In New York, the Leading Index Rose Relaxation of Huawei’ s Trading Restrictions

In New York, the leading index rose on the back of the US Department of Commerce ‘s relaxation of Huawei’ s trading restrictions.

On the New York Stock Exchange (NYSE) on the 21st, the Dow Jones 30 industrial average closed 197.43 points (0.77 percent) higher at 25,877.33.

The Standard & Poor’s 500 index gained 24.13, or 0.85 percent, to 2,864.36. The tech-heavy Nasdaq composite index gained 83.35, or 1.08 percent, to 7,785.72.

The US Department of Commerce has temporarily relaxed restrictions on transactions with China’s telecom equipment maker Huawei.

The Commerce Department issued a temporary license to allow Huawei to purchase US products for 90 days for maintenance, inspection and software updates of existing networks. It is believed that the transaction restrictions on Huawei could lead to unexpected results. With the issuance of a provisional license by the Ministry of Commerce, Google has also suspended plans to stop trading with Huawei.

Google’s parent company Alpha shares, which fell more than 2 percent the previous day, rebounded 0.9 percent on the news. The share price of semiconductor companies, which had fallen sharply all day on concerns over the suspension of dealings with Huawei, also led the market. Qualcomm shares, which fell 6% yesterday, climbed 1.5% on the day, while Micron Technology, which fell 4% on the previous day, rebounded 3%.

The fact that the conflict between the US and China is difficult to resolve in a short period of time reinforces the stock price rebound.

Analysts said the statement was designed to keep the trade war prolonged.

 

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In New York, the Leading Index Rose Relaxation of Huawei' s Trading Restrictions - /10

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In New York, the leading index rose on the back of the US Department of Commerce 's relaxation of Huawei' s trading restrictions.

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