×

Markets rally despite Italian referendum results

IN THE NEWS TODAY

Markets reversed themselves after the euro hit a 21-month low following an initial negative reaction to the Italian referendum. The euro has gained back most of its losses, U.S. stock index futures are indicated higher, and European averages are rallying. (CNBC)

Here in the US, the Dow continues to outperform and is poised to hit another all-time high at the open following four straight weeks of gains. The S&P 500 and the Nasdaq are coming off losing weeks, with the Nasdaq taking a 2.7 percent hit last week. (CNBC)

Brent crude oil prices rose above $55 a barrel on Monday, trading at a fresh 16-month high, as optimism spread about the prospect of a tightening market after OPEC members agreed on a landmark deal to cut production last week. (Reuters)


Trump announced his intent today to nominate 2016 campaign rival Ben Carson for the role of secretary of Housing and Urban Development. (CNBC)

A federal court ruled that Michigan must begin its presidential vote recount at noon today, rejecting an effort by state officials to delay the 4.8 million-ballot count. (AP)

On Twitter this weekend, Trump accused China of currency manipulation, unjust militarization of the South China Sea and unfair taxation of U.S. products. His comments came after the president-elect spoke with the leader of Taiwan, breaking U.S.foreign policy protocol. (CNBC)

Trump also over the weekend threatened a 35 percent tax on products sold in the U.S. by domestic companies that move operations abroad, calling out Rexnord for its plans to shift 300 factory jobs to Mexico. (NY Times)

Royal Bank of Scotland settled most of its legal claims with shareholders involving a $15.2 billion rights issue in 2008. Those shareholders alleged they were misled when they took part in fundraising. (The Street)

The Army Corps of Engineers said Sunday it would not approve construction of the Dakota Access Pipeline, handing a victory to protesters at the Standing Rock reservation who said it would tarnish a water source and harm sacred Native American sites. (CNBC)

Johnson & Johnson (JNJ) has increased its bid for Switzerland-based biotech firm Actelion to more than $250 per share after Actelion rejected an initial proposal of about $246 per share, sources say. (Reuters)

An antitrust trial over a merger between health-care insurance giants Aetna and Humana comes to court today. The Obama administration says the $37 billion deal could create Medicare Advantage monopolies. (CNBC)

BY THE NUMBERS

The only economic report of note today comes at 10:00 a.m. ET, when the Institute for Supply Management issues its November nonmanufacturing index. The measure of the U.S. services economy is expected to rise to 55.1 from 54.7 in October.

New York Fed President William Dudley will sit down for an exclusive interview with CNBC following a morning appearance before the Association for a Better New York. Chicago Fed President Charles Evans and St. Louis Fed President James Bullard also have public appearances today.

STOCKS TO WATCH

Apple (AAPL) is reportedly in a customs dispute with Britain, which is said to have labeled the wristband of the Apple Watch as "other plastic," making it subject to a 6.5 percent tariff. Separately, reports say Yoky Matsuoka has left the company — she joined Apple in May as a health technology executive after serving as vice president of technology at Nest.

Energy Transfer Partners (ETP) and Sunoco Logistics (SXL) issued a statement criticizing the government's decision not to issue an easement for their Dakota Access Pipeline. The companies called it a "purely political action."

Walt Disney's (DIS) "Moana" topped the weekend box office for the second straight weekend, taking in $28.4 million in North American ticket sales, continuing a strong year for Disney movies ahead of the release of the next "Star Wars" film in mid-December.

Barron's has named its 10 favorite stocks for 2017, saying they have largely lagged the market this year and have reasonable valuations. They are: Alphabet (GOOGL), Apple (AAPL), Citigroup (C), Delta Air Lines (DAL), Deutsche Telekom (DTEGY), Merck (MRK), Novartis (NVS), Toll Brothers (TOL), Unilever (UL) and Walt Disney (DIS).

TripAdvisor (TRIP) was upgraded to hold from sell by Stifel Nicolaus, which cited valuation for the call. The travel website operator's shares have fallen 28 percent since the beginning of November.


WATERCOOLER

Spending on social media advertisements will top spending on newspapers in the next four years, according to a report from ad agency Zenith out today. By 2019, social media advertising will be worth $50.2 billion compared with newspapers' $50.7 billion, and will be in the lead by 2020, the report said. (CNBC)

Apple sent a feedback letter to the National Highway Traffic Safety Administration on its planned regulation of self-driving vehicles. In the Nov. 22 letter, which came to light Friday, Apple hinted it would play a role in the automated vehicle industry. (Fortune)