio manager at Globalt Investments.

The S&P 500 index rose 18.27 points, or 0.6%, to 2,984.87. The Dow Jones Industrial Average gained 162.94 points, or 0.6%, to 26,970.71.

The Nasdaq climbed 83.76 points, or 1.1%, to 8,077.38. The Russell 2000 index of smaller companies picked up 17.07 points, or 1.1%, to 1,550.65.

The S&P 500, Dow and Nasdaq are on track to end the third quarter with modest gains.

Stocks got off to a downbeat start Wednesday as traders continued to weigh the implications of the House Democrats-led impeachment inquiry into Trump.

The S&P 500's losses began to ease after the Commerce Department said sales of newly built U.S. homes jumped 7.1% last month as lower interest rates helped drive sales. The report sent homebuilder shares broadly higher. KB Home gained 3%.

Stocks continued to recover after the release of the Trump phone call transcript. The market then climbed into positive territory after Trump, speaking to reporters at the United Nations, said China wants "to make a deal very badly," adding that "it could happen sooner than you think."

Trump did not elaborate. Talks between top-level officials aimed at resolving the costly trade war are expected to take place next month.

The broader market was coming off its worst day of the month, when a weak consumer confidence report, more trade war rhetoric and the start of the impeachment inquiry rattled investors.

Some analysts expressed doubts Wednesday that the political drama unfolding in Washington will affect the market significantly.

"Today, while the current crisis will add to equity market instability, we don't think it will lead to recession or a new bear market," Sam Stovall, chief investment strategist at CFRA, wrote in a research note.

Ryan Detrick, senior market strategist at LPL Financial, said that as long as the economy remains on firm footing, impeachment-related developments won't affect the bull market's run.

Even so, the congressional probe does add a degree of uncertainty to the market and could complicate the White House's efforts to resolve trade disputes with China and other nations.

"The issue is if impeachment ends up being a negative or a distraction, it might hurt Trump's hand in negotiating with the EU and with China," Martin said.

That could further drag out the trade disputes, which have already started to have a negative impact on economies in China, Germany and the U.S.

Chipmakers were among the big winners in the technology sector Wednesday. Nvidia climbed 3.3% and Qualcomm rose 2.7%. Apple, which does a lot of business in China and has much riding on the outcome of the trade war, gained 1.5%.

Citigroup rose 2.2% and Wells Fargo added 1.3% as financial sector stocks rose along with bond yields. The yield on the 10-year Treasury rose to 1.73% from 1.63% late Tuesday, a big move. The higher yields help banks charge more lucrative interest rates on loans.

Communication services stocks also helped lift the market out of its early malaise. Google gained 2.3% and Netflix climbed 4%, recouping some of its losses from earlier in the week.

Boeing rose 1.2% as investors applauded the company's move to form a new safety committee as it deals with the legal and financial fallout from two deadly crashes. Uniform company Cintas climbed 5.7% after it reported a surprisingly good fiscal first-quarter profit and raised its forecast for profits and revenue.

Nike jumped 4.2% after a stellar earnings report and helped lift consumer-oriented companies. Tobacco company Philip Morris jumped 5.2% after calling off merger discussions with fellow tobacco giant Altria, which slid 0.4%.

Benchmark crude oil fell 80 cents to settle at $56.49 a barrel. Brent crude oil, the international standard, dropped 71 cents to close at $62.39 a barrel. Wholesale gasoline fell 2 cents to $1.63 per gallon. Heating oil declined 2 cents to $1.95 per gallon. Natural gas was unchanged at $2.50 per 1,000 cubic feet.

Gold fell $27.50 to $1,504.60 per ounce, silver fell 56 cents to $17.96 per ounce and copper rose 1 cent to $2.60 per pound.

The dollar rose to 107.81 Japanese yen from 107.05 yen on Tuesday. The euro weakened to $1.0942 from $1.1018.

Major stock indexes in Europe finished broadly lower.

 

[bigdog]

Stocks ended modestly lower and bond prices rose on Wall Street Thursday as investors turned cautious, shifting money into lower-risk holdings.

The selling, which lost some of its momentum toward the end of the day, came as traders weighed the implications of the impeachment inquiry into President Donald Trump and new government data showing slower U.S. economic growth.

Communication services, health care and energy stocks accounted for a big slice of the sell-off, which erased some of the market's gains from the day before.

The S&P 500 index fell 7.25 points, or 0.2%, to 2,977.62. The Dow Jones Industrial Average slid 79.59 points, or 0.3%, to 26,891.12. The Nasdaq dropped 46.72 points, or 0.6%, to 8,030.66.

Smaller company stocks bore the brunt of the selling, sending the Russell 2000 down 17.33 points, or 1.1%, to 1,533.33.

According to the latest SPI futures, the ASX 200 index is expected to open the day 35 points or 0.4% higher this morning.

https://www.usnews.com/news/busines...ian-stocks-rise-after-trump-trade-deal-remark

US Stocks Fall, Bond Prices Rise as Investors Turn Cautious
Stocks ended modestly lower and bond prices rose on Wall Street Thursday as investors turned cautious, shifting money into lower-risk holdings.
By Associated Press, Wire Service Content Sept. 26, 2019, at 4:49 p.m

By ALEX VEIGA, AP Business Writer

Stocks ended modestly lower and bond prices rose on Wall Street Thursday as investors turned cautious, shifting money into lower-risk holdings.

The selling, which lost some of its momentum toward the end of the day, came as traders weighed the implications of the impeachment inquiry into President Donald Trump and new government data showing slower U.S. economic growth.

Communication services, health care and energy stocks accounted for a big slice of the sell-off, which erased some of the market's gains from the day before.

Consumer product makers, real estate companies and utilities, which are viewed as more defensive sectors, notched gains. Bond prices rose, pulling down the yield on the 10-year Treasury to 1.69% from 1.73% late Wednesday.

The U.S. congressional inquiry into President Trump is throwing more volatility into an already sensitive market, particularly on trade issues. Traders also found no comfort in the Commerce Department's latest economic snapshot, which showed the U.S. economy grew at a modest 2% in the second quarter, a sharply lower pace than the 3%-plus growth rates seen over the past year.

