Wall Street saw mixed results on Tuesday, with major banks reporting robust quarterly earnings. The S&P 500 banking index rose by 2%, propelled by strong performances in investment banking from key players like Wells Fargo and Citigroup, which saw significant stock surges.

Despite positive earnings, investor sentiment was overshadowed by U.S.-China trade tensions. President Trump's tariff threats loomed large, although his softened stance temporarily calmed markets. The trade dispute continued to impact shipping and global equities, posing a potential risk to market stability.

Meanwhile, Federal Reserve Chair Jerome Powell highlighted a potentially stronger-than-expected U.S. economic trajectory. The Dow Jones and other indexes reflected these mixed signals as the market grappled with ec

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