Market Reacts to Trump-Xi Meeting Delay

Market Reacts to Trump-Xi Meeting Delay

$DIA. $SPY, $QQQ, $RUTX, $VXX

Wall Street stocks declined Thursday on concerns that the United States and China would not be able to reach a trade deal, thus increasing concerns about slowing global economic growth.

President Trump said he did not plan to meet with Chinese President Xi before the 1 March deadline set by the 2 countries for reaching an agreement.

The DJIA declined about 400 points after White House adviser Larry Kudlow said there was a pretty sizable distance to go in the trade talks. The next round of discussions will take place in Beijing next week.

Mr. Kudlow’s comments, made in a TV interview, added to worries over a global slowdown which was rekindled after the EU cut its economic growth forecasts. 

Stocks pared losses into the close of the session.

The benchmark S&P 500 Index hit a Key technical support mark at 2,700, that triggered buying.

Among the S&P 500’s major sectors the defensive utilities and real estate indexes finished in the Green, illustrating Thursday’s risk-off sentiment.

The Philadelphia SE Semiconductor Index fell 2.2%. Chipmakers get a large bit of their revenue from Chinese customers.

Thursday, the major US stock market indexes came in at:DJIA -220.77 at 25169.53, NAS Comp -86.93 at 7288.36, S&P 500 -25.56 at 2706.01

Volume: Trade on the NYSE came in at 948-M/shares exchanged

  • Russell 2000 +11.7% YTD
  • NAS Comp +9.8% YTD
  • S&P 500 +8.0% YTD
  • DJIA +7.9% YTD

HeffX-LTN’s overall technical outlook for the major US stocks market indexes is Bullish in here.

Stay tuned…

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