U.S. tech stocks, along with the broader stock markets, seemed ready to start the day with a high, as the United States and China on Monday agreed to temporarily cut reciprocal tariffs for 90 days.
Per the deal, reached in Geneva, the U.S. would temporarily shelve the 145% reciprocal tariff on goods imported from China, taking the rate down to 30%; and Beijing would pause the 125% tax it had imposed on goods from the U.S., taking its rate down to 10%.
Tech stocks jumped before the bell, with Chinese exporters Temu and Alibaba’s stocks on the Nasdaq up nearly 9% in pre-market trading. Big U.S. tech firms that rely on China for sourcing and manufacturing, including Apple, Amazon, Tesla, Nvidia, AMD and Meta, were all up 5% to 6% pre-market. Nasdaq Futures rose around 3.8%.
Notably, the deal does not address the U.S.’ recent removal of the “de minimis” exemption, which waived duties on imports valued below $800.
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