U.S. Stock Futures Inch Up After Lutnick Signals Flexibility On Tariffs Siladitya RayMar 5, 2025, U.S. stock futures climbed early Wednesday—after dropping to their lowest levels since before the November election on the previous day—as Commerce Secretary Howard Lutnick signaled President Donald Trump was open to a deal that would roll back some of the tariffs imposed on neighbors Canada and Mexico. President Trump Announces TSMC Investment Commerce Secretary Howard Lutnick signaled that [+] President Donald Trump may be open to making a deal with Canada and Mexico on the tariffs issue. The Washington Post via Getty Images Key Facts The benchmark S&P 500 index futures were up around 0.56% to 5,821 points in pre-market trading early on Wednesday morning, while the tech-heavy Nasdaq futures rose around 0.7% to 20,542 points—a day after closing at their lowest level since election day. Dow futures—which closed at its lowest level since mid-January on Tuesday—also rose more than 0.52% to 42,817 points in early trading. The pre-market bump came after Commerce Secretary Howard Lutnick’s appearance on Fox Business on Tuesday evening, where he appeared to signal that the Trump administration was flexible on tariffs imposed against Canada and Mexico. In the interview, Lutnick claimed both Canadian and Mexican officials were “on the phone with me all day today trying to show that they'll do better,” in dealing with Trump’s complaints about tackling cross-border flows of fentanyl and other opioid drugs into the U.S. The commerce secretary then said Trump was listening to this “because, you know, he’s very, very fair and very reasonable,” and suggested the president was going to “work something out with them.” Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you'll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here. What Tariff Changes Did Lutnick Suggest Were On The Cards? Without offering details, the commerce secretary said, “So I think he's [Trump] going to work something out with them.” Lutnick noted that this does not mean the tariffs would be paused, but rather if both countries agree to “do more,” Trump will meet them “in the middle somewhere.” Lutnick signaled that this compromise could involve the United States-Mexico-Canada Agreement—which the previous Trump administration signed with Canada and Mexico—saying: “The president is considering giving you relief, if you live under those rules. And if you haven't lived under those rules, well, then you have got to pay the tariff.” The commerce secretary added that an announcement on this matter would probably come on Wednesday. What Have Canadian And Mexican Authorities Said? Mexican officials have not yet publicly commented on Lutnick’s remarks. Canada’s Foreign Minister Mélanie Joly was asked about it in a BBC interview and said: “We know when it comes to the different secretaries of the Trump administration, they can say many things, but at the end of the day, the only one that really takes a decision is President Trump.” Joly then said many of Trump’s staffers can be “talking to us and having different types of conversations, but even they don’t really know what the president wants.” She added no one from the Trump administration contacted either the Canadian government or the Mexican government on Monday “regarding the Tariff issue.” Contra Lunick’s interview aired shortly before Trump delivered an address to Congress where he strongly defended his use of tariffs. The president told Congress that the likes of “the European Union, China, Brazil, India, Mexico and Canada,” have used “tariffs against us for decades, and now it’s our turn to start using them.” Trump then added: “They’re about protecting the soul of our country. Tariffs are about making America rich again and making America great again.”
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U.S. Stock Futures Inch Up After Lutnick Signals Flexibility On Tariffs
Siladitya RayMar 5, 2025,

U.S. stock futures climbed early Wednesday—after dropping to their lowest levels since before the November election on the previous day—as Commerce Secretary Howard Lutnick signaled President Donald Trump was open to a deal that would roll back some of the tariffs imposed on neighbors Canada and Mexico.

President Trump Announces TSMC Investment
Commerce Secretary Howard Lutnick signaled that [+]
President Donald Trump may be open to making a deal with Canada and Mexico on the tariffs issue.
The Washington Post via Getty Images
Key Facts

The benchmark S&P 500 index futures were up around 0.56% to 5,821 points in pre-market trading early on Wednesday morning, while the tech-heavy Nasdaq futures rose around 0.7% to 20,542 points—a day after closing at their lowest level since election day.

Dow futures—which closed at its lowest level since mid-January on Tuesday—also rose more than 0.52% to 42,817 points in early trading.

The pre-market bump came after Commerce Secretary Howard Lutnick’s appearance on Fox Business on Tuesday evening, where he appeared to signal that the Trump administration was flexible on tariffs imposed against Canada and Mexico.

In the interview, Lutnick claimed both Canadian and Mexican officials were “on the phone with me all day today trying to show that they'll do better,” in dealing with Trump’s complaints about tackling cross-border flows of fentanyl and other opioid drugs into the U.S.

The commerce secretary then said Trump was listening to this “because, you know, he’s very, very fair and very reasonable,” and suggested the president was going to “work something out with them.”

Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you'll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.

What Tariff Changes Did Lutnick Suggest Were On The Cards?

Without offering details, the commerce secretary said, “So I think he's [Trump] going to work something out with them.” Lutnick noted that this does not mean the tariffs would be paused, but rather if both countries agree to “do more,” Trump will meet them “in the middle somewhere.” Lutnick signaled that this compromise could involve the United States-Mexico-Canada Agreement—which the previous Trump administration signed with Canada and Mexico—saying: “The president is considering giving you relief, if you live under those rules. And if you haven't lived under those rules, well, then you have got to pay the tariff.” The commerce secretary added that an announcement on this matter would probably come on Wednesday.

What Have Canadian And Mexican Authorities Said?

Mexican officials have not yet publicly commented on Lutnick’s remarks. Canada’s Foreign Minister Mélanie Joly was asked about it in a BBC interview and said: “We know when it comes to the different secretaries of the Trump administration, they can say many things, but at the end of the day, the only one that really takes a decision is President Trump.” Joly then said many of Trump’s staffers can be “talking to us and having different types of conversations, but even they don’t really know what the president wants.” She added no one from the Trump administration contacted either the Canadian government or the Mexican government on Monday “regarding the Tariff issue.”

Contra

Lunick’s interview aired shortly before Trump delivered an address to Congress where he strongly defended his use of tariffs. The president told Congress that the likes of “the European Union, China, Brazil, India, Mexico and Canada,” have used “tariffs against us for decades, and now it’s our turn to start using them.” Trump then added: “They’re about protecting the soul of our country. Tariffs are about making America rich again and making America great again.”