Market Update
Wall Street Indexes Scale New Highs After June's Jobs Report Lifts Sentiment
Barry Adams
03 Jul, 2025
New York City
Stocks advanced on Wall Street after nonfarm payrolls expanded at a faster-than-expected pace in June.
The S&P 500 index gained 0.5%, and the tech-heavy Nasdaq Composite advanced 0.6% after better-than-expected payrolls eased worries about the volatile U.S. trade policy and geopolitical uncertainties.
U.S. Economy Added Jobs at Faster Than Expected Pace in June
The U.S. economy added jobs at a faster-than-expected pace of 147,000 in June, according to the latest data released by the U.S. Bureau of Labor Statistics.
The change in total nonfarm payroll employment for April was revised up by 11,000, from an increase of 147,000 to a rise of 158,000, and the change for May was revised up by 5,000, from 139,000 to 144,000.
With these revisions, employment in April and May combined is 16,000 higher than previously reported.
Average hourly earnings for all employees on private nonfarm payrolls rose by 8 cents, or 0.2%, from the previous month, or 3.7% from a year ago, in June.
Both the unemployment rate, at 4.1%, and the number of unemployed people, at 7.0 million, changed little in June.
The unemployment rate has remained in a narrow range of 4.0% to 4.2% since May 2024.
U.S. Trade Deficit Widens as Businesses Front-Load Ahead of Tariffs
The U.S. overall trade deficit expanded in May after exports fell, according to the monthly report released by the U.S. Bureau of Economic Analysis.
Exports decreased 4% to $279 billion, imports fell 0.1% to $350.5 billion, and the trade deficit rose 18.7% to $71.5 billion from the previous month, respectively.
The largest trade deficit was recorded with the European Union, totaling $22.5 billion compared to $17.9 billion in April.
Deficits with Mexico and Vietnam increased, largely because of a surge in indirect exports from China.
The trade gap with Vietnam rose to $14.9 billion from $14.5 billion, with Mexico it soared to $17.1 billion from $13.5 billion, and with Canada it advanced to $2.8 billion from $2.0 billion.
The direct trade deficit with China shrank to $14.0 billion from $19.7 billion, as China-based manufacturers diversified operations to other locations.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.5% to 6,260.57, the Nasdaq Composite edged up 0.6% to 20,519.41, and the Russell 2000 index advanced 0.5% to 2,237.36.
The yield on 2-year Treasury notes edged higher to 3.88%, 10-year Treasury notes increased to 4.33%, and 30-year Treasury bonds advanced to 4.85%.
WTI crude oil decreased $0.38 to $67.07 a barrel, and natural gas prices edged higher by $0.03 to $3.52 a thermal unit.
Gold decreased by $24.34 to $3,333.88 an ounce, and silver edged up by $0.22 to $36.78.
The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.36 to 97.14 and traded at the lowest level since April 2022.
U.S. Stock Movers
Advanced chip design software developers gained after the U.S. removed some of the restrictions on sales to China.
Cadence Design Systems Inc. jumped 4.5% to $325.23, Synopsys soared 4.1% to $544.61, and ANSYS jumped 3.4% to $365.38.
Datadog Inc. soared 13.2% to $152.83, and the Internet infrastructure management company was selected to be included in the S&P 500 index before the start of trading on July 9.
Wall Street Indexes Scale New Highs After June's Jobs Report Lifts Sentiment
Barry Adams
03 Jul, 2025
New York City
Stocks advanced on Wall Street after nonfarm payrolls expanded at a faster-than-expected pace in June.
The S&P 500 index gained 0.5%, and the tech-heavy Nasdaq Composite advanced 0.6% after better-than-expected payrolls eased worries about the volatile U.S. trade policy and geopolitical uncertainties.
U.S. Economy Added Jobs at Faster Than Expected Pace in June
The U.S. economy added jobs at a faster-than-expected pace of 147,000 in June, according to the latest data released by the U.S. Bureau of Labor Statistics.
