By Stan Choe Apsociate Press Business Writer
NEW YORK (AP) — Stocks around the world rose Thursday after a US court blocked many of Donald Trump’s sweeping tariffs, but profits didn’t fall as trading progressed from Asia to New York.
The S&P 500 was raised 0.7% in early trading and was raised to within 3.5% of its all-time high set earlier this year. It fell by about 20% last month than Mark when fears about whether Trump’s trade war would drive the economy into a recession were at its worst.
The Dow Jones industrial average rose 60 points (0.1%) as of 9:35am Eastern time, with the Nasdaq Composite rising 1.3%.
Profits are even greater in Asia, with the market having the opportunity to first respond to a ruling issued on Wednesday by the International Trade Court in New York. The 1977 International Emergency Economic Force Act, which was cited by Trump as ordering a significant increase in import taxes around the world, said it did not allow the use of tariffs.
The White House immediately appealed, and the long-term consequences of the legal dispute over tariffs remain uncertain. The court’s decision also affects only some of Trump’s tariffs, not foreign steel, aluminum and automobile tariffs that have been invoked under other laws.
“Trump can impose significant and broad tariffs in the long term through other means,” said Ulrike Hoffmann-Burchardi, chief investment officer for global equities at UBS Global Wealth Management.
That uncertainty helped to undermine the excitement of financial markets as they head to the US through Europe. Nevertheless, US court movements were generally seen as positive for financial markets.
Brian Jacobsen, chief economist at Annexwells Management, said:
“The market is priced that this is a better type of uncertainty than what we’ve had since the day of liberation,” Trump announced his global set of tariffs.
On Wall Street, tech stocks led the way after Nvidia once again surpassed analysts’ expectations for profit and revenue for the recent quarter.
The chip company has grown to one of the largest and most influential stocks in the US stock market due to a frenzy over artificial intelligence technology, with a 5.9% rise being the most powerful force by moving the S&P 500 upwards.
AI applications software company C3AI, which rose 25.6% in the last quarter after analysts reported stronger profits than expected, but said the US Air Force has increased its top-level range, worth between $350 million and $450 million. Its total revenue rose to $108.7 million in the last quarter.
Elf Beauty is another big winner, up 31.1% after delivering stronger profits in recent quarters than analysts expected. He also said he agreed to buy Haley Beaver’s road skincare brand for a billion-dollar deal. Lorde won $212 million in net sales in the 12 months ending March.
Bieber, the model and wife of singer Justin Bieber, is Lord’s Chief Creative Officer, Head of Innovation and Strategic Advisor for the Conglomerate.
They helped offset Best Buy’s decline. That revenue did not reach the analyst forecast.
Electronics retailers also reduced their annual revenue and profit forecast scope, assuming that “customers may remain at the remaining levels of the year and there is no significant change in consumer behavior from trends seen in recent quarters.”
In the bond market, the Treasury yields remained relatively stable, following some complicated reports on the economy. One said it is more likely that the US economy had contracted in the first three months of the year than previously estimated. Another said last week there were slightly more U.S. workers applying for unemployment benefits than economists expected.
The 2010 Treasury yield eased to 4.45% from 4.47% in the second half of Wednesday. The two-year financial yield, which moves closer to expectations for where the Federal Reserve will take overnight interest, was held at 3.96% late Wednesday.
In overseas stock markets, Japan’s Nikkei 225 rose 1.9% to lead the Asian market higher. In South Korea, where Japan relies heavily on exports to the US, Cospi also won 1.9%. Its market also increased from the Bank of Korea, cutting key interest rates to ease pressure on the economy.
Europe’s movement has been more muted. France’s CAC40 rose 0.3%, while Germany’s DAX was closer to flat.
AP business writers Matt Ott and Elaine Kurtenbach contributed.
Original issue: May 29, 2025 9:50am EDT