"We're giving back, clearly, some of yesterday's gains," said Jeramey Lynch, global investment specialist at J.P. Morgan Private Bank. "It's just the uncertainty."

The S&P 500 index fell 7.25 points, or 0.2%, to 2,977.62. The Dow Jones Industrial Average slid 79.59 points, or 0.3%, to 26,891.12. The Nasdaq dropped 46.72 points, or 0.6%, to 8,030.66.

Smaller company stocks bore the brunt of the selling, sending the Russell 2000 down 17.33 points, or 1.1%, to 1,533.33.

The S&P 500 and Nasdaq are each on track for their second straight weekly loss as volatile trading brought on by anxiety over trade issues takes its toll. The late September slide has been cutting into quarterly gains for the S&P 500 and all but erased the Nasdaq's third-quarter gain.

Stocks got off to a mostly lower start Thursday ahead of a televised congressional hearing in the impeachment inquiry into President Trump. The markets fluctuated the rest of the morning, but remained lower through much of the afternoon.

While many analysts say the congressional probe isn't likely to affect the market significantly, it does add a degree of uncertainty and could complicate the White House's efforts to resolve trade disputes with China and other nations.

Chinese importers have set deals to buy American soybeans and pork as the governments make conciliatory gestures ahead of trade talks and Trump has suggested a trade deal could happen soon. Nonetheless, investors remain cautious ahead of the next round of trade talks between Washington and Beijing next month.

Separately, Japan and the U.S. signed a deal covering agricultural, industrial and digital trade, but it kept auto tariffs unchanged.

Communication services stocks fell broadly. Facebook slid 1.5% amid concerns that the company could find itself the target of another antitrust investigation.

Health insurers were among the biggest losers. UnitedHealth Group dropped 3% and Cigna slid 3.5%.

Energy stocks also declined. Chevron lost 2.7%.

Technology stocks rebounded after an early slide. The sector has been volatile all week amid investor concerns about the U.S.-China trade war and upcoming negotiations in October. Adobe rose 2.3%.

High-dividend, lower-risk sectors fared better as investors sought safety. Procter & Gamble rose 1.1%, Kimco Realty added 2.4% and Edison International gained 1.6%.

Outside of trade and politics, investors are getting ready for the close of the third quarter and more corporate earnings reports.

"What I'm looking forward to is earnings," Lynch said. "Earnings are going to give us a look at how the third quarter was, particularly with the consumer."

Traders got to review a mixed batch of quarterly company report cards Thursday.

Carnival sank 8.6%, the biggest loser in the S&P 500, after the cruise line operator cut its 2019 profit forecast because of a spike in fuel costs. Crude oil prices have risen more than 23% this year on mix of high supplies and tensions between the U.S. and Iran. Other cruise operators also declined. Norwegian Cruise Line slid 3.8% and Royal Caribbean Cruises skidded 2.5%.

Conagra Brands climbed 3.7% after the food maker reported a surprisingly good first quarter profit. The company cited a solid sales increase in frozen foods and a benefit from last year's purchase of Pinnacle Foods.

Beyond Meat jumped 11.6% as McDonald's started selling the company's plant-based burger in Ontario. The move pits Beyond Meat and McDonald's against Burger King, which is selling a plant-based Impossible Foods burger at its locations.

Investors gave a cool reception to Peloton's stock market debut. Shares in the New York-based connected exercise machine closed 11.2% below their opening price of $27.

Benchmark crude oil fell 8 cents to settle at $56.41 a barrel. Brent crude oil, the international standard, rose 35 cents to close at $62.74 a barrel. Wholesale gasoline rose 3 cents to $1.66 per gallon. Heating oil climbed 1 cent to $1.96 per gallon. Natural gas fell 9 cents to $2.41 per 1,000 cubic feet.

Gold rose $2.90 to $1,507.50 per ounce, silver fell 16 cents to $17.80 per ounce and copper fell 4 cents to $2.56 per pound.

The dollar was unchanged at 107.81 Japanese yen from Wednesday. The euro weakened to $1.0928 from $1.0942.

Major stock indexes in Europe finished broadly higher after a relatively quiet day for international economic news.

 

[bigdog]

Wall Street capped a choppy week with a second straight weekly loss for the S&P 500 Friday as worries about a potential escalation in the trade war between the U.S. and China erased early gains.

Technology companies led the broad slide as investors weighed a report saying the Trump administration is considering ways to limit U.S. investments in China. Bloomberg cited unnamed people familiar with the administration's internal discussions.

Uncertainty over the long-running trade war has fueled volatility in the market and stoked worries that the impact of tariffs and other tactics employed by the countries against each other is hampering U.S. economic and corporate profit growth.

The possibility that the U.S. is weighing another way of applying pressure on China dampened investors' already cautious optimism that the world's two biggest economies might make progress as their representatives resume negotiations next month.

"Here we are, just two weeks out, and now we're doing things to sort of ruffle feathers again," said Randy Frederick, vice president of trading & derivatives at Charles Schwab. "That kind of spooked the market."

The S&P 500 index fell 15.83 points, or 0.5%, to 2,961.79. The benchmark index finished the week with a 1% loss. Even so, it remains 2.1% below its all-time high set in July.

The Dow Jones Industrial Average dropped 70.87 points, or 0.3%, to 26,820.25. The Nasdaq, which is heavily weighted with technology stocks, lost 91.03 points, or 1.1%, to 7,939.63.

Investors also shifted money out of smaller company stocks, which pulled the Russell 2000 index down 12.85 points, or 0.8%, to 1,520.48.

DOW versus AORD chart

https://www.usnews.com/news/busines...-stocks-decline-as-traders-mull-trump-inquiry

US Stocks Fall; S&P 500 Ends With 2nd Straight Weekly Loss
Wall Street capped a choppy week with a second straight weekly loss for the S&P 500 as worries about a potential escalation in the trade war between the U.S. and China erased early gains.
By Associated Press, Wire Service Content Sept. 27, 2019, at 5:11 p.m.

By ALEX VEIGA, AP Business Writer

Wall Street capped a choppy week with a second straight weekly loss for the S&P 500 Friday as worries about a potential escalation in the trade war between the U.S. and China erased early gains.

