Day Traders Diary

5/8/25

The major averages closed higher once again following the first trade between the U.S. and United Kingdom since the U.S. launched pre-emptive tariffs on most of the globe earlier this year. The Dow Jones Industrial Average jumped 254 points or 0.62%. The S&P 500 rose 32 points or 0.58% while the Nasdaq Composite jumped 189 points or 1%.

Trump announced the deal outline from the Oval Office with U.K. Prime Minister Keir Starmer on speakerphone. A 10% baseline tariff will remain on the U.K., according to a graphic posted on Truth Social post by Trump.  Boeing rose over 3% after Commerce Secretary Howard Lutnick suggested the U.S.-U.K. trade deal will lead to a multi-billion-dollar order of Boeing planes.

Major averages hit their highs of the session as Trump said he expects U.S. negotiators to have a "good weekend" with China during opening trade discussions. Cargo hits are docking on the west coast this week less than full due to trade tariffs.

Tech stocks got an uptick after the Trump administration said Wednesday it will remove Biden-era chip restrictions. AMD rose a percent today after rising over 2% yesterday after earnings. Ironically, Nvidia trailed the other chip stocks on this news. Arm Holdings was the dog in the tech space down 5% on earnings.

Google rebounded 2% after releasing a statement saying Google is continuing to see search query growth, pushing back on press reports Wednesday that cited an Apple executive saying there has been a decline in search on the Safari browser as more people use AI.

The 10-year Treasury rose 9 basis points to 4.36%. The 2-year Treasury yield gained 10 basis points to 3.89% after the Fed left rates unchanged yesterday. The price of oil is jumping 3% ahead of US and China trade deal talks this weekend. Gold was down 2% while bitcoin is surging 5% over $100,000 a coin again for the first time since February.