Volatile Markets Amidst Trade Tensions and Policy Uncertainty

On Tuesday, the S&P 500 and the Nasdaq experienced uncertain trading, as President Donald Trump's latest tariff policies contrasted with the potential for new trade negotiations to prevent a global trade war. The market response was mixed, with the Dow Jones Industrial Average dropping slightly.

President Trump's warning of expansive U.S. tariffs affecting multiple countries, including Japan and South Korea, led to market sell-offs on Monday. However, some losses were recovered when discussions suggested possible negotiation outcomes before the August deadline.

Highlighted by significant moves in the energy and utility sectors, the market's volatility reflects the ongoing trade policy uncertainty. Meanwhile, the upcoming Federal Reserve meeting minutes offer potential guidance on future interest rate policies amid resilient corporate earnings.

(With inputs from agencies.)