Share

US stocks fall on North Korea worries

New York - Wall Street stocks fell for the second straight session on Wednesday as worries about US-North Korea tensions rattled investors.

Analysts pointed to the harsh threats and sabre rattling from US President Donald Trump, including a message Wednesday on Twitter boasting the United States' nuclear arsenal was now "more powerful than ever before."

US Defense Secretary Jim Mattis, who often has emphasized the devastating costs of any conflict with North Korea, seemed to back up Trump's tone.

Mattis said North Korea must stop isolating itself and "stand down" in its pursuit of nuclear weapons, and Pyongyang "should cease any consideration of actions that would lead to the end of its regime and the destruction of its people."

The Dow Jones Industrial Average shed 0.2% to close the day at 22 048.70.

The broad-based S&P 500 fell less than 0.1% at end at 2 474.02, while the tech-rich Nasdaq Composite Index dropped 0.3% to 6 352.33.

The S&P 500 volatility index, a measure of investor fear, rose for a second day.

"It is a market that is beginning to encounter some major threats and of course the threat is geopolitical," said Peter Cardillo, chief market economist at First Standard Financial.

Dow member Disney dropped 3.9% as it reported flat third-quarter revenues due in part to weakness in its cable subscription business.

Disney also announced it will launch two new streaming television services including one for its ESPN-branded sports channel, while ending its deal with Netflix as it shifts towards direct content distribution. Netflix lost 1.5%.

Priceline sank 6.9% as it projected third-quarter earnings below analyst expectations.

Charter Communications rose 2.9% on news Altice is exploring a bid for the cable giant. Altice USA, the subsidiary of the French company, added 0.1%.

SUBSCRIBE FOR FREE UPDATE: Get Fin24's top morning business news and opinions in your inbox.

Read Fin24's top stories trending on Twitter:

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.91
+0.1%
Rand - Pound
23.87
+0.1%
Rand - Euro
20.38
+0.2%
Rand - Aus dollar
12.31
+0.2%
Rand - Yen
0.13
+0.1%
Platinum
908.05
+1.2%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders