US Stocks Open Lower 12/10 09:46
Stocks slipped on Wall Street in early trading Tuesday as investors
considered reports that the U.S. will delay a new round of tariffs on Chinese
goods as the nations continue negotiating a trade deal.
NEW YORK (AP) -- Stocks slipped on Wall Street in early trading Tuesday as
investors considered reports that the U.S. will delay a new round of tariffs on
Chinese goods as the nations continue negotiating a trade deal.
The proposed tariffs scheduled to begin on Sunday threaten to hit U.S.
consumers particularly hard by raising the prices of popular products including
cellphones and laptops.
Both nations have been working toward a limited "phase 1" deal that Wall
Street hopes can lead to an eventual long-term resolution.
Banks broadly fell in the early going, though bond prices remained mostly
stable. The yield on the 10-year Treasury was unchanged at 1.83% from late
Communications companies suffered some of the largest declines. Comcast fell
2% and Netflix fell 1.3%.
Technology companies held up better than the rest of the market. Micron rose
KEEPING SCORE: The S&P 500 index fell 0.1% as of 9:52 a.m. Eastern time. The
Dow Jones Industrial Average fell 54 points, or 0.2%, to 27,852. The Nasdaq was
unchanged. The Russell 2000 index of smaller company stocks fell 0.1%.
European markets fell and Asian markets were mixed.
TRADE WOES: It's been a volatile month so far for trade relations as the
U.S. and China stay mostly quiet on their latest push for a deal. China helped
ease some of the tension last week when it made the conciliatory gesture of
planning to waive tariffs on American soybeans and pork, which have been
hurting American farmers.
Wall Street was rattled early last week when President Donald Trump said
that a deal could possibly wait until after the 2020 elections. The
longstanding trade war has been hanging over U.S. businesses and prompting them
to hold back on spending and other investments. It also continues to threaten
economic growth, which is being propped up by consumer spending and a strong
LATE EARNINGS LIFT: Earnings season is essentially over but several smaller
companies are getting a lift from late reports. Vail Resorts rose 3.5% after
the ski resort company's fiscal first-quarter results beat forecasts. Online
clothing styling service Stitch Fix surged 9.5% and auto parts retailer
AutoZone rose 5.8% after reporting surprisingly good results.