The S&P 500 and Nasdaq close at record highs
Both indexes ended the quarter with double-digit gains on Monday.
The S&P 500 gained 10.57 per cent during the period, the Nasdaq rose 17.75 per cent, and the Dow climbed 4.98 per cent.
The Russell 2000 Small Cap index rose 8.28 per cent in the quarter. Still, the three main indexes posted their weakest first-half performances since 2022, as the uncertainty around trade policy has kept investors wary during the year, with tensions peaking after US President Donald Trump disclosed widespread tariffs on April 2.
Trade deals with China and the UK have fuelled optimism that an all-out global trade war can be minimised, with hopes for more deals to be reached before Trump's July 9 trade deadline.
The end of the quarter was also influenced by managers tweaking their portfolios to look more attractive at quarter-end.
"Animal spirits seem to have taken hold here," said Roy Behren, co-president of Westchester Capital management fund.
"It is also quite common for the last couple of days of a quarter to see strength because of the window dressing."
On Sunday, Canada scrapped its digital services tax targeting US tech firms, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States.
But US Treasury Secretary Scott Bessent warned on Monday that countries could still face sharply higher tariffs on July 9 even if they are negotiating in good faith, and any potential extensions will be up to Trump.
Meanwhile, US Senate Republicans will try to pass Trump's sweeping tax-cut and spending bill, despite divisions within the party about its expected $US3.3 trillion ($A5 trillion) hit to the $US36.2 trillion ($A55.3 trillion) national debt. Trump wants the bill passed before the July 4 Independence Day holiday.
Key economic data releases this week include monthly non-farm payrolls and the Institute for Supply Management's survey on manufacturing and services sectors for June.
Several US central bank officials including Federal Reserve Chair Jerome Powell are scheduled to speak later this week.
A raft of soft economic data and expectations that Trump will replace Powell with someone dovish have pushed up bets of rate cuts from the Fed this year.
On Monday, nine of the 11 S&P indexes closed up.
The Dow Jones Industrial Average rose 275.50 points, or 0.63 per cent, to 44,094.77, the S&P 500 gained 31.88 points, or 0.52 per cent, to 6,204.95 and the Nasdaq Composite gained 96.28 points, or 0.48 per cent, to 20,369.73.
Shares of big US banks rose after most cleared the Federal Reserve's annual "stress test", paving the way for billions in stock buybacks and dividends.
Leading the S&P 500 were Hewlett Packard Enterprise, up 11.1 per cent, First Solar up 8.8 per cent,and Juniper Networks up 8.45 per cent.
"The current rally was driven by few heavyweight stocks that drove indexes up, giving the market a sense of optimism despite rising deficit and unresolved policy issues," said Cole Smead, CEO and portfolio manager of Smead Capital Management.
"The stock market doesn't seem to care at all, people think this party is going to go on forever," he said.
"I think this game is over. It's just a matter of when and how bad it gets."
Volume on US exchanges was 17.12 billion shares, compared with the 18.23 billion average for the full session over the last 20 trading days.
The S&P 500 and Nasdaq reached record closing highs, capping their best quarter in over a year as hopes for trade deals and possible rate cuts eased investor uncertainty.
Both indexes ended the quarter with double-digit gains on Monday.
The S&P 500 gained 10.57 per cent during the period, the Nasdaq rose 17.75 per cent, and the Dow climbed 4.98 per cent.
The Russell 2000 Small Cap index rose 8.28 per cent in the quarter. Still, the three main indexes posted their weakest first-half performances since 2022, as the uncertainty around trade policy has kept investors wary during the year, with tensions peaking after US President Donald Trump disclosed widespread tariffs on April 2.
Trade deals with China and the UK have fuelled optimism that an all-out global trade war can be minimised, with hopes for more deals to be reached before Trump's July 9 trade deadline.
The end of the quarter was also influenced by managers tweaking their portfolios to look more attractive at quarter-end.
