Trump Trade: Trump warns against Tylenol, Kimmel to return to ABC

Catch up on the top industries and stocks that were impacted, or were predicted to be impacted, by the comments, actions and policies of President Donald Trump with this daily recap compiled by The Fly:

TRUMP ON TYLENOL: When Trump labeled Tylenol use in pregnant women as a potential cause of autism, President Trump threw the weight of his office behind a theory that has not yet been proven and defied the guidance of his scientific advisers, Annie Linskey of The Wall Street Journal reports. “They’re waiting for certain studies,” Trump said. “I want to say it like it is: Don’t take Tylenol. Don’t take it.” Meanwhile, according to the official notice Trump’s administration released on Monday, “while an association between acetaminophen and autism has been described in many studies, a causal relationship has not been established and there are contrary studies in the scientific literature.” Tylenol is currently manufactured by Kenvue (KVUE).

Citi sees limited legal risk for Kenvue after the President Trump discouraged pregnant women from taking acetaminophen, the active ingredient in Tylenol. However, there could be risk to Tylenol consumption given the negative headlines, the firm tells investors in a research note. Citi sees Kenvue shares trading higher today following yesterday’s selloff given the lack of new scientific evidence presented by the Trump administration. The firm keeps a Neutral rating on the shares with a $20 price target.

KIMMEL’S RETURN: Disney (DIS) said “Jimmy Kimmel Live!” will return to the air on Tuesday, ending a suspension imposed following remarks made by the host about the assassination of Republican activist Charlie Kirk. “Last Wednesday, we made the decision to suspend production on the show to avoid further inflaming a tense situation at an emotional moment for our country. It is a decision we made because we felt some of the comments were ill-timed and thus insensitive. We have spent the last days having thoughtful conversations with Jimmy, and after those conversations, we reached the decision to return the show on Tuesday,” the company is quoted by Bloomberg as having said.

Sinclair Broadcast (SBGI) plans to preempt Jimmy Kimmel Live! on its ABC affiliates when the show returns to air on Tuesday, but notes discussions with the network are ongoing, Ted Johnson of Deadline reports. The company plans to replace the broadcast with news programming. Earlier this week, ABC announced Kimmel’s return following backlash arguing The Walt Disney Company was capitulating to the Trump administration.

ADDRESSES U.N. GENERAL ASSEMBLY: President Trump is addressing the United Nations General Assembly in New York City on Tuesday, CBS News reports. Dozens of other world leaders are also in town to give speeches and hold meetings at this year’s General Assembly session, including U.S. allies as well as foes, like the president of Iran, the publication notes. Trump told reporters Sunday he plans to address “the good and the bad” happening around the world, amid Russia’s invasion of Ukraine, which the president has sought to end, and the Israel-Hamas war in the Gaza Strip, which he has called a “disaster.” White House press secretary Karoline Leavitt says the president will also highlight his accomplishments — as Trump touts a series of ceasefire deals his administration has helped broker.

TIKTOK DEAL: TikTok’s new U.S. entity would lease a copy of ByteDance’s algorithm, which Oracle would retrain (ORCL), a senior White House official tells Axios, Dan Primack, Sara Fischer, and Ben Berkowitz report. U.S. users wouldn’t need to re-download the app, which would continue to work with TikTok outside the country, according to the report. The White House official says that the Chinese government approved those terms during a bilateral meeting last week in Madrid. President Trump said in a Fox News interview aired Sunday that the investor group is expected to include Michael Dell, Lachlan Murdoch and Rupert Murdoch. President Trump and China’s Xi Jinping agreed to a preliminary framework for the deal on Friday, according to reports. Publicly traded companies in the social media space include Meta Platforms (META), Pinterest (PINS), Reddit (RDDT) and Snap (SNAP).

BOEING DEAL: A group of U.S. lawmakers visited Beijing to raise a deal with Chinese leaders that would see China buy more Boeing (BA) jets, Laurie Chen of Reuters reports, citing a U.S. Democratic Representative. Boeing is currently in talks to sell 500 jets to China. “It’s been a while since Boeing airplanes have been sold here in China. We’d like to get that deal done,” said U.S. Ambassador David Smith.