Trump and Musk reassure traders

The most recent CNBC All-America Financial Survey discovered that Individuals’ opinion of how U.S. President Donald Trump is managing the economic system has plunged: For the primary time since he entered the White Home, extra respondents disapprove than approve of the president on the economic system.

Tesla CEO Elon Musk, who has been a major contributor to the Trump administration, has additionally seen a decline in his and his firm’s reputations. Greater than 47% of the American public view Tesla negatively, based on the identical survey, in contrast with simply 10% for Basic Motors. As for Musk himself, round half of the respondents see him in a disapproving mild.

Markets, nevertheless, are open-minded and infrequently react nearly instantaneously to any optimistic adjustments. On Tuesday, Trump’s denial that he needs to kick Federal Reserve Chair Jerome Powell out of workplace, and Musk’s clarification that he will probably be spending much less time in Washington, D.C., have been sufficient to ship inventory indexes and Tesla shares greater — although the electrical car firm’s first-quarter earnings missed expectations.

Although Cassio in Shakespeare’s play Othello describes repute as “the immortal half” of himself, within the markets, the barometer for character tends to be extra forgiving.

‘No intention’ of firing Powell: Trump
U.S. President Donald Trump has “no intention” of firing Federal Reserve Chair Jerome Powell, he instructed reporters on Tuesday. “None by any means,” Trump stated within the Oval Workplace when requested to make clear that he didn’t search Powell’s removing. “By no means did.” That stated, the president added that he “wish to see [Powell] be a bit of extra energetic by way of his thought to decrease rates of interest.”

‘De-escalation’ in U.S.-China commerce conflict
Treasury Secretary Scott Bessent stated in a closed-door assembly Tuesday he expects “there will probably be a de-escalation” in Trump’s commerce conflict with China within the “very close to future,” an individual within the room instructed CNBC. Negotiating with China is more likely to be “a slog,” Bessent stated at a non-public investor summit hosted by JPMorgan Chase, however added that neither facet “thinks the established order is sustainable.”

Markets bounce on promising information
U.S. markets rallied Tuesday on optimism after Trump backed off from his assaults on Powell and andBesent’s feedback on commerce negotiations with China. The S&P 500 rose 2.51%, the Dow Jones Industrial Common gained 2.66% and the Nasdaq Composite added 2.71%. The pan-European Stoxx 600 index climbed 0.25%. European Central Financial institution President Christine Lagarde instructed CNBC the disinflation course of within the euro zone was “nearing completion.” March’s inflation studying was 2.2%.

Tesla’s earnings fall quick
Tesla reported Tuesday first-quarter income and earnings that missed expectations. Whole income slid 9% to $19.34 billion from $21.3 billion a 12 months earlier. Web earnings plummeted 71% to $409 million, or 12 cents a share, from $1.39 billion or 41 cents a 12 months in the past. Analysts have been anticipating a income of $21.11 billion and a revenue of 39 cents a share, based on LSEG information.

Musk says he’ll spend much less time at DOGE
Regardless of Tesla’s disappointing earnings, which it introduced after the bell, its shares popped greater than 5% in prolonged buying and selling. Traders may very well be cheering CEO Elon Musk’s assertion that his time spent operating Trump’s Division of Authorities Effectivity will drop “considerably” beginning in Could. As of Monday, Tesla shares have been down 44% for the 12 months, producing $11.5 billion in mark-to-market earnings for Tesla shorts in 2025.

[PRO] Protected-haven forex amid flight from U.S.
Because the U.S. greenback slides and the inventory market whipsaws, traders are piling into one safe-haven forex. An exchange-traded fund linked to it has surged 8% in April, bringing its 2025 beneficial properties to 11%. Paul Feinstein, Audent World Asset Administration CEO, referred to as the forex “one of the vital enduring secure havens.”  

Chinese language freight ship visitors to busiest U.S. ports sees steep drop

The pullback in commerce between the U.S. and China on account of President Trump’s steep tariffs on Chinese language items and fears of a recession are beginning to present up in main ports information, with a steep drop in container vessel visitors headed to Los Angeles and Lengthy Seaside.

For the week ending Could 3, the variety of freight vessels leaving China and headed to the Southern California ports, the principle U.S. ports receiving Chinese language freight and different Asian commerce, is down 29% week over week, based on Port Optimizer, a monitoring system for ships. Yr over 12 months, the info exhibits a 44% drop in vessels scheduled to reach the week of Could 4-10.

Moreover, the fallout from the ocean freight slowdown is starting to hit floor transport linked to ports.