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Markets Whipsaw as U.S.–China Trade Salvos Roil Tech, With Dow Up as S&P and Nasdaq Fall

Hints of easier policy from Jerome Powell briefly steadied sentiment as investors reassessed risks.

Overview

  • U.S. stocks finished mixed after sharp intraday swings, with the S&P 500 down 0.2%, the Dow up 0.4% and the Nasdaq off 0.8%, while the Russell 2000 hit a record close.
  • Volatility reaccelerated after President Trump said the U.S. is considering terminating business with China tied to cooking oil and other trade areas, following Beijing’s move to bar dealings with five Hanwha Ocean subsidiaries.
  • Fed Chair Jerome Powell signaled the central bank is nearing a stop to balance‑sheet runoff and left the door open to further rate cuts, which helped steady markets midday.
  • Tech and AI‑linked data‑center names lagged as trade risks pressured supply chains, gold notched another record high, and small miners tied to critical minerals advanced.
  • In India, the Sensex fell 297 points and the Nifty 82 for a second day of declines on profit‑taking and foreign outflows, even as LG Electronics India surged about 48% on debut.