Trump's Remark Triggers Historic Surge in U.S. Stocks! "Bond King" Poses a Soul-Searching Question: Dare You Still Buy U.S. Stocks?

On Wednesday Eastern Time, after US President Trump announced a 90-day tariff suspension for countries that do not take retaliatory actions, the US stock market experienced an epic surge. However, amidst this surge, some were extremely grateful to Trump, while others remained calm. "Bond King" Bill Gross posed a soul-searching question to US stock investors: "Is it really wise to invest in such a massive market where price movements can fluctuate so dramatically based solely on the sentiment and decisions of one president?" The US stock market witnessed an epic surge. On Wednesday Eastern Time, after Trump announced a 90-day tariff suspension for multiple countries except China, many investors who were concerned about the impact of US trade policies on the global economy breathed a sigh of relief. The S&P 500 surged by 9.52%, marking its largest gain since October 29, 2008, and the third-largest single-day gain since World War II, with 494 stocks rising and 9 falling. The Dow Jones Industrial Average rose by 7.87%, its largest gain since March 25, 2020, with all 30 component stocks closing higher. The Nasdaq Composite surged over 12% in a single day. Amidst this surge, some were naturally extremely grateful. For instance, Bill Ackman, founder of Pershing Square Capital and one of Wall Street's most vocal supporters of Trump, who had recently urged him to delay "reciprocal tariffs," posted on social media platform X: "On behalf of all Americans, I thank you." Shortly after, he added: "@SecScottBessent (US Treasury Secretary Bessent) is so cool! @realDonaldTrump (Trump)'s move is outstanding. It's a textbook example of 'The Art of the Deal.'" However, amidst the cheers on Wall Street, there were still those who remained sober and concerned. For example, "Bond King" Bill Gross expressed concerns about the volatility of US stocks and their high dependence on Trump's decisions. He posted on X: "My defensive stock portfolio is up today, so I'm not dissatisfied with today's market. But I ask you, are you really willing to hold such highly volatile US stocks? And does the market's movement really depend on whether the US president had a good night's sleep and whether he overturned yesterday's policy the next morning?" From April 3 to this Tuesday, following Trump's tariff announcement on April 2, the US stock market experienced a rare and significant plunge: the S&P 500 fell over 12% in four trading days. Despite Wednesday's surge, the S&P 500 is still 4% below its closing price on April 2. Gross also shared his views on the potential long-term impact of the current market situation. He stated that the recent "crash" in the US stock market could have a significant impact on Millennial and Gen Z investors. Gross worries that after this plunge, previously considered foolproof methods of making money may no longer be so "foolproof," and investors' attitudes may become more cautious and conservative. Changes in investor confidence could lead to a decline in the price-to-earnings ratio (P/E) and lower returns for US stocks.