Daily News 3rd July 26
Daily News
Dow Surges Nearly 600 Points to Record Close on Weak Jobs Data; Nasdaq Slides as Chips Slump; Gold Climbs Toward $4,200; Crude Holds Near $69 on Hormuz Recovery
03 July 2026
Today in Brief
Asia-Pacific markets traded broadly higher, reversing earlier losses driven by a rotation out of technology stocks: Japan's Nikkei 225 rose 1.36% and the Topix 1.17%, South Korea's Kospi jumped 4.65% (though the Kosdaq slipped 1.68%), Australia's ASX 200 added 1.39%, Hong Kong's Hang Seng gained 1.57%, the mainland CSI 300 rose 1.15% and Taiwan's Taiex edged up 0.2%. In the U.S., the Dow surged 594.83 points, or 1.14%, to a record close of 52,900.07 after a weaker-than-expected June nonfarm payrolls report, while the S&P 500 was virtually flat at 7,483.24 and the Nasdaq fell 0.8% to 25,832.67 as semiconductors dropped for a second straight day — the VanEck Semiconductor ETF lost 4.5%, led by Teradyne (-13.6%) and KLA (-11.5%), with Nvidia off 1.4% and Micron down 5.5%. Gold climbed toward $4,200 an ounce as the soft jobs data cut Fed rate-hike bets, while crude held steady around $69, near pre-conflict levels, as shipping through the Strait of Hormuz continued to recover.
In other news: President Trump defended his family's business dealings in an interview, saying the presidency's reach makes almost anything his children do open to scrutiny; U.S. job creation cooled sharply to just 57,000 payrolls in June with unemployment at 4.2%; India's services PMI slipped to a 17-month low of 57.4 as demand and hiring cooled; Bank of England policymaker Catherine Mann signalled she is ready to vote for a rate rise if the inflation outlook darkens; Tesla sank about 7.5% despite record Q2 deliveries of 480,126; Nvidia launched a program letting start-ups swap compute power for a share of future revenue; Apple is reportedly planning at least five new iPhones through 2027 amid a foldable push; and Meta defended WhatsApp usernames after India flagged cybersecurity risks.
Asia markets trade broadly higher, reversing early losses weighed by chip slump
Asia-Pacific markets were broadly higher in afternoon trade, reversing earlier losses weighed by investors rotating out of technology stocks. Japan's benchmark Nikkei 225 extended early gains, rising 1.36%, while the Topix was up 1.17%. South Korea's Kospi advanced 4.65%, and the Kosdaq Index declined 1.68%. Australia's S&P/ASX 200 added 1.39%. Hong Kong's Hang Seng Index gained 1.57%, while the mainland's CSI 300 was up 1.15%. Taiwan's benchmark Taiex inched 0.2% higher.
Dow jumps nearly 600 points to record close; Nasdaq slides as chip stocks suffer
The Dow Jones Industrial Average scaled to record highs on Thursday as investors reacted to a weaker-than-expected nonfarm payrolls report for June, while the Nasdaq Composite languished as semiconductors struggled once again. The 30-stock average added 594.83 points, or 1.14%, for a record close of 52,900.07. The index hit a new all-time intraday high of 52,903.85. The S&P 500 rose less than 1 point to end at 7,483.24, while the Nasdaq dropped 0.8% to 25,832.67. Semiconductors fell for a second day in a row, weighing on the latter two benchmarks. The VanEck Semiconductor (SMH) ETF dropped 4.5%, led by a 13.6% decline in Teradyne and a 11.5% slide for KLA. Nvidia shares also pulled back 1.4%, while Micron shares lost 5.5%.
Gold climbed toward $4,200 an ounce on Friday, extending gains from the previous session
Gold climbed toward $4,200 an ounce on Friday, extending gains from the previous session as weaker-than-expected US jobs data prompted traders to scale back bets on Federal Reserve rate hikes. The US economy added just 57,000 jobs in June, the fewest in four months and well below forecasts of 110,000, while the unemployment rate stood at 4.2%. That followed a report on Wednesday showing private-sector job growth also came in below expectations. Fed funds futures now imply roughly a 50% chance of a September rate hike, down from 67% before the latest employment data. Fed Chair Kevin Warsh also said this week that inflation expectations are moderating while reaffirming the central bank's commitment to maintaining price stability. Meanwhile, gold drew additional support from lower oil prices and easing inflation concerns as commercial shipping through the Strait of Hormuz continued to recover amid progress in US-Iran talks.
Crude oil held steady around $69 per barrel on Friday, near pre-conflict levels
Crude oil held steady around $69 per barrel on Friday, hovering near levels last seen before the Middle East conflict erupted in late February as commercial shipping through the Strait of Hormuz continued to recover amid progress in US-Iran talks. Saudi Arabia's crude exports have rebounded to about 90% of their pre-war levels as more tankers successfully transit the key waterway, signalling that regional oil supply is gradually normalizing. The UAE has also restored its oil exports to pre-war levels by routing tankers through the Strait of Hormuz without drawing attention and relying on a pipeline that bypasses the chokepoint.
President Donald Trump defends business dealings, his children in exclusive interview
President Donald Trump defended his family's business dealings in an interview Thursday with CNBC's Joe Kernen in the Oval Office at the White House. Trump said the presidency is so powerful that almost anything his children do could be considered a conflict. "If they buy an energy efficient truck, they have inside information," Trump said, while arguing that his children face unusually broad scrutiny because presidential policy touches nearly every part of the economy. "I tell my kids, 'stay away,'" Trump said. "But they also have a life. You know, they were doing business long before I ever thought of … running for president."
