4 Stocks Poised To Win From U.S.-China Trade Thaw

Ever wondered how a single handshake between global superpowers could send ripples through your investment portfolio? This week, the U.S. and China hit pause on their trade war, slashing tariffs and sparking a surge in optimism across markets. As an investor, I’ve seen plenty of ups and downs, but this feels like one of those moments where opportunity knocks loud and clear. Four stocks, in particular, stand out as prime beneficiaries of this thaw, ready to ride the wave of reduced tensions. Let’s dive into why these companies are poised to shine and what it means for your portfolio.

Why the U.S.-China Trade Deal Matters for Investors

The news broke on Monday: the U.S. and China agreed to a 90-day tariff truce, dropping levies from a punishing 125% to a more manageable 10%. While a 20% U.S. tariff tied to fentanyl trafficking remains, the effective rate on Chinese goods is now 30%. This isn’t just a headline—it’s a game-changer for companies with deep ties to both nations. According to financial analysts, this pause signals a potential de-escalation of the trade war that’s rattled markets since President Trump ramped up tariffs to as high as 145%. For investors, it’s a chance to reassess which stocks are ready to rebound.

Why does this matter? Trade tensions have long been a drag on global markets, raising costs, disrupting supply chains, and spooking investors. With this temporary relief, companies reliant on Chinese markets or manufacturing can breathe easier. The four stocks we’re about to explore—each a titan in its field—stand to gain the most. Let’s break it down.

Broadcom: The Semiconductor Star

First up is Broadcom, a semiconductor giant that’s had a rollercoaster year. On Monday, its shares surged over 5.5%, a clear sign investors are betting big on this trade thaw. Why? China accounts for a whopping 20% of Broadcom’s revenue, making it highly sensitive to tariff hikes. When tensions spiked, fears of disrupted sales and rising costs sent the stock tumbling nearly 6% in 2025, compared to the S&P 500’s milder 1% dip.

But here’s the kicker: lower tariffs mean Broadcom can stabilize its supply chain and boost sales in China. The company’s custom chip business, critical for AI applications, has faced headwinds from cooling demand, but this deal could reignite growth. As one market strategist put it:

Broadcom’s exposure to China makes it a direct beneficiary of any trade relief. This stock could be on the cusp of a major comeback.

– Market strategist

I’ve always admired Broadcom’s ability to pivot, and with shares now climbing past $200, it feels like the stock is shaking off its slump. If you’re looking for a tech play with global reach, this one’s worth a closer look.

Nvidia: Powering the AI Revolution

Next, let’s talk Nvidia, the chipmaker that’s become synonymous with the AI boom. Its stock jumped nearly 5% on Monday, and for good reason. China remains a massive market for Nvidia, but recent trade restrictions, including a licensing requirement for its China-specific H20 chip, led to a $5.5 billion inventory hit. Ouch. That prompted some investors to scale back, but the hardcore “Nvidians” stuck around, and they’re likely feeling vindicated now.

With tariffs easing, Nvidia’s path to China looks clearer. Lower levies could reduce costs for its chips, making them more competitive in a market hungry for AI solutions. Here’s what makes Nvidia stand out:

• Massive China demand: Despite restrictions, China’s appetite for AI chips is unrelenting.
• Innovation edge: Nvidia’s H20 chip, though scaled back, still powers critical applications.
• Market momentum: The stock’s recent breakout suggests investors are ready to bet big again.

Personally, I think Nvidia’s ability to navigate trade hurdles shows its resilience. This deal could be the spark it needs to reclaim its “own, don’t trade” status among investors.

Amazon: E-Commerce and Beyond

Amazon’s no stranger to dominating markets, and this trade deal just gave it another edge. Shares soared nearly 8% on Monday, fueled by a double whammy of good news. First, the tariff pause reduces costs for Amazon’s sprawling supply chain, much of which relies on Chinese goods. Second, the Trump administration’s recent move to end de minimis exemptions—a loophole that let Chinese discounters like Temu and Shein ship low-value goods duty-free—levels the playing field.

