FX.co ★ US Stock Futures Jump on Tariff Talk Hopes

US stock futures experienced a notable rise on Tuesday after encountering three consecutive days of significant declines and increased volatility. This uptick was driven by optimism surrounding anticipated advancements in US tariff negotiations. S&P 500 futures saw an increase of 2.7%, the Dow Jones was set for a gain of 1,120 points or 3%, and Nasdaq futures rose by 2.4%. The rally followed Treasury Secretary Scott Bessent's announcement that approximately 70 countries had engaged with the White House to initiate discussions on tariffs. Bessent, in collaboration with US Trade Representative Jamieson Greer, plans to engage with Japanese officials, who are advocating for the removal of the 24% tariff on Japan. However, tensions between the US and China remain elevated, as Beijing has pledged to "fight to the end" in reaction to President Trump's threat of imposing new 50% tariffs if China's retaliatory actions are not promptly withdrawn. Looking ahead, investors are turning their attention to the forthcoming inflation data, which has the potential to influence expectations regarding the Federal Reserve's next interest rate decision.