Stocks close lower amid latest tariffs, weak factory data
Stocks ended lower Tuesday, the first trading day of a historically tough month, after the world’s two largest economies began imposing new tariffs on each other’s goods. Weak manufacturing data also dented market sentiment.
The Dow closed 285 points lower, while the S&P 500 lost 0.7% and the Nasdaq pulled back 1.1%.
Stocks hit their session lows after the Institute for Supply Management said U.S. manufacturing activity contracted last month for the first time since early 2016. The Dow lost as much as 1.6%, or 425 points. The S&P 500 and Nasdaq briefly dropped 1.2% and 1.5%, respectively.
The U.S. imposed 15% tariffs on a variety of Chinese goods Sunday, while China imposed new charges on U.S. products. It marked the latest escalation in their long-running trade war.
“That adds to the concerns on whether there is a viable path for negotiation,” said Quincy Krosby, a chief market strategist at Prudential Financial. “The market is vulnerable to these moves on misery and optimism regarding the talks.”
https://www.msn.com/en-us/money/markets/stocks-close-lower-amid-latest-tariffs-weak-factory-data/ar-AAGJcvo?li=BBnbfcN