Stocks edge higher as metals prices increase

Associated Press

NEW YORK — U.S. stocks meandered but finished mostly higher Tuesday as retailers and industrial companies rose.

A jump in metals prices helped mining and materials companies. Asian markets jumped after the North Korean government said it was open to talks with the U.S. about ending its nuclear program.

Stocks have edged higher over the past three days, but they’ve frequently bounced up and down as investors grappled with the Trump administration’s stance on trade and whether the proposed tariffs on steel and aluminum imports will pushinflation higher in the U.S. and lead to retaliation by other countries that would hurt economic growthand corporate profits.

Kristina Hooper, chief global markets strategist for Invesco, said Wall Street is having trouble deciding if the tariffs are more of a bargaining chip in trade negotiations, as President Donald Trump has suggested at times in the past few days, or if they are a goal on their own.

“Whenit seemed as though it was just rhetoric [Monday], markets relaxed,” she said. “Today, I think concerns have grown that maybe this isn’t just a bargaining tactic.” She said Republicans in Congress don’t seem to be treating the tariffs as a bargaining move: House Speaker Paul Ryan spoke up against the proposed tariffs Tuesday and called for a “more surgical approach” that might cause less backlash.

The Standard & Poor’s 500 index rose 7.18 points, or 0.3 percent, to 2,728.12. The Dow Jones industrial average edged up 9.36 points to 24,884.12. It rose as much as 120 points early on and later fell as much as 166 points before recovering. The Nasdaq composite jumped 41.30 points, or 0.6 percent, to 7,372.01. The Russell 2000 index of smaller-company stocks climbed 16.16 points, or 1 percent, to 1,562.20.

Stocks fell 3.7 percent during a three-day losing streak last week after Mr. Trump announced his tariff plans. Other countries objected and the European Union announced plans to put tariffs on some U.S.-made goods including bourbon and motorcycles.