U.S. Services-Sector Activity Unexpectedly Contracts as Tariffs Raise Uncertainty

The Institute for Supply Management said that its purchasing managers' index for services providers fell to 49.9 in May, from 51.6 in April, in contrast to the small rise to 52.1 expected by economists polled by The Wall Street Journal.

----

Trump Megabill Would Expand Deficits by $2.4 Trillion, CBO Estimates

The number underlines Republicans' challenge in selling the measure as fiscally sound and comes as GOP senators are making demands with additional price tags.

----

Stocks End Mixed Amid Signs of Hiring Slowdown

Stocks closed mixed after President Trump renewed his call for a Federal Reserve rate cut in response to weaker-than-expected economic data.

----

U.S. economy stalled in May, Fed survey finds

The U.S. economy slowed to a crawl in May, with consumers pulling back on spending and businesses delaying hiring, according to the Federal Reserve's Beige Book survey released Wednesday.

----

Weakest ADP jobs report in two years points to hiring freeze tied to trade wars. Is the worst over?

Privately run businesses created just 37,000 new jobs in May - the smallest increase in more than two years - as the worst global trade wars since the 1930s spurred many firms to put a pause on hiring.

----

Canada to Hold Off on Retaliating in Response to Higher U.S. Metals Tariffs

Canada is going to wait before enacting any further retaliation against the U.S. over higher steel and aluminum tariffs because negotiators are in talks on a new bilateral economic-and-security deal, Prime Minister Mark Carney said.

----

75% of Companies Have Already Raised Prices in Response to Tariffs, Fed Survey Finds

A survey found that New York-area firms implemented these price increases fairly rapidly.

----

Bank of Canada Holds Rate Steady as Economy Softens, Inflation Accelerates

The Bank of Canada left its main interest rate unchanged, at 2.75%, saying the economy has softened but not deteriorated, and inflation has picked up steam.

----

Economists Raise Questions About Quality of U.S. Inflation Data

The Labor Department says staffing shortages reduced its ability to conduct its massive monthly survey, forcing it to turn to less precise guesses.

----

Trump Says Xi Is 'Extremely Hard to Make a Deal With.' A U.S.-China Call Is Critical.

Despite the harsh rhetoric, both countries need each other for now when it comes to trade.

----

Iran's Supreme Leader Rejects U.S. Nuclear Deal Offer

Ayatollah Ali Khamenei said America's initial proposal breached Tehran's principles of independence.

----

Saudi Arabia Trims Flagship Oil Selling Price to Asia

Saudi Arabia lowered the July price of its Arab Light crude for Asian buyers after OPEC+ decided to accelerate output hikes.

----

U.S. Crude Oil Stockpiles Fall More Than Expected

U.S. crude oil inventories fell by 4.3 million barrels, more than the estimated drop of 1.3 million barrels.

----

Senate Moves Closer to Confirming Michelle Bowman as Fed's Top Banking Regulator

Bowman, a Republican, has served as a Fed governor since 2018, occupying a seat designated by the Dodd-Frank Act for someone with community banking experience.

----

Global Investors Have a New Reason To Pull Back From U.S. Debt

After hedging currency risk, foreign investors no longer make money buying American bonds.

(END) Dow Jones Newswires

June 04, 2025 17:00 ET (21:00 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.