The US stocks had again been nudged lower on Thursday, December 6th, as the arrest of a top Chinese Technology Executive on US request, steered the market towards a fresh tension regarding US-China trade war. On Thursday, December 6th, stocks began to plunge after a rare midweek US holiday, while a drop in the oil price had also been hitting the energy sector, .SPNY, the worst performing major in the S&P 500 group.
The arrest of Meng, the daughter of Huawei’s founder and a financial executive of Huawei, came as a shock, as the trade truce relief rally had already been faded away. A chief of investment research at Nationwide, Mark Hackett, said yesterday, December 6th, “Clearly, the Huawei CFO arrest was the individual catalyst that caused today’s moves lower.
It clearly gives voice to the bears who are saying, ‘There are no real details around this China deal, and we don’t have any specific promises by the Chinese. ” With the decline of Thursday, December 6th, the S&P 500 fell back in to the red zone for 2018, as it lost 1.46%.
the Dow Jones Industrial average fell by 1.83% and the Nasdaq composite lost 0.74%. However, during the afternoon session, the indexes had been slightly up from their daily lows.