US stocks gain as Trump confirms China deal on track

About 25 minutes into trading, the Dow Jones Industrial Average was at 26,216.39, up 0.7 per cent. — Reuters pic
About 25 minutes into trading, the Dow Jones Industrial Average was at 26,216.39, up 0.7 per cent. — Reuters pic

NEW YORK, June 23 — Wall Street stocks rose early today after US President Donald Trump confirmed that a trade agreement with China remains on track, overruling an aide who said the deal was derailed.

About 25 minutes into trading, the Dow Jones Industrial Average was at 26,216.39, up 0.7 per cent.

The broad-based S&P 500 gained 0.7 per cent to 3,139.60, while the tech-rich Nasdaq Composite Index also climbed 0.7 per cent to 10,126.17.

Worries about the deal between Washington and Beijing hit US stock futures yesterday night after White House advisor Peter Navarro said in a television interview that the agreement was “over.”

Navarro, in the course of an interview with Fox News, also blamed the coronavirus outbreak in the United States on China, amplifying a grievance that Trump himself has championed.

But Trump on Twitter said subsequently that the agreement is “fully intact,” reviving the market.

Investors continue to monitor rising coronavirus cases in many parts of the US.

Governors in Texas, Florida and other states have signalled they plan to continue on with reopening their economies, but higher outbreaks could depress consumer activity or prompt more companies to shut down voluntarily. — Bernama

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