Stock Market Update Tuesday, October 8th, 2019
It was another rough day for stocks.
Stocks opened lower after more trade war news. We also had the September Producer Price Index (PPI) data showing the biggest drop in 8 months (down -0.3% vs. a 0.1% forecast).
But today’s uncertainty and sell-off was really all about trade with China.
Here’s what’s moving the markets:
- Yesterday, the U.S. put 28 new Chinese firms on its blacklist.
- Tariffs are set to increase from 25% to 30% on Chinese goods in 7 days. President Trump says the increase will go into effect if there is no progress during talks.
- Today the White House placed travel bans on Chinese officials tied to alleged human rights abuses.
- China said that it “strongly urges” the U.S. to stop accusing the country of human rights violations and to remove sanctions.
In the afternoon there was a small rally after Fed Chair Jerome Powell announced that the Fed will be expanding its balance sheet “soon.”
But another push lower in late trading left stocks at session lows.
Here’s where the major indices ended the day:
- The S&P finished with a 1.6% loss. Down 46 points, the S&P ended at 2,893.
- The DOW ended lower by 1.2%. Dropping 314 points, the DOW closed at 26,164.
- The NASDAQ was down 1.7%. With a 133 point loss, the NASDAQ finished at 7,824.
Crude Oil (CL) opened below the $52 mark and rallied. But oil couldn’t quite make it into positive territory today. With a 0.2% loss, CL ended at $52.66 a barrel.
In earnings news, Domino’s Pizza (DPZ) was a loser in early trading after an earnings miss. But the stock reversed its direction and ended with a 4.8% gain in spite of the news.
Here is the economic calendar for the week:
Real Time Economic Calendar provided by Investing.com.
This Stock Market Update was provided by Rockwell Trading Services LLC.