And here is how some of the most widely followed S&P 500, Dow and other go-to bull market stock trading dropped on Tuesday:
- Advanced Micro Devices Inc. (NASDAQ: AMD) fell $2.59 (10.92%) to $21.12, but its 127 million shares was only about 4% above its average daily volume.
- Amazon.com Inc. (NASDAQ: AMZN) fell $103.96 (5.87%) to $1,668.40. Its 8.7 million shares traded on Tuesday was about 30% above normal.
- Caterpillar Inc. (NYSE: CAT) fell $9.63 (6.93%) to $129.32, and its 8.1 million shares was about 30% above average.
- Micron Technology Inc. (NASDAQ: MU) closed down $3.15 (7.87%) at $36.88.
- Nvidia Corp. (NASDAQ: NVDA) fell a sharp $12.93, or 7.6%, to $157.11, but its 20.3 million shares trading hands was about 40% above average.
- Square Inc. (NYSE: SQ) fell $8.44 (11.7%) to $63.51.
- United Rentals Inc. (NYSE: URI) fell by $12.97 (10.88%) to $106.29.
OK, well that should be enough of a reminder that Tuesday’s stock market selling felt like carnage that may have been much worse than what was deserved.
And to think about this for size, while President Trump has tweeted that he hopes for a trade deal with China but he will impose the tariffs after 90 days if no deal is reached, Reuters reported on Wednesday morning that China believes trade talks with the United States will be successful:
China expressed confidence on Wednesday that it can reach a trade deal with the United States, despite fresh warnings from President Donald Trump that he would revert to more tariffs if the two sides cannot resolve their differences.
The remarks by the Chinese Commerce Ministry follow a period of relative quiet from Beijing after Trump and Chinese leader Xi Jinping reached a temporary truce in their trade war at a meeting over dinner in Argentina on Saturday.
In a brief statement on its website, the ministry said China would try to work quickly to implement specific issues already agreed upon, as both sides “actively promote the work of negotiations within 90 days in accordance with a clear timetable and road map”.
And The Wall Street Journal’s lead story’s synopsis of “China Says There Is ‘Clear Timeline’ on Trade Negotiations” said:
Beijing is beginning to flesh out details of a weekend tariff truce with the U.S., after days of vague Chinese statements and a barrage of comments from President Trump and other administration officials.
Wednesday’s market closure and the lack of a serious follow-through selling overseas sets Thursday up to be an exciting day. Now we just have to see whether the market trading is rational. Stay tuned.