US stocks mixed as Trump eyes trade deal, rips Powell
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Traders working on the floor of the New York Stock Exchange at the opening bell, in New York City on April 17.
PHOTO: AFP
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NEW YORK – Wall Street stocks finished mixed on April 17 as markets weighed more upbeat comments from US President Donald Trump on trade with his harsh criticism of Federal Reserve chairman Jerome Powell.
While the Dow finished solidly lower following a big drop in UnitedHealth Group, the other two major indexes veered in and out of positive territory in a choppy session.
“The market is cautiously awaiting the announcement of deals” on trade, said Mr Art Hogan of B. Riley Wealth Management, adding that steadier movements in the US Treasury market had “allowed the market to stabilise”.
The Dow Jones Industrial Average finished down 1.3 per cent at 39,142.23.
The broad-based S&P 500 added 0.1 per cent at 5,282.70, while the tech-rich Nasdaq Composite Index declined 0.1 per cent to 16,286.45.
“There will be a trade deal, 100 per cent,” Mr Trump said during a working lunch with Italian Prime Minister Giorgia Meloni.
But Mr Trump ripped into Mr Powell for not lowering interest rates, saying on social media that the Fed chair’s “termination... cannot come fast enough”.
The Republican President later said: “I’m not happy with him. I let him know it and if I want him out, he’ll be out of there real fast, believe me.”
Sources told The Wall Street Journal that Mr Trump has privately discussed firing Mr Powell for months but has not made a final decision, and raised it during private meetings at Mar-a-Lago with former Fed governor Kevin Warsh.
Mr Hogan said a move by Mr Trump to fire Mr Powell would rattle markets and has not been priced in, but added that investors consider that outcome unlikely, and view Mr Trump’s comments as “bluster”.
Among individual companies, UnitedHealth sank 22.4 per cent after significantly cutting its 2025 profit outlook, citing increased costs for healthcare and a shift in the US government’s Medicare programme.
But Eli Lilly shot up 14.3 per cent after announcing successful clinical tests for orforglipron to treat Type 2 diabetes and obesity.
Hertz, meanwhile, surged more than 42 per cent after investor Bill Ackman disclosed a stake in the car rental company. AFP
