Market Rebounds as Dow and Nasdaq End Losing Streaks
Stocks rebounded significantly today. The Dow reduced yesterday’s losses, while the Nasdaq reclaimed the 16,000 mark, with both indexes breaking their four-day losing streak. Additionally, the S&P 500 saw notable gains after Treasury Secretary Scott Bessent indicated to investors that “there will be a de-escalation” in trade tensions with China.
Bessent’s remarks triggered a rally in tech stocks that have exposure to China. Investors are attentive to the earnings schedule, with Tesla (TSLA) set to report its results after the market closes. Meanwhile, the Cboe Volatility Index (VIX) fell during the stock rally but remained above the crucial threshold of 30.
Continue reading for more on today’s market, including:
- Three cryptocurrency stocks benefiting from Bitcoin’s (BTC) surge.
- Now might be an opportune moment to purchase shares in JPMorgan.
- Further insights on defense stocks, Verizon’s earnings, and a homebuilding stock to monitor.
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Five Key Insights for Today
- The International Monetary Fund (IMF) stated that rising tariffs signify a new era that will likely slow down global economies, affecting the U.S. economy as well (Wall Street Journal).
- Meta Platforms’ (META) core online advertising revenue could potentially lose $7 billion by 2025 due to President Trump’s tariffs on China (CNBC).
- Two defense stocks experienced declines after recent earnings reports.
- Verizon’s stock brushed aside a quarterly win.
- Could this homebuilding stock have finally reached its bottom?
Gold Reaches New Heights Before Pullback
Oil prices increased on Monday following new U.S. sanctions against Iran. The overall market rally also contributed to the rise in oil prices. May-dated West Texas Intermediate (WTI) crude dropped $1.23, or 2%, to end at $1.23 per barrel.
Gold prices settled lower but achieved a record high of $3,509.90 earlier in the day. The slight decrease was influenced by decreasing trade tensions between the U.S. and China. June-dated gold fell by 0.2%, closing at $3,419.40 per ounce.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
