Wall Street Surge as U.S.-China Trade Tensions Ease

The S&P 500 surged over 3% on Monday, reaching its highest level since early March, as hopes for eased global trade tensions arose from a temporary U.S.-China agreement to reduce tariffs. Both countries announced a 90-day reduction in steep tariffs, prompting investors to pivot towards riskier assets.

While market sentiment improved, experts warned of potential complications. Chris Brigati of SWBC noted that progress was welcomed, yet uncertainty persisted. Portfolio manager Patrick Kaser cautioned that businesses remained wary, despite optimistic market reactions.

Major indices witnessed substantial gains, with the S&P 500 and Nasdaq marking their largest single-day jumps since April 9. Contributing factors included positive earnings reports and a limited U.S.-UK trade agreement, supported by gains in the technology and consumer sectors.

(With inputs from agencies.)