By Lewis Krauskopf
NEW YORK () – -TRADING DAY
Making sense of the forces driving global markets
By Lewis Krauskopf, Markets Reporter
Jamie is enjoying some well-deserved time off, but the Reuters markets team will still keep you up to date on what moved markets today. We’re watching President Donald Trump’s tax cut-and-spending bill, which made it through the U.S. Senate on Tuesday and now goes back to the other U.S. legislative body, the House of Representatives. I’d love to hear from you, so please reach out to me with comments at .
Today’s Key Market Moves
* Wall Street indexes were mixed, with the Nasdaq slumpingwhile the Dow rose and moved closer to a record high * The beaten-up U.S. dollar edged lower against a basketof major currencies * U.S. Treasury yields rose, after data showed the labormarket remained resilient * Gold prices jumped over 1%, continuing a massive run forthe metal this year * Oil prices edged higher, as investors weighed positivedemand indicators in China and elsewhere
Today’s Key Reads
1. Six questions facing US stock investors as 2025’s secondhalf kicks off 2. Trump’s push for regulatory reform highlights ‘Treasuryput’: Jen 3. Corporate spending binge could spur long-term US growth:Guild 4. How Novo Nordisk misread the US market for its weightloss sensation 5. DOGE now targeting SEC policy, eyes SPAC rules, sourcessay
Sweeping US fiscal bill moves ahead, rate path stays murky
President Donald Trump’s U.S. fiscal bill took a key step forward on Tuesday, carrying with it possible risks and rewards for investors.
The legislation, narrowly passed by the U.S. Senate, would extend Trump’s 2017 personal and business tax cuts, otherwise due to expire at the end of this year, and give new tax breaks in areas such as tipped income and overtime. Investors hope the tax easing might provide stimulus that supports consumer spending.
But, according to nonpartisan analysts, the bill would add an estimated $3.3 trillion to the nation’s debt. Growing deficits are continuing to cloud financial markets, especially after Moody’s cut America’s pristine sovereign credit rating in May.
The bill still must pass the House of Representatives, where Trump’s Republican party holds a slim majority, and it remains to be seen if it will become law by Trump’s hoped-for deadline of the July 4 Independence Day holiday.
Focus was also on the Federal Reserve, and when the U.S. central bank may next cut interest rates. At a central bank gathering in Portugal, Fed Chair Jerome Powell reiterated the need to understand the impact of Trump’s tariffs on inflation before lowering rates.
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