Wall Street lower on US-North Korea tensions

NYSE tradersImage copyright
Reuters

Wall Street stocks saw their largest losses since May on Thursday, turning negative after weeks of record highs as tension escalated between North Korea and the US.

President Donald Trump warned his “fire and fury” comment might not be “tough enough.”

Meanwhile North Korea discussed plans to fire missiles toward the US Pacific island territory of Guam.

The Dow Jones fell 0.9% to 21,844.01 and S&P 500 fell 1.5% to 2,438.21.

The Nasdaq lost 2.1% to 6,216.87.

Mr Trump earlier this week said North Korean would be met with “fire and fury” if it continued to threaten the US.

“Maybe that statement wasn’t tough enough,” Trump told reporters as he prepared to meet with top national security advisers. “If anything, that statement may not be tough enough.”

Markets had been bracing for a correction after weeks of highs. The sell-off was widespread, with shares in financial and consumer companies leading the declines.

Two big retailers saw their shares fall rapidly after they announced results this morning.

Macy’s has been cutting costs and closing stores. It saw a surprising rise in its profits, but its shares fell 10%.

Its big rival Kohl’s said sales in its stores that had been open more than a year had fallen, and its shares were down 5.8%.

Wall Street lower on US-North Korea tensions

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