Opening Comment — Monday, July 06, 2026
DJIA: 52,900.07, up 594.83
S&P 500: 7,483.24, up 0.01
NASDAQ: 25,832.67, down 207.36
Stocks higher ahead of PMI data
Stock futures are mostly higher Monday morning ahead of today’s June services purchasing managers’ index (PMI) data release from the Institute for Supply Management (ISM) and a finalized reading from S&P Global. Investors will also be looking forward to this week’s release of the May trade balance and the Federal Open Market Committee (FOMC) meeting minutes, scheduled for Tuesday and Wednesday, respectively. As of 7:15 AM ET, the Dow is little changed, while the S&P 500 is up 0.4%. The Nasdaq 100 is increasing 1.0% relative to fair value on the GLOBEX.
U.S. equities were mixed on Thursday as nonfarm payrolls for June fell short of expectations, rising by just 57,000, while manufacturing payrolls met forecasts with a modest increase of 3,000. Both the unemployment rate and the labor force participation rate edged lower, falling to 4.2% and 61.5%, respectively. Average hourly earnings rose 0.3% month-over-month (MOM) and 3.5% year-over-year (YOY), in line with projections. Meanwhile, both initial jobless claims and continuing claims for the week prior came in lower than projected. May’s factory orders registered smaller-than-expected decline of 1.3% MOM. The Dow was up 1.1% and reached a new record closing level of 52900.07, while the tech-heavy Nasdaq Composite fell 0.8%. The S&P 500 was little changed with eight of 11 sectors finishing in positive territory. The Health Care sector was the top performer, rising 2.7%, while the Information Technology sector was the bottom performer, falling 1.5%.
On the data front, S&P Global’s finalized services and composite PMIs for June are expected to come in at 51.3 and 52.2, respectively, both unchanged from the prior reading. The ISM’s June services PMI and the prices paid component are expected to register 54.0 and 67.5, respectively, versus the prior month’s 54.5 and 71.3, respectively.
Across the pond, European stocks are mixed in mid-day trading as the eurozone’s May Producer Price Index came in as expected at 0.2% MOM, while the YOY measure accelerated to 5.9%, outpacing expectations following upward revisions to the prior reading. The region’s May retail sales rose 0.2% MOM and 1.6% YOY. The Sentix Investor Confidence Index for the eurozone saw a stronger-than-expected improvement, climbing to negative 3.1 from negative 13.4 in July. The U.K.’s construction PMI for June posted a smaller-than-expected increase, while Germany’s June construction PMI also improved, reaching 38.4 and 44.8, respectively. German factory orders increased by 1.9% MOM and 6.2% YOY in May, surpassing forecasts. Meanwhile, France’s industrial production declined 0.1% MOM and increased 3.2% YOY in May.
Overnight in Asia, stocks were mixed following China’s private services PMI falling less than expected to 54.1 in June, while the composite PMI also moved lower to 53.6. Australia’s Melbourne Institute inflation gauge recorded a decrease of 0.4% MOM and increase of 3.9% YOY in June. Australia’s final June services and composite PMIs were revised upward, to 50.5 and 50.4, respectively. Meanwhile, Japan’s final June services and composite PMIs were also revised higher to 52.2 and 52.8, respectively.
In FOREX trading, the U.S. dollar is higher ahead of today’s U.S PMI data.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 0.5% lower at $68.37/barrel after the Organization of the Petroleum Exporting Countries and its allies (OPEC+) decided to increase production quotas in the near term.
In the metals complex, gold is 0.5% lower at $4,154.20/ounce following a strengthening U.S. dollar.