Morning Preview: June 30, 2025
Early Look
U.S. futures are showing positive momentum, adding to last week’s gains and reaching new record highs. The S&P 500 recently achieved its first new high since February, marking a significant recovery of approximately 25% from the selloff caused by tariffs in April. This recovery is noted as the fastest ever, occurring over just 89 trading days after a decline of at least 15%.
Key factors contributing to this bullish sentiment include lower inflation readings, which have raised expectations for a potential Federal Reserve rate cut, a surge in technology and AI-related stocks, and ongoing trade negotiations with major partners like China and the EU. The S&P 500 and Nasdaq both reached record closing highs on Friday, with the S&P 500 gaining 3.44% and the Nasdaq rising 4.25% over the past week.
Market Performance
| Index | Change | % Change | Last |
|---|---|---|---|
| Dow Jones Industrial Average | 216.00 | 0.49% | 44,341 |
| S&P 500 | 27.25 | 0.45% | 6,251 |
| Nasdaq Composite | 153.50 | 0.67% | 22,905 |
Global Market Overview
In Asian markets, the Nikkei Index rose by 336 points, while the Shanghai Index gained 20 points. Conversely, the Hang Seng Index saw a decline of 211 points. In Europe, the German DAX and FTSE 100 experienced slight decreases.
Sector News
Consumer Sector
Hyatt Hotels announced a $2 billion sale of its real estate portfolio to Tortuga Resorts, with potential additional earnings based on performance. Stanley Black & Decker appointed a new CEO effective October 2025.
Energy, Industrials, and Materials
Boeing's acquisition of Spirit AeroSystems is under investigation by U.K. antitrust officials. Kinder Morgan is highlighted as a potential buy due to increasing electricity demand from AI and cloud data centers.
Financials
The Federal Reserve's stress tests indicated that major U.S. banks are well-prepared for economic downturns, with capital ratios significantly above minimum requirements.
Healthcare
Aurinia Pharmaceuticals reported promising results for its autoimmune drug in early-stage trials, while Bristol-Myers Squibb and Gilead Sciences may see active trading following FDA updates on CAR-T cell therapies.
Technology, Media & Telecom
Baidu plans to make its generative AI model open source, posing competition to established players. Disney received an upgrade from Jefferies, and Oracle's stock was also upgraded based on positive growth expectations.
Economic Calendar
Key economic reports scheduled for today include the Chicago PMI and Dallas Fed Manufacturing data.