US stocks close higher
Nasdaq up 100 points
TSX near flat
Tesla shares accelerate
US benchmarks bounced back on a topsy turvey day on the markets as the tech sector rebounded.
The Dow Jones Industrial Index added over 230 points to 24,264, while the S&P 500 added around 30 at 2,644.
The Nasdaq gained over 100 points at 7,042.
There had been sharp losses earlier.
Meanwhile, in Toronto, the TSX was near flat and shed just over two points at 15,178.
Cannabis firms posted the biggest drops, as Aurora Cannabis Inc (TSE:ACB) lost 5.3%, to C$7.64, while Canopy Growth Corp (TSE:WEED) shed 1.04% to C$27.70.
In New York, Tesla Inc (NASDAQ:TSLA) added 7.25% to US$286.92, rebounding from recent losses.
Amazon.com Inc (NASDAQ:AMZN) added 1.33% to US$1,410.57.
MID-SESSION
US stocks were mixed at mid-session but the earlier bloodbath looked calmer.
The Dow Jones is down 57 points at 23,976 at the time of writing.
The S&P 500 is off 1.18 at 2,613 , while the tech heavy Nasdaq is positive - up almost 20 points at 6,961.
In Toronto, the TSX shed almost 80 points to stand at 15,100.
Neil Wilson at spreadbetter etxcapital said: "Indices were hugging their 200-day moving averages for comfort but seem to be finding more than just moral support from these. If things persist then we have another higher low on the S&P500 which points to more solid rising trend support.
"The market seems to be taking on a split personality; down heavily one day only to rally firmly the next as investors seem intent on overreacting to bad news and good news in equal measure.
"The volatility means the VIX is back up above 23 but still some way off the levels seen in Feb and, in what is a potential signal of bullish divergence, is making lower highs. The AD line is also signalling potential bullish divergence while oversold indicators are starting to flash.
"Today’s overreaction follows China’s list of 106 US exports to be hit by tariffs. Investors might expect further escalation but we must come back to the view that this process has all the hallmarks of a Trump negotiation where we see the president back down from the worst case scenario in return for key concessions.
"The kneejerk reaction reflects undefined fears rather than careful assessment of the economic impact of tariffs, or the likelihood that they will stick."
Boeing Co (NYSE:BA) shares slipped 2.49% to US$322.63 as trade fears continued, while tech stocks were mixed.
Apple (NASDAQ:AAPL) shares gained 1.03% to US$170.13 as it reportedly poached John Giannandrea, Google’s (NASDAQ:GOOG) head of search and artificial intelligence. Alphabet (NASDAQ:GOOGL) shares fell 0.47% to US$1,013.87.
We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!
— Donald J. Trump (@realDonaldTrump) 4 April 2018
OPEN
US stocks started down in the dumps on Wednesday as investors fretted over US/China relations and a trade war.
The Dow Jones was down 319 at 23,713 but earlier had been almost 500 points lower.
The S&P 500 shed over 24 points at 2,589, while Nasdaq shed almost 74 points at 6,866.
In Toronto, the TSX is down over 155 points at 15,025.
Trade war fears are now centre stage after Beijing announced a plan to impose duties of up to 25% on 106 US products.
The goods include soybeans, cars and orange juice.
Chinese items targeted by the US in a latest round of tariffs include televisions and motorcycles.
Neil Wilson at etx.capital.com said: "Today’s overreaction follows China’s list of 106 US exports to be hit by tariffs.
"Investors might expect further escalation but we must come back to the view that this process has all the hallmarks of a Trump negotiation where we see the president back down from the worst case scenario in return for key concessions.
"The kneejerk reaction reflects undefined fears rather than careful assessment of the economic impact of tariffs, or the likelihood that they will stick."
Among the notable losers was Acuity Brands Inc (NYSE:AYI), which shed 11% to stand at US$119.17 after its second quarter results missed analyst estimates.
Amazon.com Inc (NASDAQ:AMZN) continues to suffer as President Trump accuses the firm of using the US postal services as its "delivery boy" and that it should pay more.
Shares lagged 1.79% to US$1,367.11 each.
On the winning front Lennar Corp (NYSE:LEN) added 8.25% to US$61.77 as it said first-quarter profit surged threefold on stronger demand and after its acquisition of CalAtlantic helped the company deliver more houses.