Traders work on the floor of the New York Stock Exchange (NYSE) on July 30, 2025 in New York City.
Spencer Platt | Getty Images
Stocks climbed Monday as investors clawed back the steep losses seen in the previous session that were sparked by concerns over the economy and a new round of tariffs from the Trump administration.
The Dow Jones Industrial Average gained 433 points, or 1%. The S&P 500 climbed 1.2%, and the Nasdaq Composite advanced 1.7%, thanks to a 2% gain in Tesla.
“Markets are rebounding after the post-jobs slump on Friday, but sentiment turned notably last week as investors were forced to confront stagflationary economic data (soft jobs and the relatively hot PCE) and a CQ2 earnings season that finished off on a mixed note after starting strong,” wrote Adam Crisafulli of Vital Knowledge.
“Bulls are far from being defeated, and continue to hold a grip on the narrative, but will require affirmation to regain confidence,” he added.
Stocks sold off on Friday after a weaker-than-expected jobs report that featured heavy revisions to May and June employment figures. Soon after the release, President Donald Trump fired the head of the Bureau of Labor Statistics. Trump on later said he’d be naming a new BLS commissioner in the coming days.
Jitters about Trump’s new modified tariff rates further rattled markets. Trump signed an executive order late last week that updated his “reciprocal” tariffs on dozens of U.S. trading partners, ranging from Syria to Taiwan, with updated duties ranging from 10% to 41%.
With little on the economic data front this week, investors will be eyeing any trade developments between the U.S. and China after senior officials from both countries met in Stockholm, Sweden, last week. Treasury Secretary Scott Bessent told CNBC Thursday that “we have the makings of a deal.”
Investors are also looking ahead to new earnings releases for this week. Palantir is set to post results after the close Monday, and AMD is slated to report Tuesday.
The market is bracing for a historically weak month. August is the worst month for the Dow Jones Industrial Average in data going back to 1988, and the second worst for the S&P 500 and Nasdaq Composite, according to the Stock Trader’s Almanac.
