Stock Market News for Jun 30, 2025
U.S. stock markets closed sharply higher at record-high level on Friday. Expectations of U.S.-China trade deal favorable economic data boosted market participants confidence in risky assets like equities. All three major stock indexes ended in positive territory. For the week as a whole, these indexes also finished in positive zone.
How Did The Benchmarks Perform?
The Dow Jones Industrial Average (DJI) climbed 1% or 432.43 points to close at 43,819.27. At intraday high, the blue-chip index was up nearly 580 points. Notably, 24 components of the 30-stock index ended in positive territory and 6 finished in negative zone. The index is 2.7% away from its all-time high recorded on Dec 4, 2024.
The tech-heavy Nasdaq Composite finished at 20,273.46, advancing 0.5% or 105.54 points due to strong performance of AI-centric technology bigwigs. This was a new record-high closing for the index. In intraday trading, the tech-laden index also posted a new all-time high of 20,311.51.
Shares of AI behemoths like NVIDIA Corp. NVDA, Alphabet Inc. GOOGL and Amazon.com Inc. AMZN gains 1.7%, 2.9% and 2.8%, respectively. All three stocks currently carry a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
The S&P 500 rose 0.5% to finish at 6,173.07, marking a new closing-high. In intraday trading, Wall Street's most observed benchmark posted a new all-time high of 6,187.68. Eight out of 11 broad sectors of the broad-market index ended in positive territory while three in negative zone.
The Communication Services Select Sector SPDR (XLB), the Consumer Discretionary Select Sector (SPDR) and the Industrials Select Sector SPDR (XLI) rose 1.2%, 1.7% and 1%, respectively. On the other hand, the Energy Select Sector SPDR (XLE) was down 0.5%.
The fear-gauge CBOE Volatility Index (VIX) was down 1.6% to 16.32. A total of 22.07 billion shares were traded on Friday, higher than the last 20-session average of 18.27 billion. Advancers outnumbered decliners on the NYSE by a 1.29-to-1 ratio. On Nasdaq, a 1.11-to-1 ratio favored declining issues.
Hope for Trade Deals
The Bloomberg News citing Commerce Secretary Howard Lutnick that the framework of a trade deal between the United States and China has been reached. China also subscribed to this statement. The Trump administration is hopeful to reach trade deals with 18 major trading partners of the nation. White House Press Secretary Karoline Leavitt said that July 8 and 9 deadlines given by President Trump for restarting tariffs on those nations are 'not critical.'
Economic Data
The Department of Commerce reported that the headline personal consumption expenditure (PCE) inflation fell 0.3% in May. Both the consensus estimates and April's data was 0.1%. Year over year, the headline PCE inflation rose 2.3%.
Core PCE inflation (excluding volatile food and energy items) rose 0.2% in May. Both the consensus estimates and April's data was 0.1%. Year over year, core PCE inflation rose 2.7%, higher-than the consensus estimate of 2.6%.
Personal income fell unexpectedly in May by 0.4% in contrast to the consensus estimate of a rise of 0.4%. The data for April was revised downward to 0.7% from 0.8% reported earlier. Personal spending also fell 0.1% in May. The consensus estimate was for 0%. The data for April was 0.2%. Personal savings rate in May decreased to 4.5% from 4.9% in April.
The University of Michigan reported that the final reading for consumer sentiment index in June came in at 60.7%. Both the consensus estimates and the preliminary reading of June was 60.5%. The final reading for May was 52.2%.
The sub-index for current economic conditions came in at 64.8% in June compared with 58.9% in May. The sub-index for consumer expectations came in at 58.1% in June compared with 47.9% in May. One year inflation expectations significantly dropped to 5% in June from 6.6% in May. Long-term (5 Years) inflation expectations fell to 4% in June from 4.2% in May.
Weekly Roundup
Last week was highly successful for Wall Street. The three major stock index – the Dow, the S&P 500 and the Nasdaq Composite – rallied 3.8%, 3.4% and 4.2%. Hope for major trade deals, ceasefire in Middle-East geopolitical conflicts and expectations of further interest rate cut in the second half of 2025 bolstered investors sentiments.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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