Nasdaq soars over 4%, leads stock rally after US-China truce

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US stocks (^DJI, ^IXIC, ^GSPC) held onto gains in Monday's trading session as the Nasdaq Composite closed by over 4.3% higher, coming off the 90-day tariff cuts agreed to by US and China officials.

Market Domination Overtime co-host Julie Hyman and Yahoo Finance markets and data editor Jared Blikre recap the day's market and sector action on these US-China trade headlines.

To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here.

00:00 Julie Hyman

There's the closing bell on Wall Street, and now it's Market Domination Overtime, sponsored by Tasty Trade. We're going to be joined by Jared Blickre to get us up to speed on the action and the details from today's session. I'm going to start with the major averages here, seeing a rally that's about the best in a month for all three major averages. The Dow up about 1160 points today, that's a gain of 2.8%. The S&P 500 up three point uh, three and a quarter percent, let's call it, uh, to just over 5800, and the Nasdaq up more than 4% today, about 4.4%. What stands out to me in this session is that it was pretty consistent. We have had a lot of intraday volatility as of late, even on days when it was in a relatively tight range. You saw a lot of bouncing around in that range. You didn't really see that today. Stocks gapped higher out of the gate, and they pretty much stayed higher and even closed at the highs of the session within that tight range. So, this is a little bit unlike some of the action that we have seen as of late. Now, as we know, all of it has to do with this sort of detente or truce, or whatever we're going to call it, between the US and China on the worst-case scenario for tariffs. Jared's got some more details on the action today. Hey, Jared.

02:02 Jared Blikre

Thank you, Julie. You nailed it. It's a gap and go day. Kind of frustrating for index traders, um, because there's not a lot of volatility intraday on a day like this, but I think investors, especially the long-term ones, will find this welcome. And I think it's uh, interesting here. Look at the S&P 500 year to date. We are just within less than 1% of break even once again, and it was just a short distance one month ago that we rocketed off of those lows on April 9th. And in fact, uh, that was such a big day that even, uh, the, despite the huge market performance outperformance today, we are really not even about half of that day one month ago. I want to pay attention to the VIX for a second. Finally, broke under 20. That's a big milestone there. Just kind of a psychological number, but if you notice here, we are back to the levels that we were at, uh, in late March, and we had that little hiccup there. It came down, and I think, uh, before this, um, let's go back to the bull market of 2023-2024. Uh, we were definitely in the low to mid teens there. So, nice to see that happening here, and I'm going to switch to an intraday view. Consumer discretionary, Amazon, Tesla rocketing that sector higher. A lot of retail stocks, Best Buy, one of the best stocks in the S&P 500, uh, Stanley Black & Decker as well. And then, tech is number two, and if you take a look at the Nasdaq 100, you can really see some of this outsized performance. Amazon up 8%, uh, Meta up almost 8%, Tesla up 6.75%, and just taking in the leaders for a second here. Uh, SOXX, that would be the semiconductors ETF, really rocketing higher. Also seeing aerospace and defense, disruption, retail, MAG7, China, you name it. Lots of bullish action today, Josh.

04:55 Josh

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