Posted on 05/06/2019 8:55:34 AM PDT by billorites
U.S. stocks declined Monday amid heightened anxiety over the U.S.-China trade spat, raising investors’ concerns that the conflict could dent economic growth.
The Dow Jones Industrial Average fell 186 points, or 0.7%, to 26322, easing off of session lows after falling more than 450 points in early trading. The S&P 500 shed 0.7% and the tech-heavy Nasdaq Composite dropped 0.9%. Ten of the 11 S&P 500 sectors dropped, led by declines in industrials, materials technology-—three areas with heavy exposure to China. Nearly all of the 30 stocks that make up the Dow industrials also fell.
Stock markets in Asia and Europe slid, oil prices declined and the Chinese yuan weakened after President Trump threatened to ramp up U.S. tariffs on $200 billion in Chinese imports to 25%, up from the current 10%. That put an accord between the two countries in doubt ahead of a new round of talks set to begin this week in
Is the market’s sudden downdraft likely to be temporary, the result of a hiccup in trade talks, or the start of something more lasting, reflecting slowing global growth? Join the conversation below.
China’s delegation was preparing to go to the U.S. for the talks, the foreign ministry spokesman said Monday, adding that the Chinese government hoped both sides could work together to reach an agreement after threats repeatedly rose in the past.
Jitters over the trade battle revived worries that tensions would take a toll on corporate profits, undermining strong U.S. growth, some analysts and traders said.
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Elsewhere, Hong Kong’s Hang Seng Index dropped more than 3% while Europe’s pan-continental Stoxx Europe 600 lost 1.2%.
The Shanghai Composite Index fell 5.6%, while its counterpart in Shenzhen tumbled 7.4%, both registering their biggest single-day declines since 2016.
(Excerpt) Read more at wsj.com ...
Globalist Republicans are cringing as DJT continues to MAGA.
Who are these rascals? For the two previous trading days The Dow was 26206.41 at 3:00 PM and only went up to 26308.19 at 4:00 PM on Thursday. That drop in early trading was only from a one day rally up to 26504.19 on Friday.
Or was it the usual profit taking from Friday's success. Spin, Spin, Spin little spiders!
China fell 6-7% !?!
Winning!
And The WSJ put this info in the story's LAST paragraph. Any guesses where they stand?
Does this the USA will finally become a manufacturing/mining powerhouse again?
Unemployment numbers look good, but there are still tens of millions not working, but now these Americans have a real shot at providing for their family.
Good pay; good benefits - good for the middle class, and all it took was a President who knew how to negotiate.
That is the goal.
U.S. indexes down less than 1% - I guess the sky is falling? /sarc
We import $2T worth of goods per year. $50B is only 2.5% of that total. It barely moves the needle yet the jerks on Wall Street go crazy.
A thousand points might get my attention but even that’s less than 4%. Add about 3 one thousand point days together and you’ve got a correction.
If I were an investor I would be buying big time, the U.S. is going to win this.
So far today my portfolio has dropped about $50. It went up almost $1000 on Friday. So I’m only up $950 since Thursday.
It's a sale. I rearranged my stocks this morning to buy an S&P ETF and now I'm even up a few bucks.
Paulie,
Yes, we are slowly increasing our manufacturing. However, it takes a group effort. IF everyone simply started NOT buying products made in China it would make a difference.
I tried this, last time I went clothes shopping. I actually looked at labels at Target, Marshals and two other stores. I did not buy any clothing items made there.
The problem is in many consumer products the choice is very limited. For example, almost all power tools are now made in China. I bought a new set of Milwaukee cordless drills after Christmas at Home Depot. All the major brands were made in China. I checked.
I have to buy my products (garments) from a wholesale house. They have their shirts made all over the world - Honduras, Haiti, Viet Nam, and sometimes China.
They used to offer Made in America shirts and caps. The quality was no better and the price was always higher. Shockingly, sales were poor and they discontinued the line.
It isn't enough to just "Buy American"...American manufacturers need to produce a reasonable product at a reasonable price.
Our markets seem to have calmed down quite a bit.
DOW is only down about 0.16% now.
“All the major brands were made in China. I checked.”
Interesting you mentioned that. Not long ago I was in a hardware store and saw quite a few items labeled “Pittsburgh Steel”. I got all excited and grabbed the manager and commented on how great it is to be selling American made steel products to Americans who actually USE American made products.
He pulled me aside and said that’s just the name - all that is made in China.
I felt naive.
Yes, we have MUCH work to do - all of us.
“Chinese Chairman Xi sent a proactive response using his familiar proxy North Korean Chairman Kim. The DPRK test-fired three missiles.”
I’m glad someone else connected the dots on that.
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