The change in total nonfarm payroll employment for April was revised up by 11,000, from an increase of 147,000 to a rise of 158,000, and the change for May was revised up by 5,000, from 139,000 to 144,000.
With these revisions, employment in April and May combined is 16,000 higher than previously reported.
Average hourly earnings for all employees on private nonfarm payrolls rose by 8 cents, or 0.2%, from the previous month, or 3.7% from a year ago, in June.
Both the unemployment rate, at 4.1%, and the number of unemployed people, at 7.0 million, changed little in June.
The unemployment rate has remained in a narrow range of 4.0% to 4.2% since May 2024.
U.S. Trade Deficit Widens as Businesses Front-Load Ahead of Tariffs
The U.S. overall trade deficit expanded in May after exports fell, according to the monthly report released by the U.S. Bureau of Economic Analysis.
Exports decreased 4% to $279 billion, imports fell 0.1% to $350.5 billion, and the trade deficit rose 18.7% to $71.5 billion from the previous month, respectively.
The largest trade deficit was recorded with the European Union, totaling $22.5 billion compared to $17.9 billion in April.
Deficits with Mexico and Vietnam increased, largely because of a surge in indirect exports from China.
The trade gap with Vietnam rose to $14.9 billion from $14.5 billion, with Mexico it soared to $17.1 billion from $13.5 billion, and with Canada it advanced to $2.8 billion from $2.0 billion.
The direct trade deficit with China shrank to $14.0 billion from $19.7 billion, as China-based manufacturers diversified operations to other locations.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.5% to 6,260.57, the Nasdaq Composite edged up 0.6% to 20,519.41, and the Russell 2000 index advanced 0.5% to 2,237.36.
The yield on 2-year Treasury notes edged higher to 3.88%, 10-year Treasury notes increased to 4.33%, and 30-year Treasury bonds advanced to 4.85%.
WTI crude oil decreased $0.38 to $67.07 a barrel, and natural gas prices edged higher by $0.03 to $3.52 a thermal unit.
Gold decreased by $24.34 to $3,333.88 an ounce, and silver edged up by $0.22 to $36.78.
The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.36 to 97.14 and traded at the lowest level since April 2022.
U.S. Stock Movers
Advanced chip design software developers gained after the U.S. removed some of the restrictions on sales to China.
Cadence Design Systems Inc. jumped 4.5% to $325.23, Synopsys soared 4.1% to $544.61, and ANSYS jumped 3.4% to $365.38.
Datadog Inc. soared 13.2% to $152.83, and the Internet infrastructure management company was selected to be included in the S&P 500 index before the start of trading on July 9.
Europe Movers: Bang & Olufsen, Nordnet Bank, Stolt-Nielsen
Inga Muller
03 Jul, 2025
Frankfurt
Bang & Olufsen A/S advanced 3.5% to DKK 13.68 despite the Danish consumer electronics company reporting weak results for the fiscal year 2025 ending on May 31.
Revenue slipped to DKK 2.55 billion from DKK 2.59 billion, net loss expanded to DKK 29 million from a loss of DKK 17 million, and diluted loss per share widened to 20 cents from 10 cents a year ago.
The company guided fiscal 2026 revenue to grow between 1% and 8% in local currencies, compared to DKK 2.55 billion a year earlier.
Revenue in the fourth quarter edged up to DKK 680 million from DKK 655 million, and net loss narrowed to DKK 6 million from a loss of DKK 36 million a year ago.
Same-store sales in the quarter increased 7% as the branded channels grew by 8%, and same-store sales in the full year jumped 4%, with the branded channels up 9%.
Nordnet Bank AB gained 0.5% to SEK 256.80 after the Sweden-based digital bank released its monthly customer statistics for June.
The company’s customers made 4,724,500 trades in listed financial instruments, which corresponds to 243,700 trades per day, compared to 3,773,000 monthly trades and 200,700 trades per day in June 2024.
New customers in June amounted to 18,800 at an annual customer growth rate of 13.7%, compared to 16,300 new customers a year ago.
