Market Week Strong Start Before Modest Close On Monday

On Monday (14 April) around 1030 ET, we saw the S&P 500 futures up by 1.4% rise. Nasdaq 100 futures also up by 1.6% while DJIA futures are up by 0.9%.

This show a positive trend in early trading and buying interest was fueled by the reports that President Trump exempted items like smartphones, semiconductors, and other electronics from tariffs.

But S&P 500 only managed to close 0.8% higher than previous week Friday after it went negative briefly and rebound from a midday session low. The market's earlier gains were partly offset by concerns that imports from China are still subject to the 20% fentanyl-related tariff. Commerce Secretary Lutnick clarified that the exemptions are temporary, and President Trump announced plans to set a tariff rate for semiconductors soon.

Economic Data To Watch This Week

We will be expecting the March Retail Sales on Wednesday. Followed by the March Housing Permits and Building Permits on Thursday.

On Thursday (17 April), there will be an ECB meeting, where a 25-basis point rate cut is anticipated.

Significant Stock Movement

A group of Republican senators has urged the Trump administration to remove the "AI Diffusion Rule" implemented by the Biden administration. They argue that this rule could hinder the U.S.'s leadership in AI. The senators emphasize the importance of maintaining American dominance in technology sectors such as semiconductor design and AI, urging immediate action to prevent potential damage to innovation and competitiveness.

This could helped the current AI stocks which are leading American dominance in the technology sectors.

The stock market's fluctuations were also influenced by volatile trading in mega-cap stocks. $NVIDIA(NVDA)$ was a key player, trading up as much as 3.0% at its high and down as much as 1.7% at its low.

$Palantir Technologies Inc.(PLTR)$ has secured a significant deal with NATO for its AI-powered military system, Maven Smart System. This contract highlights Palantir's growing influence in the defense sector and positions the company for future government contracts. Palantir's shares rose 6% in response to this development, reflecting investor confidence in its strategic direction. I am holding to my PLTR position as I have confidence in PLTR long term strategic direction.

Ten S&P 500 Closed In The Green

Ten of the 11 S&P 500 sectors closed in the green. Seven sectors finished more than 1.0% higher, including the financial sector, which benefited from $Goldman Sachs(GS)$ reporting above-consensus quarterly results.

Rate-sensitive sectors like real estate (+2.2%) and utilities (+1.8%) led the gains as market rates declined. Tech stocks are leading the charge after reports that President Trump exempted items like smartphones, semiconductors, and other electronics from tariffs.

Yield Dropped In Response To The Tariffs Update

The 10-year yield dropped 13 basis points to 4.36%, and the 2-year yield decreased by 12 basis points to 3.83%. This is despite we saw the market responding positively to the possibility of a tariff reversal.

I think we need to monitor the yield closely as this should give us an idea on how the market would be performing over the next two weeks.

Stocks To Watch

$Apple(AAPL)$ has made strides in artificial intelligence by deciding to analyze user data stored on devices to train its AI models. This decision led to a 3.5% rise in Apple shares. The company plans to use this data, while ensuring privacy, to improve its AI capabilities and compete with other tech giants like OpenAI. This development marks a significant step in Apple's AI strategy and could potentially enhance its service offerings.

Applied Digital Corp (APLD) reported a Q3 Non-GAAP EPS of -$0.08, beating expectations by $0.02, while revenue of $52.92M missed by $9.99M. Despite the earnings beat, the company's shares traded lower due to widened losses. Applied Digital continues to face challenges, including delays in signing customers, which have impacted its financial performance.

$GlaxoSmithKline PLC(GSK)$ is poised for a potential positive surprise as the CDC Advisory Committee considers expanding the recommendation for its RSV vaccine, Arexvy. The committee's decision could broaden the vaccine's use, potentially boosting GSK's market position. Analysts anticipate a favorable outcome, which could enhance GSK's revenue prospects.

So if we looked at how GSK have been trading, it is forming a crossover from RSI over RSI MA, which could mean a bullish reversal, so this could help GSK with the favorable outcome.

But the GSK bulls need to push harder to trade near 50-day period in order to gain stronger momentum, so I will be monitoring this stock as the healthcare sector might be coming back for recovery.

Webull Corp. (BULL) shares soared 393% after its public debut through a SPAC merger. The online brokerage platform's stock surged as investors responded positively to its market entry. The company has secured non-redemption agreements with investors, providing additional shares as incentives, which has contributed to the stock's impressive performance.

Pfizer (PFE) announced the discontinuation of its oral obesity drug, danuglipron, due to potential liver injury concerns. This decision has positively impacted other weight loss drug developers like Viking Therapeutics (VKTX) and Structure Therapeutics (GPCR), as they now have an opportunity to capture market share in the oral obesity drug segment.

Summary

I think we might be seeing some recovery from the tech stocks, but we need to watch the development of the tariffs update by President Trump, this could mean focus on some of the prominent tech stocks for American dominance might help these stocks.

And we need to watch the development of some healthcare stocks as they navigate the pharma tariffs impact. Stay invested in the market, and watch for opportunities.

Appreciate if you could share your thoughts in the comment section whether you think market recovery is in motion, will we expect more positive news if tariffs reversal potential grow.

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.