US Stocks Retreat, China Trade Deal Uncertainty Looms

US stocks pared gains as uncertainty over the China trade deal lingered, with mixed signals from the White House on tariff policies keeping investors on edge. Markets reacted sharply to any hint of progress—Treasury Secretary Scott Bessent’s private remark that the trade war was ’unsustainable’ briefly fueled optimism. But the rally faltered after President Trump contradicted speculation about ousting Fed Chair Jerome Powell, declaring he had ’no intention’ of doing so. The after-hours surge that followed underscored how sensitive traders remain to even fleeting signs of stability.

Conflicting messages from Washington continue to dictate market momentum. Investors cling to any dovish whisper, yet each reassurance is met with fresh ambiguity. The result is a market that moves in fits and starts, hostage to the next headline. ’Uncertainty is the only certainty,’ remarked one floor trader as equities whipsawed between hope and skepticism.