Stocks climbed to new record intraday highs in morning trading on Wednesday but gave back some ground over the course of the session. The major averages pulled back well off their best levels, although the Dow and the S&P 500 still ended the session at new record closing highs.
The Dow climbed 90.55 points or 0.3 percent to 29,030.22 and the S&P 500 rose 6.14 points or 0.2 percent to 3,289.29, but the Nasdaq pulled back near the unchanged line before closing down 0.41 points or less than a tenth of a percent at 9,250.92.
The early strength on Wall Street came as traders awaited the signing of the phase one trade deal between the U.S. and China.
However, stocks pulled back after President Donald Trump and Chinese Vice Premier Liu He, Beijing’s chief trade negotiator, officially signed the agreement in a ceremony at the White House.
In lengthy and sometimes rambling remarks ahead of the signing, Trump said the U.S. and China are “righting the wrongs of the past and delivering a future of economic justice and security for American workers, farmers and families.”
“It doesn’t get any bigger than this,” added Trump, who launched his trade war back in March of 2018 to address what he has described as the U.S. being taken advantage of by China.
Trump said the deal calls for China to purchase $200 billion worth of U.S. goods over the next two years, including up to $50 billion worth of agricultural products.
The deal also purportedly addresses issues such as intellectual property theft, forced technology transfers and currency manipulation by China.
In exchange, the U.S. will scrap a new round of tariffs and cut tariffs on approximately $120 billion worth of Chinese goods in half to 7.5 percent.
Trump noted a 25 percent tariff