A trader is seen on the floor of the New York Stock Exchange as of February 13, 2025.
Futures for inventory are expected to hover near the flatline on Thursday. Investors are optimistic that the framework for the US-UK trade agreement could signal future advancements.
Futures associated with the Dow Jones Industrial Average dropped by 52 points, or 0.1%. Meanwhile, Nasdaq 100 futures dipped by 0.08%, and S&P 500 futures also saw a decline of around 0.1%.
On Thursday, President Donald Trump unveiled a new trade agreement with the UK, marking the first deal between the US and its British trade partner since the recent “mutual” tariff announcement. While specific details remain to be finalized, Trump stated that the UK would uphold a baseline tariff of 10%.
He added, “Trade with the UK isn’t as significant compared to that with its neighbors, particularly China, but it serves as a crucial test case for what’s possible.”
Trump further mentioned that if the administration could build on this agreement with others, it might greatly benefit the stock market, which has faced difficulties this year.
He indicated that the 10% figure represents a baseline, remarking, “Some tariffs will likely be much higher, given the considerable trade surplus.”
Stocks saw a surge after Trump expressed confidence that US negotiators would have a “productive weekend” with China during their upcoming trade talks. By day’s end, the Dow had risen by 0.6%, and the S&P 500 matched this increase, while the Nasdaq Composite rose approximately 1.1%.
Over the weekend, Treasury Secretary Scott Becent and US Trade Representative Jamieson Greer are scheduled to meet with their Swiss and Chinese counterparts. Despite a recent 90-day suspension of higher tariffs on many countries, Trump has maintained the 145% tariffs on China.
Weekly trends have shown the S&P 500 decreasing by 0.4%, with NASDAQ down by 0.3%. The Dow, however, has experienced a slight increase of 0.1%, marking its third consecutive positive week.
