Eager to bet that the stock market correction ended, the Dow Jones (DJI) added 797.97 points on Monday. The Nasdaq (QQQ) gained by more, adding 2.27% on the day.
Investors jumped on Nvidia (NVDA) and Tesla (TSLA). The AI leader and electric vehicle producer are considered part of the Magnificent 7 stocks. Still, Tesla is at risk of a global boycott destroying brand value. Tesla sales continued to drop, with prices falling in the double-digit percentage in some areas. The firm might need to act on separating CEO Elon Musk’s political views from the company.
Nvidia rose after investors re-evaluated the GDC event. The firm introduced more AI tools that the robotics industry may use. Investors bought shares of Advanced Micro Devices (AMD), too. AMD stock bottomed out at below $100 earlier this month and closed at $113.87.
Why the Dow Jumped
Markets are reacting to every news headline related to Trump tariffs. They attracted buyers after the media reported that Trump would issue targeted tariffs. Later in the day, Trump planned to impose a 25% tariff on countries that bought oil from Venezuela. He also pledged tariffs on the auto and pharma industries in the “near future.”
As easily as it rose, markets are just as likely to fall on profit-taking. Investors will need to be guarded by selling before that happens.
