Wall Street Holds Its Breath Stocks Up Ahead of U.S.-China Trade Showdown

Stocks Rise as Wall Street Awaits Details from U.S.-China Trade Talks

Wall Street experienced a wave of optimism on Monday, with stocks edging higher as U.S. and Chinese officials convened to address the ongoing trade tensions. The market's upward trajectory reflects a cautious hope that constructive dialogue could pave the way for a resolution between the two economic powerhouses.

Here’s a snapshot of how the major indices performed:

• The S&P 500 climbed 0.3%.
• The Nasdaq Composite increased by nearly 0.4%.
• The Dow Jones Industrial Average saw a gain of 106 points, equivalent to 0.4%.

The high-stakes trade discussions took place in London, with key U.S. representatives including Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and Trade Representative Jamieson Greer. National Economic Council Director Kevin Hassett articulated the U.S.'s primary objective: securing confirmation from China regarding the restoration of critical mineral exports.

"The purpose of the meeting today is to make sure that they're serious ... to literally get handshakes ... and get this thing behind us," Hassett told CNBC, underscoring the urgency and importance of tangible commitments. He further elaborated, "Our expectation is that ... immediately after the handshake, any export controls from the U.S. will be eased, and the rare earths will be released in volume, and then we can go back to negotiating smaller matters."

These talks build upon a recent phone conversation between President Trump and President Xi Jinping, as well as a prior agreement to temporarily halt tariff increases while negotiations progress. The market's sensitivity to these developments is evident, with investors closely monitoring every signal emanating from the discussions.

Several individual stocks experienced notable movements, adding further color to Monday's trading session:

• Qualcomm surged by more than 4% following its announcement to acquire Alphawave for $2.4 billion.
• Advanced Micro Devices and Texas Instruments each rose by over 4%.
• Nvidia shares also saw an increase.
• Alibaba gained 2%, reflecting positive sentiment towards Chinese large caps.

Larry Tentarelli, chief technical strategist for Blue Chip Daily Trend Report, noted that "Investors are taking bullish trades today on China large caps and U.S. semiconductor stocks, which are both beneficiaries of U.S./China trade talks,".

Not all news was positive. Apple shares dipped by 1.5% as the company unveiled its first major iPhone operating system redesign since 2013 at its 2025 Worldwide Developers Conference.

Looking ahead, inflation data looms large on the economic calendar. The consumer price index is slated for release on Wednesday, followed by the producer price index on Thursday. Traders will be keenly analyzing these figures for insights into the impact of existing tariff rates on the broader economy.

The positive momentum from Monday's trading session follows a robust previous week, during which all three major indexes recorded their second consecutive week of gains. Notably, the S&P 500 closed above the 6,000 mark on Friday for the first time since February 21, bringing it within striking distance of its record closing high.

Richard Saperstein, chief investment officer of Treasury Partners, observed that "With the S&P 500 closing above 6,000 for the first time since February, stocks are effectively looking through the current tariff uncertainty into a more stimulative economic climate,".

The market's upward trajectory, fueled by hopes of a U.S.-China trade resolution and positive economic indicators, paints a cautiously optimistic picture. While challenges undoubtedly remain, the underlying sentiment suggests that investors are looking towards a potentially brighter economic future. The week ahead promises to be eventful, with key inflation data set to provide further guidance and shape market expectations.

Correction: The producer price index will be released Thursday morning. A previous version of this story misstated the timing.

Tags: US-China trade, Stock market, S&P 500, Dow Jones, Nasdaq, Trade talks, US economy, China economy, Mineral exports, Trade war

Source: https://www.cnbc.com/2025/06/08/stock-market-today-live-updates.html