On Monday Wall Street Bounced Back After Multi-Day Sell-Off with Tech Stocks Back in Favor

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MARKET RECAP at 4 pm ET Coming Up - On Monday Wall Street bounced back after multi-day sell-off with tech stocks back in favor. The China's largest trade fair “The Canton dollar and Treasury yields edged higher Fair” begins on Monday and extends till as equities recovered, while gold prices November 4. It gets underway in dipped. Crude ended higher, following the Guangzhou amid heightened tensions as stock markets, after earlier falling in a Washington and Beijing face off in a trade volatile session on weakening demand war that threatens exporters in the world's outlook. second-largest economy.

REUTERS/Fred Prouser Italy's budget standoff with Brussels will STOCKS Close Chng %Chng Yr-high Yr-low come to a head on Monday when the DJIA 25339.99 287.16 1.15 26951.81 22821.13 Bank of America Corp. reports third cabinet submits its 2019 budget. Already, Nasdaq 7496.89 167.83 2.29 8133.30 6630.67 quarter earnings. Investors will be looking Italy's combative budget plan -- which S&P 500 2767.13 38.76 1.42 2940.91 2532.69 for an update on the bank's strategic proposes running budget deficits far Toronto 15414.29 97.16 0.63 16586.46 14785.78 plan. After the bank reached prior cost higher than previously agreed with the EU FTSE 6995.91 -11.02 -0.16 7903.50 6866.94 cutting and efficiency targets, -- has driven government bond yields to Eurofirst 1410.10 -3.55 -0.25 1587.95 1412.10 stakeholders want management to their highest in four years. The extent to Nikkei 22694.66 103.80 0.46 24448.07 20347.49 articulate new goals. Charles Schwab is which the anti-establishment government Hang Seng 25801.49 535.12 2.12 33484.08 25125.22 also scheduled to report its third quarter in Rome tests EU authorities' patience will results. further affect bond spreads, particularly TREASURIES Yield Price with ratings reviews from Moody's and S&P 10-year 3.1632 -9 /32 U.S. retail sales are expected to record a Global due later this month. Not that the 2-year 2.8570 -1 /32 gain of 0.6 percent in September. Sales saga ends on Monday. The EU then has a 5-year 3.0166 -4 /32 for August edged up 0.1 percent, the week to identify any "serious non- 30-year 3.3355 -18 /32 smallest rise since February. Excluding compliance" and two weeks to decide if it automobiles, gasoline, building materials will reject the budget altogether. FOREX Last % Chng and food services, retail sales are forecast,

Euro/Dollar 1.1556 -0.32 rising 0.3 percent last month after a rise LIVECHAT- GLOBAL ASSETS OUTLOOK Dollar/Yen 112.23 0.06 of 0.1 percent in August. In a separate U.S. portfolio manager and financial Sterling/Dollar 1.3151 -0.62 report, the U.S. Commerce Department is blogger David Merkel takes questions on Dollar/CAD 1.3030 0.02 likely to show business inventories rising asset values, relative risks and TR/HKEX RMB 92.79 -0.04 0.5 percent in August, after gaining 0.6 opportunities, and macroeconomic trends. percent in July. (0900 ET/1300 GMT) To join the Global COMMODITIES ($) Price Chng % chng Markets Forum, click here

Front Month Crude /barrel 71.57 0.60 0.85 Spot gold (NY/oz) 1218.09 -5.64 -0.46 Copper U.S. (front month/lb) 0.0281 0.0001 0.43 Reuters/CRB Index Total Return 204.05 1.36 0.67 KEY ECONOMIC EVENTS

S&P 500 Price $ Chng % Chng Events ET Poll Prior

GAINERS New York Fed Manufacturing for Oct 0830 19.00 19.00 Netflix Inc 339.56 18.46 5.75 Retail sales ex-autos mm for Sep 0830 0.4 pct 0.3 pct Autodesk Inc 138.18 7.29 5.57 Retail sales mm for Sep 0830 0.6 pct 0.1 pct Take-Two Interactive Software Inc 129.05 6.79 5.55 Intuit Inc 211.82 11.13 5.55 Retail ex gas/autos for Sep 0830 -- 0.2 pct LOSERS Retail control for Sep 0830 0.3 pct 0.1 pct PNC Financial Services Group Inc 124.26 -7.35 -5.58 Retail sales YoY for Sep 0830 -- 6.64 pct Freeport-McMoRan Inc 12.74 -0.44 -3.34 General Electric Co 12.32 -0.40 -3.14 Business inventories mm for Aug 1000 0.5 pct 0.6 pct KeyCorp 18.65 -0.59 -3.07 Retail inventories Ex-Auto Rev for Aug 1000 -- 0.1 pct

