U.S. Stocks Rise on positive Labor Data and Trade Hopes
U.S. stocks saw a boost on Tuesday. The market climbed due too better-than-expected labor data and hopes for U.S.-China trade talks. This optimism helped counteract concerns raised by the OECD’s economic growth warnings.
The Dow jones Industrial Average climbed 214 points, a 0.51% increase. The S&P 500 rose by 0.58%. The tech-focused Nasdaq led the pack with a 0.81% gain. Chip stocks, especially Nvidia, drove the tech sector’s performance.
April’s job openings, as per the JOLTS report, surprised investors. Openings hit 7.39 million, showing a strong labor market. This data calmed fears about tariffs. The tech sector, led by Nvidia, Broadcom, and Micron, showed market confidence.
Despite these gains, the OECD lowered its 2025 U.S. growth forecast to 1.6% from 2.2%. Tariffs and trade uncertainty are blamed.China’s factory sector also suffered, reflecting trade tensions.
Though, markets focused on potential U.S.-China talks. If Trump and xi Jinping speak, it could ease tensions. This optimism, along with hints that Trump may adjust tariffs, lifted chip stocks. Nvidia, Broadcom, and Micron all rose.
Investors also await Trump’s tax-and-spending bill and July’s GDP and earnings data. robinhood shares climbed 5.5% after acquiring Bitstamp. European stocks rose, and U.S. Treasury yields fell.
While volatility persists,Tuesday’s gains show hope that trade issues may resolve and the economy can stay strong through summer.
