By CNN Business
From CNN Business' Anneken Tappe
US stocks finished lower on Wednesday, as investors are weighing earnings and worries about the trade war against each other.
Shares of GM (GM) closed up 1.1%, after the car maker reached a tentative deal with its workers to end a 31-day strike.
From CNN Business' Anneken Tappe
The US car industry could have a rocky finish to the year, according to ratings agency S&P Global.
S&P expects car sales to drop by 4% in the final quarter of this year, and fall by another 3% next year. By 2021, the downtrend will leave auto sales in America at 16.3 million a year, its lowest level since 2014.
The culprit? Consumers are worried about a recession in the next year. On top of that, used cars are getting cheaper, and amid geopolitical and trade risks America's auto industry is under pressure, S&P says.
From CNN Business' Brian Fung
The Federal Communications Commission has voted to approve T-Mobile’s $26 billion merger with Sprint along party lines, granting the nation’s third- and fourth-largest wireless carriers permission to combine despite a multi-state lawsuit that could still torpedo the deal.
FCC Commissioner Geoffrey Starks cast the final vote on Wednesday, according to an FCC official, opposing the merger along with Commissioner Jessica Rosenworcel, who voted late Tuesday.
The agency’s three Republicans, including Chairman Ajit Pai, voted for the merger. Trump talkling about digital tax from Europeans
Critics of the tie-up have said the deal will result in higher prices for consumers and less innovation; the companies have said they need to combine in order to take on Verizon and AT&T (which owns WarnerMedia, CNN’s parent company) and to speed the deployment of next-generation 5G service.
The order clearing the deal must now be finalized before being announced, the official said. It is unclear how long that could take.
Both stocks were unchanged on the news.
From CNN Business' David Goldman
Charles Schwab helped lead trading companies to eliminate transaction fees. That could help the company gain investors, but it could also be tough on business, the company's CEO said on CNN Business' "Markets Now" live show.
"I think there will have to be some consolidation," Schwab said. "It's not awfully profitable."
Schwab didn't name any specific companies.
From CNN Business' David Goldman
Investing legend Charles Schwab told CNN Business on the "Markets Now" live show that he had long wanted to eliminate stock transaction rates. His firm became the first major company to do that recently, leading virtually all of his competitors to follow suit.
"It's been a race to zero. It's always been my ambition to get there," he said. "It makes it easier for young people to get into the stock market."
Schwab said his company wants to help people do a better job at making money. Although his company allows people to buy and trade individual stocks, he still recommends buying index funds, which help people diversify across a large variety of investments.
"I'd love to have [investors] buy the Schwab 1000 ETF," he said. "That's an easy way to go about investing."
From CNN Business' David Goldman
The stock market is flat as a pancake today, but it's close to record highs. With a trade war, Brexit and a global economic slowdown, what is supporting stocks?
Investors are "pricing in very positive outcome," said Alicia Levine, chief strategist at BNY Mellon, on CNN Business' "Markets Now" live show.
The market is pricing in another quarter-point rate cute from the Fed this year and again next year, a negotiated Brexit, no inflation and a trade truce, she noted. "The market is at an all time high and it’s pricing in very optimistic outcomes," Levine said.
The only negative sentiment weighing on stocks at the moment is earnings expectations for 2020. Currently, companies predict 11% growth next year, which is probably unreasonable.
"We're trading at 17 times next year's earnings," she said. We think 2020 estimates are too high."
Levine believes estimates will come down to 7-8% next year, which is "more reasonable."
From CNN Business' Chris Isidore
Negotiators from General Motors (GM) and the United Auto Workers union have reached a tentative deal to end a 31-day strike by nearly 50,000 workers.
Details of the agreement were not immediately available. The deal was confirmed by Terry Dittes, the UAW's chief negotiator with GM.
GM's stock jumped more than 2% on the news.
From CNN Business' David Goldman
Stocks have leveled out, with the Dow and S&P 500 essentially at break-even. The Nasdaq is down just a little over 0.1%.
What gives?
Investors are balancing the trade war with strong corporate earnings. Although the trade war has hurt the global economy, the stock market at the end of the day is a collection of companies trading shares on the open market.
If companies are growing their profit, that's a good reason for stocks to rise. If the global economy could hurt companies' chances of recording strong earnings, that's a good reason for stocks to fall.
So the Dow is down 4 points. The push and pull is about at equilibrium right now.
From CNN Business' Jordan Valinsky
Slack (WORK) shares are, sorry, slacking. The company's stock is down in early trading after a downgrade, according to our Paul R. La Monica:
The stock has shed roughly 35% of its value since it made its Wall Street debut in June.