Tariff Truce Sparks Tech Triumphs: Magnificent 7 Soar!

A Respite in the Trade Winds?

Well well well look who's back in the green! As I always say 'Success is a lousy teacher. It seduces smart people into thinking they can't lose.' But even the smartest of us were getting a little worried about this whole tariff tango between the U.S. and China. It was like watching a slow motion train wreck for tech stocks especially my darlings the 'Magnificent 7.' Thankfully it looks like grown ups have entered the room at least for now.

The Magnificent 7 Flex Their Muscles

This Monday was quite a show! Our 'Magnificent 7' added a cool $837.5 billion in market value. That’s billion with a ‘B,’ folks. It was like a collective sigh of relief rippling through Silicon Valley. Nvidia AMD Apple – everyone seemed to be doing a happy dance. Reminds me of the time I won a pie eating contest back in grade school. Pure joy!

Chips Are Up!

Semiconductor companies those unsung heroes of the digital age got a serious boost. Nvidia despite some lingering restrictions jumped nearly 5%. AMD followed suit. Even Broadcom and Qualcomm got in on the action. It seems that for now the chip supply chains will keep humming along which is good news for everyone who likes their gadgets snappy and their AI smart. As I’ve said before 'Information technology and business are becoming inextricably interwoven. I don't think anybody can talk meaningfully about one without talking about the other.'

Apple's Tariff Tumble Averted... For Now

Now about Apple. Tim Cook and his crew were bracing for a $900 million hit from tariffs this quarter. Ouch! That's enough to buy a few private islands... or you know fund some important global health initiatives. Thankfully Apple shares also bounced back rising about 6%. Maybe they can use that extra cash to finally fix that darn butterfly keyboard!

Amazon's Chinese Connection Gets a Breather

And then there's Amazon Jeff's little bookstore that could. Many of its sellers rely on Chinese products so the tariff truce was like a shot of espresso for their shares jumping a whopping 8%. I guess people can go back to buying those fidget spinners and USB chargers without the tariff induced price hike.

Hope on the Horizon? (Maybe)

Daniel Ives from Wedbush Securities thinks this is a 'huge win for the bulls' and that we're on an 'accelerated path' to a broader deal. Well I'm always an optimist! But let's not get ahead of ourselves. As I've learned 'The key to success in business is knowing something that nobody else knows.' And right now nobody knows for sure what the future holds for U.S. China trade. But for today at least the tech world can breathe a little easier. Now if you'll excuse me I have a malaria vaccine to fund.