S&P 500 falls as markets worry about US growth slowdown

Wall Street’s stock indices closed lower on Thursday, dragged down by a decline in Tesla shares. This downturn followed progress in US–China tariff negotiations, Reuters notes.

Tesla shares plunged over 14% during trading amid escalating public disputes between CEO Elon Musk and American President Donald Trump.

According to Reuters, the S&P 500 lost 0.53% on Thursday, closing at 5,930.80. Weaker-than-expected US employment and services sector reports heightened market concerns about slowing economic growth.

Moreover, investors are worried about the impact of import tariffs on domestic inflation. Price pressures may intensify in coming months. However, US Federal Reserve Chair Jerome Powell remains calm and continues to base his policy decisions on the latest economic data.

Meanwhile, in May the S&P 500 scored its strongest monthly percentage gain since November 2023, fueled by the US administration's easing of trade policies.