US inventory futures rose Sunday after President Donald Trump mentioned, “Don’t worry about China,” following a sell-off on Friday.
Dow futures have been up 0.8%, S&P 500 futures rose 1.04% and Nasdaq futures climbed 1.34%, as of 6:32 p.m. ET.
Stocks closed sharply lower on Friday after Trump threatened a further 100% tariff on Chinese items, slated to take impact on November 1. That would carry duties on imports from China to 130% — not far from the 145% charge imposed at the peak of the tariff warfare. The S&P 500 and Nasdaq posting their worst day since April. The Dow posted its worst day since May.
But on Sunday afternoon, Trump appeared to trace that he could not comply with by means of together with his tariff risk, posting on Truth Social that “it will all be fine!”
Trump informed reporters on Air Force 1 that China’s President Xi Jinping is “a great leader” they usually have “a great relationship.”
The feedback have been a shift from final week, when he mentioned China was “becoming very hostile” after Beijing on Thursday ramped up export restrictions on crucial uncommon earth minerals, that are used to supply client digital merchandise.
Beijing on Sunday threatened to impose countermeasures in opposition to the United States if Trump doesn’t again down from his tariff risk.
“China’s stance is consistent,” China’s commerce ministry mentioned Sunday in an announcement posted on-line. “We do not want a tariff war but we are not afraid of one.”
Another spherical of tit-for-tat tariffs would undo the progress made throughout months of conferences between Chinese and US officers. It’s unclear if Trump may again down from his tariff risk forward of the November 1 deadline, stirring uncertainty available in the market just like different tariff bulletins the place Trump has “chickened out.”
Speaking to reporters Sunday on Air Force One, Trump mentioned, “Let’s see what happens,” when requested concerning the November 1 deadline.
During an look on Fox News’ “The Sunday Briefing,” US Trade Representative Jamieson Greer mentioned that the US was “not notified” upfront of China’s elevated export restrictions, though a spokesperson for China’s commerce ministry mentioned that “relevant countries and regions” have been notified.