Stocks took a little bit of breather today, and given the confusing China trade deal headlines and the anticipation/concern about the FOMC announcement tomorrow, it wasn’t really a surprise. On the earnings, both Merck and Pfizer impressed, while engine maker Cummins was a little disappointing (yet the shares only modestly declined).
By the close, the Dow Jones Industrial Average was down 20 points to finish the day at 27,070. The S&P 500 was down 2 points to close at 3,036. Gold was down $4 to trade at $1,491 per ounce, while oil was down $.37 to trade at $55.44 per barrel.
As mentioned, we’ll get the decision from the Fed tomorrow on interest rates, and the consensus is that they will cut the Fed Funds rate by a quarter of a point. It would be a jolt to the market it the Fed does not cut rates, so we’ll keep an eye on that (that is not a comment on whether they should cut rates, that’s a whole other conversation). In addition, we’ll get Apple’s earnings after the bell tomorrow- that also could set the tone for Thursday’s trading. As we mentioned yesterday, it’s a very busy week.
Let’s get it done tonight Astros.