NEW YORK, May 8 (Xinhua) -- U.S. stocks ended higher on Thursday, after U.S. President Donald Trump unveiled the outline of a trade agreement framework with the Britain, which marks the first deal since the United States imposed broad-based tariffs in early April.
The Dow Jones Industrial Average rose 254.48 points, or 0.62 percent, to 41,368.45. The S&P 500 added 32.66 points, or 0.58 percent, to 5,663.94. The Nasdaq Composite Index increased 189.98 points, or 1.07 percent, to 17,928.14.
Seven of the 11 primary S&P 500 sectors ended in green, with consumer discretionary and industrials leading the gainers by adding 1.35 percent and 1.34 percent, respectively. Meanwhile, health and utilities led the laggards by losing 0.91 percent and 0.86 percent, respectively.
Speaking from the Oval Office with British Prime Minister Keir Starmer on speakerphone, Trump announced that the agreement would include a 10 percent baseline tariff on British imports. He emphasized that this level may be on the lower end compared to future deals, saying some nations with "massive trade surpluses" could face much steeper tariffs.
While no official agreement was signed, Trump said that "the final details are being written up," and predicted a conclusive outcome in the coming weeks. "You better go out and buy stock now," he said. Markets reached session highs as Trump expressed confidence that U.S. negotiators would have a "good weekend" during initial trade talks with China.
"There is increased optimism that deals can be made before the July 9 expiration of the reciprocal pause," said Sam Stovall, chief investment strategist with CFRA Research. "However, the initiation of talks could ease pressure on the administration to finalize agreements with other trade partners in the short term."
U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer are scheduled to meet Chinese officials in Switzerland for discussions on trade and economic cooperation this weekend.
Technology stocks led gains, boosted by the news that the Trump administration will roll back chip restrictions introduced during the Biden era. Alphabet rose 1.93 percent after the company pushed back on reports of declining Safari search traffic, stating that Google Search continues to experience growth.
Elsewhere, Boeing gained 3.13 percent after U.S. Commerce Secretary Howard Lutnick hinted that the U.S.-British trade agreement could pave the way for a multi-billion dollar aircraft order.
Meanwhile, investors continued to assess the Federal Reserve's decision on Wednesday to keep interest rates unchanged, as expected. Fed Chair Jerome Powell emphasized a "wait-and-see" approach to future policy moves, highlighting the elevated economic uncertainty and market volatility stemming from President Trump's aggressive tariff measures. Trump lashed out at Powell again on Thursday, calling him a "fool" who "doesn't have a clue." ■