The Dow Jones Industrial Average climbed over 360 points on Tuesday as investors’ sentiment increased on the renewed hope of an international trade breakthrough.
Wall Street was flooded with optimism after Trump Administration officials indicated that an important trade agreement is close to being finalized. This boosted market momentum before this week’s crucial earnings for the tech sector.
Dow Jones jumped by 364 points or almost 1% to top all major indexes.
S&P 500 gained 0.7% in its sixth straight winning session, the longest since February.
The Nasdaq Composite gained 0.6% on the back of a rebound in technology shares, which had fallen earlier in day.
Trump Officials Signal Progress on Global Trade Deals
The markets were mostly flat in the morning session, but changed direction sharply after Howard Lutnick, Commerce Secretary, told CNBC: “I’ve got a deal, I have it done, I’ve done it, I did it, I just need their Prime Minister and their Parliament to approve, which I anticipate shortly.”
Lutnick refused to identify the country, but hinted at the closeness of the finalization.
The optimism was boosted later in the day by President Donald Trump, who said that US tariff negotiations were making significant progress with India.
Trump told reporters outside the White House, “I believe we will have an agreement with India.”
In a reference to the recent Indian visit by Prime Minister Narendra Modi to Washington, he emphasized both countries’ desire to conclude a bilateral trading agreement.
Treasury Secretary Scott Bessent confirmed further that the US is “very close to” a deal on India. He also noted ongoing talks with Japan and South Korea. This has fueled expectations for a deescalation of trade tensions in Asia.
Big Tech is in the spotlight as earnings season intensifies
Around one third of S&P500 companies are scheduled to release earnings this week.
Apple, Microsoft, Meta Platforms, and Amazon will all be reporting on Wednesday.
Amazon shares briefly fell earlier during the day after White House Press Secretary Karoline Laavitt called the rumored company plan to show tariff surcharges for its Amazon Haul platform a “hostile political act.”
Amazon clarified later that they had not such a plan and helped their stock to recover at the end of trading.
General Motors’ shares recovered from their earlier losses, after the company announced it was suspending share buybacks. It also reassessed its future guidance, until more clarity is gained on tariff effects.
Honeywell performs well after strong results
Honeywell’s shares soared by 5% following the announcement of better than expected quarterly earnings. This was due to strong performances in Honeywell’s aerospace and building technology divisions.
Dow Jones gained a boost from the positive results.
Volatility may continue to rise as markets process trade agreements and prepare for earnings of tech giants.
The post US Stocks Today: Dow rallys 364 Points as Wall Street cheers Tariff Deal Hopes and Earnings Optimism may be updated as new developments unfold.
