Dow Sets Record as Nasdaq Leads US Stocks Higher Monday
US equities rallied to open the week, with the Dow hitting a fresh record and the dollar posting mixed results against major currencies.
US stocks surged Monday as the Dow Jones Industrial Average closed at a new all-time high and the Nasdaq outperformed all major indices, driven by a renewed appetite for large-cap technology and semiconductor shares. The S&P 500 also finished solidly in the green as investors returned from the holiday weekend in a clear risk-on posture, even as market breadth remained uneven — with AI and chip-related names shouldering most of the load.
The US dollar ended the session in mixed territory, gaining ground against four of the seven major currencies tracked. The greenback posted its sharpest advance against the Japanese yen, rising 0.45%, while also climbing against the Swiss franc and New Zealand dollar. It slipped against the British pound by 0.26% and edged lower against the euro, though losses there were marginal at just 0.03%.
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On the economic data front, the ISM Non-Manufacturing PMI for June landed at exactly 54.0, matching consensus estimates and confirming that the US services sector continues to expand at a healthy clip. While the headline number met forecasts, the underlying details pointed to continued business resilience despite persistent headwinds from tariff uncertainty, elevated fuel costs, and broader geopolitical tensions.
Federal Reserve Governor Christopher Waller, speaking on a panel from Italy, weighed in on monetary policy communication, arguing that forward guidance remains a valuable tool that has historically strengthened the Fed's policymaking credibility. He also reaffirmed that Fed officials remain firmly committed to returning inflation to the 2% target — a signal markets parsed against still-sticky price pressures. Meanwhile, European Central Bank voices were active as well, with ECB's Schnabel warning that the current price shock cannot simply be ignored, while ECB's Wunsch noted that inflationary second-round effects have so far remained limited.
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