Meta Platforms Stock Surges As US-China Tariff Rollback Boosts Tech Sector And Advertising Outlook

Meta Platforms Inc META rose 10.6% to $659.44 since Monday’s session open, lifted by a broader rally in tech stocks following a tariff rollback agreement between the US and China.

What To Know: The deal, which slashes US tariffs on Chinese goods from 145% to 30% and Chinese tariffs on US. goods from 125% to 10%, has boosted investor sentiment by easing inflation concerns and improving trade visibility.

The truce, effective May 14, stems from high-level negotiations and signals a de-escalation in the trade war that had weighed on global growth.

Meta is particularly well-positioned to benefit from improved US-China relations. Despite being banned in mainland China, Meta generates significant advertising revenue from Chinese companies seeking to reach overseas consumers on platforms like Facebook and Instagram.

These advertisers, ranging from e-commerce giants to app developers, have been major contributors to Meta's ad business. Eased trade tensions may unlock stronger cross-border ad budgets, further bolstering Meta’s international revenue streams.

The tariff pause also coincides with softer-than-expected April CPI data, reducing recession fears and supporting the Fed's cautious stance on rate cuts.

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How To Buy META Stock

By now you're likely curious about how to participate in the market for Meta Platforms – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

According to data from Benzinga Pro, META has a 52-week high of $740.91 and a 52-week low of $442.65.