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(May 14): Here's another perspective on the collapse of the market that sinks the market: the dollar value of S & P 500 shares lost in a single day as sales accelerated outpaced US imports from China in a full year.
The United States buys electronics in Beijing using machinery, furniture and footwear, with total imports of $ 539 billion in 2018. The 2.4% decline of the S & P 500 on Monday erased market value of $ 600 billion.
At the top of the US current account deficit
The rush to pull out of US stocks came in its second week on Monday as concern grew over the fact that a full-fledged trade war with China would erode profits and reduce corporate margins. The S & P 500 has completed its second worst session of the year. The benchmark index is down 4.5% since May 3, after President Donald Trump had unexpectedly stepped up a trade dispute that was thought largely about the point of departure. ;to be determined.
Another trade-related coincidence is that $ 600 billion of market capitalization of the S & P 500 is outpacing the current US account deficit, a measure of the difference between the value of imported goods and services and that of exports. That reached $ 488.5 billion, or 2.4% of gross domestic product in 2018, up from $ 449.1 billion a year earlier.
In terms of indices, the rout of the S & P 500 has exceeded the combined value of its 77 smaller members. Together they are worth $ 595 billion. It is also the size of Facebook Inc., the fifth largest US company with a market capitalization of $ 518 billion, and Lowe's Cos, third member of the S & P 500 Retailing Industry Index. – Bloomberg
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