New York, NY – U.S. equity futures slipped slightly on Monday night, following a record-setting month for the S&P 500, which closed at an all-time high. Contracts associated with the Dow Jones Industrial Average fell by 59 points, or 0.1%, while both the S&P 500 and Nasdaq 100 futures experienced similar declines.
During regular trading hours, the S&P 500 advanced by 0.52%, achieving yet another record close. The technology-focused Nasdaq Composite also reached new heights, increasing by 0.47%. Meanwhile, the Dow rose by 275.50 points, or 0.63%, underscoring strong market performance overall.
The fluctuations in futures come on the heels of Canada’s decision to retract its planned digital services tax, a move aimed at easing trade tensions with the United States. This development follows President Donald Trump’s declaration last Friday that he would halt all trade discussions with Canada. As tariffs are set to intensify in the coming week, traders eagerly anticipate potential resolutions that could affect the broader market landscape.
After a challenging April that saw significant declines in stock prices, equity markets have displayed remarkable resilience. The S&P 500’s broad market index recorded a 10.6% gain for the second quarter, while the Nasdaq outperformed with an impressive nearly 18% increase. This recovery appears to signal a bullish trend for investors, who are taking a cautiously optimistic view of the upcoming months.
Mike Wilson, chief U.S. equity strategist at Morgan Stanley, shared his insights during an interview, suggesting that the market may be poised for a broader recovery. He described the recent economic environment as a “massive rolling recession” and expressed confidence that conditions could improve, particularly in sectors sensitive to interest rates, such as manufacturing and housing.
Looking forward, traders are setting their sights on key economic indicators that could guide market sentiment. The S&P Global Purchasing Managers’ Index is scheduled for release at 9:45 a.m. ET, offering insights into manufacturing activity. Additionally, the ISM manufacturing report will be unveiled an hour later, providing further context. On Tuesday morning, the Job Openings and Labor Turnover Survey (JOLTS) will also be published, adding to the economic landscape for investors.
As the second half of the year unfolds, market participants remain hopeful that the momentum can be sustained, driven by pent-up demand in sectors impacted by previous economic policies. Many are closely monitoring trade negotiations and their potential impact on future market performance.