The shares fell on Friday after President Trump Be threatened A new round of definitions, this time it aims to Apple and the European Union.
S&P decreased 48 points, or 0.8 %, at 5,794 kg 11:58 EST on Friday. Dow Jones Industrial average decreased by 0.8 %, while NASDAQ technology threw 206 points, or 1.0 %.
The defeated start in Wall Street followed a series of posts on Friday morning from the president on the social truth regarding the policy of customs tariffs. Mr. Trump first said that he will impose a 25 % tariff on Apple if the company does not turn some of its iPhone to the United States
Daniel Evz, a technology analyst from Wedbush Securities, called for “the frustrated situation of investors” in a research note on Friday morning. Apple shares in early trading decreased by 1.9 %.
The President also published that he would impose a “50 % straight tariff” on the European Union, describing the group of countries “very difficult to deal with.”
“Our discussions with them do not go anywhere!” He stated.
European market reaction was quickly with Mr. Trump on Friday morning. Dax Germany decreased by 1.9 %, while CAC 40 decreased in Paris by 2.4 %. FTSE 100 watered in London 1.1 %.
In the future, Gregory Daco, Ey-Parthenon, expects the markets to remain in a period of “extreme volatility”-especially with more customs tariff ads on the horizon. “I think we should refrain from assuming that we have passed the worst in terms of commercial policy ads,” Daco said.
A 90 days stopped On the mutual definitions, it will end on July 9, while separate 90 days reduction In definitions on Chinese goods will end in August. So far, the United States has publicly announced deals with it China and UK.
Bond market
UBS said in a research note that the return of the treasury for 10 years was reduced after it declined this week, as the anxiety increases increasingly from the country’s debt burden.
Modi classifications It reduced the American credit rating On March 16. The reduction in the higher classification of AAA to AA1 “reflects the increase that exceeds a decade in government debt rates and pays interest to much higher levels of kings classified as” Credit Classification Company in A. statement On the same day.
At the same time, my Republic in the House of Representatives Bill spending Cill trillions are currently expected to add to the country’s debts.
Daco said that the increasing policies of the debt and the continuous tariff policies of the Trump administration create two different facts for stock and bond markets.
“The stock market focuses more on the pros and cons
“The bond market is more concerned about continuing trade tensions, high budget deficit and an unnecessary financial path.”
He contributed to this report.
