Stock market sees major boost over China-US trade truce

The stock market on Monday closed with major increases after the United States and China struck a 90-day truce on their tariffs.

U.S. Trade Representative Jamieson Greer, President Donald Trump and Treasury Secretary Scott Bessent announced the truce, which was reached over the weekend, stating the U.S. agreed to lower its 145% tariff rate on Chinese goods down to 30%, while China agreed to lower its tariff rate on U.S. goods from 125% to 10%.

The Dow Jones Industrial Average ended its day with a 1,160 point (2.81%) gain, while the Nasdaq Composite closed with a 4.35% boost and the S&P 500 closed with a 3.26% increase. 

The Dow Jones saw a 1,000 point boost last month after Bessent teased a thaw in the U.S.-China relationship, but it suffered a 900-point drop before that over tensions between Trump and Federal Reserve Chair Jerome Powell.

Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage.