NEW YORK (dpa-AFX) – On the New York stock market on Tuesday, hopes of further interest rate cuts somewhat pushed aside concerns about a new escalation in the US-Chinese trade dispute. The leading index Dow Jones Industrial shook off its losses and ended the trading day with a gain of 0.44 percent to 46,270.46 points.
The indices came under some pressure again towards the end of trading, so that the market-wide S&P 500 ultimately fell by 0.16 percent to 6,644.31 points. The technology-heavy selection index NASDAQ 100 lost 0.69 percent to 24,579.32 points. The attempt to recover the day before, which followed Friday’s setback, proved fragile.
Fed Chairman Jerome Powell emphasized on Tuesday that prospects for the labor market are continuing to deteriorate. This gave market participants hope for a further interest rate cut this month and gave prices a significant boost at times. However, investors are worried about the trade conflict between the USA and China because it is being fought with tougher conditions again. Not only did mutual port fees come into force that day in view of the customs war, but China also emphasized that it wanted to fight the trade dispute to the end.
On the corporate side, the focus on Tuesday was on the banks JPMorgan (JPMorgan ChaseCo), Goldman Sachs, Wells Fargo (Wells FargoCo) and Citigroup, which opened the US reporting season with their quarterly figures – and convinced analysts. However, investors reacted somewhat more cautiously in some cases.
While Citigroup’s shares rose by 3.9 percent and Wells Fargo’s rose by 7.2 percent, the Dow-listed shares of JPMorgan and Goldman posted losses of 1.9 and 2 percent respectively. All four titles did very well in 2025. In the financial sector, the asset manager BlackRock was also in focus, whose shares reached a record high after quarterly figures and closed 3.4 percent higher.
Advanced Micro Devices (AMD) (AMD (Advanced Micro Devices)) ultimately reduced their price gain to 0.8 percent. The titles had previously benefited more from a cooperation with the software company Oracle, which relies on AMD for AI chips. Other chipmaker stocks fell amid trade disputes with China. NVIDIA lost 4.4 percent and Intel 4.3 percent.
Papers from companies that focus on critical metals such as rare earths continued to rise. Critical metals, for example, rose by almost 29 percent. Rare earths, which are extremely important for the technology world, are currently the bone of contention in the US-Chinese trade dispute. China has significant reserves, which is why quite a few market observers currently see the country as having more leverage over the United States.
The pharmaceutical and consumer goods manufacturer Johnson & Johnson (JohnsonJohnson) set its goals higher again after a surprisingly good third quarter. The group also announced the spin-off of its orthopedics business. The shares, which had recently performed well, lost 0.03 percent at the close of trading.
At the top of the leading index were the shares of the retail giant Walmart with an increase of 5 percent and those of the construction equipment manufacturer Caterpillar with an increase of 4.5 percent – both had risen higher than ever before on Tuesday./ajx/he