"Animal spirits seem to have taken hold here," said Roy Behren, co-president of Westchester Capital management fund.
"It is also quite common for the last couple of days of a quarter to see strength because of the window dressing."
On Sunday, Canada scrapped its digital services tax targeting US tech firms, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States.
But US Treasury Secretary Scott Bessent warned on Monday that countries could still face sharply higher tariffs on July 9 even if they are negotiating in good faith, and any potential extensions will be up to Trump.
Meanwhile, US Senate Republicans will try to pass Trump's sweeping tax-cut and spending bill, despite divisions within the party about its expected $US3.3 trillion ($A5 trillion) hit to the $US36.2 trillion ($A55.3 trillion) national debt. Trump wants the bill passed before the July 4 Independence Day holiday.
Key economic data releases this week include monthly non-farm payrolls and the Institute for Supply Management's survey on manufacturing and services sectors for June.
Several US central bank officials including Federal Reserve Chair Jerome Powell are scheduled to speak later this week.
A raft of soft economic data and expectations that Trump will replace Powell with someone dovish have pushed up bets of rate cuts from the Fed this year.
On Monday, nine of the 11 S&P indexes closed up.
The Dow Jones Industrial Average rose 275.50 points, or 0.63 per cent, to 44,094.77, the S&P 500 gained 31.88 points, or 0.52 per cent, to 6,204.95 and the Nasdaq Composite gained 96.28 points, or 0.48 per cent, to 20,369.73.
Shares of big US banks rose after most cleared the Federal Reserve's annual "stress test", paving the way for billions in stock buybacks and dividends.
Leading the S&P 500 were Hewlett Packard Enterprise, up 11.1 per cent, First Solar up 8.8 per cent,and Juniper Networks up 8.45 per cent.
"The current rally was driven by few heavyweight stocks that drove indexes up, giving the market a sense of optimism despite rising deficit and unresolved policy issues," said Cole Smead, CEO and portfolio manager of Smead Capital Management.
"The stock market doesn't seem to care at all, people think this party is going to go on forever," he said.
"I think this game is over. It's just a matter of when and how bad it gets."
Volume on US exchanges was 17.12 billion shares, compared with the 18.23 billion average for the full session over the last 20 trading days.
The S&P 500 and Nasdaq reached record closing highs, capping their best quarter in over a year as hopes for trade deals and possible rate cuts eased investor uncertainty.
Both indexes ended the quarter with double-digit gains on Monday.
The S&P 500 gained 10.57 per cent during the period, the Nasdaq rose 17.75 per cent, and the Dow climbed 4.98 per cent.
The Russell 2000 Small Cap index rose 8.28 per cent in the quarter. Still, the three main indexes posted their weakest first-half performances since 2022, as the uncertainty around trade policy has kept investors wary during the year, with tensions peaking after US President Donald Trump disclosed widespread tariffs on April 2.
Trade deals with China and the UK have fuelled optimism that an all-out global trade war can be minimised, with hopes for more deals to be reached before Trump's July 9 trade deadline.
The end of the quarter was also influenced by managers tweaking their portfolios to look more attractive at quarter-end.
"Animal spirits seem to have taken hold here," said Roy Behren, co-president of Westchester Capital management fund.
"It is also quite common for the last couple of days of a quarter to see strength because of the window dressing."
On Sunday, Canada scrapped its digital services tax targeting US tech firms, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States.
But US Treasury Secretary Scott Bessent warned on Monday that countries could still face sharply higher tariffs on July 9 even if they are negotiating in good faith, and any potential extensions will be up to Trump.
Meanwhile, US Senate Republicans will try to pass Trump's sweeping tax-cut and spending bill, despite divisions within the party about its expected $US3.3 trillion ($A5 trillion) hit to the $US36.2 trillion ($A55.3 trillion) national debt. Trump wants the bill passed before the July 4 Independence Day holiday.
