June 3 (Reuters) - U.S. stock indexes edged higher on Tuesday, helped by gains in Nvidia and other chipmakers, as investors awaited possible negotiations between the United States and its trading partners for more clarity on Washington's tariff plans.
President Donald Trump and Chinese leader Xi Jinping are set to speak this week, the White House said on Monday, days after Trump accused China of violating an agreement to roll back tariffs and trade restrictions.
The Trump administration wants countries to provide their best offer on trade negotiations by Wednesday as officials seek to accelerate talks with multiple partners ahead of a self-imposed deadline in just five weeks, according to a draft letter to negotiating partners seen by Reuters.
Trump said last week he planned to double tariffs on imported steel and aluminum to 50% starting on Wednesday, fueling fresh concerns among investors and hampering global stocks as they approached record highs.
A softening of Trump's harsh trade stance allowed a recovery in risky assets in May, with the benchmark S&P 500 (.SPX), and the tech-heavy Nasdaq (.IXIC), posting their biggest monthly percentage gain since November 2023.
The S&P 500 remains less than 4% away from its record peak touched in February.
"The markets are still trading with a decent level of uncertainty because they're not sure how everything's going to turn out," said Chris Zaccarelli, chief investment officer at Northlight Asset Management.
"Having a best and final offer deadline and a framework to move forward should be positive for the markets."
At 10:40 a.m. the Dow Jones Industrial Average (.DJI), rose 10.40 points, or 0.02%, to 42,315.12, the S&P 500 (.SPX), gained 10.39 points, or 0.17%, to 5,946.18 and the Nasdaq Composite (.IXIC), gained 87.28 points, or 0.46%, to 19,330.74.
Six of the 11 major S&P 500 sub-sectors fell. Communication services (.SPLRCL), declined the most with a nearly 0.7% fall.
On the flip side, information technology stocks (.SPLRCT), led gains with a 0.8% rise, helped by a 2.7% rise in Nvidia (NVDA.O), opens new tab. Chipmaker Broadcom (AVGO.O), rose 2.1% ahead of its results later this week.
Constellation Energy (CEG.O), rose 2.9% after Meta Platforms (META.O), said it had struck a power agreement with the utility's nuclear plant.
It lifted other nuclear stocks such as Vistra Corp (VST.N), up 4.4%, GE Vernova (GEV.N), up 1.8%, and NuScale Power (SMR.N), up 2.1%.
A U.S. Labor Department report showed job openings increased in April, but layoffs picked up, signaling a slowing labor market as tariffs impact the economic outlook.
Central bank officials including Fed Board Governor Lisa Cook, Chicago Fed President Austan Goolsbee and Dallas President Lorie Logan are due to speak through the day.
Monthly jobs data on Friday will offer more signs on how trade uncertainty is affecting the world's biggest economy.
Pinterest (PINS.N), rose 4.7% after J.P.Morgan raised its rating to "overweight" from "neutral".
Dollar General (DG.N), jumped 12.9% as the discount retailer raised its annual sales forecast after surpassing quarterly sales expectations.
Advancing issues outnumbered decliners by a 1.61-to-1 ratio on the NYSE and by a 1.67-to-1 ratio on the Nasdaq.
The S&P 500 posted 24 new 52-week highs and 4 new lows while the Nasdaq Composite recorded 66 new highs and 41 new lows.
Reporting by Kanchana Chakravarty and Sukriti Gupta in Bengaluru; Editing by Devika Syamnath
