Here Are 3 Hot Things to Know About Stocks Right Now
- The Dow Jones Industrial Average finished down Friday, as President Donald Trump's recent threat to levy 10% tariffs on an additional $300 billion of Chinese imports overshadowed the latest U.S. jobs data.
- Shares of Nike (NKE - Get Report) were falling as Trump's China tariff threat hit the retail sector. Nike is Real Money's Stock of the Day.
- Exxon Mobil (XOM - Get Report) shares fell after the oil and gas producer reported modestly stronger-than-expected second-quarter earnings.
Wall Street Overview
Stocks finished down Friday, as President Donald Trump's recent threat to levy 10% tariffs on an additional $300 billion of Chinese imports overshadowed the latest U.S. jobs data.
The Dow Jones Industrial Average, which hit a session low of 334 points, finished down 98 points, or 0.37%, to 26,485. The S&P 500, which saw its worst week of the year, fell 0.73% and the Nasdaq dropped 1.32%. The Dow had its second worst week of the year as it fell 2.6%.
After tweeting the tariff threat on China on Thursday, the president told reporters that he might raise tariffs on Chinese goods to 25% or more if trade talks with Beijing stall.
"If nonfarm payrolls have been one thing this year, it's inconsistent," said Mike Loewengart, vice president of investment strategy at E*Trade. "Coupling this with ADP numbers, though, jobs are still chugging along albeit at a slower pace than last year. If inflation is the alpha in the Fed's decision making, jobs is the omega. And on the heels of Wednesday's rate cut, a read like this could set a pretty cautious mood for the back half of the year and those closely watching the Fed's every move."
Chris Zaccarelli, chief investment officer for Independent Advisor Alliance, said Thursday's announcement "of an escalation of trade tensions is the key risk to markets now that the Fed is easing monetary policy. And it bears watching how far the administration will push tariffs that ultimately impact the consumer, which up to this point has been very resilient."
Sprint (S - Get Report) shares fell 6.1% to $6.74 after the telecommunications company posted a first-quarter loss that was largely in line with analysts' forecasts as it continues to press for clearance for its pending $26 billion merger with T-Mobile US (TMUS - Get Report) .Exxon Mobil ( XOM - Get Report) shares fell slightly to $72.03 after the oil and gas producer reported modestly stronger-than-expected second-quarter earnings Friday, but noted an increase in production rates offset a tough comparable prices for global crude markets.
Shares of Chevron (CVX - Get Report) rose slightly to $120.79 after the petroleum company posted stronger-than-expected second quarter earnings Friday, as oil production increases offset a decline in global crude prices.Global oil prices, which saw the biggest single-day decline in more than three years on Thursday, were rising. Brent crude contracts for September delivery, the global benchmark, were 89 cents higher on Friday and changing hands at $61.39 a barrel, while West Texas Intermediate contracts for the same month, which are more tightly linked to U.S. gas prices, were up $1.34 to $55.29 a barrel.