Technology companies led the broad slide as investors weighed a report saying the Trump administration is considering ways to limit U.S. investments in China. Bloomberg cited unnamed people familiar with the administration's internal discussions.

Uncertainty over the long-running trade war has fueled volatility in the market and stoked worries that the impact of tariffs and other tactics employed by the countries against each other is hampering U.S. economic and corporate profit growth.

The possibility that the U.S. is weighing another way of applying pressure on China dampened investors' already cautious optimism that the world's two biggest economies might make progress as their representatives resume negotiations next month.

"Here we are, just two weeks out, and now we're doing things to sort of ruffle feathers again," said Randy Frederick, vice president of trading & derivatives at Charles Schwab. "That kind of spooked the market."

The S&P 500 index fell 15.83 points, or 0.5%, to 2,961.79. The benchmark index finished the week with a 1% loss. Even so, it remains 2.1% below its all-time high set in July.

The Dow Jones Industrial Average dropped 70.87 points, or 0.3%, to 26,820.25. The Nasdaq, which is heavily weighted with technology stocks, lost 91.03 points, or 1.1%, to 7,939.63.

Investors also shifted money out of smaller company stocks, which pulled the Russell 2000 index down 12.85 points, or 0.8%, to 1,520.48.

Bond prices were little changed. The yield on the 10-year Treasury note held at 1.68%.

The major U.S. stock indexes were holding on to modest gains early Friday even after investors sized up mixed economic data on consumer spending and durable goods orders.

The Commerce Department said that spending by U.S. consumers rose just 0.1% in August, the smallest gain in six months, even as incomes increased at a solid pace. A separate report showed orders to U.S. factories for big-ticket manufactured goods rose slightly in August, though a key sector that tracks business investment plans declined.

The economic reports followed data on Thursday indicating that the U.S. economy grew at a modest 2% annual rate in the second quarter, a sharply slower pace than earlier the year.

The market mostly moved sideways as investors digested the economic data, but it gave up those modest gains by midday as traders learned the U.S. is considering limiting U.S. investments in China.

Wall Street has been very sensitive to the ups and downs in the trade dispute. Stocks rose Wednesday after President Donald Trump told reporters that China wants "to make a deal very badly," adding that "it could happen sooner than you think."

That optimism faded from the markets Friday as investors considered the implications of the U.S. weighing more tough measures only a couple of weeks away from new trade talks.

"We go right back to the same old negotiating tactics," Frederick said. "It's negotiating with a stick, rather than a carrot."

Negotiators are due to meet next month in Washington for a 13th round of talks aimed at ending the dispute over trade and technology that threatens to tip the global economy into recession.

Both sides have taken conciliatory steps this month ahead of the trade talks, moves that stoked optimism among investors. Chinese importers have set deals to buy American soybeans and pork. And the Trump administration postponed a planned Oct. 1 tariff hike on Chinese imports to Oct. 15.

Technology stocks, which are particularly sensitive to swings in the trade conflict, accounted for much of the selling Friday. Microsoft slid 1.3% and Adobe dropped 2.2%. Micron Technology led the sector's slide after the chipmaker issued a weak profit forecast and a sales warning, citing the trade war. The stock slumped 11.1%, the biggest decliner in the S&P 500.

Communications stocks also took heavy losses. Twitter lost 2.6% and Activision Blizzard fell 3.5%.

The market has been in a slump all week as investors pull back amid trade war worries, reports of sluggish economic growth and an impeachment inquiry into President Trump.

The tech-heavy Nasdaq bore the brunt of the selling. It finished the week with a 2.2% loss. Smaller company stocks had a particularly rough week. The Russell 2000 ended the week down 2.5%.

For some stocks, this week has been their worst of the year. Facebook is off 6.8% for the week after media reports suggesting the Department of Justice is considering opening an antitrust investigation into the social media company.

Financial stocks bucked the broader market slide Friday, with Wells Fargo leading the way. The bank's shares climbed 3.8% after it named its third CEO in as many years. Charles Scharf, currently CEO of Bank of New York Mellon, will take over from C. Allen Parker. The company has been involved in a series of scandals since 2016 with the uncovering of millions of fake checking accounts its employees opened to meet sales quotas.

LATAM Airlines surged 31.1% after Delta Air Lines invested $1.9 billion in the airline, which focuses on Latin American routes. The investment gives Delta a 20% stake in the company.

Benchmark crude oil fell 50 cents to settle at $55.91 a barrel. Brent crude oil, the international standard, dropped 83 cents to close at $61.91 a barrel. Wholesale gasoline fell 1 penny to $1.65 per gallon. Heating oil declined 2 cents to $1.94 per gallon. Natural gas fell 1 cent to $2.40 per 1,000 cubic feet.

Gold fell $8.80 to $1,499.10 per ounce, silver fell 26 cents to $17.55 per ounce and copper rose 2 cents to $2.58 per pound.

The dollar was unchanged at 107.81 Japanese yen from Thursday. The euro strengthened to $1.0941 from $1.0928.

Major stock indexes in Europe finished broadly higher.

6879

 

[bigdog]

U.S. stocks climbed on Monday and gave one last nudge to ensure the S&P 500 emerged from yet another tumultuous quarter with a modest gain.

As has been the case throughout the quarter, movements in President Donald Trump's trade war with China helped drive the market on Monday. Investors found encouragement after China said that its top trade negotiator will lead talks with the United States that are expected to take place next week. The Trump administration also calmed some worries that it may limit U.S. investment in Chinese companies.

The developments helped push technology stocks higher in particular. Those companies often move along with news about trade because of how reliant they are on China as both a customer and a supplier.

The Dow Jones Industrial Average rose 96.58, or 0.4%, to 26,916.83, and the Nasdaq composite added 59.71, or 0.8%, to 7,999.34.

The S&P 500 climbed 14.95 points, or 0.5%, to 2,976.74. The moves left the S&P 500 with a 1.2% gain for the quarter. While that was its smallest quarterly gain this year, the index had been on track for a much worse performance just a month ago.

At the time of writing, SPI futures are pointing to a small gain of 7 points or 0.1% at the open.

https://www.usnews.com/news/busines...s-mixed-as-chinese-markets-head-into-holidays

Stocks Climb as Markets Cap Turbulent Quarter With Calm End
U.S. stocks climbed on Monday and gave one last nudge to ensure the S&P 500 emerges from yet another tumultuous quarter with a modest gain.
By Associated Press, Wire Service Content Sept. 30, 2019, at 5:40 p.m.

