Index Weekly Wrap for the Week of May 17

Summary of content for the week of May 17:

1. Week 20 major indexes performance;
2. Week 20 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels.

U.S
U.S-China trade worries continued to dominate market sentiment. stocks experienced their worst day of the year on Monday for a 600-point drop in the DJI, following China's announcement over the weekend that it was imposing an additional $60B in tariffs on U.S goods imported to China in retaliation for U.S's $200B tariff hike the previous week. Companies with significant exposure to China were hit hard, including Apple(#AAPL) fell nearly 6% initial. The markets finished out the week only modestly lower. 

There are still hopes of a potential trade deal btw the two countries some time on the road ahead as both sides have incentive to strike a deal. Analysts don't think trade tension is the straw that breaks the bull market's back but recession is. As Exports represent less than 13% of U.S GDP. The U.S economy is far more sensitive to household spending trends, which remain well support by rising wages and low in unemployment. U.S economic data are still relatively strong.

Among S&P 500 major sectors.  Real Estate(XLRE), Utilities(XLU) and Consumer Staples(XLP) outperformed for the week. Financials(XLF) and Industrials(XLI) are two worst sectors, most affected by trade tensions. 

China/HK
China Shanghai Composite Index(SSE) had a volatile week, intitally fell  sharply due to trade war with U.S but recovered amid expectations that more fiscal and monetary stimulus from the government to support the economy. Stocks fell again on Friday due to negative comments from state-run media. There is no signs of immediate rebound from technical perspective. Monitor gap-support level 2800-2840 level which is around its 50% fibonacci level. 

Singapore
STI was the worst performer for the week after HSI, dropped more than 2%, immediate technical support level at 3256-3200 which is its consolidation area before take-off to year-high.