Wall Street Futures Slip After S&P 500 Tops 7,500 for the First Time
CNBC reported Friday that US stock futures retreated in early trading after a historic session that saw the S&P 500 close above 7,500 for the first time. Dow futures dropped roughly 132 points. S&P 500 futures fell around 0.37%, and Nasdaq 100 futures declined 0.6%.
A Record-Breaking Week on Wall Street
Thursday’s session was broadly positive across major US indices. The S&P 500 gained 0.8% and the Nasdaq Composite added 0.9%. The Dow Jones Industrial Average climbed 370 points, retaking the symbolic 50,000 level. Both the S&P 500 and Nasdaq are now on course for their seventh consecutive weekly gain. The Dow is tracking its sixth winning week in seven.
The dominant force behind the rally remains enthusiasm over artificial intelligence. AI chipmaker Cerebras saw its shares extend post-debut gains in after-hours trading. Separately, CNBC reported that SpaceX is preparing to release its IPO prospectus as early as next week, after filing confidentially in April.
Narrow Leadership Raises Concern
Not everyone is comfortable with how the rally is being built. Keith Lerner, chief investment officer at Truist Advisory Services, told CNBC’s Closing Bell that the so-called broadening trade has effectively stalled. He noted that softer economic conditions are visible in parts of the market beyond mega-cap technology. The largest tech companies are doing the heavy lifting, he said, leaving broader market participation looking fragile.
That concentration risk is a familiar concern for equity strategists. A rally led by a handful of names tends to be more vulnerable to sharp reversals than one underpinned by widespread participation across sectors.
Asia Sells Off as Trump-Xi Talks Conclude
Asian markets sold off sharply as the two-day US-China summit in Switzerland wrapped up. South Korea’s Kospi closed down more than 6%, retreating from a record high it had briefly touched earlier in the week. Samsung Electronics fell over 8% after its labor union confirmed plans to proceed with an 18-day strike beginning May 21. The action involves more than 45,000 workers. The union indicated it would consider returning to wage talks after June 7.
Japan’s Nikkei 225 fell nearly 2%, while Hong Kong’s Hang Seng lost 1.55%. Precious metals also came under pressure. Spot gold dropped 1.43% to $4,583 per ounce, and silver slid more than 5% to $79.07 per ounce. Both sides agreed during the summit that the Strait of Hormuz must remain open to shipping traffic.
Markets will now assess what concrete trade and tariff outcomes, if any, emerge from the conclusion of the Trump-Xi talks.
