U.S. and Chinese markets surge as trade tensions ease, leading to significant stock market gains

From Nasdaq: 2025-05-12 18:01:00

On Monday, May 12, 2025, the stock markets had one of their strongest sessions of the year. The S&P 500 is now within 5% of its all-time high, with the Dow and S&P 500 close to posting profits for the year. The Dow rose 1160 points, the S&P 500 gained 184 points, and the Nasdaq surged by 779 points.

The agreement between the U.S. and China to pause reciprocal tariffs led to a significant market shift. Amazon and Meta Platforms both saw an 8% increase in their stock prices. Chinese stocks also bounced back, with Hong Kong’s Hang Seng index gaining 3%.

Looking ahead, the Consumer Price Index (CPI) report for April is expected to show a swing in month-over-month figures. Despite inflation levels above the Fed’s targets, interest rate cuts are unlikely for now. A semiconductor stock with strong growth potential is making headlines, positioned to capitalize on the growing demand for AI and IoT technology.



Read more at Nasdaq: U.S., Chinese Markets Cruise on Cooling Trade Tensions