The S&P 500 delivered its best week since Ronald Reagan’s presidency, rallying from Thursday’s drop amid concerns about Chinese tariffs. Despite initial optimism from President Trump on growth and tax policies, the market briefly cooled as chipmakers faced a rout. However, after bouncing back Friday, the index rose 1.7% this week, marking its strongest start for a new president since 1985. The dollar saw its biggest weekly drop in over two years, while market volatility expectations hit their lowest level in months due to weaker U.S. Treasuries.
The post-earnings sell-off weighed on trading Thursday, though Friday’s rebound erased losses. Trump remained cautious about tariffs, even as he threatened action, with China’s response prompting further concerns. Investors appear conflicted over his administration’s policies, as gains were tempered by the broader market dip. Yet, the week-long rally reflects confidence in a pragmatic approach to economic recovery despite ongoing tensions.
Source: https://www.bloomberg.com/news/articles/2025-01-23/stock-market-today-dow-s-p-live-updates