The Dow has been under pressure all session and is holding back the other major indices, including the S&P 500, which is one good session away from a new all-time high. The Dow Jones Industrial Average was actually moving toward the plus column when Vice President Pence gave a speech directed to China.

VP Pence was not mincing words, doubling down on his Hudson Institute speech from last year, taking on China, multinationals, NBA &

"Nike promotes itself as a so called ‘social-justice champion,’ but when it comes to Hong Kong, it prefers checking its social conscience at the door."

There were nods toward China, including language that sounded very much like what we heard from Chinese Vice Premier Liu He said on Saturday.

That said, the United States does not seek confrontation with China. We seek a level playing field, open markets, fair trade, and a respect for our values.

VP Mike Pence

“China and the U.S. can meet each other half way, based on equality and mutual respect, addressing each other’s core concerns, striving to create a good environment and achieving both sides’ common goals.”

VP Liu He

I don’t think these comments change much with respect to trade negotiations, but I must say, a lot of experts felt their tone would be more conciliatory.  I thought so as well.  But the administration has committed to a strong hand with China, which underscores their commitment to a good deal and not a deal of expedience.

The Market

I love the action in Technology, but the strength in Consumer Staples and Utilities underscore a more cautious investor today.