Midday Update: Wall Street Defensive With Investors Spooked by Trump's Views on Trade

The benchmark indices were in negative territory Monday as nervous investors sorted through recent comments from President Trump regarding trade, taxes and federal regulations.

In his inaugural speech Friday, Trump warned that "we must protect our borders from the ravages of other protection will lead to great prosperity and strength" prompting risk-adverse investors, fearful of a trade war with Asia, to dump equities in favor of safe-haven assets like precious metals and government securities.

As a result, Dow decliners outnumbered advancers by six to one led by heavy losses in General Electric ( GE ) which continued to unravel after reporting disappointing Q4 results Friday. Nine of the eleven S&P 500 sectors were negative with the exception of the real estate and telecom sectors.

At the same time, gold was another $11 higher, the dollar was weaker, and the yield on the 10-year Treasury note was down 8% to 2.39%.

There was no economic data on Monday.

European equities were also lower for a third day in a row as overseas investors took their turn responding to Trump's inaugural speech, with the UK's FTSE-100 finding additional pressure stemming from the recent surge in sterling. Germany's DAX underperformed its Euro-zone counterparts with a loss of 0.73% followed by a 0.70% drop in the Euro-Stoxx index.

Crude oil was down $0.46 to $52.76 per barrel. Natural gas was up $0.05 to $3.26 per 1 million BTU. Gold was up $12.60 points to $1,217.90 an ounce, while silver was up $0.17 to $17.21 an ounce. Copper was up $0.01 to $2.63 per pound.

Among energy ETFs, the United States Oil Fund was down 0.88% to $11.29 with the United States Natural Gas Fund was up 1.18% to $8.15. Amongst precious-metal funds, the Market Vectors Gold Miners ETF was up 2.47% to 23.68 while SPDR Gold Shares were up 0.77% to $115.97. The iShares Silver Trust was up 0.61% to $16.29.

Here's where the markets stand at mid-day:


NYSE Composite Index was down 57.27 points (-0.52%) to 11,134.27

Dow Jones Industrial Index was down 82.86 points (-0.41%) to 19,747.10

S&P 500 was down 12.36 points (-0.54%) to 2,258.95

Nasdaq Composite Index was down 25.77 points (-0.47%) to 5,529.25


FTSE 100 was down 47.26 points (-0.66%) to 7,151.18

DAX was down 84.38 points (-0.73%) to 11,545.75

CAC 40 was down 29.26 points (-0.60%) to 4,821.41

Nikkei 225 was down 246.88 points (-1.29%) to 18,891.03

Hang Seng Index was up 12.61 points (+0.06%) to 22,898.52

Shanghai China Composite Index was up 13.64 points +0.44%) to 3,136.77


NYSE Energy Sector Index was down 133.62 points (-1.17%) to 11,320.73

NYSE Financial Sector Index was down 31.80 points (-0.45%) to 6,991.52

NYSE Healthcare Sector Index was down 65.79 points (-0.55%) to 11,874.71


(+) MRNS (+32.76%) Reported positive preliminary data from treatment for children with CDKL5 genetic disorder

(+) NQ (+8.84%) Agreed to sell FL Mobile and Showself, and $100 million investment

(+) CYNO (+8.44%) Bloomberg reports the company is considering strategic options, including a sale


(-) APTO (-27.50%) Delaying development of APTO-253 treatment for acute myeloid leukemia

(-) QCOM (-12.36%) Being sued by Apple ( AAPL ) over patent royalties

(-) KRNT (-8.34%) Announced 7 million share offering

(-) BANC (-7.43%) Discloses SEC probe over third party transactions, begins search for new CEO

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 All rights reserved. Unauthorized reproduction is strictly prohibited.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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