Technology stocks helped lift Wall Street on Monday as investors wrapped up a month that ended in the red for the S&P 500 and the Nasdaq — yet all three major U.S. stock indexes posted their best quarterly percentage gains in years.
Here is a look at the major market moves and the stories driving them.
Key Market Highlights
Chip stocks led the charge, with SanDisk, AMD, Marvell, and Intel each climbing anywhere from 6.0% to 10.9%. Europe’s STOXX 600 also recorded its strongest quarterly gain in years, with artificial intelligence momentum fueling much of the advance across markets.
The U.S. dollar moved higher while Japan’s yen slid to its lowest point in 40 years. U.S. Treasury yields rose on the day, though the benchmark 10-year yield was still on track for a monthly decline. Oil prices barely budged but recorded their steepest quarterly loss since 2020, and gold saw its largest quarterly drop in 13 years.
What’s Driving the Conversation
Markets had a strong first half of the year, but analysts say the rally will face serious headwinds going into the second half of 2026. Key factors to watch include whether artificial intelligence spending remains sustainable, whether corporate earnings can meet lofty expectations, and how interest rate policy evolves under Federal Reserve Chair Kevin Warsh.
On the diplomatic front, uncertainty is hanging over U.S.-Iran peace talks. President Donald Trump’s son-in-law Jared Kushner and envoy Steve Witkoff traveled to Doha on Tuesday following weekend airstrikes that put pressure on a June 17 interim agreement between the United States and Iran. No high-level meeting with Iranian officials is currently scheduled, but technical discussions — including regional security matters — are underway. According to a spokesperson for Qatar’s Foreign Ministry, those talks could be elevated to a senior level.
Meanwhile, President Trump is expected to announce on Wednesday that the United States will not extend the U.S.-Mexico-Canada Agreement on trade. That move would start a ten-year countdown to dissolve the 32-year-old North American free trade zone, even as the three countries continue negotiating proposed changes. The announcement would trigger a six-year review process tied to a “sunset clause” that was built into the agreement during Trump’s first term in office, though it is not expected to significantly change the ongoing — and contentious — talks about the pact’s future.
What Could Move Markets Tomorrow
Investors will be watching developments in the Middle East, energy market activity, and any social media posts from President Trump. Possible intervention in currency markets to support the yen is also on the radar. On the data front, markets will receive the U.S. ISM PMI for June, the Challenger layoffs report, the ADP National Employment Report, and U.S. construction spending figures. Internationally, euro zone and UK PMI readings, Netherlands GDP and retail sales data, Japan consumer confidence, UK house prices, and Switzerland retail sales are all due.
Federal Reserve Chair Kevin Warsh is also scheduled to participate in a policy panel at the ECB Forum.
