The new metals tariffs are likely to benefit US steel companies
S&P 500, Nasdaq lead rally as Nvidia jumps, markets brush off Trump tariff threats
US stocks bounced back on Monday as investors looked beyond President Trump's latest tariff threats, including new levies on steel and aluminum imports.
The Dow Jones Industrial Average added nearly 0.4% after the blue-chip index on Friday booked its worst loss in nearly four weeks. The S&P 500 rose roughly 0.6%, while the Nasdaq Composite popped nearly 1% as shares of AI chip giant Nvidia surged 3%, along with other tech stocks.
Investors weighed Trump's recent pledge to introduce additional 25% tariffs on steel and aluminum from all countries, with the official announcement expected on Monday.
The new metals tariffs are likely to benefit US steel companies, whose stock jumped. Shares in Cleveland-Cliffs , Nucor and US Steel all jumped. Aluminum producer Alcoa's stock also gained.
The move marks another escalation in Trump's fast-moving policy overhaul and in the odds of a trade war, after tariffs against US trade partners Canada and Mexico were paused last week.
Meanwhile markets this week expect Trump to announce reciprocal tariffs on all trading partners that could match the duties levied on US products by each country.
But Monday's gains for US stocks suggest that investors are getting used to Trump's trade salvos. Some on Wall Street say many now see the announcements as a negotiation tactic only.
