US Stocks Fall as Tesla Drags Tech Lower
Wall Street closed lower on Thursday as investors grappled with a public feud between President Trump and Elon Musk, renewed US-China trade uncertainty, and growing signs of labor market weakness.
The S&P 500 lost 0.5%, the Dow fell 107 points and the tech-heavy Nasdaq dropped 0.8%, dragged down by Tesla’s steep losses. Tesla shares plunged 14.3% after Trump criticized Musk over his opposition to a major tax-and-spending bill, suggesting he might revoke government contracts and subsidies for Musk’s companies.
Earlier optimism from a phone call between Trump and China’s President Xi Jinping faded as no concrete progress was reported, despite plans for further trade talks. Meanwhile, unemployment claims rose to 247,000 last week—the highest in eight months—adding to worries about a slowing labor market.
Economists expect May’s jobs report to show a gain of 125,000 jobs, down from the prior month, and keeping the three-month average at a still-solid 162,000.
Source: Trading Economics
