US Stock Market Overview – Stocks Close Higher, Driven by Healthcare, Trump Fails to DeliverDisney launches Disney+
US stocks were buoyed early but started to lose elevation following a speech by President Donald Trump in front of the Economic Club of New York on Tuesday. All three major averages hit fresh intra-day all-time highs but eased into the close. The US President spent most of the speech bashing the Federal Reserve, compared to what many had hoped would be a positive speech on the progress of trade relations between the US and China. The president during his speech, continued to discuss a significant phase one deal, that was very close, but did not put any time-frame on a potential deal. Without positive sentiment from the President and little follow trade, the markets eased into the close. Sectors within the S&P 500 were mixed, with Energy leading shares lower. Healthcare was the best performer in a mixed tape.
President Trump Fails to Deliver
If President Trump would have read the daily script, he would have known that traders just wanted him to discuss positive progress between the US and China. While he claimed that China wants to do a big deal, the market did not seem to believe him. Instead of highlighting warmer relations with China President Trump criticized the Fed for what he sees as its hesitation to lower interest rates.
The president was quick to call to attention that since his election, the S&P 500 is up more than 45%, the Dow Jones Industrial Average is up over 50% and the Nasdaq Composite is up 60%. He said that his numbers were since the election day, as he said that he and his administration should get credit for the rally ahead of his inauguration and not his predecessor.
Trump said that the stock market would be much higher if it weren’t for the reluctance of the Fed. He called for the Fed to lower rates, below those of Germany and Japan, to make the US dollar more competitive.
Disney Launches Disney+
Disney launched its Disney+ on Tuesday, and it was reported that the streaming service experienced a few minor glitches due to its very high demand. Disney is in direct competition with new services from Apple called Apple+ as well as Netflix, Amazon Prime Media and Hulu.