Here Are 3 Hot Things to Know About Stocks Right Now
- China issued a list of more than 100 U.S. goods such as soybeans, cars and planes that could be targeted for a possible 25% tariff hike.
- General Motors Co. reversed earlier losses and closed Wednesday up 2.9%
- At its lowest Wednesday, the Dow Jones Industrial Average fell 501 points, and the S&P 500 plunged 1.6%. Both indexes remained lower for 2018.
Wall Street Overview
Stocks rose on Wednesday, April 4, after spending most of the day in negative territory after China said it would slap reciprocal 25% tariffs on 106 U.S. products including soybeans, cars, planes, whiskey, and chemicals.
China's move was a response to the Trump administration's proposed tariffs on $50 billion in Chinese goods.
The tariffs won't go into immediate effect with U.S. companies given until May 22 to raise objections.
The stocks of companies that could be hit by the tariffs on American goods were mixed Wednesday. Boeing Co. (BA) - Get Report fell 1%, Caterpillar Inc. (CAT) - Get Report rose 0.06% and United Technologies Inc. rose 0.66%. General Motors Co. (GM) - Get Report , which traded sharply lower at one point during Wednesday's session, closing up 2.9%.
The industrials sector and energy stocks were the worst performers on Wednesday.
"While corporate fundamentals remain strong, markets are forward-looking and the broadening scope of U.S.-China trade tensions is seen as a growing threat to global growth and corporate earnings, forcing equity valuations lower," said Alec Young, managing director of global markets research at FTSE Russell.
The private sector in the U.S. added 241,000 jobs in March, according to the ADP National Employment Report. Economists surveyed by FactSet had expected an increase of 205,000 jobs.
The ADP jobs report is a precursor to the official U.S. jobs report to be released on Friday, April 6.
Spotify Technology S.A.
fell 2.7% to $144.96 after it
on Tuesday at $149.60.
Homebuilder Lennar Corp. (LEN) - Get Report posted adjusted earnings in its fiscal first quarter of $1.11 a share, topping estimates, while revenue of $3 billion rose 28% from a year earlier. The stock gained 10.2%.
, which is in merger talks with Walmart Inc.
, Reuters reported, citing local media.
Amazon held early exploratory talks to buy control of Flipkart but a deal with Walmart is more likely, daily newspaper Mint said on Wednesday, citing people with knowledge of the matter.
Amazon shares rose 1.3% on Wednesday. The stock has been under attack this week as Donald Trump has hinted at tighter regulation.
Viacom will now propose a counter offer to CBS, CNBC reported. The owner of Nickelodeon and MTV networks said believes it deserves a market premium and sees cost synergies of at least $1 billion in the combination, sources told CNBC.
WPP PLC (WPP) - Get Report on Wednesday said it had begun an independent investigation into CEO Sir Martin Sorrell, after reports of personal misconduct and inappropriate use of company funds. Retirement is coming. It's never too early -- or too late -- to plan, save and invest for the retirement you want and deserve. Let TheStreet's new premium subscription newsletter, Retirement Daily, give you the insider's edge on how to maximize and protect your most important investment, your retirement savings. Learn more about Retirement Daily and get a free trial subscription.
American depositary receipts of WPP fell 0.43% on Wednesday.
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