U.S. Markets Climb on Tariff Reversal and Nvidia Boost; Oil Gains, Gold Slips, Yields Rise

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Index Update: U.S. stock futures rose sharply after a court ruled that former President Trump’s reciprocal tariffs were unlawful, easing trade concerns. Investor sentiment was further boosted by strong earnings from Nvidia, whose shares jumped following a 73% year-over-year surge in its data center business driven by AI demand. However, CEO Jensen Huang noted that export restrictions to China are limiting potential revenue. Meanwhile, the Trump administration is pressing U.S. firms to restrict semiconductor software sales to China, adding complexity to the trade environment.

Market Movers: On Wednesday, the top gainers were Spero Therapeutics, Inc (+244.57%), followed by Signing Day Sports, Inc (+163.86%). On the contrary Medicus Pharma Ltd (-33.12%) and Elong Power Holding Limited (-30.83%) declined the most the same day.

Commodities Update: Oil prices rose for a second consecutive session, supported by easing trade tensions and supply concerns. A U.S. court ruling against President Trump’s global tariffs helped reduce market uncertainty and improved the demand outlook. Geopolitical risks also supported prices, with Libya threatening to halt output, Chevron suspending operations in Venezuela, and potential U.S. sanctions on Russian crude. However, gains may be limited as the market awaits the upcoming OPEC+ decision, which could result in a July output increase. Gold prices fell for the fourth straight day, pressured by reduced demand for safe-haven assets following the court’s decision to block Trump’s tariffs. The ruling weakened the case for holding gold amid easing trade risks. Meanwhile, the Federal Reserve signaled a cautious stance, highlighting inflation and unemployment risks. Despite the price drop, U.S. gold exports to Switzerland surged in April after tariffs on precious metals were lifted, influencing global trade dynamics.

Macro Update: he 10-year U.S. Treasury yield rose above 4.5%, extending gains as reduced tariff risks lowered demand for safe-haven assets. This followed a court ruling declaring former President Trump’s reciprocal tariffs unlawful and ordering their removal, though an appeal is expected. Investors are also watching Senate discussions on Trump’s tax and spending plan, which may undergo major changes. Meanwhile, Fed meeting minutes revealed a cautious stance, with officials highlighting growing risks of inflation and unemployment.

Futures Update: U.S. stock index futures surged, driven by optimism following a court ruling against trade tariffs imposed by former President Donald Trump and strong earnings from AI leader Nvidia. The Dow Jones, S&P 500, and Nasdaq 100 futures all posted significant gains. Major U.S. indices are also set to end the week and month higher, with the S&P 500, Dow Jones Industrial Average, and NASDAQ Composite all recording notable advances.

After exhibiting a lack of clear direction for much of Wednesday’s session, stocks declined in the latter part of trading. The S&P 500 dropped by 32.97 points, or 0.56%, closing at 5,888.56. Technical analysis suggests that the index found support within a demand zone and gradually moved upward, indicating the potential for a short-term upward trend. Additionally, the formation of a golden cross between key moving averages points to a possible shift toward a more bullish outlook, which could serve as a support level in the near term. Support is anticipated around 5,777, with resistance expected near 6,047.