US stocks climbed on Tuesday after Donald Trump postponed his planned 50% tariffs on European Union imports, easing trade tensions and boosting market confidence.
“The negotiating style of President Trump is known by now,” said Joe Saluzzi, co-head of equity trading at Themis Trading. “It will come at you hard, and then they’ll be able to pull back a little bit.”
Global markets were mostly higher, with US and UK equities seeing the most substantial gains as traders returned from long holiday weekends.
In New York, the Dow Jones Industrial Average rose 1.1%, the S&P 500 gained 1.5%, and the tech-heavy Nasdaq jumped 2%. In London, the FTSE 100 climbed 0.9% while the FTSE 250 advanced 1.2%.
Major US tech and growth stocks led the rally, with Nvidia up nearly 2.9% ahead of its closely watched earnings report, due after the market closes on Wednesday.
Posting on his Truth Social account this morning, US President Donald Trump said the European Union has reached out to schedule talks on a potential trade agreement.
Trump wrote:
I was extremely satisfied with the 50% Tariff allotment on the European Union, especially since they were “slow walking (to put it mildly!), our negotiations with them. Remember, I am empowered to “SET A DEAL” for Trade into the United States if we are unable to make a deal, or are treated unfairly. I have just been informed that the E.U. has called to quickly establish meeting dates.
This is a positive event, and I hope that they will, FINALLY, like my same demand to China, open up the European Nations for Trade with the United States of America. They will BOTH be very happy, and successful, if they do!!!
