Stock Market Wavers Amid Trump-Xi Call and Musk Feud

On Thursday, June 5, 2025, U.S. stock markets experienced slight declines as investors reacted to geopolitical developments and corporate controversies. The Dow Jones Industrial Average dipped 34 points (0.1%), the S&P 500 decreased by 0.3%, and the Nasdaq Composite fell 0.4%.

Trump-Xi Call: Renewed Trade Talks

President Donald Trump held a phone call with Chinese President Xi Jinping, aiming to revive stalled trade negotiations. While the conversation signaled a potential thaw in U.S.-China trade relations, investors remained cautious due to the lack of concrete outcomes.

Musk-Trump Feud Impacts Tesla

Tesla’s stock dropped 8.6% following a public dispute between CEO Elon Musk and President Trump. Musk criticized Trump’s tax and spending policies, leading to concerns about potential repercussions for Tesla’s operations, especially amid declining sales in key markets like Germany.

Economic Indicators and Market Outlook

Investors are closely monitoring economic data, including jobless claims, which have risen to an eight-month high, and upcoming employment reports. These indicators are crucial for assessing the economy’s health and potential Federal Reserve policy adjustments.

In summary, the stock market’s recent fluctuations reflect investor sensitivity to geopolitical events and corporate dynamics. As developments unfold, market participants will continue to assess their implications for economic stability and investment strategic