New York (AP) – American actions derive from the highly anticipated report on Friday.
The S&P 500 was 0.3% lower in afternoon trading. The industrial average of Dow Jones fell by 34 points, or 0.1%, at 1:02 p.m. East time, and the NASDAQ composite was 0.4%lower.
The actions had been tilted in the morning but shot briefly after Trump said he had “a very good phone call” With the leader of China, Xi Jinpingon trade and that “their respective teams will meet shortly in a place to be determined”.
It signals a relaxation of tensions between the two largest economies in the world. The two parties had previously accused the other of having violated the agreement which had Rigorous prices break Everyone had put the other, which threatened to cause the economy in a recession.
Hope that Asset would drop his price After concluding trade agreements with China and other countries were among the main reasons why the S&P 500 Ralliely rallied Since he dropped around 20% below his record two months ago. It is now back at less than 2.4% of its top of all time.
Admittedly, nothing is ensured in the middle of the deployment of Trump prices, and the markets took the last relaxation with China relatively coldly.
Commercial activities on the options market suggest that investors think that the next major decision for the S&P 500 could arrive on Friday when the US Labor Department will say how many American jobs have created that the employers we created in May. The wait at Wall Street is for a slowdown in hiring from April.
A resilient labor market was one of the bedbugs that supported the American economy, and concern is that all the uncertainty created by prices could freeze companies to freeze their hiring.
A report said Thursday More American workers have asked for unemployment benefits Last week that economists did not expect. The number remains relatively low compared to history, but it has still reached its highest level in eight months.
The data came as Procter & Gamble, the giant behind brands such as Pampers layers and cascade dish detergent, said that she Cut 7,000 jobs Over the next two years. Its stock dropped 1.4%.
In Wall Street, five below 4.9% after the retailer, who sells products at $ 1 and $ 5, said a stronger profit for the last quarter that analysts were waiting for. CEO Winnie Park has credited a broad force in most of its goods.
Mongodb jumped 13% after the database company also made a stronger profit than analysts provided for it.
Internet Circle groupThe United States based on one of the most popular cryptocurrencies in the United States, increased by 150% shortly after making its debut on the New York Stock Exchange.
On the loser side of Wall Street was Brown-Forman, the company behind the Jack Daniel and Woodford reserve. His stock dropped by 17.3% and was potentially heading for his worst day since his negotiation in 1972.
Brown-Forman’s benefit and income for the last quarter have not reached the expectations of Wall Street, and the company said that it expects its future exercise to be difficult due to “consumers’ uncertainty, the potential impact of prices currently unknown” and other things.
The CEO of PVH, which manages the Calvin Klein and Tommy Hilfiger brands, also cited the challenges of “an increasingly uncertain and macroeconomic backdrop”.
His stock dropped by 17.8% even if he declared higher income and profits for the last quarter that analysts did not provide for it. The company has reduced its profits for its full financial year, saying that it will probably be able to compensate only part of the potential blow it will take due to prices.
Expectations built on the financial markets that the Federal reserve will have to reduce interest rates later this year to support an economy potentially weakened by prices. The yields made a bright turn lower Wednesday after a pair of worse reports than expected on the American economy has strengthened the betting betting for a reduction.
The Fed has kept interest rates pending this year after having reduced them until the end of 2024. Part of the reason for the break is that the Fed wants to see how the Trump prices will harm the economy and increase inflation. Although lower interest rates can increase the economy, they also tend to give more fuel to inflation.
Treasury yields took place Thursday before Friday job reports. The yield on the 10 -year treasure increased to 4.38%, against 4.37% Wednesday evening after falling 4.46% the day before. It had been lower before Trump’s encouraging description of his call with XI.
In stock markets abroad, the indices in Europe were mixed in the middle of modest movements after The European Central Bank has again reduced its main interest rateAs we expected widely.
The movements were greater in Asia, where Kospi in South Korea jumped 1.5% after the new president of the country and the main liberal politician Lee JAE-MYUNG Has started his mandate, promising to restart talks with North Korea and strengthen a partnership with the United States and Japan.
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Commercial editors at Yuri Kageyama and Matt Ott contributed.
