Markets React to Trump's Potential Emergency Tariff Plan and Fed's Rate Policy Outlook

Investors weigh President-elect Trump's tariff proposals and Federal Reserve signals on slower interest rate cuts in 2025.

President-elect Donald Trump is reportedly considering declaring a national economic emergency to implement broad tariffs, raising concerns about potential economic impacts.
U.S. stock markets showed mixed performance, with the S&P 500 and Nasdaq slipping slightly, while the Dow Jones Industrial Average edged higher by 0.25%.
The Federal Reserve's December meeting minutes revealed support for a cautious approach to rate cuts, citing inflation risks and strong economic activity.
Private sector hiring slowed in December, but jobless claims unexpectedly fell, indicating a stable labor market ahead of Friday's December jobs report release.
The 10-year Treasury yield hovered near an eight-month high of 4.7%, reflecting investor uncertainty over tariffs and interest rate policy adjustments.