The total number of customers at the end of June was 2,222,900, compared to 1,975,300 a year earlier.
The company said net savings for June were SEK 4.5 billion, down from SEK 5.1 billion, and the total net savings during 2025 were SEK 39.5 billion, up from SEK 37.4 billion in the previous year, respectively.
The savings capital was SEK 1.06 trillion, and lending amounted to SEK 26.9 billion at the end of June, compared to SEK 963 billion and SEK 31.5 billion a year ago, respectively.
Stolt-Nielsen Ltd. advanced 7.2% to 22.45 despite the Norway-based provider of transportation and storage of specialty and bulk liquid chemicals reporting weak results for the second quarter of 2025 ending on May 31.
Revenue declined to $712.92 million from $741.15 million, net profit edged down to $75.23 million from $100.18 million, and diluted earnings per share fell to $1.41 from $1.87 a year ago.
For the first half of the year, revenue dropped to $1.39 billion from $1.45 billion, net profit jumped to $226.64 million from $204.15 million, and diluted earnings per share rose to $4.24 from $3.81 a year earlier.
Results include one-off gains due to the step-up of equity investments in Avenir LNG Ltd. and Hassel Shipping 4.
Europe Movers: Bang & Olufsen, Nordnet Bank, Stolt-Nielsen
Inga Muller
03 Jul, 2025
Frankfurt
Bang & Olufsen A/S advanced 3.5% to DKK 13.68 despite the Danish consumer electronics company reporting weak results for the fiscal year 2025 ending on May 31.
Revenue slipped to DKK 2.55 billion from DKK 2.59 billion, net loss expanded to DKK 29 million from a loss of DKK 17 million, and diluted loss per share widened to 20 cents from 10 cents a year ago.
The company guided fiscal 2026 revenue to grow between 1% and 8% in local currencies, compared to DKK 2.55 billion a year earlier.
Revenue in the fourth quarter edged up to DKK 680 million from DKK 655 million, and net loss narrowed to DKK 6 million from a loss of DKK 36 million a year ago.
Same-store sales in the quarter increased 7% as the branded channels grew by 8%, and same-store sales in the full year jumped 4%, with the branded channels up 9%.
Nordnet Bank AB gained 0.5% to SEK 256.80 after the Sweden-based digital bank released its monthly customer statistics for June.
The company’s customers made 4,724,500 trades in listed financial instruments, which corresponds to 243,700 trades per day, compared to 3,773,000 monthly trades and 200,700 trades per day in June 2024.
New customers in June amounted to 18,800 at an annual customer growth rate of 13.7%, compared to 16,300 new customers a year ago.
The total number of customers at the end of June was 2,222,900, compared to 1,975,300 a year earlier.
The company said net savings for June were SEK 4.5 billion, down from SEK 5.1 billion, and the total net savings during 2025 were SEK 39.5 billion, up from SEK 37.4 billion in the previous year, respectively.
The savings capital was SEK 1.06 trillion, and lending amounted to SEK 26.9 billion at the end of June, compared to SEK 963 billion and SEK 31.5 billion a year ago, respectively.
Stolt-Nielsen Ltd. advanced 7.2% to 22.45 despite the UK-based provider of transportation and storage of specialty and bulk liquid chemicals reporting weak results for the second quarter of 2025 ending on May 31.
Revenue declined to $712.92 million from $741.15 million, net profit edged down to $75.23 million from $100.18 million, and diluted earnings per share fell to $1.41 from $1.87 a year ago.
For the first half of the year, revenue dropped to $1.39 billion from $1.45 billion, net profit jumped to $226.64 million from $204.15 million, and diluted earnings per share rose to $4.24 from $3.81 a year earlier.
Results include one-off gains due to the step-up of equity investments in Avenir LNG Ltd. and Hassel Shipping 4.
European Markets Edged Higher and Euro Held Near 4-Year High
Bridgette Randall
03 Jul, 2025
London
European market indexes advanced, and the euro held amid rising optimism that the U.S. and the EU may strike a trade agreement before the looming deadline next week.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher, and investors shifted their focus to trade negotiations.
