US stocks climb on Trump AI support, trade outlook

• Indexes jumped during the first trading session of Trump's presidency.
• The Dow soared over 500 points amid Trump's softer-than-feared tariff order.
• The president is expected to announce a joint investment project on Tuesday.

Stocks rallied Tuesday as the president's first days bolstered risk appetite among investors.

Donald Trump's softer-than-feared tariff policy and the president's expected support for an artificial intelligence investment deal boosted the broader market. The Dow Jones Industrial Average jumped over 500 points, while the S&P 500 and Nasdaq Composite also rose. Small-caps gained sharply, with the Russell 2000 up nearly 2%.

Bond yields tumbled. The 10-year US Treasury yield fell four basis points to 4.564%.

Though Trump made universal tariffs a linchpin of his trade policy plans, the lack of immediate implementation relieved nervous investors. Trump said he would consider 25% tariffs on goods from Canada and Mexico by February 1st, but withheld on broader announcements.

Instead, the president issued a memo ordering some departments to study the impact of trade and currency practices by April. New tariff policy adjustments could start after that date.

Trump is also expected to announce a joint investment with OpenAI, Oracle, and Softbank. The project would pour billions into US AI infrastructure. The news sent technology mega-caps rallying, such as Nvidia, Amazon, and Alphabet.

Stocks also rose Tuesday on general bullishness amid expectations for a pro-business agenda under Trump. On his first day, the president declared a national energy emergency to promote US fossil fuel production and established a regulatory freeze.

Here's where US indexes stood at the 4:00 p.m. closing bell on Tuesday:

• S&P 500: 6,049.24, up 0.88%
• Dow Jones Industrial Average: 44,025.81, up 1.24% (+537.98 points)
• Nasdaq composite: 19,756.78, up 0.64%

Here's what else is going on:

• Trump is a crypto billionaire. But he probably won't want to cash out anytime soon.
• The SEC launched a crypto task force on Trump's 2nd day in office.
• 5 things to know about Trump's meme-coin frenzy.
• A Top 1% investor sounded the alarm on stock-market bubble set to unravel.

In commodities, bonds, and crypto:

• West Texas Intermediate crude oil dropped 2.30% to $76.09 a barrel. Brent crude, the international benchmark, slid 0.84%, to $79.47 a barrel.
• Gold inched higher to $2,754 an ounce
• The 10-year Treasury yield slumped four basis points to 4.564%.
• Bitcoin gained 2.51%, climbing to $106,570.