Wall Street Contends With Tariff Maze – US Market Wrap

Wall Street traders continued to manage severe, rapid, and abrupt market swings amid a torrent of tariff stories, with equities plummeting after nearly erasing their losses.

Even after Trump’s decision to suspend tariffs on Mexican and Canadian goods included by the North American trade agreement, sentiment remained fragile, and stocks failed to recover.

The dollar experienced its longest losing streak since September, as the peso and the loonie climbed. Treasury trading was fairly quiet.

Just 24 hours before the crucial US payrolls report, data indicated that unemployment claims declined last week, providing some solace after other figures pointed to a deteriorating job market. The jobs report is likely to indicate a pickup in job growth. Many of the federal cuts were implemented prior to the collection of data.

Treasury Secretary Scott Bessent dismissed the notion that tariff increases will spark a new wave of inflation, arguing that the Federal Reserve should consider them as having a one-time impact.

The yield on 10-year Treasuries increased one basis point to 4.29%. A dollar index fell 0.1%.