Fri, 10 Jul 2020

NEW YORK, New York - More rhetoric from U.S. President Donald Trump unsettled Wall Street on Friday, and undermined confidence across the globe.

Mr Trump continued to weigh in on China, but despite threats early on, at the close of business Friday the long-negotiated partial trade deal, known as Phase-1, remained intact.

"He began speaking in a very tough tone," Chris Zaccarelli, chief investment officer at Independent Advisor Alliance in Charlotte, North Carolina told Reuters Thomson Friday. "The market was worried he was going to announce something substantial, something detrimental to the U.S. economy. Then, as he spoke, it became clear the actions being taken were not going to be as dramatic as originally feared."

It was a false hope however. After trade continued ther president launched an extraordinary attack on China. "US-China relations are in full crisis," Richard Fontaine, the CEO of the Center for a New American Security told the Reuters Thomson news agency Friday. "We've hit the floor and keep falling through it. Beijing will retaliate in response to the Hong Kong steps the administration takes, and then the ball will be back in the President's court. Things will get worse -- potentially much worse -- before they get any better."

Trump eroded confidence even further when he announced later in the day the United States was terminating its support for the World Health Organization, a confounding and confrontational move given the U.S. and the world is in the middle of a pandemic, and the United States is faring far worst than any country on earth.

At the conclusion of trading Friday the Dow Jones Industrial Average was down 17.53 points, or 0.07%, at 25,383.11.

The Standard and Poor's 500 edged up 14.58 points, or 0.48%, to 3,044.31.

Only the Nasdaq put in a credible performance, adding 120.88 points, or 1.29%, to 9,489.87.

The U.S. dollar remained under pressure Friday, consolidating recent losses. The euro finished the week around 1.1100, trading at 1.1097 at the New York close Friday. It was the European Union's currency's best day in more than two months.

The British pound remained strong at 1.2342. The Japanese yen however weakened a touch to 107.85.

The Swiss franc was in demand, firming to 0.9614.

The Canadian dollar was little changed at 1.3785. The Australian dollar rose to 0.6665. The New Zealand dollar was solid at 0.6204.

In London, the FTSE 100 tumbled 2.29%. The German Dax was down 1.15%. In Paris, the CAC 40 dropped 1.59%.

On Asian markets, the Nikkei 225 fell 38.42 points or 0.18%, to close Friday at 21,877.89.

In Hong Kong, the Hang Seng weakened by 171.29 points or 0.74^ to 22,966.47.

China's Shanghai Composite went against the trend, but gains were negligible.

The Australian All Ordinaries shed 85.60 points or 1.44% to 5,872.20.

More Central Asia News

Access More

Sign up for Kyrgyzstan News

a daily newsletter full of things to discuss over drinks.and the great thing is that it's on the house!