Rough Start To The Week, Tech And China Weigh On Stocks

Profit from the Pros Rough Start To The Week, Tech And China Weigh On Stocks Stocks closed sharply lower yesterday as big tech led the selloff. Tech has been exhibiting weakness for a while, so a tech-led decline isn't shocking. But plenty were hoping for a longer respite from the selling than what we got. Also weighing on stocks is the uncertainty surrounding the U.S./China trade talks. While the market cheered the President's comments last week that he might not impose additional tariffs on China, the billions of dollars of tariffs already in place, from both sides, haven't gone away. President Trump and President Xi are expected to talk at this month's G20 summit. But that's still more than a week and a half away (Nov. 29th). And there's been lots of mixed signals leading up to this point so it's hard to get a good read on what to expect. A breakthrough at the meeting would be cheered wholeheartedly. But for now we wait. In the meantime, it's great to have the seasonally strong months of November and December in play and on deck. Granted, November is still in the minus column. But the month's not over. The biggest thing going for the market, of course, is the economy. It can almost feel surreal sometimes seeing the market pull back while the economy, employment, and corporate earnings are soaring. But the market is forward looking. And that's why the trade talks between the U.S. and China, the two largest economies in the world, are so important. For the record, the market, at any time, can start making its way back up prior to any trade talk agreement. But the longer the uncertainty festers, the harder it will be without something concrete. Trading should be lighter this week given the shortened holiday (Thanksgiving) trading week. But that could easily exacerbate what the market does in either direction. Traders will be eying the lows we saw last week in the Dow and the S&P to see if they hold (even though the tech-heavy Nasdaq already took them out). If they hold, a rally is likely to develop. If those give way, the next level of support comes in at the pullback's October 29th lows. See you tomorrow, Kevin Matras Executive Vice President, Zacks Investment Research Sponsor [The Mysterious "Secret Stock"]( It trades under a secret name... for just $3. But thanks to a developing situation involving Donald Trump, America's No. 1 tech company and $10 billion... this may soon be the most talked-about stock in America. [Find out more about the "secret stock" here.]( Most Popular Articles from Zacks.com [4 Low P/CF Stocks to Add Maximum Value to Your Investment]( This metric evaluates the market price of a stock relative to the amount of cash flow that the company is generating on a per-share basis. [Read More »]( [3 Payment Stocks Set to Gain From Holiday Season Sales]( The increase in spending holds all the more shine for payments' companies as transactions are increasingly being made online, through mobiles and via cards. [Read More »]( [Shoppers to Splurge This Thanksgiving Weekend: 5 Picks]( Upbeat economic conditions and a two-decade high consumer confidence are making retail a solid bet. [Read More »]( [Manufacturing Output Rises for Fifth Straight Month: 5 Picks]( Manufacturers have turned to strategies such as nearshoring and reshoring to battle new challenges. [Read More »]( [3 Great REITs to Buy Right Now]( The proven Zacks Rank, which emphasizes earnings estimates and estimate revisions, works with REITs just as it would with any other company. [Read More »]( Sponsor [Why Haven't You Looked at Zacks' Top Stocks?]( Our 5 best-performing strategies have blown away the S&P's +35.0% gain from 2017 through Q3 2018. Amazingly, they soared +91.1%, +111.0%, +122.0%, +137.9%, and +139.6%. Today you can access their live picks without cost or obligation. [See Stocks Free >>]( [Bull of the Day: Canada Goose (GOOS)]( Canada Goose looks poised to surge as it expands its direct-to-consumer push in major retail hubs. [Read More »]( [New Zacks Strong Buys for November 20th]( Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. [Read More »]( [Customize Your Profit from the Pros Delivery]( Connect with Us: [Facebook]( [Twitter]( [StockTwits]( Contact Info: Phone: 1.800.767.3771 ext. 9339 Email: [support@zacks.com](emailto:support@zacks.com) [Get it on Google Play]( [Get it on Google Play]( [Terms]( | [Privacy]( | [Unsubscribe](