Topline
Stocks rocketed Wednesday as President Donald Trump appeared to back off some of his stances most disliked by Wall Street, including more than 100% tariffs on Chinese imports and the firing of Federal Reserve Chairman Jerome Powell, as the market continues to swing wildly on the latest policy leanings of Trump.
Stocks surged Wednesday as the market celebrated a less hawkish White House.
Key Facts
The Dow Jones Industrial Average rose 1,080 points, or 2.8%, by mid morning, while the S&P 500 soared 3.3% and the tech-heavy Nasdaq jumped 4.2% by 10:30 a.m. EDT.
Excluding the historic April 9 rally after Trump paused many of his country-by-country tariffs, Wednesday is on pace to be the Dow’s largest daily percentage gain since November and the S&P’s and Nasdaq’s best days since November 2022.
Wednesday’s spike came after Trump’s comments after Tuesday’s market close sent stock futures up, as the president said the 145% tariffs on Chinese goods will “come down substantially” and he has “no intention of firing” Powell.
“The market may have reached a juncture where the initial shock and awe from the relentless news cycle has largely subsided,” Nationwide’s chief market strategist Mark Hackett wrote in emailed comments.
Further driving gains after Wednesday’s open was The Wall Street Journal reporting the Trump administration intends to lower Chinese tariffs to 50% to 65%, cutting the levies by more than half.
Crucial Quote
“‘America First’ does not mean America alone,” Treasury Secretary Scott Bessent said in a 10 a.m. speech at the Institute of International Finance Global Outlook Forum, nodding to one of Trump’s signature slogans and signaling the White House shift away from its most hawkish trade position. Bessent called for “deeper collaboration and mutual respect” between the U.S. and its trading partners.
What Stocks Rose The Most Wednesday?
All but one of the 13 S&P sectors rose Wednesday, though the consumer discretionary and information technology sectors, considered the stocks most sensitive to shifting risk appetites, rose the most. Shares of Amazon and Tesla soared 7% apiece while Apple and Nvidia stocks rose 4% and 5%, respectively. Among the more than 100 S&P constituents rising 5% or more were Blackstone, Boeing, Intel, Palantir and United Airlines.
Further Reading