Wall Street Rebounds Amid Trade Talks and Tariff Tensions

U.S. stock index futures showed signs of recovery after significant losses due to fears of a trade war. Major stocks like Tesla and Amazon saw pre-market gains. Talks around U.S. tariffs and trade negotiations with China remain a focus, impacting market movements.

U.S. stock index futures staged a modest recovery on Tuesday following a sharp selloff that wiped away trillions in value last week. Investors are on edge, closely monitoring potential talks on U.S. tariffs, which have played a pivotal role in market volatility.

Prominent growth stocks such as Tesla and Amazon gained before the market opened, amid widespread concerns about a prospective global trade conflict and looming U.S. recession fears. The Nasdaq's entrance into a bear market reflects a broader sentiment of caution among investors.

Despite the temporary rebound, market uncertainty prevails, magnified by China's stern stance against perceived U.S. tariff 'blackmail.' As tariff concerns linger, investors look to the Federal Reserve for potential interest rate cuts, while keeping a watchful eye on upcoming inflation data for further economic insights.

(With inputs from agencies.)