Markets Tick Up as Wall Street Weighs Trump’s Tax and Trade Moves

​U.S. stock futures edged higher Friday morning, with investors cautiously optimistic after a turbulent week dominated by Trump’s tax bill, tariff developments, and a Moody’s credit downgrade.

Dow futures rose 0.2%, the S&P 500 gained 0.2%, and Nasdaq 100 futures held steady, as markets tried to stabilize following a choppy stretch. Despite a bounce in Asia-Pacific stocks—sparked by renewed U.S.-China dialogue—Wall Street has been jittery over the fiscal implications of Trump’s economic agenda.

The tax bill, expected to add trillions to U.S. debt, is now heading to the Senate, where it faces pushback even from Republicans. Bond markets have already reacted: 30-year Treasury yields surged past 5% earlier in the week, a sign of investor concern over fiscal sustainability.

Meanwhile, Nvidia earnings next week could be a key market catalyst. The chipmaker has been front and center in debates over AI spending and U.S.-China trade friction.

In Asia, Japan’s Nikkei rose 1%, and other regional markets followed suit as news broke that top U.S. and Chinese diplomats agreed to keep communication open—raising hopes for a more stable trade backdrop.

​Bottom line: Markets are holding their breath. With fiscal policy in flux, bond yields rising, and geopolitics still in play, Wall Street is cautiously optimistic—but not yet convinced.