Cryptocurrency, tech, and software stocks saw widespread gains today as traders refocused on growth stocks, leading the S&P 500 and Nasdaq Composite to set consecutive all-time highs. The S&P 500 index rose 0.29%, reaching 7230.12 points, during which it hit a new historical peak.
Donald Trump stated on the social platform Truth Social that he would raise tariffs on European cars and trucks:
“Due to the European Union's failure to comply with our fully agreed trade deal, I will be increasing tariffs on cars and trucks coming from the European Union next week, with rates rising to 25%.”
Trump also wrote: “Everyone understands that if they produce cars and trucks in the U.S., there will be no tariffs.” Following this announcement, Stellantis (STLA) saw its stock price drop over 2%, while Ferrari (RACE) fell nearly 1.5%.
Tech traders aggressively purchased software stocks, pushing the sector to outperform the S&P 500 across all major timeframes.
Long-term data shows a continuous influx of funds into tech stocks. The sector has risen 8.34% year-to-date, compared to a 4.84% increase in the S&P 500. Over the past year, tech stocks have surged 42.67%, while the S&P 500 has gained 29.83%. In three years, tech stocks have risen 122.43%, while the S&P 500 has only increased by 73.41%. Over five years, tech stocks have returned 125.84%, compared to 72.45% for the S&P 500.
The rally in software stocks has also benefited from the push by infrastructure companies. This group includes those building system software, operating systems, networking tools, cloud storage, web services, and related technology services.
Microsoft (MSFT) traded at $414.44, up 1.63%. Oracle (ORCL) traded at $171.83, with a gain of 6.47%. Palantir (PLTR) traded at $144.12, increasing by 3.60%. Palo Alto Networks (PANW) traded at $181.08, up 0.98%.
Cybersecurity and cloud computing companies also joined the upward trend. CrowdStrike (CRWD) traded at $455.64, up 2.22%. Synopsys (SNPS) traded at $489.02, with a gain of 1.33%. Cloudflare (NET) traded at $217.50, rising 6.11%. Fortinet (FTNT) traded at $86.29, increasing by 2.35%. CoreWeave (CRWV) traded at $119.01, up 6.64%. Block (XYZ) traded at $71.81, with a gain of 1.84%.
As Bitcoin surged in April, trading volumes for crypto stocks also increased, primarily for companies related to exchanges, payments, Bitcoin holdings, and mining.
The performance of mining and crypto assets has not met expectations, as crypto stocks tend to be highly volatile. IREN (IREN) traded at $45.65, up 0.31%. Bitmine Immersion Technologies (BMNR) traded at $21.87, with a gain of 2.2%. Galaxy Digital (GLXY) traded at $28.11, increasing by 2.44%.
Despite the overall strong market performance, some crypto-related stocks still declined. MARA Holdings (MARA) traded at $11.45, down 4.5%. Alliance Resource Partners (ARLP) traded at $26.15, decreasing by 1.73%. CleanSpark (CLSK) traded at $12.15, down 3.03%. Rumble (RUM) traded at $7.33, falling 2.69%.
Bitcoin rose 12.7% in April, following a nearly 2% increase in March. This marked two consecutive months of gains for Bitcoin, ending a five-month downtrend. Ethereum also rose 8% in April.