On Wednesday, U.S. stocks experienced a significant rise, rebounding robustly after hitting over one-year lows earlier in the session. This resurgence was sparked by President Trump's announcement of a 90-day suspension on the extensive tariffs introduced the previous week, specifically for countries that refrained from retaliation. The S&P 500 rose by nearly 8%, the Dow increased by 6.5%, and the Nasdaq 100 led the gains with an impressive 10% surge, largely benefiting from the renewed risk-on sentiment that favored tech stocks.
This latest move further emphasized the administration's continually evolving economic policy approach and temporarily lifted tariffs on major U.S. goods suppliers initially targeted, such as Vietnam and Cambodia. However, tensions with China remained, as Trump escalated the trade conflict by increasing their tariffs to 125%. Measures against the European Union are expected to persist due to their retaliation announcement from Brussels.
The technology sector led the recovery after enduring the sharpest declines during the month’s selloff. Notable performers included Nvidia, which soared 15%, Tesla, which added 16%, and Apple, which gained 12%.
