Corrects story contributors. Adds Suzanne McGee
US equity indexes mixed with Dow managing tiny gain
May Chicago PMI 40.5 vs 45.0 estimate
May U Mich sentiment final 52.2 vs 51.0 estimate
Euro STOXX 600 index up ~0.4%
Dollar rises; bitcoin, crude decline; gold off ~1%
US 10-Year Treasury yield edges down to ~4.41%
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WALL STREET INDEXES DIP ON TRADE CONCERNS
The S&P 500 .SPX and the Nasdaq composite .IXIC are in the red on Friday, though above their session lows, as renewed concerns about U.S.-China trade tensions overshadowed the latest inflation reading.
U.S. President Donald Trump said in a social media post that China had violated an agreement on tariffs with the United States.
And U.S. Treasury Secretary Scott Bessent told Fox News that U.S. trade talks with China were "a bit stalled" and that getting a deal over the finish line will likely need the direct involvement of President Donald Trump and Chinese President Xi Jinping.
Jim Carroll, portfolio manager at Ballast Rock Private Wealth, in Charleston SC, had this to say:
"It’s just impossible to decipher all of these shenanigans. You really either need to be a long-term investor and just turn off the television, or you have to be a very active trader. Anything in between, you’re really setting yourself up for problems."
Carroll added "We have tried to communicate to clients that this is an environment in which discipline is going to be tested. I don’t know how you would make all of this something actionable for anyone in the markets, because as soon as you thought you knew something, something else pops up and the market runs in the opposite direction.”
While stocks are struggling on Friday, investors had boosted equities during the month of May on hopes that the U.S. trade war could come to a positive resolution.
While the last trading day of the month was still young, at least so far, the S&P 500 is eyeing its biggest gain for the month of May since 1990, while Nasdaq is eyeing its strongest May advance since 1997. The Dow .DJI is tracking for its biggest gain for the month of May since 2020.
S&P 500 index sectors are mixed early on Friday. The biggest gainers are defensive sectors with consumer staples .SPLRCS up ~0.7% and utilities .SPLRCU adding 0.4%.
The biggest gainer in staples .SPLRCS is Costco Wholesale COST.O, which missed analyst expectations for third-quarter revenue but said that raising prices would be a "last resort", unlike larger rival Walmart WMT.N, which plans to start raising prices later this month. Costco, whose shares were up 3.5%, said it pulled forward shipments of some goods it had planned to import this summer to lower the impact of U.S. tariffs.
Here is your morning snapshot from 10:23 a.m ET/ 1423 GMT:
(Sinéad Carew, Suzanne McGee, Terence Gabriel)
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EARLIER ON LIVE MARKETS:
U.S. STOCK FUTURES PARE LOSSES SLIGHTLY AFTER PCE CLICK HERE
STOXX: BEST MAY IN 35 YEARS BUT SUMMER LOOMS CLICK HERE
MORE DOLLAR DEPRECIATION WOULD WEIGH ON EUROPEAN BANK EARNINGS - JPM CLICK HERE
PATH OF LEAST RESISTANCE IS TO THE UPSIDE CLICK HERE
STOXX TICKS HIGHER, CHEMICALS AND REAL ESTATE PROVIDE LIFT CLICK HERE
EUROPE BEFORE THE BELL: FUTURES FLAT BUT STOXX HEADS FOR MONTHLY GAIN CLICK HERE
COURTROOM TWISTS ADD TO TARIFF RISKS CLICK HERE
Nasdaq, S&P in the red, Dow manages small gain https://tmsnrt.rs/3SXFLDU
