The three major stock indices on the New York Stock Exchange closed higher. This is interpreted as a result of the optimism centered around technology stocks following the explanation from the White House that a conversation between U.S. President Donald Trump and Chinese President Xi Jinping will be scheduled soon.
On the 3rd (Eastern Time), the Dow Jones Industrial Average closed at 42,519.64, up 214.16 points (0.51%) from the previous session on the New York Stock Exchange (NYSE). The Standard and Poor's 500 index rose by 34.44 points (0.58%) to 5,970.36, while the Nasdaq Composite index jumped by 156.34 points (0.81%) to 19,398.96.
On this day, the White House officially stated that Trump and Xi Jinping would engage in a conversation soon.
White House Spokesperson Karoline Leavitt noted, "There will be a conversation between the leaders soon" and said, "The (Trump) administration is confident that China is monitoring whether it complies with the Geneva trade agreement."
As a result, the stock market continued its upward trend focused on technology stocks.
By sector, technology rose by 1.48%, and energy increased by 1.11%. Real estate, telecommunications services, and consumer staples showed weakness.
The Philadelphia Semiconductor Index, which includes artificial intelligence (AI) and semiconductor-related stocks, surged by 2.72%. Nvidia jumped by 2.80%, and Broadcom also rose by 3.27%. TSMC, AMD, Arm, Applied Materials, and Texas Instruments also increased around 2%.
In particular, Nvidia's strong performance on this day recorded a market capitalization of $3.44567 trillion (approximately 475.16203 trillion won), reclaiming the top position in market capitalization, surpassing Microsoft (MS).
Dan Ives, an analyst at Wedbush Securities, stated, "Wall Street is looking at this as a high-stakes poker game beyond just the current stakes," and added, "The fact that Trump and Xi Jinping are scheduled to talk this week leads me to believe there’s optimism in U.S.-China relations."
He further added, "Nvidia is the key beneficiary of the negotiations between the two countries."