Dividend logo

There was a good chance that the markets would turn bearish this week after the U.S. administration imposed a fresh set of tariffs last week. This overshadowed the surge in housing construction and some decent corporate earnings.

After China promised to impose retaliatory tariffs on U.S. exports, President Donald Trump escalated the situation by issuing warnings of ‘additional tariffs’ if Beijing hit back with tit-for-tat duties on American goods. Consequently, the Dow was down almost 2% by Tuesday, but the market stabilized by Wednesday and the CBOE Volatility Index reading retraced close to 13.

In the end, the U.S. economy is doing better than the rest of the world, as is evident by the surging U.S. Dollar index, but if the administration continues to provoke key allies and trading partners, it will cap the natural bullish potential of the market.

Be sure to check out our previous week’s edition here, in which news of more rate hikes overshadowed the historic North Korea Summit.

To read the Full Story, Go Premium or Log In

Popular Articles

News

ConocoPhillips and Hollysys Automation Technologies Increase Dividend

Each week, stocks, funds and REITs announce upcoming dividend payouts. Track how your portfolio’s...

Practice Management

3 Must-Read Pieces for Practice Management: October 14 Edition

Every month, we bring you a curated list of must-read articles geared towards helping you grow...

News

Procter & Gamble Co and Accenture Plc Go Ex-dividend This Week

There are many securities going ex-dividend this week starting Monday, October 14. For income...