US-China Deal Lifts Wall Street, Bitcoin Futures Amid Tariff Cuts

• Dow Jones rises 400 points on US-China tariff relief
• Scott Bessent cites substantial progress in trade talks
• Trump reinforces optimism about possible tariff cuts

Major U.S. stock futures rose late Sunday, buoyed by progress in trade negotiations between Washington and Beijing. Treasury Secretary Scott Bessent said there had been “substantial progress” in talks in Switzerland, rekindling hopes of a possible easing of bilateral tariffs.

The Dow Jones Industrial Average rose more than 400 points, equivalent to a 1% increase. The S&P 500 rose 1,2%, while the Nasdaq 100 led the gains with a 1,6% increase.

Bitcoin responded modestly but positively to the announcement of a major trade deal between the United States and China, with its price rising to $105, up 1% on the day. The price of Bitcoin is now trading steady near $104, with no gains on the day.

The market's optimism comes after a negative week for stocks, in which the three main indexes ended in the red, reflecting inflationary pressures aggravated by high tariffs on products imported from China.

Bessent said more details on the terms of the negotiations would be released soon. “I am pleased to report that we have made substantial progress between the United States and China in the very important trade negotiations,” he told a news conference in Geneva. Chinese Vice Premier He Lifeng called the outcome “an important first step.”

The 145% tariffs applied by the US on Chinese imports had been responded to by Beijing with retaliatory measures of up to 125%, directly affecting domestic consumption and increasing inflation fears. With the signaling of a possible easing of these restrictions, the market reacted enthusiastically.

US President Donald Trump reinforced the positive sentiment by posting: “BIG PROGRESS MADE!” on his social media. He also suggested the possibility of reviewing existing tariffs, as well as mentioning new trade agreements in the works, including a pact with the United Kingdom for exports of US agricultural and energy products.

With that, investors see signs that trade tensions may begin to dissipate, fueling a more optimistic outlook for financial markets in the short term.