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Top 5 Things to Know in the Market on Tuesday

Investing.com -- Stocks react positively to the U.S.'s decision to cut Huawei more slack, while it's a big day ahead for retail earnings: updates are due from Kohl's, (NYSE:TJX), Urban Outfitters and HomeDepot. There are also updates on U.S. housing starts and building permits, and a head-to-head debate in the U.K. between the leaders of the Conservative and Labour Parties. Here's what you need to know in financial markets on Tuesday, 19th November.

1. Stocks rise on Huawei extension

U.S. stock markets are pushing higher in the wake of the U.S.’s decision to issue a new 90-day extension allowing U.S. companies to continue doing business with China's Huawei Technologies Co Ltd.

By 5:30 AM ET (1130 GMT), Dow futures were up 110 points or 0.4%, while S&P 500 futures were up 0.3% and Nasdaq 100 futures were up 0.4%.

2. Retail's big day

It’s a big day for retail earnings, with TJX (NYSE:TJX), Urban Outfitters (NASDAQ:URBN) all scheduled to report. In addition, there’ll be the Redbook research survey of large store sales at 8:55 AM ET.

Analysts expect TJX (NYSE:TJX) to report earnings per share of 66 cents on $10.31 billion in revenue, both of which would represent a gain of around 5%. For Urban Outfitters (NASDAQ:URBN), the forecast is for 57c EPS (down nearly 20% on the year) on a small increase in revenue to $1 billion.

In addition, there’ll be an update from department store Kohl’s, where earnings are expected to be down around 8% on the year at 86c on effectively unchanged revenue.

3. Housing market update

The biggest retailer to report today is, however, Home Depot (NYSE:HD), which is expected to post an 11% rise in earnings per share to $2.52 on a 5% gain in revenue.

Home Depot (NYSE:HD) had complained earlier in the year that its sales had been hit by high lumber prices. These seem to have reversed partially in recent months. However, activity in the housing market has remained choppy since then, with increases in housing starts and building permits in August being reversed in September.

October’s figures for housing starts and building permits are both due at 8:30 AM ET (1330 GMT)

4. Hong Kong stand off continues

The standoff between protesters and police at a university campus in Hong Kong continued, as police appeared to keep the campus in a state of siege while allowing under-18s to leave without being immediately arrested.

Fears of an immediate intervention by Chinese troops stationed in Hong Kong, which rose after they were spotted on the streets in a clean-up operation at the weekend, still haven’t been realized.

However, the situation remains tense, with Chinese media reporting the suspension of train services between Hong Kong and the mainland.

5. Johnson vs Corbyn

The first major televised debate of the U.K. general election takes place later, pitting Conservative leader Boris Johnson against his Labour counterpart Jeremy Corbyn.

Given the Conservatives' double-digit lead in the polls, it's Corbyn who's under more pressure to deliver a major victory. Failure to do so is likely to see the Tories cement their dominance.

The debate starts at 8 PM U.K. time (3 PM ET).

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