U.S.-Vietnam Trade Deal Gives Stocks a Push

Stocks climbed after a trade deal was reached between the United States and Vietnam and a positive payroll report.

Written by: Timothy St. John • Thursday, July 3, 2025 • 2 min read

• Last updated: Thursday, July 3, 2025

Stocks are up today as a trade deal is achieved and payroll reports show minor growth.

Quick overview

Stocks experienced a dip on Wednesday due to a payroll report indicating a tightening economy, but a U.S.-Vietnam trade deal provided a boost.
The Dow Jones fell by 0.02%, while the Nasdaq Composite and S&P 500 gained 0.94% and 0.47%, respectively.
Nike's stock rose by 4% following the trade deal announcement, while Under Armour, Deckers, and Lululemon saw declines.
The latest Nonfarm Payrolls report showed a significant increase of 147,000 jobs, exceeding expectations and contributing to positive market sentiment.

Stocks dipped on Wednesday as payroll reports showed a tightening economy, but news of a U.S.-Vietnam trade deal has helped swing stocks in the opposite direction.

The shortened trading week should end high for the stock market.

Overall, the stock market showed positive numbers on Wednesday after a trade deal was announced between the United States and Vietnam. The Dow Jones fell by 0.02%, but the Nasdaq Composite and S&P 500 gained 0.94% and 0.47%, respectively. Nvidia (NVDA) climbed 2.58% as the company enjoys record highs, alongside Microsoft (MSFT) which added 0.18% in premarket trading for Thursday after a slight dip on Wednesday.

Trade Deal in Effect

On Wednesday, U.S. President Donald Trump said that a trade deal has been achieved between his administration and the government of Vietnam. Posting to Truth Social, Trump stated that all imports coming from Vietnam into the United States would be taxed with a 20% tariff. Back in April, Trump had decided on a 46% tariff. There will still be a 46% tariff on Vietnamese goods for transshipping, which targets items shipped through a tertiary country to avoid high tariffs.

A few stocks were directly affected by the news, including Nike (NKE), which rose by 4% by the end of Wednesday. However, Under Armour (UAA), Deckers (DECK), and Lululemon (LULU) were all down on Wednesday after the final numbers for the trade deal were revealed.

Jobs Report Moves Market

On Wednesday, the AP payroll report showed that 33,000 jobs were lost throughout the month of June. That is higher than anticipated, and the market has definitely taken a hit as a result.

The Nonfarm Payrolls report was released Thursday morning, showing an increase of 147,000. The expectation for that report was around 111,000, so this is a marked improvement.

We anticipate that the market will tick upward on Thursday to close off the shortened trading week. With the trade deal with Vietnam helping the economy and the latest payroll report looking positive, we could see a number of stocks finish strong this week. They are also benefiting from a continued pause on the most severe tariffs and a peace agreement between Iran and Israel. The market is also benefiting from positive investor sentiment surrounding recent all-time highs from the Nasdaq Composite and the S&P 500 as well as record stock values for Microsoft and Nvidia.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.