Stocks Swoon on Trump Conference, Still Headed for Weekly Gain
May 29,2020 10:32 am EST
Stocks were lower on Friday as traders braced for an upcoming news conference on U.S.-China relations from President Donald Trump.
The Dow Jones Industrials staggered 129.73 points to 25,270.91
The S&P 500 subtracted 12.43 points to 3,017.30
The NASDAQ Composite retreated 13.36 points to 9,355.63.
The major averages entered the session up solidly for the week. The Dow and S&P 500 are up more than 2.7% each week to date while the NASDAQ has advanced 0.5%. That weekly advance comes as traders increase bets on a successful reopening of the economy.
Stocks are also up sharply for the month, with the Dow and S&P 500 gaining over 3% each while the NASDAQ advanced 5.2% in May.
Sentiment was also muted after Salesforce issued disappointing guidance for the second quarter. The company expects earnings ranging between 66 cents a share and 67 cents a share. Analysts expected earnings guidance of 74 cents per share. Salesforce shares dropped 4.4%.
Bank of America and Wells Fargo led bank stocks lower, falling more than 2% each. Citigroup lost 3% and JPMorgan Chase dipped 2%.
Trump said Thursday afternoon he would hold the news conference, knocking stocks down from solid gains. That announcement came after China approved a national security bill for Hong Kong that experts warn could endanger the city''s “one party, two systems” principle.
That principle allows for additional freedoms that mainland China residents don''t have. However, there was no time scheduled for the news conference on Friday.
Prices for the 10-Year Treasury gained ground, lowering yields to 0.67% from Thursday''s 0.69%. Treasury prices and yields move in opposite directions.
Oil prices slipped 45 cents to $33.26 U.S. a barrel.
Gold prices jumped $15.20 to $1,743.50 U.S. an ounce.
Stocks Swoon on Trump Conference, Still Headed for Weekly Gain
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