S&P 500 recovers early April losses on potential US tariff easing

The S&P 500 rose 0.1% on Tuesday. The increase was supported by US officials' comments about potential tariff reductions on auto imports. However, Reuters reported that investors had expected deeper cuts of the 145% duties on Chinese goods.

China's foreign ministry said that President Xi Jinping had not recently spoken to the US President and had not tried to conclude an agreement on import duties. This contradicts Donald Trump’s statement in his interview with Time magazine.

According to JPMorgan analysts, US first-quarter GDP data and the April employment report due this week will likely show growth. This stems from preliminary stockpiling by market participants amid concerns about potential new import duties.

President Donald Trump's tariffs on imports have weakened investor confidence in US assets. However, the S&P 500 has recovered most of its early April losses, according to Reuters.