The U.S. and the European Union are struggling to find a common ground on lower tariff rates on vehicles and parts, food products, and steel and aluminum.
In 2024, the European Union's trade surplus with the U.S. was $161 billion, driven largely by the goods surplus of $236 billion.
The trade agreement is likely to increase import tax on goods shipped from the European Union to as high as 20% from the current 10%.
Europe Indexes and Yields
The DAX index increased by 0.2% to 23,838.47, the CAC-40 index edged higher 0.3% to 7,758.40, and the FTSE 100 index advanced 0.5% to 8,819.84.
The yield on 10-year German bonds inched lower to 2.60%, French bonds decreased to 3.30%, UK gilts moved down to 4.53%, and Italian bonds edged lower to 3.51%.
The euro increased to $1.18; the British pound was higher at $1.37; and the U.S. dollar was lower and traded at 79.09 Swiss cents.
Brent crude decreased $0.70 to $68.40 a barrel, and the Dutch TTF natural gas was higher by €0.31 to €33.62 per MWh.
Europe Movers
Semiconductor chip design software companies gained after the U.S. lifted some of the sales restrictions to China.
Siemens AG gained 1.1% to €222.10, Infineon Technologies AG increased 1.6% to €36.83, and NXP Semiconductors NV added 3.5% to €195.0.
Fashion and luxury stocks advanced in the hopes that the European Union and the U.S. could set aside their differences after the U.S. announced a trade deal with Vietnam.
LVMH gained 0.1% to €493.35, Kering SA increased 0.3% to €204.55, Hermes International SCA decreased 0.3% to €2,314.0, and Moncler SpA declined 0.5% to €51.26.
European Markets Edged Higher and Euro Held Near 4-Year High
Bridgette Randall
03 Jul, 2025
London
European market indexes advanced, and the euro held amid rising optimism that the U.S. and the EU may strike a trade agreement before the looming deadline next week.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher, and investors shifted their focus to trade negotiations.
The U.S. and the European Union are struggling to find a common ground on lower tariff rates on vehicles and parts, food products, and steel and aluminum.
In 2024, the European Union's trade surplus with the U.S. was $161 billion, driven largely by the goods surplus of $236 billion.
The trade agreement is likely to increase import tax on goods shipped from the European Union to as high as 20% from the current 10%.
Europe Indexes and Yields
The DAX index increased by 0.2% to 23,838.47, the CAC-40 index edged higher 0.3% to 7,758.40, and the FTSE 100 index advanced 0.5% to 8,819.84.
The yield on 10-year German bonds inched lower to 2.60%, French bonds decreased to 3.30%, UK gilts moved down to 4.53%, and Italian bonds edged lower to 3.51%.
The euro increased to $1.18; the British pound was higher at $1.37; and the U.S. dollar was lower and traded at 79.09 Swiss cents.
Brent crude decreased $0.70 to $68.40 a barrel, and the Dutch TTF natural gas was higher by €0.31 to €33.62 per MWh.
Europe Movers
Semiconductor chip design software companies gained after the U.S. lifted some of the sales restrictions to China.
Siemens AG gained 1.1% to €222.10, Infineon Technologies AG increased 1.6% to €36.83, and NXP Semiconductors NV added 3.5% to €195.0.
Fashion and luxury stocks advanced in the hopes that the European Union and the U.S. could set aside their differences after the U.S. announced a trade deal with Vietnam.
LVMH gained 0.1% to €493.35, Kering SA increased 0.3% to €204.55, Hermes International SCA decreased 0.3% to €2,314.0, and Moncler SpA declined 0.5% to €51.26.
U.S. Movers: Franklin Covey
Scott Peters
03 Jul, 2025
New York City
Franklin Covey Co. declined 7.8% to $22.28 after the coaching and consulting company reported weak results for the fiscal third quarter of 2025 ending on May 31.
