On the 14th (local time), major indexes on the New York Stock Exchange opened with gains across the board. It is analyzed that the decision by the Donald Trump second administration to place a 'tariff hold' on smartphones, computers, memory cards, and other items has boosted investor sentiment.
However, since U.S. President Trump and Secretary of Commerce Ross noted that the exclusion of smartphones, laptops, computer processors, memory chips, and semiconductor manufacturing equipment from reciprocal tariff imposition is "not permanent," uncertainty regarding tariffs remains.
On the New York Stock Exchange (NYSE) at 10:30 a.m., the Dow Jones Industrial Average, a group of blue-chip stocks, rose 413.62 points (1.03%) to 40,626.33. The Standard & Poor's 500 index, a benchmark for large-cap stocks, showed an increase of 73.01 points (1.36%) to 5,436.37, while the technology-focused Nasdaq composite index rose 274.99 points (1.64%) to 16,999.44. The volatility index (VIX), compiled by the Chicago Board Options Exchange (Cboe), pointed to a decrease of 6.03 points (16.05%) to 31.53.
The three major indexes closed higher on the previous trading day, the 11th. This is influenced by the indication from the United States and China to pause the tariff war. A turbulent week characterized by sharp fluctuations concluded with a collective gain on a weekly basis. Deteriorating price indicators and strong performances from bank stocks also supported the market. However, all three major indexes were still in correction territory (declining over 10% from their peaks).
The Dow Jones index is over 9% lower than its all-time high on Dec. 4 of last year (40,573.63), the S&P 500 index is over 11% lower than its peak on Feb. 19 (6,144.43), and the Nasdaq index is over 15% lower than its peak on Dec. 16 of last year (20,204.58). Only the Dow Jones index has stepped out of correction territory.
On this day, all stocks in the large technology stock group "Magnificent 7" (M7) opened with an upward trend. Apple’s stock price has increased by approximately 4%. After the announcement of the reciprocal tariff, Apple’s market capitalization decreased by about $640 billion over three trading days. On this day, Nvidia, Microsoft, and Tesla rose by over 1%, while Alphabet (Google's parent company) increased by over 2%, but Amazon and Meta showed little change.
The stock price of Advanced Micro Devices (AMD) rose by over 2%, while shares of AI server manufacturer Supermicro increased by over 3%.
The exchange-traded fund (ETF) tracking the S&P 500 technology sector, "Technology Select Sector SPDR Fund" (XLK), is also up in the 2% range. Shares of computer manufacturer Dell Technologies rose over 6%. Best Buy, the largest electronics retailer in the U.S., also rose by over 4%.
Ahead of the opening, shares of the large bank Goldman Sachs, which reported its performance for the first quarter, rose by over 2%. Goldman Sachs' first-quarter revenue reached $15.06 billion, marking the third highest performance ever. The net profit was $4.74 billion, an increase of about 15% compared to the same period last year. The earnings per share (EPS) stood at $14.12, exceeding the market estimate of $12.35.
Shares of large pharmaceutical company Pfizer rose by over 1% after announcing the halt of its obesity treatment drug development. Intel's shares surged nearly 5% after announcing the sale of a majority stake in its programmable chip division, Altera, to private equity firm Silver Lake. Intel had acquired the entire stake in Altera for $16.7 billion in 2015.
Lori Calvasina, RBC Capital Markets' head of U.S. market strategy, noted, "The tariff suspension measures and strong bank earnings appear to offset concerns over turmoil in the U.S. Treasury market and fears of recession." Paul Hickey, co-founder of Bespoke Investment Group, said, "To properly assess whether April's volatility can stabilize within this week, at least one more day will need to be waited upon," adding, "Thanks to the rise today, it’s much more manageable."
Meanwhile, European stock markets also showed a simultaneous surge. The pan-European index STOXX 600 rose by 2.95%, the German DAX index increased by 3.19%, and the British FTSE index jumped by 2.39%.
International crude prices are also rising. The price of the May contract West Texas Intermediate (WTI) rose by 0.54% to $61.83 per barrel, while the price of global benchmark Brent crude for June rose by 0.56% to $65.12 per barrel.
This week, the New York Stock Exchange will have a shortened trading week due to the market closing on the 18th for Good Friday, resulting in only four trading days.