US stocks witnessed a significant surge, in line with the global market recovery, driven by positive economic indicators and diplomatic talks. However, the gains were somewhat dampened by President Trump’s recent tariff warnings directed at China, which have escalated trade tensions between the two economic giants. This move has led to retaliatory warnings from Beijing, further adding to the uncertainty in the markets. The S&P 500 came close to experiencing a notable decline as investors grapple with the potential implications of the ongoing trade dispute.