Dow Today Surges Over 900 Points: U.S.-China Tariff Truce Sparks Market Relief
A Historic Rally for the Dow Jones
In a stunning turn of events, the Dow Jones Industrial Average skyrocketed by over 900 points on May 12, 2025, marking its biggest single-day gain of the year. This surge, driven by a groundbreaking U.S.-China agreement to slash tariffs for 90 days, has brought a wave of relief to investors who have been on edge for months. With fears of a recession looming large, today’s news is a beacon of hope—but is it just a temporary fix? Let’s dive into why Dow Today is trending and what it means for the economy.
Background: A Volatile Journey for the Dow
The Dow Jones has been on a rollercoaster since April 2025, when aggressive tariffs under Trump’s 'Liberation Day' policies triggered a staggering 20% market drop. Companies like Nike (up 7.3% today) and Apple (up 5.9%)—heavily reliant on Chinese manufacturing—were hit hard by supply chain fears. The index plummeted from its February 2025 highs, leaving investors anxious about a potential self-inflicted recession. Today’s rebound feels like a long-awaited exhale, but the scars of volatility remain fresh.
Breaking News: The 90-Day Tariff Truce
On May 12, 2025, the U.S. and China announced a historic 90-day tariff reduction agreement during meetings in Switzerland, as reported by CBS News. By 10:40 AM ET, the Dow Jones had surged 923 points (2.2%) to a range of 42,261-42,291, while the S&P 500 climbed 2.7%, according to updates from This dramatic rally has reignited optimism, with consumer stocks like Lululemon soaring by 10%.
