S&P 500, Nasdaq Composite and Dow Jones rose Tuesday as investors assessed President-elect Donald Trump’s threat to impose new tariffs.
The S&P 500 Index rose by 0.2% while the Nasdaq Composite increased more than 0.5%.
Amgen stock’s sharp declines dragged the Dow Jones Industrial Average down 0.6%.
Investors cheered Scott Bessent’s nomination as Treasury Secretary on Monday. However, the Dow Jones Industrial Average has been unable to hold this level since Tuesday.
Russel 2000, which focuses on small caps, also reached a fresh intraday high today.
The Treasury yields dropped and traders viewed Bessent as a good leader.
According to CNBC, many investors see the hedge fund manager, given his experience, as an advocate of the financial markets and economy, as well as someone that could counteract Trump’s aggressive trading aspirations.
The minutes of the US Federal Reserve policy meeting held earlier in the month will be released to investors.
On Thursday, the US stock market will be closed for Thanksgiving and scheduled to close at an early hour on Friday.
The volume is expected to be low throughout the rest of this week.
Trump Threatens More Tariffs
In a post on social media on Monday, Trump stated that he planned to apply a 25% tax on all imports from Canada and Mexico.
The President also announced that an extra 10% of tariffs will be applied to Chinese imports. He noted the lack of progress made by China in curbing illegal drug flows into the US.
The tariffs on China have already been increased by 60%.
Trump’s remarks raised concern about an unstable global economy and a full-blown trade war among the world’s largest economies.
Amgen Inc. and Kohl’s share prices plummet
Amgen Inc.’s shares fell 12% Tuesday, after the company announced that its weight-loss drug had helped some patients shed up to 20 percent of their body weight.
The trial results fell short of the expectations.
Kohl’s shares fell nearly 20% Tuesday, after its third-quarter results failed to meet Wall Street expectations.
According to LSEG, during the third quarter the company generated revenue of $3.31 billion, or 20 cents a share. This was below consensus expectations, which were 28 cents a share for $3.64 billion.
In the meantime, shares comparable dropped by 9.3% in comparison to expectations for a decline of 5.1%.
Since the start of 2018, shares of the retailer are down around 36%.
Dick’s Sporting Goods jump
Dick’s Sporting Goods shares soared more than 5% on Tuesday before the opening bell after the retailer reported positive earnings.
In the third quarter, Pennsylvania-based Company earned $2.75 adjusted per share on revenues of $3.06 billion.
Analysts polled at LSEG had forecasted $2.68 per share and $3.03billion.
Also, the company raised its outlook for full year.
CNBC reports that shares have risen by more than 46 percent in 2024.
The consumer confidence increases
US Conference Board report on Tuesday showed that the consumer confidence increased in November while stock market expectations reached a new high.
This month, the US Consumer Confidence Index increased by 2.1 points compared to October. It is also slightly higher than Dow Jones’ estimate of 111.7.
A record 56.4% said that they expected stock prices to rise in a year, setting a new high.
The five-year inflation outlook has also decreased to 4,9%, its lowest level since March 2020.
The post S&P and Nasdaq rise while Dow falls amid Trump’s tariff worries; Amgen shares, Kohls share tumble, may be updated as new developments unfold.
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