San Francisco Frontiers - US stocks end at records as markets eye tariff deadline

US President Donald Trump cautioned that striking a deal with the European Union to reduce import tariffs will be a challenge. Trump has set an August 1 deadline for an accord.

"I would say that we have a 50/50 chance, maybe less than that, but a 50/50 chance of making a deal with the EU," Trump told reporters at the White House Friday.

But US investors have adopted an optimistic stance about further accords given Trump's record of suspending or delaying the most onerous tariffs. The S&P 500 finished at a fifth straight record and the tech-rich Nasdaq at a third straight record, capping an upbeat week.

Equity markets elsewhere were more subdued.

London, after a strong run on positive corporate news, finished slightly lower as did Frankfurt, while Paris closed just ahead after Asia lost ground.

"There is no unifying theme across financial markets this month -- instead markets are moving to the beat of their own drums," concluded Kathleen Brooks, research director at XTB.

Sentiment had been lifted earlier in the week by the announcement of a Japan-US deal, as well as signals that the EU could be closing in on its own accord with Washington.

The "momentum has not been kept up, and European stocks are weaker at the end of the week," noted Brooks.

The EU is still forging ahead with contingency plans in case talks fail, with member states approving a 93 billion-euro ($109 billion) package of retaliatory counter-tariffs.

With few positive catalysts to drive buying, Asian markets turned lower heading into the weekend.

Tokyo retreated after a two-day rally and Hong Kong declined following five days of gains. Shanghai was also down.

The dollar gained against major currencies, a reversal of the trend throughout much of 2025. The dollar fell the most in the first six months of 2025 since 1973.

Trump said Friday that a weaker dollar can boost exports and tourism.

"It doesn't sound good, but you make a hell of a lot more money with a weaker dollar, not a weak dollar, but a weaker dollar, than you do with a strong dollar," he told reporters at the White House.

In corporate news, German auto giant Volkswagen said US tariffs had cost it 1.3 billion euros ($1.5 billion) in the first half of the year as it reported falling profits.

After an initial drop, shares in the carmaker rose four percent in Frankfurt.

German sportswear maker Puma saw its shares tumble around 16 percent after slashing its sales forecast and warning of a full year loss.

Intel dropped 8.5 percent after reporting a $2.9 billion loss as it announced further cost-cutting initiatives. The company said it has cut about 15 percent of its workforce.

- Key figures at around 2030 GMT -

New York - Dow: UP 0.5 percent at 44,901.92 (close)

New York - S&P 500: UP 0.4 percent at 6,388.64 (close)

New York - Nasdaq Composite: UP 0.2 percent at 21,108.32 (close)

London - FTSE 100: DOWN 0.2 percent at 9,120.31 (close)

Paris - CAC 40: UP 0.2 percent at 7,834.58 (close)

Frankfurt - DAX: DOWN 0.3 percent at 24,217.50 (close)

Tokyo - Nikkei 225: DOWN 0.9 percent at 41,456.23 (close)

Hong Kong - Hang Seng Index: DOWN 1.1 percent at 25,388.35 (close)

Shanghai - Composite: DOWN 0.3 percent at 3,593.66 (close)

Dollar/yen: UP at 147.68 yen from 147.01 yen on Thursday

Euro/dollar: DOWN at $1.1738 from $1.1749

Pound/dollar: DOWN at $1.3431 from $1.3510

Euro/pound: UP at 87.40 pence from 86.97 pence

West Texas Intermediate: DOWN 1.3 percent at $65.16 per barrel

Brent North Sea Crude: DOWN 1.1 percent at $68.44 per barrel

U.Campbell--SFF