Difficult entry for Wall Street worries Washington-Ottawa relations

Wall Street rose on Wednesday stimulated by the prospect of an impending trade agreement between Washington and Ottawa
September 4, 2018
U.S. stock futures stumble as investors turn cautious amid ‘September blues’
September 11, 2018

Difficult entry for Wall Street worries Washington-Ottawa relations

Difficult entry for Wall Street worries Washington-Ottawa relations

  • / New York, New York – September 4, 2018 16:53

After two particularly positive months, Wall Street finished lowering its first session in September on Tuesday, questioning the outcome of US trade negotiations with Canada and China.

According to the final closing results, the Wall Street index, the Dow Jones Industrial Average, lost 0.05% to 25,952.48 points.

The Nasdaq, with strong technological color, dropped 0.23% to 8,091.25 points.

The broad S & P 500 index dropped 0.17% to 2,896.72 points.

“Business news has prevented stocks from moving forward,” said Peter Cardillo of Spartan Capital.

US President Donald Trump went so far as to threaten Saturday to expel Canada from the North American Free Trade Agreement (Alena) after talks between the two countries were suspended on Friday, failing agreement.

Also commercially, the US threat to impose new taxes on $ 200 billion of Chinese goods worries investors, Washington has already established 25% customs barriers on $ 50 billion of goods from Beijing . This news has thrown a chill in the trading rooms that had benefited from a hot summer: in July and August the Dow Jones took 6.9%, the Nasdaq 7.7% and the S & P 500 6.5 %, these last two indices having even recently returned to historical records. The US markets “have had a sensational summer,” said CFRA’s Sam Stovall, recalling that they have also broken a historic record of longevity on the rise, referred to in the trading rooms as a “bull market”. The bond market was tightening: around 20:45 GMT the ten-year rate on the US debt rose to 2,897% against 2,860% at the close on Friday, and the 30-year to 3,061% against 3,019% at the end of last week. Among the values of the day, Amazon (+ 1.33%) has become the second largest private company in the world to break the milestone of 1,000 billion market capitalization, a few weeks after Apple. The small online bookseller who has become in a little more than twenty years a global juggernaut of Internet commerce has however closed under this symbolic figure, to 995 billion dollars. The title of Nike fell 2.60% after the choice of the sports equipment maker to make the football player Colin Kaepernick, originally in 2016 a boycott of the American anthem, the face of  advertising.

Tesla lost 4.21%. The bank Goldman Sachs, which had suspended in August its follow-up of the automaker after announcing that it advised the company on its project finally aborted exit, resumed Tuesday its cover.

She calls to sell the stock and expects a stock price to $ 210 within six months, against $ 289 at the close on Tuesday. The social network Facebook dropped by 2.60% while the company MoffetNathanson lowered its recommendation on the title to “neutral”.