Nike’s actions advance more than 3% while Lutnick states that conversations between the US and China are going well

• Nike shares rise more than 3% as the market is excited about the commercial agreement with China.
• Commerce Secretary Lutnick told reporters that the first day of conversations had progressed well.
• NKE’s actions close the negotiation hole created by the ‘Day of Liberation’ of April.
• The Dow Jones, the S&P 500 and the Nasdaq are all moderately positive at noon on Tuesday.

Nike (NKE) He has won 3.2% on Tuesday to lead the industrial average Dow Jones (DJIA), a rarity for an action that lost up to 70% among its November 2021 and its minimum of this April. The actions of the athletic brand perfectly filled the hole created by the fall after the tariffs of the ‘Liberation Day’ of the US President Donald Trump.

Although the company’s news has been scarce, Commerce Secretary Howard Lutnick said the commercial conversations between the US and China are going well on their second day in London, and the market awaits an advance between the two largest economies in the world that drives the general purchase of shares.

The Dow Jones has advanced 0.1% at noon on Tuesday, while the S&P 500 and Nasdaq Composite have earned about 0.3%. Operators are waiting for positive news about inflation on Wednesday, when the Consumer Price Index (IPC) of May.

News about Nike’s actions

Although China represents only about 15% of its sales, Nike will be absolutely in a better position if current commercial conversations result in lower tariffs. After both nations reduce their very high duty In mid -May, China maintains a 10% tariff on US products, and the US has a 30% tariff on products made in China.

Nike’s success depends on parallel trade negotiations with Vietnam, since there produces most of his clothes, but investors will predict a positive result if conversations with China are successful.

Earl this month, Nike announced that he had hired Michael Gonda McDonald’s (MCD) to be his new communications and brand reputation. At the end of May, Nike announced the retirement of John Hoke, a three decades design executive who became both Design Director and Innovation Director.

Nike is scheduled to present his quarterly profits on June 26. The shoes company is expected to report earnings adjusted per action (EPS) of 0.10 $ to revenue of 10.69 billion dollars.

Nike actions graphics

Nike reached a maximum intradic on Tuesday from 64.16. This is interesting because it is the exact minimum of April 2, the session before President Trump announced his large -scale tariff rates at the national level that were subsequently delayed.

Close the hole in the technical graphics is what the market loves to do, and now the actions of NKE are prepared for a greater increase if they can close above that level.

The fibonacci setback shows below that the next objective price for operators is 161.8% FIBO at $ 70.84. The simple mobile average (SMA) of 50 days about $ 60.00 should give that level a support power.

Nike Shares Daily Chart

After having risen from the bottom of its two -year bass trend channel in April, Nike is ready to make an attempt to reach the upper part of the trend channel about $ 74.00, although it may need a successful commercial agreement with Vietnam to get there.

NIKE Weekly Chart