Markets Right Now: Escalating trade war sinks stock indexes
NEW YORK (AP) -- The latest on developments in financial markets (all times local):
Stocks are closing sharply lower as an escalating trade war between the U.S. and China rattles investors.
Technology companies, which do a lot of business with China and would stand to lose greatly in an extended trade battle, fell far more than the rest of the market Monday.
Apple gave up almost 6%. Industrial stocks including Deere and Boeing also fell sharply.
Utilities, a haven for fearful investors, were among the few stocks that rose. Prices for other safe-play assets like bonds and gold also rose.
The Dow Jones Industrial Average sank 617 points, or 2.4%, to 25,324.
The S&P 500 fell 69 points, or 2.4%, to 2,811.
The Nasdaq, which is heavily weighted with technology stocks, plunged 269 points, or 3.4%, to 7,647, its biggest drop of the year.
Stocks are plunging on Wall Street after China said it would retaliate against the U.S. with tariffs, escalating a trade dispute that investors had hoped would go away.
China said Monday it would put levies on $60 billion of U.S. imports after the Trump administration on Friday raised tariffs on $200 billion in Chinese imports from 10% to 25%.
U.S. companies that would stand to lose the most in a prolonged trade war with China led the way lower. Apple fell 5.4% and Caterpillar dropped 5.1%.
Utilities, which investors tend to buy when they are fearful of market turbulence, were the only sector to rise.
The Dow Jones Industrial Average sank 623 points, or 2.4%. The S&P 500 fell 71 points, or 2.5% and the Nasdaq sank 3.3%.
Stocks are plunging at the open on Wall Street Monday after China announced retaliatory tariffs against goods from the United States.
China plans tariff hikes on $60 billion of U.S. imports after the Trump administration on Friday raised tariffs on $200 billion in Chinese imports from 10% to 25%.
Technology, industrial and consumer-focused companies are bearing the brunt of the losses. Apple is down 4.4% while Caterpillar is off by 4%.
The Dow Jones Industrial is down 470 points, or 1.8%. The S&P is dropping 51 points, or 1.8% and the tech-heavy Nasdaq is down 2.3%.
Oil rose 2.4% to $63.15 a barrel after two Saudi vessels were targeted off the coast of the United Arab Emirates.