Trump bets on cryptocurrency rally after tariff cut, speaks optimistically

• Trump predicts continued rise for stocks and cryptocurrencies
• Bitcoin maintains strength above $100K
• Market reacts to trade truce between US and China

During a speech in Saudi Arabia, Donald Trump stated that markets are just beginning to rise. “It’s going to go much higher,” the former U.S. president declared as the S&P 500 posted its first positive close since February.

The statement was made amid optimism in financial markets. The Nasdaq 100 rose 1,6%, while the S&P 500 rose 0,72%. Bitcoin remained above the $100 mark, consolidating two consecutive days of appreciation. The total market value of cryptocurrencies surpassed $3,5 trillion, the highest level since early February.

Among the day's highlights, Nvidia announced the shipment of 18 artificial intelligence chips to Saudi Arabia, which boosted its shares by 5,6%. The move benefited other semiconductor manufacturers, with Broadcom advancing almost 5% and AMD, around 4%.

On the other hand, the Dow Jones fell 0,64% after the significant drop in UnitedHealth shares. Still, big names such as Apple, Amazon, Goldman Sachs and Disney extended their daily gains.

Futures were more subdued but positive. Futures for the S&P 500 and Nasdaq 100 were up slightly, while those for the Dow were flat. The technology sector held the lead, with chips returning to the spotlight.

Optimism was boosted by a temporary suspension of tariffs between the U.S. and China for 90 days. The measure also included a deal with the U.K., easing global trade tensions that have weighed on assets since April.

On the macroeconomic front, the US Consumer Price Index (CPI) for April rose 2,3% year-over-year, below the 2,4% projection. Core inflation reached 2,8%, within the target range. As a result, US Treasury yields fell, with the 10-year bond falling to 4,468%.

Analysts at Deutsche Bank said the impacts of Trump's tariffs have not yet been fully absorbed by inflation data. The expectation is that these effects will only start to appear from June onwards.

Meanwhile, investment platform eToro priced its IPO at $52 per share and plans to list its shares on Nasdaq under the ticker ETOR. The company had postponed its initial public offering in March over concerns about tariffs.

Now, investors await the Producer Price Index (PPI) and retail sales data, expected for Thursday, to assess the economy's response to the tariff changes and the inflationary environment.