Here Are 3 Hot Things to Know About Stocks Right Now
- The Dow Jones Industrial Average rose Thursday following a report that the White House may delay implementing tariffs on Mexican goods.
- Five Below (FIVE) - Get Report slipped after it posted stronger-than-expected first quarter earnings but the threat of tariffs on China-made imports continues to hang over the discount retailer. Five Below is Real Money's Stock of the Day.
- Tesla (TSLA) - Get Report shares rose amid reports that a massive push to drive end-of-quarter sales could lead to record deliveries for Elon Musk's clean-energy carmaker.
Wall Street Overview
Stocks accelerated gains Thursday afternoon to close higher following a news report that the White House might postpone President Donald Trump's 5% tariff on all Mexican imports.
Mexico pushed for more time to negotiate immigration issues, Bloomberg News reported, citing people familiar with the matter. The tariffs are set to kick in on Monday. Bloomberg cautioned that one U.S. official still believed the tariffs would go into effect despite progress in the talks.
The Dow Jones Industrial Average ended up 181 points, or 0.71%, to 25,721, the S&P 500 rose 0.61%, while Nasdaq slipped 0.51%.
Talks between U.S. and Mexican officials, which began Wednesday and resumed earlier Thursday, were poised to continue at 5:30 p.m. ET at the State Department, CNBC reported, citing a key Mexican government negotiator.
Martha Barcena Coqui, Mexico's ambassador to the U.S., told CNBC that negotiators had "a very good discussion, a very good debate."
"We are still talking about all the legal aspects of the cooperation that we are having on migration," Coqui said, according to CNBC.
The situation looked less promising late Wednesday when Trump tweeted that "not nearly enough" progress had been made in talks between U.S. and Mexican officials aimed at solving a simmering border crisis that has raised tensions between Washington and its biggest trading partner. Mexican officials, in turn, were preparing a list of products to be hit with reprisal levies that are aimed at Trump-supporting states.
"One of the hallmarks of Donald Trump's presidency is that everything is fluid," said TheStreet's Jim Cramer on Real Money Pro. "Fluid isn't just uncertainty, it's ugliness. The only saving grace? We recognize that Trump will sacrifice anything, including the consumer, to win, and the consumer is a useful idiot that will buy anything that he tells them."
Separately, Trump said Thursday he would decide in "the next two weeks" whether to impose tariffs on an additional $300 billion in Chinese imports. Trump told reporters in France that he is "probably planning it some time after" the G-20 summit of world leaders at the end of the month, the Hill reported. The president is expected to meet Chinese President Xi Jinping at the gathering in Osaka, Japan.
Auto stocks were lagging on Thursday, possibly pulled down by tariff worries and news of Fiat Chrysler's (FCAU) - Get Report abrupt withdrawal of its merger proposal with France's Renault (RNLSY) . Fiat Chrysler up less than 1% at $13.30, while Renault was down 6% to $11.90.
Ford (F) - Get Report dipped slightly to $9.75 after the carmaker said it would take a $650 million charge following a move to close a key production facility in the United Kingdom. GM (GM) - Get Report and Honda (HMC) - Get Report were also trending down.
Five Below (FIVE) - Get Report slipped 1% to $121.81 after the discount retailer reported stronger-than-expected first-quarter earnings and an improved 2019 outlook, even with the looming threat of tariffs on China-made imports. Five Below is Real Money's Stock of the Day.
Alphabet's Google (GOOGL) - Get Report said its Cloud business was acquiring Looker, a business-intelligence and data-analytics company, for $2.6 billion in cash. Shares were up slightly to $1,047.76.
In economic news, initial claims for state unemployment benefits were unchanged at a seasonally adjusted 218,000 for the week ended June 1, the Labor Department said.The prior week's tally was revised up to 218,000 from 215,000. Economists had expected claims would be unchanged at 215,000 in the latest week.