According to BlockBeats, the U.S. stock market is experiencing a significant rebound following the recent high-level trade discussions between China and the United States, which have reached important agreements. This development has led to a trading atmosphere reminiscent of U.S. President Donald Trump's 'Liberation Day' impact. Futures indicate that the S&P 500 Index is set to rise nearly 4% at the opening, potentially surpassing its levels from April 2. The Nasdaq 100 Index is also expected to re-enter a bull market.
Traders are reducing their bets on the extent of interest rate cuts by major central banks this year. Swap contracts linked to the Federal Reserve meetings now suggest a 25 basis point rate cut in September, whereas last week, these contracts implied a policy change as early as July. However, some investors express concerns over the lack of details in the agreement announced on Monday and the risk of renewed conflicts.
Resolving complex trade disputes within three months is considered challenging, and the objectives at the end of the easing period remain unclear. When asked about preventing tariff increases after the 90-day grace period, Treasury Secretary Scott Bessent mentioned the possibility of further extensions.
Alex
