On June 2, 2025, Wall Street concluded a mixed week with minimal changes in major indexes following a series of earnings reports from various companies navigating the complexities of U.S. tariffs.

The S&P 500 finished nearly flat, registering a decline of less than 0.1%.

The Dow Jones Industrial Average gained 54 points, or 0.1%, while the Nasdaq composite dipped by 0.3%.

Futures suggest a slight rise in the Australian sharemarket, indicating an anticipated gain of 8 points, or 0.1%, at the opening on Saturday.

Gap Inc. negatively impacted market performance even as it reported profits and revenue surpassing analysts' expectations.

The retailer, which owns brands such as Banana Republic and Old Navy, saw its shares fall 20.2% due to expectations that tariffs on imports could increase costs by up to $300 million this fiscal year.

The company has indicated strategies to mitigate approximately half of that potential cost affecting its profit margins.

Investor sentiment on Wall Street has been heavily influenced by ongoing discussions regarding tariffs established under former President Donald Trump's administration.

These tariffs have raised concerns about potential economic recession, decreased corporate profits, and increasing challenges for households grappling with inflation.

Following a pause on tariffs against China and the European Union earlier in the week, many thought the worst might be over, contributing to a stock rally.

However, a U.S. court ruling that blocked many of Trump’s extensive tariffs also left uncertainty regarding future trade policies, as the administration appeals the ruling.

Trump's comments that China has failed to adhere to the terms of the tariff truce prior to the market opening on Friday momentarily disturbed investor confidence.

However, futures for U.S. stock indexes quickly adjusted losses after the comments.

Nvidia's share price decreased by 2.9%, significantly dragging down the S&P 500, while Ulta Beauty's stock surged 11.8% after exceeding sales and profit projections and adjusting its revenue forecast upward.

Costco also reported gains, with its stock rising 3.1% following positive quarterly results.

Meanwhile, Red Robin Gourmet Burgers saw a monumental increase of 62.9% in its share price after unexpectedly reporting a profit for the quarter, while SharpLink Gaming’s shares fell 3.2%, despite an overall increase of 1041.4% during the week, prompted by its plans to raise $425 million to invest in cryptocurrency.

Overall, the S&P 500 slightly declined to 5,911.69 points, while the Dow Jones Industrial Average rose to 42,270.07, and the Nasdaq composite fell to 19,113.77 points.

In the bond market, Treasury yields saw a slight decrease following inflation data from April that fell short of economists' expectations.

Consumer sentiment, as reported by the University of Michigan, showed improvement in May, suggesting that consumers felt more optimistic than earlier predictions following the tariff pause.

The Federal Reserve has maintained a steady borrowing rate thus far in 2025, as officials continue to assess the impact of tariffs on economic inflation before making further decisions.

The yield on the 10-year Treasury eased to 4.39%, while the two-year yield slipped to 3.9%.

Internationally, European markets displayed mixed results, while Asian markets experienced declines.