Dow Plummets 200 Ahead of Trump-Carney Meeting
May 06,2025 11:50 am EST
Stocks slipped Tuesday as investors awaited the Federal Reserve's policy decision and watched for signs of progress in global trade deals.
The Dow Jones Industrials collapsed 199.89 points to 41,018.94.
The S&P 500 index skidded 25.63 points to 5,624.75
The NASDAQ Composite faded 107.92 points to 17,736.32
Tech giants Nvidia and Meta Platforms lost more than 1%. Shares of Tesla shed more than 2% after the company's new car sales in Britain and Germany fell to their lowest in more than two years in April, even though demand for electric vehicles grew. Goldman Sachs shares also declined to pull the Dow lower.
Trump is scheduled for meetings with Prime Minister Mark Carney on Tuesday, marking the start of negotiations between the two leaders since Carney assumed office in March.
The meeting comes after Treasury Secretary Scott Bessent said on Monday that “we're very close to some deals,” echoing comments from Trump on Sunday that agreements could come as early as this week. A Bloomberg report citing people familiar also said that India has proposed zero tariffs on certain goods.
The Fed began Tuesday its two-day policy meeting, with a decision scheduled for Wednesday. The central bank is expected to widely expected to keep rates steady on Wednesday, with Fed Funds futures trading suggests just a 2.7% chance of the central bank cutting rates.
Prices for the 10-year Treasury hesitated, raising yields to 4.35% from Monday's 4.34%. Treasury prices and yields move in opposite directions
Oil prices jumped $2.37 to $59.50 U.S. a barrel.
Prices for gold skyrocketed $85.40 to $3,407.70 U.S.
Currencies
