By Heard Editors

What Happened in Markets Today

Major stock indexes rose. The S&P 500 and Nasdaq Composite closed at all-time highs Monday, each rising roughly 0.5%. Monday marked the final day of a wild three months for equity investors- shaped by a huge stock-market drawdown over Trump's trade war and the stunning rebound that followed. The S&P 500 rose more than 10% in the quarter, posting its largest quarterly percentage gain since the fourth quarter of 2023.

Goldman Sachs climbed. The Federal Reserve's stress tests showed major banks are well-positioned to withstand a severe downturn. The S&P 500 Financials sector index rose to a record close.

The WSJ Dollar Index retreated. The ICE U.S. Dollar Index had its worst first half of a year in at least four decades. It is down more than 10% in 2025, the biggest drop in data going back to 1985, according to Dow Jones Market Data. The WSJ Dollar Index, which tracks the greenback against a broader range of currencies, is down more than 8%-on pace for its biggest first-half decline since 2002.

Senate Republicans are rushing to pass President Trump's bill. The voting on amendments and procedural motions is expected to last many hours as various GOP factions seek to push the bill in their favored direction. Centrists are fighting to limit cuts to benefit programs while fiscal conservatives argue that the sprawling domestic-policy bill is a prime opportunity to address the nation's rising debt.

President Trump is expected to set tariff rates next week for countries deemed not to be negotiating with the U.S. in good faith. The U.S. is preparing to send Japan a letter outlining a new tariff rate for the nation, President Trump said Monday, despite months of intensive negotiations between the countries aimed at averting higher tariffs. Meanwhile, National Economic Council Director Kevin Hassett said the U.S. would resume trade negotiations with Canada after America's northern neighbor withdrew a digital-services tax.

This analysis comes from the Journal's Heard on the Street team. Subscribe to their free daily afternoon newsletter here.

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(END) Dow Jones Newswires

June 30, 2025 17:40 ET (21:40 GMT)

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