NEW YORK, Dec 9 — The S&P 500 and Nasdaq indexes edged higher today, with investors keeping a close watch on headlines around US-China trade as planned tariffs on Chinese imports kick in on December 15.
Beijing and Washington are negotiating a first phase trade deal aimed at de-escalating tariff disputes but they continue to wrangle over key details.
However, analysts and investors are still hoping for a delay in the deadline, while expecting more positive gestures from both sides.
“Markets are telling us that there are hopes for something positive to come up before the deadline. The two sides might just roll back tariffs or even postpone the date but something will happen,” Peter Cardillo, chief market economist at Spartan Capital Securities in New York.
The latest data from China showed exports in November shrank for the fourth consecutive month, underscoring persistent pressures on manufacturers from trade tensions.
“Obviously, we can see the Chinese economy is really suffering but this could push them to come up with some sort of a goodwill gesture before the tariffs set in,” Cardillo said.
The S&P 500 was up 1.92 points, or 0.06 per cent, at 3,147.83 and the Nasdaq Composite was up 19.65 points, or 0.23 per cent, at 8,676.18.
The Dow Jones Industrial Average was down 21.37 points, or 0.08 per cent, at 27,993.69.
Pressuring the Dow was 3M Co, which fell 1 per cent after Citigroup cut its rating on the industrial conglomerate’s shares.
Apple suppliers Qorvo Inc and Skyworks Solutions Inc rose about 3 per cent each, leading gains on the S&P 500, after Bank of America Merrill Lynch upgraded shares of both companies.
Merck & Co dipped 0.5 per cent after it said it would buy cancer drug developer ArQule Inc for US$2.7 billion in cash. Shares of ArQule doubled in value following the news.
Advancing issues outnumbered decliners by a 1.10-to-1 ratio on the NYSE and by a 1.15-to-1 ratio on the Nasdaq.
The S&P index recorded 15 new 52-week highs and no new low, while the Nasdaq recorded 57 new highs and 18 new lows. — Reuters
