The Dow Jones industrial average climbed above the break-even line just after noon Monday, boosted by an in-day gathering for the remainder of the index’s worst performance components during a relatively quiet early summer session on Wall Street.
The S&P 500 index is held above the psychologically significant 6,000 levels, with another strong day in technology stock elevating the Nasdaq composite.
Investors, traders and speculators saw good inflation signs on the New York Fed’s consumer expectations data when monitoring progress in US-China trade war negotiations.
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Kevin Hassett, director of the National Economic Council, said on CNBC that he will be discussing in London between President Donald Trump and top president Xi Jinping’s representatives.
Hassett is expected to refer to the potential rollback of export controls for “other semiconductors that are very important to China,” apart from “very important to China,” and “rare earths will be released in volumes.”
“In the steady stream of soft economic data last week, stock market profits suggest that traders are willing to move the economy significantly, unless they get too slow,” writes Chris Larkin, director of investment in E* trade from Morgan Stanley.
Larkin said the figures in May’s release of Wednesday’s Consumer Price Index (CPI) data “if it’s a big surprise, it’s likely that US-China trade talks will take on a dominant role in shaping short-term momentum.”
Until the closing bell, the Blue Chip Dow Jones Industrial Arage fell 1.11 points to 42,761, while the wide-range S&P 500 rose 0.1% at 6,005, while the technology-heavy Nasdaq composite rose to 0.3% at 19,591.
Well traveled Dow Jones stock
Travelers (TRVs) were stocked by Dow Jones, which performed worst on Monday. Within 90 minutes of opening bell, it was down 3.9%, staying in Red all day and closed with a loss of 2.2%.
However, TRV set the stage at a 1.9% daytime rally to help lift the 30-share index into positive territory. The insurance giant is one of these good stocks to buy to deal with inflation.
In fact, TRV (65.3% total revenue) has surpassed DOW (37.9%) and S&P (52.6%) for the three years ending June 6th, essentially held by Nasdaq (65.5%).
Boeing (BA) was a 3.2% No. 1 Dow stock on Monday, earning its turnaround closure at its highest level since January 2024, according to data from the Dow Jones Market.
BA has risen 22.3% since reporting its first quarter revenue on April 23rd. Boeing also benefits from continuing deterrent in the US-China trade war.
Meanwhile, NVIDIA (NVDA, +0.6%) extended its post-revenue gatherings and closed the gap in Microsoft (MSFT, +0.5%), the global market capitalization leader. NVDA has increased by 5.1% since May 28th.
Among the other seven Mag shares, Amazon.com (AMZN, +1.6%), Alphabet (Googl, +1.5%) and Tesla (TSLA, +4.6%) rose in terms of market capitalization rankings.
Apple (AAPL, -1.2%) was the third Dow Jones stock, one of two Mag seven shares that would lose on Monday, slashing expectations for expected as developer conferences progressed.
Another one was meta platform (meta, -0.5%).
Inflation expectations decline
New York Fed’s microeconomic data center reported Monday morning that inflation expectations reversed the surge on the day after liberation.
Inflation expectations a year ago fell 0.4 points to 3.2%, expectations for three years fell from 3.2% to 3.0%, and expectations for five years fell from 2.7% to 2.6%.
The results of the Centre’s survey on consumer expectations also show that the outlook for the labor market is improving. The expectations for revenue growth in the year were up to 2.7% from 2.5%, while the average unemployment expectations fell from 44.1% to 40.8%.
The 30-day Fed fund futures price reflects 99.9% of probability voting members stabilize interest rates at the next Fed meeting on June 17-18. The probability of a fee reduction at the July 29th-30 meeting has decreased from 60% on May 9th to 16.6%.
