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The S&P 500 saw a remarkable 6% increase over five days, marking its most substantial weekly gain since 2023. However, this figure doesn't fully capture the tumultuous nature of the week, which was marked by historic levels of volatility affecting stocks, bonds, and the dollar, all due to the impact of Trump's trade war.

Described as a week destined for the history books, the markets experienced shocking fluctuations in stock prices, chaos in the bond market, and a decline in the value of the dollar. The S&P 500 closed the week at 5,363.26, showing a 1.81% increase, with the Dow Jones Industrial Average at 40,212.71, up by 1.56% (an increase of 618.99 points), and the Nasdaq Composite at 16,724.46, showing a 2.06% increase.

Stocks experienced significant fluctuations as investors tried to gauge the impact of the Trump administration's tariff adjustments. Market analyst Edward Moya of AlphaSense commented on the challenging situation, emphasizing the market's fluctuation between panic, elation, and fear.

The week began with the stock market facing more declines following the previous week's losses. Prominent figures in the market, such as hedge fund manager Bill Ackman, criticized the trade war, warning of potential economic consequences. The S&P 500 notably increased by 8.5% in a short period after rumors of a potential tariff pause circulated, underscoring investors' eagerness for positive news amid the losses.

Throughout the week, fluctuations continued, with the market reacting to developments like Trump's tariff increase on China. Despite news of a possible trade agreement with Japan, market indexes experienced further declines.