7/2/20 Market Notes
US equity markets started the quarter mostly higher, driven by positive global manufacturing reports including the ISM Manufacturing Index which dramatically improved to 52.6 from 43.1, clearly in expansion territory. Growing concerns about the coronavirus resurgence were tempered by positive comments from Pfizer (PFE) on preliminary results regarding their vaccine candidate. Minutes from the Federal Reserves June meeting supported accommodative policies and contained nothing to give investors pause. The S&P 500 added 16 points (0.5%) to 3,116, Nasdaq advanced 96 points (1.0%) to 10,155; while the Dow shed 78 points (0.3%) to 25,735. Treasuries, the Dollar, and gold prices slipped while crude oil prices edged higher. All eyes will be on the June payrolls report due to be released at 8:30 this morning and expected to show private employers added over 3 million jobs last month. US equity futures are higher in premarket trading on an expectation that a positive jobs report will reinforce the economic recovery thesis. If it doesn’t, at least investors have the promise of accommodative monetary policies and the expectation of further stimulus to fall back on.
Disclosures: This market commentary is written by the 1879 Advisors® and represents the views of 1879 Advisors®. This commentary is not investment advice and should not be used as a basis to make investment decisions. Please consult with your registered investment advisor before making any investment decisions.