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The Dow Jones Industrial Average fell 100 points in pre-market trading as technology stocks gave up last week's gains on reports of slowing demand and potential antitrust violations. Shares of Apple Inc. (NASDAQ: AAPL) led the downturn after the tech giant announced plans to cut production orders for its latest iteration of the iPhone.
In addition, Chinese authorities are alleging they have "massive evidence" of widespread antitrust violations by several semiconductor companies. Firms tied to the allegations are Micron Technology Inc. (NASDAQ: MU), Samsung Electronics Co. Ltd. (OTCMKTS: SSNLF), and SK Hynix Inc.
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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.
Money Morning Insight of the Day: Public Law 92-313 Creates $11.1 Billion Cash Bonanza
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The Top Stock Market Stories for Monday
- California investigators are still looking into what started the severe Camp Fire in Northern California. According to state data, Pacific Gas & Electric (PG&E) reported a second power outage on Nov. 8, shortly before the fire broke out. The power company may not have enough capital or insurance to cover the costs of the disaster should its equipment be deemed the cause of the fire.
- Retail companies are ramping up preparations for this week's Black Friday. However, the rise of Amazon.com Inc. (NASDAQ: AMZN) has fueled steep discounts, raising questions about whether Black Friday really is the day that most retailers finally see their balance sheets "move into the black." The Retail Ice Age has accelerated thanks to the ongoing shift toward digital commerce. That has been a boon for another sector that caters directly to e-commerce platforms. Now, these two stocks are sitting in the heart of an industry on the verge of record profits this year. To read about these two "screaming buys," go here.
Stocks to Watch Today: GE, JD, BABA
- General Electric Co. (NYSE: GE) was America's most valuable company in 2005 at $300 billion. Today, its market capitalization sits at just $70 billion, and it's fighting junk-bond status. According to The Wall Street Journal, the company is also facing potential allegations of corruption by business partners in Iraq.
- JD.com Inc. (NASDAQ: JD) leads today's slate of earnings reports. Shares of the Chinese e-commerce giant fell nearly 4% after the firm announced it fell short of quarterly revenue expectations. JD shares have taken a beating in 2018. Shares have slumped a whopping 43% thanks to a slowdown in economic activity and slumps in consumer purchases across the country.
- In deal news, shares of Blackstone Group LP (NYSE: BX) added 0.4%. The gains came after industrial technology giant Colfax Corp. (NYSE: CFX) announced it will purchase med-tech firm DJO Global from the PE manager for $3.15 billion.
- Look for earnings reports today from Agilent Technologies Inc. (NYSE: A), Intuit Inc. (NASDAQ: INTU), Jack in the Box Inc. (NASDAQ: JACK), and Urban Outfitters Inc. (NASDAQ: URBN).
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.