Coming Up - Week Ahead

competition and updates on newer Federal Reserve Board Governor Lael REUTERS/Brendan McDermid products. UnitedHealth Group Inc will Brainard speaks on "Fintech and Financial report third quarter earnings on the same Inclusion" before the "Fintech, Financial day. The insurer is likely to benefit from Inclusion - and the Potential to Transform cost control as well as its Optum pharmacy Financial Services" conference sponsored benefit management business. by the Federal Reserve Bank of Boston and International Business Machines Corp, the Aspen Institute on Wednesday. which had warned of headwinds in the Federal Reserve Vice Chairman for second half of the year from a strong Supervision Randal Quarles speaks on the dollar, is expected to report a dip in their economic outlook before an Economic third-quarter revenue on the day. Profit is Club of New York luncheon on Thursday. Goldman Sachs Group will report results expected to rise as the firm curtails costs. Federal Reserve Bank of Atlanta President from its third quarter on Tuesday under the Analysts will also be looking for stabilizing Raphael Bostic participates in armchair leadership of Lloyd Blankfein, whose margins as IBM nears a year since its discussion on the economic outlook on tenure as CEO was slated to end on "turnaround" - brought on largely from a Friday. On the same day, Federal Reserve September 30. The conference call with shift in focus to newer businesses like Bank of Dallas President Robert Kaplan analysts will give incoming CEO David cybersecurity, analytics, mobile and cloud. speaks before Manhattan Institute event, Solomon an opportunity to begin publicly Procter & Gamble Co is expected to post a "10 Years After the Crisis: the State of making his mark on the company, or chose fall in first-quarter sales on Friday, hurt by Monetary and Fiscal Policy". to leave all the talking to his chief financial lower pricing and weak demand for its officer. On the same day, Morgan Stanley baby, feminine and family care products. Honeywell International Inc is expected reports third-quarter results. Trading Investors will watch for signs of to report higher profit and revenue for the revenue at the bank will tell if increased improvement in the company's gross third quarter on Friday, as commercial jet volatility can sustain growth, or if margins which has been under pressure orders boom amid strong demand for air geopolitical concerns are tempering from rising freight and commodity costs travel. Investors will look for comments on volume. U.S. Bancorp is expected to and lower pricing. potential impact from trade tariffs and report higher third-quarter profit on how they could affect the company's Wednesday, helped mostly by an increase Next week, the Federal Reserve will financial performance in 2019. in net interest income on higher interest release industrial production data on rates. Investors will also look out for Tuesday. According to a Reuters survey of Schlumberger N.V. is expected to post a commentary on its loan portfolio and economists, production likely rose 0.2 rise in their third-quarter profit on Friday, performance of its fee-based businesses. percent in September, lower than its as $80 oil accelerates growth in its On Thursday, Bank of New York Mellon August reading, when it increased 0.4 international business. Investors will look Corp’s third-quarter earnings are expected percent. NAHB Housing Market Index is out for any updates on the company's to rise on the back of lower corporate tax also due on Tuesday. On Wednesday, strategy to compete in global energy rates and rising interest rates. Investors housing starts are forecast to have markets and commentary on oil supply will be watching out for the income fees decreased to a seasonally adjusted annual bottlenecks in the prolific Permian basin. the bank has generated in the quarter that rate of 1.221 million units in September saw the effects of rising tensions between from 1.282 million units in the month REUTERS/Lucy Nicholson U.S. and China over trade. before. Permits to build single-family homes is expected to have increased last A raft of Dow 30 companies will report month to a pace of 1.278 million units, next week, including Johnson & Johnson, from 1.249 million units in August. On UnitedHealth Group Inc, Procter & Gamble Thursday, initial claims for state Company, IBM, Travelers Companies Inc unemployment benefitsare likely to have and American Express Co. Johnson & increased 1,000 to a seasonally adjusted Johnson is expected to report a higher 215,000 for the week ended Oct. 13. The third quarter profit on Tuesday, helped by National Association of Realtors will report sales of its cancer and immunology drugs. existing home sales data for September Netflixis expected to post a rise in As one of the first major U.S. drugmakers on Friday. Home sales are forecast falling international subscribers in the third- to report results for the quarter, investors to a seasonally adjusted annual rate of quarter on Tuesday, as new seasons of will focus on comments about drug 5.30 million units last month, from a rate original shows such as "Orange is The New pricing, impact of generic drug of 5.34 million units in August. Black" pulled in users." To fend off

