Back on May 6, 2019, major stocks make up their previous losses. Most of the analysts are speculating that still U.S and China are far from signing a trade deal. At present, the American President has threatened the Chinese officials that he would further increase the surcharge on Chinese goods imported in the country.
According to the reports Dow Jones, S&P 500 and Nasdaq Composite suffered a loss. Previously, the market had showcased a steep rise when few analysts had stated that few Chinese delegates will pay a visit to America to talk on the trade agreement. Few companies which recorded a profit were McDonald’s, Disney and Chevron.
Stocks recorded a steep fall after Donald Trump stated that the government is set to increase the tariff rate to 25% from 10%. Few sources reported that China and the US would talk on trade agreement on May 9, 2019. President Trump, on the contrary, stated that due to China’s re-negotiation the whole process is taking longer time than what it should have.
On May 6, 2019, Mr. Trump tweeted that the country is suffering an average loss of $700 billion on a yearly basis. He further stated that the country will take some counter actions to prevent such loss altogether.
While speaking to the press Michael Arone said that both the US and China want to end the trade 2war as both the economies are dealing from great losses. He further said that the recent plunge in the stock market will get stable and investors will notice fruitful results in the upcoming future.
According to some sources, America has sent its bombers, as well as carrier group to Iran as both the economies, are having a tussle with each other. During a press event, John Bolton stated that the present move of America is a warning for Iran.