Dow Plummets Over 700 Points as Amazon Tumbles Amid Trade War Fears

Posted April 04, 2018

China retaliated on Monday by slapping duties of up to 25 per cent on US food imports, including pork, fruit, nuts and wine.

In the cash market, the benchmark S&P 500 Index settled at 2640.87, up 2.0%. Eastern time. The Dow Jones industrial average lost 623 points, or 2.6 percent, to 23,480. The NASDAQ dropped by 3% and the S&P dropped 2.4%. The Russell 2000 index of smaller-company stocks fell 36.90 points, or 2.4 percent, to 1,492.53.

With the S&P 500 in a 10 per cent correction from its record high in late January, investors were increasingly concerned a nine-year bull market might be in danger of ending. The Dow shed 616.11 points, or 2.3%, during the three-month period, while the S&P lost 1.2%.

The Nasdaq is down 33.27 points, or 0.5 percent. Losses were widespread across all 12 sectors of the market, with consumer goods (2.8 percent), technology (2.4 percent) and financials (2.1 percent) taking the hardest hits.

No mousing around as Disney offers to take Sky News
But the proposal faces another challenge as U.S. broadcaster Comcast is mounting its own £22.1 billion takeover approach for Sky. The Fox-owned Murdoch family already owns two daily newspapers in the United Kingdom via News Corp, The Times and The Sun .

China's latest step is just one point of contention between China and Washington, Europe and Japan over a state-led economic model they complain hampers market access, protects Chinese companies and subsidizes exports in violation of Beijing's free-trade commitments.

Amazon sank following weekend broadsides from President Donald Trump on Twitter, while Facebook tumbled as a widening privacy scandal continued to weigh on the company's stock.

Brent crude, used to price worldwide oils, rose 16 cents to $67.80 in London. He claimed again that Amazon has an unfair tax advantage that is forcing other retailers out of business, as well as claiming the U.S. Postal Service is losing a fortune on Amazon shipping. Technology companies including Oracle, Apple and Google parent Alphabet moved higher even though they weren't doing as well as the rest of the market.

Spotify Technology SA shares opened at $165.90, almost 26 percent above the reference price of $132 a share set by the NYSE late on Monday. After peaking at nearly $1,600 a share last month, Amazon has slumped with the market recently.

Major league roundup: Astros' title defense opens with a win
Rangers 3B Adrian Beltre is starting his 21st big league season, the only active major leaguer with at least 20 seasons. HOUSTON STARTER LHP DALLAS KEUCHEL (14-5, 2.90) was 3-1 with a 2.92 ERA for four starts against the Rangers last season.

After a month of public negotiations between the USA and several other countries, Monday marked the first time another country has placed tariffs on US goods in response to the Trump administration's recent trade sanctions.

Trader Leon Montana works on the floor of the New York Stock Exchange on Monday, April 2, 2018. Tesla Inc., the heavily indebted electric vehicle maker, is struggling to explain what caused a fatal accident last month in which one of its vehicles crashed into a concrete lane divider while on autopilot.

U.S. WTI crude oil +0.7% at $63.46/bbl. Natural gas slid 5 cents to $2.68 per 1,000 cubic feet.

CURRENCIES: The dollar declined to 105.99 yen from 106.50 yen.

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Prime Minister Theresa May has called for greater flexibility from the European Union in discussions on a post Brexit relationship.

Trump has expressed disgust for multilateral trade decisions and has favored more adversarial action. The euro edged up to $1.2308 from $1.2306.