The S&P 500 remains cautiously bullish as yields stay elevated despite an intensifying U.S.-China maritime trade conflict. Beijing imposed sweeping sanctions and transaction bans on U.S. entities of South Korea’s Hanwha group, targeting five subsidiaries involved in shipping and shipbuilding. The move comes in direct response to a U.S. Section 301 investigation into China’s dominance in global shipbuilding. Both countries have now imposed retaliatory port fees—China at 400 yuan (~$56) on U.S. vessels and the U.S. on Chinese ships—raising shipping costs globally. While tensions are rising, markets are tempering their reaction as both leaders are scheduled to meet in South Korea later this month, keeping de-escalation hopes alive.
Key Levels: Support at 6,598.0 | Resistance at 6,745.1
Investor Takeaway: RSI at 38 with downward convergence and emerging MACD selling pressures; geopolitical tensions weigh on sentiment but diplomatic pathways cap downside risks.