Nia Warfield, Luke Kawa

5/12/25

US stocks surge on trade truce with China

The US and China agreed to substantially dial down tariffs levied on one another for 90 days, a major de-escalation in the most important front of the trade war that’s whipsawed global markets.

The S&P 500 gained 3.3%, the Nasdaq 100 surged 4%, and the Russell 2000 rose 3.5% on the day, with traders bidding up shares of companies that had seen profit estimates slashed since the end of March in expectation of a recovery.

Monday’s rally sparked a wave of big movers, with NRG Energy, Stanley Black & Decker, and manufacturing giant Zebra Technologies leading S&P 500 gains. On the flip side, Cigna, Newmont Mining, and CVS landed among the day’s top decliners. Also of note:

Amazon and Apple, the megacap tech names with the most skin in the game regarding China, also jumped on the truce announcement, with the stocks up 8% and 6%, respectively.

Shopify soared nearly 14%, helping lead the day’s broader rally as the e-commerce giant gears up to join the Nasdaq 100 next Monday.

Cruise stocks Carnival, Norwegian Cruise Line, and Royal Caribbean climbed alongside the broader travel sector on hopes that a US-China tariff truce could boost consumer sentiment. Airlines gained altitude too, with American Airlines, Delta, and United Airlines all up more than 5% on the day

Pharma stocks including Pfizer, AbbVie, and Eli Lilly dipped in early trading after President Trump floated an executive order to curb drug pricing — but were all positive at the close.

Retailers like Sally Beauty, Five Below, Warby Parker, and Victoria’s Secret rallied on trade relief hopes. The sector has been one of the hardest hit by tariff tensions since China is a key manufacturing hub.

CoreWeave jumped 13% ahead of its first earnings report since going public. The newly IPO’d cloud computing player has seen a strong appetite for upside in the options market.

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Nia Warfield, Luke Kawa

S&P 500 goes nowhere, Nasdaq 100 hits another record, small-caps tumble

Warner Bros. Discovery led gains for the second day in a row, and only three S&P 500 sector ETFs finished in the green.

Horse Ranch In Zhangye

markets

3h

Rocket lab soars to new record close amid rally for retail faves

Rocket Lab ripped by roughly 10% Friday to close at a new all-time high, riding an upturn of retail enthusiasm for a coterie of tech-themed favorites, even as the broader market was more or less flat on the day.

Goldman Sachs’ basket of “retail favorites” — its heaviest weights are Reddit, AppLovin, and Tempus AI — was the second-biggest gainer among the company’s flagship US equity baskets on Friday, rising about 1.6%. The S&P was almost dead flat.

It’s not Rocket Lab’s first retail rodeo, as the money-losing company has more than doubled this year and is up nearly 700% over the last 12 months.

Oracle Wall Street Revisions

Analysts revise up anything and everything they thought about Oracle

After the company’s bombshell earnings this week, Wall Street thinks Oracle’s trajectory has changed.

Matt Phillips4h

markets

6h

Six Flags pops after reiterating its guidance as theme park attendance rebounds

Six Flags shares rose more than 7% today after the company reported a rebound in attendance and early season pass sales heading into the fall. The nine-week period ended August 31 saw 17.8 million guests, up about 2% from the same stretch last year, with stronger momentum in the final four weeks.

More importantly, Six Flags reaffirmed its full-year adjusted EBITDA guidance of $860 million to $910 million, showing confidence that its cost and operations strategy can stay strong for the duration of the year. Riding that wave, Six Flags also said early 2026 season pass unit sales are pacing ahead of last year, and average season pass prices are up about 3%.

The good vibes come despite a drop in in-park per-capita spending, especially from admissions, where promotions and changes to attendance mix (which parks or days guests visit) have weighed. Earlier this week, the amusement giant signed a new agreement that extended its position as the exclusive amusement park partner for Peanuts™ in North America through 2030.

Despite the rally, Six Flags shares are down about 52% year to date.

markets

7h

Rivian turns red on the year, squeezed by a recall and the looming end of the EV tax credit

Shares of EV maker Rivian are down more than 5% on Friday following the company’s recall of 24,214 vehicles due to a software issue. The stock move erases Rivian’s year-to-date gain and turns the company negative on the year.

Rivian’s 2025 model year R1S and R1T are affected by the defect, which was identified after a vehicle’s hands-free highway assist software failed to identify another vehicle on the road, causing a low-speed collision. Rivian said it’s released an over-the-air update to fix the issue.

The recall marks Rivian’s fifth this year, affecting nearly 70,000 of its vehicles.

Rivian’s shares are down more than 20% from their 2025 high, which came prior to the passage of President Trump’s “big, beautiful bill.” Through the legislation, the $7,500 EV tax credit is set to expire at the end of the month.

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