U.S., China Agree to Large Tariff Cuts
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The S&P 500 climbed by 2.8% on Monday, May 12, 2025 as investors reviewed the trade deal between the U.S. and China that significantly reduces tariffs for 90 days as negotiations continue.
US stocks surged on Monday after President Donald Trump’s top trade officials brokered a surprisingly dramatic de-escalation in trade tensions with China over the weekend, dropping tariffs to much lower levels,
The 90-day pause is a major de-escalation in the tariff war and comes after talks between both countries in Geneva.
US stock futures surged even higher on Monday after the US and ... the two sides had reached a deal for a 90-day pause in measures that would see tit-for-tat tariffs cut by 115%.
Stock futures rose Sunday after Treasury Secretary Scott Bessent said “substantial progress” was made in trade negotiations with Chinese officials, potentially thawing tensions kickstarted by Trump’s escalating tariff policy.