crypto.news 2025-05-12 20:31:18

Dow skyrockets 1,100 points a.s U.S. and China slash tariffs, BTC falls

The Dow Jones Industrial Average surged more than 1,100 points on Monday. The S&P 500 also jumped 3.25%, the Nasdaq Composite surged nearly 4.34%, and the Russell 2000 rose 3.56%. Tech and retail stocks, many of which arebeen heavily exposed to China, led the rally. Tesla gained 7%, Apple rose 6%, and Amazon jumped 8%. Dell and Best Buy also posted strong gains. Following high-stakes negotiations over the weekend in Geneva, U.S. tariffs on Chinese goods were lowered to 30% from recent highs of 145%, while Beijing cut its retaliatory tariffs on U.S. imports to 10%. Treasury Secretary Scott Bessent called the talks “very productive,” and said a new round of discussions could take place within weeks. President Trump hailed the deal as a “total reset” of U.S.-China trade relations, noting that a separate 20% tariff related to fentanyl enforcement would remain in place. Markets, which had been rattled since Trump’s “Liberation Day” tariff escalation in April, reacted positively. The Dow is now down just 0.32% or 134 points since the start of 2025 while the Nasdaq is still down more than 3%. The tariff rollback will remain in effect for 90 days as both sides pursue a more comprehensive agreement. The U.S. Treasury said it collected $7.6 billion more in duties last month, underscoring the scale of the trade disruption. You might also like: Dubai to accept crypto for government service payments in global first Bitcoin retreats after Truce, falls below $102,000 Bitcoin ( BTC ) fell 2.75% to $100,771 as of Monday afternoon, pulling back from nearly $106,000 reached earlier in the day. Bitcoin is currently trading near $101,900. The drop followed news of the aforementioned temporary 90-day U.S.-China tariff suspension, which eased macro uncertainty but led traders to “sell the news” after a month-long rally from April’s lows under $75,000. The decline suggests Bitcoin’s recent outperformance may cool as broader markets like equities catch up. You might also like: Dow Jones surges 1000 points After Trump announced new U.S. trade deal with China