#MarketRebound Stocks recover as U.S. Treasury Secretary says trade war with China is unsustainable
Treasury Secretary Scott Bessent told investors on Tuesday that the trade war between the United States and China is unsustainable and expects the battle to de-escalate, a person familiar with the matter confirmed to CNN, which gave a boost to a rally on Wall Street that had taken shape that morning.
The Dow Jones closed up 1,017 points, or 2.66%. The S&P 500 rose 2.51%, and the tech-heavy Nasdaq gained 2.71%. The rally helped the market recover Monday's losses when a major wave of selling hit Wall Street.
U.S. stocks generally rose on Tuesday as investors jumped into the market after Monday's sharp decline. Stocks extended their gains by midday after Bessent announced to investors at a closed-door event hosted by JPMorgan Chase that he expects a de-escalation in the trade dispute with China. Bloomberg was the first to report on the event.