U.S. markets are poised to open with big gains, a clear signs of relief after President Donald Trump said he would not attempt to fire the head of the Federal Reserve and Treasury Secretary Scott Bessent said he expects a “de-escalation” from unsustainable tariffs against China in the trade war between the world’s two largest economies.

The Trump administration’s trade war rhetoric towards the People’s Republic of China appears to be softening further with Treasury Secretary Scott Bessent telling a group of economists that Beijing has a chance to strike a significant trade accord with Washington as both countries seek to reorient their economies.

Treasury Secretary Scott Bessent on Wednesday said he believes the Trump administration could strike a deal with China.