Stocks have been tentatively higher in early trading as investors wait for President Trump to give a speech on trade policy at the Economic Club of New York near lunch time. U.S. and China trade remains the key driver of the market's direction and investors are hoping to get clues into the current state of negotiations following Trump's mixed remarks on the topic this weekend. Outside of trade talks with China, Bloomberg reported overnight that President Trump is expected to once again extend his decision on whether or not to impose tariffs on vehicles and auto parts imported from Europe, which may help account for the early rise in the major averages.
ECONOMIC EVENTS: In the U.S., the NFIB small business optimism index reading of 102.4 for October came in slightly better than the consensus forecast of 102.0.
TOP NEWS: Disney (DIS) announced this morning that its streaming service Disney+ launched today in the U.S., Canada, and The Netherlands. Disney+ users have been reporting error messages when they try to stream content along with other problems, connection issues, crashes and more on the service's first day, though a Disney+ spokesperson blamed this on consumer demand that exceeded its "high expectations." Disney added that it is "pleased by this incredible response" and is working to quickly resolve the current user troubles.
Elsewhere in media, CBS (CBS) reported what it called "record" third quarter revenues as the company continues to increase investment in its premium content and direct-to-consumer streaming services. CBS also said that its planned merger with Viacom (VIA, VIAB) is expected to close in early December.
In M&A news, Craft Brew Alliance (BREW) and Anheuser-Busch (BUD) jointly announced an agreement to expand their partnership, with A-B agreeing to purchase the remaining CBA shares it does not already own. A-B currently owns a 31.2% stake in CBA and has offered $16.50 in cash for the remaining shares.
MAJOR MOVERS: Among the noteworthy gainers was Ladenburg Thalmann (LTS), which rose 24% after entering into a definitive merger agreement to join companies with Advisor Group in a deal worth $1.3B. Also higher were Covetrus (CVET) and Tyson Foods (TSN), which gained a respective 20% and 6% after reporting quarterly results.
Among the notable losers was Solid Biosciences (SLDB), which plunged 70% after reporting that the FDA has notified the company that IGNITE DMD, its Phase I/II study of SGT-001, has been placed on clinical hold. Also lower was Diplomat Pharmacy (DPLO), which fell 57% after reporting quarterly results and cutting its fiscal 2019 guidance.
INDEXES: Near midday, the Dow was up 38.25, or 0.14%, to 27,729.74, the Nasdaq was up 36.46, or 0.43%, to 8,500.74, and the S&P 500 was up 9.93, or 0.32%, to 3,096.94.
Disney
+2.37 (+1.73%)
Use VIAC, VIACA
-0.82 (-2.09%)
VIAB
+
Craft Brew
+8.915 (+121.62%)
AB InBev
+0.3 (+0.38%)
Via Renewables
-0.25 (-0.95%)
Ladenburg Thalmann
+0.645 (+22.87%)
Covetrus
+2.29 (+22.83%)
Tyson Foods
+4.895 (+5.92%)
Solid Biosciences
-7.63 (-69.55%)
Diplomat Pharmacy
-3.65 (-58.87%)