U.S. stock futures experienced a slight decline on Tuesday morning, reflecting investor caution following a significant rally in the major averages the previous day. This downturn comes in the wake of rising optimism that President Donald Trump may reconsider his initial expansive plans for implementing broad tariffs that could impact various sectors.
Specifically, futures linked to the S&P 500 fell by 0.15%, while the Nasdaq 100 futures declined by 0.18%. Additionally, Dow Jones Industrial Average futures dropped 70 points, or approximately 0.16%.
On Monday, however, the markets demonstrated considerable strength, with the Dow soaring nearly 600 points, translating to an increase of about 1.4%. The S&P 500, representing a broader market perspective, gained nearly 1.8%, and the tech-heavy Nasdaq Composite saw an impressive rise of 2.3%. These gains were largely fueled by traders’ growing optimism over reports suggesting that the White House might limit the breadth of the tariffs that were initially proposed.
Despite this rally, Wall Street continues to remain vigilant, grappling with concerns over an impending rise in inflation rates and the potential for slowing economic growth. Investors are particularly attentive as they await the reciprocal tariffs anticipated from the Trump administration on April 2. The prevailing sentiment on Monday reflected a mix of hope and uncertainty, as many traders reacted positively to news from The Wall Street Journal and Bloomberg News about the potential narrowing of the tariff’s scope, which could alleviate some of the market’s anxiety.
