05.06.202518:11:43UTC+00US Equities Little Changed

In the afternoon trading session, U.S. stocks hovered near the flatline as Wall Street assessed new developments in U.S.-China trade relations and growing labor market concerns. President Trump confirmed a phone conversation with President Xi Jinping, which both parties described positively, initially boosting investor sentiment. However, the absence of concrete agreements from the discussion and ongoing trade uncertainties left the markets largely unchanged. The S&P 500 and Nasdaq both declined by 0.2%, while the Dow remained stable. Tesla shares experienced a significant drop of nearly 9% following a public conflict between Trump and Elon Musk, with Trump expressing dissatisfaction with Musk’s stance on his tax policy bill. Additionally, apprehensions about the labor market further dampened sentiment, as weekly jobless claims rose to 247,000—the highest level in eight months—and private payroll growth fell short of expectations. Attention now turns to Friday’s jobs report for additional insights into the economic landscape.