U.S. stock markets surged on Monday, led by a rebound in technology shares, as reports suggested the Trump administration may take a measured approach to upcoming tariffs. Investors welcomed the news, driving major indexes to two-week highs.
Top tech performers included Nvidia, up 2%, Meta Platforms, which gained 4%, and Amazon, rising 2.8%. Tesla also jumped 7.3%, adding to its recent gains.
“The market seems to be reacting in sync with those up-to-the-minute changes in tariffs,” said Peter Andersen of Andersen Capital Management.
Economic Indicators and Earnings Outlook
Recent volatility in financial markets has been fueled by fears of an economic slowdown following Trump’s tariff announcements. Some companies have revised their earnings forecasts downward, with S&P 500 profit growth expectations for 2025 falling by 3.5 percentage points since January.
Despite the turbulence, the U.S. stock market appears to have stabilized after a correction that saw major indexes drop 10% from their record highs. The Dow Jones rose 1.19%, the S&P 500 gained 1.47%, and the Nasdaq climbed 1.87% on Monday.
Investors are now turning their attention to upcoming economic data, including the Federal Reserve’s preferred inflation gauge, the PCE price index. Meanwhile, M&A activity made headlines as Dun & Bradstreet announced a $7.7 billion acquisition deal, while Lockheed Martin’s stock declined following a downgrade from BofA Global Research.