Dow broke a record, surpassing the January level, as Apple gets up and war fears rage

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Traders work at the New York Stock Exchange (NYSE) at Closing Bell on November 30, 2017 in New York

The US administration announced Monday it would impose 10% tariff on Chinese imports worth $ 200 billion, which would reach 25% by the end of the year. China fought back on Tuesday by announcing levies for more than 5,000 US products valued at $ 60 billion and coming into effect next week. The country has also lodged a complaint with the World Trade Organization about the United States. last series of tasks.

However, levies imposed by both countries were perceived as less important than previously feared, which helped raise sentiment on Wall Street. The Dow Jones has risen more than 1% in the last two days. The S & P 500, meanwhile, grew more than 0.6% during this period.

"I am not at all surprised that investors are taking into account the latest tariffs and the more moderate response from China," said Kate Warne, investment strategist at Edward Jones. She noted that commercial news has been both a positive and negative catalyst for stocks this year. As a result, a more moderate escalation of trade conflict is considered a positive net result. "But I do not think that concerns about trade are completely removed, especially if US tariffs on China increase to 25%."

J.P. Morgan Chase CEO Jamie Dimon also downplayed the US-China conflict as a skirmish rather than a trade war.

Tom Martin, Senior Portfolio Manager at Globalt, believes investors should be more concerned about the business situation. "It will take time for people to realize that it will not go away anytime soon," he said. "We think the situation in China will take the longest to solve."

Shares of General Electric fell 2% after an analyst at JP Morgan reduced his price target on the company to $ 10 from $ 11. The analyst noted that he expects to "weaker results of power and impact on the value of the franchise".

Nvidia fell 1.6% after Morgan Stanley analysts called the company's new gaming card disappointing.