All three major indexes has closed at all time high levels on Monday, but more seemingly upbeat U.S.-China trade news has been unable to push shares much higher this morning. Reportedly, the White House is considering rolling back the September tariffs and Chinese President Xi said China would "open its doors only wider" to the world.
ECONOMIC EVENTS: In the U.S., the trade deficit narrowed 4.7% to $52.5B in September, which was close to expectations. Markit's final ISM services index for October fell to 50.6, down from a 51.0 preliminary reading and the 50.9 final for September. The ISM services index bounced 2.1 points to 54.7 in October, recouping much of the 3.8 decline to 52.6 the index saw in September. The JOLTS report showed job openings dropped 277,000 to 7.024M in September
TOP NEWS: Shares of Uber Technologies (UBER) are down 9% near midday after the company reported results for what Wedbush analyst Ygal Arounian referred to as a "B-" quarter that he believes will be viewed "mixed to negatively" by Wall Street. However, Citi analyst Itay Michaeli argues that Uber's Q3 results contained "more positives than negatives" and demonstrate "clear improvements" in Rides fundamentals, while Morgan Stanley analyst Brian Nowak laid out four reasons he sees to be bullish following the update.
Another recent high-profile IPO, fitness bike maker Peloton (PTON), is down 4% following the company's first quarterly report since coming public, which featured better than expected fiscal first quarter revenue and a higher than forecast full-year sales outlook. Peloton said in its quarterly investor letter that it will "continue to deploy capital in a disciplined manner given the significant global market opportunity in front of us," with Peloton CEO John Foley calling U.S. profitability "a managed outcome" and adding that the company's core U.S. bike business is already profitable and will continue to be.
A number of Wall Street analysts have raised their price targets for Adobe shares following the company's financial analyst meeting, where the company announced new product features and enhancements and provided preliminary FY20 guidance that Jefferies analyst Brent Thill called "solid" and "better than feared." In midday trading, Adobe shares are up 4%.
MAJOR MOVERS: Among the noteworthy gainers was Tenet (THC), which rose 5% after it reported better than expected third quarter results and raised its guidance for fiscal 2019. Also higher after reporting quarterly results were Forterra (FRTA) and EverQuote (EVER), which gained a respective 25% and 26%.
Among the notable losers was Myriad Genetics (MYGN), which slid 42% after it reported downbeat Q1 revenue, saying the deltion of CPT codes impacted revenue for the quarter. Also lower after reporting quarterly results were Shake Shack (SHAK) and trivago (TRVG), which fell 20% and 14%, respectively.
INDEXES: Near midday, the Dow was up 25.64, or 0.09%, to 27,487.75, the Nasdaq was up 8.48, or 0.10%, to 8,441.68, and the S&P 500 was down 4.05, or 0.13%, to 3,074.22.
