Major U.S. stock indices fell significantly as US President Trump's statements raised concerns that a trade dispute with China might remain unresolved until the U.S. presidential election in November 2020.
US President Donald Trump told reporters at the NATO summit that negotiations with China are going very well, but it might be better to conclude a trade agreement after the presidential election next year.
The pessimism in the market was also fueled by the Fox News news that the White House is still planning to introduce tariffs for Chinese goods scheduled for December 15, despite recent efforts to reach the “first phase” of a trade agreement.
In addition, Washington intensified economic disputes with France. The U.S. sales office has proposed import tariffs of up to 100% on French goods worth up to $ 2.4 billion, including wine, cheese, and luxury bags, after France enacted a tax on large technology companies. France threatened countermeasures from the entire European Union if the United States introduced these tariffs. On the sidelines of the NATO summit, Trump expressed the hope that the parties will be able to resolve contentious issues.
The escalation of trade tension on three fronts - Chinese, European and American (Trump announced yesterday the resumption of tariffs on imports of steel and aluminum from Brazil and Argentina) - has increased investor concern about global growth.
Almost all DOW components completed trading in the red (27 out of 30). Verizon Communications Inc. shares rose more than others (VZ; + 0.36%). Outsiders were shares of Intel Corporation (INTC; -2.83%).
Almost all S&P sectors recorded an increase. The largest decline was shown in the base materials sector (-1.1%). The utilities sector grew more than the rest (+ 0.4%).
At the time of closing:
Dow 27,503.48 -279.56 -1.01%
S&P 500 3,093.23 -20.64 -0.66%
Nasdaq 100 8,520.64 -47.34 -0.55%
U.S. stock-index futures tumbled on Tuesday after the U.S. President Donald Trump said that it might be better to wait until after next year's presidential election to complete a trade deal with China.
Global Stocks:
Index/commodity | Last | Today's Change, points | Today's Change, % |
Nikkei | 23,379.81 | -149.69 | -0.64% |
Hang Seng | 26,391.30 | -53.42 | -0.20% |
Shanghai | 2,884.70 | +8.89 | +0.31 |
S&P/ASX | 6,712.30 | -150.00 | -2.19% |
FTSE | 7,162.61 | -123.33 | -1.69% |
CAC | 5,723.44 | -63.30 | -1.09% |
DAX | 12,975.13 | +10.45 | +0.08% |
Crude oil | $55.82 | -0.25% | |
Gold | $1,480.60 | +0.78% |
(company / ticker / price / change ($/%) / volume)
3M Co | MMM | 166.54 | -1.73(-1.03%) | 3220 |
ALCOA INC. | AA | 20.05 | -0.28(-1.38%) | 4423 |
ALTRIA GROUP INC. | MO | 50.4 | -0.20(-0.40%) | 10667 |
Amazon.com Inc., NASDAQ | AMZN | 1,764.26 | -17.34(-0.97%) | 34886 |
American Express Co | AXP | 116 | -1.26(-1.07%) | 6566 |
Apple Inc. | AAPL | 259.07 | -5.09(-1.93%) | 527730 |
AT&T Inc | T | 37 | -0.32(-0.86%) | 67974 |
Boeing Co | BA | 350.9 | -4.28(-1.21%) | 61260 |
