1. U.S. negotiating trade deals with 17 major partners. 2. Treasury Secretary expects most deals finalized by year-end. 3. China remains outside ongoing negotiations. 4. 97-98% of trade deficit involves 15 countries. 5. Anticipation of announcements regarding deals as early as this week.
Successful trade deals typically boost market confidence. Historically, positive trade negotiations have led to stock market rallies, particularly benefiting index funds like the S&P 500.
The potential for finalizing trade deals could alleviate economic uncertainties. Given that 97-98% of the trade deficit is with major partners, this could significantly influence U.S. economic growth and manufacturing sectors.
Announcements of trade deals can quickly influence investor sentiment. For instance, trade tensions easing in 2020 previously resulted in a swift rebound in market prices.