INSUBCONTINENT EXCLUSIVE:
NEW YORK: Wall Street ended lower on Friday as continuing trade tensions pulled industrial and tech shares down, and the Dow capped a fourth
straight week of losses in its longest weekly losing streak in three years.
While all three major US indexes struggled for direction for
much of the session, they turned decisively negative following a report from CNBC that US-China trade negotiations have stalled
The SP 500 and the Nasdaq suffered their second successive weekly declines after US stocks failed to fully recover from Monday's steep
"It is not unusual for stocks to weaken at the end of a week," said Peter Tuz, president of Chase Investment Counsel in Charlottesville,
"The possibility of something weird happening over the weekend leads people to take money off the table as the week comes to a close."
China added fuel to the fire of the increasingly rancorous trade war with the United States, striking a more aggressive tone and suggesting
further talks could be fruitless unless Washington changes course.
Elsewhere in the multi-front US tariff war, President Donald Trump
confirmed he would delay imposing imported auto tariffs by as much as six months, and agreed to lift metal tariffs on Canada and
Mexico.
Trade headlines overshadowed upbeat economic data
The University of Michigan's consumer sentiment index jumped 5.3 per cent in May to its highest reading in 15 years.
"After earnings
season the market seems to shift to these macro factors that are difficult to predict and difficult to trade on," Tuz added
"You see more whipsawing in the markets in this kind of environment."
Tariff jitters also dragged on key industrial shares.
Farm equipment
maker Deere Co was the biggest percentage loser on the SP 500, dipping 7.7 per cent after cutting its full-year forecast.
Caterpillar Inc,
3M Co, Textron, General Dynamics and Fedex Corp all helped pull the industrial sector 1.1 per cent lower.
The Dow Jones Industrial Average
fell 98.68 points, or 0.38 per cent, to 25,764, the SP 500 lost 16.79 points, or 0.58 per cent, to 2,859.53 and the Nasdaq Composite dropped
81.76 points, or 1.04 per cent, to 7,816.29.
Of the 11 major sectors in the SP 500, all but utilities closed in the red, with industrials
and energy seeing the largest percentage losses.
With 460 of SP 500 companies having posted first-quarter results, 75.2 per cent of which
beat analyst expectations, the mostly upbeat first-quarter earnings season is nearly complete.
Analysts now expect first-quarter earnings
growth of 1.4 per cent, a significant turnaround from the 2 per cent loss expected on April 1.
Active wear company Under Armour Inc gained
7.8 per cent following JP Morgan's upgrade of the stock to "overweight."
Pinterest Inc slumped 13.5 per cent after its first quarterly
earnings report as a publicly-traded company
Shares of Luckin Coffee Inc jumped 19.9 per cent as the Chinese challenger to Starbucks Corp made its debut
Declining issues outnumbered advancing ones on the NYSE by a 2.96-to-1 ratio; on Nasdaq, a 2.52-to-1 ratio favoured decliners.
The SP 500
posted 33 new 52-week highs and 6 new lows; the Nasdaq Composite recorded 55 new highs and 101 new lows
Volume on US exchanges was 6.71 billion shares, compared to the 6.98 billion average over the last 20 trading days