Stocks ripped higher Wednesday as President Donald Trump appeared to back off some of his stances most disliked by Wall Street, including more than 100% tariffs on Chinese imports and the firing of Federal Reserve Chairman Jerome Powell, as the market swings wildly on Trump’s latest policy leanings.

The Trump administration is mulling steep tariff cuts on China imports, signaling a de-escalation in the trade war. Trump’s reversal lifts investor sentiment.

Mr Trump’s decision to consider backing down in his trade war comes as the harm it has caused America’s economy becomes clearer. Trade shipments between China and the US are collapsing and a critical survey of American businesses shows growth in activity slumped to a 16-month low.