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US stock futures slipped on Tuesday as an OECD warning of economic damage from President Trump’s tariffs put investors on watch for progress in US trade talks.
Futures on the S&P 500 (ES=F) and the Dow Jones Industrial Average (YM=F) fell about 0.2%. Contracts on the tech-heavy Nasdaq 100 (NQ=F) were little changed on the heels of an upbeat start to the week for the major gauges.
The OECD has slashed its outlook for global economic growth, citing the impact of Trump’s trade policy on investment and confidence. The US economy will slow particularly sharply, the OECD forecast, going from 2.8% growth last year to only 1.6% this year and 1.5% in 2026.
In another sign of trade war taking a toll, China’s manufacturers suffered their worst slump since 2022 in May. Tariff hikes had an impact on smaller exporters despite the US-China trade truce. Caixin found.
Countries need to act fast to seal deals to lower trade barriers, the OECD urged. Trump is reportedly pushing trade partners for their “best offers” by Wednesday, as deadlines for the implementation of “reciprocal” tariffs loom. But progress in trade talks with key nations seems to have stalled as US-China tensions simmer amid hopes for a call between Trump and President Xi as soon as this week.
Read more: The latest on Trump’s tariffs
A JOLTS update on job openings in April, due later, will provide insight into how the labor market has fared since the tariff hikes began. It will also set the stage for the all-important May jobs report, which is set for release on Friday.
Meanwhile, with nearly all of the S&P 500 companies having finished reporting their results, earnings season is coming to an end. On Tuesday, CrowdStrike (CRWD), Asana (ASAN), and Hewlett Packard Enterprise (HPE) will issue their reports.
LIVE 7 updates
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Constellation Energy stock pops on nuclear power agreement with Meta
Constellation Energy (CEG) stock surged more than 12% in premarket trading following news that it struck a 20-year power purchase agreement (PPA) with Meta (META). Meta stock was roughly unchanged.
Starting in June 2027, Meta will buy 1,121 megawatts of energy from Constellation’s Clinton nuclear facility in Illinois, powering its AI ambitions while supporting its clean energy goals, a release stated.
The Clinton Clean Energy Center was nearly retired in 2017 after financial losses, but a state clean energy program kept the facility operational until mid-2027. Meta’s PPA now ensures that the plant will continue to run once that program ends, essentially replacing that financial support.
Though Constellation and Meta did not announce a price tag for the deal, they noted it “backs billions in plant investments,” marking one of the largest nuclear energy agreements so far.
Meta has signed a number of power purchase agreements in recent months — along with the other hyperscalers like Google (GOOG), Amazon (AMZN), Microsoft (MSFT) — as Big Tech races to ensure it can power the artificial intelligence boom.
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Deutsche Bank lifts S&P 500 year-end target amid Wall Street upgrade wave
Reuters reports:
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Dollar General stock jumps 10% after beating quarterly sales estimates
Shares in Dollar General (DG) rose 10% in premarket trading on Tuesday, after the retailer raised its annual sales forecast and beating quarterly sales estimates on robust demand for everyday essentials.
Reuters reports:
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Good morning. Here’s what’s happening today.
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The ‘Magnificent 7’ are outperforming other stocks again — here’s why
Yahoo Finance’s Josh Schafer reports:
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Trump’s tariffs are hurting the US and global economy, OECD warns
President Trump’s trade war has dragged the global economy into a downturn, with the US among those hardest hit, the OECD has warned.
Trade barriers and uncertainty are stifling investment and undermining confidence, the organization said on Tuesday as it slashed its forecasts for leading economies for the second time this year. Trump’s policy shift is also adding to inflationary pressures, it said.
The Financial Times reported:
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Oil rises as supply issues in major producers appear
Oil prices rose Monday evening as major producers Iran and Canada were struck with issues. Iran has an ongoing deal with the US in jeopardy over a potential pivot to nuclear while Canada is facing wildfires.
Reuters reports:
