U.S. stocks rose mid-market on Wednesday, with Dow Jones up more than 380 points. Investors digest news about the trade war between the United States and China.
Taipei Time 00:42
The Dow Jones Industrial Average rose 303.92 points or 1.25% to 24674.16.
The Nasdaq index rose 142.24 points or 2.02% to 7174.07.
The S&P 500 index rose 38.01 points or 1.43% to 2674.49.
Caterpillar and Boeing both rose by more than 1.5%. These stocks are indicators of Global trade because their overseas markets are huge.
Bank shares also rose, with ETF rising by about 1%. Shares of JPMorgan Chase, Morgan Stanley and Citigroup all rose.
The Wall Street Journal reports that China is working to improve Sino-US trade relations by increasing its ownership of foreign companies. This project will replace the Made-in-China 2025 project.
In a Reuters interview on Tuesday, trump said he would interfere with the Ministry of justice’s investigation of HUAWEI’s Finance Minister Meng Hong boat if he is good for national security or helps us China trade negotiations. Huawei is one of the largest technology companies in China and is regarded as a symbol of pride by the Chinese government.
Trump also said that the trade negotiations between Washington and Beijing continued, and he confirmed that tariffs would not be imposed on Chinese imports until the trade agreement was established.
In addition, many reports indicate that China will reduce tariffs on American-made cars. A U.S. official told Reuters that China said it would reduce such tariffs, but the United States was waiting for official documents and time.
On Tuesday, the U.S. stock market was in turmoil again. Dow Jones surged more than 500 points in the morning, but ended slightly lower. S&P 500 and Nasdaq also fluctuated.
Analysts say the volatility in the market is mostly related to news. Trade, Fed interest rate hikes and economic recession fears have led investors to take a wait-and-see attitude. Investors are now more likely to sell on the upside than buy on the downside.