Wall Street Rises as Steel Stocks Gain After Tariff Threats
The technology sector stood out, rebounding as investors seized buying opportunities following last week’s sharp declines.
Wall Street’s three main indexes closed higher as markets absorbed the tariff threats from U.S. President Donald Trump and tech stocks advanced. The Dow Jones Industrial Average, which tracks 30 major companies, rose 0.38% to 44,470.41 points, while the broad-based S&P 500 climbed 0.67% to 6,066.44. The tech-heavy Nasdaq Composite gained 0.98%, closing at 19,714.27.
Tariff Tensions
Tensions escalated on Sunday when Trump announced plans to impose a 25% tariff on all steel and aluminum imports to the United States, adding to existing trade barriers. As a result, U.S. metal producers, which stand to benefit from the measure, saw their shares surge. Cleveland-Cliffs led the gains with a 17.93% increase, followed by Nucor (+5.58%), Steel Dynamics (+4.86%), and United States Steel (+4.65%).
Meanwhile, major tech companies, which had struggled the previous week due to weaker-than-expected earnings reports, also rebounded. Amazon shares stood out with a 1.74% gain, while Microsoft and Alphabet posted more modest increases of 0.60% and 0.57%, respectively. Nvidia extended its winning streak, rising 2.87% for a fifth consecutive session after bouncing back from its lowest level since September, which had been triggered by concerns over China’s low-cost AI model, DeepSeek. Meta Platforms, the parent company of Facebook, WhatsApp, and Instagram, also advanced 0.60%, marking its 16th straight session of gains, despite no major news.
Sector Performance and Outlook
Most sectors ended in positive territory, with energy (+2.16%) and technology (+1.45%) leading the way, while financials suffered the biggest losses, declining 0.79%. In the Dow Jones, Home Depot stood out with a 1.63% gain, while American Express led the laggards with a 2.06% drop.
Investors are now focused on upcoming Federal Reserve events, as Fed Chair Jerome Powell begins his two-day testimony before Congress tomorrow. Additionally, U.S. inflation data for January, set to be released Wednesday, will be a key indicator for the central bank’s next policy moves.
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