04.05.2020 DOW JONES Daily Analysis

04.05.2020 DOW JONES Daily Analysis

The Dow Jones lost almost 300 points on Sunday as uncertainty looms over wall street in regards to the reopening of the economy and the potential conflict between the US and China regarding the latter's handling of the Covid-19 crisis. President Trump in a virtual town-hall meeting said, "We have to get it back open safely but as quickly as possible" in his remarks about the economy. However, considering that the virus isn't under full control this might be catastrophic. So if President Trump is choosing to pick up a fight with China, now is definitely the wrong time to do it. Why is this? China already has the pathogen under control and therefore has all the time and resources to deal with Tariffs at this point in time from a single country. So how does this affect the US? For one-China won't sit still as tariffs are imposed on their exports, of course, they will retaliate, and if they retaliate the US stands to be hurt twice-fold. These are why the Dow erased some of its gains late on Sunday. As of the time of this writing, the Dow was standing at  $23723.69  where it closed, 622 points from its opening price of $24120.78.