Trade Suspense Keeps Lid on Stocks
ocks were little changed Tuesday, following modest gains seen in the first session of June, as growth concerns increased and traders awaited more details on potential U.S. trade deals. The Dow Jones Industrials dipped 48.64 points to begin Tuesday at 42,256.84. The S&P 500 index added 5.92 points to 5,941.86 The NASDAQ Composite tacked on 81.23 points to 19,323.84. Joby Aviation shares surged more than 13% after entering a memorandum of understanding to explore opportunities for entering the Saudi Arabia market. Tuesday’s declines follow the Organization for Economic Co-operation and Development cutting its U.S. growth outlook. The OECD now sees the U.S. economy expanding by just 1.6%, down from 2.2%. Beijing countered President Donald Trump’s accusations that it had violated a temporary trade agreement. Investors had grown hopeful that the two countries could work out a trade deal, but this latest development points to negotiations taking a turn for the worse. Meanwhile, the European Union criticized Trump’s intention to double steel tariffs to 50%, saying that such a move “undermines” its own negotiations with the U.S. An EU spokesperson said that the bloc was “prepared to impose countermeasures.” Prices for the 10-year Treasury rebounded, lowering yields to 4.43% from Monday’s 4.45%. Treasury prices and yields move in opposite directions. Oil prices prospered 85 cents to $63.37 U.S. a barrel. Gold prices retreated $37.80 to $3,332.80 U.S. an ounce.
