Global Markets Weekly Update - June 05, 2026

U.S. Market Overview

Major U.S. stock indexes finished the week lower, with the Nasdaq Composite leading the decline at 4.68%. The S&P 500 posted its first weekly loss since March, while the Dow Jones Industrial Average fared better with a decline of only 0.32%. Early gains from AI optimism were overshadowed by oil price volatility and a stronger-than-expected payroll report, which raised concerns about persistent inflation and the Federal Reserve's monetary policy.

Key Economic Indicators

The U.S. economy added 172,000 jobs in May, significantly above the forecast of 80,000. The unemployment rate remained steady at 4.3%. However, initial jobless claims rose to 225,000, the highest since February, and layoffs increased for the third consecutive month, with AI cited as a reason for job cuts.

PMI Data

Manufacturing and services PMI data indicated resilience in the U.S. economy, with the ISM manufacturing PMI rising to 54.0 and the services PMI to 54.5. However, both surveys highlighted ongoing inflation pressures.

Treasury Yields

U.S. Treasury yields rose, with the 10-year note yield increasing to around 4.55% as solid economic data and hawkish Fed commentary fueled inflation concerns.

Market Performance Summary

Index	Friday's Close	Week's Change	% Change YTD
DJIA	50,866.78	-165.68	5.83%
S&P 500	7,383.74	-196.32	7.86%
Nasdaq Composite	25,709.43	-1,263.19	10.62%
S&P MidCap 400	3,693.57	-31.56	11.75%
Russell 2000	2,833.44	-85.90	14.16%

International Markets

European markets were mixed, with the STOXX Europe 600 Index declining 0.53%. The Eurozone economy contracted by 0.2% in Q1, and retail sales fell 0.4% in April. In Japan, the Nikkei 225 gained 0.39% amid cautious sentiment, while the Bank of Japan hinted at a possible rate hike. China's equities fell as the economy showed signs of uneven recovery, with mixed PMI data.

Other Key Markets

Colombian markets rallied following a strong performance in the presidential election, while Indonesia faced a sell-off due to currency pressure and policy uncertainty.

This summary provides an overview of the key market insights and economic indicators affecting global markets as of June 5, 2026.