Stocks rebounded on Tuesday, clawing back most of Monday’s losses despite the escalating new trade war between the U.S. and China. China hit back against American tariffs that went into effect Tuesday morning,

The stock market is waiting anxiously for the next move on tariffs as China’s retaliation to levies from the U.S. has put markets on edge amid fears of an escalating tit-for-tat trade war between the two powers.