Wall Street just got the green light to breathe easierfor now. April’s job report landed stronger than expected, easing fears of a Trump-tariff-induced slowdown. Nonfarm payrolls surprised to the upside, with unemployment steady at 4.2%, helping investors shake off recession jitters. At 10.12am today, the S&P 500 (SPY) jumped 1.14%, Nasdaq 
QQQ rose 1.18%, and Dow (DIA) increased by 0.97%, while the two-year Treasury yield spiked to 3.76% as traders recalibrated expectations. It’s not a Fed game-changer, but it’s enough to keep the risk-on mood alive.
Adding to the bullish tone: China is signaling a possible reset. Beijing said it’s weighing new trade talks with Washington and has already started exempting some U.S. goods from tariffs. That’s a meaningful shiftand markets noticed. Looks like we’ve hit peak policy noise, said Kevin Thozet of Carmignac, pointing to Trump’s softer tone and a corporate earnings season that’s held up better than many feared.
Still, the bond market isn’t entirely convinced. Treasury yields rose, but many investors are holding onto bets that the Fed will have to cut ratespossibly three or four times this year. The dollar dipped, gold rose, and Bitcoin edged up to nearly $97,000. In other words, optimism is rising, but this market is still hedging its bets.
