Trump Delays Steep Tariffs on E.U., Stocks Rocket
Stocks rose Tuesday after President Donald Trump said over the holiday weekend that he agreed to delay tariffs of 50% on the European Union.
The Dow Jones Industrials sprang 624.22 points, or 1.5%, to 42,227.29.
The S&P 500 revived 102.12 points, or 1.8%, to 5,904.94
The NASDAQ Composite popped 405.83 points, or 2.2%, to 19,143.04.
Trump on Sunday said that he would push back the 50% levy deadline on the EU to July 9 following a request from Ursula von der Leyen, the president of the European Commission. That comes after Trump last week proposed an import tax of 50% on the EU beginning June 1.
Tesla shares popped 4% after CEO Elon Musk said he was shifting his focus away from politics and back into his companies. Other tech-related names were also higher, including Nvidia, AMD, Apple and Microsoft.
Traders this week will follow earnings from Okta due after the bell Tuesday, followed by companies such as Nvidia, Macy’s and Costco later in the week. More than 95% of S&P 500 companies have reported this earnings season and almost 78% have surpassed analyst expectations.
Prices for the 10-year Treasury were higher to open a short week Tuesday, lowering yields to 4.44% from Friday’s 4.51%. Treasury prices and yields move in opposite directions.
Oil prices retreated $1.04 to $60.49 U.S. a barrel.
Prices for gold fell $73.80 to $3,292.30.
