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BUSINESS Tuesday 22 OcTOber 2019
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Stocks rise as investors focus on earnings; Boeing drops

By DAMIAN J. TROISE will also report its results on
Associated Press Wednesday. Southwest Air-
NEW YORK (AP) — Stocks lines and American Airlines,
moved broadly higher on along with retail power-
Wall Street Monday as in- house Amazon, will report
vestors watch the latest results on Thursday.
corporate earnings and TURBULENT STOCK: Boeing
developments in the U.S.- fell 4%. Congress is ramping
China trade war. up its scrutiny of Boeing as
China's top negotiator said its CEO, Dennis Muilenburg,
over the weekend that is scheduled to testify to
"substantial progress" was the House's transportation
being made in its talks with committee on Oct. 30.
the U.S., helping to inject Investors are concerned
more confidence into a about the latest revelations
market hoping for a trade surrounding its 737 Max
deal. Investors have been airplanes. In messages re-
shifting their focus to cor- leased last week, former se-
porate earnings as tensions nior Boeing test pilot Mark
in the trade war cool with a Forkner told a co-worker in
recent tariff cease-fire. 2016 he unknowingly mis-
The broader market has led safety regulators about
mostly cheered financial Traders William Lawrence, center, and Ashley Lara confer as they work on the floor of the New problems with a flight-con-
results, with earnings sea- York Stock Exchange, Monday, Oct. 21, 2019. trol system that would later
son still in the early stages. Associated Press be implicated in two dead-
About 15% of companies in Utilities and real estate an extension on its pending Trust Wealth Management, ly crashes. On Sunday,
the S&P 500 have reported companies lagged the Oct. 31 exit from the trad- in a note to investors. the company said that
third-quarter results so far, market as investors shifted ing bloc. Lawmakers in Brit- Earnings growth fell slightly it's unfortunate that mes-
according to FactSet. their money from safe-play ain voted for the delay. in the first and second quar- sages between co-workers
Technology companies sectors toward holdings Prime Minister Boris Johnson ters, according to data weren't released in a man-
and banks led the early with more growth potential. again pushed for lawmak- from FactSet, which was ner allowing for "meaning-
rally. Chipmakers, many of KEEPING SCORE: The S&P ers to accept the latest pro- better than Wall Street's ex- ful explanation."
which are highly reliant on 500 index rose 0.5% as of posal over trade and other pectation at the start of the OPIOID SETTLEMENT: The na-
China for business, made 12:10 p.m. Eastern time. The issues, but was rejected. reporting season. tion's three largest drug dis-
some of the strongest Dow Jones Industrial Aver- Stocks in Asia also rose. EARNINGS AHEAD: Monday tributors and a drugmaker
gains. Nvidia rose 2.9% and age rose 22 points, or 0.1%, ANALYST'S TAKE: Analysts marks a relatively quiet start have reached a tentative
Micron rose 3.3%. Apple to 26,790 and was weighed came into earnings season to a week full of key corpo- deal to settle a lawsuit re-
rose 1.7% down by a sharp drop in expecting another weak rate earnings. McDonald's, lated to the nation's opi-
Banks benefited from a Boeing shares. quarter for profit growth. the world's biggest burger oid crisis. The agreement
solid rise in bond yields. Citi- The Nasdaq rose 0.8%. So far, companies have re- chain, will report its latest comes within hours of the
group rose 2.6%. The Russell 2000 index of ported surprisingly positive results on Tuesday along first federal trial over the
The yield on the 10-year smaller stocks did much results. "We remain cautious with shipping bellwether crisis, with opening state-
Treasury rose to 1.79% from better than other indices for the quarter but believe United Parcel Service. ments scheduled for Mon-
1.75% late Friday. High- in yet another sign of inves- that companies will contin- Investors will be closely day in Cleveland.
er yields allow banks to tors' confidence. The index ue to chin the low bar they watching Boeing's quarterly However, the settlement
charge more lucrative in- rose 1.2%. have set and ultimately, we report on Wednesday for a does not resolve more than
terest on mortgages and OVERSEAS: European mar- will end the quarter flat or better picture of the finan- 2,600 other lawsuits across
other loans. Higher yields kets moved broadly higher. up low single digits," said cial impact from its 737 Max the country seeking to hold
are also a sign that inves- The European Union is con- Katie Nixon, chief invest- jet groundings. Caterpillar, the drug industry account-
tors are more confident. sidering Britain's request for ment officer for Northern a key industrial company, able for the opioid crisis.q