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April 8 - U.S. stocks gave back part of their strong rebound Tuesday after a government official signaled no tariff exemptions were coming anytime soon, pressuring investor sentiment mid-session.
The S&P 500 rose about 2% to 5,182 in midday trade after trimming earlier gains. The Nasdaq Composite added roughly 2.4% to 15,982, supported by strength in large-cap tech. The Dow Jones Industrial Average gained around 2.3% to 38,842.
The indexes had opened sharply lower, then swung nearly 4% intraday before moderating. The volatile session follows one of the worst two-day selloffs for the S&P in decades, driven by fears over escalating trade tensions.
U.S. Trade Representative Jamieson Greer told the Senate that former President Donald Trump had no plans to grant tariff exemptions. The comments dampened hopes of a near-term trade resolution that had briefly lifted markets.
In bonds, Treasury yields extended Monday's climb. The 10-year yield (US10Y) rose 9 basis points to 4.25%, while the 2-year yield (US2Y) added 11 basis points to 3.83%. Apollo Asset Management pointed to basis trade unwinds as a possible driver of the selloff.
Investors are also eyeing inflation data, Fed commentary, and the kickoff of Q1 earnings season this week.
This article first appeared on GuruFocus.