The European Union is pushing China to open its economy to foreign investments and help restore the international trade order following US President Donald Trump's tariffs on US trade allies. The EU has signed a trade deal with Japan and started free-trade talks with Australia and New Zealand.
Technical analyst David Keller, CMT, says it cannot be denied that a small number of stocks have "contributed a relatively large percentage of gains for the S&P 500." If and when Microsoft, Amazon.com, Netflix, Intel and Adobe (MANIA) stocks or Facebook, Apple, Amazon, Netflix and Alphabet's Google (FAANG) stocks break, "the SPX will reflect that weakness just as much as it has reflected their strength, says Keller.
The NASDAQ 100 Index has "stood out," beginning July with a strong position and reaching new highs, say technical analysts Tom Pizzuti and Kurt Hulse, who believe the stock can climb higher. The analysts expect the that the big rally has almost come to an end: "From an Elliott wave perspective the impulsive form up from 2017 is complete."
A daily bar chart shows Schlumberger has followed a pattern of higher lows since November, says technical analyst Bruce Kamich, CMT, noting that the daily on-balance-volume line is "a bullish sign," as it is up from various lows since December. Kamich says he "would continue to trade SLB from the long side risking below the June low."
Federal Reserve Vice Chairman for Supervision Randal Quarles told a banking conference the Fed should consider easing rules for some US banks with more than $250 billion in assets rather than lumping them in with global systemically important banks. "We have a unique opportunity to further tailor our supervision and regulation framework for large banks," Quarles said.
Federal Reserve Chairman Jerome Powell expressed concern about trade tensions brought about by the Trump administration's policies. "We hear many, many stories of companies that are concerned and are now beginning to make investment decisions, or not make them, because of this," he said in congressional committee hearings.
Federal Reserve Chairman Jerome Powell told a House Financial Services Committee that the agency has no plans to regulate the growing cryptocurrency market because it is not big enough to threaten economic stability. Powell did warn that cryptocurrencies pose serious risks to "unsophisticated investors."
Wall Street banks are responding to pressure from the Federal Reserve to eliminate provisions that could encourage excessive risk-taking by traders and executives, said Federal Reserve Chairman Jerome Powell. "We moved ahead through supervisory practice to make sure that these things are better than they were," Powell said.
The New York City Council voted 45-0 for a bill requiring Airbnb to report the names and addresses of its hosts to a city enforcement agency to permit it to take action on illegal units. Liz DeBold Fusco, an Airbnb spokeswoman, said the measure was "rubber-stamped by the city council" at the request of hotel interests such as the Hotel Trades Council, which has donated thousands of dollars to city council members' campaigns.
The European Fund for Strategic Investments has surpassed its goal to stimulate €315 billion since its launch in July 2015, says Jean-Claude Juncker, European Commission president. The EC says EFSI increased GDP in the EU by 0.6% while supporting 750,000 jobs.