CLF - Stock Market News: PepsiCo Gets the Munchies; Cleveland-Cliffs Makes a Big Steel Bet
The stock market took a big hit Tuesday morning, responding to comments from the White House that took away assurances that a deal between the U.S. and China might resolve trade tensions in the near future. President Trump denied any firm timeline for a Chinese trade deal, suggesting that it could wait until after next year's presidential election, and that disappointed those who had grown increasingly confident that at least a partial agreement might come soon. As of 11 a.m. EST, the Dow Jones Industrial Average (DJINDICES: ^DJI) was down 446 points to 27,337. The S&P 500 (SNPINDEX: ^GSPC) fell 37 points to 3,077, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) dropped 112 points to 8,456.
With earnings season largely behind us, merger and acquisition activity came to the forefront. PepsiCo (NASDAQ: PEP) made waves by buying a snack food specialist, but investors were less comfortable with Cleveland-Cliffs' (NYSE: CLF) move in the steel industry.
Shares of PepsiCo were little changed Tuesday morning after the beverage and snack giant announced an agreement to acquire privately held BFY Brands. PepsiCo didn't provide terms for the acquisition, saying simply that it's subject to typical conditions and regulatory approvals.