Wall Street opens modestly higher despite trade worries

Major equity indexes in the U.S. started the day modestly higher as investors returned from the long weekend. However, with the latest headlines surrounding the U.S.-China trade dispute hinting at a further escalation of the trade war, stock markets could have a difficult time pushing higher. In fact, the CBOE Volatility Index, Wall Street's fear gauge, is up nearly 4% on the day. As of writing, the Dow Jones Industrial Average was up 0.47% on the day while the S&P 500 and the Nasdaq Composite were adding 0.51% and 0.83%, respectively.

Earlier today, Hu Xijin, editor-in-chief of the Chinese news outlet Global Times, claimed that China was considering to cut exports of rare earth metals to the U.S.

Among the 11 major S&P 500 sectors, the Technology and the Communication Services indexes are leading the rally in the early trade by gaining 0.85% and 0.75%. On the other hand, falling Treasury bond yields weigh on the rate-sensitive Financials Index and forces it to stay in the negative territory.