FX.co ★ Wall Street Dips as Markets Eye US-China Trade Talks

On Friday afternoon, U.S. stock markets experienced a downturn as investor caution heightened ahead of critical U.S.-China trade discussions scheduled in Geneva this weekend. The S&P 500 and Nasdaq both saw a 0.1% decrease, while the Dow Jones Industrial Average dropped by more than 50 points, relinquishing earlier gains. Market sentiment briefly improved following the announcement of a U.S.-U.K. trade agreement; however, concerns persist that the talks with China may not yield a significant breakthrough. Adding to market volatility, President Trump suggested the possibility of imposing an 80% tariff on Chinese imports, a decrease from the existing 145%, while also indicating that "numerous trade deals" are in the works. In corporate news, Pinterest saw a 5.4% surge due to optimistic advertising revenue forecasts. Meanwhile, Expedia's stock fell 7.7% after missing revenue expectations, and Affirm experienced a 13% drop following weak fourth-quarter guidance. These mixed corporate earnings reflect broader investor uncertainty amid ongoing trade tensions. For the week, the S&P 500 has declined by 0.7%, with both the Nasdaq and the Dow also on course for modest losses.