U.S. job creation cools in June with payrolls growth of just 57,000; unemployment rate at 4.2%
The U.S. economy saw job creation cool sharply heading into the summer, the Bureau of Labor Statistics reported Thursday. Nonfarm payrolls for June increased by a seasonally adjusted 57,000 for the month, slower than the downwardly revised 129,000 added in May and worse than the 115,000 Dow Jones consensus forecast. The unemployment rate, however, dropped to 4.2%, slightly ahead of the 4.1% where it was a year ago. The move lower was largely due to a slump in the labor force participation rate, which dropped 0.3 percentage point to 61.5%, the lowest since March 2021. Household employment plummeted during the month, with 507,000 fewer people reported at work. A broader unemployment measure that includes discouraged workers and those holding part-time jobs for economic reasons declined by 0.2 percentage point to 7.9%.
India's June services growth slips to 17-month low as demand, hiring cool, PMI shows
India's dominant services sector expanded at its slowest pace in 17 months in June as domestic demand weakened sharply and overall new business grew at its slowest rate in over two-and-a-half years, according to a survey that also showed hiring nearly stalling. HSBC's India Services Purchasing Managers' Index (PMI), compiled by S&P Global, fell to 57.4 last month from May's 59.8, but was slightly higher than a preliminary estimate of 57.3. Readings above 50.0 indicate growth in activity. "The loss of momentum points to more challenging market conditions and weaker demand, particularly at home," said Pranjul Bhandari, chief India economist at HSBC. New business — a key gauge of demand — rose at the slowest pace since November 2023. International demand offered a partial offset with new export orders growing at their fastest pace in three months.
Bank of England's Mann says she is ready to raise rates if inflation outlook darkens
Bank of England policymaker Catherine Mann said on Thursday that she would be ready to vote for a rate rise if higher inflation expectations in the wake of the U.S.-Iran war make it less likely that inflation will return to its 2% target. A BoE survey of the public's expectations for inflation hit a record high in May, but last month the BoE trimmed its own forecast for later this year to a little above 3.25% compared with 3.6%-3.7% it predicted in April. "If outturns — especially in expectations — are unfavourable to the underlying inflation process, an activist move can bring inflation expectations and outcomes toward the 2% target," Mann said in a speech text released by the BoE before an event hosted by French bank Natixis.
Tesla stock sinks 7% despite strong deliveries report, posting worst day in nearly a year
Tesla reported vehicle deliveries and production levels for the second quarter that far exceeded Wall Street expectations, as Elon Musk's automaker tries to rebound from consecutive annual declines in auto sales. Total Q2 vehicle deliveries came in at 480,126 and production at 451,758. Analysts were expecting around 406,600 deliveries, according to StreetAccount's consensus, while Tesla's company-compiled consensus published last week was 406,024 deliveries. Shares of Musk's EV maker sank about 7.49% on Thursday despite the strong report. The stock had its worst day in almost a year, and has fallen on each of the past three quarterly delivery reports. In the same period last year, Tesla reported around 384,000 deliveries, and in the first quarter of 2026, the number came in at 358,023.
Nvidia offers start-up customers chance to swap compute power for revenue share
Chipmaker Nvidia says it is entering revenue-sharing agreements with fast-growing start-ups, in a move which will see customers swap access to compute power for a slice of future profits. The artificial intelligence chip leader says its new partnership program, announced Thursday, offers fast-growing AI startups token credits to power their development. Cloud-based AI firms, model builders and other enterprises will share both product and cloud revenue with Nvidia, which is positioning itself as an intermediary helping startups gain direct access to full-stack computing powered by Nvidia chips. In its announcement, Nvidia named two initial Australian firms that will provide the compute power for the scheme.
Apple plans five new iPhones through 2027, eyes Chinese-made chips amid foldable push, reports say
Apple plans to launch at least five new iPhone models between the second half of this year and the first half of 2027, while increasing production plans for foldable devices, as it looks to vie for a greater slice of the market amid an industrywide component supply shortage, Nikkei Asia reported Thursday. The U.S. tech giant has instructed suppliers to prepare to produce about 10 million foldable iPhones this year, up from an earlier forecast of 7 million to 8 million units, the report said, citing people familiar with the matter. Ahead of launching its first-ever foldable device, Apple has already secured components for about 80 million smartphones spread across new models for the second half of 2026, according to Nikkei Asia. Apple's total smartphone production for 2026 is expected to exceed 220 million units, the report said. Its scale and purchasing power in sourcing memory and components remain significantly stronger than most of its peers, even as shortages driven by AI-related demand ripple through the industry.
Meta says WhatsApp usernames are safeguarded against scams after India flags cybersecurity risks
U.S. social media giant Meta Platforms has defended the rollout of usernames on its messaging platform, after the Indian government on Wednesday said the move could lead to a rise in cybercrime. "Users still require a phone number to use WhatsApp, and we've built multiple layers of defence against scams into usernames," a Meta spokesperson told CNBC in an email. The tech company said it will limit the number of new people an account can contact, block repeated attempts to guess usernames, and enable systems to detect and remove activity demonstrating common patterns associated with impersonation or abuse.
