Recent Market Performance
Wall Street concluded the previous session on a high note. The tech-centric Nasdaq Composite surged 0.8%, closing at a record high. The S&P 500 rose by 0.3%, while the Dow Jones Industrial Average added 50.66 points, or 0.1%. These gains reflect continued strength in mega-cap tech stocks, although some market analysts express concerns over market breadth, which could imply potential volatility ahead.
Several stocks are making notable moves in premarket trading. Tesla shares fell 1.5% after a 6% rise on Monday, with the company set to report its second-quarter delivery numbers. Atlassian Corporation saw a nearly 2% increase following an upgrade to overweight from Piper Sandler, driven by expectations of growth as more consumers migrate to the cloud.
Paramount Global’s stock climbed over 3% amid discussions of a potential merger between its streaming arm and Warner Bros Discovery. Conversely, home construction stocks D.R. Horton and Lennar Corporation dropped more than 2% after Citi downgraded them to neutral, citing balanced risk and reward in the second half of 2024. Crowdstrike Holdings also saw a 2% decline following a downgrade from Piper Sandler, which cited high valuations and a lack of immediate catalysts.
Market Insights
Kevin Gordon, senior investment strategist at Charles Schwab, highlighted the importance of stock performance within major indexes. “Keeping above two-thirds of members in the S&P and Nasdaq above their 200-day moving average would indicate a relatively healthy market setup, even through softer economic data and Federal Reserve clarity,” Gordon noted on CNBC’s “Closing Bell.”
Upcoming Events
Federal Reserve Chair Jerome Powell is scheduled to speak at 13:30 GMT at the European Central Bank Forum, joining a panel that includes ECB President Christine Lagarde and Brazil’s central bank governor Roberto Campos Neto. This event, moderated by CNBC’s Sara Eisen, is anticipated to provide insights into future monetary policy directions.
The May job openings and labor turnover report, expected to show a slight decline in job openings from 8.1 million in April to 7.9 million in May, will also be released. Additionally, markets will close early on Wednesday and remain closed on Thursday for the Fourth of July holiday. The June jobs report, set for release on Friday, will offer further insights into the labor market.
