Stock Today: Dow Closes Higher as China Tamps Down Trade War
In stocks today, the U.S. reported on Thursday its strongest gains. And this happened after Beijing announced it is not in a hurry to retaliate the latest round of tariffs given by Washington.
In addition to that, the Dow Jones Industrial Average surged as much as 326.15 points or 1.3%. And it finished at 26,362.25. Similarly, the S&P 500 index advanced 36.64 points or 1.3%. And it closed at 2,924.58. Then, the Nasdaq Composite Index rose 116.51 points or 1.5%. And it finished at 7,973.39.
More on stock today, or this week’s rebound, it slashed month-to-date losses for the major indexes. The S&P 500 and Dow Jones fell 1.9%. Then, the Nasdaq was down by 2.5%. The S&P 500 and Dow Jones are both less than 4% below all-time closing highs set in July. Nasdaq, on the other hand, stayed around 4.2% below its peak.
Trade War’s Impact Stock Today
Meanwhile, the latest movements in stock today was due to the spokesman for China’s commerce ministry’s report. The spokesman stated that they would not quickly answer back to the recent round of tariff increase, which U.S. President Trump announced on Friday. Also, these increases appeared following Beijing’s announcement of another round of retaliatory tariffs.
“(We need to talk) About removing the new tariffs to prevent escalation,” spokesman Gao Feng stated. He also said the two sides are talking about a planned meeting next month of trade negotiators.
According to market analyst David Madden, China’s hopeful tones about the update boosted the market sentiment. “There is a sense that things are heading in the right direction. And that has coaxed some traders back into the market,” he added.
More on the stock today, the yield on the 10-year U.S. Treasury note lifted 3.5 basis points to 1.5%. Then, European stocks rallied on Thursday. The Stoxx Europe 600 closed 1% higher.
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