Key economic data releases this week include monthly non-farm payrolls and the Institute for Supply Management's survey on manufacturing and services sectors for June.
Several US central bank officials including Federal Reserve Chair Jerome Powell are scheduled to speak later this week.
A raft of soft economic data and expectations that Trump will replace Powell with someone dovish have pushed up bets of rate cuts from the Fed this year.
On Monday, nine of the 11 S&P indexes closed up.
The Dow Jones Industrial Average rose 275.50 points, or 0.63 per cent, to 44,094.77, the S&P 500 gained 31.88 points, or 0.52 per cent, to 6,204.95 and the Nasdaq Composite gained 96.28 points, or 0.48 per cent, to 20,369.73.
Shares of big US banks rose after most cleared the Federal Reserve's annual "stress test", paving the way for billions in stock buybacks and dividends.
Leading the S&P 500 were Hewlett Packard Enterprise, up 11.1 per cent, First Solar up 8.8 per cent,and Juniper Networks up 8.45 per cent.
"The current rally was driven by few heavyweight stocks that drove indexes up, giving the market a sense of optimism despite rising deficit and unresolved policy issues," said Cole Smead, CEO and portfolio manager of Smead Capital Management.
"The stock market doesn't seem to care at all, people think this party is going to go on forever," he said.
"I think this game is over. It's just a matter of when and how bad it gets."
Volume on US exchanges was 17.12 billion shares, compared with the 18.23 billion average for the full session over the last 20 trading days.
The S&P 500 and Nasdaq reached record closing highs, capping their best quarter in over a year as hopes for trade deals and possible rate cuts eased investor uncertainty.
Both indexes ended the quarter with double-digit gains on Monday.
The S&P 500 gained 10.57 per cent during the period, the Nasdaq rose 17.75 per cent, and the Dow climbed 4.98 per cent.
The Russell 2000 Small Cap index rose 8.28 per cent in the quarter. Still, the three main indexes posted their weakest first-half performances since 2022, as the uncertainty around trade policy has kept investors wary during the year, with tensions peaking after US President Donald Trump disclosed widespread tariffs on April 2.
Trade deals with China and the UK have fuelled optimism that an all-out global trade war can be minimised, with hopes for more deals to be reached before Trump's July 9 trade deadline.
The end of the quarter was also influenced by managers tweaking their portfolios to look more attractive at quarter-end.
"Animal spirits seem to have taken hold here," said Roy Behren, co-president of Westchester Capital management fund.
"It is also quite common for the last couple of days of a quarter to see strength because of the window dressing."
On Sunday, Canada scrapped its digital services tax targeting US tech firms, just hours before it was due to take effect, in a bid to advance stalled trade negotiations with the United States.
But US Treasury Secretary Scott Bessent warned on Monday that countries could still face sharply higher tariffs on July 9 even if they are negotiating in good faith, and any potential extensions will be up to Trump.
Meanwhile, US Senate Republicans will try to pass Trump's sweeping tax-cut and spending bill, despite divisions within the party about its expected $US3.3 trillion ($A5 trillion) hit to the $US36.2 trillion ($A55.3 trillion) national debt. Trump wants the bill passed before the July 4 Independence Day holiday.
Key economic data releases this week include monthly non-farm payrolls and the Institute for Supply Management's survey on manufacturing and services sectors for June.
Several US central bank officials including Federal Reserve Chair Jerome Powell are scheduled to speak later this week.
A raft of soft economic data and expectations that Trump will replace Powell with someone dovish have pushed up bets of rate cuts from the Fed this year.
On Monday, nine of the 11 S&P indexes closed up.
The Dow Jones Industrial Average rose 275.50 points, or 0.63 per cent, to 44,094.77, the S&P 500 gained 31.88 points, or 0.52 per cent, to 6,204.95 and the Nasdaq Composite gained 96.28 points, or 0.48 per cent, to 20,369.73.
Shares of big US banks rose after most cleared the Federal Reserve's annual "stress test", paving the way for billions in stock buybacks and dividends.
