Hong Kong falls deeper into recession; US-China tensions worry markets

Article Link: https://www.theguardian.com/business/live/2020/may/04/markets-us-china-tensions-covid-19-trade-war-manufacturing-hong-kong-business-live

Discussion posted by: JohnF44

Newsflash: America has suffered the biggest slump in factory orders on record. New factory orders fell by 10.3% in March. That’s worst than expected, and the biggest decline on record. As feared, airline stocks are falling sharply after Warren Buffett revealed he’d sold his stakes in the industry. American Airlines and SouthWest are down 6%, United has dropped 7% and Delta has lost 8%. Boeing is suffering too, down 4% as traders anticipate that demand for new planes will be weak for some time. The US stock market has opened lower, as fears of a new US-China trade war weigh on Wall Street. The Dow Jones industrial average has dropped 1% in early trading, down 245 points at 23,478. Investors are anxious that the White House may impose new tariffs on China, given Donald Trump’s latest criticism of Beijing’s handling of the coronavirus.