TACO trading reappears? Trump's tariff rhetoric eases, US stock index futures rebound, gold and silver prices hover at historic highs.

President Trump expressed willingness to negotiate with China, causing the price of U.S. stock index futures to rise and oil prices to rebound. Previously, market sentiment was negatively impacted by escalating trade tensions, but this news improved market sentiment. Contracts for the S&P 500 Index and Nasdaq 100 Index rose by more than 1%. U.S. Treasury futures prices fell, oil prices rose by over 1%, and cryptocurrencies showed strong rebounds after last Friday's sell-off. London experienced a historic short squeeze in silver, while trade tensions roiled the market, pushing silver prices close to historic highs, and gold prices also hit new highs. Silver prices rose by 1.1% to a high of $51 per ounce, while platinum and palladium prices both rose by over 2%. Gold prices hit a new high, reaching $4060 per ounce, marking the eighth consecutive week of gains on Friday. Recently, the most direct response to trade tensions in the market has been a surge in safe-haven assets like precious metals and a decline in risk assets. Since the market collapse in April caused by tariffs, the S&P 500 Index has substantially risen due to optimistic expectations for artificial intelligence and expectations of a Fed rate cut. The index's current valuation is near its highest level in 25 years, making it less resilient to negative news. After Trump's tariff threat last Friday, U.S. stocks tumbled. This year, precious metal prices have surged, dominating the commodity market. Demand for safe-haven assets has been driven by uncertainties related to U.S.-China trade friction, threats to the Fed's independence, and the U.S. government shutdown. As the U.S. government's so-called "232 investigation" into key minerals (including silver, platinum, and palladium) nears its end, traders remain on edge. Concerns about these metals potentially being affected by Trump's tariff policies have exacerbated the tight market supply situation, leading to a rise in silver prices after a significant reduction in freely available resources in the London market. Due to concerns about the lack of liquidity in the London market, silver prices are approaching the record of $52.50 per ounce set in 1980. Benchmark prices in London have risen significantly above New York prices, prompting some traders to book cargo space on transatlantic flights to load silver bars an expensive means of transport typically only used for more valuable gold in order to profit from the large premiums in the London market. Dilin Wu, strategist at Pepperstone Group, stated: "The market is currently discussing whether the latest tariff impact will actually occur. If this is just a negotiation strategy, the current pullback may present a good opportunity to 'buy the dip.' However, if the tariffs take effect, a new round of volatility and reassessment of global risks may follow."