Economy Hope in the trade dispute attracts investors

Hope in the trade dispute attracts investors


Dusseldorf Positive signals on the trade dispute between the US and China have today made for a good start on the US stock exchanges. The Dow Jones Index of Defaults rose 0.7% to hit 27,681 points in the evening. The broader S & P 500 even rose 0.7 percent to 3,115 points. The Nasdaq technology exchange rose 0.6 percent to hit 8.5781 three hours before the close on Wall Street.

On the trading day yesterday, the stock exchanges were still expecting a dwindling prospect of a speedy trade agreement. The Dow Jones index had lost one percent on Tuesday, dropping to 27,503 points. The S & P 500 dropped 0.7 percent to 3,093 meters. The Nasdaq technology exchange was 0.6 percent lighter at 8,521 points. Also on Monday, the indices closed with losses.

After a turnaround, it did not look like Wednesday, rather the opposite: The government in Beijing has reacted angrily to the threat of US Congressional sanctions for dealing with the Uyghur Muslim minority.

A US Embassy Representative has been summoned to the State Department. This spoke of a malicious attack on China and a serious interference in the internal affairs of the country. Who undermine the interests of the People's Republic, will pay the "due price".

But according to a report from the news agency Bloomberg, the US and China come closer to an agreement. The dispute over the US bill on the Uighur question will not burden the talks, wrote Bloomberg, citing insiders. And US President Donald Trump's statement that it may be better to wait with an agreement until after the US election in November 2020 does not mean that the talks have stalled.

"China and the US are playing poker," said strategist Mark Grant of asset manager B. Riley FBR. "They make these statements hoping to move the other side, and it's hard to figure out what's real about it. But it moves the market when they sound more promising or less promising. "

Also for the trade disputes with the European Union Trump sprayed optimism. The EU is behaving unfairly towards the United States, Trump said on Wednesday before a meeting with Chancellor Angela Merkel on the sidelines of the NATO summit. The talks with the Europeans are correspondingly difficult. But he was confident that in the end, they would find an agreement.

Slight prospects for the economy

The mood was dampened by new figures from the US labor market: The US companies created far fewer jobs in November than expected. Overall, only 67,000 jobs were added, as the human resources provider ADP announced on Wednesday to its monthly corporate survey. This is the lowest job creation since May. Experts had expected a gain of 140,000.

The ADP report can not dampen the economic worries, said Ralf Umlauf, analyst of Landesbank Hessen-Thüringen (Helaba). "The report is disappointing because the low initial jobless claims had indicated a more robust development." It is also questionable whether the government's Friday job market report, which includes jobs in the private sector as well as civil service jobs, is expected to reach 200,000 new jobs.

Single values ​​in focus

Micron: The world's fourth-largest chipmaker can only deliver to its Chinese major customer Huawei because of the US sanctions. The hope for relaxation in the trading dispute gives the share a boost, it goes up to 2.5 percent.

GoPro: Sales successes on "Black Friday" and "Cyber ​​Monday" gave GoPro a huge boost at the start of trading. The shares were on Wednesday afternoon with an increase of about six percent at $ 4.09. For the evening, however, there was only a gain of half a percent in the course. The action camera provider increased the sales of its top model Hero8 Black on its website according to information by more than 90 percent. Sales via retailers would have increased 30 percent.

Johnson & Johnson: Johnson & Johnson shares rose 1.6 percent and were among the biggest winners in the Dow Jones. The Group has released new test results to show that the suspected asbestos-contaminated baby powder is free of the carcinogen.

With agency material.

More: Investors are demanding more weight for climate protection during audits. European asset managers criticize that climate change is ignored when valuing companies.

(t) Wall Street (t) Stock Exchange (t) Trading Dispute (t) China (t) Standard & Poor's (t) ADP (t) Helaba (t) Go Pro (t) Nato (.) (tagsToTranslate) t) Donald Trump



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