Stocks spiked to al-time highs to start the week. extending gains from Friday’s record-setting rally. Chips and rare earth stocks were among the big movers.
A weekend truce in the trade war between China and the US sent the stock market to all-time highs on Monday.
Speaking during his visit to Asia, Donald Trump said China and the US were headed for a trade deal ahead of a meeting between the president and China’s Xi Jinping scheduled for later this week.
Treasury Secretary Scott Bessent said that the deal would allow China to avoid the 100% tariff threatened by Trump in retaliation for export controls on rare earth minerals.
Some commentators warned investors against getting complacent, as the deal could ultimately disappoint.
«Trade worries ignited the October 10 selloff of almost 3%, and there’s always a chance one side or the other might not be agreeable. Any negative headlines would likely disappoint Wall Street. That’s especially true this time, considering Trump threatened to raise tariffs on Chinese imports to 155% on November 1 «unless we make a deal», Joe Mazzola, head of trading and derivatives strategy at Charles Schwab, said on Monday.
