Stock market news: July 29, 2019
Stock futures were slightly higher Monday at the start of a crowded week for market-moving events, including the Federal Reserve’s latest monetary policy decision, release of the July jobs report and quarterly earnings results from a host of major companies.
Here were the main moves in the market ahead of the opening bell, as of 8:45 a.m. ET:
S&P 500 futures (ES=F): +0.04%, or 1.25 points
Dow futures (YM=F): +0.07%, or 19 points
Nasdaq futures (NQ=F): +0.09%, or 7 points
10-year Treasury yield (^TNX): -2.6 bps to 2.055%
Dollar index (DX-Y.NYB): +0.11% to 98.12
WTI crude oil (CL=F): +0.05% to $56.23 per barrel
This week, U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin are set to meet with their Chinese counterparts in Shanghai for a round of face-to-face trade talks. These discussions will mark the first in-person meetings since previous talks dissolved in May.
Expectations are low heading into the talks, however, with the same sticking points from several months ago are likely to remain roadblocks to a breakthrough deal.
China has demanded that the U.S. abandon all tariffs in a final agreement, while the U.S. has outlined legal changes Beijing must make to protect intellectual property and purchase more American agricultural products. Disagreement over U.S. restrictions on American companies selling technology to China’s Huawei has added another hurdle to an eventual trade deal.
[Read more: Inside Huawei’s $1.5 billion ‘European town’ campus in China]
Meanwhile, the Shanghai Composite, Hang Seng Index and MSCI Hong Kong Index each fell Monday amid ongoing protests in Hong Kong over now-delayed legislation that would have allowed extradition from the territory to mainland China. Demonstrators in Hong Kong – a major hub for international businesses in Asia – widely distrust the Communist Party-controlled justice system in mainland China, and saw the legislation as compromising the relative autonomy of the region.
The demonstrations, now in the eighth week, compelled a rare public response from Beijing’s government officials. The state’s Hong Kong and Macau affairs office condemned the protests as “horrendous incidents” and called on Hong Kong officials to “resolutely punish violent crimes according to law,” according to multiple reports.
Elsewhere, investors on Monday eyed the latest merger in the pharmaceutical industry. Pfizer (PFE), the largest drugmaker in the world, announced Monday that it would be spinning off Upjohn, its off-patent branded and generic medicines business, and combining it with generic drug company Mylan (MYL).
The all-stock deal will see Pfizer shareholders own 57% of the new business, with Mylan shareholders owning the balance. The new company is expected to have pro forma revenues of as much as $20 billion in 2020, as well as adjusted EBITDA of up to $8.0 billion, according to Pfizer’s statement Monday. The deal, expected to close in the middle of 2020, marks the latest in a string of high-profile pharmaceutical tie-ups this year, including Bristol-Myers Squibb’s (BMY) acquisition of Celgene (CELG), and Eli Lilly’s acquisition of Loxo Oncology.
Pfizer also announced second-quarter earnings Monday that topped expectations, while sales of $13.27 billion fell slightly short of consensus estimates. Quarterly revenue results were headed by sales of cancer-treatment drug Ibrance, which rose 23% year-over-year.
Later this week, investors will receive quarterly results from a swathe of companies across industries, including Apple (AAPL) and Procter & Gamble (PG) on Tuesday, and General Electric (GE) on Wednesday. Newly public high flier Beyond Meat (BYND) reports results after market close Monday.
—
Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter: @emily_mcck
Read more from Emily:
Netflix’s 2Q global paid subscriber additions miss expectations
Tech companies like Lyft want your money – not ‘your opinion’
Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn, and reddit.
Read the latest financial and business news from Yahoo Finance