competition, Netflix has been pumping in benefiting from its profitable Vans higher profit and revenue on Thursday on funds to expand its portfolio of original sneakers and The North Face outerwear back of higher steel prices as well as a content across different languages and businesses. VF Corp has however, strong demand in its end markets in the strengthen its international presence. projected a 5-cent hit to earnings per third-quarter. Investors will be looking for share due to the spin-off of its Lee and comments on benefits from President Markets will turn to BlackRock Inc's third- Wrangler jeans into public company. Donald Trump's imposition of tariffs on quarter results on Tuesday, as it offers a Analysts will be on the lookout for further steel and aluminum imports and updates peek into investor sentiment after a details on the deal and forecast for the on the company's financial forecast. volatile quarter that featured a wide gap in year. performance between booming U.S. stocks On Friday, Rogers Communications Inc is and flat-lining international stocks as well expected to report a rise in their third as continued pressure on bonds. The New quarter profit helped by an increase in the York-based company is expected to report number of wireless subscribers. Investors its eighth straight quarter of year-over- will be looking out for any updates about year revenue growth as investors cram into the company's plans which includes its increasingly ubiquitous exchange- working with Ericsson, to deploy 5G in traded funds to access the market, but Canada. investors will keep a close eye on the fees BlackRock is able to charge after a quarter Corus Entertainment Inc is expected to in which one of its peers, Fidelity REUTERS/Lucy Nicholson report a drop in its fourth-quarter revenue Investments, launched an index fund that on Friday, hurt by continued decline in its charges no fee at all. Blackstone Group Domino's Pizza is expected to report a television business. Investors will be L.P. reports earnings on Thursday for the rise in third-quarter sales on Tuesday as it looking out for any update on new third-quarter in which analysts expect its benefits from its digital investments in acquisitions and Shaw Communications private equity holdings benefited from the digital, delivery services such as Domino's trying to offload its stake in Corus. rising public equity market. Rising interest Hotspots and promotions continue to rates and lower corporate taxes are attract more customers. However, high Textron Inc is expected to report higher expected to help State Street Corp post labor costs and expenses related to the profit and revenue for the third quarter on an increase in net income in its third- sales drive is set to impact the company's Thursday, helped by increase sales of its quarter on Friday. Increasing trade margin in the quarter. Cessna business jets. Investors will look for tensions between the US and China is also comment on the potential impact of trade expected to affect fee revenue growth. Kinder Morgan Inc is expected to report tariffs and whether they could hurt an increase in their third-quarter profit on demand for jets heading into 2019. Abbott Laboratories is expected to report Wednesday, driven by higher growth in its a higher third quarter profit on natural gas transportation and terminals Canada's inflation rate for September is Wednesday, helped by strong demand for businesses. Investors will be on the lookout scheduled for release on Friday. It was at its heart devices. Investors will focus on for an update on the company's Gulf Coast 2.8 percent in August. Canadian comments about the company’s Express and Permian Highway Pipeline manufacturing sales for August are due acquisition strategy, performance of its projects, the two long-haul natural gas on Wednesday. Sales were up 0.9 percent diabetes devices as well as updates on its pipelines out of the Permian Basin. Kinder in July. nutritional business. Morgan Canada will also be reporting results on the same day. Investors will be EU leaders meet for a summit dinner on Omnicom Group Inc is expected to report looking out for any update on the Wednesday, expected to discuss Britain's a fall in their third-quarter revenue on Canadian government's negotiations with withdrawal agreement on Thursday. Tuesday as more U.S. clients put their indigenous groups who had opposed the Sterling has strengthened 2 percent versus marketing dollars in digital media. company's Trans Mountain pipeline the dollar over the last fortnight, expansion. supported by expectations that an EU On Tuesday, United Airlines reports third- leaders summit in Brussels will yield a deal quarter profit after the market closes that Alcoa Corp is expected to report a rise in on Brexit for British Prime Minister Theresa is expected to show strong air traffic third-quarter revenue on Wednesday, May. If the outcome is positive, investors demand offsetting rising fuel expenses. An helped by higher alumina prices. However, could unwind more of their short sterling earnings call will follow on Wednesday Alcoa has been hurt by U.S. President bets, setting the currency firmly on the morning. Donald Trump's tariffs on imported steel road to recovery. and aluminum. Investors will look for VF Corporation is expected to post a rise updates on the company's financial in their second-quarter revenue on Friday, forecast. Nucor Corp is expected post

Market Monitor

Wall Street indexes snapped a losing streak and technology stocks came roaring back after a week of blistering losses as investors looked for bargains ahead of earnings season even as worries about U.S.-China trade tensions lingered. Energy sector was up 0.30 percent at 540.51. The S&P 500 technology index rose 3.15 percent to 1,243.12. The S&P's financial sector was 0.10 percent higher at 439.16, while the S&P 500 banks subsector slid 0.40 percent to 321.68. JPMorgan Chase & Co fell 1.09 and PNC Financial fell 5.58 percent. The gainers among banks were Citigroup, which rose 2.14 percent, and Wells Fargo, which eked out a 1.30 percent gain. The bank results launch a quarterly reporting season that will give the clearest picture yet of the impact on profits from President Donald Trump's trade war with China. Earnings at S&P 500 companies are estimated to have risen 21.5 Click on the chart for a full-size image percent in the third quarter, according to I/ B/E/S data from Refinitiv, a slowdown from the previous two quarters. The Dow bonds were down 18/32 to yield 3.34 Crude futures steadied late in the session, Jones Industrial Average rose 1.15 percent. Two-year notes edged down following the stock market slightly higher percent, to 25,339.99, the S&P 500 1/32, yielding 2.86 percent. after earlier swinging lower on a gained 1.42 percent, to 2,767.13 and the weakening oil demand outlook. The energy Nasdaq Composite added 2.29 percent, The dollar climbed against a basket of watchdog said in its monthly report that to 7,496.89. For the week, the S&P fell 4.1 currencies. Robust Chinese export figures the market looked "adequately supplied pct, the Dow fell 4.2 pct and the Nasdaq soothed worries about the world's second- for now" and trimmed its forecasts for dropped 3.7 pct. biggest economy and its trade war with world oil demand growth this year and Washington. Euro and sterling snapped next. U.S. crude rose 0.82 percent to Treasury yields edged higher, rising from their three-day winning streak in advance $71.55 a barrel, while Brent gained 0.41 the previous session on Wall Street's of next week's European Union summit percent to $80.59 a barrel. selloff, as equities recovered globally and where Britain and the European Union may investors unwound safe-haven bids. After a strike a Brexit deal. China's exports jumped Gold prices eased, the session after their two-day rout, shares on Wall Street were 14.5 percent in September from a year biggest daily gain in more than two years, higher, although some analysts said gains earlier, the biggest year-over-year increase coming under pressure as the U.S. dollar do not mean that the turbulence is over. in seven months and marking a record climbed and global stocks rebounded from "We're sure the Fed is paying close trade surplus with the United States. The a six-day rout. "A rally in the U.S. dollar is attention to the equity rout," said John data suggested that the tariffs U.S. putting downward pressure on gold Taylor, president of macro research firm President Donald Trump has slapped on today," said Alex Turro, market strategist Taylor Global Vision in New York. "For now, Beijing have yet to bite. The dollar index at RJO Futures. Spot gold was down 0.46 it's sit back and watch. But the Fed has got was up 0.28 percent at 95.28. Euro was percent at $1,218.09 an ounce. U.S. gold be anxious." U.S. 10-year notes edged down 0.33 percent at $1.1555, while futures were down 0.49 percent at down 9/32, yielding 3.16 percent. 30-year sterling was 0.61 percent lower at $1.3152. $1,221.60 an ounce.

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U.S. banks profit from higher rates, more loans and lower costs The U.S. banking industry is enjoying the benefits of a growing economy and lower taxes, and three of the largest lenders reported double-digit profit growth. The results reflected an array of positive business factors for banks. Their net interest margins - the difference between what they pay on deposits and what they charge on loans - have widened. Other key businesses, like managing customers' wealth or providing treasury services for

corporations, are generating consistent fees that pad the bottom line. Banks also Click on the chart for a full-size image are getting a lift from cost-cutting programs they implemented after the while in bankruptcy court, with lenders sent letters to 21 electronic cigarette 2007-2009 financial crisis, as well as tax expected to provide several hundred manufacturers seeking information to cuts signed into law by U.S. President million dollars, the sources said. assess whether the products are being Donald Trump last year. JPMorgan said its marketed illegally. An FDA rule banned third-quarter profit jumped nearly 25 Hackers stole details of 29 million users the sale of new e-cigarette products after percent, with each of its four business units in Facebook breach August 2016 without regulatory approval. generating higher revenue. Citigroup Facebook said attackers stole names and The agency sent letters to companies reported a 12 percent rise in profit, driven contact details of 29 million users in the including Reynolds American Inc, a unit of mostly by lower taxes and cost savings. mass security breach disclosed by the British American Tobacco, which makes Wells Fargo reported a 32 percent gain in social media network late last month. The the Vuse Alto device, asking for evidence profit. The bank cited strong demand for breach, Facebook's worst ever, has that the products were on the market auto, small business and personal loans, exacerbated concerns among users, before the August 2016 cutoff. FDA as well as cost cutting. lawmakers and investors that the company Commissioner Scott Gottlieb said the

