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US-China Trade Talks Next Week as Strong Employment Data Boosts Stock Market

US-China Trade Talks Next Week as Strong Employment Data Boosts Stock Market

All four major US stock indices rose on Friday, with the S&P 500 breaking through the psychological barrier of 6000 points, and the Dow Jones erasing its losses for 2025.

President Trump spoke with Chinese President Xi Jinping and later engaged with Tesla CEO Elon Musk on topics such as the 'Big and Beautiful Act', adding volatility to the markets. However, due to stronger-than-expected non-farm payroll numbers for May, the robust employment data alleviated concerns about a potential economic slowdown, bolstering market confidence. On Friday, the US reported an increase of 139,000 non-farm jobs for May, exceeding market expectations and easing worries about demand potentially being hindered by economic deceleration.

The employment figures for the previous two months were revised downward by 95,000; the unemployment rate remained stable at 4.2%, and hourly wages increased by 0.4%, surpassing expectations.

On Friday, Trump announced that Treasury Secretary Mnuchin, Commerce Secretary Ross, and US Trade Representative Lighthizer would meet with Chinese representatives in London on Monday to discuss trade agreements, indicating a thaw in US-China relations. Trump emphasized that the talks 'should go very smoothly', sparking optimism about potential progress in the US-China trade agreement.

All four major US stock indices rose on Friday, with the S&P 500 index climbing 61.06 points to close at 6000.36 points, the Dow Jones Industrial Average rising 443.13 points to 42762.87 points, the Nasdaq Composite increasing by 231.50 points to 19529.95 points, and the Philadelphia Semiconductor Index up by 27.13 points to 5038.06 points.

In individual stock performance, Tesla's stock rebounded 4% to $295.14, influenced by the interactions between Musk and Trump, while TSMC ADR rose 2.42% to close at $202.4.