Markets are celebrating a 90-day pause on US-China tariffs, and nowhere is the optimism more visible than in tech stocks.
The Nasdaq Composite has nearly wiped out its 2025 losses, thanks to this tariff truce giving markets a much-needed breather.
Let’s unpack what’s happening, which companies are driving the rally, and what Trade245 traders in South Africa should keep in mind.
Nvidia Leads the Tech Charge
Nvidia (NVDA) is leading the pack.
The chipmaker’s shares jumped 5% on Monday—and again on Tuesday, pushing its market cap past $3 trillion.
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AI Boom: Nvidia is riding the wave of global AI investment.
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Saudi Boost: The company secured a major deal to supply 18,000 AI chips to a Saudi-backed startup.
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China Risks: There are still concerns over chip smuggling to China, but analysts call this a “dream scenario” for Nvidia as AI spending accelerates worldwide.
👉 For traders at Trade245: Keep an eye on Nasdaq tech giants like Nvidia—they’re the main drivers of this rally and can create opportunities even for CFD and index traders.
ALSO READ: Top 5 Most Asked Questions About Trade245
Apple Gains Too, But Supply Chain Risks Linger
Apple (AAPL) also avoided a $900 million tariff hit, sparking a small rally.
However, experts warn the company still faces long-term supply chain headaches, as many firms rethink their over-reliance on China for manufacturing.
👉 Tip for traders: Positive news can lift stocks in the short term, but underlying risks like supply chain shifts may cap gains later.
Tariff Pause Is Just That—a Pause
It’s important to stay grounded.
While markets are excited now, experts remind us this is only a temporary pause, not a permanent deal.
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Greg Valliere (AGF Perspectives) says caution is still warranted.
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Bonnie Glaser (German Marshall Fund) adds that US-China trade had nearly come to a standstill before this truce, and shortages in the US remain a risk.
The Trade245 Takeaway: Trade the Reaction, But Stay Nimble
For Trade245 clients, the Nasdaq rally is a chance to ride short-term market momentum—but remember:
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Volatility can return fast if talks break down.
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Indices like the Nasdaq are sensitive to trade and tech headlines.
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Always have a risk plan in place when trading during global uncertainty.
👉 Stay updated with Trade245’s daily insights and use your MT4/MT5 platform or Trade245 app to monitor the Nasdaq Composite, tech stocks, and market indices live.