Leading the S&P 500 were Hewlett Packard Enterprise, up 11.1 per cent, First Solar up 8.8 per cent,and Juniper Networks up 8.45 per cent.
"The current rally was driven by few heavyweight stocks that drove indexes up, giving the market a sense of optimism despite rising deficit and unresolved policy issues," said Cole Smead, CEO and portfolio manager of Smead Capital Management.
"The stock market doesn't seem to care at all, people think this party is going to go on forever," he said.
"I think this game is over. It's just a matter of when and how bad it gets."
Volume on US exchanges was 17.12 billion shares, compared with the 18.23 billion average for the full session over the last 20 trading days.
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The past two weeks have shown deep Republican divides on the bill, which would add $US3.4 trillion ($A5.2 trillion) to the nation's $US36.2 trillion in debt and make major cuts to social programs including Medicaid. Republican lawmakers have long railed against the growth of the debt, which has continued during the past two decades regardless of which party was in control in Washington. A handful of Republican holdouts have objected to the bill. One, senator Thom Tillis, opted not to seek re-election after voting against it. Nonetheless, Trump has succeeded in getting the votes to advance the legislation at each step of the way. Votes in the House were held open for hours on Wednesday during the day and overnight as House Speaker Mike Johnson and the White House talked with reluctant members. Johnson expressed optimism on Wednesday night, saying lawmakers had a "long, productive day" discussing the issues. He praised Trump for making phone calls to the holdouts through the early hours of Thursday morning. "There couldn't be a more engaged and involved president," Johnson told reporters. The Senate passed the legislation by the narrowest possible margin on Tuesday after intense debate on the bill's hefty price tag and $US900 million in cuts to the Medicaid healthcare program for low-income Americans. Any changes made by the House would require another Senate vote, which would make it all but impossible to meet Trump's self-imposed deadline of getting the legislation approved by the July 4 holiday. The bill would raise the nation's debt ceiling by $US5 trillion, a necessary step to avoid a devastating default in coming months. The legislation contains most of Trump's top domestic priorities. It would extend Trump's 2017 tax cuts, cut health and food safety net programs, fund Trump's immigration crackdown, and zero out many green-energy incentives. It also includes a $US5 trillion increase in the nation's debt ceiling, which lawmakers must address in the coming months or risk a devastating default. Republicans in the US House of Representatives have advanced President Donald Trump's massive tax-cut and spending bill toward a final yes-or-no vote, appearing to overcome internal party divisions over its cost. During a marathon overnight session, lawmakers cleared a final procedural hurdle needed to begin debate on the bill in a 219-213 vote about 3.30am. It was not clear when they would hold a final vote. As dawn broke in Washington on Thursday, the top House Democrat, Hakeem Jeffries, was well into what was turning into an hours-long speech, calling out Republican lawmakers by name as he blasted the package as a giveaway to the wealthiest Americans. "This one big, ugly bill - this reckless Republican budget - this disgusting abomination is not about improving the quality of life of the American people," he said, a scathing reference to Trump's name for his signature legislation: One Big Beautiful Bill. "The focus of this bill, the justification for all of the cuts that will hurt everyday Americans is to provide massive tax breaks for billionaires." Democrats are united in opposition to the bill, but on their own lack the votes to stop the bill in the chamber, which is controlled 220-212 by Trump's Republicans. Republicans can afford no more than three defections to get a final bill passed. The past two weeks have shown deep Republican divides on the bill, which would add $US3.4 trillion ($A5.2 trillion) to the nation's $US36.2 trillion in debt and make major cuts to social programs including Medicaid. Republican lawmakers have long railed against the growth of the debt, which has continued during the past two decades regardless of which party was in control in Washington. A handful of Republican holdouts have objected to the bill. One, senator Thom Tillis, opted not to seek re-election after voting against it. Nonetheless, Trump has succeeded in getting the votes to advance the legislation at each step of the