The Magnificent Seven tech stocks—Apple, Microsoft, Amazon, Nvidia, Alphabet (Google), Meta, and Tesla—rallied sharply on Monday as global investors cheered a temporary easing in US-China trade tensions. Following the announcement of a 90-day suspension of steep reciprocal tariffs, the Roundhill Magnificent Seven ETF (MAGS) jumped over 6% in premarket trading, signaling strong optimism across tech giants.
According to a sector heatmap, here’s how the Mag 7 stocks performed post-announcement:
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Amazon (AMZN): +7.01%
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Tesla (TSLA): +5.58%
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Meta (META): +5.48%
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Apple (AAPL): +4.52%
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Nvidia (NVDA): +4.19%
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Google (GOOGL): +3.2%
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Microsoft (MSFT): +0.76%
Investors appear to be pricing in stronger revenue prospects for these companies, many of which have been battered by prolonged geopolitical uncertainty and supply chain constraints. The tech-heavy Nasdaq also surged 3.8%, leading broader market gains after the announcement.
eToro global markets analyst Lale Akoner told Yahoo Finance that the continued monetization of AI investments and upward revisions in capex guidance among several of these firms is adding to the bullish momentum.
Under the new deal, US tariffs on Chinese goods will drop from 145% to 30%, while China is also cutting duties on US imports to 10% from 125%. However, a separate 20% tariff related to fentanyl concerns will remain intact.
With tech stocks back in favor and earnings season still in swing, all eyes are now on inflation prints later this week to determine whether this rally has more room to run.
