U.S. technology and automotive shares rose sharply on Monday following a partial rollback of tariffs on Chinese electronics and President Donald Trump’s signal that some automotive-related levies might be reconsidered.

The administration’s decision to exempt smartphones, laptops and other electronics from new tariffs over the weekend was seen as a concession to inflation-hit consumers.

It also eased investor concerns that had mounted following months of volatile trade policy shifts. The market responded positively, though the S&P 500 index remains down around 8 percent for the year.

Trump’s trade agenda, which includes tariffs as high as 25 percent on some imported goods, had previously triggered a broad selloff across U.S. equities, the dollar, and government bonds. However, on Monday, investors welcomed signs of flexibility from the White House.

Shares in General Motors and Ford rose 3.5 percent and 4.1 percent respectively, buoyed by indications that auto tariffs might be modified.

Speaking at the White House, Trump suggested that tariffs on auto and auto parts imports from Mexico, Canada, and other countries could be adjusted to give automakers more time to relocate production to the U.S.

He acknowledged that these tariffs could increase vehicle costs significantly but argued they were necessary to encourage domestic manufacturing.

Under the North American Free Trade Agreement, which has been replaced by the USMCA, automakers have built complex cross-border supply chains. The American Automotive Policy Council, representing Ford, GM, and Stellantis, voiced cautious support for the administration’s objectives but urged patience during the transition.

Meanwhile, chipmaker Intel announced the sale of its majority stake in Altera for $4.5 billion, pushing its shares up 6.5 percent.