UPS to Cut 20,000 Jobs as Nasdaq Dips

UPS announced plans to cut 20,000 jobs to lower costs, while the Nasdaq closed marginally lower and the S&P 500 edged into the green amid trade policy uncertainty. Investor sentiment remains fragile as General Motors pulled its 2025 outlook, and US consumer confidence fell to a nearly five-year low, with job openings also declining sharply. Meanwhile, China’s factory activity contracted at the fastest rate in 16 months, reflecting the intensifying impact of US tariffs.

Equities

The FTSE 100 rose 0.4% on Wednesday, with gains driven by healthcare and consumer stocks. Despite the day’s rally, the index still fell 1.4% in April, marking a second consecutive monthly decline. The FTSE 250 also added 0.4%, supported by strong updates from mid-cap companies and better sentiment after earlier losses tied to US trade policies.

Smith+Nephew climbed 5.8% after reaffirming its full-year outlook despite the potential impact of tariffs. GSK gained 3.6% following a statement that the company is well placed to manage trade-related disruptions and is maintaining its 2025 financial targets. Coca-Cola HBC rose 3.9% after reporting better-than-expected revenue for the first quarter. Genus surged 16.1% on news that US regulators have approved gene-edited pigs developed by the company for entry into the food supply chain.

Glencore dropped 7.4% after it reported a 30% fall in copper production for the first quarter, putting pressure on industrial metal miners, which were the weakest performing sector. The group cited operational challenges and lower output at key mines. Copper prices also slid more than 3%, compounding losses across the sector.

In the US, the Dow closed 0.35% higher and the S&P 500 edged up 0.15% following a late session rally, while the Nasdaq dipped 0.09%. All three indices had been sharply lower earlier in the session before rebounding in the final hour. First-quarter GDP data showed the US economy contracted by 0.3%, missing forecasts for modest growth and marking the first decline in three years.

The ADP employment report also came in weak, showing 62,000 private payroll additions versus a forecast of 115,000. Consumer spending, however, rose 0.7% in March, slightly above expectations.

Shares in Super Micro Computer fell 11.5% after the company cut its third-quarter forecast, citing delays in customer spending on AI infrastructure. Snap dropped 12.4% after declining to issue second-quarter guidance. In contrast, Microsoft rose nearly 6% in after-hours trading following strong earnings and upbeat AI-related revenue. Meta Platforms also advanced over 4% post-market after beating quarterly earnings expectations. Caterpillar, a Dow component, added 0.6% by the close despite a volatile session following weaker-than-expected results.

Forex & Commodities

The yen fell 0.8% to 144.23 against the US dollar on Thursday after the Bank of Japan left interest rates unchanged and cut its growth forecast for the 2025–26 fiscal year to 0.5% from 1.1%. The central bank cited the impact of US tariffs in its outlook. The euro dropped 0.4% to $1.1288 and sterling also slipped 0.4% to $1.3280, both hitting two-week lows as the dollar strengthened. The dollar index rose 0.4%, supported by a broad rebound after a weak April.

Gold prices fell sharply, with spot gold down 1.6% to $3,235.55 per ounce, its lowest level since mid-April. US gold futures dropped 2.3% to $3,243.30. The retreat followed easing trade tensions and stronger US economic data, which lessened demand for the metal as a safe-haven asset. Spot silver declined 1.5% to $32.10, platinum was down 1% to $957.33, while palladium edged up 0.2% to $939.74.

Oil prices remained under pressure, with Brent crude slipping 6 cents to $61 a barrel and West Texas Intermediate down 12 cents to $58.09, marking WTI’s lowest close since March 2021. Analysts flagged the risk of Brent falling to $55 amid weak demand and expectations that Saudi Arabia may increase supply. The US Energy Information Administration reported a 2.7 million barrel drop in crude stockpiles last week due to higher refinery activity and exports.