U.S. markets were sluggish on Friday’s open following fresh threats from the White House to impose additional tariffs on Turkey. However, late afternoon news to end the U.S/ China trade gave the major indexes a lift, with meetings culminating between President Trump and Chinese leader Xi Jinping at multilateral summits in November.
The move represents an effort on both sides to keep an acrimonious trade impasse from sinking the U.S./ China relationship. Volatility closed below a key level of support to end the week and is showing signs of another retest to lower lows.
The Dow jumped 0.4% after trading to a session high of 25,728. Resistance at 25,600 and the prior August high of 25,692 was cleared with fresh hurdles at 25,800-26,000.
The Russell 2000 also added 0.4% following the late session run to 1,693. The close above 1,690 keeps fresh resistance at 1,700-1,710 and all-time highs on the radar.
For the week, the blue-chips surged 1.4% while the small-caps rose 0.4%.
The S&P 500 advanced 0.3% after testing a high of 2,855. Resistance at 2,850-2,860 was split with the close above the former being a slightly bullish development.
The Nasdaq edged up 0.1% after holding key support at 7,750 shortly after the open. The index held the 7,800 level on the rebound to 7,830 with near-term resistance at 7,875-7,900.
The S&P 500 was up 0.6% for the week while Tech gave back 0.3%.
Real Estate rallied 1% to lead sector strength on Friday. Consumer Staples and Materials rose 0.8% and 0.7%, respectively. Communication Services fell 0.5% and was the only sector to close in negative territory for a 2nd-straight session.
For the week, Consumer Staples jumped 3.3% while Real Estate and Utilities were higher by 3% and 2.9%, respectively. Energy sank 3.6% and Communication Services fell 1.3%. Materials and Consumer Discretionary were off 0.4% and 0.2%, respectively.
Esperion (ESPR) upgraded to Buy from Neutral at Citi
Nvidia (NVDAWealth Strength IndexAAPL is Extremely Up and trending Up) upgraded to Outperform from Perform at Oppenheimer
Viper Energy (VNOM) upgraded to Buy from Hold at Stifel
Dean Foods (DF) downgraded to Underweight from Neutral at JPMorgan
Sun Communities (SUI) downgraded to In Line from Outperform at Evercore ISI
Yum China (YUMC) downgraded to Perform from Outperform at Oppenheimer
Monday’s earnings announcements (EST):
Before the open: Black Box (BBOX), Cheetah Mobile (CMCM), Digital Ally (DGLY), Estee Lauder (EL), Huami (HMI)
After the close: Fabrinet (FN), Latam Airlines (LTM), Nordson (NDSN), Sito Mobil (SITO), Tarena (International (TEDU)
UPCOMING ECONOMIC NEWS
Monday’s economic reports (EST):
No major announcements
METALS / OIL
Gold closed at $1,184.20 an ounce, up $0.20
Silver settled at $14.63 an ounce, down $0.08
Copper finished at $2.63 a pound, up $0.01
Crude Oil is at $65.92 barrel, up $0.44
Bitcoin Investment Trust (GBTC) ended at $8.87 down $0.23
Make it a great day!