Wall Street capped a historic run Friday as the S&P 500 surged 1.47%, officially erasing its entire drop since President Trump’s tariff bombshell on April 2, dubbed “Liberation Day.” The index notched its longest winning streak since November 2004, while the Dow Jones Industrial Average jumped over 500 points to record its ninth straight day of gains. The Nasdaq Composite also climbed 1.5%, rounding out a sweeping rally across all major indices.
Jobs Data Ignites Optimism
Investor sentiment was buoyed by a surprisingly strong April jobs report. The U.S. economy added 177,000 nonfarm payrolls, beating Wall Street’s expectations of 138,000. The unemployment rate remained steady at 4.2%, reinforcing hopes that the labor market is weathering the tariff-driven economic storm.
“This was a goldilocks report,” said one strategist. “Strong enough to boost confidence, not too hot to stoke Fed fears.”
Trade War Chill Boosts Bulls
Markets were further encouraged by fresh signals from Beijing, where China’s commerce ministry confirmed that it’s reviewing recent U.S. overtures for trade negotiations. In a measured but hopeful tone, China said the “door is open”— if the U.S. shows “sincerity” and rolls back its reciprocal 145% tariffs.
This possible de-escalation follows comments from White House economic adviser Stephen Miran, who suggested tariffs on Chinese goods could drop “within weeks.” The two sides have yet to confirm formal talks, but Wall Street is clearly betting on a cooling of hostilities.
Big Tech Eyes Recovery
The rally helped Apple (AAPL) and Amazon (AMZN) recover some ground after mixed earnings reactions earlier in the week. Apple warned of a $900 million tariff-related headwind, while Amazon cited trade policy uncertainty in its cautious forward guidance. Still, investors shrugged off the noise, as tech stocks led Friday’s rebound.
“Tariffs knocked the market down in April, but now it’s bouncing back stronger,” one trader noted.
Outlook
With stocks climbing and global tensions easing — at least for now — investors appear to be regaining their footing. But the road ahead remains uncertain. The next major catalysts?
- Further clarity on US-China negotiations
- Upcoming inflation and retail data
- Central bank signals on interest rate cuts
Until then, the message from the market is clear: Wall Street loves a good comeback story.
