U.S. stocks modestly gained Tuesday morning as investors attempted to extend the previous session’s rally, driven by optimism that upcoming tariffs may be narrower in scope.
The Dow Jones Industrial Average rose 56 points, or 0.1%. The S&P 500 and Nasdaq Composite also added 0.1% and 0.3%, respectively.
Investors largely overlooked weaker consumer confidence data. The Conference Board’s index fell to 92.9, missing a forecast of 93.5. The expectations index dropped to 65.2, its lowest level in 12 years, signaling potential recession risks.
Bret Kenwell, U.S. investment analyst at eToro, said economic concerns and policy uncertainty continue to weigh on sentiment. He noted that upcoming GDP and PCE inflation data, as well as next week’s jobs report, could provide further clarity.
Markets remain on edge over inflation and growth concerns. Stocks surged Monday after reports suggested the White House may limit tariffs. President Donald Trump said certain sectors, including pharmaceuticals and autos, would still face duties soon.
This article first appeared on GuruFocus.