is not doing enough to safeguard data, agency "will not allow the proliferation of e Sears aims to close up to 150 stores in particularly in the wake of the Cambridge -cigarettes" being sold without proper bankruptcy-sources Analytica data scandal. The company approval. The agency also sent letters to Sears is planning to close up to 150 of its revealed that stolen data on 14 million Fontem Ventures, a unit of Imperial department and discount stores and keep users included birth dates, employers, Brands, seeking information about its at least another 300 open as part of a plan education and lists of friends. For 15 myblu e-cigarettes, as well as smaller to restructure under U.S. bankruptcy million users, it was restricted to just name companies including Kandypens, Myle protection, people familiar with the matter and contact details. Facebook said it will Vapor and VGOD. British American said. The plans would leave the fate of send customized messages in the coming Tobacco said it will provide to the FDA Sears' remaining roughly 250 stores days to affected users to explain what information to show it is in compliance uncertain, the sources said. The retailer information the attackers accessed and with the rule. hopes to sell stores and other assets, how they can protect themselves, including its Kenmore appliances brand including from suspicious emails, text U.S. weapons makers rattled over and home services business, in court- messages or calls. "We're cooperating with Saudi Arabia deals supervised auctions while under the FBI, which is actively investigating and Major U.S. defense contractors have bankruptcy protection, the sources said. asked us not to discuss who may be behind expressed concern to the Trump Sears Chief Executive Eddie Lampert is this attack," Facebook said. administration that lawmakers angered by exploring bidding on the assets as a so- the disappearance of a Saudi journalist in called stalking horse, setting a floor with In crackdown, U.S. FDA seeks details on Turkey will block further arms deals with offers that other possible buyers could new electronic cigarettes Saudi Arabia, a senior U.S. official told then attempt to top, the sources said. Faced with a proliferation of new electronic Reuters. Turkish reports that journalist Sears was making progress in its cigarettes and a sharp rise in teen vaping, Jamal Khashoggi, a vocal critic of Riyadh, negotiations with banks for financing to the U.S. Food and Drug Administration was killed inside the Saudi consulate in keep it afloat through the holiday season

Istanbul and removed have hardened businesses, the European Commission in PNC expects small rise in quarterly loan resistance in the U.S. Congress to selling April outlined draft rules to prevent unfair growth, shares fall weapons to Saudi Arabia, already a sore business practices. The proposal U.S. regional bank PNC Financial Services point for many lawmakers concerned specifically targets app stores, search Group reported disappointing quarterly about the Saudi role in Yemen's civil war. engines, e-commerce sites and hotel loan growth and said it expected only a Saudi Arabia, where U.S. President Donald booking websites. One of the key small improvement in lending for the final Trump last year announced a $110 billion proposals, by Danish centre-left lawmaker three months of the year. The company's arms package, has been a centerpiece of Christel Schaldemose, the lead parliament performance comes against the backdrop his overhaul of weapons export policy. negotiator takes aim at a case her of heightened expectations for business However, critics say the new approach compatriot, European Competition borrowings as companies take advantage gives too much weight to business Commissioner Margrethe Vestager, is of lower taxes to boost investments. interests versus human rights concerns. looking into. Schaldemose has proposed However, PNC's loan growth rose a Lockheed Martin Corp and Raytheon have setting up Chinese walls between meager 2 percent in the third quarter, been the most active U.S. defense subsidiaries, according to a draft seen by slower than the 4 percent increase it companies with potential sales to Saudi Reuters. She aims to get her committee to generated in the second quarter. Net Arabia since Trump announced the vote on the amendments on Dec. 6. interest income rose 2 percent to $2.4 package as part of his "Buy American" Vestager last month said she was billion, helped partly by higher interest agenda to create jobs at home. gathering information on whether Amazon rates, which allow banks to charge more uses merchants' data in a way that hurts on loans. PNC's net income rose 26 U.S. opens anti-dumping probe on competition. percent to $1.32 billion in the quarter Chinese mattresses after complaints ended Sept. 30. Earnings per share came The United States is investigating alleged in at $2.82, compared with the average dumping of China-made mattresses after analyst estimate of $2.72 per share, complaints from several U.S. according to I/B/E/S data from Refinitiv. manufacturers, including Leggett & Platt, Shares of the company closed down 5.58 Tempur Sealy International Inc and others, percent at $124.26. the Department of Commerce said. Other privately held companies - Corsicana Tesla says orders placed by Oct 15 Mattress Co, Elite Comfort Solutions, eligible for full tax credit Future Foam Inc, FXI Inc, Innocor Inc, REUTERS/Daniel Becerril Electric carmaker Tesla said orders for cars Kolcraft Enterprises Inc and Serta placed by Oct. 15 will be eligible for a full Simmons Bedding LLC - also signed the GE delays third-quarter earnings federal tax credit of $7,500 and these petition asking Commerce to investigate, by a week customers will get their cars delivered by the department said. Mattresses from General Electric Co put off publication of the end of the year. Under a major tax China were estimated to be worth about its third-quarter results by almost a week overhaul passed by the Republican- $436.5 million in 2017, according to the to allow new Chief Executive Officer Larry controlled U.S. Congress late last year, department. It said the U.S. International Culp to complete business reviews and site incentives in the way of tax credits that Trade Commission would make its initial visits. Culp took over earlier this month lower the cost of electric vehicles are decision by Nov. 2, followed by the from John Flannery, who was ousted after available for the first 200,000 such Commerce Department by Feb. 27. A final a year in charge at one of the United vehicles sold by an automaker. The tax decision is scheduled for May 13, but could States' oldest industrial companies, which credit is then reduced by 50 percent every be later, it added. If the department has been shedding businesses and six months until it phases out. In July, determines that China is selling reorganizing as it stock price continues to Tesla said it delivered 200,000 electric mattresses in the United States at less drop. The energy, health and cars to buyers in the United States, than fair value, and is harming U.S. sellers, transportation conglomerate has already meaning tax credits will now begin to be it would then impose duties, it said. said it would fall short of its forecast for lowered while rivals such as Mercedes- free cash flow and earnings per share for Benz, BMW and Audi will bring electric Key EU lawmaker's plan to rein in online 2018 due to weakness in its power models to the market with a full tax credit marketplaces a threat to Amazon business. A note from JPMorgan analyst in place. Buyers of electric cars get full tax Amazon could face a threat other than just Stephen Tusa argued that the company credit for the quarter in which the company EU antitrust scrutiny after a key EU did not have enough assets and cash flow hits the 200,000 delivery mark and the lawmaker announced proposals aimed at to pay down liabilities and would struggle next, according to Internal Revenue curbing online marketplaces' use of to sell off further businesses under current Service regulation. In a separate report, merchants' data to boost sales of own financial conditions. "We still see structural Tesla has produced more than 11,500 cars, brand products. Seeking to ensure a level concerns in the key Power markets, including about 7,400 Model 3s, so far this playing field between tech giants such as minimal margin for error on leverage, and month, automotive news website Electrek Google, Amazon and Apple and traditional numerous tail liabilities," Tusa wrote. reported, citing a source familiar with the matter. To read more, click here

