New York Stock Exchange
Traders work on the floor of the New York Stock Exchange during morning trading on February 03, 2025 in New York City. Michael M. Santiago/Getty Images

U.S. Stock markets started paring losses after President Donald Trump's tariffs on Mexican goods were put on hold for 30 days.

Trump had planned 25% tariffs on imports from Canada and Mexico and a new additional 10% on Chinese products.

Mexican President Claudi Sheinbaum announced Monday morning that the tariffs against her country were on hold after she had a "good conversation" with Trump and she agreed to send 10,000 troops to the U.S. border to combat drug trafficking.

The Dow Jones Industrial Average had been down 666 points in early trading on Monday. The index was down less than 200 points by early afternoon.

The S&P 500 and NASDAQ were also recovering after being down sharply in morning trading.

Bond yields were little changed despite a growing fear of rising inflation tied to a possible trade war Reuters reported.

Bitcoin prices also recovered in the late morning and were trading above $99,000 after being down much more earlier in the day.

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