Stock Market Rally Accelerates: Nasdaq Hits 18,000, Nvidia Powers Toward $4 Trillion
Nvidia stock surges to $159.34, propelling the broader stock market to record highs. Gold spikes, bond yields rise, and political risks mount in Europe | That's TradingNEWS
Nasdaq, S&P 500, and Dow Extend Record Run as Global Volatility Rises
Nasdaq (^IXIC) Smashes Past 18,000 with Broad Tech Strength
The Nasdaq Composite surged 1% to 18,008.44, marking its first-ever close above the 18,000 milestone. Driven by a wave of tech buying and AI optimism, Nvidia (NASDAQ:NVDA) added 1.33% to $159.34, nearing a $4 trillion valuation. Other key gainers included Meta (+1.7%) and AMD (+2.1%). The S&P 500 climbed 0.8% to 5,639.86, and the Dow closed at 44,958.72, up 0.7%. All three benchmarks are now on pace for their strongest Q3 start in two decades.
Labor Strength Complicates Rate-Cut Odds
The U.S. economy added 147,000 jobs in June, surpassing estimates of 106,000. This pushed unemployment down to 4.1%, weakening the case for a Fed cut in July. Treasury yields responded with a sharp move: the 2-year climbed 11bps to 4.93%, while the 10-year rose to 4.36%. Despite initial pressure, rate-sensitive tech rallied late, aided by bullish earnings revisions.
FTSE 100, DAX, and CAC 40 Slip on Trump Tariff Countdown
European markets turned defensive as Trump’s July 9 tariff implementation date approaches. The FTSE 100 dropped 0.1% to 8,824.74, weighed by miners like Anglo American (-2.2%). The DAX lost 0.7% and CAC 40 shed 0.9%. The U.S. dollar index fell 0.2% but is still down over 10.3% YTD, highlighting risk sentiment shifts.
Gold Surges Above $3,347 as Global Tensions Mount
Gold futures (GC=F) rose 0.2% to $3,347.80, while spot gold climbed 0.4% to $3,338.89. Investors flocked to the metal amid rising trade tensions and geopolitical instability. The latest spike marks the highest level in over four months.
UK Gilts Spike as Political Fractures Deepen
UK bond markets faced renewed stress as PM Keir Starmer clashed with Finance Minister Rachel Reeves over a botched welfare rollback. Gilt yields soared — the 10-year rose 22bps to 4.72%, while the 30-year touched 4.815%. Sterling dropped 1.02% against USD as investors priced in higher fiscal risks.
Welfare Flip-Flop Could Add £200M in Annual Spending
What was initially projected as a £5 billion austerity move is now forecast to cost £200 million annually through 2030. Analysts at the Resolution Foundation say this could force tax hikes in Reeves’ autumn budget. Political pressure from within Labour continues to grow.
Sector Movers: TripAdvisor, Spectris, AstraZeneca Lead Headlines
TripAdvisor (TRIP) soared 16.7% to $17.50 after Starboard Value revealed a 9% stake worth $160 million. The move suggests a possible shakeup in strategy. Meanwhile, Spectris (SXS.L) jumped 5% to £4,016 after KKR’s £4.1B takeover offer. AstraZeneca (AZN.L) rose 1.3% to £10,336 on EU approval of Imfinzi in bladder cancer treatment.
Nvidia (NASDAQ:NVDA) Targets $4T Club with Strong AI Tailwinds
NVDA rose 1.33% to $159.34, extending YTD gains to +15.2%. The stock remains in accumulation mode, supported by robust demand for GPUs, strong AI infrastructure tailwinds, and firm institutional flows. After-hours trading showed minor pullback to $159.25, but price remains above key support at $154.60.
UK Macro Softness Supports BoE Cut Calls
Construction PMI rose slightly to 48.8 in June, but remains contractionary. Manufacturing shrank for a sixth consecutive month, adding pressure on the BoE. Calls for three rate cuts in 2025 grow louder as domestic demand lags.
Market Outlook — Dow Bullish, NVDA a Strong Buy, FTSE Remains Range-Bound
NVDA: STRONG BUY — Nvidia’s dominance in AI and stable price action at $159 supports continued accumulation. Price target revised to $176 if momentum holds.
FTSE: HOLD — The UK index faces headwinds from politics and policy risk. Range bound between 8,700–8,950.
Dow: BUY on Dips — With earnings resilience and capex recovery, Dow remains in breakout mode toward 45,200.
