Dow Jones Spikes as Trump Delays Auto Tariffs

US stocks rose at the end of Wednesday’s trading with the Dow Jones gaining more than 110 points amid renewed global trade optimism.

The industrial index turned 190 points of loses into remarkable gains following Trump’s administration plans to postpone auto tariffs an additional six months.

US Secretary of Treasury Steven Mnuchin is expected to visit China in the near future to complete trade negotiations.

Mnuchin announced earlier that Washington was about to reach an agreement with Canada and Mexico regarding the elimination of tariffs on steel and aluminum.

Showing mixed performance, the United States NY Empire State Manufacturing Index surged to six months high, while industrial production and the US retail sales fell unexpectedly amid weak vehicle purchase.

Dow Jones Industrial Average Chart

However, US homebuilder confidence climbed to seven months high this May, beating analysts’ expectations.

The Standard & Poor’s 500 Index (S&P) rose 0.6 percent to 2,850.9 points, while the Nasdaq rose 1.1 percent to 7,822.1 points.

In addition, the Dow Jones Industrial Average closed up more than 0.45 percent at 25,648.02 points.

Nonetheless, the US stock market was negatively affected by today’s concerns that the trade war is slowing global economic growth.

Meantime, the euro recorded $ 1.1203 against the greenback.

 

 

Leave a Reply

Your email address will not be published. Required fields are marked *