On Monday the housing market index for November dropped 1 point to 70, and big gains in the market failed to materialize after a report surfaced that Chinese officials are pessimistic about making a trade deal with the U.S. due to President Trump’s recent comments denying the U.S. would roll back tariffs. However, markets still rose a little, leading to record closes in the S&P 500, Dow Industrials, and Nasdaq Composite.
On Tuesday housing starts for October increased 3.7% to an annualized 1.314 million units. Tech stocks pushed up the Nasdaq Composite to close at a record high, however, the Dow Industrials and S&P 500 were dragged down by some major retailers with disappointing earnings. Ten-year Treasuries finished the day yielding 1.78% and West Texas Intermediate crude fell 3.2% to $55.25 a barrel.
On Wednesday the EIA petroleum status report for the week ending November 15th saw crude oil inventory increase 1.4 million barrels and the Federal Reserve released minutes from its last meeting showing that the Fed is comfortable with leaving interest rates the same until economic conditions materially change. Markets fell on fresh reports that the phase one trade deal with China might not happen this year.
On Thursday jobless claims for the week ending November 16th was unchanged at 227,000, however higher than expected, and existing home sales for October rose 1.9% to an annualized 5.46 million units. Markets continued trending modestly downward as confusion over the true status of U.S.-China trade negotiations took its toll.
On Friday consumer sentiment for November rose 1.1 points to 96.8 and markets opened higher after President Trump said a trade deal with China was very close. Now let’s take a look at some stocks.
Kohl’s Corporation (NYSE: KSS) shares tanked by more than 16% on Tuesday after the company reduced its outlook and missed expectations. For the quarter, Kohl’s reported earnings of $0.74 per share on revenue of almost $4.4 billion. Analysts expected earnings of $0.86 per share. Kohl’s reported same-store sales growth of 0.4%, falling short of expectations of 0.8%.
Urban Outfitters, Inc. (NASDAQ: URBN) shares tumbled by 10% after the company missed earnings and sales projections. Urban Outfitters reported earnings of $0.56 per share on revenue of $987 million. The Company said that profit declined from $78 million to $56 million at the end of the quarter, however, revenue marginally increased by 1.4% year-over-year.
Target Corporation (NYSE: TGT) shares reached all-time highs after the company reported better-than-expected earnings on Wednesday morning, coming in with earnings of $1.36 per share on revenue of almost $18.7 billion. Analysts expected earnings of $1.19 per share on revenue of $18.5 billion. Same-store sales grew by 4.5%. at the end of the quarter. Analysts expected same-store sales growth of 3.6%.
L Brands, Inc. (NYSE: LB) reported its third quarter financial results after the closing bell on Wednesday, coming in with earnings of $0.02 per share on revenue of almost $2.7 billion.. The company matched earnings estimates, but fell short of revenue expectations. Total comparable sales for the quarter was down 2%, led by declines in the Company’s Victoria’s Secret segment. Nevertheless, shares rallied by 15% on Thursday morning.
Macy’s, Inc. (NYSE: M) reported its third quarter financial results on Thursday morning. The retailer reported in-line earnings, but fell short of analysts’ revenue expectations, sending shares lower by 2% shortly after the opening bell. Macy’s reported earnings of $0.07 per share on revenue of almost $5.2 billion. Comparable sales for the quarter dropped by 3.5% versus estimates of a 1% decline. For fiscal 2019, Macy’s slashed its guidance.