Candid, constructive, and inconclusive
On Friday, US indexes rose after Trump’s tweet calling the talks “candid and constructive.” However, the United States and China ended two-day tariff talks on Friday without any conclusion. Tariffs on $200 billion worth of Chinese goods also came into effect on Friday. Trump also instructed officials to place tariffs on remaining Chinese imports (worth ~$300 billion).
As a result of anxiety over the trade deal, both Asian and US indexes fell sharply on Monday. The S&P 500 (SPY) Index fell 2.4%, the industrial-heavy Dow Jones (DIA) tanked 2.38%, and the tech-focused Nasdaq (QQQ) was the biggest casualty, losing 3.4%.
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Although Trump warned China not to hit back, China (FXI) announced tariffs on US goods entering its borders on the same day the markets crashed. China said $60 billion worth of US goods would attract tariffs up to 25% starting June 1.
While President Trump remained defiant in his tweets, his comment that the current trade talks are just a squabble seems to be a sign of reconciliation. Through a tweet on Tuesday (a day after the crash), Trump said that his “respect and friendship with President Xi is unlimited.”
While the markets remain tense, I feel that Trump may be gearing up for a settlement with China as the trade war is also hurting the US economy. The PMI for April pointed to the second-softest manufacturing activity since June 2017.
AT&T’s closing price on May 13 was $30.47 per share. Based on that closing price, AT&T has a market cap of $222.4 billion.
After opening on a bearish note on Wednesday, Tesla (TSLA) was trading with 4.8% losses for the day, near $195.25 at 1:16 PM ET.
With voting conducted in seven phases panning six weeks, India’s (EPI) elections have been a grand affair—to say the least. Tomorrow is the day of the results.
Qualcomm (QCOM) stock fell more than 10% in the first half of trading on May 22 after it lost its licensing lawsuit with the US FTC (Federal Trade Commission).
Apple (AAPL) suffered a setback recently when the US Supreme Court allowed an antitrust lawsuit against the company to proceed.
Today doesn’t seem to be a good day for electric vehicle companies. Earlier today, NIO stock hit an all-time low of $4.00.
The cannabis sector has been struggling to find direction on May 22, with cannabis stocks trading on a largely mixed note in the first half.