Dow Closes at Record High as Dollar Finishes Mixed on Monday
U.S. equities kicked off the week in record territory while the dollar posted gains against four major currencies and ISM services data met expectations.
Wall Street opened the trading week with a broad advance on Monday, July 6, as the Dow Jones Industrial Average notched yet another record close and the Nasdaq outperformed all major indices on renewed buying in large-cap technology and semiconductor stocks. The S&P 500 also finished solidly in the green as investors returned from the holiday weekend in a pronounced risk-on posture, though market breadth was mixed with gains concentrated heavily in AI and chip-related names.
The U.S. dollar ended the session on an uneven footing against its major peers. The greenback posted its sharpest advance against the Japanese yen, gaining 0.45%, while also rising against the Swiss franc, New Zealand dollar, and Canadian dollar. The dollar lost ground against the British pound, which climbed 0.26%, and slipped modestly against the euro and Australian dollar, reflecting the selective nature of the day's currency moves.
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On the economic data front, the ISM Non-Manufacturing PMI for June printed at exactly 54.0, matching consensus forecasts and confirming that the U.S. services sector continues to expand at a healthy clip. The in-line result offered little fresh catalyst for rate expectations but reinforced the view that the broader economy is holding up despite persistent concerns over tariffs, fuel costs, and geopolitical pressures. Canada's S&P Global Services PMI, by contrast, fell sharply to 47.1 in June from 50.6 in May, signaling a contraction in Canadian service-sector activity.
Federal Reserve Governor Christopher Waller, speaking at a panel in Italy, defended the central bank's use of forward guidance and reaffirmed that Fed policymakers remain committed to returning inflation to the 2% target. Separately, European Central Bank officials sent divergent signals, with ECB's Schnabel warning that the current price shock cannot simply be overlooked, while ECB's Wunsch suggested the inflationary impact from Iran appears to have faded with limited second-round effects observed so far.
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