U.S. markets reversed early losses Monday, the first trading day of the third quarter, despite concerns over trade policies.
"We're in this scenario where the underlying economic drivers of the market look very, very good," said Rick Wedell, CIO of RFG Advisory Group. "And that's all being offset by continuing talk around trade, tensions around tariffs, which are incredibly hard to model. You don't know which sector might get hit, you don't know which sector might be a target."
Over the weekend, tariffs from Canada ー on everything from ketchup to whiskey to maple syrup ー kicked in, and the U.S.'s largest business group criticized the Trump administration for moves it says could spark a global trade war.
The U.S. Chamber of Commerce, which has historically been a supporter of the Republican party and its policies, launched a campaign Monday, presenting a state-by-state analysis of where the impact would be most felt. Texas, for example, could see $3.9 billion worth of exports hit with in-kind tariffs; South Carolina could face $3 billion.
Monday's sell-off comes after weeks of tariff threats and announcements from the White House, aimed both at adversaries like China and allies like Canada and Europe. Canada's parry went into effect on Sunday, and China is expected to start levying a 25 percent tax on soybeans later this week. while Mexico will begin to charge pork imports.
In a statement to Reuters the president of the Chamber of Commerce said, “The administration is threatening to undermine the economic progress it worked so hard to achieve. We should seek free and fair trade, but this is just not the way to do it.”
While the Dow was down nearly 200 points at its lows of the day, it managed to eke out a gain of 34 points. The S&P 500 was up about 0.3 percent.
For full interview, [click here](https://cheddar.com/videos/stocks-end-the-day-near-session-highs).
Chris Williamson, Chief Business Economist at S&P Global, breaks down September’s CPI print and inflation trends, explaining what it means for markets.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
