A Fresh Jump for Bessent: Can We Identify the Depth Needed for #3 to Be Considered a Floor?
Rewritten Article:
:By Geoff Bysshe
Drop the hunt for the "Trump Put." A far more dependable pal in the White House is at your service.
Last week witnessed another tumultuous "Bessent Bounce." This rollercoaster ride might just hold the key to some substantial gains.
Remember, the "Bessent Bounce" signifies a stock market surge sparked by remarks made by our esteemed U.S. Treasury Secretary about the advancements in trade negotiations with China. This particular rally happened in late April 2025, with the S&P 500 shooting up by 1.8% and the Dow Jones Industrial Average reaching over 420 points on April 23[4]. The surge symbolizes investor optimism about potential trade resolutions and a decrease in geopolitical tensions. However, it's still uncertain whether this rally will persist amid broader market turmoil[4][2].
This situation demonstrates how markets tend to swing dramatically in response to perceived changes in trade policy. But the long-term sustainability hinges upon tangible results[4][3]. Over the past weeks, mega-cap tech stocks and multinationals dominated the gains, leaving REITs trailing behind despite sound earnings from companies like Agree Realty[4].
This episode is part of an ongoing pattern where markets recover during periods of policy adjustments or diplomatic progress[3]. Overall, the S&P 500 pared losses, bringing it closer to the mid-February 2025 highs[4]. The sector-wise impact is noteworthy, with tech stocks and multinationals leading the charge. REITs, however, didn't perform as robustly despite posting solid earnings[4].
The U.S. Treasury Secretary's comments on trade negotiations with China last week instigated another market surge, known as the "Bessent Bounce." This event reaffirms that political alliances can significantly influence the stock market, specifically in times of policy adjustments and diplomatic progress. In this instance, tech stocks and multinationals showed a marked bounce, contrary to REITs that didn't perform as robustly, despite posting solid earnings. This volatile market dance underscores the importance of closely monitoring finance and investing sectors for potential trade resolutions and geopolitical tensions impact on business.
