US Stock Market Overview – Stocks Slip, but Settle Up Strong for the Week

Energy shares buck the trend
David Becker
US Dollar Index

US stocks slipped Friday, and had a difficult time moving higher after experiencing upward momentum for most of the week. The large cap S&P 500 index closed at an all time high multiple times during the week and closed at a weekly all time high up more than 2.3% for the week. Oil prices continued to move higher as Trump announced that he was about to declare an attack on Iraq for retaliation for the destruction of an unmanned drone.

The US Commerce Department has banned five more Chinese entities from buying US components after blacklisting telecom giant Huawei last month. Sectors were mixed. Energy and Healthcare were the best performers in the S&P 500, Industrials and Technology were the worst.

Trump Halts Attack After Ordering It

President Trump ordered a military strike on Iran but changed his mind when he was told that there could be as many as 150-deaths with this retaliation. The Iranian shot down an unmanned drone over the Strait of Hormuz.  Reports suggest Trump warned Iran that an attack was imminent and called for talks, giving Iran a short period of time to respond.  The 10-year traded below 2% for the first time yesterday since November 2016.  The interest rates reduction is now priced in by mid-January 202 and a 4th by January 2021.

Semis Crush on Blacklist of Huawei

The US Commerce Department banned an additional five Chinese entities from buying components after blacklisting telecom giant Huawei last month. Higon, Chengdu Haiguang Integrated Circuit, Chengdu Haiguang Microelectronics Technology, Sugon and Wuxi Jiangnan Institute of Computing Technology are the names of the companies. The commerce department said that these companies’ activities pose a srisk of being involved in activities contrary to the national security and foreign policy interests of the United States. Shares of semis sold off on the news. The commerce department announcement came before President Donald Trump’s key meeting with Chinese leader Xi Jinping at the G-20 summit this month to discuss the lingering trade differences.

Refinery Stocks Surge on Fire

Refinery stocks surged on Friday as gasoline prices at the pump could rise for East Coast drivers after a massive explosion Friday affected operations at a Philadelphia refining complex responsible for as much as 27% of the region’s fuel production. This refining outage couldn’t come at a worse time for consumers, given the backdrop of the tensions with Iran and a time of the year when individuals usually travel. The summer driving season kicked off on Memorial Day. The explosion occurred just as US gasoline demand hit an all-time high last week. The pressure on gasoline prices also comes at a volatile time for oil prices, up more than 9% this week, after plummeting about 20% this spring.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US