Stock Market Rebounds as Trump-Xi Summit Signals Trade Deal Progress
Major US stock indexes hit record highs on May 14-15 as markets reacted positively to the Trump-Xi summit in Beijing, though enthusiasm was tempered by broader inflation and interest rate concerns.
Record Market Highs Amid Summit Optimism
The S&P 500 closed at 7,501.24 (+0.77%) and the Nasdaq gained 0.88% to 26,635.22, both fresh records, while the Dow jumped 370 points to 50,063.46, recapturing 50,000 for the first time since the Iran war began in February.
Trade Deal Specifics
Key developments included reports that China is set to purchase 200 Boeing aircraft and boost imports of US agricultural goods by "double-digit billions" of dollars over the next three years. Oil prices rose Friday after U.S. President Donald Trump said China has agreed to purchase oil from America, following talks with Chinese leader Xi Jinping. U.S. West Texas Intermediate futures for June advanced 1.55% at $102.74 per barrel. "They've agreed they want to buy oil from the United States, they're going to go to Texas, we're going to start sending Chinese ships to Texas and to Louisiana and to Alaska," Trump said in a pre-recorded interview with Fox News.
Year-to-Date Market Performance
The S&P 500 has now gained 22.3% year-to-date and 37% from the March war-era lows.
Tech Sector Leadership
Cisco surged 13.4% after raising its revenue and earnings outlook and announcing a "networking supercycle" driven by AI. Nvidia gained 4.4% after the US cleared 10 Chinese firms to buy H200 chips.