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Stocks - Wall Street Falls Over Trade War Concerns

Published 09/04/2018, 09:39 AM
© Reuters.  Wall Street started lower on Tuesday.
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Investing.com - Wall Street opened lower on Tuesday as worries over trade negotiations between the U.S. and its major trading partners weighed on investors.

The S&P 500 lost 7 points, or 0.27%, to 2,893.59 as of 9:37 AM ET (13:37 GMT), while the Dow decreased 101 points, or 0.39%, to 25,863.16 and the tech-heavy Nasdaq Composite dipped 39 points, or 0.48%, to 8,070.46.

Markets were closed in the U.S. on Monday for the Labor Day holiday.

The White House on Friday gave Congress a 90-day notice that a revised NAFTA deal with Mexico would go forward, despite no agreement being made with Canada. Trade negotiations with Canada are expected to continue on Wednesday.

Other world leaders are following closely to see how U.S. President Donald Trump will negotiate disputed trade tariffs with Europe. Meanwhile, a round of U.S. tariffs on $200 billion worth of Chinese goods is expected to go into effect after public comment period ends on Wednesday.

Advanced Micro Devices (NASDAQ:AMD) was among the top gainers after the morning bell, rising 3.85%, while payments processor Square (NYSE:SQ) increased 0.73% and medical marijuana company Tilray (NASDAQ:TLRY) surged 8.13%.

Elsewhere, Nike (NYSE:NKE) slumped 1.72% amid calls on social media for a boycott after the sportswear company chose former San Francisco 49ers quarterback Colin Kaepernick as the face for its "Just Do It" campaign. Kaepernick sparked controversy in 2016 for kneeling during the national anthem.

Facebook (NASDAQ:FB) fell 1.93%, while Chinese e-commerce giant Jd.Com (NASDAQ:JD) was down 5.80% and Tesla (NASDAQ:TSLA) dipped 1.80% after news that it failed to meet its Model 3 production goals.

In Europe stocks were down. Germany’s DAX fell 168 points, or 1.37%, while in France the CAC 40 decreased 82 points, or 1.52%, and in London the FTSE 100 was down 54 points, or 0.72%. Meanwhile, the pan-European Euro Stoxx 50 dipped 45 points to 1.35%, while Spain’s IBEX 35 slumped 48 points, or 0.51%.

In commodities, gold futures fell 0.73% to $1,197.90 a troy ounce, while crude oil futures surged 1.23 % to $70.66 a barrel. The U.S. dollar index, which measures the greenback against a basket of six major currencies, rose 0.47% to 95.52.

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