On Monday, the stock market experienced notable movements, particularly in the technology sector, spurred by key announcements from the White House and strong earnings reports from major corporations. Apple Inc. led the charge, jumping more than 5% in premarket trading. This rally took place just after President Donald Trump announced that smartphones and other electronics would be spared from reciprocal tariffs.
The exemption is meant to help relieve some of the economic burden on technology firms who have a heavy dependence on imported parts. This announcement had a swift dagger to the heart effect on many tech stocks. For example, Nvidia shot up 3%, and Advanced Micro Devices surged nearly 4%. Super Micro Computer posted an increase of almost 5%. Dell Technologies was another big beneficiary, climbing nearly 6% after confirmation of a temporary rollback on some tariffs.
Goldman Sachs announced its quarterly earnings today and trumpet a standout performance. The company earned $14.12 per share, well above the anticipated $12.35 per share according to the analysts on Wall Street. In its earnings report, the bank’s revenue of $15.06 billion beats consensus estimates of $14.81 billion. This was the report of the London Stock Exchange Group (LSEG), which helped lift the recently very bullish mood further.
At the same time, technology retailer Best Buy saw its stock price double, jumping almost 9% in value. The consumer electronics retailer was helped by its own strong sales results but clearly got a boost from the favorable tariff news.
Pfizer recently decided to stop pursuing its daily weight-loss pill. This dramatic decision may very well rattle investor confidence in the pharmaceutical giant. The stock market took a wait-and-see attitude to this news, but the positive momentum in the overall market was too strong.
Foreign policy observers noted the historic rise of chipmakers. This rise is a direct result of the reciprocal tariff exemptions Trump issued that for months had shaken up the technology supply chain with reciprocal tariffs. This policy change has resulted in a wave of investor enthusiasm for growth in the tech sector’s future.
CNBC’s Jesse Pound contributed reporting, highlighting how these developments create a complex landscape for investors navigating market fluctuations.