Day Traders Diary

5/27/25

The major averages surged to start this holiday weekend after President Donald Trump reversed course again over the weekend, agreeing to delay tariffs of 50% on the European Union. The Dow Jones Industrial Average rose 740 points, or about 1.8%, while the S&P 500 added 118 points or 2%. Both snapped four-day losing streaks. The Nasdaq Composite popped 461 points or 2.47%.

Trump on Sunday said that he would push back the 50% levy deadline on the EU to July 9 following a request from Ursula von der Leyen, the president of the European Commission. That comes after Trump last week proposed an import tax of 50% on the EU beginning June 1.

Interest rates ticked lower with the 30-year Treasury yield falling 8 basis points to 4.94%. The 10-year Treasury shed 6 basis points to 4.44%. The 2-year yield was less than 1 basis point lower at 3.979%.

Tech led the rally with Tesla shares popping 5% after CEO Elon Musk said he was shifting his focus away from politics and back into his companies. In the chip space, Nvidia, AMD, Broadcom and Micron were all up over 2%. Nvidia reports tomorrow night.

Markets were closed on Monday so we have merger Tuesday with US Steel higher on news President Trump has given his blessing to merge with Japan's Nippon Steel for $55 per share or more than $12 billion.

In the commodity space, oil and gold were lower while bitcoin was modestly higher near all time highs.