Tech Surge Lifts Markets as Trump Delays Auto Tariffs
1min read U.S. stock markets closed higher on Wednesday, led by a surge in tech stocks, as President Trump announced a one-month delay in auto tariffs on Mexico and Canada. The tech-heavy Nasdaq Composite rose more than 1.4%, while the Dow Jones Industrial Average and the S&P 500 gained roughly 1.1%.
The move came after nearly 24 hours of the administration signaling potential relief on tariffs, following Trump's imposition of 25% across-the-board duties on Canada and Mexico on Tuesday. A wave of selling had hit stocks in recent days, with investors concerned about the potential harm to the economy from Trump's escalating trade war. The S&P 500 had erased all of its post-election gains and hit its lowest level in four months on Tuesday.
Shares of U.S. automakers ford, gm, and stellantis were at least 5% higher after the White House announced the one-month exemption. The move provided some relief to investors who had been fretting over the potential impact of the tariffs on the economy.
Meanwhile, a fresh look at the jobs market on Wednesday provided another sign of potential cracks in the economy. Data from ADP showed that private-sector companies added just 77,000 jobs in February, a significant slump from January and far below economist expectations. The ADP print is one in a series of jobs readings that tee up Friday's all-important nonfarm-payrolls report.
