Gains by chipmakers pushed Wall Street significantly higher before markets opened Monday as trade tensions between China and the U.S. appeared to soften over the weekend.<\/p>\n
Futures for the Dow Jones Industrial Average rose 0.9% before the bell, while futures for the S&P 500 jumped 1.2%. The technology-focused Nasdaq soared 1.7%. Monday\u2019s early gains were not enough to offset Friday\u2019s wipeout, which saw the S&P 500 sink 2.7% and the Dow industrials fall 1.9%. The Nasdaq composite lost 3.6%.<\/p>\n
On Monday, Beijing urged U.S<\/a>. President Donald Trump<\/a> to withdraw a threat he made Friday to crank tariffs<\/a> on Chinese-made goods higher after China placed stricter restrictions on exports of rare earths,<\/a> which are materials critical for manufacturing everything from consumer electronics to jet engines.<\/p>\n The potential for more friction between the world\u2019s two biggest economies rattled markets, giving U.S. shares their worst day since April. But over the weekend, Trump adopted a more conciliatory<\/a> stance, easing investors\u2019 jitters.<\/p>\n While Trump did not withdraw his threat, he struck a more moderate tone, saying in a Truth Social post Sunday, \u201cThe U.S.A. wants to help China, not hurt it!!!\u201d<\/p>\n \u201cMarkets woke up Monday to the smell of d\u00e9tente \u2014 that familiar scent of risk-on optimism that only comes after a weekend of mutual saber-rattling followed by a wink and a handshake from Washington,\u201d Stephen Innes of SPI Asset Management said in a commentary.<\/p>\n \u201cBut let\u2019s be clear: this isn\u2019t d\u00e9tente, it\u2019s negotiation theatre,\u201d he said.<\/p>\n Chipmakers were some of the biggest gainers in early Monday trading, with Advanced Micro Devices gaining 3.4% and Micron jumping 4.9%. Broadcom and Nvidia each gained closed to 3%.<\/p>\n Barring a breakthrough in the U.S. government shutdown, the biggest news of the week will come Tuesday, when U.S. banks kick off earnings season by releasing their most recent quarterly financial results. United Airlines and Johnson & Johnson also report this week.<\/p>\n Asian shares initially tumbled but regained some of their early losses.<\/p>\n