Wall Street Skyrockets as US-China Trade War Takes Shocking Turn!

President Donald Trump is seen on a television screen while a trader works on the floor of the New York Stock Exchange on May 12 2025

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STOCKS EXPLODE! TRUMPโ€™S TRADE WAR TAKES A SUDDEN TURN!

Wall Street on Fireโ€”Is the Tariff Nightmare Finally Over?

In a shocking twist that could change the economic landscape, U.S. stocks skyrocketed on Monday! Investors are buzzing as the news breaks: a NEW tariff agreement between Washington and Beijing signals that President Donald Trumpโ€™s trade war might finally be moving out of its fiery phase!

S&P 500 Soars by 3.3%: Nasdaq Skyrockets by 4.3%!

Yes, you read that right! The blue-chip S&P 500 ended the day with a stunning 3.3% increase, while tech-heavy Nasdaq raced ahead by a jaw-dropping 4.3%. Meanwhile, the U.S. dollar soared 1.5% against a basket of currencies, marking the BIGGEST leap since Trump took office!

ASIA FEELS THE BOOM!

In the Asia-Pacific, Japanโ€™s Topix rose a cool 1.4% in early Tuesday trading, while insiders speculate on a rebounding yen following Mondayโ€™s sell-off.

โ€œPeak Tariffs Are SO Last Season!โ€ – Experts Declare!

Ajay Rajadhyaksha from Barclays insists, โ€œPeak tariffs are very much in the past.โ€ While growth may take a hit this year, recession fears are starting to fade into the background.

MASSIVE TARIFF CUTS COMING UP!

Mark your calendars! The U.S. and China have announced they will CUT tariffs for the next 90 days! Yes, you heard that right! U.S. tariffs to drop to 30%, while China slashes theirs to 10%. Talk about a turnaround!

This colossal shift could spell relief for a market that witnessed a heart-stopping 15% drop after Trumpโ€™s โ€œliberation dayโ€ proclamation last month. Now, the S&P 500 has clawed back from those terrifying lows and is down just a hairโ€”0.6% for 2025.

NASDAQ: ON A ROLL WITH A 27% JUMP!

The Nasdaq has been on a tear, bouncing back 27% from its lowsโ€”just when you thought it couldn’t get any better!

THE RECESSION FREAK-OUT IS DISSIPATING!

Goldman Sachs has slashed the probability of a U.S. recession to 35%, down from a grim 45%. Analysts are shifting their mindsets: we’re moving to a โ€œ10-30 world,โ€ where most economies face 10% tariffs while China gets hit with 30%. Who saw that coming?!

TREASURY YIELDS ON THE RISE: POSITIVE VIBES ONLY!

U.S. Treasury yields shot up on Monday, indicating traders are ditching doom-and-gloom scenarios for brighter prospects! The 10-year Treasury yield reached its highest point in a month, showing confidence in growth expectations!

TECH STOCKS & CONSUMER GOODS RIDE THE WAVE!

Big wins for tech companies as every stock on the Philadelphia Semiconductor Index soared 7%! Retail giants like Target and Home Depot arenโ€™t far behind; theyโ€™re climbing too!

BUT WAITโ€”IS IT ALL SUNSHINE AND RAINBOWS?

Hold your horses! Deutsche Bank warns that weโ€™re NOT out of the woods just yet. Tariffs on vital sectors like pharmaceuticals, semiconductors, and copper are on the horizon!

JPMorganโ€™s Priya Misra cautions, โ€œThe uncertainty is STILL with us!โ€ The storm clouds may have parted temporarily, but businesses need to keep an eye on their supply chains and hiring.

CLING ON FOR DEAR LIFE!

Buckle up, folks! The marketโ€™s rollercoaster ride is far from over, but it seems thereโ€™s a glimmer of hope on the horizon! The economic landscape keeps changingโ€”will you be ready for the next twist?

photo credit: www.ft.com

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Source: USD @ Tue, 13 May.