Wall Street Rises as Investors Assess Trump's Trade Policies

Wall Street's major indexes saw gains on Tuesday, driven by optimism surrounding President Donald Trump's trade policy as he hinted at targeted tariffs on Canadian and Mexican imports beginning February 1. The Dow Jones Industrial Average rose 1.24%, while the S&P 500 and Nasdaq posted increases of 0.88% and 0.64%, respectively. Investor sentiment improved after Trump refrained from announcing sweeping tariffs, leading Goldman Sachs to lower its forecast for universal tariffs from 40% to 25%. Automaker stocks like General Motors and Ford benefited from this optimism, while tech giant Apple experienced a decline. Despite the positive market reaction, analysts caution about potential volatility and inflation concerns that could impact Federal Reserve policy. Overall, the market is adopting a wait-and-see approach regarding Trump's trade strategies and their implications for global commerce.