Trump’s China Tariff Softening Sparks Stock Market Rally

Wall Street surged on Monday as President Donald TRUMP dialed back his aggressive trade rhetoric toward China. The Dow Jones Industrial Average jumped 1.4%, reclaiming nearly 70% of Friday's losses, while the S&P 500 and Nasdaq climbed 1.6% and 2.2% respectively. Tech stocks led the charge, with Broadcom soaring 10% after announcing an OpenAI partnership.

Investors breathed a sigh of relief after Trump's Truth Social post declared "Don't worry about China, it will all be fine!" The comments marked a stark reversal from last week's threats of "massive" tariff increases that had wiped out $2 trillion in market value. Vice President JD Vance reinforced the conciliatory tone, suggesting negotiations could resume if Beijing shows flexibility.

While the AI sector gained momentum from Broadcom's deal, cryptocurrency markets remained conspicuously absent from the risk-on move. No major digital assets were mentioned in connection with the trade developments, leaving crypto traders to watch traditional markets' euphoria from the sidelines.