The New York Times - 30.07.2019

B2 N THE NEW YORK TIMES BUSINESSTUESDAY, JULY 30, 2019

Months

36 2510 30

Years

240

250

260

270

’16 ’18

400

500

600

700 thousand

’16 ’18

80

100

120

’16 ’18

3

4

5

6%

’16 ’18

0

200

400

600

$800 a bushel

’10 ’12 ’14 ’16 ’18

0

50

$100 a barrel

’10 ’12 ’14 ’16 ’18

0

1

2

3

4

5

6%

’10 ’15 ’19

90

100

110

120

’14 ’15 ’16 ’17 ’18 ’19

1.0

1.1

1.2

1.3

$1.4

’14’15’16’17’18’19

0

1

2

3%

0

1

2

3%

’18 ’19

+2.5

+2.0

+1.5

+1.0

+0.5

0.0

–0.5

–1.0

–1.5

–2.0

Communication services %

Consumer staples

Financials

Technology

Health care

Utilities

Real estate

Consumer discretionary

Materials

Industrials

Energy

+3.2

+1.2

+1.0

+0.6

+0.4

+0.4

+0.3

+0.2

+0.0

–0.2

–0.5

1. Vanguard Short-Term Investment-Grade Adm(VFSUX) +5.5% +2.3% $42.0


2. Vanguard Interm-Term Investment-Grde Adm(VFIDX) +9.5 +3.6 28.4


3. Vanguard High-Yield Corporate Adm(VWEAX) +8.6 +5.0 21.2


4. Lord Abbett Short Duration Income F(LDLFX) +5.0 +2.4 20.4


5. Vanguard Short-Term Bond Index Adm(VBIRX) +5.3 +1.8 14.4


6. Fidelity Capital & Income(FAGIX) +6.1 +5.6 11.7


7. American Funds American High-Inc A(AHITX) +5.6 +3.6 10.6


8. PIMCO Short-Term Instl(PTSHX ) +2.3 +2.0 9.8


9. Loomis Sayles Bond Instl(LSBDX) +5.1 +2.3 8.3


10. DFA One-Year Fixed-Income I(DFIHX) +2.9 +1.1 7.9


11. Mylan NL (MYL) $20.78 +12.6% $60.9


12. AMD (AMD) 33.48 –1.6 45.5


13. Fiserv (FISV) 104.64 +2.3 40.8


14. BofAML (BAC) 30.52 –0.8 38.8


15. GE (GE) 10.38 –1.2 36.3


16. Ford Motor (F) 9.60 +0.3 35.8


17. AT&T (T) 34.34 +0.6 30.4


18. Micron Tech (MU) 46.82 –1.4 21.8


19. Apple (AAPL) 209.68 +0.9 21.3


20. Twitter (T W TR) 41.50 –0.1 21.0


21. National Oilw (NOV) $20.68 –4.8%


22. Pfizer (PFE) 41.45 –3.8


23. Affiliated Mn (AMG) 86.65 –3.8


24. Halliburton (HAL) 22.18 –3.7


25. Raymond James (RJF) 81.86 –3.5


26. Mohawk Inds (MHK) 124.48 –3.4


27. M a r k e t A x e s s ( M K T X ) 3 3 6. 9 0 – 3. 2


28. Autodesk (ADSK) 162.77 –3.1


29. Baker Hughes (BHGE) 24.09 –3.0


30. Fortinet (FTNT) 82.96 –2.8


31. Chipotle (CMG) $809.03 +3.7%


32. Cigna (CI) 172.24 +3.0


33. Colgate (CL) 75.57 +2.6


34. Mattel (MAT) 14.51 +2.4


35. Fiserv (FISV) 104.64 +2.3


36. Kohls (KSS) 53.46 +2.2


37. R e smed (RMD) 129.41 +2.0


38. Hasbro (HAS) 126.07 +1.9


39. Union Pacific (UNP) 177.50 +1.9


40. Hologic (HOL X) 50.38 +1.8

+ 5%

0%

• 5%

2,600 –10%

2,700

2,800

2,900

3,000

3,100

May June July

+ 5%

0%

• 5%

–10%

7,500

8,000

8,500

May June July

+ 5%

0%

• 5%

–10%

24,000

25,000

26,000

27,000

28,000

May June July

3020.97 0.2% 8293.33 0.4% 27221.35 0.1%

Shanghai –0.1%

Tok yo – 0.2%

Frankfurt –.0%

London +1.8%

Toronto – 0.2%

New York –0.2%

$1 = 108.78

$1.1147 Unemployment Rate

New-home sales

Consumer confidence

Industrial production

Specialty and short-term bonds

S&P 500 Nasdaq Composite Index Dow Jones industrials

Best performers Worst performers Most active

Sector performance

Bonds

Yield curve

Key rates

Borrowing rate

Crude oil

Corn

Savings rate

yen

10-year Treas.

