US Stocks Skyrocket After Trade Deal: In a major win for Wall Street, Main Street, and Silicon Valley alike, US stocks skyrocketed this week after the United States and China finally inked a long-awaited trade deal. It’s been a tense few years, with tariffs flying and global supply chains tangled like last year’s Christmas lights. But now, optimism is back—and it’s back in a big way.
Leading the charge? Tech legends Nvidia, Tesla, and Apple, which have each posted stunning gains following this breakthrough. This historic deal not only cools the heat between two economic superpowers but also slashes tariffs on key imports and exports. It’s a massive breath of fresh air for companies who’ve been sweating under the pressure of trade restrictions, and the markets reacted immediately.
US Stocks Skyrocket After Trade Deal
| Company | Stock Price Spike | Market Cap After Surge | Key Catalyst |
|---|---|---|---|
| Nvidia | +5.6% | $3 Trillion+ | $600B AI deal with Saudi Arabia |
| Tesla | +4.9% | $1 Trillion+ | Reduced tariffs, renewed global outlook |
| Apple | +6.0% | +$180 Billion in Market Cap | Tariff cuts on Chinese-manufactured components |
This trade deal has shaken the tree—and the apples (and Teslas, and GPUs) are falling into investor laps. The U.S.-China agreement isn’t just about politics; it’s about opening up new lanes for global business.
Whether it’s Nvidia powering smart nations, Tesla driving the EV revolution, or Apple making devices more accessible again, this isn’t just a stock market rally—it’s a global tech reset.
Buckle up, because this bull ride might just be getting started.
What Sparked the Boom?
The U.S.-China Trade Deal
Let’s break it down. On May 12, 2025, after months of tense back-and-forth, the U.S. and China signed a fresh 90-day trade pact, drastically reducing tariffs on each other’s goods. U.S. tariffs on Chinese electronics, chips, and materials dropped from 145% to just 30%, while China slashed tariffs on U.S. products from 125% to 10%.
These cuts have the potential to unlock billions in savings for businesses and consumers alike. Imagine smartphones, EVs, and tech hardware getting cheaper across the board. For companies already struggling with cost inflation, this couldn’t have come at a better time.
The markets immediately cheered the move. The S&P 500 spiked 3.3%, the Nasdaq soared 4.4%, and the Dow Jones Industrial Average added over 1,200 points in a single session. Investors poured back into equities with the kind of energy we haven’t seen since the early 2020s.
Nvidia: Riding the AI Tsunami
$600 Billion Saudi AI Deal
Nvidia (NVDA) didn’t just ride the wave—it created one. The company announced a landmark $600 billion partnership with Saudi Arabia’s rising AI firm Humain. Under this deal, Nvidia will supply 18,000 ultra-powerful Grace Blackwell chips, designed to support advanced AI data centers and infrastructure across the Middle East.
These aren’t your typical GPUs. These chips will power smart cities, healthcare automation, defense analytics, and real-time language processing in dozens of regional industries. The announcement sent Nvidia’s market cap beyond $3 trillion, placing it alongside Apple and Microsoft in the elite club of corporate giants.
And there’s more. Analysts say this is just the tip of the iceberg. Nvidia’s roadmap includes partnerships with other Gulf nations, and even rumors of building AI-focused campuses in Texas and Arizona.
What Investors Should Know
If you’re looking at long-term growth, Nvidia’s expansion into sovereign AI infrastructure is huge. It’s not just a chip company anymore—it’s becoming a backbone for the global AI economy.
Tesla: Turbocharged by Trade Peace
Elon Musk’s Global Push
Tesla (TSLA) didn’t waste any time. With the trade deal dropping tariffs on electric vehicles (EVs) and battery components, Tesla’s cost structure got a major makeover. Cheaper batteries from China, more affordable rare earth materials, and improved cross-border logistics mean better margins—and that’s music to investors’ ears.
But Elon Musk had more up his sleeve. Just days before the deal, he appeared at a major Saudi investment summit, hinting at a potential partnership to build a Gigafactory in the Middle East. Combine that with Saudi Arabia’s Vision 2030 tech investment fund, and you’ve got a serious expansion opportunity brewing.
Tesla’s stock rallied 4.9%, vaulting the company back over the $1 trillion valuation mark. Many analysts now believe the company is poised to re-enter a phase of aggressive global growth.
Pro Insight
If you’re betting on EVs as the future, Tesla just re-energized its global game plan. Keep an eye on their next earnings call—there could be big surprises in the pipeline.
Apple: A Comeback Story
Back on Top with Tariff Cuts
Apple (AAPL) has had a bumpy ride lately, especially as it relies heavily on Chinese manufacturing for its iPhones, iPads, and Macs. Those 145% tariffs were eating into margins and forcing price hikes. Now, with tariffs reduced, Apple can finally breathe.
The results? Its stock shot up 6%, and it added $180 billion to its market cap in one day. That’s Apple’s biggest single-day market cap gain since the late ’90s boom.
According to Yahoo Finance, Apple may use the savings to launch a lower-cost version of the iPhone 16, expand into India and Southeast Asia, and invest more in Vision Pro and AI integration.
Strategic Moves
Apple fans and shareholders alike should look out for announcements at WWDC this summer. If Apple commits to price cuts or surprise product lines, the stock could climb even higher.
Real Talk: What It Means For You
For Everyday Investors
Now’s not the time to panic—it’s the time to plan. Here’s what the average Joe (or Jane) should be thinking:
- Diversify: Yes, Nvidia, Tesla, and Apple are rockstars. But also look at AI ETFs, global tech funds, and even renewable energy plays.
- Dollar-cost averaging: Don’t FOMO all-in after a big spike. Build positions slowly.
- Research AI Trends: Start reading up on AI governance, chip advancements, and robotics. Understanding the ecosystem helps.
For Professionals and Startups
If you’re running a startup or managing a tech team, the doors just swung wide open:
- Reduced tariffs = Lower production costs. Time to revisit your supplier network.
- More cross-border collabs. If you’re in AI, data science, or mobility, now’s the time to pitch.
- Grants & funding: Countries like the U.S., Saudi Arabia, and India are throwing cash at tech innovation.
FAQs About US Stocks Skyrocket After Trade Deal
Q1. How long is this trade deal good for?
A: Right now, it’s a 90-day agreement, but negotiators from both sides are hinting at an extended framework if talks go well.
Q2. Will these stock gains last?
A: That depends. If inflation stays low and rates hold, tech momentum could continue. But always brace for volatility.
Q3. Why is Saudi Arabia so involved in AI and tech?
A: Under its Vision 2030 initiative, Saudi is trying to diversify its economy beyond oil and become a leader in AI, EVs, and renewables.
Q4. Is it too late to invest in Nvidia, Tesla, or Apple?
A: Not necessarily. But understand their valuations are sky-high. Do your homework and consider gradual investment methods.
Q5. Could this deal fall apart?
A: There’s always political risk. A change in U.S. administration or global tensions could undo progress. Stay tuned.
