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The S&P 500 flickered near the flatline Wednesday as traders looked for a market bottom after days of volatility, even as China and the European Union announced retaliatory tariffs on U.S. goods in the latest escalation of the global trade war.
The Dow Jones Industrials remained buoyant 42.04 points to move into Wednesday afternoon at 37,687.63
The broader index notched 14.05 points higher to 4,996.82
The NASDAQ barreled ahead 143.36 points to 15,411.28.
Over the course of the previous four trading sessions, the Dow lost more than 4,500 points, while the S&P 500 sustained a 12% loss. The NASDAQ is down more than 13% in that period.
China announced it will impose an 84% levy on U.S. goods starting Thursday. This comes after U.S. tariffs of 104% on Chinese imports took effect shortly after midnight. The EU also approved its first set of tariffs on the U.S. set to start on April 15.
U.S. tariffs on imports from other countries also took effect. Canada reconfirmed Tuesday plans to put into effect 25% retaliatory tariffs on U.S.-made vehicles.
This includes vehicles that aren’t compliant with the United States-Mexico-Canada Agreement, in addition to non-Canadian and non-Mexican content of USMCA-compliant fully assembled vehicles brought into Canada from the U.S.
Some traders may have been encouraged that Treasury Secretary Scott Bessent said he would be taking a lead negotiating role in tariff talks. Wall Street would favor a bigger role for Bessent over Commerce Secretary Howard Lutnick or trade advisor Peter Navarro.
Prices for the 10-year Treasury staggered, pushing yields all the way up to 4.45% from Tuesday’s 4.28%. Treasury prices and yields move in opposite directions.
Oil prices slid $2.52 to $57.06 U.S. a barrel.
Prices for gold spiked $111.10 to $3,101.30 U.S.
