Stocks traded lower on Thursday as investors worried about US Trade relations and ignored positive earnings releases.

The Dow Jones industrial average fell 374 points, with Caterpillar as the worst-performing stock. The 30-stock index also dropped below its 200-day moving average for the first time since April 2. The S&P 500 declined 1.5 percent, pushing below its 200-day moving average, with health care and financials lagging. The Nasdaq composite also pulled back 1.5 percent.

Tesla did report better-than-expected quarterly results Wednesday after the close. However, the stock fell after CEO Elon Musk dismissed questions from analysts regarding gross margins and Model 3 production and gross margins.

Treasury Secretary Steven Mnuchin is leading a group of Trump administration officials to meet with Chinese Vice Premier Liu He and discuss trade between the two nations.

Shortly before the talks were set to take place in Beijing, the mood between the world’s two largest economies worsened amid reports the U.S. administration is considering taking executive action to restrict some Chinese firms’ ability to sell telecoms equipment.

Crude futures briefly spiked before trading 0.8 percent lower at $67.39 per barrel. Gold futures jumped 0.7 percent to $1,314.10 per ounce. The precious metal is often seen as a safe-haven trade.

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