U.S. stocks edged up Monday as investors digested mixed messages on the trade war.
The Dow Jones Industrial Average rose 312 points, or 0.8%, while the S&P 500 added 42 points, also climbing 0.8% by market close. The tech-heavy Nasdaq Composite was up 107 points, or 0.6%.
Gold slipped 0.8%, suggesting a slight pullback from last week’s mad dash into safe-haven assets. Apple stock climbed, helping to trigger the tech-led bounce on Monday. The electronics exemption seemed to shield smartphones, laptops, and other consumer electronics from Trump administration tariffs on Chinese goods.
Stocks To Watch | 📊Ready, set, trade! Keep an eye on these stocks as they set the market abuzz #StockMarket #TrumpTarrifs pic.twitter.com/XTbdWbXzwn
— ET NOW (@ETNOWlive) April 15, 2025
This relieved companies that rely heavily on Chinese manufacturing, such as Apple, Nvidia, and Microsoft. However, the reprieve may be short-lived.
Commerce Secretary Howard Lutnick stated that the products are still included under a forthcoming round of semiconductor-related tariffs, “coming in probably a month or two.” President Donald Trump later rejected the idea that there had been any exemption at all, saying the goods were still subject to existing 20% tariffs and had merely shifted tariff categories.
He said no product was actually exempt, calling the change a simple reclassification. NOBODY is getting ‘off the hook,'” he posted on his social media site, Truth Social—democratic Sen.
Indian Stock Market: Inflation, US jobless claims data and China Q1 GDP to drive markets in truncated week https://t.co/ZaW1d7e2DT
— ET NOW (@ETNOWlive) April 14, 2025
Elizabeth Warren of Massachusetts criticized the shifting policies as “chaos and corruption,” warning that such unpredictability erodes investor confidence. The Fear & Greed Index is in “extreme fear” territory, reflecting a lack of bullish sentiment amidst chaotic policy announcements.
The S&P 500’s recent 5% intraday swings suggest more structural than seasonal volatility. Morgan Stanley and Citigroup analysts have cut their year-end forecasts for U.S. stocks, pointing to rising risks from such unpredictable policy moves and ongoing geopolitical tensions. Heading into a season in which major banks, healthcare companies, and consumer-facing platforms like Netflix will report results, each release could either steady or rattle investor nerves.
Per this Bloomberg chart, the US bond yield rollercoaster continued today with an 11 basis drop in the 10-year. This was accompanied by 0.6-1.1% gains in the major US stock market indices.
The appreciated return of relative market calm hides a division of views on yields —… pic.twitter.com/3myX8aAeJs— Mohamed A. El-Erian (@elerianm) April 14, 2025
Trade turmoil impacts tech and stocks
Apple stock jumped 2.2% on Monday, lifted by hopes the company will be temporarily exempt from new electronics tariffs. President Trump said Monday afternoon that he was “flexible” regarding a temporary exemption for Apple. Separately, Apple reclaimed the top spot in global smartphone shipments for the first quarter of 2025, thanks to strong demand for the iPhone 16e in markets such as Japan and India.
Goldman Sachs reported a robust 15% increase in first-quarter profit, reaching $4.74 billion, or $14.12 per share, driven by strong trading performance amid market volatility. Goldman stock rose 1.9% on Monday. Goldman is a bellwether for how corporate America is handling volatility, providing a real-time pulse check on capital flows and investor sentiment in a year that’s been anything but normal.
On Monday, it’s a reminder that Wall Street firms may make money whether times are good or bad.
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