The S&P 500 and Nasdaq closed at record highs following the announcement of a preliminary trade agreement between the United States and Vietnam. The deal, unveiled by President Donald Trump, eased concerns over prolonged trade tensions and was accompanied by gains in technology stocks. The Dow Jones Industrial Average declined slightly by 0.02%, while the S&P 500 rose 0.47% and the Nasdaq gained 0.94%. Vietnamese stocks also climbed to their highest levels in over three years, rising 0.5% to 1,391. The agreement introduces a two-tiered tariff system, with Vietnamese exports to the U.S. facing a 20% tariff, which is lower than previous rates. This trade pact is seen as a strategic move targeting practices China has used to circumvent U.S. tariffs. Vietnam is the first Asian country to secure such a deal with the U.S., which could accelerate supply chain shifts benefiting its economy. However, the deal faces hurdles and leaves some questions unanswered, particularly for the retail industry and apparel stocks, which saw a boost in response to the announcement. Vietnamese businesses have welcomed the pact as a positive development, though details are still awaited.