The S&P 500 closed 0.7% higher on Monday, powered by a tech rally led by Nvidia (NVDA), despite new trade tariffs announced by President Donald Trump. Investors are now focused on key economic data releases and Fed Chair Jerome Powell's testimony later this week.

Market Performance Snapshot

📈 S&P 500: +0.7%
📈 NASDAQ Composite: +1%
📈 Dow Jones Industrial Average: +166 points (+0.4%)

Key Market Drivers

🚀 Tech Surge: Nvidia Leads the Charge

✅ Nvidia (NVDA) jumped 3% after Evercore ISI called the stock a buying opportunity following a recent dip.
✅ Concerns over competition from AI startup DeepSeek had pressured Nvidia, but analysts believe its tech doesn't pose a major threat.
✅ Nvidia's quarterly earnings report is set for Feb. 26, adding anticipation to its stock performance.

🏛️ Powell's Testimony & CPI Data on Deck

📌 Fed Chair Jerome Powell will deliver his semiannual monetary policy testimony to Congress on Tuesday and Wednesday.
📌 Investors are closely watching his remarks on inflation, interest rates, and trade tariffs.
📌 Deutsche Bank expects Wednesday's testimony to be even more significant due to the release of the January CPI report that morning.

🌍 Trump's Tariff Move Sparks Trade Concerns

📌 New 25% tariffs on steel and aluminum imports were announced, just days after the 10% tariffs on China took effect.
📌 Markets remain cautious about the impact of trade restrictions on inflation and corporate earnings.

Market Outlook & What to Watch Next

🔹 Nvidia's earnings (Feb. 26) could drive further momentum in tech stocks.
🔹 Powell's testimony (Feb. 6-7) will shape Fed rate expectations for 2024.
🔹 CPI report (Feb. 7) will be critical for inflation trends—a higher-than-expected reading could delay rate cuts.

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📌 Market Most Active API - Get real-time trending stocks, biggest gainers & losers.
📌 Economics Calendar API - Stay updated on Fed speeches, inflation data, and macroeconomic events.

Final Thoughts

Despite trade tensions, strong tech earnings and AI optimism continue to push the market higher. But with tariff concerns and inflation risks, Powell's testimony and CPI data will be key in shaping market direction this week. Will stocks keep rallying or face a pullback? Investors are bracing for big moves ahead!