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Biggest part of the U.S. economy barely grows in July, ISM finds, due to tariff knock-on effects - MarketWatch

1. Service sector growth stalls at 50.1%, raising recession concerns. 2. Trade wars increase costs and delay business plans for future investments. 3. Survey highlights rising prices due to tariffs affecting various sectors. 4. Economists predict slowing growth and inflation risks in late 2025. 5. DJIA fell 0.35%, indicating market response to economic uncertainty.

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FAQ

Why Bearish?

The service sector's stagnation and rising costs suggest economic slowdown, negatively impacting stocks historically during similar trade tensions.

How important is it?

Ongoing trade issues and their impact on the services sector can affect overall market sentiment and economic outlook for DJIA.

Why Short Term?

Immediate uncertainty from trade wars could lead to heightened volatility and cautious investor behavior in the near term.

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