Princess Eugenie and Jack Brooksbank kiss after their wedding at St. George's Chapel in Windsor Castle, Windsor, Britain, October 12. REUTERS/Toby Melville

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Empty shelves, poor customer service COLUMN-As the greenback Unwelcome guest: U.S. tariffs loom at speed Sears' demise strengthens, a tale of two dollars: China's biggest trade fair Sandy Hetrick drove 15 miles from her McGeever Amid gathering gloom over the state of home to a Sears in Media, Pennsylvania on This week's wobble on Wall Street aside, the Chinese economy, exporters of Wednesday to buy folding chairs and the U.S. economic and stock market motorcycles, tractors, photocopiers and clothes. Her local Sears in Wilmington, outperformance relative to the rest of the Christmas tree lighting will join thousands Delaware, the 54-year-old retiree said, was world and the rise in U.S. bond yields has, of other companies peddling their wares at so poorly stocked that she stopped going unsurprisingly, lifted the dollar. This also China's largest trade fair Monday. Many of there, even though there is no Delaware masks a divergence within the greenback those exporters will have something in state sales tax. "It's really going down," itself: it is performing far better against common - uncertainty over future U.S. Hetrick said about Sears, which is weighing emerging market currencies than orders as a trade war with the United whether to file for bankruptcy protection in developed world currencies. Since June the States rages. The turmoil has added to the coming days. "You can't find any help. 10-year U.S. Treasury yield has risen to a concerns over the health of the Chinese The stores have minimal items," she said seven-year peak above 3.25 pct, the Fed economy, already under pressure from a as she shopped at the store in Media. has raised rates twice and signaled more cooling property market, a crackdown on to come, Wall Street has hit fresh highs corporate debt and risky lending practices, and U.S. growth has chugged along nicely. and a nationwide anti-pollution campaign.

Market Monitor COMING UP - ON MONDAY No major events are scheduled. Canada's main stock index bounced back, Precious metals miner Tahoe Resources driven by gains in healthcare shares. The fell 1.29 percent, followed by New Gold, Toronto Stock Exchange's S&P/TSX down 2.78 percent. composite index was up 0.63 percent, at TSE's S&P/TSX composite Price C$ chng % chng 15,414.29. The U.S. dollar was up 0.02 percent GAINERS against its Canadian counterpart at SSR Mining Inc 13.77 1.44 11.68 The healthcare sector was up 4.24 C$1.3030. Aurora Cannabis Inc 13.71 1.09 8.64 percent at 136.63. Canada Goose Holdings Inc 65.78 4.24 6.89 Canopy Growth Corp 64.90 3.61 5.89 LOSERS Shares of Aurora Cannabis rose 8.64 Eldorado Gold Corp 1.19 -0.05 -4.03 percent, while peer cannabis producer Wheaton Precious Metals Corp 22.64 -0.77 -3.29 Canopy Growth gained 5.89 percent. Interfor Corp 16.55 -0.54 -3.16 Alacer Gold Corp 2.20 -0.07 -3.08

