Stock Market Today: Investors Optimistic About Tariff Relief

Stock Market – U.S. equities recovered Tuesday, with large tech stocks reclaiming some ground they had lost the day before and key indexes rising 2% or more.

U.S stock market Indexes rebound after starting the week with a hefty selloff

The White House’s confidence regarding tariff talks encouraged traders. According to persons familiar with the situation, Treasury Secretary Scott Bessent stated at an investor gathering that he thinks a deal can be struck and that he expects the trade war with China to de-escalate. Bloomberg first reported the news.

Despite further repercussions from the Trump administration’s tariffs, the recovery occurred. Huggies manufacturer Kimberly-Clark claimed a changing “global geopolitical landscape” was partially to blame for a lower profit estimate, while defence contractor RTX said it was preparing for a financial hit of $850 million.

The International Monetary Fund warned that tariffs were bringing in a new age of weaker growth, and it cut its predictions for the US and global economies.

David Solomon, the CEO of Goldman Sachs, stated that uncertainty was “too high,” delaying business decisions and maintaining pressure on asset prices. Additionally, the U.S. is expected to experience a recession later this year, according to the IIF, a trade body for the finance industry.

In contrast, gold fell after rising to a fresh all-time high of almost $3,500 per troy ounce early on Tuesday. The precious metal, which is sought after during uncertain and stressful times, has solidified its position as the clear victor of this month’s market turbulence caused by tariffs.

Market volatility on Monday was sparked by investors’ worries about President Trump’s trade war and his threats to fire Federal Reserve Chair Jerome Powell. Trump attacked Powell and restated his demand that the Fed lower interest rates.

In recent Stock market trading:

The Dow Jones Industrial Average climbed about 1,000 points, or 2.6%. The Nasdaq Composite rose 2.7%.
Treasury yields wavered. The 10-year fell below 4.4%.
The Cboe Volatility Index retreated to below 31. Wall Street’s “fear gauge” had jumped on Monday.
Bitcoin rose. The price of the cryptocurrency topped $90,000.
Overseas stocks were mixed. European benchmarks mostly rose. Hong Kong’s Hang Seng Index rose 0.8%, while Japan’s Nikkei 225 ticked lower.

Coming Up :

Earnings are due from Tesla after the close. Analysts expect the EV maker’s quarterly profit to fall from a year earlier.