NASDAQ Stocks Struggle on Tuesday’s Trading
The NASDAQ stock market traded in negative territories in yesterday’s sessions as the US-China tension escalates. NASDAQ stocks were weighed by the market’s concern for the slowing economy and the new Chinese tech board.
The recent news in the United States-China trade war burdened the tech companies in the states. Last week, US President Donald Trump unleashed wrath on Twitter after the US officials returned from Shanghai.
Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin traveled to Shanghai last week to continue trade negotiations. The two US officials led a team of five in China and reported to Trump after coming back from Asia.
The US president was unhappy with the outcome of the meeting and has said that he will be enforcing another round of tariffs to China. Chinese officials were unhappy with Trump’s announcements and have retaliated against Washington.
NASDAQ stocks went down after the news. The NASDAQ 100 lost 3.60% or 277.11 points and the NASDAQ composite fell 3.47% or 278.03 points in yesterday’s sessions.
All companies from the index struggled to hold on to grounds including known companies such as Apple, eBay, Intel, and Facebook.
The smartphone giant Apple lost 5.23% or 10.68 points. The online shopping site eBay dropped 4.36% or 1.77 points.
Intel, the world’s largest manufacturer of PC microprocessors, declined 3.51% or 1.71 points. And the social media platform Facebook lost 3.86% or 7.29 points.
Worst Year for Tech Companies
Companies in the NASDAQ index have faced numerous hindrances this 2019.
Facebook was bombarded by security scandals and was heavily criticized for its Libra project. The microchip making sector encountered a massive block after the US president added Chinese telecom company Huawei to the entity list.
The smartphone industry all carried the burden of the sluggish demand for mobile devices. Another factor that affects the NASDAQ stocks is the slowing global manufacturing sector and purchasing managers’ index.
Experts aren’t expecting tensions to ease anytime, and tech investors are getting more worried. The news of China’s currency depletion and the new Shanghai Science and Technology Innovation Board (<- link to the first article) struck NASDAQ stocks hard.