YESTERDAY

1-YE AR AGO

2-year Treas. Fed Funds

Currencies Consumer rates Commodities Economy

How stock markets fared yesterday in Asia ... ... in Europe ... and in the Americas.

CLOSE

S&P 500 SECTORS

CLOSE CLOSE 1 YR 5 YRS

TOTAL RETURNASSETSTOTAL

CHANGE CHANGE CHANGE IN MIL. IN BIL.

VOLUME

POWERED BY

What Happened in Stock Markets Yesterday

What Is Happening in Other Markets and the Economy

Major stock market indexes

6 p.m. E.S.T. 8 10 12 a.m. 2 4 6 a.m. 8 10 12 p.m. 2 4 6 p.m.

Maturity

1-year CDs

30-year fixed mortgages

S&P 500 COMPANIES S&P 500 COMPANIES S&P 500 COMPANIES

Source: Morningstar

1 euro =

The Digest

Stock indexes closed mostly lower

on Monday as investors turned

cautious ahead of a key Federal

Reserve interest policy announce-

ment and other potentially mar-

ket-moving developments on tap

for this week.

Banks, retailers and communi-

cations companies took the brunt

of the selling. Those losses were

partially offset by gains in health

care and household goods mak-

ers. Utilities and real estate stocks

also rose, as traders shifted funds

into less risky assets.

The modest slide cut into some

of the market’s gains from Friday,

when the benchmark S&P 500 hit

an all-time high.

Traders are expecting that the

Federal Reserve will announce on

Wednesday that it is cutting inter-

est rates for the first time in a dec-

ade to help ensure economic

growth in the face of trade uncer-

tainty.

Investors will also be wading

through the heaviest slate of the

current corporate earnings re-

porting season this week. And

they’ll be keeping an eye on trade

negotiations between the United

States and China, which resume

Tuesday, and on a key govern-

ment jobs report due out Friday.

“This is a marking time sort of

day with earnings coming up, with

the Fed coming up, with the eco-

nomic data coming up later this

week,” said Willie Delwiche, in-

vestment strategist at Baird. “If

anything, you have a modest reac-

tion to the all-time highs that we

saw on Friday and a chance to

take profits, but not much convic-

tion either way.”

The S&P 500 index slipped 4.89

points, or 0.2 percent, to 3,020.97.

The Dow Jones industrial average

rose 28.90 points, or 0.1 percent, to

27,221.35.

The Nasdaq composite fell

36.88 points, or 0.4 percent, to

8,293.33. The Russell 2000 index

of smaller companies slid 9.94, or

0.6 percent, to 1,569.02.

Bond prices rose. The yield on

the 10-year Treasury note fell to

2.06 percent from 2.07 percent late

Friday.

Despite Monday’s selling, the

market’s record run at the end of

last week kept the broader market

on track for another month of

gains. The S&P 500 is up 2.7 per-

cent in July and the Nasdaq is up

3.6 percent.

Even with a busy week of corpo-

rate earnings on deck this week,

Wall Street will be focused mainly

on the outcome of the Fed’s meet-

ing of policymakers.

Investors are expecting the Fed

will cut its short-term rate by a

quarter of a percentage point from

its current range of 2.25 percent to

2.50 percent. That would be the

Fed’s first rate cut in a decade.

Financial stocks accounted for

a big share of the selling Monday.

Shares of Raymond James Finan-

cial slid 3.5 percent and Wells

Fargo & Co. stock dropped 2.1 per-

cent. The sector fell as bond yields

dropped, which pulls interest

rates on mortgages and other

loans lower.

Retailers and other consumer-

oriented companies also weighed

on the market, with Amazon stock

sliding 1.6 percent and shares of

the discount chain Dollar Tree los-

ing 2.1 percent. Facebook stock

dropped 1.9 percent and Dish Net-

work stock fell 3.1 percent as part

of a broad slump in communica-

tions stocks.

Gains in health care companies

partly offset some of those losses.

