Last week on Thursday, it was a Thanksgiving Day. As a result, the stock market was closed on November 28. Moreover, both the New York Stock exchange (NYSE) and the Nasdaq closed at 1 p.m. Eastern.
On Friday, trading on the New York Stock Exchange was 11.4% lower than during the average day. NYSE is not alone when it comes to decreased activities during the holidays. Trading volumes on the Nasdaq were 14.5% lower.
In Asia, markets also experienced problems but for another reason. Several days ago, U.S. President Donald Trump signed into law two bills, which may affect the future of trade war.
By supporting demonstrators in Hong Kong, the U.S. made a decision that may force China to rethink its strategy regarding the trade talks.
Stocks in Europe
European stocks experienced problems on Friday. Even though the region’s main index headed for a near 3% gain for November. Equities in Europe benefited from record highs from across the ocean in the U.S.
The Stoxx Europe 600 was able to deal with the problem during early trading to trade flat at 409.08. It is essential to mention that on Thursday, the Stoxx 600 index declined by 0.1%. Despite this loss, the index was still on track to post a 1.3% gain this week.
From the beginning of the year, the Stoxx 600 index increased by around 20%. This would be the best annual gain since 2013. The major factor which helped the Pan-European index is the interest. Investors are willing to invest in European stocks.
The German DAX index fell by 0.2%. Meanwhile, the French CAC 40 index was flat at 5814.88. The U.K.’s FTSE 100 index was also flat at 7419.11.
Last week Thanksgiving and trade war affected the stock markets. U.S. and China should work harder to sign the “phase one” deal in 2019. They have less than one month to deal with all the problems associated with this agreement.