Negotiations between the United States and China regarding tariffs have not reached a clear conclusion, while the three major stock indexes on the New York stock market closed mixed.
On the 28th (Eastern Time), the Dow Jones Industrial Average closed at 40,227.59, up 114.09 points (0.28%) from the previous session on the New York Stock Exchange (NYSE). The Standard & Poor's (S&P) 500 index rose 3.54 points (0.06%) to 5,528.75, while the Nasdaq Composite Index fell 16.81 points (0.10%) to close at 17,366.13.
Earlier, Scott Minister of the U.S. Treasury noted that trade negotiations between the U.S. and China are stagnant. In a press interview, when asked if he planned to call the Chinese side to resume negotiations, he said, "We will have to wait and see how things will turn out regarding China," adding, "This is an important issue."
He further stated, "The Chinese side likely believes that the current situation is not sustainable," and remarked, "Someday they might call us."
Earlier, President Donald Trump mentioned that he had a recent phone call with Chinese President Xi Jinping and reiterated that the U.S. is conducting trade negotiations with China, although the reality is different.
Geng Shuang, Spokesperson for the Ministry of Foreign Affairs of China, also stated, "As far as I know, there have been no phone calls between the two leaders," adding that China is currently not conducting tariff negotiations with the U.S. This directly contradicted President Trump's remarks.
Jonathan Miller, an economist at Barclays, recently remarked on the U.S.-China negotiations, saying, "For now, it's mostly just discussion," and expressed skepticism about whether there will be enough concrete momentum to avoid a U.S. economic recession during trade negotiations.
This week's stock market sentiment is dominated by expectations that the performance of seven major tech companies (the Magnificent 7 or M7) will influence the market. This week, earnings reports will be released from Apple, Microsoft, Amazon, and Meta Platforms.
Meanwhile, the U.S. Treasury Department announced that it expects to borrow $514 billion from the private sector in the second quarter (April to June) of this year. This is a significant increase from the $123 billion it projected in early February. The Treasury explained that this reflects lower-than-expected cash balances at the beginning of the second quarter and a downward revision of net cash flow projections.