Stocks are likely to move to the downside in early trading on Friday, giving back ground after ending yesterday’s choppy session moderately higher. The major index futures are currently pointing to a lower open for the markets, with the S&P 500 futures down by 0.3 percent.
The futures came under pressure after President Donald Trump accused China of violating the trade agreement reached earlier this month.
Trump said in a post on Truth Social that “everything quickly stabilized and China got back to business as usual” following the trade deal.
“Everybody was happy! That is the good news!!!” Trump said. “The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US. So much for being Mr. NICE GUY!”
Trump’s claim comes after Treasury Secretary Bessent said in a Fox News interview on Thursday that U.S.-China trade talks “are a bit stalled.”
In U.S. economic news, a closely watched report release by the Commerce Department showed consumer prices in the U.S. crept slightly higher in the month of April.
The Commerce Department said its personal consumption expenditures (PCE) price index inched up by 0.1 percent in April after coming in unchanged in March. The uptick matched economist estimates.
The report also said the annual rate of growth by the PCE price index slowed to 2.1 percent in April from 2.3 percent in March. Economists had expected growth to slow to 2.2 percent.
Excluding prices for food and energy, the core PCE price index still crept up by 0.1 percent in April following a revised 0.1 percent uptick in March. The modest increase came in line with expectations.
The annual rate of growth by the core PCE price index slowed to 2.5 percent in April from 2.7 percent in March, matching economist estimates.
The Federal Reserve’s preferred readings on consumer price inflation were included in the Commerce Department’s report on personal income and spending.
The Commerce Department said personal income increased by 0.8 percent in April after climbing by 0.7 percent in March, while personal spending rose by 0.2 percent in April after rising by 0.7 percent in March.
After failing to sustain a strong move to the upside early in the session, stocks fluctuated over the course of the trading day on Thursday.
The major averages bounced back and forth across the unchanged line before eventually closing moderately higher.
The Dow rose 117.03 points or 0.3 percent to 42,215.73, the Nasdaq climbed 74.93 points or 0.4 percent to 19,175.87 and the S&P 500 increased 23.62 points or 0.4 percent to 5,912.17.
In overseas trading, stock markets across the Asia-Pacific region moved mostly lower during trading on Friday. Japan’s Nikkei 225 Index slumped by 1.2 percent, while China’s Shanghai Composite Index fell by 0.5 percent.
Meanwhile, the major European markets have moved to the upside on the day. While the German DAX Index is up by 0.6 percent, the U.K.’s FTSE 100 Index is up by 0.4 percent and the French CAC 40 Index is just above the unchanged line.
In commodities trading, crude oil futures are falling $0.48 to $60.46 a barrel after slumping $0.90 to $60.94 barrel on Thursday. Meanwhile, after climbing $22.20 to $3,317.10 an ounce in the previous session, gold futures are slipping $15.60 to $3,301.50 an ounce.
On the currency front, the U.S. dollar is trading at 143.60 yen versus the 144.21 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.1355 compared to yesterday’s $1.1370.
Business News
U.S. Stocks May Move Lower After Trump Accuses China Of Violating Trade Deal
2025-05-30 12:56:03