Caterpillar Inc | CAT | 140 | -2.96(-2.07%) | 10511 |
Chevron Corp | CVX | 116.04 | -0.76(-0.65%) | 11094 |
Cisco Systems Inc | CSCO | 44.3 | -0.40(-0.89%) | 50111 |
Citigroup Inc., NYSE | C | 73.5 | -1.02(-1.37%) | 18428 |
Deere & Company, NYSE | DE | 164 | -1.29(-0.78%) | 5632 |
E. I. du Pont de Nemours and Co | DD | 64 | -0.86(-1.33%) | 229 |
Exxon Mobil Corp | XOM | 67.85 | -0.57(-0.83%) | 31046 |
Facebook, Inc. | FB | 197.41 | -2.29(-1.15%) | 125759 |
FedEx Corporation, NYSE | FDX | 155.28 | -2.75(-1.74%) | 3754 |
Ford Motor Co. | F | 8.94 | -0.07(-0.78%) | 81582 |
Freeport-McMoRan Copper & Gold Inc., NYSE | FCX | 11.25 | -0.20(-1.75%) | 104994 |
General Electric Co | GE | 10.97 | -0.19(-1.70%) | 239236 |
General Motors Company, NYSE | GM | 35.47 | -0.41(-1.14%) | 33764 |
Goldman Sachs | GS | 215.24 | -2.40(-1.10%) | 2295 |
Google Inc. | GOOG | 1,278.00 | -11.92(-0.92%) | 4655 |
Hewlett-Packard Co. | HPQ | 19.68 | -0.15(-0.76%) | 5804 |
Home Depot Inc | HD | 216 | -1.62(-0.74%) | 23477 |
HONEYWELL INTERNATIONAL INC. | HON | 171.79 | -2.53(-1.45%) | 2167 |
Intel Corp | INTC | 56.88 | -0.78(-1.35%) | 92864 |
International Business Machines Co... | IBM | 131.98 | -0.93(-0.70%) | 5071 |
International Paper Company | IP | 45.88 | -0.36(-0.78%) | 533 |
Johnson & Johnson | JNJ | 136.99 | -0.37(-0.27%) | 1311 |
JPMorgan Chase and Co | JPM | 129.96 | -1.51(-1.15%) | 25204 |
McDonald's Corp | MCD | 194.69 | -0.49(-0.25%) | 8732 |
Merck & Co Inc | MRK | 86.84 | -0.20(-0.23%) | 1596 |
Microsoft Corp | MSFT | 147.62 | -1.93(-1.29%) | 200893 |
Nike | NKE | 92.83 | -0.73(-0.78%) | 8945 |
Pfizer Inc | PFE | 38 | -0.29(-0.76%) | 6352 |
Procter & Gamble Co | PG | 122.54 | -0.18(-0.15%) | 2703 |
Starbucks Corporation, NASDAQ | SBUX | 83.6 | -0.97(-1.15%) | 24427 |
Tesla Motors, Inc., NASDAQ | TSLA | 332.2 | -2.67(-0.80%) | 159248 |
The Coca-Cola Co | KO | 53.72 | -0.03(-0.06%) | 13317 |
Travelers Companies Inc | TRV | 134.35 | -0.91(-0.67%) | 1402 |
Twitter, Inc., NYSE | TWTR | 29.87 | -0.55(-1.81%) | 146192 |
United Technologies Corp | UTX | 143.2 | -1.79(-1.23%) | 1929 |
UnitedHealth Group Inc | UNH | 275.09 | -4.57(-1.63%) | 9047 |
Verizon Communications Inc | VZ | 59.72 | -0.24(-0.40%) | 8556 |
Visa | V | 179.05 | -2.74(-1.51%) | 17765 |
Wal-Mart Stores Inc | WMT | 118.1 | -1.18(-0.99%) | 15538 |
Walt Disney Co | DIS | 148.35 | -2.27(-1.51%) | 88544 |
Yandex N.V., NASDAQ | YNDX | 40.75 | -0.37(-0.90%) | 11926 |
Amazon (AMZN) initiated with a Buy at Citigroup
Tesla (TSLA) target raised to $423 from $372 at Piper Jaffray; Overweight rating maintained
| Index | Change, points | Closed | Change, % |
|---|---|---|---|
| NIKKEI 225 | 235.59 | 23529.5 | 1.01 |
| Hang Seng | 98.23 | 26444.72 | 0.37 |
| KOSPI | 3.96 | 2091.92 | 0.19 |
| ASX 200 | 16.3 | 6862.3 | 0.24 |
| FTSE 100 | -60.59 | 7285.94 | -0.82 |
| DAX | -271.7 | 12964.68 | -2.05 |
| Dow Jones | -268.37 | 27783.04 | -0.96 |
| S&P 500 | -27.11 | 3113.87 | -0.86 |
| NASDAQ Composite | -97.48 | 8567.99 | -1.12 |