The Dow Jones Industrial Average rose by 500 points, recovering from a steep decline earlier in the week as the major U.S. automakers are given a one-month exemption from new tariffs on Canadian and Mexican imports.
“We spoke with the Big Three auto dealers. We are going to give a one month exemption on any autos coming through USMCA,” President Donald Trump said, according to a statement provided by White House Press Secretary Karoline Leavitt during a news conference.
The news follows comments from Commerce Secretary Howard Lutnick, who indicated that there might be potential tariff relief for Canada and Mexico. He suggested that the U.S. could be moving toward a compromise that is a “middle ground.”
At around 2:45 p.m. in New York, the S&P 500 added 1.1%, while the Nasdaq 100 climbed 1.7%. The Dow Jones Industrial Average added 497 points or 1.1%. Meanwhile, the job report came weak, raising concerns about stagflation.
General Motors (GM+7.89%) stock surged more than 3% as the broader market rebounded in the morning. The rally appeared to be driven by investor optimism following Lutnick’s remarks suggesting potential tariff relief for Canada and Mexico.
Meanwhile, Ford (F+5.92%) also jumped 5% in the afternoon following the news.
Shares of pharmaceutical giant Moderna (MRNA+10.67%) surged over 6% on Wednesday after strategic insider stock purchases by the company’s CEO and a board director. According to a recent Securities and Exchange Commission (SEC) filing, CEO Stephane Bancel and board director Paul Sagan acquired $6 million worth of Moderna shares.
Shares of Novo Nordisk (NVO+3.65%) climbed 3.5% after the company announced plans to sell its weight loss drug Wegovy at less than half its usual monthly price through a new direct-to-consumer online pharmacy.
CrowdStrike (CRWD-6.31%) stock fell 9% on Wednesday after the cybersecurity software company provided disappointing earnings guidance. The company gained significant attention last year following a widespread global tech outage linked to its software.
— William Gavin contributed to the article
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