Stocks Attempt to Recover
U.S. stock indices are marginally higher in early Thursday trading, after economic releases on jobless claims and manufacturing data showed that the U.S. economy has remained healthy. Traders may be looking for some relief after a 3 day slide in U.S. stocks, following President Trump’s recent comments about taking a harder stance with some of our biggest international trade partners. Trump said yesterday that he would like to see his administration shrink the U.S. trade deficit with China by $100 billion. He said on Tuesday that he wants to impose close to $60 billion in tariffs on Chinese imports. Today, he tweeted that Canada runs a trade surplus with the US, when it is in fact the opposite.
The positive forces in the market today appear to be U.S. economic releases. Initial jobless claims declined by about 4,000 to 226,000 in the week ended March 10, holding onto a 50-year low. Both the Philadelphia & New York Fed manufacturing indexes were above zero, indicating better conditions. Both districts showed a continuance of high input prices.