Wall Street Rises on Tariff Truce, Fed Hopes

Wall Street rallied for five straight days, driven by optimism over a 90-day US-China tariff truce and softer-than-expected inflation data. The S&P 500 neared all-time highs, while the Dow and Nasdaq also posted gains, supported by strong performances in the semiconductor sector and select retailers. Despite these advances, ongoing trade tensions and cautious outlooks from companies like Walmart tempered enthusiasm, as consumer sentiment showed signs of weakening. Mixed economic reports, including weaker retail sales but improving wholesale inflation, reinforced expectations that the Federal Reserve might consider interest rate cuts if necessary. President Trump's diplomatic efforts raised hopes for additional trade deals, contributing to the prevailing risk-on sentiment. Analysts caution, however, that market volatility could persist as trade negotiations and tariff impacts continue to evolve.