In this context, the Dow Jones index of industrialists rose 1.07% to 39,606.57 points; The S&P500 won 1.57% to 5,370.63 points and the Nasdaq Composite showed 2.50% to 16,708.05 points.
The color of hope reflected on the screens
The secretary of the US Treasury. Scott Besenthe re -gave hope to state that 145% tariffs on Chinese products and 125% about US goods, will have to lower before commercial conversations may proceed, but indicated that Trump will not make that movement unilaterally.
“None of the parties believes these are sustainable levels. As I said yesterday, this It is equivalent to an embargo and a commercial break between the two countries does not suit anyone“The official said today to the press. Besent said that the third quarter of this year is a” reasonable estimate “to achieve clarity about the final level of Trump’s tariffs.
On Tuesday, the president had claimed that high tariffs to China will be reduced “substantially”, but “they will not be annulled.”
Wall Street: most outstanding wheel actions
In the corporate sector Tesla It rose 6.2%, when the electric vehicle manufacturer announced profits from the first quarter in its main car business, which exceeded minimal estimates.
The news also contributed to the positive tone, which the executive director Elon Musk It plans to reduce the hours dedicated to the Trump administration from next month and spend more time directing the giant of electric vehicles, especially in the midst of the fall in sales.
Besides, Intel He traced 6% after Bloomberg reported that the chips manufacturer will present this week his plans to cut more than 20% of his template, in order to optimize operations and reduce bureaucratic inefficiencies.
Philip Morris It grew more than 2.2% after the tobacco giant published a solid report of the first quarter and raised its benefit forecast by 2025.
Boeing He climbed 6% since the aircraft manufacturer registered its first quarterly growth in revenue since 2023.
On the other hand, the actions of ENFAASE They fell 16.6% since the results of the first quarter of the Energy Technology Company did not meet expectations, while the lower end of their income forecast for the second quarter also fell short.
Buy with the falls, sell with the increases or do nothing?
Investor confidence is harming against growing fear of a recession or stagflationaccording to a new BCA Research report.
Taking into account customer surveys, the firm concluded that “few are willing to buy in falls or expect the market to reach new maximums” and Defensive positioning is shown as the approval strategy.
Political uncertainty, particularly around tariffs and commercial tensions between the US and China, feeds the caution of investors.
BCA Research said that “the new US trade policy will surely have a significant effect on corporate profitability”, since many companies “lack the price setting capacity to transfer their increases to their customers.”
The firm explains that the S&P 500 maintains a strong weighting towards the sectors producing goods, especially health, technology, industry and materials. Sectors like Discretionary consumption, industry and materials are especially vulnerable to cost pressures derived from new tariffs due to limited price flexibility.
BCA warned that these sectors are likely to absorb the increases of costs related to tariffs on their margins, which will generate pressure on profits.
In this framework, as the quarterly season progresses, investors are diverting their attention from retrospective results to future projections. “Investors now focus more on corporate projections than on profits“BCA wrote while trying to” evaluate the effect of tariffs on companies and industries. “
Source: Ambito
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