Following the 60th Inaugural Ceremony at the U.S. Capitol in Washington, D.C., on January 20, 2025, newly sworn-in President Donald Trump attended the signing ceremony in the Hall of Presidents.
Melina Mara | Reuters
Stock futures came under some pressure late Monday after President Donald Trump said he was considering imposing tariffs on Canada and Mexico.
Futures tied to the S&P 500 were down slightly, while Nasdaq 100 futures were down 0.1%. Dow Jones Industrial Average futures were flat.
Profit from stock index futures Trading hours were shortened on Monday as Trump was sworn in as the 47th president. Shares were trading higher at the start of trading Monday night. Markets were closed for regular trading on Monday due to the Martin Luther King holiday.
But futures lower as Trump arrives Put forward tariff opinions as he signed the executive order at the White House. Trump said he was considering imposing 25% tariffs on Mexico and Canada on February 1 due to their border policies. Trump also made some mention of China in discussions with the media but did not specify any tariff plans. The president said the United States may impose tariffs on China if China does not approve the TikTok deal.
Given the positive market sentiment, Trump said he was not ready to impose widespread tariffs.
The comments on Mexico and Canada disappointed traders who were hoping Trump would immediately delay raising tariffs, especially after reports earlier Monday that tariffs would not be immediately imposed in an early executive action by Trump.
“Asset prices in 2025 will be largely driven by Trump’s policy path,” Citi senior global economist Robert Sorkin said in a report. “Uncertainty is likely to persist and become a major factor in Trump’s policy outlook.” A hallmark of the presidency.
“Trump appears to thrive in an ambiguous world, where his political opponents and international peers are unclear about his next steps. Investors who remain flexible but also focus on underlying strong economic fundamentals may benefit,” he continued.
Elsewhere, Trump Declaring a national energy emergency to increase fossil fuel production.
In his inaugural address, the president hailed his return to the White House as the beginning of a period of growth and success for the country while largely condemning the Biden administration.
Wall Street will be watching as Trump delivers on pro-business statements he made during the campaign, most notably his call for looser regulations, which helped boost banking stocks after he won the election in November. Other components of the so-called Trump trade, including small-cap stocks, oil stocks and Bitcoin, will be highly sensitive to where his administration goes from here.
The stock market is having its best week since Trump was elected. The S&P 500 rose 2.9% last week, its best weekly performance since the end of November 8.
