According to Reuters, U.S. stock indexes have hit session highs on Wednesday, Sept. 25, 2019, after President Donald J. Trump says a trade deal with China could happen sooner than anticipated.
Markets have been under pressure after U.S. lawmakers moved to launch an impeachment inquiry against Trump. At 11:11 a.m. ET the Dow Jones Industrial Average was up 132.75 points.
There has also been a jump in shares of Nike and tobacco companies. S&P 500 experiences its biggest percentage drop in a month on Tuesday. This worsened an already fragile sentiment after Trump took a stern tone about China’s trade practices. Trump says he will no accept a “bad deal.”
“At the end, we closed off the day’s lows, which tells me that there isn’t any panic in the market that would cause an accelerated decline,” according to Peter Cardillo, the chief market economist at Spartan Capital Securities in New York.
“Of course the headline news regarding impeachment investigation will be focused on, but I don’t think that it’s going to have a real negative effect just yet.”
Nancy Pelosi made the impeachment announcement on Tuesday, following the administration’s refusal to release the whistleblower complaint about a phone call between the president and the leader of the Ukraine earlier in 2019.
According to reports, Trump asked President Volodymyr Zelensky to “look into” former Vice President Joe Biden and his son, Hunter Biden. This happened during a phone call in July.
In the call, Trump said: “There’s a lot of talk about Biden’s son, what Biden stopped the prosecution and a lot of people want to find out about that, so whatever you can do with the attorney general would be great.”
Wednesday, Trump took to Twitter to defend himself. He declared that “there has been no President in the history of our Country who has been treated as badly as I have.” After the transcript of the phone call was released, the president demanded an apology form the Democrats.
By Jeanette Smith
Reuters: Wall Street indexes hit session high on Trump’s China trade comments
yahoo! Finance: US STOCKS-Wall St set to open flat as political worries weigh; Nike, tobacco stocks gain
TheStreet: Dow Climbs on Nike Earnings Beat as Investors Look Past Impeachment Probe
Image Courtesy of Andreas Poike’s Flickr Page – Creative Commons License