Here’s How the Stock Market Performed After Trump’s State of the Union Speech

On the day of this year’s State of the Union address by President Donald Trump, February 24th, 2026, U.S. markets staged a broad comeback from earlier weakness, with all three major indexes closing higher before the speech was delivered.

According to AP News data, the S&P 500 climbed 0.8%, the Dow Jones Industrial Average also rose 0.8%, and the Nasdaq Composite gained 1% in regular trading on Tuesday. The rally was driven in part by optimism around artificial intelligence technology after a major chip deal, which helped cushion broader investor concerns.

The market’s rebound on Feb. 24 came on the heels of a sharp sell-off earlier in the week reported by AP News linked to tariff policy uncertainty under the Trump administration. In fact, the Dow had dropped more than 800 points just days earlier as investors dumped stocks amid tariff escalation and profit-taking in high-valuation areas of the market.

Market momentum carried into Wednesday, Feb. 25, the first full trading session after the speech. AP News reported continued gains across Wall Street, driven primarily by strength in technology shares and optimism around artificial intelligence-related companies. The S&P 500 climbed another 0.8 percent, extending its recovery, while the Nasdaq Composite jumped roughly 1.3 percent. The Dow trailed slightly but still added about 0.5 percent, reflecting a more cautious response from industrial and consumer-focused stocks.

Reuters also confirmed a similar pattern, noting broad strength across markets with the Nasdaq up around 1.1%, the S&P 500 up about 0.73%, and the Dow rising roughly 0.57% on the same session. Traders cited growing confidence ahead of key corporate earnings, particularly from technology leaders, as a primary driver of the upside.

That Tuesday rally was attributed by AP to strength in semiconductor and big-tech equities after major contracts and earnings forecasts boosted investor confidence. Stocks linked to artificial intelligence, particularly chipmakers, helped underpin gains even as tariffs remained a concern.

Part of the positive post-speech trading reflected investor optimism about Nvidia’s upcoming earnings report and expectations for strong profit growth in AI infrastructure and software segments. Gains in Nvidia and other big tech names helped lift the entire Nasdaq and contributed to the S&P 500’s broad market participation.

Just days before the address, stocks slumped amid renewed tariff fears and concerns about companies perceived as vulnerable to AI disruption. For example, a separate AP News report noted a sell-off earlier in the week where the S&P 500 fell about 1%, and the Dow dropped over 800 points, largely on tariff-related uncertainty and profit-taking linked to AI sector rotation.

Futures markets also pointed higher following the address. Contracts tied to the S&P 500 and Dow rose around 0.3 percent in early trading on Wednesday, while Nasdaq futures gained nearly 0.5 percent. That suggested investors were willing to look past political uncertainty in the short term and reengage with equities, particularly in sectors showing strong earnings momentum.