U.S. Rally Broadens Beyond Tech Sector Amid Improving Global Sentiment

Barry Adams
06 Jul, 2026
New York City

Wall Street indexes retained an upward bias as investors returned from a three-day weekend. 

The S&P 500 Index edged up 0.4%, and the tech-focused Nasdaq Composite advanced 1.1% amid the sustained advance in the tech sector. 

Last week, global markets advanced between 2% and 5% as investors continued to prefer AI-related stocks but avoided last year's favorite hyperscalers. 

Benchmark indexes are less than one percent down from record highs, and over the last month investors rotated into memory and electronic component makers from hyperscalers. 

Alphabet, Meta, and Microsoft are down between 7% and 10% over the last six weeks as investors focus on the shifting of their business model from asset-lite to heavy capex-driven.

Investors are increasingly questioning the hyperscalers' use of debt, private credit, and other means of financing as Meta and Alphabet ramp up investments that surpass annual earnings. 

Investors are paring exposure to chip stocks and rotating into industrials, healthcare, and financials. 

Crude oil prices dropped to pre-war levels, and the persistent weakness in the yen pushed the currency to a four-decade low. 

West Intermediate crude oil prices decreased 0.5% to $68.46 a barrel, and the international Brent crude oil price declined 0.4% to $71.75 a barrel. 

The improving commercial shipments through the Strait of Hormuz increased crude oil supplies in the global market, easing tighter supply conditions. 

Across the Atlantic, benchmark indexes in Germany decreased 0.1%, in France eased 0.06%, and in the UK dropped 0.3%. 

 

U.S. Movers 

Comcast Corporation edged up 0.4% to $23.80 after the company's UK-based Sky agreed to acquire the TV and entertainment business from its rival ITV. 

Sky agreed to pay £1.6 billion, or $2.1 billion, including £1.2 billion in cash, and transfer control of Love Production as part of the transaction. 

After the merger, Sky will reach about 20% of the U.K.'s viewers, only to be trailed by the BBC but ahead of YouTube, according to a statement released by the company.