Dow Ends Seesaw Session Lower as Trade Worries Trump Fed

Peter Navarro will attend a key U.S.-China trade meeting

Deputy Editor
Nov 29, 2018 at 4:28 PM
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The Dow traded in a range of more than 275 points on both sides of breakeven, before ultimately settling lower. The blue-chip barometer and its index peers kicked off the session in the red, amid reports that White House advisor and China hawk Peter Navarro would be in attendance during the much-anticipated trade talks between President Donald Trump and Chinese President Xi Jinping at this weekend's G-20 summit. Adding to the G-20 headlines was Trump's cancellation of his meeting with Russian leader Vladimir Putin. 

Stocks briefly turned higher in afternoon trading, as Wall Street weighed the latest Fed meeting minutes. While most Fed officials agreed that a rate hike will likely happen relatively soon, some suggested the benchmark rate is "near its neutral level," echoing yesterday's dovish comments from Fed Chair Jerome Powell. However, the upward momentum didn't last long, with the S&P and Nasdaq finishing the day in the red.

Continue reading for more on today's market, including:

  • The bearish signal flashing for one retailer before the holidays. 
  • Why one analyst is saying "buy the dip" on TJX stock
  • Norfolk Southern stock could be a steal. 
  • Plus, analysts' blue-chip picks; why options buyers are put-heavy on AEO; and the drug stock that skyrocketed on a regulatory nod. 

The Dow Jones Industrial Average (DJI - 25,338.84) ended a volatile trading session by dropping 27.6 points, or 0.1%. Twelve of the 30 blue chips traded higher, with Boeing (BA) placing first with a 2.7% win, and Intel (INTC) the deepest in the red with a 2.4% loss.

The S&P 500 Index (SPX - 2,737.80) ended with a nearly 6-point loss, dropping 0.2%, while the Nasdaq Composite (IXIC - 7,273.08) gave back 18.5 points, or 0.3%. 

The Cboe Volatility Index (VIX - 18.79) added 0.3 point, or 1.6%. 

Closing Indexes Summary Nov 29

NYSE and Nasdaq Stats Nov 29

5 Items on our Radar Today

  1. Democrat Senator Elizabeth Warren publicly opposed President Donald Trump's new trade negotiations with Mexico and Canada. Warren called the renegotiation -- dubbed the United States-Mexico-Canada Agreement (USMCA), and expected to be signed at the G-20 summit -- "NAFTA 2.0," stating that the deal would be just as ineffectual and harmful as the North American Free Trade Agreement (NAFTA), the measure it is meant to replace.  (CNBC)
  2. Shares of the tobacco name Altria (MO) were up after report that the company is currently in talks to purchase a large minority stake in the popular e-cigarette brand Juul. While a deal is not set in stone, the move could mark a major shift in an industry where smoking technologies are rapidly changing -- and facing new regulatory hurdles. (MarketWatch)
  3. 2 blue chips that analysts love right now. 
  4. Put buyers are hot on AEO stock ahead of earnings.
  5. The drug stock that popped on FDA buzz. 

Corporate Earnings Nov 29

Unusual Options Activity Nov 29

Data courtesy of Trade-Alert

Oil Rebounds on Russia Rumors

Oil prices edged higher today, in response to reports that Russia is leaning toward cutting its output. After briefly dipping below the $50 marker, January-dated oil tacked on $1.16, or 2.3%, to settle at $51.45 a barrel. 

Gold made gains on the recently dovish Fed talk. Gold for February delivery rose 60 cents, or 0.05%, settling at $1,230.40 an ounce.  

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