FX.co ★ Wall Street Rises on Trade Hopes

U.S. stock markets experienced a positive close on Wednesday, with the S&P 500 rising by 1.7%, the Nasdaq increasing by 2.5%, and the Dow Jones Industrial Average ascending by 419 points. This upward movement was fueled by a reduction in U.S.-China trade tensions and President Trump's statement affirming that Federal Reserve Chair Jerome Powell's position remains secure. However, the three major indexes retreated from their peak levels as skepticism emerged regarding the actual proximity of a trade resolution. Treasury Secretary Bessent highlighted that President Trump has not proposed a unilateral reduction in tariffs and that discussions with China have not commenced, which tempered initial optimism. This clarification came after the President implied potential changes to the current 145% tariff rates. Meanwhile, Trump's revised stance on Powell offered reassurance concerning the Federal Reserve's autonomy. Tesla shares experienced a 5.4% increase following CEO Elon Musk's announcement that he would substantially reduce his involvement in government affairs to focus more on his business ventures. Boeing shares also climbed by 6.1%, buoyed by better figures in aircraft deliveries.