The New York stock market closed down. With tariff negotiations underway between the United States and major countries, the market is taking a pause after a short-term surge without any significant additional progress.
On the 5th (Eastern Time), the Dow Jones Industrial Average closed at 40,218.83, down 98.60 points (0.24%) from the previous session on the New York Stock Exchange. The Standard & Poor's (S&P) 500 index closed at 5,650.38, down 36.29 points (0.64%), while the tech-heavy Nasdaq index finished at 17,844.24, down 133.49 points (0.74%).
The United States is conducting tariff negotiations with major trading partners, but no countries have yet reached an agreement.
U.S. President Donald Trump noted that negotiations are ongoing with countries, including China, and that a form of trade agreement is possible within this week.
U.S. Treasury Minister Scott Bencet also said regarding the trade negotiations, "We believe we are very close to some agreement," adding, "Seventeen partners, excluding China, approached us with very good trade proposals."
However, Minister Bencet did not mention further details on the negotiations with China.
As a result, expectations for the trade negotiations have calmed somewhat, but forecasts suggest they will not deteriorate further, leading to a slight adjustment in the stock indexes.
Amid President Trump's policy of imposing a 100% tariff on foreign-made films, streaming companies that were expanding their declines reduced their losses following the White House announcement of "there has been no decision made yet."
Netflix and Warner Brothers Discovery closed down by about 1%. Earlier, Warner Brothers’ stock fell by more than 5% before the opening.
By sector, all sectors fell except for essential consumer goods. Energy dropped more than 2%, and discretionary consumer goods also fell by 1.32%.
Large corporations in the technology sector, which hold the top market capitalization, showed mixed results. Apple fell by 3.2%, while Amazon, NVIDIA, and Tesla also exhibited weakness.
On the other hand, Microsoft, Meta Platforms, and Alphabet showed slight gains. Major oil companies like ExxonMobil and Chevron recorded declines of around 2%, impacted by international oil prices plummeting 2% due to concerns over supply expansion, hitting their lowest levels in four years.
The U.S. service sector continued its expansion in April, although the pace varied according to the measuring organizations.
The Institute for Supply Management (ISM) reported that the service sector Purchasing Managers' Index (PMI) for April recorded 51.6, while S&P Global’s finalized PMI for April was 50.8. This is a deterioration compared to the previously announced preliminary figure of 51.4 for April.