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The Dow Jones Industrial Average fell slightly in pre-market trading as investors weighed the impact of the ongoing trade war escalation between the United States and China. This morning, China's Premier Li Keqiang said during World Economic Forum conference in China that his nation is facing "greater difficulties in keeping stable performance of the Chinese economy."
Markets were optimistic after Chinese Premier Li Keqiang said that China will not "go down the path of stimulating exports by devaluing its currency." Many traders were concerned that China would weaken its currency in order to make its exports more attractive and to reduce its pain from the U.S. tariffs.
Here are the numbers from Tuesday for the Dow, S&P 500, and Nasdaq:
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Now here's a closer look at today's Money Morning insight, the most important market events, and stocks to watch.
The Top Stock Market Stories for Wednesday
- With the U.S. Federal Reserve set to raise interest rates next week, investors are keeping a close eye on gold prices and silver prices. Gold is sitting at $1,209 per ounce, while silver has dipped to $14.25 per ounce. That's cheap by our standards. In fact, Money Morning Resource Specialist Peter Krauth argues that one factor is going to push silver prices up as much as 70% over the next seven months. Here's what's coming for silver investors.
- Finally, investors are cheering the Supreme Court's decision to strike down a ban on sports gambling across the United States. But too many investors are missing out on a huge profit opportunity across the Pacific Ocean. Casino operators are in a mad dash to open the first casino resort in Japan. And I believe this company will get there first.
Don't Miss Out: The Treasury is sitting on an $11.1 billion cash pile, and a loophole entitles Americans to a sizable portion. Some are collecting $1,795, $3,000, or $5,000 every month thanks to this powerful investment…
Money Morning Insight of the Day
If you're reading this… you might already be rich. The question, of course, is how can you stay rich and build life-changing wealth. The answer is simple. You stop listening to the talking heads in the press, and you start buying rock-solid companies that will provide strong income and help you protect your nest egg.
Money Morning Special Situation Strategist Tim Melvin provides his latest list of stocks that will help you get rich… and stay rich. Check them out right here.
Three Stocks to Watch Today: TLRY, TSLA, NFLX
- Shares of Tilray Inc. (NYSE: TLRY) surged more than 50% in pre-market hours. The stock popped after the company's CEO Brendan Kennedy told CNBC that partnerships between marijuana companies and alcohol companies and pharmaceutical giants may be on the way. Kennedy said that he believes alcohol firms should enter the cannabis sector in order to hedge against the growth of cannabis.
- Tesla Inc. (NASDAQ: TSLA) is under scrutiny this morning. The electric car manufacturer said that the Justice Department has requested documents around the recent batch of tweets sent by CEO Elon Musk about plans to take his company private. The U.S. Securities and Exchange Commission (SEC) has also sent subpoenas to Goldman Sachs and Silver Lake, which have acted as advisers to and evaluated Tesla's goal of going private. Musk's announcement on Twitter in August sent shares of TSLA soaring. However, his statement may have violated federal regulations because Musk failed to file an 8-K notification form with the SEC before the announcement.
- Shares of Netflix Inc. (NASDAQ: NFLX) were on the move after the stock received an upgrade from Guggenheim Securities. The investment firm hiked its price target from $360 to $420 per share and said that the company's local content strategy will bolster demand in India. The stock maintained its "Buy" rating.
- Look for additional earnings reports from Red Hat Inc. (NYSE: RHT), Copart Inc. (NASDAQ: CPRT), Herman Miller Inc. (NASDAQ: MLHR), and Xcerra Corp. (NASDAQ: XCRA).
About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, and consultant with degrees from Northwestern, Johns Hopkins, Purdue, and Indiana University. He is a seasoned financial and political risk analyst, with a focus on stocks, hedge funds, private equity, blockchain, and housing policy. He has conducted risk assessment projects for clients in 27 countries, and consulted on policy and financial operations for some of the nation's largest financial institutions, including a $1.5 trillion credit fund, a $43 billion credit and auto loan giant, as well as two of the largest Wall Street banks by assets under management.
Garrett joined Money Map Press as an economist and researcher in 2011, specializing in alternative strategies with an emphasis on fundamental and technical analysis.