By STAN CHOE and DAMIAN J. TROISE, AP Business Writers

NEW YORK (AP) — U.S. stocks climbed on Monday and gave one last nudge to ensure the S&P 500 emerged from yet another tumultuous quarter with a modest gain.

As has been the case throughout the quarter, movements in President Donald Trump's trade war with China helped drive the market on Monday. Investors found encouragement after China said that its top trade negotiator will lead talks with the United States that are expected to take place next week. The Trump administration also calmed some worries that it may limit U.S. investment in Chinese companies.

The developments helped push technology stocks higher in particular. Those companies often move along with news about trade because of how reliant they are on China as both a customer and a supplier. The S&P 500 climbed 14.95 points, or 0.5%, to 2,976.74.

The Dow Jones Industrial Average rose 96.58, or 0.4%, to 26,916.83, and the Nasdaq composite added 59.71, or 0.8%, to 7,999.34.

The moves left the S&P 500 with a 1.2% gain for the quarter. While that was its smallest quarterly gain this year, the index had been on track for a much worse performance just a month ago.

Trump shocked markets in August when he said he'd raise tariffs on Chinese goods, and the announcement sent stocks and bond yields reeling. The S&P 500 dropped more than 6% in the weeks following July 26, when it set its last record. But stocks began climbing again in September as both sides made conciliatory moves to ease tensions.

Yields, meanwhile, remained lower for the quarter after the Federal Reserve cut short-term rates twice. They were the first rate cuts for the Fed since the financial crisis was swamping the economy in 2008. Across the Atlantic, the European Central Bank was likewise working to keep rates low in hopes of shoring up a slowing global economy.

The yield on the 10-year Treasury dipped to 1.65% from 1.67% late Friday. At the end of the last quarter, it was at 2%.

Like the S&P 500, the Dow also ended the quarter with a gain of 1.2%. The technology-heavy Nasdaq was a touch lower, with a loss of 0.1%.

Small companies took on more damage, as they typically do when investors are worried about the threat of a recession. The Russell 2000 lost 2.8% during the quarter.

Don't expect the tumult to end with the close of the quarter.

Aside from the U.S.-China talks, the next three months have plenty of events on the schedule to keep markets on edge. Beyond the United Kingdom's pending exit from the European Union, investors are also waiting to see whether Germany will enter a recession and how the new incoming head of the European Central Bank performs.

Closer to home, the impeachment inquiry into Trump could create even more uncertainty. That puts more pressure on the consumer, the bulwark of the U.S. economy recently, particularly when businesses have become reluctant to spend due to the trade war.

"The consumer's been enough to keep the economy moving, but things like consumer confidence seem to be plateauing," said Emily Roland, co-chief investment strategist at John Hancock Investment Management.

In the next few weeks, companies are scheduled to tell investors how much profit they made during the third quarter. Expectations are generally low again, with analysts forecasting a drop of nearly 4% from a year ago. The results, plus what CEOs say about their spending and revenue forecasts, should give a better picture of the economy's potential direction.

"We need that earnings engine to kick in to drive markets higher," Roland said.

Last year, the S&P 500 slumped 14% in the fourth quarter for its worst performance in seven years when fear spiked that the Federal Reserve's plans to keep raising interest rates and a slowing global economy would knock the United States into a recession.

This time around, the Federal Reserve has shifted gears, and many investors expect the central bank to cut rates at least one more time this year. That could help support markets, even with all the potential flashpoints on the calendar.

Benchmark U.S. crude fell $1.84 to settle at $54.07 per barrel Monday. Brent crude, the international standard, fell $1.13 to $60.78 a barrel.

Natural gas dropped 7 cents to $2.33 per 1,000 cubic feet, heating oil lost 4 cents to $1.91 per gallon and wholesale gasoline fell 5 cents to $1.60 per gallon.

Gold fell $33.40 to $1,465.70 per ounce, silver fell 65 cents to $16.90 per ounce and copper fell 2 cents to $2.56 per pound.

Stock markets around the world were mixed during the quarter, as European growth remained stubbornly weak and Hong Kong saw increasingly violent political protests. In Europe, France's CAC 40 finished with a 2.5% gain for the quarter. Germany's DAX rose 0.2%, and the FTSE 100 lost 0.2%.

In Asia, Japan's Nikkei 225 index rose 2.3% for the quarter, while South Korea's Kospi fell 3.2% and the Hang Seng in Hong Kong lost 8.6%.

The dollar rose to 108.07 Japanese yen from 107.81 yen on Friday. The euro weakened to $1.0902 from $1.0941.

 

[bigdog]

U.S. stocks sank to their worst loss in five weeks on Tuesday after a surprisingly limp report on the nation's manufacturing stirred worries about the economy's strength.

The report showed that manufacturing weakened in September for the second straight month as President Donald Trump's trade war with China dragged on confidence and factory activity. It dashed economists' expectations that August's contraction had been an aberration, and stocks and bond yields immediately reversed course to drop sharply lower following the report.

The S&P 500 slumped 36.49 points, or 1.2%, to 2,940.25 for its sharpest loss since August. The Dow Jones Industrial Average fell 343.79, or 1.3%, to 26,573.04, and the Nasdaq composite dropped 90.65, or 1.1%, to 7,908.68.

The market had been gliding gently upward at the day's start, and the S&P 500 was up as much as 0.5% within the first half hour of trading. But then the report from the Institute for Supply Management hit, showing its manufacturing index was at 47.8 last month, the lowest since 2009. Any reading below 50 indicates a contraction.

Economists had been expecting growth to resume in September, and they had forecast a reading of 50.4, according to FactSet.

According to the latest SPI futures, the ASX 200 is poised to sink 79 points or 1.1% at the open.

Manufacturers say global trade remains the most significant issue, and all the uncertainty caused by the trade war is hurting exporters in particular.

https://www.usnews.com/news/busines...es-gain-australia-cuts-rate-to-record-low-075

Stocks Sink as US Manufacturing Shrinks Again Amid Trade War
A surprise contraction in US manufacturing last month knocked the stock market lower, erasing an early rally.
By Associated Press, Wire Service Content Oct. 1, 2019, at 4:19 p.m.

