American small and medium-size companies that rely on China are scrambling to adjust their business plans in response to the escalating trade war.Traderead more
Here are the products that stand to be the most affected by China's new tariffs on $75 billion worth of U.S. goods.Marketsread more
Trump said he will raise tariffs on $250 billion in Chinese goods to 30% and hike duties on another $300 billion in products to 15%.Politicsread more
China said on Saturday it strongly opposes Washington's decision to levy additional tariffs on $550 billion worth of Chinese goods and warned the United States of consequences...Politicsread more
The European Union will respond in kind if the U.S. imposes tariffs on France over digital tax plan, EU chief Donald Tusk told G-7.Technologyread more
Stocks dropped after Donald Trump ordered that U.S. manufacturers find alternatives to their operations in China.US Marketsread more
The final week of August could be highly volatile as markets fret over the economy and the latest developments in trade wars.Market Insiderread more
Federal Reserve Vice Chair Richard Clarida said Friday that the global economy has deteriorated in the past month.Marketsread more
The latest escalation in the trade war ups the odds the economy will fall into recession and that the Fed will aggressively cut rates.Market Insiderread more
"We don't need China and, frankly, would be far better off without them," Trump tweeted.Politicsread more
Recent trade friction between the two Asian powerhouses has morphed into a dispute with political implications that go far beyond the region.Asia Politicsread more
U.S. stocks had their worst day in two months on Wednesday as a batch of corporate earnings reports disappointed investors. Concerns of rising bond yields also dampened sentiment in stocks.
The Dow Jones industrial average fell 112.3 points to close at 23,329.46, marking its biggest one-day fall since Sept. 5. The index dropped nearly 200 points at its session lows. Boeing contributed the most to the losses.
The stock closed 2.8 percent lower after two of its businesses saw declines in revenue compared to last year, largely due to $329 million in costs due to production problems of the KC-46 aerial refueling tanker.
The declined 0.47 percent to finish at 2,557.15, with industrials and telecommunications leading decliners. The S&P had its worst day since Sept. 5. Chipotle Mexican Grill was the biggest decliner on the index, dropping 14.6 percent after its quarterly results missed the mark.
Chip maker Advanced Micro Devices saw its shares drop 13.5 percent despite beating the Street on earnings and revenue. The company said it expects a drop in revenue for the current quarter.
The Nasdaq composite slipped 0.5 percent to 6,563.89.
"I think you're getting a bit of a pause" in the market, said Paul Townsen, managing director at Crossmark Global Investments. "Investors and analysts are sifting through these earnings and some of them aren't too good."
Stocks closed higher on Tuesday, with earnings from Caterpillar and 3M helping lift the Dow to a record high.
Equities have recently made new records as the prospects of U.S. tax reform have increased. CNBC reported Tuesday that House Republicans aim to unveil a tax reform bill by Nov. 1.
Also lifting stocks have been improving earnings results and strong economic data.
"You have economic growth and growing earnings against a backdrop of moderate inflation," said Brent Schutte, chief investment strategist for Northwestern Mutual Wealth Management. "That is usually a recipe for stocks moving higher."
But a rise in Treasury yields dampened sentiment on stocks Wednesday. The benchmark 10-year yield hit its highest level since March, trading near 2.43 percent. The yield started the week trading around 2.38 percent.
"You're not seeing the yin and yang effect between bonds and stocks today," said Daniel Deming, managing director at KKM Financial. "You're getting a double whammy" with stocks and bonds falling.
In economic news, durable goods orders rose 2.2 percent in September, more than the expected increase of 1 percent.