Major indices are sitting at the lows of the session after White House secretary announced the 104% tariffs package will go into effect at midnight after China failed to remove its retaliation.

Trump announced an additional 50% tariff on Chinese goods after they placed a 34% retaliatory tariff on American goods. Last night, China also announced a ban on several rare earth element exports.

Yesterday, Scott Bessent announced around 70 countries were looking to negotiate, so far. Importantly, Japan is now included, which caused the markets to move higher at the open. The Trump administration will seek to lower tariffs on American goods, reduce trade deficits, boost domestic investment, lower the deficit, and stop other trade barriers like currency manipulation and quotas.

The Volatility Index (VIX) rose to its highest level of the day, 45, following the 104% tariff announcement.

The Ten-Year Treasury Yield (TNX) continues higher, nearing the 4.2% level.

Almost all sectors are in green, with Financials (XLF) leading the way. Notably, Materials (XLB) is the worst performer driven by weak leadership from Albemarle (ALB) amid ongoing concerns about demand for electric vehicles.