US equity index futures ticked higher on Monday after a US Treasury spokeswoman told reporters that the White House doesn't have plans to limit Chinese companies from listing on US exchanges, disputing a report that sent stocks lower on Friday.
"The administration is not contemplating blocking Chinese companies from listing shares on US stock exchanges at this time" Treasury representative, Monica Crowley, told Bloomberg.
Despite Crowley denying the plans, broader trade uncertainty saw Chinese stocks trade lower in the overnight session, on their single trading day of the week, with the CSI 300 index falling -0.99%.
Chinese markets will remain closed for the rest of the week as China commemorates the 70th anniversary of Communist Party rule.
These developments come after Friday’s session, where US stocks retreated, unable to match the gains of their European peers, as market participants initially reacted to the now-disputed report.
The S&P 500 posted a -0.54% loss, with Technology shares (-1.34%) having led the retreat. The benchmark index fell -0.71% on the week.
Meanwhile, the tech-heavy Nasdaq Composite ended the session down -1.24%, recording its worst week since July, with a -1.98% decline.
Ahead, in today’s economic calendar, Monday includes; a Chicago PMI figure for September at 9:45am EST.
In corporate news; Cal-Maine Foods (CALM) and Thor Industries (THO) are both expected to report their latest earnings today.
TODAY'S TOP HEADLINES
Politics: Trump Seeks Treason Inquiry Into House Impeachment Leader. (Bloomberg)
President Donald Trump called for the Democrat leading the House impeachment inquiry to be questioned for treason and demanded to meet the anonymous whistle-blower who lodged a complaint about the US leader’s request that Ukraine investigates his political opponents.
Trade & China: Trump Officials Play Down Reports of China Investment Limits. (Bloomberg)
The Trump administration has issued a partial, and qualified, denial to the revelation that it is discussing imposing limits on US investments in Chinese companies and financial markets as China vowed to continue opening its markets to foreign investment.
ECONOMIC CALENDAR
Today's Economical Announcements.
09:45AM - ★★☆ - Chicago PMI (Sep) (Previous: 50.4)
STOCKS IN THE SPOTLIGHT
Pre-Market Movers & News Related Stocks.
Bed Bath & Beyond (BBBY): [UPGRADE] Wedbush upgraded the retailer to “outperform” from “neutral.” The analyst says he sees a “good chance of stabilization” in the company’s earnings over the next two years.
Apple (AAPL): [REVIEW] J.P. Morgan raised his price target on Apple to $265 per share from $243, implying a 21% gain from Friday’s close of $218.82. The analyst anticipates stronger iPhone sales and expects “investor sentiment on AAPL shares to improve materially given the firm’s ability to drive upward revision to volume expectations.”
Blackstone (BX): [NEWS] Announced its Real Estate Partners IX affiliate will acquire Colony Industrial from Colony Capital for $5.9 billion.
General Motors (GM): [NEWS] United Auto Workers (UAW) are continuing talks on a new labor deal today, as a strike by the union's members enters its third week.
BP (BP): [NEWS] Chief Executive Officer Bob Dudley is preparing to step down within the next year, according to Bloomberg. Dudley took over after the 2010 Deepwater Horizon oil spill crisis.
Sempra Energy (SRE): [NEWS] Agreed to sell its assets in Peru for $3.59 billion to China Yangtze Power International. The sale is expected to close in the first quarter of 2020.
MOMENTUM STOCKS
GAINERS: EMR, HEAR, MPC
DECLINERS: INMD, AXSM, MU, SPWR, KKR, PINC
TODAY'S IPOs
None.
