Market Jitters: Tariff Threats Shake Automakers, Investors Eye Fed Moves

The S&P 500 and Nasdaq poised to gain despite tariff threats from President-elect Trump on key trading partners. Ford and GM shares dip while Wells Fargo edges up with potential asset cap lift. Analysts anticipate policy impacts on inflation and Fed's monetary actions.

U.S. stock markets are experiencing mixed movements as automakers Ford and General Motors see share declines following President-elect Donald Trump's proposed tariffs on Canada, Mexico, and China. Trump's tariff threats, possibly a negotiating tactic, come as investors await Federal Reserve minutes for policy direction.

Despite premarket declines in the Dow, the S&P 500 and Nasdaq maintain upward trends. Analysts debate potential inflation and the Fed's ongoing monetary policy strategy. The market anticipates a central bank interest rate cut, as indicated by betting trends in the CME Group's FedWatch Tool.

Wells Fargo shares rise on reports of a possible asset cap lift, while Amgen faces a setback with its obesity drug results. Analysts are now focused on upcoming economic indicators, including consumer confidence data and personal consumption expenditure reports.

(With inputs from agencies.)