Investing.com – Wall Street struggled to break a third day of declines on Wednesday, after a drop in in March underlined the risks to the global economy from the escalation of the U.S.-China trade dispute.
All three indices held close to the unchanged mark by 9:53 AM ET (13:53 GMT)with the at 25,972.55 points by 9:35 AM ET (13:35 GMT), the at 2,884.48 points and the tech-heavy holding at 7,970.18 points.
The market has been under pressure since U.S. Trade Representative Robert Lighthizer confirmed the U.S. intends to raise tariffs on hundreds of billions of dollars’ worth of Chinese goods from Friday.
The United States officially announced on Wednesday it would hike tariffs on $200 billion worth of Chinese imports from 10 to 25% effective Friday, according to a .
The move has left China’s trade negotiators, who arrive in Washington later today ahead of a fresh round of negotiations on Thursday and Friday, little leeway to make the concessions wanted by the U.S. without losing considerable face at home.
Despite U.S. President Donald Trump’s insistence that China will pay for higher levies on its imports to the U.S., tariff sensitive companies such Boeing (NYSE:) or Caterpillar (NYSE:) or those American firms that have high revenue exposure to China, such as Apple (NASDAQ:) or chipmakers AMD and Nvidia have all seen shares pummeled by the increased tensions.
Beside the general risk off sentiment ignited by rising uncertainty, traders also priced in a handful of mixed corporate earnings.
Chesapeake Energy (NYSE:) and TripAdvisor registered steep declines in their stocks as both companies missed quarterly revenue forecasts.
Also in the red, Lyft (NASDAQ:) saw shares sink on a wider-than-expected loss in its first earnings report as a public company. The results may serve as a warning sign for those investors considering rival Uber’s (NYSE:) stock market debut on Friday.
Not all the news was bearish as shares in Electronic Arts (NASDAQ:) and Match Group (NASDAQ:) surged on better-than-expected quarterly earnings that instilled optimism for the future of their businesses.
Outside of equities, the , which measures the greenback against six rival currencies, fell 0.2% to 97.24 by 9:55 AM ET (13:55 GMT), while the was little changed at 2.45%.
In commodities, edged forward $1.55, or 0.1%, to $1,287.15 a troy ounce, while inched up 5 cents, or 0.10% at $61.45 a barrel.