Investing.com – The S&P 500 notched a weekly win Friday, shaking off fears of ramp-up in U.S.-trade tensions amid reports President Donald Trump was ready to hit China with a hefty round of tariffs.
The rose about 0.03%. The rose 0.02%, while the fell 0.05%.
Trump on Thursday to proceed with tariffs on about $200 billion more in Chinese products, but the announcement has been delayed as the administration considers revisions based on concerns raised in public comments, Bloomberg reported, citing sources.
This comes just days after Treasury Secretary Steven Mnuchin reached out to Chinese officials with an invitation to resumed trade talks.
Trump’s willingness to press ahead with tariffs, drummed up renewed fears of a full-blown trade war and raised questions about how committed the administration was to ending the trade dispute with China.
The rise in trade tensions wiped out early-session gains, which followed a surge in financials, mostly banks.
Goldman Sachs (NYSE:), Citigroup (NYSE:) and Morgan Stanley (NYSE:) closed higher, buoyed by a rise in U.S. bond yields on signs of underlying economic strength.
The flirted with the important psychological 3% yield as traders cheered an upward revision to July’s retail sales data, ignoring for August.
Rising Treasury yields are seen as boon for banks, boosting their net interest margin, the difference between the interest income generated by banks and the amount of interest paid out to their lenders.
Wall Street’s positive week was fraught with violent swings in tech. A wave of selling emerged across semiconductors, while triggered a broad-based rally.
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