US stocks stage historic rally as Trump's 90-day pause takes worst case scenario 'off the table'

Key Points

  • President Trump announced a 90-day pause on his steep "reciprocal" tariffs for non-retaliating countries, leading to a massive rally in US stocks.
  • The S&P 500, Nasdaq, and Dow Jones Industrial Average saw significant gains, marking some of their best one-day performances in history.
  • Big Tech stocks like Nvidia, Tesla, Apple, Meta, and Amazon led the market surge with substantial percentage increases in their stock prices.
  • Despite the tariff pause, Trump escalated tariffs on Chinese imports, but stocks like Apple and Alibaba still rose.
  • Market volatility was high, with significant swings in the S&P 500 and a notable increase in the 10-year Treasury yield.

Summary

President Trump's announcement of a 90-day pause on his steep "reciprocal" tariffs for non-retaliating countries triggered one of the largest one-day rallies in US stock market history. The S&P 500, Nasdaq, and Dow Jones Industrial Average all saw significant gains, with the S&P 500 having its best day since 2008. Big Tech companies like Nvidia, Tesla, Apple, Meta, and Amazon were at the forefront of this surge, with their stocks rising by double-digit percentages. Despite the positive market reaction, Trump escalated tariffs on Chinese imports, yet stocks like Apple and Alibaba still managed to increase in value. The market had been experiencing high volatility, with the S&P 500 swinging dramatically and the 10-year Treasury yield jumping significantly. This led to concerns about potential market instability due to the ongoing trade war, but Trump's tariff pause provided a temporary relief, although economic forecasts still suggested a high probability of a recession.

yahoo
April 10, 2025
Stocks
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