Wall Street stepped back into stocks Monday after President Trump signaled — yet again — that he wants to work out a trade deal with China.
Early Monday, President Trump told reporters that the two countries would be “getting back to the table” to try to hammer out a trade deal. It was enough for markets, which were walloped Friday on Trump’s tough talk on trade, to end Monday’s trading 💟s🌄ession in the green.
Although traders have been watching trade tensions intensify and cool for a good𒆙 18 months, they want to 𝓡believe that Trump is hesitant to let stocks drop too much on his watch, watchers said.
“Friday’s downdraft 💜could have gotten Trump’s attention,” Jack Ablin, chief investment officer at Cresset Capital Management sa𒈔id. Adding to pressure for a trade truce were Fed Chair Jerome Powell’s comments Friday that the central banks lacks a “rulebook” for international trade, Ablin added.
The Dow Jones industrial average popped 303.92 points moments after the open before♏ settling up 269.93 points — or 1.1% — at 25,898.83 on signs of easing tensions between the world’s two largest economies.
Both the S&P 500 and Nasdaq gained 1.1% and 1.3%, resp✤ectively.
“Part of today’s rally is that we sold off so much on Friday … so even if you get a headline that seems superfluous in nature that’s enough to send us green,” said Michael Antonelli, managing director at Baird. “Right now the market [is a] dog being led around by its leash.”