Stocks once again traded lower this week after a chaotic week of trade war headlines and negotiations between the United States and China ultimately resulted in little concrete progress.
On Tuesday, the S&P 500 took a hit on reports the White House is considering limiting government pension investments in Chinese stocks. The Trump administration has previously denied reports it plans to limit U.S. investment in China.
On Wednesday, reports that China is open to a partial trade deal sent stocks higher. Shortly thereafter, the South China Morning Post reported that deputy-level U.S.-Sino trade negotiations made “no progress.”
On Thursday, President Donald Trump confirmed he would be meeting with China’s Vice Premier Liu He at the White House on Friday, quashing reports that Liu would be returning to China on Thursday evening.
Despite a lack of progress in trade negotiations between the U.S. and China, investors got some potentially good news on Brexit deal negotiations on Thursday.
U.K. Prime Minister Boris Johnson and Irish Prime Minister Leo Varadkar said they could both see a “pathway to a possible deal” ahead of the looming Brexit deadline of Oct. 31.
Despite a third-quarter earnings beat, Delta Airline’s stock traded lower on disappointing fourth-quarter guidance.
Apple shares were higher on the week after encouraging iPhone 11 sales data prompted Longbow Research to upgrade the stock and Canaccord Genuity to raise its price target by 8.3%.
Federal Reserve meeting minutes revealed “a few participants” at the September meeting argued the markets are pricing in greater future accommodative measures than appropriate.
This week, third-quarter earnings season gets into full swing with reports from the big U.S. banks, including JPMorgan Chase, Wells Fargo and Citigroup on Tuesday and Bank of America on Wednesday.
JJ Kinahan, chief market strategist at TD Ameritrade, said between the low-rate environment and slowing economic growth around the world, he’s expecting more of the same from the banks this earnings season. He’s hoping one CEO in particular can strike a positive note.
“Jamie Dimon had a positive outlook last quarter. He’s kind of the dean of the group. His confidence is incredibly important, and you want to hear him strike a positive note that a slowdown in Europe and Asia is not impacting results.”
Overall, Kinahan is excited that earnings season will give the market a break from the trade war.
“That’s why I can’t wait for earnings season,” he said. “We actually get something real to trade on. There’s no reason to think we break out of the 3,000 range in the S&P without some sort of deal. Outside of that, it’s noise.”
Consensus analyst estimates are calling for S&P 500 earnings drop 4.1% from a year ago, according to FactSet.
Investors will be watching U.S. retail sales data for the month of September due out on Wednesday morning. On Friday, China is expected to report third-quarter GDP numbers. Despite the trade war, economists are anticipating 6.1% economic growth for the quarter.
This global food provider’s main operations are in symboscience, confectionery, pet food and animal care services. It started as a family business — and still is. It operates in more than 70 countries with 72,000 employees total.
The first product this company ever released was its butter cream candy, which was developed in the founder’s kitchen in Tacoma, Washington. Within three years, it started selling its second product: mint chewing gum.
After both products proved to be well-received by the public, it officially entered the candy business with its first location called Nougat House.
As this initial venture continued to grow, the company began to look beyond confectionary with an acquisition of the UK-based pet-care company Chappell Brothers. In later years, it would take this a step further with the opening of its pet research center, helping it enter the pet services sector.
Focusing on innovation to drive the business forward, it was constantly churning out new products for the public. One of its most successful launches was its multi-colored chocolate candies, which would later become a $1 billion brand. It also began developing and selling frozen treats through its DoveBar International acquisition.
More recently, it released its first dietary supplements under the names Cirku and Cocoavia.