US stock markets have edged higher this afternoon, buoyed by substantial gains in Nvidia and other semiconductor stocks, as investors look ahead to potential trade negotiations between Washington and its global partners for greater clarity on tariff policy.
The S&P 500 is currently up 0.4%, the Dow Jones has gained 0.2%, and the Nasdaq has advanced 0.7%. Nvidia shares have risen 3%, while the Philadelphia Semiconductor Index, which tracks US chipmakers, is up 2.1%.
The market gains come as the White House confirmed that President Donald Trump and Chinese President Xi Jinping are expected to speak this week, following Trump’s accusation that Beijing violated a prior agreement to roll back tariffs and trade restrictions.
The Trump administration is pressing countries to submit their “best offer” in trade negotiations by Wednesday, aiming to accelerate talks with several partners ahead of a self-imposed five-week deadline.
Last week, Trump announced plans to double tariffs on imported steel and aluminium to 50% starting Wednesday, triggering fresh investor concerns and temporarily weighing on global equities near record highs.
Markets had staged a recovery in May, helped by a brief softening in Trump’s trade stance. The S&P 500 and Nasdaq recorded their strongest monthly gains since November 2023, and the S&P 500 is now within 4% of its all-time high reached in February.
“The markets are still trading with a decent level of uncertainty because they’re not sure how everything’s going to turn out,” said Chris Zaccarelli, chief investment officer at Northlight Asset Management. “Having a best and final offer deadline and a framework to move forward should be positive for the markets.”
