Stocks ended the session mixed as the Dow and S&P 500 rebounded into positive territory after being down for much of the day, ending the week on a mostly high note following two days of gains. The Nasdaq, however, closed lower. Investors remained focused on developments related to the U.S.-China trade conflict as well as the outlook for the global economy. According to the U.S. Commerce Department, consumer spending rose 0.6% last month after an unrevised 0.3% gain in June, though consumer sentiment fell in the final August print. Oil prices were sharply lower while gold prices edged higher.
ECONOMIC EVENTS: In the U.S., consumer sentiment fell 8.6 points to 89.8 in the final August print, weaker than expected, after inching up 0.2 ticks to 98.4 in July. Chicago PMI jumped 6 points to 50.4 in August, better than expected, following the 5.3 drop to 44.4 in July, lowest since December 2015, and the 4.5 point slide to 49.7 in June. Meanwhile, the U.S. income report beat estimates with a big 0.6% July gain in consumption, though income rose only 0.1% after a June boost to 0.5% from 0.4%.
TOP NEWS: Tesla (TSLA) shares were 1.8% higher after Reuters reported the company has increased prices for some cars in China and the country will exempt 16 Tesla electric vehicle models from purchase tax. According to Reuters, citing the company's China website, the starting price for the Model X SUV was hiked to Y809,900 from Y790,900 and long-range dual-motor variants of Model 3 vehicles are currently Y439,900, up from Y429,900.
In other auto news, General Motors (GM) was in focus after President Trump said via Twitter that the company is "now one of the smallest auto manufacturers" in Detroit. "They moved major plants to China, BEFORE I CAME INTO OFFICE," the president tweeted without any follow-up information. "This was done despite the saving help given them by the USA. Now they should start moving back to America again?"
On the earnings front, Campbell Soup (CPB) shares jumped 3.9% after the food giant reported better-than-expected quarterly results, with CEO Mark Clouse saying the results "culminated a year of steady, positive performance" for the company. Campbell also provided its outlook for fiscal 2020 and noted that results for Campbell Fresh and Campbell International are now reported as discontinued operations following the company's agreements to sell the Kelsen Group, Arnott's, and other International assets.
Meanwhile, shares of Boeing (BA) were in focus after the Federal Aviation Administration panel reviewing the company's 737 MAX certification said it will be "taking additional time to finish documenting its work." The news comes after United (UAL) extended cancellation of its 737 MAX flights to December 19 from November 3.
MAJOR MOVERS: Among the noteworthy gainers was Bloomin' Brands (BLMN), which rose 7.6% after Barry Rosenstein's Jana Partners disclosed a 9% stake in the company and said it plans to have talks with the company's board regarding a potential sale. Also higher were Ambarella (AMBA) and Dell Technologies (DELL), which gained nearly 18% and 9.7%, respectively, after reporting quarterly results.
Among the notable losers was Ulta Beauty (ULTA), which slid 29.6% after reporting lower-than-expected quarterly results and cutting its fiscal 2019 outlook. Also lower after reporting quarterly results were American Outdoor Brands (AOBC) and Workday (WDAY), which fell a respective 21.7% and 5.5%.
INDEXES: The Dow rose 41.03, or 0.16%, to 26,403.28, the Nasdaq lost 10.51, or 0.13%, to 7,962.88, and the S&P 500 advanced 1.88, or 0.06%, to 2,926.46.
Tesla
+3.61 (+1.63%)
General Motors
+0.19 (+0.51%)
Campbell Soup
+1.55 (+3.58%)
Boeing
+2.02 (+0.56%)
United Airlines
-0.22 (-0.26%)
Bloomin' Brands
+1.31 (+7.82%)
Ambarella
+8.3 (+17.51%)
Dell Technologies
+4.49 (+9.59%)
Ulta Beauty
-99.86 (-29.59%)
Changed to SWBI
-1.685 (-21.91%)
Workday
-10.11 (-5.39%)