Equity futures dip in thin holiday trading.
U.S. stock futures declined on Thursday after President Trump signed a controversial bill backing Hong Kong protesters – a move that could complicate his administration’s efforts to secure a new trade agreement with China.
Futures on all three major U.S. indices tumbled in holiday-shortened trade. Dow Jones futures (DJI) fell 44 points to close at 28,104.00. S&P 500 futures declined 3.50 points to settle at 3,150.25. The Nasdaq 100 mini contract declined 10.25 points to settle at 8,444.50.
Activity in the futures market suggests U.S. stocks are headed lower at the start of Friday trading. Trading volumes are expected to be light following Thanksgiving.
Equities came under pressure after President Trump signed a controversial bill backing Hong Kong protesters. The piece of legislation was condemned by Beijing, which described it as “full of prejudice and arrogance.
China’s foreign affairs ministry issued the following statement:
“This is a pure interference in China’s internal affairs…Such an act will make Chinese people, including Hong Kong compatriots, understand the sinister intentions and hegemonic nature of the US … The U.S. plot is doomed to fail.”
The bill, which was approved unanimously by the Senate, allows the United States to impose sanctions on Chinese and Hong Kong officials violating human rights in the semi-autonomous region.
The Final Word: The Hong Kong bill could derail already shaky trade negotiations between the U.S. and China. Although President Trump continues to assert that talks are progressing favorably, no agreement has been finalized.