Closing Bell
U.S. indices had a strong day of trading Wednesday with the Nasdaq and S&P 500 closing the day at new record highs and the Dow Jones Industrial rising trading near a 7 month high.
The Dow rose 0.23%, or 61 points to 26,125, while the S&P gained 0.57%, or 17 points to 2,914, and the Nasdaq closed the day up 0.99%, or 80 points to 8,110.
Maker of Jack Daniels Is Worried About Tariffs
The United States' trade war with the world has claimed another victim; Brown-Forman Corp.'s (BF.B) bottom line.
The company said that it was delaying a planned price increase in some EU markets in order to minimize the consumer impact of the 25% tariffs that the Europen Union began imposing on U.S. whiskey.
Brown-Forman is the parent company of Jack Daniel's, as well as Old Forester and Woodford Reserve bourbon.
The company also warned that its profit forecasts for the fiscal year are in jeopardy depending on how long the EU and U.S. trade negotiations remain at a standstill.
Yum China Declines $17 Billion Buyout Offer
Yum China (YUMC) rejected a $17 billion offer from Hillhouse Capital Group that would have taken the company private at $46 per share, according to the Wall Street Journal.
That price represents a 42% premium over the where the stock was trading a month ago when reports first brought to light the takeover interest in the restaurant brand.
Yum China shares are up more than 5% on the news.
Dick's Points the Finger at Under Armour for Weak Sales
Dick's Sporting Goods (DKS) is placing the blame for its tepid financial quarter on weak sales from the Under Armour (UA) brand as the company missed on analysts' sales expectations for the period.
Dick's assertion is not only dragging down its own stock, which is falling nearly 4%, but also Under Armour's, which is down 1.5%. Under Armour has actually been able to crawl back after being down more than 4% earlier in the session.
"As expected, sales were impacted by the strategic decisions we made regarding the slow growth, low margin hunt and electronics businesses, which accounted for nearly half of our comp decline," Dick's Sporting Goods CEO Ed Stack said in the company's earnings release. "In addition, we experienced continued significant declines in Under Armour sales as a result of their decision to expand distribution."
Chinese Tesla Rival Files for $1.6 Billion U.S. IPO
NIO, a Chinese electric-vehicle maker, will launch a $1.32 billion public offering in two weeks on the New York Stock Exchange.
The company, which has billed itself as an emerging Tesla rival, launched an IPO of 160 million American depositary receipts at a price range between $6.25 and $8.25, which values the car maker at up to $8.5 billion.
That offering should net the company as much as $1.52 billion, which is smaller than the $2 billion the company was hoping to raise last year.
Anaheim Ends Nearly $300 Million Disneyland Subsidy
Disneyland's (DIS) operating margin is about to get thinner after the Anaheim City Council ended $267 million in tax-payer funded subsidies.
The city's government has been negotiating with Disney about the subsidies, which would have kicked in if the company built a luxury hotel at the Disneyland Resort in Anaheim.
The initial plan was for Disney to build a 700-room hotel on a parking lot with construction creating 1,500 jobs and the hotel providing another 1,000 permanent jobs. However, once Disney decided to move the location of the hotel, the city council demanded further research on the economic impact of the hotel and Disney eventually scrapped the whole idea.
Premarket
The Nasdaq is in a position to set another all-time high, while S&P and Dow futures also rise premarket Wednesday.
Dow futures are up 0.02%, indicating an open 6 points higher, while S&P futures are up 0.06%, indicating an open 2 points higher, and Nasdaq futures are up 0.18%, indicating an open 14 points higher.
Asian markets were mixed, with the Shanghai Composite dropping 0.31% while the Hang Seng and Nikkei rose 0.23% and 0.15% respectively.
European markets are also mixed with the FTSE 100 falling 0.37% while the DAX and CAC 40 gained 0.12% and 0.21% respectively.
