00:00The U.S. and China on Monday announced they would significantly cut back tariffs placed
00:04on each other's goods for at least 90 days as both sides plan to continue negotiations
00:08on a trade deal, triggering a major surge in U.S. stock futures and global markets.
00:13This weekend's talks between Washington and Beijing officials in Geneva culminated in
00:17both countries cutting their tariffs for at least the next 90 days, with the U.S. slashing
00:22its duties on Chinese goods from 145% to 30%, and China cutting its levies on U.S. goods
00:28from 125% to 10%.
00:30U.S. stock futures and Chinese markets rallied after the U.S.-China tariff thaw announcement,
00:36leading the charge were the tech behemoths perhaps most reliant on a symbiotic relationship
00:40with the U.S. and China, as shares of Amazon, Apple, Nvidia, and Tesla all outperformed the
00:46broader market.
00:47Also rallying were the stocks of fellow Magnificent Seven constituents Alphabet, Meta, and Microsoft.
00:52In total, the Magnificent Seven stocks added $670 billion in market capitalization Monday
00:59morning.
01:00The Hang Seng Index climbed 3.02% and the Shanghai Composite Index jumped 0.82%, recovering losses
01:08since Trump's prior tariff announcement.
01:11U.S. Trade Representative Jameson Greer noted that the rollback does not cover, quote,
01:14any sector-specific tariffs imposed globally, so some Chinese goods would still face a higher levy.
01:21China also agreed to roll back some of the non-tariff measures it implemented in retaliation
01:26to U.S. tariffs, details for which are pending, but could include a rollback on certain rare
01:31earth export restrictions.
01:34For more on these stories, check out Derek Saul and Saladita Ray's articles linked in the description.
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