Dow rallies as markets cheer US-Japan trade agreement
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Stocks rallied in early-morning trading on Wednesday, with the Dow Jones Industrial Average adding more than 200 points at the open. Investors appeared to welcome President Donald Trump’s announcement that the U.S. had reached a trade deal with Japan. The Dow Jones Industrial Average rose nearly 240 points, and the S&P 500 inched higher by 0.4% to extend gains at its record highs. Optimism of potentially more trade agreements ahead of Trump’s Aug. 1 tariffs deadline also saw the Nasdaq Composite edge up, adding a modest 0.16% in early trading. ‘Never been anything like it,’ Trump boasts With corporate earnings, spotlighted by Tesla (TSLA) and Alphabet (GOOGL, GOOG), set to hit the market after the bell, early cheers had futures across the major U.S. indices flashing rising green. Upbeat sentiment on Wall Street carried through the Asia and European sessions, investors are envisioning the U.S.-Japan deal as a huge one. In addition to the 15% tariff on Japanese imports, Trump’s administration managed to secure a $550 billion Japanese investment in the U.S. “There has never been anything like it,” Trump said of the deal in a Truth Social post. “Perhaps most importantly, Japan will open their Country to Trade including Cars and Trucks, Rice and certain other Agricultural Products, and other things. Japan will pay Reciprocal Tariffs to the United States of 15%. This is a very exciting time for the United States of America, and especially for the fact that we will continue to always have a great relationship with the Country of Japan.” The news came as markets weighed the potential impact of fresh trade tensions as the looming Aug. 1 deadline first approaches. However, with U.S. officials noting a likely extension of the Aug. 12 deadline for China, this latest move injects a sense of bullishness for…
Filed under: News - @ July 23, 2025 8:31 pm