Market Highlights

Wall Street investors closely monitoring trade discussions between the US and China drove stocks higher as Commerce Secretary Howard Lutnick said negotiations went really, really well. Treasuries and the dollar saw small moves ahead of a key inflation report. The S&P 500 finishedless than 2% away from its record. Tesla Inc. led gains in megacaps. JM Smucker Co. sank the most in nearly four decades after saying tariffs increasing costs in its coffee business will hurt profit. Bonds barely budged after a $58 billion sale of three-year notes. That’s the firstin a trio of offerings that will culminate in Thursday’s sale of 30-year debt.

Wall Street traders glued to their screens amid commercial talks between the US and China drove stocks mildly higher, with officials hinting at progress in negotiations. Bonds rebounded after Friday’s selloff as inflation expectations eased. The dollar fell. The S&P 500 eked out gains, remaining nearly 2% away from its February peak. Tesla Inc. jumped about 4.5% as President Donald Trump reiterated his desire to end his spat with Elon Musk, saying he would retain Starlink internet service at the White House and that he wished his billionaire backer “very well.” Apple Inc. slipped over 1% as it hasn’t featured any noticeable artificial- intelligence advancements during a conference.

Stocks fell alongside Treasuries as online squabbling between President Donald Trump and Elon Musk knocked down Tesla Inc., weighing heavily on the megacap tech space. While equities closed away from session lows, the Nasdaq 100 dropped almost 1%. Tesla sank 14% as Trump proposed ending Musk’s government contracts and subsidies after his onetime adviser attacked the Republican tax-policy bill. Earlier gains in equities were driven by hopes tensions between the US and China would ease as Trump and Xi Jinping agreed to further trade talks. On the eve of the all-important jobs data, an unexpected jump in unemployment claims added to speculation the Federal Reserve will cut rates at least twice this year. Economists see payrolls rising by 125,000 after job growth in March and April exceeded projections. That would leave the average over the past three months tracking a still-solid 162,000. The unemployment rate is seen holding at 4.2%.

Treasuries rallied after weaker-than-expected economic data reinforced speculation that the Federal Reserve will cut interest rates at least twice this year to prevent an economic recession. A contraction in US service providers and a deceleration in hiring drove bond yields down across the curve. Swap traders are pricing in two Fed reductions in October and December. The possibility of a move in September increased to over 90%. The dollar slipped. The S&P 500 was little changed, with defensive industries like health care and communications outperforming the market.

Wall Street traders drove stocks higher as data showed the US labor market is holding up despite concerns about risks stemming from President Donald Trump’s tariff war. Bonds fell. The dollar rose. Just days ahead of the US payrolls report, an unexpected increase in job openings buoyed sentiment. Tech giants led the S&P 500’s bounce, with Nvidia Corp. up almost 3%. Energy shares joined a rally in oil. Earlier equity losses were driven by a cut in OECD’s growth forecasts as the institution said combative trade policies have tipped the world economy into a downturn.

A rebound in big tech drove stocks higher after a slide driven by weak manufacturing, trade and geopolitical risks. Bonds fell as the dollar hit its lowest since 2023. Coming off the S&P 500’s best May in 35 years, the benchmark edged up at the start of what’s historically one of its quietest months for gains. Nvidia Corp. led an over 1.5% rally in a measure of chipmakers. US steel and aluminum shares surged on Donald Trump’s pledge to double levies on the metals. Longer-dated Treasuries underperformed, with the spread between five-and 30-year yields near a level it last closed above in 2021. Oil climbed.

Volatility gripped stocks in the last stretch of the month, with the market bouncing from its lows as Donald Trump said he expected to speak to Xi Jinping after accusing China of a trade-deal breach. Following a slide that earlier reached 1.2%, the S&P 500 briefly erased losses to close little changed. The gauge notched its best May since 1990. Shorter-term Treasuries outperformed, with the market set for its firstmonthly drop this year. The dollar barely budged, while posting a fifth straight month of declines - the longest slide since 2020.

Wall Street traders cheering solid results from Nvidia Corp. had to face the harsh reality of slowing economic data and legal uncertainties around Donald Trump’s trade war. The president told Federal Reserve Chair Jerome Powell he’s making a mistake for not cutting rates. The S&P 500 pared most of an advance that earlier approached 1%. A federal appeals court offered Trump a temporary reprieve from a ruling threatening to throw out the bulk of his tariff agenda. Treasuries rose on bets the Fed will slash rates twice this year and after a solid $44 billion sale of seven-year notes. The dollar fell. Asian shares fell on concern President Donald Trump’s tariffs are here to stay after his administration reiterated its resolve to keep the levies amid a legal tussle.

Wall Street kicked off the week with a rally in stocks as consumer confidence rebounded sharply while the US and the European Union sped up trade talks. A global surge in bonds also helped sentiment. As equities halted a four-day slide, the S&P 500 climbed 2%. Nvidia Corp. paced gains in megacaps ahead of its results. Treasuries got a boost, pushing the 30-year yield below 5% on signs Japan will be ready to calm jittery debt markets. The moves in the US extended after a sale of two-year notes was met with solid bidding metrics. The dollar rose against all developed-market currencies.

European stocks climbed along with US equity futures after President Donald Trump extended a deadline on aggressive euro area tariffs, reinforcing a pattern of leaving markets guessing by making trade threats before backtracking. The Stoxx Europe 600 index erased Friday’s losses sparked by Trump’s threat of 50% tariffs on the European Union. The US President later said he had agreed to delay the date for the levies to July 9 from June 1. Contracts for the S&P 500 and the Nasdaq 100 advanced more than 1%. A gauge of the dollar hovered near its lowest level in almost two years. Cash Treasuries didn’t trade due to holidays in the UK and US. Bonds rallied worldwide after Japan indicated it’s looking to stabilize its debt market after weeks of selloff. The dollar rebounded.