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Equities moved sharply higher on Wednesday as the latest trade developments spurred optimism on Wall Street that the U.S. would reach more deals before its impending tariff deadline.
The Dow Jones Industrial Average skyrocketed 507.85 points, or 1.1%, to 45,010.29.
The S&P 500 index gathered 49.29 points to 6,358.91 and hit a new all-time high. Wednesday’s moves yet another peak, the 12th for the much-broader market in 2025.
The NASDAQ vaulted 127.33 points to 21,020.02.
The run to new highs has sparked so-called animal spirits on Wall Street, with shares of small companies with brand names and questionable finances getting a boost. Kohl’s surged on Tuesday and GoPro and Krispy Kreme were jumping on Wednesday.
Investors await earnings from Alphabet and Tesla expected after the bell. They will be the first reports of the earnings season from the megacap technology sector, a group that’s been closely watched given its market leadership in recent years.
Beyond big tech, investors will also monitor reports from Chipotle Mexican Grill and Mattel after the market closes. These releases come amid a busy earnings week. Of the 105 S&P 500 companies that have reported so far this season, more than 86% have posted earnings that surpassed Wall Street’s expectations
Trump said in a Truth Social post Tuesday night that the U.S. had completed a “massive Deal” with Japan. The agreement includes “reciprocal” tariffs of 15% on the nation’s exports to the U.S.
The president also said the U.S. is meeting with European officials in a push to reach a trade deal with the European Union.
The U.S. has been pushing to reach trade deals with other countries ahead of an Aug. 1 deadline. This comes after Trump on April 2 sent markets into turmoil, with his announcement of sweeping tariffs
Prices for the 10-year treasury backslid, raising yields to 4.37% from Tuesday’s 4.34%. Treasury prices and yields move in opposite directions.
Oil prices regained 18 cents to $65.49 U.S. a barrel.
Gold prices handed back $43.20 to $3,400.50 U.S. an ounce.
