US stock futures held steady in early trading on Tuesday, following a strong rally in equity markets on Monday. The surge came after the United States and China reached a provisional agreement to significantly reduce tariffs on each other’s goods for a period of 90 days.
The temporary deal has provided a sense of relief to investors, who have been closely monitoring the protracted trade tensions between the world’s two largest economies. Under the terms of the agreement, both countries consented to pause the implementation of new tariffs and reduce existing duties as part of a broader effort to return to the negotiating table.
On Monday, major US indexes responded positively to the announcement. The Dow Jones Industrial Average jumped by more than 500 points, while the S&P 500 and Nasdaq Composite also posted significant gains, reflecting renewed optimism that the tariff freeze could pave the way for a more comprehensive trade resolution.
Market analysts caution, however, that while the tariff pause offers short-term stability, much remains uncertain. The 90-day window is expected to be used for renewed trade negotiations focusing on critical issues such as intellectual property rights, technology transfers, and market access.
Investors are now waiting for more detailed guidance from US officials on the trajectory of the talks and potential long-term outcomes. Any signs of progress—or setbacks—during this period are likely to influence market behavior in the coming weeks.
The flat movement in stock futures on Tuesday suggests that traders are adopting a wait-and-see approach amid cautious optimism regarding the temporary truce in US-China trade relations.
Source: https:// – Courtesy of the original publisher.
