It was another wild walk in Wall Street, with actions that swing sharply on Monday, while economists raised the Spectrum of a U.S. recession and President Trump threatened to climb us Rates against China.
Leading indices fell abruptly in the morning, was briefly bounced into a false report that President Trump was studying a 90 -day fared freezing for all countries, except China, and then drove the roller coaster in the afternoon.
« They could get worse? » We do not call at all, but when you have this type of volatility in the market, of course you will have behind and forward « in the markets.
The S&P 500 ended the day for a modest 12 points, or 0.2%, at 5,062. The industrial average of Dow Jones fell 349 points, 0.9%, while Nasdaq Composite was a small gain, increasing 15 points to 0.1%.
CBS News 24/7 Answer your rates questions in a special transmission on Wednesday at 18:00 ET. Download the CBS news app on the phone or on the television connected to watch it live.
« Today there is more noise than news and investors should avoid trying to tie all the ticks of the (S&P 500) with a title, » said capital analyst Adam CrispaFulli, head of life knowledge, in a report. « In the immediate term, the speed of recent fall is unsustainable, which will leave vulnerable actions to sharp rebounds. »
Stocks went to the afternoon negotiation in the afternoon, as Trump climbed their threats to China, saying on social media that the United States will apply an additional 50% rate to China’s imports if the Asian nation does not withdraw its plan to impose a retaliation. 34% import share About American products.
Trump said in office that « any country that is retaliated against the United States emitting additional rates, above and outside its long -term fare abuse of our nation, will be immediately found with new and substantially higher rates, above the initially established ones. »
The recession cares
Investors have achieved the rates of President Trump, saying that they are likely to affect the economic growth of the United States and increase inflation. Goldman Sachs economists on Monday quoted the tax barrier to increase the odds of recession to 45%.
« The combination of larger rates, a greater political uncertainty, a decrease in business confidence and consumers, and the administration’s messaging, which indicates a greater desire to tolerate short -term economic weakness in the persecution of their policies, increasing the low risk, » said Goldman’s analysts in a report.
The stocks fell last week after Mr. Trump on April 2 announced a global duty of 10% on all imports in the United States and « reciprocal » rates near 90 countries. The new commercial measures sent the markets in a stroke, with the S&P 500 and the Nasdaq recording their two -day fall since March 2020.
Stock market abroad also suffered on Monday in strong losses, continuing their skateboarding from last week. Hong Seng de Hong Kong caused 13.2%: its stronger fall since the 1997 Asian financial crisis, while Taiwan’s Taiex fell by 9.7%, its heaviest loss in the record. Tokyo 225 Nikkei Index decreased by 7.8%, Shanghai’s compound index sank 7.3%, South Korea Kosper fell 5.6%and Australian S&Sx 200 S&P/ASX 200 decreased.
In Europe, the German Dax index ended the day by 4.8%, the CAC 40 in Paris decreased by 4.8%and the FTSE of Britain 100 lost 4.4%.
« The short -term future of equity prices depends much on the whims of Donald Trump, » said Thomas Mathews, head of the Pacific Asian markets of economic capital, in a note to the investors. « If you blink in front of market movements and/or decide to receive enough concessions, you could lift some rates and the feeling can turn very quickly. »
contributed to this report.
Leave a Reply