Traders Edge – Friday 7th September

by | Sep 7, 2018 | Uncategorized | 0 comments

Overseas Market Report

The S&P 500 and Nasdaq declined as the possibility of more US tariffs on Chinese imports loomed, while tech stocks stumbled, led by chipmakers and concerns about increased regulation of social media companies. The public comment period for proposed tariffs on an additional $US200 billion ($A278 billion) worth of Chinese imports ends on Friday at midnight EDT, and the tariffs could go into effect shortly afterward. China has warned of retaliation if Washington implements any new tariff measures.

On a more positive note, talks between the United States and Canada to renegotiate the North American Free Trade Agreement continued. The muddled outlook for trade was reflected in the mixed outcome for US stocks on Thursday, investors said. The Dow edged up even as the S&P and Nasdaq fell. “Investors are waiting for clarity,” said Keith Lerner, chief market strategist at SunTrust Advisory Services in Atlanta. “The next round of tariffs could happen as early as tomorrow.”

Shares of chipmakers and internet companies weighed on the S&P and Nasdaq. The Philadelphia SE Semiconductor index slid 2.7 per cent after executives from Micron Technology Inc and KLA-Tencor Corp spoke at a Citi technology conference. Micron shares sank 9.9 per cent and were among the biggest drags on the Nasdaq and the S&P. KLA-Tencor shares tumbled 9.7 per cent. Fallout from the scrutiny of social media companies also continued to batter tech stocks.

Morning Market Note - Friday 7th September

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