MARKET COMMENTARY
Markets began June on a relatively resilient note, with equities holding their ground despite renewed trade tensions. The S&P 500 and Nasdaq extended recent gains, supported by a more stable interest rate environment and improving consumer confidence. Investors shrugged off headline risk from rising U.S.-China and U.S.-EU tariff disputes, choosing instead to focus on upcoming economic catalysts that could shape the near-term outlook.
Attention now shifts to Wednesday’s ISM Services report and Friday’s nonfarm payrolls data, two key indicators that could sway expectations around growth and future Fed policy. While recent jobless claims and manufacturing data hinted at softness, the labor market has remained a pillar of strength. Any downside surprise in Friday’s jobs numbers, such as slowing payroll growth or an uptick in unemployment, could revive market volatility and reinforce rate cut bets.
Technical indicators suggest the S&P 500 is in consolidation mode, digesting gains from May’s rally. The index remains above key support around 5,785 but has struggled to break decisively higher, with resistance near 5,900s. With earnings season nearly wrapped and Fed policy on pause until next week’s FOMC meeting, this week’s macro data will likely set the tone for market direction heading into mid-June.
Economic Releases This Week
Monday: S&P final U.S. manufacturing PMI, ISM Manufacturing Index, Construction Spending Survey, Jerome Powell Opening Remarks
Tuesday: Factory Orders, Job Openings, Chicago Fed President Speech, Federal Reserve Governor Speech, Dallas Fed President Remarks
Wednesday: ADP employment, Atlanta Fed President & Federal Reserve Governor at Fed Listens Event, S&P final U.S. services PMI, ISM services, Fed Beige Book
Thursday: Initial Jobless Claims, U.S Trade Deficit, U.S Productivity, Federal Reserve Governor Speech, Philadelphia Fed President Speech
Friday: U.S Employment Report, U.S Unemployment Rate, U.S Hourly Wages, Hourly Wages Year Over Year, Consumer Credit
Stories to Start the Week
Suspect in Colorado Incendiary Attack Charged With Federal Hate Crime
Universal, Warner and Sony Are Negotiating AI Licensing Rights for Music
Elon Musk’s Neuralink Raises $650 Million In Fresh Capital
Russia Sets Out Punitive Terms At Peace Talks With Ukraine
US Pushes Countries for Best Offers by Wednesday As Tariff Deadline Looms