The Dow Jones Industrial Index (^DJI) closed lower on Tuesday after US President Trump gave an update on Tariff talks with several countries. The US president has declared that he will not extend the August 1 deadline for major trading partner countries to reach deals with the US, worrying investors in the US markets. The S&P 500 (^GSPC) hovered near the flat line, while the Dow was down just under 0.4%. Fortunately, the 30-stock index is still finding support at the 44,000 level.
Two banks in particular weighed down the Dow Jones index the most on Tuesday. JPMorgan Chase (JPM) sank more than 3% after HSBC downgraded the Big Bank to reduce from a hold rating. Shares are coming off an all-time high reached Thursday. Goldman Sachs (GS) also weakened as the session wore on, increasing its loss to nearly 2%. The bank stock is extended from a cup-with-handle buy point of 620.79.
Also Read: Asian Currencies To Fall & Weaken After Trump’s New Tariffs
Parts of the market did respond sharply to the headlines. Copper futures (HG=F) jumped more than 10% after Trump pledged to impose a 50% tariff on certain imports. Meanwhile, major pharmaceutical stocks, including Pfizer (PFE), Amgen (AMGN), and AbbVie (ABBV), pared earlier gains after Trump said he plans to unveil a new pharmaceutical tariff program “very soon.”
Elsewhere, Wall Street expects a quiet week in terms of economic releases and earnings. Minutes from the Federal Reserve’s June meeting are due on Wednesday. These notes could help give the market a nudge forward.
