Investors cautious as US-China trade talks approach, market closes quietly

From Yahoo Finance: 2025-05-09 06:35:00

U.S. stocks closed the week quietly as investors awaited weekend trade talks between the U.S. and China. Trump suggested 80% tariffs on Chinese goods, down from the current 145%. The Dow fell 0.29%, the S&P 500 dropped 0.07%, and the Nasdaq was flat. Markets have been volatile due to tariffs, but earnings have been strong.

Representatives from the U.S. and China will meet in Switzerland to discuss tariffs, sparking hopes of de-escalating the trade war. Trump expects substantive talks, while 76% of S&P 500 companies beat earnings expectations. Energy stocks rose 1.1% on oil optimism, but healthcare fell 1.1%. Fed policymakers warned of economic risks from tariffs.

India offered to cut its tariff gap with the U.S. to less than 4% in exchange for tariff exemptions. Expedia shares dropped 7.3% after missing revenue estimates. The S&P 500 had six new highs and three new lows, while the Nasdaq had 53 new highs and 97 new lows. Trading volume was slightly below average.



Read more at Yahoo Finance: Wall St closes near flat with focus on US-China talks