S&P 500, Dow, Nasdaq Edge Highly with US and China’s reboot trade talk

New data from the New York Fed suggest that Americans are confident in the labor market despite widespread uncertainty about trade policies, interest rates and other unknowns clouding economic outlook.

According to New York Fed survey on consumer expectations for May 2025the perceived chance that the unemployment rate in the US would rise the following year fell 3.3 percentage points to 40.8%.

It’s a noticeable drop Because the workforce remains almost stable. However, this figure still surpasses the 12-month average of 37.7%, suggesting that attention has not completely disappeared.

Consumers also feel a little more secure in their role. The likelihood of losing a job the following year has dropped to a lowest level of 14.8% since the beginning of this year. At the same time, the expected smoking cessation rate, or the chance of voluntarily quitting your job, was a slightly higher rate of 18.3%.

Inflation expectations have also cooled down in May, reflecting improved labor market outlook just before the release of the Consumer Price Index (CPI) this Wednesday.