FX.co ★ S&P Turns Positive for 2025

Wall Street continued its upward trajectory on Tuesday, buoyed by a reduction in US-China trade frictions and more favorable inflation figures that lifted investor confidence. The S&P 500 advanced by 1%, moving back into positive territory for the year 2025, while the Nasdaq 100 surged ahead with a 1.8% increase, spurred largely by a strong recovery in semiconductor stocks. Nvidia saw a significant rise of 5.8% following the announcement of a substantial AI chip agreement with Saudi Arabia, positively affecting other companies in the sector such as AMD and Broadcom, both of which increased by over 4%. In contrast, the Dow Jones Industrial Average had a less favorable outcome, dropping more than 150 points, primarily due to UnitedHealth's stock plummeting by 18% following the CEO's resignation and the halt of forward guidance. In April, the consumer price index increased by only 2.3% year-on-year, slightly under expectations, enhancing hopes that inflation is cooling and that interest rate cuts might be forthcoming. Investor confidence was further reinforced by a $600 billion investment plan from the White House and renewed optimism surrounding a 90-day halt in US-China tariffs. This convergence of positive macroeconomic indicators and geopolitical developments has revitalized a bullish sentiment across the market landscape.