Investor sentiment has been buoyed by the prospect of improved US-China trade relations following President Trump's announcement of a potential thaw in tensions. This development has reduced geopolitical risks and encouraged investment in equities, driving stock valuations higher. The anticipation of reduced trade barriers is expected to enhance corporate profits, further fueling market optimism. Despite the looming threat of a 10% levy on China by February 1, the possibility of resolving trade tensions favorably has bolstered investor confidence, contributing to the S&P 500 Index's slight rise today.
The MAX S&P 500 4X Leveraged ETN (SPYU) saw a modest increase, rising 0.67% to $52.62 at 12:20 PM on Thursday, January 23.