By STAN CHOE and DAMIAN J. TROISE, AP Business Writers

NEW YORK (AP) — U.S. stocks sank to their worst loss in five weeks on Tuesday after a surprisingly limp report on the nation's manufacturing stirred worries about the economy's strength.

The report showed that manufacturing weakened in September for the second straight month as President Donald Trump's trade war with China dragged on confidence and factory activity. It dashed economists' expectations that August's contraction had been an aberration, and stocks and bond yields immediately reversed course to drop sharply lower following the report.

The S&P 500 slumped 36.49 points, or 1.2%, to 2,940.25 for its sharpest loss since August. The Dow Jones Industrial Average fell 343.79, or 1.3%, to 26,573.04, and the Nasdaq composite dropped 90.65, or 1.1%, to 7,908.68.

Small-company stocks fell more than the rest of the market. The Russell 2000 index lost 29.94 points, or 2%, to 1,493.43.

In the bond market, the yield on the 10-year Treasury dropped to 1.63% from 1.74% before the report's release, which is a big move. Three stocks fell for every one that rose on the New York Stock Exchange, and gold climbed as investors sought safer ground.

The market had been gliding gently upward at the day's start, and the S&P 500 was up as much as 0.5% within the first half hour of trading. But then the report from the Institute for Supply Management hit, showing its manufacturing index was at 47.8 last month, the lowest since 2009. Any reading below 50 indicates a contraction.

Economists had been expecting growth to resume in September, and they had forecast a reading of 50.4, according to FactSet.

Manufacturers say global trade remains the most significant issue, and all the uncertainty caused by the trade war is hurting exporters in particular. Businesses are unsure what the rules of international trade will be, and it's causing CEOs to pull back on their spending plans. In a separate report, the World Trade Organization said global trade growth will slow to its weakest pace this year since 2009.

"The disappointing data is only fanning long-standing fears of slowing global growth," said Alec Young, managing director of Global Markets Research at FTSE Russell.

Manufacturing is a relatively small part of the economy, but investors worry about whether it will spill into other areas. That puts an even bigger spotlight on Friday's jobs report, which economists expect to show an acceleration in hiring.

Household spending has been a pillar for the economy, particularly when manufacturing and business spending are under threat, and a strong job market helps households keep spending. But uncertainty is looming even there.

A report last week showed that consumer spending rose less than economists expected in August. Two reports on consumer confidence last week gave a mixed picture, with one falling below expectations and the other rising above.

Last month's jobs report was also surprisingly weak, but that may have been a one-off, some analysts say.

"The month of August over the last 10 years has been the wonkiest jobs report of the year," said Philip Orlando, chief equity market strategist at Federated Investors. It often falls below expectations, only for the numbers to be revised higher in subsequent months, he said.

"There's no question the data has been softer, slower, weaker, pick your adjective for today versus a year ago," Orlando said about the broad economy. "But I do think we're going to get through this."

Following the weak manufacturing report, investors ratcheted up expectations for the Federal Reserve to come to the economy's aid. They increasingly believe the Fed will cut interest rates by half a percentage point at its meeting later this month, rather than the quarter point they were forecasting a day earlier.

The Fed and other central banks around the world have been aggressive in keeping rates low to shield against the effects of the trade war and slowing global economic growth. The Fed lowered short-term rates twice this summer, down to a range of 1.75% to 2%, the first cuts since the financial crisis was toppling economies around the world in 2008.

Financial stocks were among the market's biggest losers Tuesday, hurt by the drop in interest rates, which can crimp the profits banks made from lending.

Charles Schwab also upended the industry when it said it will eliminate mobile and web trading commissions for stocks, exchange-traded funds and options listed in the United States and Canada. It's the latest move in an industrywide pricing war that's dramatically cut the cost of investing.

Schwab fell 9.7% after the announcement, but rivals sank even more. TD Ameritrade lost 25.8%, and ETrade Financial dropped 16.4% for the biggest loss in the S&P 500.

In European stock markets, the CAC 40 in France fell 1.4%, Germany's DAX lost 1.3% and the FTSE 100 slipped 0.6%. In Asia, Japan's Nikkei 225 rose 0.6%, and South Korea's Kospi gained 0.5%.

Benchmark crude oil fell 45 cents to settle at $53.62 a barrel. Brent crude oil, the international standard, fell 36 cents to close at $58.89 a barrel. Wholesale gasoline was unchanged at $1.57 per gallon. Heating oil was unchanged at $1.90 per gallon. Natural gas fell 5 cents to $2.28 per 1,000 cubic feet.

Gold rose $16.30 to $1,482.00 per ounce, silver rose 30 cents to $17.20 per ounce and copper fell 1 cent to $2.55 per pound.

The dollar fell to 107.73 Japanese yen from 108.07 yen on Monday. The euro strengthened to $1.0936 from $1.0902.

 

[bigdog]

A Sad Day of All RED

Stocks tumbled again on Wednesday as worries about a weakening global economy boomeranged around the world.

For a second straight day, the S&P 500 dropped to its worst loss in five weeks. The latest wave of selling came after a report showed hiring by U.S. companies slowed more than economists expected last month, with mining and manufacturing particularly weak. It added to worries that shook markets a day earlier, when a reading on U.S. manufacturing showed the sharpest contraction in a decade.

The reports underscored that President Donald Trump’s trade war with China is continuing to drag on exports and raised the worry that the weakness could spill over into other areas of the economy. The concerns sent markets around the world reeling, with losses sweeping from the United States on Tuesday into Asia and through Europe on Wednesday.

The S&P 500 lost 52.64 points, or 1.8%, to 2,887.61. It was the first back-to-back loss for the index of more than 1% since late last year, when fears about a possible recession seized markets.

The Dow Jones Industrial Average fell 494.42, or 1.9%, to 26,078.62, and the Nasdaq composite dropped 123.44, or 1.6%, to 7,785.25.

Adding to the market’s uncertainty was a ruling by the World Trade Organization that cleared the United States to impose tariffs on up to $7.5 billion of goods from the European Union to make up for illegal subsidies given to plane-maker Airbus. The Trump administration said it would begin them on Oct. 18.

