- Global markets begin to fall after a brief recovery on Tuesday morning.
- After rising in the morning the Nasdaq, Dow and S&P 500 all began to fall again.
- After midnight extra reciprocal tariffs will be implemented on top of the baseline 10% tariffs.
As President Donald Trump’s deadline for reciprocal tariffs approached, market numbers began to drop again on Tuesday afternoon hours after a brief rally when the markets opened that day.
On Tuesday morning, global markets saw rise in stock pricess after a brutal three-day slide that came after Trump’s sweeping tariff announcement last week.
But as Trump’s reciprocal tariff deadline came closer late Tuesday, the markets began to fall once again. The Trump administration said they are being approach by multiple countries for tariff negotiations.
The midnight deadline
The Trump administration has talked about negotiations with multiple countries, but none seem to be close to finalized as Trump’s deadline approaches, per CNBC.
The deadline of just after midnight will see higher reciprocal tariffs kick in on top of the 10% baseline that was implemented on Saturday.
According to CNBC, the White House confirmed that a cumulative 104% tariff on important Chinese products will be implemented overnight.
An additional tariff on China was already implemented on Tuesday afternoon.
What do the markets look like today?
During a brief rally on Tuesday morning, the S&P 500, Nasdaq Composite and Dow Industrials all gained over 4%, per The Wall Street Journal.
By Tuesday afternoon all three began to fall once again. The Dow Industrials dropped 1.7%, the S&P 500 declined 2.5% and the Nasdaq fell nearly 3%.
After shooting up 4% in the morning, Apple, on of the hardest hit stocks, fell 3% in the afternoon.
Wayfair is another company that saw a major decrease in stocks on Tuesday, when it fell 12%, per CNBC.
What the brief rally looked like Tuesday morning
Along with in the indexes, individual companies also saw increases in stock in the morning. Major tech companies, Nvidia and Meta Platforms each surged around 5%.
Amazon and Netflix were both up over 4% and Tesla also rallied with an increase of more than 6%, per CNBC.
The treasury yield also increased, hitting 4.25%, the strongest one-day rise in the last year.
The Stoxx Europe rose 3%, and almost every major market in the region is also in the green, per The New York Times.
In Japan, Nikkei 225 saw a sharp increase of 6%, and other Asian stocks also shot up.
Are negotiations happening about the tariffs?
On Tuesday, Treasury Secretary Scott Bessent said that around 70 countries had approached the U.S. for tariff negotiations, per CNBC.
“If they come to the table with solid proposals, I think we can end up with some good deals,” Bessent said, according to CNBC. “And part of the calculus of that may be that some part of the tariffs stay on.”
In a post on Truth Social Tuesday, Trump said he had a “great call with the Acting President of South Korea,” and added that “China also wants to make a deal, badly.”
Jamieson Greer, U.S. trade representative, said that the president will not be giving exemptions from his global tariffs for individual products or companies, per The Wall Street Journal.
During a news conference with Trump on Monday, Israeli Prime Minister Benjamin Netanyahu said that his country would quickly be getting rid of tariffs and other trade barriers to the U.S.
The administration has also indicated that Japan would be prioritized in trade talks, which caused Japanese stocks to jump, according to The Wall Street Journal.