Tonight’s Highlights | Stronger-than-Expected Non-Farm Payrolls Data Lifts Major Index Futures Pre-Market

Before Thursday's market open, the U.S. June seasonally adjusted non-farm payrolls recorded 147,000 jobs, surpassing market expectations of 110,000.

 

The prior month's figure was revised from 139,000 to 144,000. For the week ending June 28, initial jobless claims were 233,000, below the expected 240,000, with the prior week's figure revised from 236,000 to 237,000.

Following the release of the non-farm payrolls report, interest rate futures traders abandoned bets on a Federal Reserve rate cut in July. The market's implied probability of a September rate cut is now around 80%, down from 98% before the report. Major stock index futures rose in the short term, with Nasdaq futures gaining 0.3%.

 

S&P Global announced that monitoring software provider Datadog will replace Juniper Networks as a component of the S&P 500 index. According to a statement, this change will take effect before the market opens on July 9.

 

When a company is added to a major index, its stock price typically rises as fund managers adjust their portfolios to reflect the new index composition. As of this writing, Datadog was up 9% pre-market.

Key events

U.S. Treasury Secretary Bessent Warns: Tariffs May Rise to April 2 Levels

 

U.S. Treasury Secretary Bessent warned trading partners not to prolong trade negotiations, stating that tariffs could revert to April 2 levels if progress is not made. Bessent revealed he will meet with EU negotiators today. When asked about the outcome of these discussions, he only said, “We’ll see what happens with the EU.” On the issue of U.S. debt, Bessent expressed confidence in market demand.

 

U.S.-Vietnam Agreement Reached, U.S.-India Talks Progress Rapidly

 

According to reports, U.S.-India trade negotiators have recently held intensive discussions, with sources indicating “signs that both sides are close to reaching an agreement.” On Tuesday, Trump explicitly stated hopes of reaching a “mutually beneficial agreement” with India to reduce tariffs on both sides. However, India’s firm stance on key agricultural and dairy issues remains a core obstacle to finalizing the deal.

 

U.S. Public Companies Accelerate Bitcoin Reserve Building, Outpacing ETF Purchases for Three Consecutive Quarters

 

According to Bitcoin Treasures, in the three months ending June 30, U.S. companies increased their Bitcoin holdings by approximately 18%, adding about 131,000 Bitcoins. In comparison, Bitcoin ETF holdings grew by 8%, totaling roughly 111,000 Bitcoins.