Wall Street opens 'flat' due to Chinese-American tensions

Foot Locker's shares are sinking 8,40% to $ 26,92 after the clothing and sports shoe company posted losses in the first three months of 2020 and announced the suspension of quarterly dividends.

The New York Stock Exchange opened on Friday - May 22 - flat, in a context in which tensions between China and the United States offset the optimism surrounding the discovery of a vaccine for the SARS-CoV-2 virus. This time, it was the American Secretary of State, Mike Pompeo, accusing Beijing of lack of transparency regarding the Covid-19 disease.

“There will be some nervousness around the worsening of commercial tensions, which will result in a slight correction of the stock exchanges, to close a week with a very positive accumulated balance”, predict the analysts of the Spanish bank Bankinter, in research.

Fifteen minutes after the start of trading, Wall Street's top three stock market indices are in the 'red'. The Dow Jones now loses 0,56%, to 24.339,98 points, the financial S&P 500 drops 0,44%, to 2.935,92 points, and the technological Nasdaq falls 0,34%, to 9.253,09 points . Russel 2000 depreciates 0,36%, to 9.253,09 points.

Foot Locker's shares are sinking 8,40% to $ 26,92 after the clothing and sports shoe company posted losses in the first three months of 2020 and announced the suspension of quarterly dividends.

The HPE technology (Hewlett Packard Enterprise) securities fall 8,79%, to $ 9,44, after having released the accounts for the second quarter of fiscal 2020. Penalized by the pandemic, its net revenues decreased 16% year-on-year. , to 6,01 billion dollars.

Ramiro Loureiro, trader from Millennium bcp, highlights the statements by the President of the United States, Donald Trump, that he will not close the economy if there is a second wave of the new coronavirus in the country.

“At a time when central banks have been injecting capital to support economies comes the note that the balance sheet of the US Federal Reserve rose to a record $ 7,04 billion in the week ended May 20, adding USD 103 billion compared to the previous week, ”he says, in a market note.

In relation to the oil market, WTI (produced in Texas) is falling 3,36%, to $ 32,77 per barrel, while Brent's barrel price is devaluing 3,85% to $ 34,68. As for the foreign exchange market, the euro depreciates 0,34% against the dollar (1,0897) and the pound sterling “devalues” 0,35% against the United States currency (1,2180).

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