An exciting morning in the markets, and Trump, of all people, made the difference!
Did anyone expect this? Trump, the man who usually shakes the market with bombastic statements, this time surprised positively.
Last night, just after midnight (00:20), the former president broke his silence with a speech that smelled of reconciliation, calm, and perhaps even a little hope.
Trump stands before the cameras and projects optimism.
Here are the main points he made, and they completely changed the tune:
"I never intended to fire Powell", meaning, there is no war over the Fed's leadership. "Tariffs on China will not be 145%", a statement that shatters the panic that was created. "I get along with China, and with everyone, I see very close agreements", a new spirit of diplomacy. Even when he talks about interest rates, he sounds conciliatory: "Even if Powell doesn't cut, it's not the end." And what about tariffs? According to him, they bring huge sums to the US, and everyone will only benefit from them. Trump defines the current period as a "transition phase", a bit difficult, but temporary, and with a positive outlook.
In other words, Trump spoke like a president aiming for a comeback, and not like someone who came to burn down the club.
The market? It liked it very much.
The market reacts like a coiled spring:
- Following the speech, after-hours trading exploded upwards:
- QQQ: 1.66%
- SPY: 1.35%
- IWM: 1.72%
- MAGS: 3.16%
- IGV (technology): 1.67%
- SOXX (semis): 2.32%
What does this mean?
That the market was thirsty for some sign of calm, and Trump simply turned on the tap.
Tesla, how does a weak report turn into a 5% rise?
Tesla yesterday published a report that didn't exactly raise eyebrows, quite the opposite.
Revenue less than expected, pressing profitability...
But wait!
The market not only wasn't scared, it was supportive.
The stock rose almost 5% (!) in after-hours trading.
So what caused the change in tone? Three ironclad reasons:
Musk speaks and ignites imagination.
1 - The affordable car will be launched in the first half of 2025, without delays - Target: 3 million vehicles per year.
2 Robottaxi, in June, in Austin - Musk announces: full autonomous driving by the end of the year.
- The cost? One-fifth of Waymo's (Google) service, this is not just innovation, it's also an extreme competitive advantage.
3 Optimus, it's not a dream, it's happening.
- This year 5,000 robots will be produced as a pilot
- By 2030? One million units per year.
In addition:
- Free cash flow improved
- The company sits on $37 billion in cash and has Bitcoin holdings over $1 billion.
The report itself looked weak on the surface, but when you start to peel back the layers, you realize that Tesla is still a player with vision and engines for the future.