Wall Street opened muted on Tuesday as investors assessed the possibility of new trade deals between the US and its global partners, with the August 1 tariff deadline approaching. Additionally, investors were analysing second-quarter corporate earnings reports. The Dow Jones Industrial Average (.DJI) gained 15.6 points, or 0.04%, reaching 44,338.62. The S&P 500 (.SPX) added 1 point, or 0.02%, to open at 6,306.60, while the Nasdaq Composite (.IXIC) climbed 8 points, or 0.04%, to 20,982.20 in the early hours of trading.
US Treasury Secretary Scott Bessent has stated that the Trump administration is more focused on the quality of trade agreements during discussions with a number of its allies than on the length of time it takes to complete negotiations, as the tariff deadline of August 1 draws closer. “America will not rush into anything just to make deals with its allies,” Bessent stated in a CNBC interview.Negotiations are “moving along,” Bessent continued, but he claimed that the focus is on high-quality results rather than deadlines. He cautioned that “if we boomerang on August 1 tariffs, higher tariffs could put more pressure on countries.”
One of the most awaited trade deal is with India. According to two Indian government sources, the chances of reaching an interim trade agreement between the United States and India before Washington’s deadline of August 1 have decreased because negotiations over tariff reductions on important dairy and agricultural products are still stalled. In April, U.S. President Donald Trump threatened to impose a 26% tariff on Indian imports, but he postponed the move to facilitate negotiations. Although India, unlike more than 20 other nations, has not yet received a formal tariff letter, that pause will end on August 1.