President Trump’s Tariffs Having Minimal Effect on US Economy
$DIA, $SPY, $QQQ, $RUTX, $VXX
US President Donald Trump’s new trade tariffs will lop at most a couple of tenths of a percentage point off US growth and add a similar amount to inflation, small stuff for a $19-T economy that is experiencing its 2nd longest economic expansion on record.
Friday, President Trump imposed tariffs on $50-B of imports from China, a move that came on top of hefty duties on steel and aluminum imports implemented at the start of June.
American consumers and businesses have taken the tariffs in their stride and the growing economy has brought in more workers, pushing unemployment down to levels not seen since the 1960’s.
The costs have been manageable so far, with Commerce Secretary Wilbur Ross saying the metals tariff, for example, could add a few hundred dollars to the cost of a car.
Trade retaliation from China has so far been mainly confined to the farm sector, a small part of the overall US economy.
Friday, the major US stock market indexes finished at: DJIA -84.83 at 25090.48, NAS Comp -14.66 at 7746.39, S&P 500 -3.07 at 2779.42
Volume: Trade on the NYSE came in at very heavy at 2.4-B/shares exchanged.
- NAS Comp +12.2% YTD
- Russell 2000 +9.7% YTD
- S&P 500 +4.0% YTD
- DJIA +1.5% YTD
HeffX-LTN’s US Major Stock Market Indexes Technical Analysis for the Week ended 15 June 2018
Have a terrific weekend