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Cannabis producer Aphria profit surges on strong demand, investment gains Aphria posted a 41 percent rise in quarterly profit, boosted by strong demand and gains from its investments in medical marijuana companies Liberty Health Sciences and Hiku Brands. Canada is set to become the first major economy to legalize recreational marijuana on Oct. 17 and shares in cannabis producers have rallied in anticipation. Aphria is in talks to sell a stake in the company to Marlboro maker Altria Group, the Globe and Mail reported earlier this week, citing multiple sources. Aphria, however, said no agreement had been reached. Aphria's net income rose to C$21.2 million, or 9 Canadian cents per share, from C$15.0 million, or 11 Canadian cents per share, a year earlier. The company said its revenue more than doubled to C$13.29 million, helped by A flowering cannabis plant is pictured in Quebec, Canada, September 26. REUTERS/Chris Wattie higher wholesale orders. following better-than-expected quarterly consider selling others. "If there are B2Gold keen on any African assets new production results, is "definitely interested" opportunities in West Africa that don't Barrick may sell - CEO in any projects considered noncore under perhaps fit the new Barrick model, in terms B2Gold Corp is interested in any West the new Barrick, CEO Clive Johnson said in of the size of project, or other things, then African assets that Barrick Gold may put an interview. Under Barrick's $6.1 billion all we'd be keen to look," Johnson said late on up for sale after its acquisition of African -stock deal to buy Randgold, the Thursday. Ideally, the miner wants projects miner Randgold Resources, B2Gold's chief companies have said they will focus on it can develop to produce about 200,000 executive said. B2Gold, whose stock rose their biggest and best assets globally and ounces of gold annually for at least 10

years, as opposed to already-built mines. It Caribbean destinations, while Thomas The settlement Detour said it had seeks investments with an approximate 20 Cook will use four of Air Transat's larger proposed to Paulson on Oct. 9 would have percent rate of return at gold prices of A330s to fly Europeans to long-haul resulted in almost half of its board being $1,200-$1,250 an ounce, Johnson said. destinations, such as the Caribbean. In the refreshed in six weeks, with interim CEO summer months, the planes return to their Michael Kenyon stepping down before the owners for use on each company's main next annual general meeting. A routes. spokesman for Paulson said it had instead made new proposals to Detour earlier and U.S. lawmakers urge Canada to snub was continuing to press for a complete China's Huawei in telecoms change of the board. "Paulson provided Two leading U.S. lawmakers, both sharp the company with two settlement critics of China, urged Canadian Prime alternatives this morning ... we have not Minister Justin Trudeau to consider received a response to our good-faith offer REUTERS/Regis Duvignau dropping China's Huawei Technologies other than through the media," the from helping to build next-generation 5G spokesperson told Reuters. "Detour's Air Transat says airline deal with telecommunications networks. Senators directors could have done the right thing ... Thomas Cook could expand Mark Warner, a Virginia Democrat, and instead, they have opted to prolong their Air Transat could expand a partnership Marco Rubio, a Florida Republican, said inevitable ouster at the hands of deal with the airline arm of British tourism they had "grave concerns" about the shareholders," the spokesperson added. group Thomas Cook to include prospects of Huawei equipment in codesharing and interlining, the boss of Canada's 5G networks on the grounds that Canada home prices flat in Sept, the Canadian carrier said. "Is it possible it would pose dangers for U.S. networks. up 2.1 percent on year -Teranet that eventually we look at the possibility of "While Canada has strong Canadian home prices were unchanged in commonality of their network with our own telecommunications security safeguards in September from August as the number of network? I would lie to you if I said we place, we have serious concerns that such areas across the country posting price didn't look at that possibility. Is it going to safeguards are inadequate given what the gains declined, data showed. The year- happen? I don't know," Jean-Francois United States and other allies know about over-year increase picked up to 2.1 percent, Lemay, President-General Manager of Air Huawei," the lawmakers wrote in the letter helped by a decline in September 2017, Transat said in an interview. He said talks to Trudeau. Warner and Rubio are on the Teranet said. That follows a 1.4 percent were at an early stage and the pair were Senate Select Committee on Intelligence. gain in August, which was the smallest not on the verge of concluding any gain since November 2009. Prices rose on agreement. Air Transat, part of Canadian Paulson rejects settlement with a monthly basis in five of the 11 tourism company Transat A.T. Inc, and Detour Gold metropolitan markets surveyed, the Thomas Cook Airlines are in the first year Hedge fund Paulson & Co has rejected weakest spread of gains in six months, of a seven-year deal to exchange aircraft proposals from Detour Gold which would Teranet said. Home prices in Toronto, on a seasonal basis. This winter, Air have removed its interim chief executive Canada's largest city, fell 0.1 percent, while Transat will fly ten of Thomas Cook's A321 officer in aid of settling a proxy dispute prices in Vancouver were flat, Teranet said. short-haul planes between Canadian and over the company's future, Detour said.

INTERVIEW U.S.-China trade talks must cover currency, U.S. Treasury chief says U.S. Treasury Secretary Steven Mnuchin said that he told China's central bank chief that currency issues need to be part of any further U.S. -China trade talks and expressed his concerns about the yuan's recent weakness.