Here’s where it gets interesting. With Temu and Shein facing higher costs, shoppers may flock to Amazon’s Haul store, its ultra-low-cost platform offering products for $20 or less. This could supercharge Amazon’s e-commerce growth, especially among budget-conscious consumers. Plus, its cloud business, Amazon Web Services, benefits indirectly as trade stability boosts tech spending.

Amazon’s in a sweet spot right now, and I wouldn’t be surprised if it keeps climbing as these dynamics play out.

Apple: The Tech Titan’s China Connection

Rounding out the list is Apple, a company so intertwined with China it’s hard to overstate the impact of this deal. Shares popped 6% on Monday, reflecting relief among investors. China is Apple’s second-largest market by sales and the heart of its manufacturing. Higher tariffs could’ve forced price hikes, potentially denting demand for iPhones and other devices. Thankfully, this truce buys Apple some breathing room.

That said, Apple’s not out of the woods. Recent earnings raised questions about its high-margin services business, and its reliance on Google’s search revenue—now under pressure—adds another layer of risk. Still, as one tech analyst noted:

Apple’s China exposure makes it a clear winner from tariff relief, but its broader challenges require careful monitoring.

– Tech analyst

Here’s how Apple benefits:

1. Stable pricing: Lower tariffs reduce the need for iPhone price hikes.
2. Manufacturing edge: China’s role as a production hub remains secure.
3. Market access: Stronger China sales bolster Apple’s global dominance.

In my view, Apple’s too big to bet against, but its China reliance is a double-edged sword. This deal tilts the odds in its favor, at least for now.

What’s Next for These Stocks?

So, where do we go from here? The 90-day tariff pause is a start, but it’s not a permanent fix. Treasury Secretary Scott Bessent hinted at more talks in the coming weeks, which could lead to a longer-term deal. For now, the market’s betting on stability, and these four stocks—Broadcom, Nvidia, Amazon, and Apple—are at the forefront.

Here’s a quick recap of why they’re poised to win:

• Broadcom: Rebounds with strong China sales and AI chip demand.
• Nvidia: Gains from easier access to China’s AI market.
• Amazon: Steals share from Chinese e-commerce rivals.
• Apple: Avoids price hikes and secures its China foothold.

Investing isn’t about chasing headlines—it’s about spotting trends before they fully unfold. This trade thaw feels like one of those moments where the smart money moves early. I’m not saying these stocks are guaranteed to skyrocket, but the setup looks promising. What do you think—ready to ride this wave?

A Broader Look at the Market Impact

Beyond these four stocks, the U.S.-China trade deal has broader implications. Global markets are likely to see a lift as supply chains stabilize and consumer confidence grows. Tech and retail sectors, in particular, stand to benefit, but don’t overlook industrials and materials, which also rely on smooth trade flows. The S&P 500’s muted 1% drop this year suggests investors have been bracing for worse, so this relief could spark a broader rally.

That said, risks remain. The 90-day pause is temporary, and geopolitical flare-ups could derail progress. Plus, each of these companies faces its own challenges—Broadcom’s AI slowdown, Nvidia’s inventory woes, Amazon’s competitive pressures, and Apple’s services uncertainty. As always, diversification is key.

Here’s a simple framework for navigating this moment:

Investment Strategy:
  50% Core holdings (e.g., Broadcom, Apple)
  30% Growth bets (e.g., Nvidia, Amazon)
  20% Cash for flexibility

This approach balances opportunity with caution, letting you capitalize on the trade thaw while staying nimble.

Final Thoughts: Seizing the Opportunity

Let’s be real: investing can feel like a wild ride, especially when global politics are in play. The U.S.-China trade truce is a rare moment of clarity in a stormy market. Broadcom, Nvidia, Amazon, and Apple aren’t just stocks—they’re powerhouses with the muscle to turn this geopolitical shift into serious gains. But like any opportunity, it comes with caveats. Stay sharp, do your homework, and don’t get swept up in the hype.

As I see it, the real winners here are investors who act thoughtfully. Maybe you’re eyeing Broadcom for its AI exposure or Amazon for its e-commerce dominance. Or perhaps Apple’s global brand keeps you anchored. Whatever your pick, this trade deal is a reminder that markets reward those who stay ahead of the curve. So, what’s your next move?