Stock market news: Opening bell, November 7, 2018

John
Baker arrives for a Republican election night party in
Indianapolis.
AP/Darron
Cummings

Here is what you need to know.

The Democrats take the House and the Republicans hold the
Senate. As of 4:50 a.m. ET, the Democrats held
219 House seats (218 needed for majority) and the Republicans
held 51 Senate seats (51 needed for a majority) with several
seats in both chambers still up for grabs, according to the
Associated Press. 

Nancy Pelosi signals Democrats won’t move to impeach
Trump. “I get criticized in my own party for
not being in support of it,” the House minority leader told PBS’
Judy Woodruff. “But I’m not. If that happens, it would have to be
bipartisan, and the evidence would have to be so conclusive.”

Stocks are rallying. The S&P 500 is on track to
open higher by about 1% after a mixed overnight session saw
China’s Shanghai Composite (-0.68%) slide and Britain’s FTSE
(+1.22%) gain.

Oil is surging after report says OPEC+ countries are considering
output cuts for 2109. West Texas Intermediate
crude oil, the US benchmark, was up $1, or 1.62%, at $62.77 a
barrel after Bloomberg reported delegates will consider boosting
production for 2019 at a meeting in Abu Dhabi this weekend. WTI
touched its lowest level in seven months on Tuesday.   

Hank Paulson warns of an ‘economic iron curtain’ if the US and
China can’t find a way to get along. The former
Treasury Secretary told the Bloomberg New Economy Forum in
Singapore that the US risks triggering a “full-blown” cold war
and isolating itself from the region if it cannot mend its
differences with China.  

One expert says Elon Musk and other short-selling opponents are
thinking about the situation completely
wrong. “Just because someone borrowed the stock
doesn’t mean it finds its way into the marketplace as a
transacted short sale,” Bob Sloan, the managing partner at
financial technology and analytics firm S3 Partners told Business
Insider. “Those two things are very different from one another.
And yet, because of how data has been contributed to the
marketplace, those two things — the borrow and the executed short
sale — have become conflated as the same thing. And they’re not.”

AMD spikes after Amazon makes a big bet on its new
processors. Shares gained as much as 8.8%
Tuesaday, and finished up 3.92%, after Amazon said it would use
AMD’s new processors to give some customers lower prices for
cloud services. 

Boeing is said to be warning its 737 Max customers about
erroneous cockpit readings that could make the passenger jet
‘aggressively dive.’ The bulletin is being
prepared after preliminary findings from the recent Lion Air
flight that crashed off the coast of Indonesia, Bloomberg
reports, citing an annonymous source.

Earnings
season rolls on. Dish, Michael Kors, and 21st
Century Fox report ahead of the opening bell while Qualcomm,
Roku, and Square release their quarterly results after markets
close. 

US economic data trickles out. Consumer credit
will cross the wires at 3 p.m. ET.