Wall Street rebounds as Trump softens posture on China tariffs

After threatening ‘massive’ tariffs on Friday, Trump in a social media post on Sunday said ‘it will all be fine’, adding that the US wants to ‘help’ China

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Traders work on the floor of the New York Stock Exchange on Monday. Photo: AP

Published: 6:40am, 14 Oct 2025Updated: 8:15am, 14 Oct 2025

Wall Street stocks rebounded on Monday from steep pre-weekend falls as US President Donald Trump softened his posture on China following earlier threats of large tariffs.

European stock markets made modest gains while Asia’s leading stock markets began the week in the red as they caught up with Wall Street’s sharp losses on Friday.

Gold reached a fresh record high thanks to its status as a safe-haven investment.

“Things have calmed down almost as dramatically as the flare up on Friday when Donald Trump threatened 100 per cent tariffs on China,” said City Index and FOREX.com analyst Fawad Razaqzada.

Trump, who on Friday announced “massive” tariffs due to Chinese curbs on rare earths exports, backed off that stance, saying in a Sunday social media post “it will all be fine”, and adding that the United States wants to “help” China.

The New York Stock Exchange. File photo: AP

Major Wall Street indices that fell hard on Friday recovered a large chunk of their losses after Trump’s weekend pivot.

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