US Stocks Rise on Hopes for Russia-Ukraine Peace Talks

NEW YORK, NY — U.S. stocks gained on August 7, 2025, as investors grew optimistic over potential peace talks between Russia and Ukraine. This surge came after a near 30% increase from the S&P 500’s April lows, though it ended the day largely unchanged while a rally showed signs of fading.

Investor sentiment improved due to the possibility of de-escalation in the ongoing conflict, with reports that President Donald Trump plans to meet with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskiy next week. This news added to the market’s positive momentum, particularly in technology sectors where a key index for chipmakers spiked, despite a slip in shares for Intel Corp. after Trump called for its CEO’s resignation.

Meanwhile, bond market activity was muted with the benchmark 10-year yield remaining steady at 4.22%. The Federal Reserve is preparing for a $25 billion sale of 30-year bonds, raising questions about investors’ appetite for long-term debt amid changing economic conditions.

In further economic news, U.S. continuing jobless claims reached their highest levels since November 2021, while labor productivity showed signs of rebounding, helping ease wage-related inflation pressures. Federal Reserve Governor Christopher Waller is being considered as a potential successor to Jerome Powell, increasing speculation around leadership in the central bank.

The Bank of England also made headlines by cutting interest rates to their lowest level in over two years, leaving investors with uncertainty about future monetary policy actions. Following the announcement, the value of the pound increased.

Internationally, the U.S. government implemented an additional 25% tariff on Indian imports, effectively doubling earlier tariffs due to ongoing purchases of Russian energy. Oil prices fell in response to this development. Furthermore, Switzerland’s president departed from Washington without a resolution regarding the 39% tariffs placed on her country.

As the global economic situation unfolds, data releases are anticipated from Asia, including trade figures from Australia and China, and inflation expectations from New Zealand.