Tariff war temporarily suspended, market confidence rebounds
On February 4, the Trump administration initially announced tariffs on Canada, Mexico, and China, shocking global financial markets. But on Monday, Trump said that tariffs on Mexico and Canada would be suspended for one month, and the market became more playful.
After the tariffs were suspended, U.S. stocks rebounded sharply during the session, with the Dow Jones Industrial Average closing down 0.28%, the S&P 500 down 0.7%, and the Nasdaq down 1.2% (it had fallen more than 2% in the morning). Among large technology stocks, Tesla closed down 5.17%, Nvidia fell 2.84%, and Meta closed up 1.2% to a new high.
After the crypto market plummeted yesterday, it rebounded strongly today as the risk of the tariff war decreased. Bitcoin continued to rise, reaching $102,500 in the early morning. Ethereum returned to around $2,900, and the copycat market also rebounded collectively.
In terms of foreign exchange bulk, the dollar's gains narrowed to 0.6%; oil prices turned up after fluctuations; gold rose as high as 1.1% to $2,830 due to high risk aversion, setting a record high.
The temporary suspension of the tariff war has given the market a slight sigh of relief, but this week is a busy earnings season for US stocks, with more than 1/5 of S&P components releasing earnings reports, and the US unemployment rate and non-farm payrolls data for January to be released on Friday.
