US stocks end the day higher: May 4, 2020

US stocks kicked the new week off lower as tensions between the United States and China are rising.

President Donald Trump last week threatened China could face new tariffs over its handling of the coronavirus outbreak.

US Secretary of State Mike Pompeo said Monday over the weekend there is "enormous evidence" that the virus originated in a laboratory in Wuhan. Meanwhile, Trump said tariffs would be the "ultimate punishment" for China.

Tyson (TSN) warned Monday that it expects more meat plant closures this year.

The company also said it will continue producing less meat than usual, as workers refrain from coming to work during the coronavirus pandemic.

The meat processor has shuttered a number of plants in recent weeks as workers fall ill with Covid-19. It's warned that if the closures continue, America's food supply will suffer.

Tyson shares fell more than 6% in premarket trading. Read more here.

Over the last century, Disney (DIS) has built an empire around entertaining large crowds in dense spaces. But following one of its best years ever in 2019 the coronavirus pandemic brought Disney to a halt.

Its parks and resorts have closed around the world, major films like "Mulan" and "Black Widow" are delayed and one of its biggest media networks, ESPN, is scrambling to fill its airtime due to a lack of sports. This has led Disney to furlough thousands of employees and led its stock to drop 27% year to date.

The company will report its earnings after the bell on Tuesday, and investors are eager to learn just how deeply the pandemic has hurt Disney's business.

"What everyone's worrying about is that we don't know when things are going to get back to normal," Michael Nathanson, a media analyst and founding partner at MoffettNathanson, told CNN Business.

"Will people be reluctant to go to parks? Will people want to sit in the theater next to strangers for fear of catching the virus?" he asked. "That's what the market is wrestling with when it comes to Disney."

Dave & Buster's (PLAY) is receiving a much-needed financial boost as its entertainment centers remained closed because of the pandemic.

Investment firm Jeffries has bought $100 million in stock, with an option to buy an additional $15 million in the next month. Dave & Buster's said it would use the money to "strengthen its balance sheet," according to a release.

Dave & Buster's shares fell 10% in premarket trading and is down 65% for the year. The debt-laden company said last month in its earnings that it was exploring a deal like this.

Shares of American (AAL), United (UAL), Delta (DAL) and Southwest Airlines (LUV) all fell more than 10% in premarket trading after Berkshire Hathaway CEO Warren Buffett disclosed he had dumped his large stakes in each.

At Berkshire's virtual annual meeting on Saturday Buffett said that Berkshire had sold its entire stake in all four carriers because he believes it will take years for air travel to recover from the coronavirus crisis.

US air travel has fallen more about 95% from a year ago, and all the carriers are receiving billions of dollars in federal help. Berkshire had been the among the three largest shareholders in all four airlines, which between them account for more than 80% of US air travel.

In April, Berkshire disclosed that it sold 18% of its stake in Delta and 4% of its stake in Southwest. But it had yet to disclose any subsequent sales in filings, so the sales of the stakes must have been fairly recent. It held 9.2% of Delta's shares, and 9.7% of Southwest before the recent sales, along with 10.1% of American and 7.7% of United, according to the most recent filings.

J.Crew Group, which operates the J.Crew and Madewell brands, has become the first national US retailer to file for bankruptcy protection since the coronavirus pandemic forced a wave of store closures.

The clothing retailer said Monday that it has filed to begin Chapter 11 proceedings in federal bankruptcy court in the Eastern District of Virginia. The company also said it had reached a deal with its lenders to convert about $1.65 billion of debt into equity.

The retailer expects to stay in business and emerge from bankruptcy as a profitable company. Madewell, the fast-growing denim brand that had been slated for an IPO, will remain part of the business.

Read more here.

Global markets and US stock futures dropped Monday after the White House renewed efforts to blame China for the coronavirus pandemic and President Donald Trump warned the disease could kill up to 90,000 Americans.

Here's where futures stand at 6:15 am ET:

The declines built on losses on Wall Street late last week, when Trump hinted that the United States could punish China with new tariffs because of the coronavirus outbreak.

Warren Buffett said he remains convinced that nothing can stop the United States and that America will recover from the Covid-19 pandemic -- just as it did following other crises of the past century.

But the billionaire Berkshire Hathaway (BRKA) CEO disclosed Saturday that Berkshire Hathaway recently sold its entire stakes in the four airline stocks that company had owned, calling it a mistake to invest in the industry.

Berkshire Hathaway revealed in early April that it trimmed its stakes in Delta (DAL) and Southwest (LUV). Both stocks are sharply lower in premarket trading.

But in response to a question from a Berkshire shareholder, Buffett said the company sold all its shares in Delta and Southwest, as well as United (UAL) and American (AAL), because he believes it will take years for air travel to recover.

Buffett, who has long been bullish on the US economy and stock market, spoke at the company's annual shareholder meeting from a virtually empty CHI Health Center in Omaha Saturday.

Read more here.

Months of anti-government protests and the US-China trade war forced Hong Kong into its first recession in a decade last year. Now the coronavirus risks plunging the Asian financial hub into its worst ever slump.

Hong Kong's economy shrank 8.9% in the January-to-March period compared to a year earlier, according to estimates released by the government on Monday. It's the third straight quarter of contraction for the trade and finance hub, and its worst quarterly drop since records began in 1974.

Read more here.