Mucahithan Avcioglu
01 July 2025•Update: 01 July 2025
ISTANBUL
The New York Stock Exchange ended Tuesday with mixed numbers.
The Dow rose 0.91%, or 400.17 points, to close at 44,494.94.
On the other hand, the Nasdaq composite was off 0.82%, or 166.85 points to end at 20,202.89, and the S&P 500 lost 0.11%, or 6.94 points, to 6,198.01.
Shares of Tesla sank 5.34% after the feud between CEO Elon Musk and US President Donald Trump on the president's spending bill was reignited as Musk criticized the bill, again.
Trump fired back by claiming the billionaire will “head back home to South Africa” if federal subsidies on electric vehicles are cut.
The president also said he will look into deporting Musk and that the Department of Government Efficiency (DOGE) should look into the subsidies Musk's companies have received.
Meanwhile, Trump’s “Big, beautiful bill” passed in the Senate in a 51-50 vote, and is now headed to the House of Representatives.
And Fed Chair Jerome Powell confirmed that the central bank would have cut the policy rate if Trump had not imposed high tariffs.
"In effect, we went on hold when we saw the size of the tariffs, and essentially all inflation forecasts for the United States went up materially as a consequence of the tariffs," he said.
Investors are awaiting announcements of trade deals while the tariff deadline on July 9 is approaching.
Trump said he had no plans to extend the deadline for countries to reach trade agreements with the US.
"No, I'm not thinking about the pause. I'll be writing letters to a lot of countries," he said.
The US president also signaled skepticism about the prospects of reaching a new trade agreement with Japan, saying he is uncertain a deal will be finalized.
"We've dealt with Japan. I'm not sure we're going to make a deal. I doubt it with Japan," Trump told reporters aboard Air Force One as he returned from the state of Florida.
On the macroeconomic data side, the S&P Global Purchasing Managers' Index (PMI) for the US manufacturing sector rose to 52.9 points in June, above expectations.
