After a tense and volatile session on Monday, American indexes closed in the green. S&P 500 gained 1.6%, Nasdaq rose by 2.3%, and gold exceeded $4,150 per ounce for the first time ever, reports CNBC.
The market is trying to recover after Friday’s panic, when Donald Trump’s new trade threats wiped out $2 trillion. Now investors are reacting to a reverse signal — in a post on Truth Social the former US president hinted that a large-scale tariff hike may not happen.
Gold reacted instantly. Prices rose by 2.14% and reached $4,103.47. At one point, the price climbed to a record $4,151. December futures closed at $4,150, which is 3.3% higher than the previous day.
According to Phillip Streible, chief strategist at Blue Line Futures, gold has every chance to continue its growth. He believes that by the end of 2026, the price could exceed $5,000. Among the key factors he cites are central bank purchases, growing interest from ETF, rising external economic tensions, and expectations of lower rates.
Tech drives the market up, Trump softens tariff rhetoric
Tech companies were the first to rebound. Broadcom jumped by 10% after news of a partnership with OpenAI. Oracle surged by more than 5%, Nvidia added 3%, and AMD shares rose by 1%. The tech sector was the main reason for the Nasdaq‘s strong performance, which ended the day as the market’s top performer.
Almost 80% of companies in the S&P 500 index closed higher. Small companies also joined in — the Russell 2000 index jumped by 2.5%, even though it dropped by 3% on Friday.
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It was Trump’s Friday statement on tariffs that crashed the markets, causing the biggest drop in months. However, over the weekend he made a softer statement, which partially calmed investors. Still, rising trade tensions remain a risk factor — especially for American tech companies, which depend on rare earth metals from China for chip, EV component, and electronics production.
The industrial Dow Jones recovered 621 points, adding 1.4% and regaining about 70% of Friday’s losses. S&P 500 returned almost 60% to previous levels, and the market is gradually preparing for the upcoming earnings season.
Precious metals rise, BTC holds steady, market bets on rate cuts
Investors continue to price in expectations of monetary policy easing. According to futures data, the market is almost fully confident that the Fed will cut rates by 0.25% as soon as October — the probability is estimated at 97%. And in December, traders almost guarantee a further cut. For gold, which does not yield interest income, such expectations are fuel for growth.
Analysts at Bank of America and Société Générale are confident that by 2026 gold could reach $5,000. Standard Chartered has revised its forecast and now expects an average price of $4,488 as early as next year.
Silver also joined the rally, with the price rising by 3.44% to a record $52.12. Both gold and silver are signaling an overheated market. RSI has already reached 80 and 83 points respectively. Against the general trend, other metals also rose. Platinum added 4%, reaching $1,650.65, and palladium grew by 5.23% to close at $1,479.04.
This week, Wall Street will have to prove its resilience. The US government shutdown is still ongoing, and the deadline for payroll obligations is October 15. The start of earnings season is also putting pressure on the market. On Tuesday, the largest banks will report results: Citigroup, Goldman Sachs, JPMorgan, Bank of America, Wells Fargo and Morgan Stanley. They will be followed by a wave of regional players.
See also: Trump calmed the markets: crypto rebounded after record liquidations
Meanwhile, bitcoin is gradually recovering after a sharp drop to $102,000. It is now trading again above $115,000. Galaxy Digital called what happened one of the largest liquidation events in digital asset history.
In their view, the situation developed due to two factors: a major pricing system failure on one offshore platform and a sudden macro shock caused by US tariff news. Galaxy reports that from $60 to $90 million in USDe stablecoins were sold on Binance without an independent price source. This platform used its own order book data to value collateral — and when the price crashed there, it led to a local loss of the peg. USDe on Binance fell to 65 cents, while on others it stayed around a dollar.
Then everything cascaded. The drop quickly spread across the market: leveraged positions were massively liquidated, and total crypto market losses exceeded $19 billion.
