Stocks Surge Higher on Hopes for Potential Tariff Deals

Turnaround Tuesday? It looks that way for Wall Street, with the S&P 500, Nasdaq, and Dow Jones reversing course after the punishing days of declines, all jumping more than 3.40% in early morning trading, following news President Trump has been negotiating with dozens of countries on his new tariff policy. A number of major entertainment and media companies, including Disney and Netflix, are riding that momentum towards decent gains, following a few brutal days for the market.

Treasury Secretary Scott Bessent, Politico reported after the markets closed on Monday, has encouraged the president to use the tariffs as leverage to negotiate “favorable trade deals” with other countries.

“You’re not going to abandon the policy, but you have to talk about negotiating and what the endgame is,” was Bessent’s message to the president, an unnamed source told Politico.

Within a half hour of the markets opening on Tuesday, President Trump shared a Truth Social post saying he had a “great call” with South Korea that led to the “confines and probability of a great DEAL for both countries.”

“Their top TEAM is on a plane heading to the U.S., and things are looking good,” President Trump said. “We are likewise dealing with many other countries, all of whom want to make a deal with the United States. Like with South Korea, we are bringing up other subjects that are not covered by Trade and Tariffs, and getting them negotiated also.”

The president added China wanted to “badly” make a deal, “but they don’t know how to get it started. We are waiting for their call. It will happen. GOD BLESS THE USA.”

President Trump also shared a video interview of Bessent of telling Fox News on Monday evening that his administration was negotiating with about 70 countries.

The news on potential deals looks to have given investors confidence to buy on Tuesday morning. Several companies that have been hard hit in the past week were in the green, thirty minutes into trading on Tuesday, including:

Apple: +2.77%

Roku: +6.90%

Meta: +5.17%

Google: +2.98%

Comcast: +1.54%

Netflix: +5.20%

Disney: 3.87%

WB Discovery: +2.35%

Those gains are a welcome sight for many investors, after the markets took a pummeling in the few days after Trump announced his “liberation day” tariff plan last week. Apple, in particular, was hard hit, with the world’s most valuable company seeing $800 billion shaved from its valuation in the three trading sessions heading into Monday.

The markets saw $5.4 trillion in value evaporate last week, with Friday’s sell-off marking the biggest single-day decline for the S&P 500 and Dow since COVID-19 rocked the market in March 2020, while the Nasdaq suffered its biggest single-day hit since 2020 on Thursday.

Monday, meanwhile, likely gave some investors whiplash, after the markets dropped several percentage points to start the day, before a bogus rumor that President Trump was considering a 90-day pause on his new tariff plan helped send the market raising higher; ultimately, the S&P 500 and Dow Jones posted a small decline on the day, while the Nasdaq closed barely in the green.

It will be worth seeing if any deals are made on Tuesday — and if that could potentially send the markets shooting even higher than the nice boost they started the day off with.

“We’re going to get fair deals and good deals with every country, and if we don’t, then we’re going to have nothing to do with them,” President Trump said on Monday at the White House.

The post Stocks Surge Higher on Hopes for Potential Tariff Deals appeared first on TheWrap.