Revenue dropped to $67.12 million from $73.37 million, net income swung to a loss of $1.41 million from a profit of $5.72 million, and diluted earnings per share swung to a loss of 11 cents from a profit of 43 cents a year ago.
The company purchased approximately 372,000 shares of its own stock for $8.3 million during the quarter, and for the full fiscal year, it has purchased 769,000 shares for a total of $23.0 million.
The consulting organization guided full-year revenue to be between $265 million and $275 million, compared to $287.2 million, and adjusted EBITDA between $28 million and $33 million, compared to $55.27 million in 2024, respectively.
During the third quarter, revenue in the company’s enterprise division totaled $47.3 million, compared to $73.4 million, and in the education segment, sales were down to $18.6 million, compared to $20.2 million in the prior year, respectively.
U.S. Movers: Franklin Covey
Scott Peters
03 Jul, 2025
New York City
Franklin Covey Co. declined 7.8% to $22.28 after the coaching and consulting company reported weak results for the fiscal third quarter of 2025 ending on May 31.
Revenue dropped to $67.12 million from $73.37 million, net income swung to a loss of $1.41 million from a profit of $5.72 million, and diluted earnings per share swung to a loss of 11 cents from a profit of 43 cents a year ago.
The company purchased approximately 372,000 shares of its own stock for $8.3 million during the quarter, and for the full fiscal year, it has purchased 769,000 shares for a total of $23.0 million.
The consulting organization guided full-year revenue to be between $265 million and $275 million, compared to $287.2 million, and adjusted EBITDA between $28 million and $33 million, compared to $55.27 million in 2024, respectively.
During the third quarter, revenue in the company’s enterprise division totaled $47.3 million, compared to $73.4 million, and in the education segment, sales were down to $18.6 million, compared to $20.2 million in the prior year, respectively.
Japan Stock Indexes and Bond Yields Held Steady Amid Stalled Trade Talks With U.S.
Akira Ito
03 Jul, 2025
Tokyo
Japan's stock market indexes wavered around the flatline as investors looked forward to a possible trade agreement with the U.S.
Investors have been cautiously optimistic about a possible trade deal with the U.S., but both sides struggle to find common ground.
Japan has been resisting additional duties of 25% on vehicle and parts exports, and negotiators have been reluctant to relax barriers to rice imports.
The Vietnam-U.S. agreement raised hopes that a deal could be struck as early as next week before the July 9 deadline imposed by the U.S. negotiators.
Vietnam agreed to a 20% import duty on manufactured goods and a 40% rate on transshipped goods to the U.S. and to drop all import duties on U.S. exports.
After the agreement, import duty on Vietnamese goods rises to 20% from the current 10%, but less than the threatened 46%.
However, trade experts cautioned that the deal lacks clarity about the implementation plan on transshipped goods and non-tariff barriers on U.S. imports.
On the economic front, the au Jibun Bank Japan Services PMI was revised higher to 51.7 from the preliminary estimate of 51.5 in June.
The services sector expanded for the third consecutive month, driven by an increase in new orders and a modest rebound in exports.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged down 0.03% to 39,756.31, and the broader Topix fell 0.1% to 2,824.84.
The yen held near 145.83 against the dollar and the yield on 10-year Japanese government bond traded above 1.45% amid growing optimism over trade negotiations with the U.S.
Technology and electronics companies dominated in Tokyo trading.
Socionext Inc. jumped 3.2% to ¥2,756.50, Fujikura Ltd. gained 1.7% to ¥2,756.50, and Tokyo Electron advanced 1.5% to ¥26,995.0.
Nintendo Co. Ltd. increased 1.1% to ¥26,995.0, Sony Group Corp. decreased 0.7% to ¥3,649.0, and Sega Sammy Holdings Inc. declined 2.3% to ¥3,304.0.
Honda Motor Co. Ltd. rose 2.2% to ¥1,452.0, Nissan Motor Co. Ltd. gained 5.9% to ¥362.90, and Toyota Motor Corp. increased 2.1% to ¥2,518.50.
