Wall street opened almost unchanged
Investing.com — U.S. stock indexes are slightly changing at the opening of trading on Friday as investors pin their hopes on additional stimulus for the revival of the ailing economy amid worsening U.S.-China relations, writes Reuters.
At 09:40 am Eastern time (13:40 GMT) Dow Jones industrial average fell 118 points, or 0.5%, to 24, 356 points, while the S&P 500 and the Nasdaq Composite fell 0.4%.
The Chinese people’s Congress — the annual meeting of the legislative Assembly of the country — has released two pieces of news which have negative implications for stocks: the government for the first time in three decades did not say, the target for economic growth of the country this year that sowed doubts about the ability of the second largest world economy to recover quickly after an epidemic of coronavirus; and a bill that would impose more stringent centralized control over Hong Kong despite the agreement of “one country, two systems”, which China promised to abide by at the time of restoration of control over the former British colony.
Any Chinese move to undermine the autonomy of Hong Kong, will lead to “very serious” response from the United States, warned on Thursday the President of Donald trump.
Chinese ADRs in new York most of all lost in early trading: the e-Commerce giant Alibaba (NYSE:BABA) fell 4.1% to its lowest level in a week, despite the fact that quarterly revenues and profits the company considerably surpassed the expectations of wall street.
JD.com (NASDAQ:JD), which competes with Alibaba in the field of online sales, fell by 3.1%, while shares of search engine Baidu (NASDAQ:NASDAQ:BIDU) fell by 5.5% and shares of NetEase (NASDAQ:NTES) fell 6.9%.
U.S. stocks showed slightly better results. Paper NVIDIA add of 3.48% on anticipation of strong quarterly report which will be published after close of trading.
Shares of Deere & Company (NYSE:NYSE:DE), the demand for equipment which is largely due to Chinese exports, rose 0.5% after the publication of quarterly data, which were not as bad as feared, largely due to good control over costs.
However, shares of Hewlett-Packard Enterprise (NYSE:HP) fell 10.1%, while shares of International Business Machines (NYSE:IBM (NYSE:IBM)) fell 1.3% after both companies noted a significant reduction in jobs, waiting for a structural reduction in demand in the world after September 19.