Market Rally Following US-China Tariff Agreement

In a significant move to ease trade tensions, the US and China have announced a temporary reduction in tariffs, leading to a surge in US stock markets at the opening bell. The Dow Jones Industrial Average jumped 2.60%, or 1,071 points, while the Nasdaq 100 soared 3.70%. This development has injected optimism among investors, with major companies like Amazon.com Inc. and Stanley Black and Decker Inc. seeing substantial gains.

Impact on Currency and Commodities

The euro fell 1.11% against the dollar, trading at $1.11237, as the market reacted to the news. Meanwhile, gold prices experienced a drop, reflecting the shifting investor sentiment towards riskier assets.

Future Negotiations on the Horizon

Treasury Secretary Scott Bessent hinted at further discussions between the two economic powerhouses in the coming weeks, suggesting that this agreement could be the first step towards a more comprehensive trade deal.