The sector was mostly propped up

by pharmaceutical companies

ahead of some key earnings. Some

corporate deal news involving

health companies also helped

boost the sector.

Cooper Tire & Rubber’s latest

quarterly report card helped put

traders in a selling mood. The

stock tumbled 9.6 percent after

the company’s results fell far

short of Wall Street’s forecasts be-

cause of a weak tire market in

China and Europe.

Benchmark crude oil rose 67

cents to settle at $56.87 a barrel.

Brent crude oil, the international

standard, gained 25 cents to close

at $63.71 a barrel.

The dollar rose to 108.78 Japa-

nese yen from 108.67 yen on Fri-

day. The euro strengthened to

$1.1147 from $1.1122.

Markets Slip Ahead of Fed Meeting

By The Associated Press

The S&P 500 Index

Position of the S&P 500 index at 1-minute intervals on Monday.

Source: Refinitiv THE NEW YORK TIMES

3,030

10 a.m. Noon 2 p.m. 4 p.m.

3,020

3,025

3,015

Previous close

3,025.86

3-Month Treasury Bills

High rate at weekly auction.

Source: The Bond Buyer THE NEW YORK TIMES

2.0

2.4%

2.1

2.2

2.3

April May June July

2.070%

STOCKS & BONDS

10-YEAR TREASURY YIELD

2.06%

–0.01%

CRUDE OIL (U.S.)

$56.87

+$0.67

S&P 500 INDEX

–0.16%

3,020.97

DOW JONES INDUSTRIALS

+0.11%

27,221.35

NASDAQ COMPOSITE INDEX

–0.44%

8,293.33

GOLD (N.Y.)

$1,419.60

+$1.10

TECHNOLOGY

Partnership to Invest

$2 Billion in Indonesia

SoftBank and Grab, a Southeast
Asian ride-hailing app, said Mon-
day they would invest $2 billion in
Indonesia over the next five
years.
Grab made the announcement
after a meeting on Monday be-
tween President Joko Widodo of
Indonesia and executives from
Grab and its major investor, Soft-
Bank, a Japanese technology
company.
Grab planned to use money al-
ready invested in it by SoftBank
for the investments in Indonesia,
which is Southeast Asia’s largest
economy.
In its statement, Grab said it
and SoftBank will “create a next-

generation transport network for

Indonesia based around an elec-

tric vehicle ecosystem that will

drive cities toward a greener and

cleaner transportation grid.”

The statement also mentioned

development of “e-healthcare”

and mapping services.

ASSOCIATED PRESS

FINANCE

FINRA Fines Citigroup

Over Employee Vetting

The Financial Industry Regula-
tory Authority said on Monday it
had fined Citigroup’s Global Mar-
kets business $1.25 million for fail-
ing to perform proper back-
ground checks on thousands of
employees between 2010 and
2017.
Citigroup, a New York-based
bank, did not conduct “timely or
adequate” background checks for
roughly 10,400 nonregistered em-
ployees, according to the regula-
tor, known as FINRA. As a result,

the bank employed at least three

individuals with criminal histo-

ries, the authority said.

FINRA requires most employ-

ees at the broker-dealer firms it

regulates to be fingerprinted and

be screened for past criminal his-

tory regardless of whether the

employee will be registered.

While Citi had strict procedures

to screen employees who were

registered or intended to become

registered, the bank had looser

procedures for nonregistered em-

ployees, FINRA found.

Citi, the third-largest bank in

the United States by assets, did

not admit to or deny the charges.

REUTERS

HEALTH

Exact Sciences in Deal

To Expand Cancer Testing

Exact Sciences said on Monday it
would buy Genomic Health for
about $2.8 billion in cash and
stock, expanding its testing capa-
bilities in breast and prostate can-
cers.
The deal will bring together Ex-
act Sciences’ noninvasive stool
screening test for colorectal can-
cer, Cologuard, and Genomic
Health’s diagnostic tests for vari-
ous cancers, Oncotype.

Genomic Health would help ex-

pand Exact Sciences’ focus from

screening to treatment selection

as well as monitoring, which are

highly attractive markets, said

Mark Massaro, an analyst.

Colorectal cancer testing repre-

sents a $15 billion opportunity in

the United States, according to

Exact Sciences.

The deal, expected to close by

the end of 2019, was estimated to

yield about $25 million in cost

synergies within the third year,

the companies said in a state-

ment. REUTERS

ACHMAD IBRAHIM/ASSOCIATED PRESS