According to the latest SPI futures, the ASX 200 is poised to sink 121 points or 1.8% at the open after the U.S. revealed plans for EU tariffs.

Chinese markets are are closed 1/10 - 7/10 for the 70th National Week where dates are inclusive and all Saturdays and Sundays are non-trading days

https://www.usnews.com/news/busines...-track-wall-st-losses-on-weak-us-factory-data

Stocks Drop Again to Worst Loss in Weeks on Economy Worries
Stocks tumbled again on Wednesday as worries about a weakening global economy boomeranged around the world.
By Associated Press, Wire Service Content Oct. 2, 2019, at 5:00 p.m.

By STAN CHOE and DAMIAN J. TROISE, AP Business Writers

NEW YORK (AP) — Stocks tumbled again on Wednesday as worries about a weakening global economy boomeranged around the world.

For a second straight day, the S&P 500 dropped to its worst loss in five weeks. The latest wave of selling came after a report showed hiring by U.S. companies slowed more than economists expected last month, with mining and manufacturing particularly weak. It added to worries that shook markets a day earlier, when a reading on U.S. manufacturing showed the sharpest contraction in a decade.

The reports underscored that President Donald Trump’s trade war with China is continuing to drag on exports and raised the worry that the weakness could spill over into other areas of the economy. The concerns sent markets around the world reeling, with losses sweeping from the United States on Tuesday into Asia and through Europe on Wednesday.

The S&P 500 lost 52.64 points, or 1.8%, to 2,887.61. It was the first back-to-back loss for the index of more than 1% since late last year, when fears about a possible recession seized markets.

The Dow Jones Industrial Average fell 494.42, or 1.9%, to 26,078.62, and the Nasdaq composite dropped 123.44, or 1.6%, to 7,785.25.

Adding to the market’s uncertainty was a ruling by the World Trade Organization that cleared the United States to impose tariffs on up to $7.5 billion of goods from the European Union to make up for illegal subsidies given to plane-maker Airbus. The Trump administration said it would begin them on Oct. 18.

Even investors who are optimistic that the U.S. economy isn’t facing an imminent recession were struck by Tuesday’s surprisingly weak manufacturing report.

“Manufacturing, that data point does give me further pause,” said Adrian Helfert, director of multi-asset portfolios at Westwood.

The weakness puts an even brighter spotlight on the federal government’s more comprehensive report on the jobs market, which is scheduled for Friday. It measures hiring across the economy, and economists expect it to show an acceleration in hiring last month.

If hiring remains strong, it would support what’s been the stalwart of the economy despite the trade war: healthy consumer spending. If households continue to spend, it can lead to a cycle where stronger sales for companies push them to invest more in their businesses, which creates more jobs and leads to even more consumer spending.

“We still are a consumption-led economy,” Helfert said. “I’m watching that very closely. I am looking for that virtuous cycle.”

Another report that could move markets is Thursday’s reading on the U.S. service sector. Further down the calendar, U.S. and Chinese envoys are expected to discuss their trade disputes next week, and markets have been quick to move on any hint of the chances of a possible deal between the world’s largest economies.

But the weaker-than-expected reports so far this week have rattled investors.

Prices fell across the stock market Wednesday, and all 11 sectors that make up the S&P 500 lost ground from stodgy utilities to go-go technology companies. Roughly seven stocks fell for every two that rose on the New York Stock Exchange.

In search of safety, investors piled into U.S. government bonds and sent yields sliding for a second straight day. Gold also rose, while oil sank after a report showed that the amount of crude supplies in inventories swelled last week.

Investors also increased their bets that the Federal Reserve will slash interest rates at its next meeting to shield the economy from slowing growth abroad and the effects of the trade war.

Markets are pricing in a 75% probability that the Fed will cut short-term rates by half a percentage point at its Oct. 29-30 meeting. A week ago, markets were seeing it closer to a coin flip’s chance. The Fed hasn’t cut rates by that large a margin since the financial system was melting down in 2008.

Financial stocks were laggards Wednesday as bond yields continued to slide. Lower interest rates can crimp the profits banks make from lending, and the yield on the 10-year Treasury fell to 1.60% from 1.64% late Tuesday.

European markets also dropped more than U.S. indexes, with Germany’s DAX losing 2.8%, France’s CAC 40 dropping 3.1% and the FTSE 100 in London down 3.2%.

Japan’s Nikkei 225 slipped 0.5%, South Korea’s Kospi fell 2% and the Hang Seng in Hong Kong dipped 0.2%.

Benchmark crude oil fell 98 cents to settle at $52.64 a barrel. Brent crude oil, the international standard, fell $1.20 to close at $57.69 a barrel. Wholesale gasoline fell 2 cents to $1.55 per gallon. Heating oil declined 3 cents to $1.87 per gallon. Natural gas fell 3 cents to $2.25 per 1,000 cubic feet.

Gold rose $19.00 to $1,501.00 per ounce, silver rose 39 cents to $17.59 per ounce and copper rose 1 cent to $2.56 per pound.

The dollar fell to 107.22 Japanese yen from 107.73 yen on Tuesday. The euro strengthened to $1.0958 from $1.0936.

048

 

[bigdog]

Technology and health care companies helped U.S. stocks rebound broadly from an early sell-off Thursday, snapping the market’s steep two-day skid.

The Dow Jones Industrial Average swung from a loss of more than 330 points to a gain of more than 120 after another disappointing economic report raised expectations among investors that the Federal Reserve will cut interest rates again to help keep the U.S. economy growing. The S&P 500 and Nasdaq also recovered from the early rout.

Traders were jolted by surprisingly slow growth in the U.S. services sector last month, the weakest in three years. That followed troubling news on business hiring and manufacturing earlier this week that knocked the market lower.

"The market is saying rate cuts are good, this data increases the likelihood of rate cuts, so maybe we overreacted a little bit in terms of selling off," said Willie Delwiche, investment strategist at Baird.

The S&P 500 index rose 23.02 points, or 0.8%, to 2,910.63. The Dow gained 122.42 points, or 0.5%, to 26,201.04. The Nasdaq, which is heavily weighted with technology stocks, climbed 87.02 points, or 1.1%, to 7,872.26. The Russell 2000 index of small-company stocks gained 6.72 points, or 0.5%, to 1,486.35.

