The stock market on Monday closed at record highs, one day after the Trump administration announced that the United States and China have agreed to a “substantial framework” in trade talks.
The framework comes as Chinese leader Xi Jinping and President Donald Trump are set to meet in South Korea on Thursday.
The S&P 500 climbed 1.23% to 6,875.16, marking the first time it’s ever closed above 6,800 points, according to CNBC. The Nasdaq Composite rose 1.86% to 23,637.46, and the Dow Jones Industrial Average jumped 337.47 points to 47,544.59.
“I think we’ve reached a substantial framework for the two leaders who will meet in Korea next Thursday,” Treasury Secretary Scott Bessent told ABC News from the ASEAN Summit in Kuala Lumpur, Malaysia. “The president had given me maximum leverage when he threatened 100% tariffs if the Chinese imposed their rare earth global export controls, so I think we have averted that.”
Bessent also said there is a potential deal on U.S. soybeans after China stopped purchasing them amid the ongoing trade war. China is the largest purchaser of U.S. soybeans, buying more than 50% of American exports in 2023 and 2024, according to the American Soybean Association.
“I believe, when the announcement of the deal with China is made public, that our soybean farmers will feel very good about what’s going on, both for this season and the coming seasons, for several years,” Bessent said.
Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage.