US stock market today showed a strong start to July as the Dow Jones, S&P 500, and Nasdaq Composite all climbed on Thursday, fueled by a better-than-expected June jobs report. The S&P 500 rose 0.7%, the Nasdaq added 0.8%, and the Dow gained over 0.6% — building on fresh record highs reached the day before. While the upbeat jobs data showed surprising strength in the labor market, it also reduced expectations for an immediate Federal Reserve interest rate cut. Bond yields ticked higher, with the 10-year Treasury yield climbing to around 4.33% as rate-cut bets were delayed. The U.S. dollar also strengthened in response to the upbeat data.

Thursday’s data from the Labor Department showed that 147,000 new jobs were added in June — much higher than economists’ forecast of 106,000. In addition, the unemployment rate dipped to 4.1%, defying predictions it would rise slightly. Notably, May’s job numbers were also revised upward, signaling that the labor market remains healthier than expected.

This sudden burst of job creation sent a message to markets: the Federal Reserve may not cut rates as early as hoped. Investors who were betting on a July rate cut scaled back those expectations, especially as the data contradicts recent signs of labor market cooling. The ended on a strong note ahead of the Independence Day break, with major indexes climbing following a better-than-expected . The , , and all posted gains, extending their recent record-setting streaks.

The marked its fourth record close in five sessions, while the continued its tech-driven rally with strong gains. Yields increased as investors reassessed the timeline for a following the strong labor data. This stronger-than-expected report signaled continued resilience in the labor market, leading investors to pull back bets on a July rate cut. Tech ruled the day, with AI and chip stocks in the spotlight:



These developments helped improve outlooks on trade stability and fiscal policy, further supporting the stock market.

President Donald Trump, who has frequently criticized Fed Chair Jerome Powell, intensified his pressure campaign on Wednesday night. In a pointed social media post, Trump said Powell “should resign immediately.” Reports also suggest that Trump might move to announce Powell’s replacement soon, adding uncertainty to the Fed's outlook.

While investors have long followed the Fed-President dynamic, the renewed tension is playing a growing role in rate cut expectations. Trump’s comments added to speculation that a change in leadership might favor sooner rate reductions, keeping traders on high alert.

Yes — and they’re becoming more significant. The July 9 deadline for global trade talks has traders watching closely. President Trump’s newly inked trade deal with Vietnam has been viewed as a win, easing worries about broad tariffs. Investors are now hopeful that more trade agreements might roll in before the tariff deadline, helping to stabilize international commerce.

Another promising signal came from Washington’s move to lift restrictions on chip design software exports to China, which marks a possible easing in US-China trade tensions. Shares of Synopsys (SNPS) and Cadence Design Systems (CDNS) — top U.S. software providers in that space — saw sharp premarket gains on the news.

President Trump’s ambitious tax and spending bill, a major economic move, passed a critical procedural vote in the House on Thursday. The package — which includes substantial federal tax changes and public spending boosts — is expected to go for a final vote by Friday, July 4, which is Trump’s stated deadline.

House Speaker Mike Johnson confirmed he has the support needed to pass the bill. If signed into law, the legislation could have a sweeping impact on multiple sectors, from energy and infrastructure to healthcare and defense — and ultimately influence stock market movement in the second half of 2025.

• Investors will be closely watching , Fed commentary, and developments in global trade talks.
  

Why did US stock trading close early this week?

With Independence Day falling on Friday, US stock markets closed early at 1 p.m. ET on Thursday, and they’ll remain shut on Friday, July 4. The early close is standard practice ahead of major federal holidays and often comes with lighter trading volume.

Despite the shortened session, Thursday still packed a punch with key economic data, political headlines, and trade developments driving Wall Street’s strong momentum into the long weekend.

The US stock market today surged as the Dow, S&P 500, and Nasdaq all posted solid gains following a stronger-than-expected June jobs report. The surprise strength in hiring dashed hopes for a July Federal Reserve rate cut, while Trump’s ongoing conflict with Fed Chair Jerome Powell and fresh optimism on the trade front helped fuel investor sentiment. Markets also saw a boost from the expected passage of Trump’s tax and spending bill, while tech stocks jumped after curbs on software exports to China were lifted.

As Wall Street heads into the holiday break, all eyes remain on Fed policy, Trump’s next move, and the global trade landscape ahead of the July 9 tariff deadline.

Q1. What did the June jobs report show for the US stock market today?
The June report added 147,000 jobs, boosting stocks but lowering rate cut hopes.

Q2. How is Trump influencing the Federal Reserve rate decisions?
Trump called for Powell to resign, raising pressure on the Fed for future rate cuts.