While stock prices recovered from their early stumble, investors continued to shift money into the relative safety of U.S. bonds. That drove bond prices higher, lowering their yields. The yield on the 10-year Treasury fell to 1.54% from 1.59% late Wednesday.

Holiday for German DAX and China

European tariffs
Investors around the globe were hitting the sell button overnight after the U.S. revealed plans to impose tariffs on European Union goods including aircraft and agricultural products. This follows news that the WTO gave the Trump administration the right to put tariffs on US$7.5 billion in European goods. The U.S. had lodged complaints as far back as 2004, over what it called illegal subsidies for aircraft maker Airbus by several European governments

According to the latest SPI futures, the ASX 200 is poised to climb 33 points or 0.5% at the open.

https://www.usnews.com/news/busines.../asian-stocks-fall-further-on-economy-worries

US Stocks Rebound From Sell-Off as Fed Rate Cut Odds Improve
Technology and health care companies helped U.S. stocks rebound broadly from an early sell-off Thursday, snapping the market’s steep two-day skid.
By Associated Press, Wire Service Content Oct. 3, 2019, at 4:48 p.m.

By ALEX VEIGA, AP Business Writer

Technology and health care companies helped U.S. stocks rebound broadly from an early sell-off Thursday, snapping the market’s steep two-day skid.

The Dow Jones Industrial Average swung from a loss of more than 330 points to a gain of more than 120 after another disappointing economic report raised expectations among investors that the Federal Reserve will cut interest rates again to help keep the U.S. economy growing. The S&P 500 and Nasdaq also recovered from the early rout.

Traders were jolted by surprisingly slow growth in the U.S. services sector last month, the weakest in three years. That followed troubling news on business hiring and manufacturing earlier this week that knocked the market lower.

"The market is saying rate cuts are good, this data increases the likelihood of rate cuts, so maybe we overreacted a little bit in terms of selling off," said Willie Delwiche, investment strategist at Baird.

The S&P 500 index rose 23.02 points, or 0.8%, to 2,910.63. The Dow gained 122.42 points, or 0.5%, to 26,201.04. The Nasdaq, which is heavily weighted with technology stocks, climbed 87.02 points, or 1.1%, to 7,872.26. The Russell 2000 index of small-company stocks gained 6.72 points, or 0.5%, to 1,486.35.

While stock prices recovered from their early stumble, investors continued to shift money into the relative safety of U.S. bonds. That drove bond prices higher, lowering their yields. The yield on the 10-year Treasury fell to 1.54% from 1.59% late Wednesday.

Stocks are off to a turbulent start in October. The benchmark S&P 500 is down 2.2% for the month so far, wiping out all the index's gain from September.

Investors are wrestling with uncertainty about the economy, mostly due to the costly and long-running trade war between Washington and Beijing. The market slumped early Thursday after investors weighed the latest signal of U.S. economic weakness.

"The weakness this morning was really a continuation of a theme of the last couple of days: economic data disappointing and raising the specter that what had been manufacturing weakness in the U.S. was maybe becoming broader weakness,” Delwiche said.

The Institute for Supply Management, an association of purchasing managers, said that its non-manufacturing index sank to 52.6 from 56.4 in August. Readings above 50 signal growth, but September’s figures are the lowest since August 2016.

The index tracks a sector that accounts for more than two-thirds of the U.S. economy and which has been mostly resilient in the face of the U.S.-China trade war that has been squeezing American manufacturers.

On Tuesday, a private index of U.S. manufacturing output dropped to its lowest level since the recession year 2009.

The discouraging economic data this week has shifted investors’ expectations of further interest rate cuts by the Federal Reserve.

The central bank has lowered rates by a quarter-percentage point twice this year in a bid to shield the economy from slowing growth abroad and the effects of the trade war. The odds that the Fed will cut rates again at the end of this month are now running above 88%, according to the CME Group.

The latest disappointing economic report appeared to drive expectations that the Fed will lower rates in December. Markets are now pricing in a roughly 54% probability that the Fed will cut rates in December, up from about 48% a day ago.

Given the recent spate of downbeat economic data, all eyes will be on the federal government’s September job market snapshot, which is due out Friday. The Labor Department is expected to report that U.S. employers added 145,000 jobs last month, up from 130,00 in August, according to analysts polled by FactSet.

A report indicating that hiring remained solid last month would help bolster confidence that consumer spending, a key driver of the economy, remains healthy.

Solid gains by Microsoft, which climbed 1.2%, helped drive the technology sector higher Thursday. Chipmakers were among the sector’s biggest gainers. Nvidia rose 4.8% and Micron Technology added 3.5%.

Health care, communication services and industrial stocks also helped power the market rebound. Pfizer rose 2.2%, Facebook gained 2.7% and Boeing rose 1.3%.

Financial stocks lagged until the last hour of trading, weighed down by lower bond yields. Goldman Sachs fell 0.5%.

Traders bid up shares in PepsiCo 3.2% after the company told investors it expects to meet or beat its target for revenue growth in 2019. The solid forecast followed surprisingly good third quarter profit and revenue.

Tesla slid 4.2% after the electric car maker fell short of sales forecasts in the third quarter. The company delivered a record 97,000 vehicles, but still fell short of analysts’ forecasts for 99,000 vehicles.

GoPro plunged 19.2% after the camera maker cut its profit and revenue forecasts for the year because of production delays.

Benchmark crude oil fell 19 cents to settle at $52.45 a barrel. Brent crude oil, the international standard, added 2 cents to close at $57.71 a barrel. Wholesale gasoline rose 1 cent to $1.56 per gallon. Heating oil climbed 1 cent to $1.88 per gallon. Natural gas rose 8 cents to $2.33 per 1,000 cubic feet.

Gold rose $6.10 to $1,507.10 per ounce, silver was unchanged at $17.59 per ounce and copper fell 1 cent to $2.55 per pound.

The dollar fell to 106.87 Japanese yen from 107.22 yen on Wednesday. The euro strengthened to $1.0973 from $1.0958.

Major stock indexes in Europe finished mixed.

