The Direxion Daily S&P 500 Bear 3X ETF (SPXS) is down 0.67% as of 9:42 AM ET on November 26, 2024. The S&P 500 index saw a slight rise of 0.3% in early trading, buoyed by investor reactions to President-elect Donald Trump's proposed tariffs. Trump's announcement of a 25% tariff on products from Mexico and Canada, along with a 10% levy on Chinese goods, initially caused market jitters. However, the market's resilience is attributed to skepticism about the full implementation of these tariffs and the counterbalancing effect of favorable year-end seasonality and solid earnings reports. Despite the initial shock, U.S. index futures have managed to recover most of their earlier losses, with the S&P 500 opening slightly up by 0.2% shortly after 9:30 AM ET.
The broader market sentiment remains cautious, as investors weigh the potential economic impact of Trump's trade policies against the backdrop of a less dovish Federal Reserve. The announcement of Scott Bessent as Trump's Treasury secretary pick has also influenced market dynamics, with many viewing him as a stabilizing force capable of mitigating some of the aggressive trade measures. Meanwhile, the Dow Jones Industrial Average faced pressure, sliding 0.4% due to a significant drop in Amgen shares. Investors are also keeping a close eye on the Federal Reserve meeting minutes, set to be released at 2 PM ET, for further insights into the future path of monetary policy.