Posted on 05/13/2019 8:04:07 AM PDT by SeekAndFind
Stocks fell sharply on Monday, giving back the gains from a strong turnaround in the previous session, after China decided to raise tariffs on some U.S. goods as the ongoing trade war between the world’s largest economies intensifies.
The Dow Jones Industrial Average traded down 490 points, while a 2.8% drop in the tech sector pushed the S&P 500 down by 1.9%. The Nasdaq Composite dropped 2.6%.
China will hike tariffs on $60 billion worth of U.S. imports, starting on June 1. The goods targeted include a broad range of agricultural products. This comes after President Donald Trump raised tariffs on Chinese imports last week. China said in a statement that the U.S.′ decision jeopardized the interests of both countries and does not meet the “general expectations of the international community,” according to a Google translation.
Trade bellwether Caterpillar fell more than 4% while Apple dropped 4.6%. Boeing shares also declined more than 2.5% amid speculation the airplane maker could be singled out by China in the trade war.
Asian markets fell broadly. The Nikkei 225 index declined 0.7% Monday while the Shanghai Composite pulled back 1.2%. European stocks also dropped. The Stoxx 600 index fell 1.3% while the German Dax dipped 1.6%.
“Volatility is going to persist. People don’t know what to make of it,” said JJ Kinahan, chief market strategist at TD Ameritrade. But “this is more of a re-evaluation of stocks than it is a pure panic. Bonds have rallied over the last couple of weeks, but if this was a panic you’d see people coming a lot more for bonds.”
(Excerpt) Read more at cnbc.com ...
That said, I support President Trump in these trade negotiations. He's the first president we've had in my lifetime that is tired of America being the world's fool when it comes to finance.
We're a global ATM for tyrants to line their pockets.
For 20 years I've been saying that it makes no sense to trade with China since we'll likely be at war with them at some point.
You are not seeing the big picture...... the reason manufacturer move to China is not wages but regulations.... get our government off the back of the manufacturer and watch us take off.... until then all other talking points are moot
And gold is up 11%.
Indeed they are already felling the bind of bad dealings they have a lot to lose.
I would pull everything I possibly could out of china and point those investments towards India. Between the two, I’d bet on India as a far superior partner than POS china.
Does India have the infrastructure in place yet?
Who cares? Bring it home baby!
Gates owns 11.6 million shares of Walmart
I bought a fan yesterday at Home Depot.
“Made in America” proudly displayed on the box.
LASKO.
What are we selling to China?
Soy?
“They need to learn to code.”
Hilarious sarcasm.
cigarette filter tow
AAPL took a 5% dip. Oh well,sleep with dogs, wake up with fleas.
I was reading some analysis that our gross agricultural exports to China are $24 billion. The profit margin on that is maybe %10.
Net tariffs are $42 billion.
OK by me.
But that would be like playing two chess games on the same space (three dimensions) over a fluid time frame (four dimensions).
Four dimensional chess!
Name one thing that you buy from China and it is in a piece of cheap crap
I’m a contractor and I would never ever buy any tool made in China
Again all those who buy a cheap crap from the dollar store is in Walmart that they don’t need will survive somehow
China has 800 million poor people to feed they need our agricultural exports I helluva lot more that we need their cheap plastic garbage-
It is high time that we’ve had a president to finally deal with these lying communists straight up
It's a tariff NOT AN EMBARGO!!!!! LOL.
One thing to remember is that China, like Venezuela, is willing to starve its own people. And it won’t be the first time.
Non-USAian globalists, be afraid, be very afraid.
What is PRC?
Should I know this?
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