Luke Kawa1/21/25

Stocks jump as tariffs take backseat to AI

The first trading day of the Trump administration saw more talk about AI than tariffs, fueling a sharp retreat in the US dollar and a rally in stocks.

The S&P 500 gained 0.9%, the Nasdaq 100 rose 0.6%, and the Russell 2000 jumped 1.9%.

Industrials were the best-performing S&P sector ETF; energy was the only decliner.

Reports that the president plans to announce a joint venture for US AI infrastructure dubbed “Stargate,” which includes Oracle, SoftBank, and OpenAI, sent shares of those companies, as well as Nvidia, upward.

Trump’s pledge to put the American flag on Mars drove rocket-esque gains for Rocket Lab USA, Redwire, and Intuitive Machines, among others.

Somewhat ironically, one stock that wasn’t joining in the risk-on party: Trump Media & Technology Group, which slumped double digits.

Moderna surged after receiving a grant in excess of half a billion to develop a bird flu vaccine.

Palo Alto Networks caught a bid after Morgan Stanley reaffirmed its bullish stance on the company.

That’s not to say the 25 executive orders and commentary from the president were uniformly positive for stocks across the board, as electric-vehicle stocks like Tesla, Rivian, and ChargePoint all slumped amid directives that may hurt their top lines. Meanwhile, more traditional, ICE-oriented vehicle companies did well, with General Motors in particular benefiting on the heels of an upgrade from Deutsche Bank.

Apple dropped amid negative analyst company around the company, which has struggled with soft demand in China.

Walgreens Boots Alliance, which was sued by the DOJ at the end of last week, also plummeted.

More Markets

See all Markets

markets

President Trump extends Strait of Hormuz opening deadline to April 6

President Trump said that he will give Iran another 10 days to fully reopen the Strait of Hormuz, postponing the strikes on Iranian energy infrastructure that he had threatened last weekend. Markets have been broadly muted on the deadline delay, however, with oil up moderately and stocks slightly in the red in early trading Friday.

Not long after markets closed Thursday, the president posted on Truth Social that he will pause “Energy Plant destruction” for 10 days until Monday, April 6, 2026, at 8 p.m. ET, at the request of the Iranian government, adding that talks are “going very well.” Iranian mediators told the Wall Street Journal that they hadn’t requested the delay. Oil prices fell briefly on the news but snapped back within minutes, with Brent Crude futures now up 2% to $110 a barrel and WTI Crude also up 2% to around $96 a barrel.

Global stock markets are mixed with uncertainty abound around any actual ceasefire prospects: Japan’s Nikkei 225 and South Korea’s KOSPI both closed around 0.4% lower, while Hong Kong’s Hang Seng edged up 0.4% on Friday. Meanwhile, Europe’s Stoxx 600 is down 0.9% this morning, with other major indexes across the region also lower. S&P 500 futures and Nasdaq 100 futures are down 0.4% and 0.6%, respectively, at 7 a.m. ET.

markets

Claire Yubin Oh1h

Unity soars on strong Q1 preliminary results and news it will exit non-strategic ad business

Unity Software is up around 15% in premarket trading on Friday after the gaming software company announced preliminary results for Q1 2026 that were above guidance, largely driven by its Vector AI ad engine.

Per Unity’s statement released after the bell on Thursday, the company now expects Q1 sales to fall between $505 million to $508 million, above its guidance of $480 million to $490 million, and ahead of analyst expectations of $494 million (compiled by FactSet). The company also now forecasts adjusted EBITDA to land between $130 million and $135 million, topping its guidance for $105 million to $110 million and representing a 58% rise from last year.

In the preliminary report, Unity President and CEO Matt Bromberg highlighted Vector, its AI ad tool that matches players with games, delivering “better long term results” for its advertisers, as a key driver. The company expects ~$352 million from its Grow segment, which includes Vector.

Unity also announced that it will be exiting its ironSource Ads Network starting April 30, which has been waned of late to represent only 11% of total revenue growth in the previous quarter. In addition, Unity has engaged a financial advisor to divest its Supersonic game publishing business, noting that these changes will drive “faster revenue growth, increased Adjusted EBITDA, and higher Adjusted EBITDA margins.”

markets

Matt Phillips16h

Nasdaq Composite enters correction territory, joining small-cap Russell 2000

The Nasdaq Composite closed down 10.9% from its high of 24,019.99 — reached during intraday trading on October 29 — putting the tech-heavy benchmark conclusively into a “correction.”

A correction is Wall Street’s term of art for a sell-off that’s graver than a garden-variety slump, but not quite as dire as a bear market. (A bear market commences when prices are down 20% from a peak.)

While the proximate cause in the Nasdaq turndown seems to be t he war — the Composite is down more than 5% since the start of the conflict on February 28 — it’s worth noting that the index had been stalled out for three months prior to that.

At least Nasdaq investors aren’t alone: the small-cap Russell 2000 slipped into a correction last Friday. The S&P 500 has held up better, relatively speaking, though it, too, is down more than 7% from its intraday high of 7,002.28, which it touched on January 28.

Bear on Back Feet

Markets sell off as Mideast conflict shows no sign of ending

The S&P 500, Nasdaq 100, and Russell 2000 all fell while oil rose.

markets

Max Knoblauch19h

Hertz and Avis Budget appear to be benefiting as travelers balk at airport wait times

As the Department of Homeland Security shutdown drags on, resulting in some excruciating airport wait times, rental car companies Avis and Hertz are seeing a boost.

Both companies are up more than 10% on Thursday, continuing a weeklong trend of trading momentum. From market close on March 20 to midday Thursday, Avis shares are up about 44%, while Hertz shares are up 24%.

Would-be flyers may be pivoting from sky to highway, even as gas prices climb. According to TravelPulse, search traffic for Hertz is up 15% in recent days.

The TSA is experiencing the longest wait times in its 24-year history, officials have said. Airfares rising as jet fuel prices remain elevated is likely adding to travelers’ decision.

Hertz Reports Spike in Car Rental Searches as US Airports Deal With Long TSA Lines

Hertz Reports Spike in Car Rental Searches as US Airports Deal With Long TSA Lines

Would-be flyers may be pivoting from sky to highway, even as gas prices climb. According to TravelPulse, search traffic for Hertz is up 15% in recent days.

The TSA is experiencing the longest wait times in its 24-year history, officials have said. Airfares rising as jet fuel prices remain elevated is likely adding to travelers’ decision.

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, Robinhood Derivatives, LLC, or Robinhood Money, LLC. Futures and event contracts are offered through Robinhood Derivatives, LLC.

©2026 Sherwood Media, LLC