Japan Stock Indexes and Bond Yields Held Steady Amid Stalled Trade Talks With U.S.
Akira Ito
03 Jul, 2025
Tokyo
Japan's stock market indexes wavered around the flatline as investors looked forward to a possible trade agreement with the U.S.
Investors have been cautiously optimistic about a possible trade deal with the U.S., but both sides struggle to find common ground.
Japan has been resisting additional duties of 25% on vehicle and parts exports, and negotiators have been reluctant to relax barriers to rice imports.
The Vietnam-U.S. agreement raised hopes that a deal could be struck as early as next week before the July 9 deadline imposed by the U.S. negotiators.
Vietnam agreed to a 20% import duty on manufactured goods and a 40% rate on transshipped goods to the U.S. and to drop all import duties on U.S. exports.
After the agreement, import duty on Vietnamese goods rises to 20% from the current 10%, but less than the threatened 46%.
However, trade experts cautioned that the deal lacks clarity about the implementation plan on transshipped goods and non-tariff barriers on U.S. imports.
On the economic front, the au Jibun Bank Japan Services PMI was revised higher to 51.7 from the preliminary estimate of 51.5 in June.
The services sector expanded for the third consecutive month, driven by an increase in new orders and a modest rebound in exports.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged down 0.03% to 39,756.31, and the broader Topix fell 0.1% to 2,824.84.
The yen held near 145.83 against the dollar and the yield on 10-year Japanese government bond traded above 1.45% amid growing optimism over trade negotiations with the U.S.
Technology and electronics companies dominated in Tokyo trading.
Socionext Inc. jumped 3.2% to ¥2,756.50, Fujikura Ltd. gained 1.7% to ¥2,756.50, and Tokyo Electron advanced 1.5% to ¥26,995.0.
Nintendo Co. Ltd. increased 1.1% to ¥26,995.0, Sony Group Corp. decreased 0.7% to ¥3,649.0, and Sega Sammy Holdings Inc. declined 2.3% to ¥3,304.0.
Honda Motor Co. Ltd. rose 2.2% to ¥1,452.0, Nissan Motor Co. Ltd. gained 5.9% to ¥362.90, and Toyota Motor Corp. increased 2.1% to ¥2,518.50.
China Indexes Traded Down Amid Worries of Higher Hurdles for U.S. Exports
Li Chen
03 Jul, 2025
Hong Kong
Stocks in China and Hong Kong faced headwinds as investors feared higher hurdles for Chinese exports to the U.S.
The Hang Seng index declined by more than 1%, while the mainland-focused index fluctuated around the flatline.
Market sentiment soured after the U.S. struck a preliminary trade agreement with Vietnam that increases import tax to 20% on most shipments.
Transshipped goods from China will face a higher duty of 40%, raising fears that the Trump administration is targeting China.
Trade negotiators are signaling that the Chinese goods shipped through Mexico, Malaysia, Indonesia, and Thailand are likely to face similar punitive import taxes.
Economists are still holding out for the Chinese economy to expand by 5%, the target set by the central government, but export-linked companies may face serious business disruptions in the second half.
China Indexes and Stocks
The Hang Seng index decreased 1.1% to 23,970.64, and the mainland-focused CSI 300 index edged up 0.5% to 3,962.33.
Smartphone and electric vehicle makers traded down amid worries of higher import barriers to the U.S.
Xiaomi Corp. decreased 4.4% to HK $57.50, Li Auto Inc. declined 1.2% to HK $102.20, BYD gained 1.2% to HK $123.10, and Xpeng Inc. edged up 0.8% to $72.90.
Internet platform operators declined after Alibaba Group announced an incentive program to attract merchants and users.
Alibaba Group Holding declined 1.5% to HK $105.50, Tencent Holdings Ltd. fell 0.5% to HK $499.0, JD.com Inc. decreased 1.6% to HK $125.90, and Meituan dropped 2.4% to HK $122.90.