Market Recap
US stocks closed lower on Wednesday, with the Dow Jones falling 334 points, pressured by renewed trade dispute concerns and disappointing corporate earnings from Texas Instruments and Netflix. Reports that the White House is preparing new export restrictions added to investor unease about escalating global trade tensions.
President Trump reiterated that the US plans to impose export controls on “all critical software” before November 1. Meanwhile, US and Chinese officials are scheduled to meet in Malaysia this week for trade discussions. Treasury Secretary Bessent also said Washington will soon announce tougher sanctions against Russia, possibly within 24 hours.
Texas Instruments’ weak quarterly results and gloomy outlook weighed on chip stocks, while Netflix plunged 10% after missing earnings expectations due to a tax dispute in Brazil, dragging the broader market lower.
US Stocks
Major tech stocks mostly declined: NVIDIA (-0.49%), Apple (-1.64%), and Amazon (-1.84%) led losses, while Microsoft (+0.56%) and Google (+0.49%) managed small gains.
Chinese ADRs also fell, with the Nasdaq Golden Dragon China Index down 0.93%. Losses were led by Baidu (-1.77%), NetEase (-4.51%), and Xpeng (-1.12%).
US Stocks Snapshot:
- Dow Jones: -334.33 pts (-0.71%) → 46,590.41
- Nasdaq: -213.27 pts (-0.93%) → 22,740.40
- S&P 500: -35.92 pts (-0.53%) → 6,699.43
Hong Kong Markets
Hong Kong stocks also slipped. The Hang Seng Index dipped 0.09% to 25,757.60, while the Hang Seng Tech Index lost 0.81%.
Oil-related shares led gains, with CNOOC up over 2%, following a rebound in crude prices after the US imposed sanctions on Russia’s top oil producer. Analysts noted signs of oversold conditions and falling US inventories easing supply concerns.
Chinese banks outperformed, with Postal Savings Bank up 3%, after Morgan Stanley said domestic banks may have bottomed out cyclically, supported by steady rates, structural policy tools, and improving industrial profits.
A-Shares
Mainland China’s stock indices opened lower. By midday:
- Shanghai Composite: -0.66% → 3,888.08
- Shenzhen Component: -0.87% → 12,883.89
- ChiNext: -1.10% → 3,025.58
Most sectors declined, with semiconductors, precious metals, and CPO stocks under pressure. Gains were seen in coal, tourism, and port logistics.
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