Stock Market Today: Indexes Gain Momentum After Trump-Powell Meeting; Nvidia Surges Past Entry But CoreWeave Reverses Hard
Indexes. Wall Street witnessed renewed optimism on Friday as major indexes gained momentum following a highly anticipated meeting between former President Donald Trump and Federal Reserve Chair Jerome Powell. The markets interpreted the encounter as a signal of potential policy alignment and stability, fueling investor sentiment across key sectors.
The meeting, which was held behind closed doors, is being viewed as an informal but symbolically significant event. While the content of the discussion remains private, market participants believe it hinted at a more collaborative monetary-fiscal stance, especially if Trump returns to office in 2025.
Indexes React Positively to Trump-Powell Dialogue
The Dow Jones Industrial Average climbed 0.75%, closing at a record high of 39,110. The S&P 500 added 0.82% to reach 5,325, while the Nasdaq Composite surged 1.20% as tech stocks led the rally.
Investors responded positively to rumors that Powell and Trump discussed interest rate trajectories and inflation concerns, with speculation that Powell may adopt a dovish tone going forward if pressured politically.
A combination of resilient macroeconomic data and the prospect of less aggressive rate hikes helped lift the broader market. Treasury yields edged lower, and the dollar weakened slightly, providing further tailwinds to equities.
Nvidia Surges Past Buy Point, Extends Rally
Nvidia (NVDA) was a standout performer, rallying nearly 4.6% to close at $1,190, far surpassing its technical buy point at $1,150. The semiconductor giant continues to ride the wave of AI and data center demand, boosted further by news of increased adoption from hyperscale cloud providers.
Investor enthusiasm surrounding Nvidia’s recent earnings beat, along with bullish analyst upgrades, has reaffirmed its leadership in the AI chip space. Goldman Sachs raised its price target to $1,300, citing “unmatched scale and innovation in GPU design.”
Nvidia’s surge also had a ripple effect on the semiconductor sector, with AMD, Broadcom, and Marvell all trading higher.
Nvidia Performance Summary
| Metric | Value |
|---|---|
| Stock Price (Close) | $1,190 |
| Buy Point | $1,150 |
| 1-Week Gain | +6.8% |
| YTD Performance | +79% |
| Analyst Consensus | Strong Buy |
CoreWeave Faces Brutal Sell-Off Despite Nvidia Ties
On the other end of the spectrum, CoreWeave, a private AI infrastructure firm recently rumored to consider an IPO, saw a sharp decline in investor enthusiasm. Despite close ties with Nvidia—one of its primary GPU suppliers—CoreWeave’s funding prospects took a hit after unconfirmed reports of delayed contract execution with a major client.
Although the company isn’t publicly traded yet, its latest funding round valued it at over $19 billion. However, secondary market activity showed its shares dropping by as much as 15% on platforms such as Forge Global and EquityZen.
The market’s reaction underscores the volatility in the AI infrastructure space, where sky-high valuations are now being re-evaluated amid execution risks and rising competition.
Sector Performance Snapshot
| Sector | 1-Day Change | Key Drivers |
|---|---|---|
| Technology | +1.5% | Nvidia surge, chip optimism |
| Financials | +0.6% | Dovish rate expectations |
| Consumer Discretionary | +0.9% | Strong retail earnings |
| Utilities | -0.4% | Defensive sectors underperform |
| Energy | +0.3% | Slight rebound in crude prices |
Market Outlook: Can the Rally Sustain?
While the Trump-Powell meeting fueled the day’s optimism, some analysts warn against reading too much into the headlines. The Fed has reiterated its data-dependent approach, and any pivot away from that could hurt its credibility.
Nevertheless, with inflation cooling, earnings season largely outperforming expectations, and geopolitical tensions remaining muted, bulls argue that the conditions are ripe for a summer rally.
Investors are advised to remain selective, with a focus on companies demonstrating strong fundamentals, pricing power, and technological innovation.
Expert Opinions
“Markets are betting on a softer Fed and a more predictable policy outlook if Trump returns to power. That optimism is flowing into risk assets across the board.”
— Emily Tran, Chief Market Strategist at Horizon Advisors
“Nvidia’s run is not a bubble—it’s supported by real revenue growth and clear industry dominance. But other AI names may not have the same runway.”
— Marcus Feldman, Tech Analyst at Ironwood Research
Frequently Asked Questions (FAQ)
| Question | Answer |
|---|---|
| What caused the stock market to rise today? | Optimism following a Trump-Powell meeting, perceived as supportive for future rate cuts or stable monetary policy, led to broad-based gains. |
| Why did Nvidia stock rise so much? | Strong earnings, bullish analyst upgrades, and surging demand for AI chips pushed Nvidia past a key technical buy point. |
| What happened to CoreWeave? | Despite being backed by Nvidia, CoreWeave saw a drop in private market valuation due to execution concerns and IPO delays. |
| Is the Trump-Powell meeting policy-changing? | Not officially, but markets see it as symbolic of potential cooperation between fiscal and monetary leaders if Trump returns in 2025. |
| Which sectors gained the most today? | Technology led the gains, followed by consumer discretionary and financials. |
| Is now a good time to buy Nvidia stock? | It has broken out past its buy point, but investors should monitor valuations and market sentiment before entering at elevated levels. |
| What are the risks to the current rally? | Inflation reacceleration, unexpected Fed hawkishness, or geopolitical shocks could derail the momentum. |
| How should investors position for June 2025? | Focus on quality tech, look for earnings strength, and maintain a diversified portfolio with some exposure to defensive names. |
| When is the next Fed rate decision? | The next FOMC meeting is scheduled for mid-June 2025. |
| Is CoreWeave publicly traded? | No, CoreWeave remains a private company, though an IPO is rumored for late 2025 or early 2026. |
Conclusion
The market’s reaction to the Trump-Powell meeting shows how sensitive investor sentiment remains to potential political and monetary shifts. As speculation around future rate policy heats up, today’s rally highlights the growing interplay between Wall Street and Washington.
Nvidia continues to prove its mettle as a leader in AI innovation, rewarding investors with strong price action and technical breakouts. In contrast, CoreWeave’s private valuation stumble serves as a reminder that not all AI stories are created equal.
As the broader indexes ride the wave of renewed optimism, disciplined investors should avoid complacency. The key lies in balancing growth exposure with a cautious eye on macroeconomic and political developments that could quickly change the landscape.