Stocks – Wall Street Struggles as Trade Worries Rise Again

This post was originally published on this site
© Reuters. © Reuters. – Stocks pulled back slightly Monday after concerns emerged that the U.S.-China trade deal announced Friday might not be as solid as first thought.

President Donald Trump announced a “very substantial phase one” agreement, but nothing was in writing yet. Bloomberg News reported Monday there are still a number of points not yet resolved.

The fell 0.14%, and the slipped 0.11%. The was off 0.10%.

While the Nasdaq managed to hold above 8,000 for a second day in a row, the S&P 500 finished under 3,000 for a 17th-straight day and is 2% below its July peak of 3,027.98. The Dow is 2.2% below its peak of 27,399. The Nasdaq is 3.5% below its all-time high.

Apple (NASDAQ:) and Nike (NYSE:) hit new highs. Apple briefly was the world’s most valuable company, ahead of Microsoft (NASDAQ:), but fell back into a tie by the close. Both ended down slightly with market caps of $1.066 trillion.

The wariness that pervaded the markets resulted in fewer stocks hitting new highs, compared with stocks hitting new lows.

Materials, consumer staples stocks and utilities were the weakest S&P 500 sectors. Real estate and financials were higher.

The third-quarter-earnings season begins Tuesday with reports from a host of financial companies, including JPMorgan Chase (NYSE:) and Goldman Sachs (NYSE:). There are worries that slowing global growth will cut into profit growth.

Markets in U.S. government bonds were on hold Monday for Columbus Day.

fell on the trade worries. crude fell $1.11 to $53.59 a barrel. crude fell $1.16 to $1.6388. moved up as some investors wanted safety.

Stocks had rallied strongly last week as Chinese and U.S. negotiators met in Washington, D.C. and Trump had Vice Premier Liu He, the leader of the Chinese team, to a White House meeting on Friday afternoon.

But a 507-point gain for the Dow on Friday was cut by nearly 40% in the last half hour of trading as investors sold the news of the projected deal. It included some relief on tariffs set to be imposed this week and a Chinese agreement to buy $40 billion to $60 billion in U.S. farm products, especially pork and and soybeans.

Not resolved were the key issues of access to Chinese markets and how to crack down on technology theft. And China wants a tariff imposition, set for December, canceled.

Trump Administration officials said they were hopeful the issues could be resolved soon.

Hewlett Packard Enterprise (NYSE:), Abiomed (NASDAQ:) and Advanced Micro Devices (NASDAQ:) were among the top performers on the day.

Fiber-laser make IPG Photonics (NASDAQ:) and fertilizer makers CF Industries (NYSE:) and Mosaic Co (NYSE:) were among the weakest S&P 500 performers.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.