Dow drops 179 points as Trump renews China trade concern
Stocks retreated on Tuesday as President Donald Trump reignited trade jitters when he said he was unhappy with the recent discussions with China.
The Dow Jones Industrial Average slipped 178.88 points, or 0.72%, to 24,834.41. The S&P 500 fell 8.57 points, or 0.3%, to 2,724.44. The Nasdaq Composite was down 15.58 points, or 0.21%, to 7,378.46.
Trump said the U.S. has not yet reached an agreement to remove sanctions on Chinese telecom giant ZTE, though the two nations are “discussing deals.”
Earlier, China's Foreign Ministry said it had "reached a consensus" with Washington to start negotiations on a deal that would remove an existing U.S. order banning American companies from supplying ZTE.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 44296.51 | +426.16 | +0.97% |
| SP500 | S&P 500 | 5969.34 | +20.63 | +0.35% |
| I:COMP | NASDAQ COMPOSITE INDEX | 19003.651134 | +31.23 | +0.16% |
On Monday, investors bid up stocks as trade concerns were put on the back burner. U.S. and Chinese officials had agreed over the weekend to delay tariffs that both nations had threatened to impose against each other.
Also in trade news, China cut tariffs on imported vehicles and car parts, a move that will benefit automakers including Tesla and BMW.
JCPenney tumbled after it was announced that CEO Marvin Ellison will leave to run home improvement retailer Lowe’s.
Tesla shares were down more than 3% after CEO Elon Musk acknowledged that some Model 3 vehicles may have a braking problem. Tesla expects to provide a software fix over the next few days.
Sears Holdings fell nearly 7% on a report that the struggling retailer will close more stores this year.
U.S. oil futures fell 0.15% to $72.13 a barrel.