Wall Street closes the week mixed as trade worries resurface

  • Retails sales growth slows down in August.
  • Trump gives the green light to China tariffs.
  • Major indexes record gains for the week.

After starting the last day of the week higher, major equity indexes lost their traction and finished the week on a mixed note on resurfacing concerns over Trump administration's trade policies.

A Bloomberg report on Friday stated that President Donald Trump told aides to go ahead with $200 billion China tariffs despite an attempt by Washington to restart trade negotiations and weighed on the market sentiment. Confirming Bloomberg's claims, "President Trump has been clear that he and his administration will continue to take action to address China’s unfair trade practices," the White House said in a statement.

“There are a lot of headlines that have come out here, people have been pretty active all week, and it’s Friday afternoon. You don’t really want to add additional risk when you don’t know what news might hit over the weekend,” Michael O’Rourke, chief market strategist at JonesTrading in Greenwich, Connecticut, told Reuters.

The S&P 500 Information Technology Index, which outperformed the other major sector yesterday, failed to preserve its momentum and closed the day virtually flat. On the other hand, despite the fact that the West Texas Intermediate failed to break above $70 and dropped below $69, Baker Hughes report, which showed a big increase in the number of active oil rigs, boosted the S&P 500 Energy Index and helped it close 0.56% higher.

Meanwhile, the data from the U.S. earlier today showed that retail sales in August rose only 0.1% to fall short of the market expectation of 0.4%. However, the July reading received an upward revision to 0.7% from 0.5%.

The Dow Jones Industrial Average added 8.17 points, or 0.03%, to 26,154.16, the S&P 500 gained 0.32 points, or 0.01%, to 2,904.50 and the Nasdaq Composite fell 4.86 points, or 0.06%, to 8,008.85. For the week, these three indexes added 0.9%, 1.2%, and 1.4%, respectively.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Editors’ Picks

EUR/USD pressured below 1.0950 after ADP, ISM beat

EUR/USD has is trading below 1.0950, under pressure. ADP's private-sector jobs report has shown a loss of only 27,000 jobs, far better than expected. The ISM Manufacturing PMI also beat with 49.1 points.


GBP/USD battles 1.24 as UK coronavirus death toll jumps by 31%

GBP/USD is trading around 1.24 The market mood is gloomy as coronavirus continues spreading. The UK's death toll jumped by 31% to 2,352. Markets are digesting US data.


Oil prices are poor predictors of recession

Crude price movement before last five recessions are ambivalent. WTI has fallen 66% since January 7 to its lowest price in 18 years. Previous sharp drops in oil did not anticipate downturns.

Read more

Gold: USD 1600 is the major pivot level but is the retracement over?

Gold has been pulling back up since the recent low on March 16th. It's amazing to think that in these uncertain times the price fell to hit a low to USD 1451.32.

Gold News

WTI drops to $20 area after EIA reports huge increase in US crude oil stocks

Crude oil prices came under renewed selling pressure in the last hour after the weekly report published by the US Energy Information Administration (EIA) showed a huge build-up in crude oil stockpiles.

Oil News