Nasdaq 100, S&P500 at Highs as Tech, Financials Lead; Oracle Surges

S&P 500, Nasdaq Push Higher as Trade Hopes and Rate Cut Bets Support Bulls

U.S. stocks are trading higher midday, with the S&P 500 and Nasdaq extending record territory as optimism around trade negotiations and expectations of deeper interest rate cuts keep buyers engaged heading into quarter-end.

The Nasdaq is up 17.5% so far this quarter, the S&P 500 has gained 10.2%, and the Dow has climbed 4.6%, driven by AI momentum and tech enthusiasm. The Dow, however, remains 2.3% below its December high as traders weigh policy shifts and potential trade deal deadlines.

A July 9 deadline for potential trade agreements remains in focus, with President Trump hinting at possible extensions or earlier implementation of tariffs, while Canada dropped its planned digital services tax on U.S. tech firms to advance stalled negotiations with Washington.

Will the Federal Reserve Pivot Sooner as Data Softens?

Soft economic data and speculation that Trump could replace Fed Chair Jerome Powell with a more dovish candidate have fueled bets that the Federal Reserve may cut rates sooner. Powell and several Fed officials are scheduled to speak later this week, and traders are positioning for potential policy signals.

The upcoming non-farm payrolls report and ISM manufacturing and services data will provide critical insight into whether the recent rally can sustain, with softer prints likely to bolster rate-cut hopes.

Which Sectors Are Leading While Tech Holds Momentum?

Technology is leading midday with a 0.69% rise, underpinned by continued AI optimism, while financials are up 0.7% following the Fed’s stress test results.

Health care and industrials are both modestly higher by 0.27%, while consumer discretionary and real estate sectors are lagging, with real estate down 0.62% as traders rotate into higher-beta exposure.

What Key Stock Moves Are Traders Watching?

Juniper Networks is up 8.3% after the U.S. Justice Department cleared Hewlett Packard Enterprise’s $14 billion acquisition, with HPE shares climbing 9.6% as traders price in deal synergies.

Oracle has gained 6.4% after projecting its new cloud services agreement will add over $30 billion annually starting in fiscal 2028. In financials, Bank of America is up 0.8%, while JPMorgan Chase and Wells Fargo have added 1.5% and 1.9%, respectively, on optimism around buybacks post-stress tests.

Market Outlook: Can Bulls Maintain Control Into Data and Trade Headlines?

With cash and futures markets trading near record levels, traders remain focused on the July 9 trade deadline, upcoming economic data, and Fed commentary to gauge the durability of this bull run.

Dip buying continues to hold the tape firm for now, but upcoming data will be key in confirming if buyers will stay in control heading into the new quarter.

More Information in our Economic Calendar.