INSIGHT With risky bets back in play, stock selloff revives 'Volmageddon' memories Months after he lost millions when an esoteric corner of financial markets cratered in February, former Target Corp store manager Seth Golden is betting against volatility again.

ECONOMIC DATA Click on the chart for a full-size image U.S. import prices increase 0.5 percent on jump in fuel U.S. import prices jumped faster than expected in September amid resurgent energy prices but prices excluding fuels were unchanged. The Labor Department said import prices rose 0.5 percent last month. That was the largest increase since May and followed a revised 0.4 percent decrease in August. Excluding food and fuels, prices fell 0.1 percent in September. Prices for goods imported from China fell 0.1 percent in September for the third consecutive month. Prices for Chinese imports were up 0.4 percent in the 12 months through September. The report also showed export prices were unchanged in September after declining 0.2 percent in August.

WALL STREET WEEK AHEAD New communication sector's shine could soon wear off The mash-up of old and new media may not be a winning combination for the new S&P communication services sector as its highest fliers face regulatory threats and challenges to user growth.

GRAPHIC Most S&P 500 stocks are deep in correction territory As Wall Street steadied after its worst two-day slide in eight months, the U.S. stock market remained fragile, with nearly three quarters of the S&P 500's components in correction territory, or worse.

ANALYSIS Trump's ethanol plan: Hype now, legal fights later President Donald Trump's hyping of a plan to boost ethanol demand drew cheers at an Iowa rally on Tuesday, but the oil refining industry has promised a lawsuit to block the move, so victory for Midwest farmers is far from certain.

PARTNERSHIP Britain's Lloyds awards $40 bilion investment contract to BlackRock Lloyds Banking Group has awarded BlackRock a 30 billion pound slice of one of Europe's biggest investment contracts to be invested using the U.S. company's various index strategies.

ON THE RADAR Events ET Poll Prior Tue: Industrial production mm for Sep 0915 0.2 pct 0.4 pct Capacity utilization SA for Sep 0915 78.2 pct 78.1 pct Manufacturing output mm for Sep 0915 0.2 pct 0.2 pct Industrial production YoY for Sep 0915 -- 4.88 pct JOLTS job openings for Aug 1000 -- 6.939 mln NAHB Housing Market Index for Oct 1000 67 67 Net L-T flows exswaps for Aug 1600 -- 74.8 bln Foreign buying, T-bonds for Aug 1600 -- 18.9 bln Overall net capital flows for Aug 1600 -- 52.2 bln Net L-T flows, including swaps for Aug 1600 -- 56.6 bln

Wed: Building permits: number for Sep 0830 1.280 mln 1.249 mln Build permits: change mm for Sep 0830 -- -4.1 pct Housing starts number for Sep 0830 1.228 mln 1.282 mln House starts mm: change for Sep 0830 -- 9.2 pct

Thu: Initial jobless claims for 13 Oct 0830 212,000 214,000 Jobless claims 4-week average for 13 Oct 0830 -- 209,500 Continued jobless claims for 06 Oct 0830 1.665 mln 1.660 mln Philly Fed Business Index for Oct 0830 20.5 22.9 Philly Fed 6M Index for Oct 0830 -- 36.30 Philly Fed Capex Index for Oct 0830 -- 26.70 Philly Fed Employment for Oct 0830 -- 17.60 Philly Fed Prices Paid for Oct 0830 -- 39.60 Philly Fed New Orders for Oct 0830 -- 21.40 Leading index change mm for Sep 1000 0.5 pct 0.4 pct

Fri: Existing home sales for Sep 1000 5.30 mln 5.34 mln Existing home sales percentage change for Sep 1000 -0.3 pct 0.0 pct ECRI Weekly Index for 05 Oct 1030 -- 148.6 ECRI weekly annualized for 05 Oct 1030 -- 0.6 pct

KEY RESULTS

Company Name* Quarter ET Smart Estimates EPS Estimates** Year Ago Rev Estimates (mln)

Bank of America Q3 BMO $0.62 $0.62 $0.48 $22,669.02 J B Hunt Transport Services Q3 BMO $1.33 $1.39 $0.91 $2,225.11 Prologis Q3 AMC $0.35 $0.35 $0.57 $584.44

*Includes companies on S&P 500 index. **Estimates may be updated or revised; release times based on company guidance or past practice.

EPS and Revenue estimates are according to Thomson Reuters I/B/E/S. Smart Estimates are according to Thomson Reuters StarMine.

U.S. pastor Andrew Brunson and his wife Norrine arrive at the airport in Izmir, Turkey, October 12. REUTERS/Umit Bektas

The Day Ahead - North America is compiled by Samrhitha Arunasalam and Swathi Nair in Bengaluru.

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