Stocks stabilize, trade concerns dream

Stocks increased narrow gains on Wednesday morning when investors tried to boast about concerns that the US and China will not come to solve a more than an annual trade conflict before new tariffs come into force on Friday.

<p class = "canvas-atom canvas-text Mb (1[ads1].0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "S & P 500 ( ^ GSPC ) increased 0.02%, or 3.92 points, while Nasdaq ( ^ IXIC ) increased 0.02%, or 0.54 points, from ) slipped 0 , 05%, or 2.91 points. "Data-response time =" 16 "> S & P 500 (P GSPC) increased 0.02%, or 0.54 points, from kl. 9:54 ET. Dow (^ IXIC) rose 0.02%, or 3.92 points, while Nasdaq (^ IXIC) fell 0.05%, or 2.91 points.

Throughout the market near Tuesday, each of the three main indices was more than 2% cut into steep gains saved in the first months of the year.

<p class = "canvas-atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" Type = "text" content = "Investors were blinded Sunday with a tweet by President Donald Trump that he would appreciate $ 200 billion of Chinese goods and thank fees for an additional $ 325 billion of Chinese imports, ending a five-month ceasefire between the United States and China. "> Investors were blinded Sunday with a tweet by President Donald Trump, where he said he would appreciate $ 200 billion of Chinese goods and thank fees for an additional $ 325 billion Chinese imports, concluded a five months of ceasefire between the United States and China.

<p class = "canvas-atom canvas text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" Trump was encouraged to announce additional fees after Chinese dealers late last week deleted at a a number of important aspects of the labor trade agreement, Reuters reported Wednesday with reference to unnamed government and private sector officials briefed on the case. "data-reactid =" 19 "> Trump was prompted to announce the additional fees after Chinese dealers late last week deleted a number of important aspects of the trade agreement, Reuters reported Wednesday, and quoted non-named authorities and public sector officials

According to the government, China returned to commitments that would require changes to laws to address US concerns, including theft of intellectual property rights, forced technology transfer, competition policy, access to financial services, and currency impact. has been high on the Trump administration's list of priorities for a possible trade deal, and had largely catalyzed the trade war initially.

Some observers have speculated that Trump's Twitter post was a negotiating strategy for pushing China against more concessions, but one source in Reuters report denied it ne perception as the only motive behind the extra threats.

Wednesday, in a couple of Twitter posts, Trump admitted that the Chinese delegation was trying to delay a trade deal after the presidential election in 2020, when another candidate could take office and possibly reach a more lenient agreement. He added that he was "very pleased with over $ 100 billion a year in appealing US coupons."

More to lose & # 39;

<p class = "canvas-textile Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Many market researches have pointed out that the United States operates from a position of economic strength compared to China, especially given stronger than expected new GDP and employment data. Gordan Chang, author of "The Coming Collapse of China," & nbsp; told Yahoo Finance Tuesday and that in this case "China has more losing. "" Data React = "26"> Many market participants have pointed out that the United States operates from a position of economic strength compared to China, especially given stronger than expected new GDP and employment data. Gordan Chang, author of "The Coming Collapse of China," told Yahoo Finance Tuesday that in this case "China has more to lose."

Other economists have echoed these feelings.

"We believe that the direct effects of President Trump's endangered wage rise can reduce Chinese GDP by up to 0.4% and that the associated retaliation will only have a marginal direct impact on the US," said Jennifer McKeown, Global Economic Service Leader at Capital Economics, in a note, "The impact on business insurance and financial markets around the world can be more significant and potentially add to the reasons for a renewed political solution."

On Wednesday, exports in China were unexpectedly shown in April and underlined geopolitical problems still weighing on the Chinese economy, even though the government has recently entered into political stimulus, however, Chinese imports have improved from the recent weakness.

"Chinese concerns are again the main driver of bearish sentiment for global markets, with disappointing commercial data that is under pressure from the dizzying trade negotiations with the United States, says Joshua Mahony, senior ma analyst at IG Group, wrote in an e-mail. "With much of the trade agreement increase that is already native, we see it unravel as China's Liu He and [U.S. Trade Representative Robert] Lighthizer are allowed just a few hours somehow resolve a situation that seems to end with an escalation of tariffs between the two economic giants. "

Wednesday, Chinese trade dealers are led by vice president Liu He joined the US delegation in Washington, DC, to try further trade displays.

History continues

But with a near-term agreement apparently off the table, investors have left to reassess the potential impact of additional prices and long-term tensions with China. This week, many dealers have turned to port operations to escape the sharp decline in stocks. Gold prices were up 0.37% to $ 1.290.4 per ounce in early trading Wednesday, and the Japanese yen crossed higher against the US dollar. The return fell for US, UK and German government bonds as investors contribute.

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<p class = "canvas-atom text (Mb) 1.0 Mb (0) – sm Mt (0.8em) – sm" type = "text" content = " Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter: @emily_mcck " data-reactid = "51"> Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter: @emily_mcck

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