Friday Afternoon Coffee - Markets Update - 30 May 2025 - Wall Street Slips as Trump Accuses China of Tariff Breach; Regeneron Plunges on Trial Setback

The Trade Academy Team
1 minute ago
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Markets Update: U.S. stocks retreated Friday after President Donald Trump accused China of violating a key tariff agreement, reigniting trade war fears and adding fresh uncertainty to global markets already rattled by mixed economic signals and legal back-and-forth on U.S. tariffs.

Global Markets Roundup: 30 May 2025

Stocks Pull Back on Renewed Trade Tensions

All three major indexes closed lower as Trump claimed on his Truth Social platform that China had breached a Geneva pact under which both sides had agreed to temporarily slash tariffs during ongoing trade talks. Trump did not detail the nature of China’s violation but warned, “So much for being Mr. NICE GUY!”

The accusations clouded what had been a fragile détente. Under the Geneva framework, the U.S. had agreed to reduce tariffs on Chinese goods from 145% to 30%, while China had promised to lower its duties from 125% to 10% for 90 days.

“We went from a place where it felt as though investors had a pretty good handle on the direction of trade and tariffs, and now that picture has become very confusing,” said Art Hogan, chief market strategist at B. Riley Wealth.

Market Snapshot – May 30, 2025

Dow Jones Industrial Average: -49.27 points (-0.12%) to 42,166.46
S&P 500: -27.12 points (-0.46%) to 5,885.05
Nasdaq Composite: -155.75 points (-0.81%) to 19,020.13
Nvidia (NVDA): -2.4%
Ulta Beauty (ULTA): +15%
Regeneron (REGN): -18%

Despite Friday’s losses, the Nasdaq is still poised for its best monthly performance since November 2023, and both the S&P 500 and Dow are on track for their biggest monthly gains since late 2024, with the Dow up nearly 3.5% in May.

Sector Breakdown and Notable Movers

Nine of the S&P 500’s eleven sectors declined, led by energy and information technology. Heavyweight chipmaker Nvidia dragged tech lower, while Ulta Beauty soared 15% after raising its annual profit forecast, citing strong quarterly earnings.

Biotech firm Regeneron plunged 18% after its experimental treatment for “smoker’s lung” failed one of its late-stage trials, despite meeting goals in another study.

Economic Data Offers Mixed Picture

April’s personal consumption expenditures (PCE) data, the Fed’s preferred inflation gauge, showed price growth cooling to 2.1% annually from 2.3% in March—edging closer to the central bank’s 2% target. The core PCE data helped bolster bets that the Fed could begin cutting rates as early as September, with markets now pricing in two cuts this year.

Personal income data was solid, while trade numbers improved markedly. Yet the latest court drama over tariffs added to market volatility: the Court of International Trade had blocked most blanket levies this week, only for a federal appeals court to temporarily reinstate them pending further legal responses due by June 9.

Currencies and Commodities

The dollar was mixed on the day:

Dollar Index DXY: Flat
EURUSD: +0.2% to 1.1357 (tested highs near 1.1389)
USDJPY: -0.3% to 156.30

Commodities were broadly weaker as legal uncertainties over U.S. tariffs raised concerns over supply dynamics.

WTI Crude (July): -$0.52 to $60.42/barrel
Brent Crude (July): -$0.26 to $63.89/barrel
Gold (August): -$19.00 to $3,324.90/oz
Arabica Coffee: Slipped below $3.50/lb, lowest since April 10

Grains, Cocoa, and Wheat Update

Grain markets edged higher pre-market. The USDA reported strong spring wheat conditions (45% good or excellent), though winter wheat ratings dipped slightly.

Soybeans (24-25 Net Sales): 146,000 tons
Soybeans (25-26): 32,800 tons

Cocoa prices remain elevated amid tight supply, while improved harvest prospects in Brazil and Indonesia are expected to ease pressure on coffee markets.

Outlook

With geopolitical tension rising again, investors head into June warily. Although earnings and inflation data have helped cushion market sentiment, Trump’s abrupt shift on trade has injected new volatility into an already uncertain landscape.

Looking forward, refer to the economic calendar below to see the upcoming events scheduled for today and the rest of the week.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team