Global stocks slip after US and China impose new tariffs

NEW YORK (AP) — Global stocks are slipping Monday after the U.S. and China officially placed new tariffs on each other's goods. China also reportedly pulled out of a meeting to discuss further trade talks. Oil prices are climbing after OPEC decided not to produce more oil. Several major deals announced over the weekend. Cable and internet company Comcast outbid Twenty-First Century Fox and won an auction for British pay TV company Sky, but Comcast shares are seeing the biggest decline on the S&P 500.

KEEPING SCORE: The S&P 500 index fell 9 points, or 0.3 percent, to 2,920 as of 10:10 a.m. Eastern time. The Dow Jones Industrial Average lost 120 points, or 0.5 percent, to 26,623. Both the S&P 500 and Dow set record highs last week.

The Nasdaq composite dropped 22 points, or 0.3 percent, to 7,964 and the Russell 2000 index of smaller-company stocks slid 1 point, or 0.1 percent, to 1,710.

Stocks rallied over the summer and into autumn without making a lot of big moves. The S&P hasn't risen or fallen 1 percent in a day since late June. After the market's volatility early this year, the long streak of small moves is similar to the market's pattern from 2017.

CHINA-US-TRADE: The U.S. is now taxing another $200 billion in Chinese imports at a rate of 10 percent, and China added taxes of 5 to 10 percent on $60 billion in U.S. products. Both countries placed tariffs on $50 billion in goods earlier as part of a dispute over Beijing's state-led technology development and other policies. After talks in late August didn't produce a breakthrough the two sides recently discussed another meeting, but the Wall Street Journal reported that China pulled out of those talks.

In the U.S., industrial and basic materials companies took the worst losses. General Electric fell 2.9 percent to $11.82 and 3M lost 1.6 percent to $212.94. DowDuPont shed 1.5 percent to $68.63.

Overseas, Germany's DAX fell 0.6 percent and the CAC 40 in France lost 0.5 percent. The FTSE 100 in Britain dipped 0.3 percent. Hong Kong's Hang Seng index fell 1.6 percent and India's Sensex gave up 1.5 percent. Markets in Japan and South Korea were closed for national holidays.

CHANNEL CHANGER: Late Friday Comcast won an auction for majority control of British pay TV giant Sky. Comcast's final offer was worth about $39 billion and ended months of back and forth bidding between Comcast and Twenty-First Century Fox, which is already a major Sky shareholder. Both were seeking to establish a foothold in Europe. Sky's board recommended that its shareholders accept the offer, and Comcast said it hopes to complete the deal by the end of October.

In London, Sky shares jumped 8.6 percent. Comcast sank 7.9 percent to $34.89, while Disney, which is buying Fox, climbed 2.1 percent to $112.77.

BOOMBOX: Subscription radio company Sirius XM says it's buying music streaming service Pandora Media in a deal that will allow Sirius to expand its service beyond cars and into homes and other mobile areas. The companies valued the deal at about $3.5 billion in stock. Pandora jumped 6.5 percent to $9.69 while Sirius fell 4.5 percent to $6.67.

Sirius XM has more than 36 million subscribers in North America, while Pandora has more than 70 million monthly active users. Pandora has a "go-shop" period in which it can solicit other offers from other potential buyers.

ENERGY: OPEC and key allies like Russia decided not to increase their oil output further. Production is falling in some OPEC nations, including Iran, which faces new sanctions from the U.S. Benchmark U.S. crude gained 1.8 percent to $72.04 a barrel in New York while Brent crude, the international standard for oil prices, rose 2.3 percent to $80.03 a barrel in London.

STRIKING GOLD: Barrick Gold will buy competitor Randgold Resources for $6.1 billion in stock to create the world's largest gold miner. Shareholders in Barrick, which is based in Toronto, will own about 66.6 percent of the merged company, which will combine Randgold's African mines with Barrick's holdings in the Americas.

Shares of both companies rallied. Barrick rose 5.7 percent to $11.07 and Randgold gained 6.6 percent to $68.13.

DONATELLA-ME IT'S A DONE DEAL: An Italian newspaper reports that the Versace group is on the verge of announcing its sale, and Bloomberg and Reuters reported that luxury fashion and handbag maker Michael Kors is the buyer. The Italian publication, Corriere della Sella, said the deal is worth 2 billion euros ($2.4 billion).

Michael Kors stock skidded 7.1 percent to $67.50.

BONDS: Bond prices fell. The yield on the 10-year Treasury note rose to 3.08 percent from 3.06 percent.

CURRENCIES: The dollar edged up to 112.60 yen from 112.52 yen. The euro rose to $1.1794 from $1.1747.

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AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP His work can be found at https://apnews.com/search/marley%20jay