Wall Street opens higher after US-Japan trade agreement
In early trading, the Dow Jones rose 0.48%, the Nasdaq gained 0.35%, and the broader S&P 500 increased by 0.36%.
A trader, working at the New York Stock Exchange.
The New York Stock Exchange opened higher on Wednesday, following the announcement of a U.S.-Japan trade deal and ahead of quarterly earnings reports from Tesla and Alphabet (Google).
In early trading, the Dow Jones gained 0.48%, the Nasdaq rose 0.35% and the broader S&P 500 index increased by 0.36%.
The Trump administration announced Tuesday that it reached a new trade agreement with Japan, establishing a 15% tariff on Japanese goods entering the U.S. market.
This tariff is lower than the 25% rate the president had threatened to impose starting August 1 if no agreement was reached.
As part of the agreement, Trump announced that Japan will invest $550 billion in projects within the United States. While details on where the funds will be allocated were not provided, the president assured on Truth Social that the U.S. would receive "90% of the profits" from these investments.
He also affirmed that Japan would open its market to U.S. products such as cars, trucks, rice, and other agricultural goods—an issue that had been central to the bilateral talks.
"This is a very exciting time for the United States of America, and especially for the fact that we will continue to always have a great relationship with the Country of Japan," Trump wrote.
Japan, a key partner
As the August 1 deadline approaches, the White House continues to promote these agreements as part of its strategy to strengthen the domestic economy and reshape trade relations on terms more favorable to the U.S.
LATEST
