By Chris Matthews and Mark DeCambre, MarketWatch
Monday is the last trading day of September and the third
quarter
Stocks finished higher in the final trading session of the month
and quarter, after Trump administration officials played down or
disputed reports Washington was weighing plans to impede U.S.
investments in Chinese companies, soothing a fear that had put
equities under pressure at the end of last week.
Market participants, however, also kept an eye on developments
surrounding a House impeachment inquiry against President Donald
Trump.
What are major indexes doing?
The Dow Jones Industrial Average rose 96.58 points, or 0.4%, to
end at 26,916.83, while the S&P 500 index advanced 14.95
points, or 0.5%, to finish at 2,976.74. The Nasdaq Composite Index
closed at 7,999.34, a gain of 6.91 points, or 0.1%.
For the month of September, the Dow gained 2%, the S&P
advanced 1.7% and the Nasdaq added 0.5%. For the quarter, the Dow
and the S&P 500 both rose 1.2%, but the Nasdaq fell 0.1%.
What's driving the market?
Bloomberg News, citing Treasury spokeswoman Monica Crowley
(https://www.bloomberg.com/news/articles/2019-09-28/u-s-treasury-says-no-current-plans-to-block-chinese-listings),
reported that the Trump administration wasn't contemplating
blocking Chinese companies from "listing shares on U.S. stock
exchanges at this time."
The Treasury officials comments come after Bloomberg reported on
Friday
(https://www.bloomberg.com/news/articles/2019-09-27/white-house-weighs-limits-on-u-s-portfolio-flows-into-china-k12ahk4g)
that the White House has been discussing ways to curb U.S.
portfolio inflows into China, a crackdown that could hit billions
worth of investments and escalate the Sino-American trade war.
White House trade adviser Peter Navarro on Monday told CNBC
(https://www.cnbc.com/2019/09/30/peter-navarro-reports-that-us-would-restrict-chinese-companies-were-fake-news.html)
that the article was highly inaccurate but declined to dispute
specific details.
"On Saturday, the Treasury Department stated it's not
considering blocking Chinese companies from listing on U.S.
exchanges 'at this time,' refuting the Bloomberg story from Friday,
which caused the declines in stocks," wrote Tom Essaye, president
of the Sevens Report, in a note to clients. "So, given Treasury's
denial, we're seeing those declines partially reversed."
The reports come as Chinese negotiators are set to meet Oct.
10-11 in Washington
(https://www.cnbc.com/2019/09/26/china-trade-talks-set-to-resume-oct-10.html),
with Chinese Vice Premier Liu He to lead the delegation from
Beijing.
Tensions between the U.S. and China on trade have been rattling
global markets for the past year, because the conflict between the
world's largest economies has the potential to hurt economies
around the world.
Investors are also watching the fallout from a whistleblower
report released on Thursday, which alleged that Trump attempted to
coerce Ukraine to produce damaging information on Democratic rival
Joe Biden and his son, and that White House officials acted to
conceal evidence of his actions. The controversy around the report
prompted House Democrats to launch a formal impeachment
inquiry.
The whistleblower is expected to testify in front of the House
(https://www.wsj.com/articles/whistleblower-is-expected-to-testify-soon-house-intelligence-committee-chairman-says-11569768797)
"very soon," though in a way that will protect the person's
identity, according to Rep. Adam Schiff of California, the chairman
of the House Intelligence Committee.
On Sunday, Trump called for Schiff
(https://twitter.com/realdonaldtrump/status/1178442762284404736)
"to be questioned at the highest level for fraud and treason,"
arguing that Schiff misrepresented the contents of the
whistleblower complaint during a hearing last week.
On the data front, The Chicago PMI, an index based on a survey
of businesses in the Chicago region, fell to 47.1 in September,
down from 50.4, below the consensus range of between 47.2 and 52,
according to Econoday. An index measuring the health of the Texas
manufacturing sector came in at 13.9
(https://www.dallasfed.org/research/surveys/tmos/2019/1909.aspx),
down from 17.9 in August.
In company news, WeWork parent, We Co. said Monday
(http://www.marketwatch.com/story/wework-parent-we-co-to-withdraw-ipo-plans-2019-09-30)
that it would withdraw its planned initial public offering for
now.
Which stocks are in focus?
Blackstone Group Inc. (BX) affiliate Blackstone Real Estate
Partners IX said Monday
(http://www.marketwatch.com/story/blackstone-to-buy-colony-capital-industrial-real-estate-assets-in-a-59-billion-deal-2019-09-30)
it would buy Colony Industrial, the real-estate assets and
industrial operating platform of Colony Capital, for $5.9 billion,
including debt.
Shares of Apple Inc. rose after J.P. Morgan analyst Samik
Chatterjee raised his price target
(http://www.marketwatch.com/story/apples-stock-rises-after-jp-morgan-boosts-price-target-2019-09-30)
on the stock to $265 from $242, citing strong iPhone sales.
U.S.-listed shares of Chinese tech firms Alibaba Group Holding
Ltd. (BABA) and Baidu Inc. (K3SD.SG) were on the rise, following
the Treasury Department's denial that it was considering banning
Chinese firms from U.S. exchanges.
Tesla Inc. (TSLA) shares came under pressure after a judge ruled
late Friday
(http://www.marketwatch.com/story/tesla-unfairly-fought-union-organizing-and-must-reimburse-employees-judge-finds-2019-09-27)
that the electric-car manufacturer engaged in unfair labor
practices in discouraging its employees from forming a union.
Shares of Xcel Energy Inc. (XEL) fell after the firm announced
that regulators denied a subsidiary's request to purchase Mankato
Energy Center.
How are other markets trading?
The yield on the 10-year U.S. Treasury note was virtually
unchanged at 1.67%.
In commodities markets, West Texas Intermediate crude oil for
November delivery fell $1.84 to $54.07 a barrel on the New York
Mercantile Exchange.
Gold for December delivery fell $33.40 to about $1,465.70 an
ounce, falling well below
(http://www.marketwatch.com/story/gold-loses-bullish-luster-stumbles-below-psychologically-significant-1500-level-2019-09-30)
a psychologically significant level at $1,500 an ounce.
In Asia, the China CSI 300 lost 1%, Japan's Nikkei 225 retreated
0.6% but Hong Kong's Hang Seng Index gained 0.5%. European stocks
ended modestly higher, as measured by the Stoxx Europe 600 .
(END) Dow Jones Newswires
September 30, 2019 16:25 ET (20:25 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.