Market Roundup: Week Ends with Phase-One Agreement with China

Published: Oct. 14, 2019, 7:39 p.m.

Indices closed down on Monday, dipping amid continued trade uncertainty. After the closing bell, President Trump said China was ready to talk and hopes the deal will be bigger than just a partial solution. The stock slide continued Tuesday, with computer chip makers tumbling on more trade turmoil. Progress was diminished when the Trump Administration announced it was blacklisting 28 Chinese corporations and organizations from importing U.S. technology because of alleged human rights violations. While tariffs on Chinese goods were scheduled to increase on Oct 15, talks were set for later in the week. In economic releases, Labor Department data showed the Producer Price Index fell 0.3% in September. The core measure, which discounts food and energy, dipped 0.3%. Indices closed with gains midweek following a report that China remained open to a partial trade deal providing no more tariffs are imposed. Meanwhile, the published Federal Open Market Committee minutes from September showed that the Fed sees a "clearer picture of protracted weakness." Elsewhere, crude oil prices dipped as the Energy Information Administration reported a jump in supplies for the fourth straight week. For the session, West Texas Intermediate crude shed 12 cents to settle at $52.51 a barrel. Indices continued the climb Thursday, with several Technology stocks rising on the hope of a China trade deal. In other news, initial jobless claims decreased last week as Labor Department figures showed first-time claims fell 10,000 to 210,000 in the week ended October 5. Stocks ticked up Friday on trade optimism. Negotiations have resulted in a substantial phase-one deal. Tariffs will not increase Oct 15, and talks will proceed in two or three phases.