(Thursday Market Open) After an impressive start to the week, markets appear to face some tough sledding Thursday as investors eye disappointing earnings from Morgan Stanley (MS), lack of progress on China trade, and no end in sight to the U.S. government shutdown.
While focus in the early going might be on MS, the market was already down before that as new clouds appeared on the China trade horizon. A Republican senator said President Trump is considering new auto tariffs, and the Chinese government put out a statement critical of U.S. pressure on the China technology firm Huawei.
Going into Thursday, it seemed fair to say banks were having a pretty decent earnings season, and many did. However, MS ran into trouble late in Q4 as its wealth management and fixed income trading businesses sagged, and the company missed third-party consensus estimates for both revenue and earnings per share. The stock fell more than 5% at one point in pre-market trading before clawing back a bit, and other major bank shares took a hit as well. However, the rest of the market seemed relatively unaffected by the MS news.
Given the fact that every other major bank said they wer
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