 

[bigdog]

Wall Street ended a choppy week of trading with a broad rally that drove the Dow Jones Industrial Average more than 370 points higher.

The gains Friday also gave the S&P 500 index its best day in seven weeks, though the benchmark index still finished with its third straight weekly loss.

Technology, health care and financial stocks powered much of the rally, which was spurred by mixed job market data for September. The report showed that employers are still adding jobs at a healthy clip, albeit more slowly, and that the national unemployment rate dropped to a five-decade low.

The jobs report punctuated a rough week dominated by surprisingly weak numbers in surveys of manufacturing and service industries, which raised recession worries and sent the S&P 500 to its first back-to-back losses of 1% this year.

The S&P 500 rose 41.38 points, or 1.4%, to 2,952.01. The index finished the week with a 0.3% loss.

The Dow climbed 372.68 points, or 1.4%, to 26,573.72. The Nasdaq composite gained 110.21 points, also 1.4%, to 7,982.47. The Russell 2000 index of smaller company stocks rose 14.36 points, or 1%, to 1,500.70.

Holiday in China

Chart DOW vs AORD

https://www.usnews.com/news/business/articles/2019-10-04/asia-stocks-mixed-after-wall-street-rebound

US Stocks Notch Solid Gains as Job Report Allays Worries
Wall Street ended a choppy week of trading with a broad rally that drove the Dow Jones Industrial Average more than 370 points higher.
By Associated Press, Wire Service Content Oct. 4, 2019, at 5:19 p.m.

By STAN CHOE and ALEX VEIGA, AP Business Writers

Wall Street ended a choppy week of trading with a broad rally that drove the Dow Jones Industrial Average more than 370 points higher.

The gains Friday also gave the S&P 500 index its best day in seven weeks, though the benchmark index still finished with its third straight weekly loss.

Technology, health care and financial stocks powered much of the rally, which was spurred by mixed job market data for September. The report showed that employers are still adding jobs at a healthy clip, albeit more slowly, and that the national unemployment rate dropped to a five-decade low.

The jobs report punctuated a rough week dominated by surprisingly weak numbers in surveys of manufacturing and service industries, which raised recession worries and sent the S&P 500 to its first back-to-back losses of 1% this year.

"There's probably some relief this morning that the labor report didn't confirm or enhance the weakness that we saw out of the two (economic) surveys," said Bill Northey, senior investment director at U.S. Bank Wealth Management.

The S&P 500 rose 41.38 points, or 1.4%, to 2,952.01. The index finished the week with a 0.3% loss.

The Dow climbed 372.68 points, or 1.4%, to 26,573.72. The Nasdaq composite gained 110.21 points, also 1.4%, to 7,982.47. The Russell 2000 index of smaller company stocks rose 14.36 points, or 1%, to 1,500.70.

Stock markets around the world rose and gold dipped following the release of the U.S. jobs data as investors felt less need for safety.

The Labor Department said employers added 136,000 jobs last month, slightly less than the 145,000 that economists were expecting and below the 168,000 pace from August. Worker's wages were also weaker than expected, with zero growth from a month before.

On the encouraging side, the government said hiring in prior months was stronger than earlier estimated, and the unemployment rate dropped to 3.5% from 3.7%.

"While the bears may take this as a further confirmation of a slower economy, it is actually a pretty strong read, especially when you factor in previous revisions" said Mike Loewengart, vice president of investment strategy at ETrade Financial.

If the job market can remain strong, it would allow U.S. households to keep spending. And that spending strength has been the hero for the economy recently, propping it up when slowing growth abroad poses a threat and President Donald Trump's trade war with China saps exports and manufacturing.

Anticipation built through the week for the jobs report as a parade of weak data on the economy shook markets around the world. Manufacturing contracted last month at its sharpest pace in a decade, and growth in the nation's services sector slowed.

Friday's mixed report shows a jobs market that is slowing but still growing, and economists said it could signal that a rate cut at the Fed's meeting later this month is no longer a slam dunk. The central bank has already cut rates twice this year to shield the economy from the effects of slowing growth abroad and the U.S.-China trade war.

The yield on the 10-year Treasury held steady at 1.53%. The two-year yield, which moves more on expectations about what the Fed will do, rose to 1.40% from 1.37%.

The world's two largest economies are set to talk again next week about trade. Markets have been quick to swing on any hint of movement in their dispute, which has dragged on manufacturing around the world and pushed CEOs to delay investments given all the uncertainty.

"What market participants will be looking for is really what is the next trajectory?" Northey said. "Is it getting worse? Is it getting better? Is it status quo?"

The odds of Washington and Beijing hammering out a substantive deal in the near term are very low, he added.

"An agreement to continue to negotiate toward a mutually acceptable future endpoint is really what would be viewed as a success," Northey said.

Technology, health care, financial and communication services stocks accounted for much of the market's gains Friday. Visa rose 1.8%, UnitedHealth Group gained 2.1%, Citigroup added 2.2% and Google parent Alphabet picked up 1.8%.

Apple helped drive the market higher, rising 2.8%. A Japanese newspaper, Nikkei, said that the company asked suppliers to ramp up production of its iPhone 11. Moves in Apple's stock have an outsized effect on the S&P 500 because it's the second-largest constituent in the index by market size.

HP slumped 9.6% after the maker of personal computers and printers announced jobs cuts of up to 16% of the company's payroll.

Crude oil recovered from an early slide to close with a modest gain. Still, it ended the week with a loss of 5.3%, reflecting worries about weakening demand and growing supplies.

Benchmark U.S. crude rose 36 cents to settle at $52.81 per barrel. It started the week at $55.91. Brent crude, the international standard, gained 66 cents to close at $58.37 per barrel.

Wholesale gasoline rose 1 cent to $1.57 per gallon. Heating oil climbed 1 cent to $1.89 per gallon. Natural gas rose 2 cents to $2.35 per 1,000 cubic feet.

Gold fell 90 cents to $1,506.20 per ounce, silver fell 5 cents to $17.54 per ounce and copper rose 1 cent to $2.56 per pound.

The dollar was unchanged at 106.87 Japanese yen from the yen on Thursday. The euro strengthened to $1.0984 from $1.0973.

Major European stock indexes finished higher.

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