The Dow Jones today is projecting a 210-point gain on news that U.S. lawmakers have drafted an agreement that could prevent another government shutdown from coming this week. The government was recently shut down for 35 days over a dispute over border security.
While that's great news for stocks, an agreement with China would be an even bigger catalyst. Thankfully there are plenty of bullish opportunities ahead for plugged-in investors...
Here are the numbers from Monday for the Dow, S&P 500, and Nasdaq:
Index
Previous Close
Point Change
Percentage Change
Dow Jones
25,053.11
-53.22
-0.21%
S&P 500
2,709.80
1.92
0.07%
Nasdaq
7,307.90
9.71
0.13%
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 Tuesday
This morning, investors are keeping a close eye on trade developments between the United States and China. Both nations are trying to reach a deal to avoid hiking tariffs on one another from 10% to 25%. Both U.S. President Donald Trump and Chinese President Xi Jinping are working a summit to take place at Mar-a-Lago in March 2019.
In deal news, private equity giant JAB is going to hike its offer for 150 million shares of cosmetics giant Coty Inc. (NASDAQ: COTY) to $11.65 per share. News of the increased offer sent shares up more than 19% in pre-market hours. The private equity giant says that it believes the firm can turn around and address some challenges over the long term. Should JAB be able to obtain at least 50 million shares, it will then own roughly 60% of the firm's stock. Coty shares are off more than 50% over the last year.
Two of Canada's largest cannabis producers - Aurora Cannabis Inc. (NYSE: ACB) and Canopy Growth Corp. (NYSE: CGC) - plan to release earnings this week. Investors are concerned about ongoing shortages in production and supply chain problems in the newly formed legal cannabis industry. These pain points are going to exist, and investors shouldn't worry about the recent downturn in share prices. They should look at the recent decline in pot stocks as a rare buying opportunity. Money Morning Director of Cannabis Investing Research Greg Miller breaks down the opportunities for investors in the future and gives you a list of the top pot stocks to buy right here.
Stocks to Watch Today: GILD, AMZN, UAA, JPM, AAPL, NFLX
Shares of Gilead Sciences Inc. (NASDAQ: GILD) fell 2.4% after the biotech giant announced disappointing results from a trial for a drug for chronic liver disease.
In deal news, Amazon.com Inc. (NASDAQ: AMZN) will buy Wi-Fi/home router startup Eero for an undisclosed amount. The global e-commerce giant has been going on a smart-home acquisition streak. Last year, the firm bought video doorbell maker Ring for $1 billion. Eero is based in San Francisco and was founded in 2014. The firm makes mesh routers that aim to eliminate dead zones across a house or business location.
Shares of Under Armour Inc. (NYSE: UAA) gained more than 2.2% after the company reported earnings before the bell. The sports apparel giant reported earnings per share of $0.09 (on an adjusted basis). That figure beat expectations of $0.04. The company's sales were off about 6% in the fourth quarter but cited a big jump in foreign revenue.
Last week, JPMorgan Chase & Co. (NYSE: JPM) released a report that recommended one of the deals of the decade. The bank has called for Apple Inc. (NASDAQ: AAPL) to buy streaming giant Netflix Inc. (NASDAQ: NFLX). This deal is a no-brainer in today's market. We break down what a deal would look like, how it benefits both sides, and how it would be like rocket fuel for Apple stock. Here's what you need to know.
Look for earnings reports from Activision Blizzard Inc. (NASDAQ: ATVI), Aircastle Ltd. (NYSE: AYR), Akamai Technologies Inc. (NASDAQ: AKAM), Ares Capital Corp. (NASDAQ: ARCC), Denny's Corp. (NASDAQ: DENN), Groupon Inc. (NASDAQ: GRPN), HubSpot Inc. (NASDAQ: HUBS), Molson Coors Brewing Co. (NYSE: TAP), Occidental Petroleum Corp. (NYSE: OXY), Shopify Inc. (NASDAQ: SHOP), and TripAdvisor Inc. (NASDAQ: TRIP).
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.