The S&P 500 Index closed up 0.09% on Monday, reaching a 3-1/2 month high, while the Dow Jones Industrials remained unchanged and the Nasdaq 100 rose 0.17%. Progress in U.S.-China trade talks, where negotiators are set to meet again on Tuesday, fueled market optimism, particularly after U.S. officials indicated readiness to lift certain tech export restrictions to China.
In corporate news, Qualcomm announced plans to acquire Alphawave IP Group Plc for $2.4 billion, and IonQ agreed to buy Oxford Ionics for $1.075 billion. Additionally, China’s trade figures reported May exports increasing by 4.8% year-on-year, falling short of a 6.0% target, while imports dropped by 3.4%, against expectations of a 0.8% decline.
This week, investors are focused on upcoming U.S. economic data, including May CPI and unemployment claims, as well as fresh developments in the trade negotiations. The market is currently pricing in a 0% probability for a 25 basis point rate cut in the upcoming FOMC meeting on June 17-18.
