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Trump, Xi To Meet; CarMax, Constellation Report: Investing Action Plan

President Trump last Thursday tweeted that the coming meeting with Chinese President Xi Jinping "will be a very difficult one in that we can no longer have massive trade deficits." (AP)

Here is your Investing Action Plan for Thursday: what you need to know as an investor for the coming day.

President Trump and Chinese President Xi Jinping are set to begin a two-day meeting at Mar-a-Lago, Trump's resort in Florida. Used-car retailer CarMax (KMX) and alcoholic-beverage company Constellation Brands (STZ) also report quarterly earnings.

Trump, Xi Meet

Trump last Thursday tweeted that the coming meeting with Xi "will be a very difficult one in that we can no longer have massive trade deficits." That was a theme Trump hit hard during the presidential campaign, often singling out China and Mexico as the biggest culprits in taking advantage of U.S. trade policy.

Markets have been more anxious ahead of Thursday's meeting, which will pair a bellicose, inexperienced president with a far more deliberate communist leader. After a long postelection rally, Wall Street now has lower hopes for Trump's promised tax reforms following the GOP's failed attempt to replace ObamaCare and is bracing for any heightened trade friction with China, which is a manufacturing hub for companies like Apple (AAPL) and a source of imports for retailers like Wal-Mart (WMT).

The meeting follows a string of provocations from North Korea, which tested a ballistic missile Wednesday along its eastern shore. China is a key ally of North Korea, although the North's missile tests in recent weeks have tried China's patience and pose an early foreign-policy challenge in the region for Trump.

CarMax

The used-car dealership chain reports fiscal Q4 results before the market opens.

Estimates: EPS of 79 cents, up 7%, on a 6% sales increase to $3.933 billion.

Stock: Shares closed up 1.5% at 56.66 on the stock market today, but have crumbled since February.

The results come amid concerns about weakening auto sales, more subprime lending and lower used-vehicle prices as more cars that were driven on lease get brought back to dealers.

Last week and this Monday, shares of General Motors (GM) and Ford (F) sold off on fresh signs of weakening demand and prices.

Constellation Brands

The distributor of Corona, Modelo and Pacifico beer in the U.S. reports Q4 results before the market opens.

Estimates: EPS of $1.36, a 14% hike, with sales rising 3% to $1.589 billion.

Stock: Shares dipped less than 0.1% to 161.40, still near a 165.98 buy point from a saucer-with-handle base.

The company's Mexican beer business could become more difficult if Trump implements a border tax on companies that sell products in the U.S. but make them in Mexico, and it could be a focus on the earnings call.

Management said in January that it was too early to gauge the impact of any new border-tax plan. But management expressed confidence that Constellation could meet previously outlined EPS growth targets.

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