U.S. stock futures traded higher on Tuesday morning after President Donald Trump indicated plans to implement a 25% tariff on imports from Canada and Mexico starting February 1, 2025. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 (SPX) were up 0.20%, 0.25%, and 0.33%, respectively, at 3:40 a.m. EST, January 21.
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The U.S. stock market was closed on Monday in observance of Martin Luther King Jr. Day. The previous week marked the stock market’s best performance since the period following Trump’s election. The S&P 500 rose 2.9%, marking its biggest gain since early November. Further, the Dow moved higher by 3.7%, while the Nasdaq went up by 2.5%.
Meanwhile, in key news, President Trump has supported efforts to increase fossil fuel production to strengthen energy security. He also delayed the ban on TikTok, allowing more time for negotiations over its future in the U.S. Additionally, Bitcoin saw significant fluctuations, hitting new highs but experiencing a dip after Trump failed to mention cryptocurrencies in his inauguration speech.
On the corporate front, investors will be focused on earnings reports from Netflix (NFLX), United Airlines Holdings (UAL), Prologis (PLD), and 3M (MMM). Meanwhile, the U.S. 10-year treasury yield was down, floating near 4.568%. Simultaneously, WTI crude oil futures are trending lower, hovering near $76.98 per barrel as of the last check.
Elsewhere, European stocks opened mixed as markets reacted to President Trump’s first executive orders post-inauguration.
Asia-Pacific Markets Traded Mixed on Tuesday
Most of the Asia-Pacific indices were mixed today as investors stayed cautious after President Trump’s announcement of a 25% tariff on Canada and Mexico and the possibility of stricter tariffs on China.
On Tuesday, Hong Kong’s Hang Seng Index closed 0.91% higher, while China’s Shenzhen Component Index was up 0.48%. However, the Shanghai Composite Index was down 0.05%. Meanwhile, Japan’s Nikkei and Topix indices gained 0.32% and 0.082%, respectively.
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