Futures tied to the S&P 500 turned lower on Monday, following mixed performance in Asian markets, where escalated tensions between Chinese authorities and protesters in Hong Kong had added to established concerns over global trade.
Hong Kong’s Hang Seng Index closed -0.44% lower after protests at the city’s airport prompted authorities to cancel all flight departures, in what Chinese authorities have called “the first signs of terrorism” as they vowed a merciless crackdown.
The increasingly violent protests, sparked by a controversial extradition bill in June, have plunged the Hong Kong financial hub into its most serious crisis in decades, while simultaneously being one of the biggest challenges to face Chinese leader, Xi Jinping, since his rise in 2012.
This gloom highlights a fragile mood across global markets, which have endured a tumultuous start to August, amid fresh concerns over the US-China trade dispute.
The S&P 500 fell -0.68% on Friday, capping an end to a volatile week, which began with the worst US equity market sell-off of the year.
Meanwhile, the Nasdaq Composite fell -0.94% amid weakness in Technology shares (-1.13%) and the Dow Jones Industrial Average slipped -0.36% into the close.
All three major indices posted losses for the week, with the S&P 500 down -0.34%.
Ahead, in today’s corporate calendar; Sysco (SYY), Array Biopharma (ARRY) and Greenlane Holdings (GNLN) are expected to report their latest earnings figures today.
TODAY'S TOP HEADLINES
Hong Kong: Hong Kong Airport Cancels Flights as Protesters Flood In. (The WSJ)
Hong Kong’s airport authority canceled more than 100 flights Monday afternoon as thousands of demonstrators thronged the city’s airport to protest police for their handling of this summer’s long-running protests.
Today's Economical Announcements.
02:00PM - ★★☆ - Federal Budget Balance (Jul) (Previous: -8.0B)
STOCKS IN THE SPOTLIGHT
Pre-Market Movers & News Related Stocks.
Cloudera (CLDR): [NEWS] Announced a voting and standstill agreement with investor Carl Icahn, who disclosed an 18% stake in Cloudera earlier this month. Two Icahn employees have been appointed to the board of directors, with Icahn agreeing not to seek further board representation and limiting his ownership stake to no more than 20 percent.
Occidental Petroleum (OXY): [RATING] Evercore rates the energy producer “in-line” in resumed coverage, compared to its most recent rating of “outperform.” The firm said the acquisition of Anadarko Petroleum makes Occidental larger, but significantly less valuable.
Tyson Foods (TSN): [NEWS] Said about 3,800 workers at a Kansas meat processing plant will be out of work following a Friday night fire that caused significant damage.
BlackRock (BLK): [NEWS] Bought a majority stake in Authentic Brands, the owner of well-known brands like Sports Illustrated, Nine West, and Aeropostale. The asset management firm did not disclose financial details, but The Wall Street Journal reports the stake is worth about $875 million and values the company at more than $4 billion.
Capri Holdings (CPRI): [NEWS] Versace, a unit of the Michael Kors owner, issued an apology following widespread criticism in China of one of its t-shirts. The shirt identified Hong Kong and Macau, which are Chinese territories, as countries.
Humana (HUM): [UPGRADE] Cantor Fitzgerald upgraded the health insurer to “overweight” from “neutral,” noting strong second quarter results, growth in Humana’s Medicare Advantage business, and effective cost management.
Rite Aid (RAD): [NEWS] Appointed Heyward Donigan as its new chief executive officer. He replaces John Standley, who announced in March that he would depart when a successor was found.
GAINERS: APPN, OSTK, CBLK, SONO, CVNA, AMGN, NWSA, SWCH
DECLINERS: FTCH, DXC, QNST, REAL, MAT, DBX, RUN, HQY
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