Trump Tariffs Ignite Again... Wall Street on Edge [New York Stock Market Weekly Outlook]

Korea Economic Daily

Summary

As President Trump has proposed imposing a 50% tariff on European Union goods, attention is focused on the outcome of the tariff negotiations.
The April PCE inflation indicator is scheduled to be announced, which could significantly impact the New York Stock Exchange.
The earnings announcements of major companies, including Nvidia, are expected to be important variables affecting the New York Stock Exchange.

This Week's New York Stock Market Focuses on US-EU Tariff Negotiations

April PCE Announcement Ahead

The biggest events on the New York Stock Exchange this week (26th-30th, local time) include U.S. President Donald Trump's trade policy, inflation indicators, and Nvidia's earnings announcement. President Trump has proposed imposing a 50% tariff on European Union (EU) goods starting in June. He also hinted at a 25% tariff on smartphones from Apple and Samsung Electronics starting in June. The outcome of the tariff negotiations is expected to change depending on what alternatives the EU and each company propose to the Trump administration.

The U.S. Personal Consumption Expenditure (PCE) price index, to be released on the 30th, is also noteworthy. The PCE price is the most important inflation indicator for the U.S. Federal Reserve (Fed). The March PCE price recorded 0.0% change from the previous month. The core PCE price, excluding volatile food and energy, was also flat. Experts predicted that both the April PCE price and core PCE would have risen by 0.1% compared to March. The minutes of the Federal Open Market Committee (FOMC) will be released on the 28th.

As concerns about unemployment and inflation emerged simultaneously at the FOMC held earlier this month, attention is focused on the details. On the 29th, the preliminary U.S. GDP for the first quarter of this year will be announced. The U.S. releases GDP results three times: preliminary, provisional, and final. The preliminary figure announced on April 30 showed a 0.3% decrease on an annualized basis compared to the previous quarter.

Major corporate earnings announcements include Nvidia. Nvidia will release its first-quarter earnings for the fiscal year 2026 (February-April) after the market closes on the 28th. Other companies such as Hewlett-Packard (HP), Salesforce (28th), Costco, and Dell Technologies (29th) will also announce their earnings. Meanwhile, the market will be closed on the 26th for Memorial Day.

New York = Park Shin-young, Correspondent nyusos@hankyung.com