Wall Street, suspended on Trump announcement on China, ends lower

Wall Street rises as blow from new tariffs less than feared
September 18, 2018
Tech stocks take heart from tariff exceptions
September 19, 2018

Wall Street, suspended on Trump announcement on China, ends lower

New York (New York, USA) – September 17, 2018 16:41

– AFP

Wall Street fell sharply Monday at the close as an announcement on a tightening of US trade sanctions against China was expected at the end of the session. According to the final results at closing, the leading index of New York, the Dow Jones Industrial Average, dropped 0.35% to 26,062.12 points. The Nasdaq, with strong technological coloration, yielded 1.43% to 7,895.79 points.

The broad index S & P 500 lost 0.56% to 2,888.80 points. “The trade war is getting tougher and encouraging investors to stay out of the stock market,” said Peter Cardillo of Spartan Capital. The New York place has moved down a good part of the session as the signals were multiplying on an imminent tightening of the customs tax policy of the US administration. At the beginning of the meeting, the American press evoked probable announcements “as of Monday”. Then, Donald Trump’s economic adviser, Larry Kudlow, anticipated announcements for “soon”.

Finally, a little over half an hour from the closure of Wall Street, Donald Trump himself promised “something (…) just after the close of markets,” this announcement to “bring in a lot of money.” money in the coffers of the United States “.

In the morning, the US president had already threatened to “Tariff!” countries refusing to trade fairly with the United States, in a neologism of which it has the secret.

– Apple affected –

According to the American press, 200 billion dollars of Chinese products were to be taxed at 10%, slightly less than expected in August when the figure of 25% was mentioned.

These taxes would be added to the tariffs already imposed of 25% on steel and 10% on aluminum, and additional taxes of 25% on 50 billion goods from China.

The threat has weighed heavily on the technology sector that could be directly affected by these new measures of the US administration, like Apple (-2.66%).

The index representing this sector within the S & P 500 lost 1.39%.

Twitter has fallen back (-4.18%) after analysts MoffettNathanson have revised downward their anticipation on the stock price in the coming months.

Amazon fell 3.16%. The company is investigating possible cases of employees reselling confidential data to third-party companies, said the e-commerce giant on Sunday.

Coca-Cola took 0.72%. The group said it would consider using cannabidiol (CBD), a molecule found in marijuana, in drinks.

The Israeli specialist of generic drugs Teva listed on Wall Street took 2.54% after announcing the approval by the US Federal Agency for Medicines (FDA) of a treatment against migraine in adults.

The US chemical giant DowDupont rose 0.35% after unveiling the names of key executives of two of the three companies to be created next year after splitting the group into three independent companies.

The bond market was evolving without direction: around 20H40 GMT, the yield on 10-year Treasury bills fell to 2.994%, against 2.996% Friday at the close, and that at 30 years rose to 3.134%, against 3.131% at the previous fenced.