Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Wall Street drops as White House weighs delisting Chinese companies

Stock MarketsSep 27, 2019 02:36PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

By Ambar Warrick and Medha Singh

(Reuters) - U.S. stocks slipped on Friday after news that the Trump administration was considering delisting Chinese companies from U.S. stock exchanges and limit U.S. investments into China.

U.S.-listed shares of Alibaba Group Holding Ltd (N:BABA), Baidu Inc (O:BIDU) and JD.com Inc (O:JD) slipped between 4% and 7% on the news.

The tariff-sensitive Philadelphia semiconductor index (SOX) extended its decline to 1.7%. The index was already under pressure from Micron Technology Inc's (O:MU) 10% tumble after forecasting a disappointing first-quarter profit.

The S&P technology (SPLRCT) sector slipped 1.2%, the most among the 11 major S&P sectors.

High-level trade talks between Washington and Beijing are scheduled for next month before the start of the third-quarter earnings season.

"You never know if it's a ploy to get some leverage on those talks ... it could be just trying to rile up the base, but at face value, it's going to be a bit of a negative for the markets," said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida.

The three main indexes are set to end a volatile week slightly lower, after conflicting headlines about U.S.-China trade and as U.S. Democrats launched an impeachment investigation on President Donald Trump.

Shares of Wells Fargo & Co (N:WFC) rose 4.1% and were the top gainers on the S&P 500 (SPX) after the lender named banking veteran Charles Scharf as chief executive officer. The banking sub-sector rose 1.2%.

In addition to trade headlines, investors will next week focus on the ISM's purchasing managers index (PMI) data for September, especially after the August report showed contraction in the manufacturing sector, as well as the pivotal jobs report.

At 13:14 ET, the Dow Jones Industrial Average (DJI) was down 47.87 points, or 0.18%, at 26,843.25, the S&P 500 (SPX) was down 14.31 points, or 0.48%, at 2,963.31. The Nasdaq Composite (IXIC) was down 79.54 points, or 0.99%, at 7,951.12.

Data showed U.S. consumer spending barely rose in August, suggesting that the economy's main growth engine was slowing after accelerating sharply in the second quarter.

New orders for key U.S.-made capital goods also unexpectedly fell in August, but the so-called core personal consumption expenditures (PCE) price index, the Fed's preferred inflation measure, rose to 1.8% in August, the biggest rise in prices since January.

Declining issues outnumbered advancers for a 1.36-to-1 ratio on the NYSE and a 1.47-to-1 ratio on the Nasdaq.

The S&P index recorded 11 new 52-week highs and five new lows, while the Nasdaq recorded 24 new highs and 83 new lows.

Wall Street drops as White House weighs delisting Chinese companies
 

Related Articles

Danone doubles supply of some baby formula to U.S.
Danone doubles supply of some baby formula to U.S. By Reuters - May 25, 2022

By Richa Naidu LONDON (Reuters) - Danone SA (OTC:DANOY) on Wednesday said it has been doubling shipments to the United States of Neocate formula for infants allergic to cow's...

Britain's M&S warns on outlook after profit jump
Britain's M&S warns on outlook after profit jump By Reuters - May 25, 2022

LONDON (Reuters) -British retailer Marks & Spencer (OTC:MAKSY) joined rivals in warning on the outlook for the current year amid a worsening cost-of-living crunch, taking the...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
Andrew carson
Andrew carson Sep 29, 2019 10:26AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Most of them seem to disappear in time regardless.
Kenneth Salaam
Kenneth Salaam Sep 27, 2019 3:22PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
trump needs to be rained in before the market gains are rained out!
Chris Sundo
Chris Sundo Sep 27, 2019 3:22PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
You elected him ... ?
ANTONIO ACUNA TORRE
ANTONIO ACUNA TORRE Sep 27, 2019 3:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Absolutely agree with you Don Getty.. Deslisting Chinese companies news come up "precisely by chance again" when SP500 reached resistance at level 2983 and from now onwards, once the SMA 200 has been reached, next monday investors "will calm their fears" with a loads of "good news and hopes" again using this big war trade performance..
Don Getty
Don Getty Sep 27, 2019 2:48PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
new tactic for the little Dictator to manipulate the markets - not something he'll do!
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email