JPMorgan is walking back its 60% recession prediction for 2025 following the 90-day pause on trade tariffs agreed by China and the US.

Now that the agreement between China and the U.S. has mitigated some of the most worrisome economic effects, the Federal Reserve's calculus on when to cut interest rates may change.

In a significant development for global trade, the United States and China have agreed to a 90-day pause in their escalating tariff war, substantially reducing tariffs on each other's goods. The US will cut tariffs on Chinese imports from 145% to 30%, while China will lower tariffs on American goods from 125% to 10%.

US-China tariff truce lifts tech stocks as Apple, Tesla, and Amazon surge. A 90-day pause could reshape global supply chains and boost innovation.

The May 12 announcement is best viewed as a truce that does not shift the underlying structural reality: the U.S. and China are locked into a long-term cycle of escalating strategic competition.

Hapag-Lloyd has seen an increase in demand for freight traffic this week between the United States and China, following a cooling in the countries' trade tensions.

U.S. and Chinese trade negotiators agreed over the weekend to lower mutually imposed triple-digit tariffs in a significant de-escalation of the ongoing trade war between Washington, D.C., and

Investors will also focus on comments from Federal Reserve Chair Jerome Powell due later in the day, while earnings update from Walmart will give further evidence on the health of the U.S. consumer. UnitedHealth Group dropped 4.

The United States will cut the low value "de minimis" tariff on China shipments, a White House executive order said on Monday, further de-escalating a potentially damaging trade war between the world's two largest economies.