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Dow sheds 250 points as trade war worries weigh on industrials


By Sruthi Shankar

(Reuters) - The shed more than 250 points on Wednesday as U.S. manufacturers continued to suffer from concerns over the impact of new tariffs on trade.

Boeing's 4 percent fall contributed to about 100 points drop in the blue-chip index, with traders citing continuing fallout from Tuesday's reports that U.S. could impose tariffs on up to $60 billion of Chinese imports.

"Governments in general are in a wait-and-see mode to find out what is going to be the outcome of the negotiations," said Paul Springmeyer, at

The is pressing to cut its trade surplus with the by $100 billion, a said on Wednesday.

"There's every situation that's being looked at now, whether it's tariffs or not with a new eye, in terms of how one would deal with moving forward."

have been the heaviest hit since Trump trailered and then announced tariffs on and aluminium imports earlier this month.

The issue overshadowed China's report that its factory output grew much faster than expected at the start of the year, suggesting the world's second largest economy may be picking up speed.

By 11:51 a.m. ET, the was down 257.31 points, or 1.03 percent, at 24,749.72. The fell 0.46 percent to 2,752.71 and the dropped 0.32 percent to 7,487.06.

The third straight monthly fall in pointed to slowing U.S. growth but cooled concerns of Federal Reserve raising interest rates at a faster pace in 2018.

Following the data, analysts lowered their first-quarter gross domestic product growth estimate to 2 percent from 2.5 percent.

Financial stocks fell 0.37 percent, tracking a decline in U.S. bond yields on the back of soft data.

Shares of department store operators fell 2.9 percent, while and dropped more than 1 percent. Shares in fell about 3 percent and those in rival declined 0.5 percent after the Singapore-based chipmaker formally withdrew its bid for Inc but said it would pursue other targets.

fell about 17 percent after the company reported lower same-store sales in the fourth quarter.

Declining issues outnumbered advancers on the NYSE by 1,454 to 1,293. On the Nasdaq, 1,506 issues fell and 1,197 advanced.

(Reporting by in Bengaluru; Editing by Arun Koyyur)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, March 14 2018. 21:26 IST