US stock futures fall after Trump raises tariff tensions
US stock futures fall after Trump raises tariff tensions
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Trump admin comes to trade deal framework agreement with China
President Donald Trump and Chinese officials agree on a framework for a trade deal to include tariffs and eased rare earth restrictions.
U.S. stock futures are lower after President Donald Trump raises tariff tensions again by promising unilateral tariff rates within two weeks.
He said he will send letters to trading partners in the next couple of weeks setting unilateral tariff rates, ahead of a July 9 deadline to reimpose higher duties on dozens of economies.
Trump's new tariff threat contrasts with the more positive tone officials tried to strike after reaching a trade framework with China in London and earlier remarks from Treasury Secretary Scott Bessent.
Bessent said at a hearing before the House Ways and Means Committee that the Trump administration though was open to extending the current 90-day tariff pause beyond July 9 for the U.S.′ top trading partners, as long as they show 'good faith' in ongoing trade negotiations.
Futures linked to the blue-chip Dow fell -0.60%, while broad S&P 500 futures dropped -0.41% and tech-heavy Nasdaq futures slipped -0.35.%.
More inflation data
Another set of inflation data are due before the opening bell. Producer prices, or the the prices businesses pay for their goods and services, are expected to rise 2.3% on an annual basis in May, according to Bank of America economists. Without the volatile food and energy sectors, producer prices are seen up 2.7%, they said.
Some economists expect some tariff-related inflation to appear as inflation first can be seen by businesses, before price increases are passed on to consumers.
Corporate news
Oracle's results in the final three months of its fiscal year topped Street views. The company also said cloud infrastructure revenue will rise by more than 70% in fiscal 2026, up from a 50% growth rate in the prior fiscal year.
Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@usatoday.com and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.
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