Dow posts 6th loss in row on trade spat

first_imgNEW YORK — Big industrial and technology companies skidded Tuesday as the trade dispute between the U.S. and China threatened to come to a boil. Smaller companies less focused on overseas trade fared better, as did dividend-paying stocks.The Dow Jones industrial average fell for the sixth day in a row and lost 287.26 points, or 1.1 percent, to 24,700.21. The S&P 500 index gave up 11.18 points, or 0.4 percent, to 2,762.57. The Nasdaq composite fell 21.44 points, or 0.3 percent, to 7,725.59. International markets suffered steeper losses. Hong Kong’s Hang Seng index sank 2.8 percent, its biggest decline since February, and Germany’s DAX lost 1.2 percent.Oil and copper fell. Both are commodities that would be susceptible if a trade dispute caused a slowdown in global economic growth. Cautious investors moved money into bonds.President Donald Trump told the U.S. Trade Representative to identify $200 billion in goods for a potential 10 percent tax, and China said it would respond with duties of its own. In a statement, Trump said that if China retaliated, he would order yet another $200 billion in tariffs. China doesn’t import enough goods from the U.S. to match the scale of Trump’s proposals, but could sanction U.S. products or companies through other means.Just days ago, the U.S. and China each announced 25 percent taxes on $50 billion in imports from the other. While the dollar amounts are rising rapidly, the countries still have time to negotiate, as the previously announced tariffs won’t take effect until July 6.last_img read more