Market Highlights

Pacific Investment Management Co. is warning that the Trump administration’s plan to sell shares in Fannie Mae and Freddie Mac could drive up the mortgage rates that Americans pay. “Don’t fixwhat is not broken,” Libby Cantrill, Pimco’s head of public policy, wrote in a note to clients earlier this week. She said that unless the sale can be orchestrated in a way that preserves the government’s commitment to financiallysupport the institutions, investor demand may cool for the mortgage-backed securities that they sell. And this, Cantrill said, would in turn make home loans more expensive for millions of people US and European stock futures advanced in the run up to Donald Trump’s talks with Ukrainian President Volodymyr Zelenskiy, after a summit with Russia concluded without escalating geopolitical tensions.

The blistering run in stocks hit a wall as a pick-up in inflation lifted bond yields alongside the dollar, with traders paring bets the Federal Reserve will cut interest rates next month. After a 30% surge from its April lows, the S&P 500 barely budged. While the move was mild amid gains in most big techs, over 350 shares fell. Intel Corp. jumped as the US was said to discuss taking a stake in the chipmaker. In late hours, Applied Materials Inc. gave a downbeat forecast. European stocks rose alongside most global equity markets, amid guarded hopes that Friday’s US-Russia summit could be an initial step toward brokering a peace deal in Ukraine and thawing relations.

Wall Street traders kept piling into bets that the Federal Reserve will soon be able to cut interest rates, with stocks hitting all-time highs and Treasury yields falling alongside the dollar. Just a day after a report showed benign inflation data, traders fully priced in a quarter-point Fed reduction in September, with some wagers pointing to a jumbo-sized move. Market expectations for policy easing also gained fuel after Treasury Secretary Scott Bessent’s remarks that “we could go into a series of rate cuts here, starting with a 50 basis-point rate cut in September.” US stocks were set to pause their advance as investors awaited a fresh round of economic data for clues on how aggressively the Federal Reserve might cut interest rates, an outlook that has fueled a dayslong risk-on rally.

Calm prevailed across Wall Street as an in-line inflation reading bolstered speculation the Federal Reserve will have room to cut rates in September, driving stocks higher and short-dated bond yields lower. All major US equity indexes climbed more than 1%, with the S&P 500 and the Nasdaq 100 hitting all- time highs. The Russell 2000 of smaller firmsjumped 3%. While an initial rally in Treasuries faded, money markets priced in an about 90% chance of a Fed reduction next month. Two-year yields, more sensitive to imminent policy moves, slid four basis points to 3.73%. The dollar fell Stocks climbed to a record as an in-line US inflation reading eased price concerns and bolstered bets on a Federal Reserve interest-rate cut in September.

Wall Street refrained from making big bets ahead of a key inflation report, with stocks losing steam after climbing to the brink of all-time highs. Treasuries fluctuated.The dollar rose. With the earnings season almost done, investors are turning to economic data for clues on whether the Federal Reserve will be able cut rates in September. Markets barely budged after reports President Donald Trump extended a pause of tariffs on Chinese goods for another 90 days. The S&P 500 remained below 6,400. Apple Inc. slid after its best week since 2020. Intel Corp. climbed as its chief was expected to meet with Trump. Stocks advanced as investor optimism grew after President Donald Trump signaled a willingness to let US companies resume some chip sales to China and extended a trade truce with Beijing.

Stocks saw their best week since June, with a rally in big tech driving the Nasdaq 100 to all-time highs. Also buoying sentiment were hopes the US and Russia will reach a deal to halt the war in Ukraine. Gold whipsawed. The S&P 500 approached 6,400, closing on the brink of a record. Apple Inc. saw its best week since 2020 amid optimism that plans to spend an additional $100 billion on domestic manufacturing may help the company avoid tariffs. Fannie Mae and Freddie Mac soared on reports the US is preparing to sell shares in an offerring that could start as early as this year Stocks and equity-index futures rose while oil declined on speculation a meeting between US and Russian leaders will increase the chances of ending the war in Ukraine and boost crude supply.

Wall Street halted a rally that drove stocks to the brink of a record amid concerns about an overheated market. Treasuries lost steam as a weak sale of 30-year debt signaled waning appetite after a bond surge. Following an almost 30% advance from its April lows, the S&P 500 closed little changed. A gauge of chipmakers jumped, but Intel Corp. slipped 3% as President Donald Trump called on its chief to resign, citing conflicts of interest. Eli Lilly & Co. tumbled 14% after disappointing data on its new weight-loss pill. Apple Inc. extended a two-day gain to about 8.5%. Gold futures surged while European stocks and US futures treaded water at the end of a week in which markets were buffeted by tariffs, geopolitical developments and corporate earnings.

Stock buyers waded back into the market, with a rally in most big techs driving gains. Short-dated Treasury yields fell on bets the Federal Reserve will soon be able to cut rates. The dollar slid. The impetus to buy the dip has rarely been this strong, with the S&P 500 up almost 1% after a brief slide this week. The gauge has climbed an average 0.3% a day after a down session this year — on course for the second-best annual showing. The Nasdaq 100 rose 1.3%. Apple Inc. jumped 5.1%, with Donald Trump set to announce the firmwill commit to a fresh $100 billion US investment as it seeks to avoid punishing tariffs on iPhones. US and European equity-index futures climbed along with Asian shares after President Donald Trump’s threat of 100% tariffs on chip exporters came with exemptions for companies like Apple Inc. that invest in the US.

A renewed wave of dip buying lifted stocks, with traders sifting through solid earnings amid bets the Federal Reserve will soon cut rates. Bonds saw small moves ahead of a heavy slate of US debt sales. The rebound in risk appetite drove the S&P 500 up 1.5%, its biggest rally since May. Almost every major group in the US equity benchmark advanced, and about 85% of its companies closed higher. Tech megacaps, which bore the brunt of the recent selling, led gains on Monday. Nvidia Corp. and Meta Platforms Inc. climbed at least 3.5%. The Russell 2000 index of small firmsadded 2.1%. Asian stocks advanced as a wave of dip buying combined with growing bets on potential interest-rate cuts.

Wall Street traders drove stocks toward their worst session since May as weak jobs and manufacturing data bolstered concerns about the economy, a day after President Donald Trump unveiled sweeping tariffs. Bond yields sank on bets the Federal Reserve will cut rates soon. The S&P 500 fell 1.5%, with Amazon.com Inc. leading losses in megacaps on an underwhelming profit outlook. Short-term yields headed toward their biggest plunge since August 2024, with those on two-year notes sinking 22 basis points to 3.74%. Money markets fully priced in two rate cuts in 2025, with an 80% chance of a reduction in September. The dollar sank.