US Market: Wall Street wrapped up its third winning week in the past four with a subdued finish on Friday following reports that President Donald Trump is advocating for higher tariffs on the European Union.
The S&P 500 dipped slightly by less than 0.1% after reaching an all-time high the previous day. The Dow Jones Industrial Average dropped by 142 points, or 0.3%, while the Nasdaq composite inched up by less than 0.1%, marking its own record.
According to reports, Trump is insisting on a minimum tariff of between 15% and 20% in any agreement with the EU, as indicated by the Financial Times, citing three individuals familiar with the discussions. The EU is trying to secure a trade agreement with the U.S. ahead of Trump’s deadline of Aug. 1, when he has pledged to implement 30% tariffs on the bloc.
Data released on Friday showed a decline in consumer concerns regarding inflation due to tariffs, dropping to its lowest point since February. The University of Michigan’s July Survey of Consumers indicated that overall consumer sentiment increased by 1.8% from June to 61.8, matching the forecast and reaching its highest level since February, according to reports.
Earnings in focus
In terms of earnings, Netflix’s stock fell 5% after the company announced it anticipates its operating margin for the second half of this year will be lower than in the first. Shares of 3M declined by over 3% after the firm adjusted its forecast for organic sales growth to a 2% increase, down from a previous lower estimate of between 2% and 3%. A 2% decline in American Express shares post-earnings contributed to the Dow’s decrease.
In the upcoming week, market participants will be closely watching the comments from Fed Chair Jerome Powell during a conference in Washington on Tuesday.
(With inputs from cnbc.com and AFP)
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