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US markets end mostly higher on Tuesday

13 Nov 2019 Evaluate

The US markets ended mostly higher on Tuesday after President Donald Trump suggested a trade deal with China could happen soon but did not offer clarity on a rollback of import tariffs. Trump claimed credit for economic growth, low unemployment, and a stock market at record highs, but again attacked Federal Reserve monetary policy before claiming that a US - China trade deal was close. He also blamed Fed policy tightening for impeding the economy’s progress and the benefits of his tax cuts. Stocks showed a lack of direction over the course of the trading session on Tuesday, extending the lackluster performance seen over the two previous sessions.

Reports suggested Trump may put off for another six months a decision on whether to place tariffs of up to 25% on European auto imports, ahead of the Wednesday deadline. Besides, Federal Reserve Vice Chairman Richard Clarida theorized about global bond yields remaining around historically lower levels that are substantially lower than the precrisis experience, and thus substantially closer to the effective lower bound for the policy rate than they were before the crisis.

Nasdaq added 21.81 points or 0.26 percent to 8486.09 and S&P 500 gained 4.83 points or 0.16 percent to 3091.84, while Dow Jones Industrial Average remain unchanged at 27691.49.


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