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Nasdaq hits record high, lifted by Tesla

Jun 13, 2018, 01:36 IST

A man walks past a mural depicting North Korean leader Kim Jong Un, Monday, June 11, 2018, in Los Angeles. President Donald Trump and Kim came together for a momentous summit Tuesday that could determine historic peace or raise the specter of a growing nuclear threat, with Trump pledging that &quotworking together we will get it taken care of."AP/Jae C. Hong

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Tesla led the Nasdaq composite to a record-high at 7,703.63 on Tuesday. Other indexes were little changed after a historic US-North Korea summit in Singapore. The 10-year Treasury yield and the dollar climbed as the Federal Reserve began its two-day policy meeting. Gold retreated below the key level of $1,300 an ounce.

Here's the scoreboard:

Dow Jones industrial average: 25,320.49 −1.82 (unch)

S&P 500: 2,783.17 +1.17 (unch)

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  1. President Donald Trump met with North Korea's Kim Jong Un. A joint statement signed by the two leaders vows Pyongyang will "work toward complete denuclearization." And in a concession that shocked the international community and seems to be at odds with US defense officials, Trump said the US will halt joint military drills with South Korea.
  2. Consumer prices in the US rose last month at the fastest pace in six years. The Labor Department reported consumer prices rose 2.8% year-over-year in May, a rate not seen since February 2012. The data comes ahead of the Fed's rate announcement Wednesday.
  3. The US federal budget deficit was steeper-than-expected in May. The deficit grew to $147 billion last month, according to a Treasury Department report, amid recent tax and spending legislation that left government revenue down and expenditures up.
  4. Tesla is planning to lay off 3,000 salaried employees, or 9% of its total staff. Shares of the electric-car market slid off session highs after Elektrotek first reported the restructuring plan. They finished up 3.2%.
  5. A federal judge is set to rule on whether AT&T can buy Time Warner. The US Department of Justice filed a lawsuit against the telecom giant last year in efforts to block the merger, which critics say would harm competition.

And here is the upcoming economic calendar:

  • The Federal Reserve announces US rate decisions.
  • China reports industrial output.
  • Australian employment data cross the wire.
  • Inflation numbers are out in the UK and Switzerland.

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