way. Votes in the House were held open for hours on Wednesday during the day and overnight as House Speaker Mike Johnson and the White House talked with reluctant members. Johnson expressed optimism on Wednesday night, saying lawmakers had a "long, productive day" discussing the issues. He praised Trump for making phone calls to the holdouts through the early hours of Thursday morning. "There couldn't be a more engaged and involved president," Johnson told reporters. The Senate passed the legislation by the narrowest possible margin on Tuesday after intense debate on the bill's hefty price tag and $US900 million in cuts to the Medicaid healthcare program for low-income Americans. Any changes made by the House would require another Senate vote, which would make it all but impossible to meet Trump's self-imposed deadline of getting the legislation approved by the July 4 holiday. The bill would raise the nation's debt ceiling by $US5 trillion, a necessary step to avoid a devastating default in coming months. The legislation contains most of Trump's top domestic priorities. It would extend Trump's 2017 tax cuts, cut health and food safety net programs, fund Trump's immigration crackdown, and zero out many green-energy incentives. It also includes a $US5 trillion increase in the nation's debt ceiling, which lawmakers must address in the coming months or risk a devastating default. Republicans in the US House of Representatives have advanced President Donald Trump's massive tax-cut and spending bill toward a final yes-or-no vote, appearing to overcome internal party divisions over its cost. During a marathon overnight session, lawmakers cleared a final procedural hurdle needed to begin debate on the bill in a 219-213 vote about 3.30am. It was not clear when they would hold a final vote. As dawn broke in Washington on Thursday, the top House Democrat, Hakeem Jeffries, was well into what was turning into an hours-long speech, calling out Republican lawmakers by name as he blasted the package as a giveaway to the wealthiest Americans. "This one big, ugly bill - this reckless Republican budget - this disgusting abomination is not about improving the quality of life of the American people," he said, a scathing reference to Trump's name for his signature legislation: One Big Beautiful Bill. "The focus of this bill, the justification for all of the cuts that will hurt everyday Americans is to provide massive tax breaks for billionaires." Democrats are united in opposition to the bill, but on their own lack the votes to stop the bill in the chamber, which is controlled 220-212 by Trump's Republicans. Republicans can afford no more than three defections to get a final bill passed. The past two weeks have shown deep Republican divides on the bill, which would add $US3.4 trillion ($A5.2 trillion) to the nation's $US36.2 trillion in debt and make major cuts to social programs including Medicaid. Republican lawmakers have long railed against the growth of the debt, which has continued during the past two decades regardless of which party was in control in Washington. A handful of Republican holdouts have objected to the bill. One, senator Thom Tillis, opted not to seek re-election after voting against it. Nonetheless, Trump has succeeded in getting the votes to advance the legislation at each step of the way. Votes in the House were held open for hours on Wednesday during the day and overnight as House Speaker Mike Johnson and the White House talked with reluctant members. Johnson expressed optimism on Wednesday night, saying lawmakers had a "long, productive day" discussing the issues. He praised Trump for making phone calls to the holdouts through the early hours of Thursday morning. "There couldn't be a more engaged and involved president," Johnson told reporters. The Senate passed the legislation by the narrowest possible margin on Tuesday after intense debate on the bill's hefty price tag and $US900 million in cuts to the Medicaid healthcare program for low-income Americans. Any changes made by the House would require another Senate vote, which would make it all but impossible to meet Trump's self-imposed deadline of getting the legislation approved by the July 4 holiday. The bill would raise the nation's debt ceiling by $US5 trillion, a necessary step to avoid a devastating default in coming months. The legislation contains most of Trump's top domestic priorities. It would extend Trump's 2017 tax cuts, cut health and food safety net programs, fund Trump's immigration crackdown, and zero out many green-energy incentives. It also includes a $US5 trillion increase in the nation's debt ceiling, which lawmakers must address in the coming months or risk a devastating default.
