U.S. stocks staged a broad-based rally on Monday, snapping a volatile losing streak after President Donald Trump hinted at a more diplomatic approach to tariff negotiations.
In a post on Truth Social, Trump said the U.S. is handling a "massive amount of requests for negotiations," referencing active talks with South Korea and hinting that China "wants to make a deal, badly."
He also mentioned a joint venture involving an Alaska pipeline and military cost-sharing, asserting that South Korea’s top negotiation team was en route to the U.S.
Meanwhile, Fed speakers begin to highlight the negative economic impact from tariffs. “We can’t really wait to the end of the quarter plus one month before we find out that investment really dropped off and GDP growth is shrinking,” Chicago Fed President Austan Goolsbee said.
By midday trading in New York, all major U.S. stock indices were firmly in the green. The S&P 500 rose 1.4%, the Dow Jones Industrial Average gained 1.1%, and the tech-heavy Nasdaq Composite led with a 1.8% jump. Technology stocks were the day's clear outperformers, driven by a strong rebound in the semiconductor sector.
In commodities, gold prices rose 0.5% to $2,335 per ounce, poised to snap a three-session losing streak. Oil prices also saw a firm recovery, with WTI crude advancing 1.5% to $61.50 per barrel, reversing recent weakness. U.S. Treasury yields remained largely flat.
In contrast, cryptocurrency markets failed to participate in the rally. Bitcoin (CRYPTO: BTC) fell another 1% to $78,000.
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