Weekly Stock Market Update | Dow, S&P 500, NASDAQ News – June 29, 2025 at 07:02 AM

In the past week, US stock markets have witnessed a historic rebound with both the S&P 500 and Nasdaq reaching new record highs. The S&P 500 gained 0.5%, closing at a new record of 6,173.07 – its first since February 19. The Nasdaq also saw an increase of 0.5%, marking its first all-time high since December 16.

The Dow Jones, however, still has about 1,200 points (or 2.7%) to gain before it reaches its all-time high, largely due to a negative drag caused by UnitedHealth, which experienced a 39% tumble this year, along with falls in Apple, Merck, and Nike. Despite this, the Dow managed to rise by 432 points, or 1%.

The main gainers this week have been driven by the tech sector, primarily due to an AI boom that has fueled a technological rally in recent months. This was most notable in the performance of Nvidia, whose shares rose by 4%, setting a new record closing price and boosting the Nasdaq composite.

In contrast, UnitedHealth was a major looser, experiencing a significant tumble that dragged down the Dow Jones Industrial index.

The market witnessed its biggest weekly gain in six weeks, despite concerns over trade talks between the US and Canada which led to a temporary dip late on Friday. A pause on ‘reciprocal’ tariffs for 90 days and expectations of further trade deals fueled a rise.

Going forward, the market may face challenges, including a potential stalemate in Congress over raising the debt ceiling and the expiry of the 90-day reciprocal tariff pause which could see tariffs rise again. Valuations are also surging well above earnings expectations, with the S&P 500’s price-to-earnings ratio passing 23, indicating that stocks have become quite expensive compared to their profit expectations.

This week was an exciting one for the stock market, with S&P 500 and Nasdaq reaching new record highs. Despite the potential for market fluctuation due to the recent U.S. involvement in the Israel-Iran conflict, the market remained steady, with the belief that the conflict would not significantly impact the U.S. economy or corporate earnings. Energy prices surged the previous week due to the bombings, however, they quickly fell again with West Texas Intermediate crude declining more than 11% during the week.

For the week, the S&P 500 made a weekly gain of 3.44% and Nasdaq made a weekly gain of 4.25%. Notable top performers for the week were Nvidia, Eaton, GE Vernova, Broadcom, and Goldman Sachs. Nvidia topped the list with more than a 9.5% increase for the week. Financial stocks like Goldman and Wells Fargo also saw positive movement after the Federal Reserve proposed reducing capital requirements for large U.S. banks.

Despite this positive news, the market faces uncertainty due to factors including President Trump’s tariffs and the looming July 9 deadline for countries to make trade deals with the U.S. to avoid tariffs. Analysts have suggested that this uncertainty could cause volatility in the stock market.

Lastly, economic data showed that the U.S. economy shrank by 0.5% in the first quarter, and jobless claims rose to their highest level since late 2021. Investors are now closely watching the Personal Consumption Expenditures (PCE) report for signs that Trump’s tariffs have pushed prices higher.