Stock market indices had a large rebound Tuesday morning on hopes of the president making trade deals with foreign nations, but much of those gains dissipated by afternoon.
The Trump administration said that dozens of countries were clamoring for trade deals after President Donald Trump announced an across-the-board 10% tariff and even higher tariffs for numerous nations on Wednesday. The stock market lost significant value and rebounded Tuesday.
‘By afternoon, the Dow was only up 0.51% and both the S&P and Nasdaq had veered into negative territory.’
“If they come to the table with solid proposals, I think we can end up with some good deals,” said Treasury Secretary Scott Bessent on Tuesday. “And part of the calculus of that may be that some part of the tariffs stay on.”
The Dow Jones Industrial Average opened the day with an increase of about 862 points, or about 2.2%.
The S&P index opened with an increase of about 131 points, or 2.6%, while the Nasdaq opened with 578 points, or 3.7%.
But by afternoon, the Dow was only up 0.51% and both the S&P and Nasdaq had veered into negative territory.
China will be the hardest hit country after Trump announced a massive new tariff in response to the nation’s retaliatory 34% tariffs. The communist-ruled country will face a tariff of 104% on products imported to the U.S. beginning midnight Tuesday evening.
Trump raised eyebrows when he reposted a video claiming that he was crashing the stock market intentionally, but when asked by reporters about the video, he rejected that interpretation of his policies.
Commerce Secretary Howard Lutnick responded to concerns about the stock market by saying that the realignment was necessary in order to end globalism and bring back manufacturing jobs to the U.S.
“All of our semiconductors are made overseas. Every button we press when we try to start our car or even use our microwave, these are all semiconductors. They’re all made elsewhere,” he said Sunday. “We got to start to protect ourselves, and we got to stop having all the countries of the world ripping us off.”
Like Blaze News? Bypass the censors, sign up for our newsletters, and get stories like this direct to your inbox. Sign up here!
Read the full article here
