U.S. stocks opened a pivotal week by advancing modestly, except for the Dow 30 that faltered slightly. Overall, stocks were bolstered by optimism over a recently announced U.S.- EU trade deal and strong anticipation for major tech earnings. With the Federal Reserve meeting later this week and a slew of significant corporate results on deck, investors maintained a cautiously upbeat posture.
S&P 500, Dow 30, Nasdaq, and Russell Index Performance
– The S&P 500 rose 0.02%, extending its historic run amid broad-based but shallow leadership.
– The Dow Jones Industrial Average slipped .14%%, hovering near all-time highs as news of a U.S.-EU tariff agreement helped ease trade anxieties.
– The Nasdaq Composite climbed 0.33%, buoyed by strength in technology leaders and investor excitement for upcoming big-tech earnings.
– The Russell 2000 underperformed falling .19%, reflecting some hesitancy among small-cap investors as the focus shifted to global trade and macro catalysts.
Key Macroeconomic Reports
Monday was light on fresh economic data, but sentiment hinged on trade progress and expectations for Wednesday’s FOMC rate announcement. The broad market remained optimistic as traders looked ahead to earnings from a concentrated group of tech giants and awaited new jobs numbers later in the week. Housing affordability and mortgage rates added a layer of caution, though consumer spending and labor market resilience continued to underpin overall economic stability.
Tariffs and Trade Policy Updates
A breakthrough U.S.-EU trade agreement calmed markets, introducing a 15% tariff on U.S. imports of EU products—less punitive than previously threatened figures. This move allayed immediate fears of an escalated trade war and was welcomed by exporters and multinational corporations. Experts caution that uncertainty persists as further negotiations unfold, but short-term risk has been reduced for now.
Yield Curve and Interest Rate Movements
U.S. Treasury yields drifted sideways in anticipation of the Federal Reserve’s meeting. The yield curve stayed stable, reflecting a “wait-and-see” mood as the Fed is expected to maintain its policy stance. Money markets have priced in the likelihood of policy easing later this year should incoming inflation data permit. Bond activity suggested investor confidence in a measured—rather than abrupt—policy shift.
FOMC Announcements
No new FOMC actions were announced today. The Federal Reserve is widely anticipated to keep rates unchanged at its upcoming meeting, with policymakers reiterating their commitment to data dependence and patient guidance as inflation remains a central focus. The July meeting will be decisive for rate expectations across markets.
Sector and Stock Highlights
NVIDIA (NVDA)
NVIDIA shares rose 1.87% to $176.75, even as Chinese competitors gained attention at the Shanghai AI conference.
Tesla (TSLA)
Tesla stock surged 3.02% to $325.59 following the announcement of a $16.5 billion AI chip agreement with Samsung Electronics. This deal is viewed as a catalyst for further innovation and operational efficiency within Tesla’s global vehicle and AI technology platform.
Meta Platforms (META)
Meta shares edged higher to $717.63 as investors prepared for Wednesday’s Q2 earnings. The stock has steadied after pulling back from highs near $748, with strong sentiment surrounding Meta’s aggressive AI investments, acquisition activity, and ongoing growth in digital advertising. Attention turns to AI capex and strategic direction when earnings arrive later in the week.
McDonald’s (MCD)
McDonald’s stock was up .25%, opening at $299.22 as institutional buying supported the long-term stability of the brand. Analysts see steady, albeit slower, profit growth ahead as the company continues to meet earnings expectations despite a slight dip in year-over-year revenue. The defensive qualities of McDonald’s continue to attract investors in a shifting market climate.
Oracle (ORCL)
Oracle extended gains to new all-time highs closing at $247.71, +1.06, highlighting the strength of its AI and cloud portfolios. However, Moody’s revised its outlook to negative amid concerns that aggressive investment in AI will weigh on free cash flow and leverage. Even so, Oracle’s service agreements and discipline in capital deployment continue to drive optimism for future revenue.
Palantir Technologies (PLTR)
Palantir experienced a notable reversal, declining by about .58% to $157.88 after hitting all-time highs last week. The pullback appears largely due to profit-taking ahead of a crucial quarterly report, which is expected to show a 55.6% year-over-year EPS increase. Investor focus remains on Palantir’s AI-driven government and defense contracts as the company cements its standing among the most valuable American firms.
Rio Tinto Group (RIO)
Rio Tinto shares declined 1.44% to $62.19. The miner announced a new joint venture with Chile’s ENABI, securing a 51% stake in the Salares Altoandinos lithium project. This development strengthens Rio’s strategic resource portfolio, although margin pressures from softer commodity prices weighed on the share price to start the week.
VAPE, VWAV, & CELC, Crazy Large Jumps !
– CEA Industries (VAPE) shares saw exceptional volume spikes amid speculative retail buying as the stock closed at $57.59, +548.85%. CEA Industries Inc., owner of Central Canada’s largest independent vape retailer and vertically integrated manufacturer, Fat Panda Ltd., today issued a statement applauding the U.S. Food and Drug Administration’s (FDA) decision to authorize JUUL e-cigarette products for sale in the United States.
– VisionWave Holdings (VWAV) rallied 368.09% today on speculation. VWAV is a next-generation defense technology company and today they announced that it has entered into a transformative funding agreement with a prominent institutional investor, securing an equity line for up to $50 million in capital through a Standby Equity Purchase Agreement (SEPA), along with a $5 million tranche funding commitment in the form of convertible notes.
– CELC (Celcuity): CELC advanced by 167.18% on positive regulatory commentary regarding its lead breast cancer phase 3 trial.
Commodities and Digital Assets
– Gold: Prices pulled back by .65% to $3,314.20/oz.
– Silver: Closed at $38.33/oz., -.09%.
– Crude Oil: Prices popped 2.79% to $66.98/bbl.
– Bitcoin Hovered near weekly peaks and is trading at $188,995 at the time of this writing.
