Tesla’s impressive 6% surge fueled a broader market rally today, providing a much-needed boost after recent volatility. The electric vehicle (EV) maker’s gains, driven by potential impact of a new Trump administration’s policies on the economy, sent ripples through the tech sector and beyond. This positive momentum helped to offset concerns about potential to dictate the market’s short-term momentum.

The broader S&P 500 closed up 0.4%, while the Nasdaq Composite gained 0.7%. The Dow Jones Industrial Average dropped 0.1%. This market rebound comes after several days of its longest rout since January.

Tesla’s performance wasn’t the only factor contributing to the day’s gains. However, the EV giant’s influence was undeniable, acting as a significant catalyst for investor sentiment. Analysts attributed Tesla’s surge to Trump’s transition team about they plan to make a federal framework for fully self-driving vehicles one of the Transportation Department’s priorities.

While the positive market movement is encouraging, experts caution against reading too much into a single day’s performance. The overall economic outlook remains complex, and further volatility is expected in the coming weeks. However, today’s rally, fueled significantly by Tesla’s impressive showing, offers a glimmer of hope for investors. The coming days will reveal whether this positive momentum can be sustained.