Stock Market Near Record Highs as Wall Street Bets on Tech and Rate Cuts
U.S. stocks are closing in on historic highs just months after a sharp downturn triggered by tariff policy upheaval.
The S&P 500 has climbed 23% since its April low and now sits just a few points below its all-time closing record. The Nasdaq isn’t far behind, nearing the peak it set in December.
Despite rising geopolitical tensions and lingering economic uncertainty, investors seem increasingly confident. Much of that optimism stems from strong tech performance, cooling trade anxieties, and hopes for upcoming rate cuts from the Federal Reserve.
April’s slump followed a wave of tariffs introduced by former President Donald Trump, but market sentiment has since rebounded as U.S.–China negotiations calmed the noise. Analysts note that with fewer shocks from Washington and trading partners, markets have had room to regain momentum. However, volatility could return when the 90-day pause on reciprocal tariffs expires on July 9.
Technology stocks, especially chipmakers and AI-focused firms, have been central to the recovery. Nvidia, which recently reclaimed its title as the world’s most valuable company, has jumped more than 60% since April. Micron also delivered stronger-than-expected earnings, fueling further gains in the sector. Together with financials, these industries now account for over 40% of the S&P 500’s weight.
Adding to the optimism, the Fed signaled in June that it plans two rate cuts by year-end. While the next move may not come until September, investors are already positioning for a looser policy environment in the second half of 2025.
For now, traders are balancing the risk of renewed tariff pressure with the promise of monetary easing and robust earnings in the tech sector. Whether the rally can break through resistance or stalls near the top will likely depend on how those three forces evolve in the coming weeks.
Alexander Stefanov
Reporter at Coindoo
Alex ist ein erfahrener Finanzjournalist und Krypto-Enthusiast. Mit mehr als 8 Jahren Erfahrung in der Berichterstattung über die Krypto-, Blockchain- und Fintech-Branchen ist er mit der komplexen und sich ständig weiterentwickelnden Welt der digitalen Vermögenswerte bestens vertraut. Seine aufschlussreichen und zum Nachdenken anregenden Artikel vermitteln den Lesern ein klares Bild von den neuesten Entwicklungen und Trends auf dem Markt. Sein Ansatz ermöglicht es ihm, komplexe Ideen in leicht verständliche und aufschlussreiche Inhalte zu zerlegen. Verfolgen Sie seine Veröffentlichungen, um über die wichtigsten Trends und Themen auf dem Laufenden zu bleiben.
