U.S. equities soared at midday following reports that President Donald Trump’s reciprocal tariffs set for April 2 will not be as expansive as initially expected.
- The Nasdaq jumped 2%, while the Dow Jones Industrial Average and S&P 500 gained more than 1%.
🚗 Tesla Rises on Tariff Relief and China Self-Driving Launch
Tesla (TSLA) shares advanced on two key catalysts:
- Tariff concerns easing lifted overall market sentiment.
- A report revealed that Tesla is preparing to launch its highest-level Full Self-Driving (FSD) technology in China, signaling expansion in the world’s largest EV market.
🛡️ Steel Stocks Climb on UBS Upgrade
Shares of Nucor (NUE) and other U.S. steelmakers surged after UBS upgraded the sector.
- UBS cited Trump’s “tariff protection” as a potential tailwind for the industry, boosting investor confidence.
🛠️ AZEK Skyrockets on James Hardie’s $8.75 Billion Acquisition
AZEK (AZEK) shares soared after Australian building materials giant James Hardie Industries (JHX) announced it will acquire the outdoor living products manufacturer for $8.75 billion in cash and stock.
- The deal reflects the growing demand for outdoor home improvement products.
💻 Super Micro Slumps on Goldman Sachs Downgrade
Shares of Super Micro Computer (SMCI) fell sharply after Goldman Sachs downgraded the stock.
- The firm cited increasing competition in the AI server market as a risk, lowering its price target in the process.
- The downgrade comes amid mounting pressure in the AI infrastructure sector, despite SMCI’s strong growth in recent quarters.
🧬 23andMe Tanks After Bankruptcy Filing
23andMe Holding (ME) shares plunged following the company’s Chapter 11 bankruptcy filing.
- The struggling genetics and ancestry company filed for bankruptcy protection in hopes of making itself more attractive to potential buyers.
- CEO and co-founder Anne Wojcicki resigned, adding further uncertainty to the company’s future.
✈️ Lockheed Martin Declines on Fighter Jet Contract Loss
Lockheed Martin (LMT) shares continued to slide after losing the U.S. fighter jet contract to rival Boeing (BA).
- Following the news, Bank of America downgraded LMT and slashed its price target.
- The contract loss is a significant setback for Lockheed, which has relied heavily on defense contracts for growth.
🛢️ Market Movers: Oil Rises, Gold Steady, and Crypto Gains
- Oil futures advanced on supply concerns.
- Gold prices were little changed.
- The 10-year Treasury yield climbed, while the U.S. dollar strengthened against the euro and yen.
- Most major cryptocurrencies traded higher, signaling improved risk appetite.
🔥 Key Takeaway
The U.S. stock market surged on signs that Trump’s tariffs will be less severe than feared.
- Tesla’s China FSD expansion and steel sector strength lifted sentiment, while Super Micro’s decline highlighted growing competition in the AI server space.
- Meanwhile, M&A activity, bankruptcies, and defense contract shifts kept individual stocks volatile, making it a dynamic day for equity markets.
