Stocks ended the session in positive territory, with the Nasdaq rebounding higher after being down near noon. Optimism around trade relations between the United States and China appears to have returned, as U.S. President Donald Trump told Fox News by phone this morning that a trade agreement between the two sides is "potentially very close." China had said earlier that it sought to work out an initial deal with the White House following reports that an agreement could be delayed to 2020. Oil still ended the day lower, trading at under $58 per barrel.
ECONOMIC EVENTS: In the U.S., consumer confidence rose 1.3 points to 96.8 in the final print for the University of Michigan survey, after the 2.3 point increase to 95.5 in October. Flash Markit manufacturing PMI rose 0.9 points to 52.2 in November after rising 0.2 ticks to 51.3 in October. In energy news, Baker Hughes reported that the U.S. rig count is down 3 rigs from last week to 803.
TOP NEWS: Shares of Tesla (TSLA) fell 6.1% following the reveal of its "Cybertruck" electric pickup truck last evening. At the launch event, CEO Elon Musk said that the base Cybertruck model will cost $39,900 and will come in three variants. Customers can order the truck with a deposit of just $100, though production "nears in late 2021," Musk added. When it came time for the demonstration, however, Tesla chief designer Franz von Holzhausen initially took a sledgehammer to the truck's door, which withstood the impact, but when von Holzhausen took a metallic ball and tossed it at the truck, the front driver-side "armored" glass window smashed. A second test broke a second window. Meanwhile, Greenlight Capital president David Einhorn took to Twitter to publicize an email he sent to Tesla CEO Elon Musk regarding the company's accounts receivable. "I'm beginning to wonder whether your accounts receivable exist," Einhorn said in the email.
On the earnings front, Gap (GPS) shares rose 4.5% after the apparel retailer reported better-than-expected results for the third quarter and reaffirmed its guidance for fiscal 2019. Gap interim CEO Robert Fisher, however, said he was "not pleased" with the quarterly results, as the company said it now expects to close roughly 15 company-operated stores net of openings and repositions in fiscal 2019.
Meanwhile, Uber (UBER) was in focus after Stifel analyst Scott Devitt upgraded the stock to Buy from Hold with an unchanged price target of $34. The analyst said that the company's business fundamentals are "showing signs of sustainable improvement" while the current valuation "offers a more reasonable entry point." Devitt added he believes the ridesharing market has experienced "faster-than-expected competitive rationalization" and that Uber demonstrated an accelerated path to profitability.
Additionally, Reuters reported that Chevron (CVX) CEO Michael Wirth is planning major changes at the company that would cut costs and streamline operations in an attempt to boost profitability.
MAJOR MOVERS: Among the noteworthy gainers was L Brands (LB), which jumped about 5% after The Deal reported that the company is meeting with investment banks about potentially exploring strategic alternatives. Also higher were Nordstrom (JWN) and Splunk (SPLK), which gained a respective 10.5% and 10.8% after reporting quarterly results.
Among the notable losers was Pure Storage (PSTG), which slid about 15% after it reported quarterly results and named Kevan Krysler its new CFO. Also lower after reporting quarterly results were Foot Locker (FL) and Williams-Sonoma (WSM), which fell 2.9% and 1.9%, respectively.
INDEXES: The Dow rose 109.33, or 0.39%, to 27,875.62, the Nasdaq gained 13.67, or 0.16%, to 8,519.88, and the S&P 500 advanced 6.63, or 0.21%, to 3,110.17.