US stock market fluctuates amid trade deal signals
The US stock market ended the week on a cautious note. President Trump hinted at upcoming trade deals and a possible tariff cut on Chinese imports.
The Dow Jones slipped 0.2% after early gains. Meanwhile, the S&P 500 rose 0.1%, and the Nasdaq gained 0.2%, showing mixed investor sentiment.
With US-China talks looming, markets remain highly sensitive to any policy shifts. Trump’s messaging has amplified this volatility.
Trump stirs markets with tariff comments
In a Friday post on Truth Social, Trump suggested that an 80% tariff rate on Chinese goods “seems right.” This marked a shift from earlier hawkish tones.
Investors interpreted the message as a potential softening of the US trade stance. This sentiment was reinforced when Trump added that “many trade deals” were in progress.
These developments helped buoy US stock markets on Thursday and kept Friday’s pullback relatively mild.
US stock response tied to US-China outlook
The US stock market’s reaction is closely tied to the success of this weekend’s trade talks in Geneva.
A breakthrough in negotiations could boost investor confidence, especially in sectors affected by tariffs such as technology and consumer goods.
For now, traders are pricing in cautious optimism, with volatility expected around any concrete policy announcements.
Bitcoin surges as risk sentiment improves
While US stock indices moved sideways, Bitcoin saw a notable spike. The cryptocurrency rose above $103,000, after peaking over $104,000 overnight.
This rally suggests a broader return of investor confidence across asset classes, partially driven by hopes for trade de-escalation.
As the US stock market watches geopolitical developments, crypto investors are already positioning for a risk-on environment.
Mixed earnings add complexity to US stock moves
Earnings also shaped US stock movements on Friday. Pinterest shares jumped 12% after the company forecast stronger ad revenue growth.
In contrast, Expedia fell short of expectations. Its disappointing revenue figures reflect ongoing weakness in domestic demand and travel spending.
These earnings highlight diverging corporate trajectories, adding more variables to the US stock outlook in the short term.
US stock market outlook remains cautious
Despite optimism, the US stock market remains vulnerable to sudden shifts. The upcoming US-China talks could swing sentiment either way.
Investors should prepare for continued choppiness, especially as tariff policies remain unresolved.
Still, Trump’s hints of progress offer hope that the US stock market could rally if trade tensions ease in the coming weeks.