When you're doing online stock trading, you could witness periods of gloom in the stock market due to various political and financial factors. But a day could change all that and bring back optimism.
Stocks and Indexes Rise
March 26, 2018 was a day when there was hope and joy in the markets. The fears regarding a potential trade war between China and the United States - as a result of the tariffs approved by Trump on certain imported Chinese goods - subsided, as both the countries decided to negotiate the trade imbalances and tariffs between them and thus solve the issue.
The major S&P indexes were all up, and this was fueled primarily by the financial and tech indexes gaining 2.4%. On the Nasdaq, the gainers could outnumber the losers for a ratio of 7.39-to-1 while in the New York Stock Exchange (NYSE) the gainers outnumbered losers for a ratio of 9.30-to-1.
Trade War Fears Subside with Negotiations
The negotiations would revolve around the demands made by the United States to China – as reported by the Wall Street Journal according to an Investopedia article - to cut tariffs imposed by the latter on American automobiles in the country, buy more American semiconductors, and enable American firms to better access China's financial sector.
China's Premier Li Keqiang was willing to let his country provide equal opportunities to domestic and foreign firms. He revealed that his policy would not cause foreign companies to be bullied to transfer technology. He would also ensure that intellectual property rights are strengthened. But of course, the United States wants more from China than what these promises hold and that's what the negotiations are expected to achieve.
Tech and Industrial Stocks Soar
The three main indexes were primarily driven by Microsoft ($MSFT) that soared 6%, causing Morgan Stanley to raise its price target on $MSFT stock. It believes the software giant could touch $1 trillion in terms of market value, fueled by increased margins and increasingly welcoming perception towards the cloud by the public. Industrial stocks such as United Technologies ($UTX) and Boeing ($BA) rose by around 2.8%, and these were among the stocks that had taken the severest beating the previous week after Trump's signing of the tariff plans on Chinese goods.
Elon Musk's Boring Company to Sell Interlocking Bricks
The day brought in some other exciting news as well from the founder and CEO of a company that has never failed to excite - Tesla Motors ($TSLA) and SpaceX's Elon Musk, who announced that his Boring Company would soon be marketing rocks - for constructing buildings and sculptures - that would interlock like Lego pieces. The first set of these bricks will be launched with an ancient Egyptian theme and be obtained from the underground road networks of Los Angeles that are being constructed by the Boring Company. This comes on the back of the successful sale of his flamethrowers each costing $500 and also branded by Boring Company. In just four days the flamethrowers sold out, enabling the Boring Company to earn $10 million.
There can be good days and bad days at the stock market. But with informed online stock trading you can benefit in a lasting manner from the good times. TradeZero's advanced trading software can help you here. Get in touch with us at +1.954.944.3885 or email email@example.com to learn more.
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