US Stocks Lower on Friday but on Track to End May Higher
US stocks were lower on Friday, with the three major averages falling nearly 0.3%, as trade war tensions escalated.
President Trump claimed in a social media post that China had "totally violated" its agreement with the US, though he provided no further details. Earlier, Treasury Secretary Bessent stated that trade talks with China were “a bit stalled.” Meanwhile, investors were also weighting fresh economic data.
Both the headline and core readings edged up 0.1% month-over-month, in line with expectations. On an annual basis, both measures slowed. Personal spending growth also eased to 0.2%, in line with forecasts. The data reinforced expectations that the Fed may have room to cut interest rates later this year. Health, energy and materials were the worst performing sectors while consumer staples managed to stay in the green.
Still, stocks are set to end May with solid gains after a shaky April. The S&P 500 is up over 6%, the Nasdaq has jumped 10%, and the Dow has risen about 4%.
Source: Trading Economics
