Stocks Pare Gains as Investors Weigh Trade Prospects
February 11,2019 12:08 PM EST
Stocks wobbled on Monday as investors weighed the possibility of the U.S. and China striking a deal to end the ongoing tariff war.
The Dow Jones Industrial Average dumped 41.56 points to 25,064.77, giving up earlier gains.
The S&P 500 eked up 0.15 points to 2,708.03, as gains in the industrials sector were offset by losses in health-care.
The NASDAQ Composite held onto gains of 8.82 points to 7,307.02
Avis Budget Group jumped about 7% after Goldman Sachs upgraded the car-rental company to buy from sell, noting an attractive valuation at current levels.
Axios reported on Sunday, citing two administration officials, that President Donald Trump''s advisors have informally discussed holding a summit with Chinese President Xi Jinping next month at the Mar-a-Lago, Trump''s private club in Florida. This meeting could take place as soon as mid-March, the report said. However, the officials cited in the story added that nothing has yet been set.
That report comes after Trump said last week that a meeting between him and Xi would not happen before an early March deadline. If a trade deal is not reached before the deadline, additional U.S. tariffs on Chinese goods will take effect. That deadline apparently could be moved, however.
The trade negotiations come amid slowing economic data out of China. Spending growth in China''s Lunar New Year fell to its lowest since 2005. Last month, the Chinese government revealed the country''s economy grew at its slowest pace in 28 years.
Tesla shares gained more than 3% after an analyst at Canaccord Genuity upgraded them to buy from hold. The analyst also hiked his price target to $450 a share from $330, implying a 47% upside over the next 12 months.
Prices for the benchmark 10-year U.S. Treasury lost ground, boosting yields to 2.66% from Friday''s 2.64%. Treasury prices and yields move in opposite directions.
Oil prices retreated 92 cents to $51.80 U.S. a barrel.
Gold prices docked $5.40 to $1,313.10 U.S. an ounce.
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