S&P 500 drops slightly as investors weigh China tensions, fresh earnings boost

The S&P 500 fell slightly on Tuesday as investors weighed US-China tensions as House Speaker Nancy Pelosi began a visit to Taiwan, while continuing to monitor earnings and economic data.

The S&P 500 is down just 0.1% after dropping nearly 1% earlier in the session. The benchmark index jumped from its lowest level as Pelosi’s plane landed safely in Taiwan on Tuesday morning. The Nasdaq Composite Index is up 0.2%, boosting Through huge gains in Uber after profits.

The Dow Jones Industrial Average was the biggest loser, dropping 170.65 points, or 0.5%, weighed down by Larvawhich opened after more than 4% less Disappointing quarterly earnings reported .

Reuters reported that Pelosi is expected to spend the night in Taiwan. Prior to the trip, Chinese officials had threatened action if Pelosi went ahead with the visit. Pelosi is the first female speaker of the House of Representatives since Newt Gingrich in 1997 to visit Taiwan.

“I think the trip won’t lead to any real economic disruption, but of course the rhetoric and headlines intensify and that’s something we need to follow in the future,” Mona Mahajan, chief investment analyst at Edward Jones, said on CNBC. Squawk Fund Tuesday. “Geopolitical tension has been a topic that we’ve really seen all year long and has been weighing on the markets.”

Merchants are also looking forward to another batch of earnings from companies like Starbucks, PayPal and Advanced Micro Devices on Tuesday after the bell. On the economic data front, investors this week Awaiting the non-farm payrolls report for the month of July It is due to be released on Friday for more clues about the state of the economy and the labor market.

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