Stock Indexes Closed Mixed After U.S.-EU Trade Deal - Minute Briefing
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Danny Lewis: Here's your closing bell brief for Monday, July 28th. I'm Danny Lewis for the Wall Street Journal. Stock indexes were mixed after President Trump's new trade deal with the European Union. The Dow Jones Industrial Average lost 64 points to close at 44,838. The S&P 500 gained a point and the Nasdaq rose 70 points. Trump said the US would set a baseline 15% tariff for European goods while the economic bloc agreed to buy 750 billion in energy products and invest an additional 600 billion in the US. The trade agreement removes the risk that two of the world's largest economic powers could descend into a trade war, but some critics say it will likely weigh on already sluggish European growth. The deal-making reduces some of the uncertainty that has dragged on global businesses as it suggests Trump isn't pursuing an all-out trade war. But markets have roared back so fast that some money managers are now concerned a new market bubble is forming. Among individual companies trading today, stock in Boeing rose after the trade deal between the EU and the US restored a decades-old tariff exemption for aerospace companies. Shares rose 1.4%. Tesla stock rallied after CEO Elon Musk announced a $16.5 billion deal with Samsung to make artificial intelligence chips for the electric vehicle-maker, shares rose 3%. The news also boosted chip-maker AMD, which gained 4.3%. And shares of Nike rose 3.9% after JP Morgan analysts upgraded the sportswear maker's stock to overweight. We'll have a lot more coverage of the day's news on the WSJ's What's News Podcast? You can add it to your playlist on your smart speaker or listen and subscribe wherever you get your podcasts.
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