S&P 500 futures rose 0.5% after Lutnick said trade talks with China are going well
Commerce Secretary Howard Lutnick said trade talks with China are going on well.
“(Talks went on) all day yesterday, and I expect (them) all day today,” Lutnick told reporters. “They’re going well, and we’re spending lots of time together.”
S&P 500 futures rose 0.5% while Nasdaq composite gained 0.6% following the report.
US and China trade representatives reached an agreement to keep trade talks back on track
US and China trade representatives said they reached an agreement on how to keep trade talks back on track and will now seek approval from Trump and Xi.
“We have reached a framework to implement the Geneva consensus and the call between the two presidents,” U.S. Commerce Secretary Howard Lutnick told reporters.
Restrictions on rare-earth exports to the US and exports of advanced tech to China were the major points of contentions.
Trump said trade deal with China is done, subject to Xi’s approval
Trump said trade deal with China is done, subject to Xi’s approval and that US is getting 55% while China is getting 10%.
Citing the White House, Bloomberg said the 55% tariff on China includes a 10% baseline duty, a 20% charge tied to fentanyl trafficking and roughly 25% preexisting tariff.
US and China trade representatives agreed yesterday to revive the terms of a deal entered in Geneva last month that included a 90-day pause on the high tariffs that the two nations had imposed on each other.
It’s unclear whether the 90-day pause still holds.
Trump opens to extending deadline for nations to cut trade deals with the US, said he will send letters to them in two to three weeks setting unilateral tariff rate
Trump said he will be sending letters to trading partners in the next two to three weeks setting the unilateral trade tariff rate.
“At a certain point, we’re just going to send letters out. And I think you understand that, saying this is the deal, you can take it or leave it,” Trump told reporters.
It’s unclear whether Trump will follow through with his pledge since he previously said so only for the tariffs to come later or not at all.
He said he would be open to extending deadline for trade partners to cut deals with his administration.
Trump’s 90-day pause (announced on April 19) on reciprocal tariffs is set to end in less than a month.
Lutnick said trade negotiations with the EU is still progressing slowly
Commerce Secretary Howard Lutnick said trade deal with the EU is likely to be among the last deals that the administration completes.
He said negotiations with the EU intensified after Trump threatened a 50% tariff-which he delayed until July 9 to allow negotiations to continue but are still progressing slower than others.
“I’m optimistic that we can get there with Europe. But Europe will be probably the very, very end,” Lutnick said on CNBC.
Trump touts increasing tariffs on automakers to speed up US investments
“I might go up with that tariff in the not too distant future,” Trump said at a White House event. “The higher you go, the more likely it is they build a plant here.”
A 25% tariff on autos is currently in place, but there’s relief for automakers who carry out final assembly in the US.
EU officials are increasingly resigned to a 10% baseline US tariff
China and US have finalized the Geneva-origin trade framework that led to the reduction of tariffs on China to 55%
DAX rose 1.6% on report that EU and US is confident of reaching a deal before the July 9 deadline
European Commission President Ursula von der Leyen told EU leaders that she’s confident EU and US can strike a deal before the July 9 deadline, Bloomberg reported citing people familiar with the matter.
US plans to impose 50% tariff on almost all EU imports if a deal is not reached by July 9.
US Commerce Secretary Howard Lutnick said in a Bloomberg interview that EU had picked up the pace of the negotiations in recent weeks.
“Europe has done an excellent job, they’re working hard,” Lutnick said. “I’m optimistic — I think we can get a deal now.”
DAX rose 1.6% following the report.
Volkswagen shares are up 3.0%…
