The announcement of 25% tariffs on Canada and Mexico by President Trump has introduced uncertainty into the markets, particularly impacting sectors like US automakers due to potential disruptions in cross-border trade. Despite these geopolitical tensions, the US economy is showing resilience, with consumer spending advancing at a 4.2% pace and weekly jobless claims coming in below estimates. This economic stability suggests that the Federal Reserve might maintain its current interest rate levels for an extended period, providing some support to the markets. The S&P 500 Index, reflecting these mixed signals, saw a modest increase today, driven by the underlying strength in consumer spending and employment data.
The ProShares UltraPro S&P 500 (UPRO) ETF experienced a rise, closing at $96.19, up 1.58% from the previous close of $94.69, as of 16:20 on Thursday, January 30.