Week (June 2-6, 2025) in Review: Financial Leaders

Key Points

• Equities: The S&P 500 (SPY) gained approximately 1.5% for the week, closing near 6,010 after touching 6,000 for the first time since late February. The Nasdaq Composite (QQQ) extended its 10% May gain with further increases, driven by tech giants like Nvidia (NVDA) and Microsoft (MSFT).
• Currencies: The euro (EUR/USD) showed volatility, initially rising but later sliding as Eurozone inflation hit a 7-month low of 1.9%, followed by a boost from an ECB rate cut. The British pound (GBP/USD) held near a 3-year high, while the U.S. dollar (USD/JPY) reclaimed 144.00 against the yen.
• Commodities: Gold (XAU/USD) prices remained stable near $3,400 amid U.S.-China tariff uncertainties.
• Cryptocurrencies: Bitcoin (BTC.X) cooled to around $105,000 after a historic May rally.
• Economic Indicators: U.S. job growth slowed to 139,000 in May, above the estimated 125,000, with markets cheering the balanced figures.
• Corporate Highlights: Nvidia (NVDA) briefly overtook Microsoft (MSFT) as the world’s most valuable company. Meta Platforms (META), Spotify (SPOT), Tesla (TSLA), and Circle (CRCL) also made significant moves.

Overview

The week of June 2-6, 2025, saw financial markets demonstrate resilience amid U.S.-China trade tensions and key economic data releases. The S&P 500 (SPY) and Nasdaq Composite (QQQ) built on their strong May performances, with the S&P 500 touching the 6,000 level for the first time since late February. Technology stocks, particularly Nvidia (NVDA) and Microsoft (MSFT), drove gains, with a high-profile battle for the top market cap spot. Currency markets were volatile, with the euro (EUR/USD) reacting to Eurozone inflation and ECB policy, while the British pound (GBP/USD) remained strong. Gold (XAU/USD) held steady near $3,400, and Bitcoin (BTC.X) consolidated after a record May. The U.S. Nonfarm Payrolls (NFP) report, showing 139,000 new jobs in May, provided a positive end to the week, signaling a cautious but resilient economy.

Financial Markets Weekly Recap

Equities

• S&P 500 (SPY): After a 6% rise in May—its best since 1990—the S&P 500 started June with a 0.41% gain on June 2, closing at 5,935.94, despite concerns over U.S.-China tariffs. By June 5, it closed at 5,939.30, and on June 6, it gained 1.2%, closing near 6,010 after touching 6,000, driven by a strong NFP report.
• Nasdaq Composite (QQQ): Following a 10% gain in May, its best month since November 2023, the Nasdaq saw futures tumble 0.8% pre-market on June 2. However, it closed up 0.67% at 19,242.61. On June 3, it jumped 0.8%, led by Nvidia (NVDA), and rallied 1.3% on June 6 post-NFP, though exact weekly performance is unclear.
• Individual Stocks:
  • Nvidia (NVDA): Briefly surpassed Microsoft (MSFT) as the world’s most valuable company, with a market cap exceeding Microsoft’s by $10 billion, driven by its AI leadership.
  • Microsoft (MSFT): Reclaimed the top spot with a new record market cap of $3.5 trillion, reflecting strong investor confidence in its tech dominance.
  • Meta Platforms (META): Rallied on reports that it will fully automate its ad creation cycle using AI, boosting investor optimism.
  • Spotify (SPOT): Hit a record high above $700, up 50% year-to-date, driven by strong growth metrics.
  • Tesla (TSLA): Lost significant market value after tensions between CEO Elon Musk and President Donald Trump escalated, impacting investor sentiment.
  • Circle (CRCL): Skyrocketed 168% in its trading debut, as investors embraced the mainstream adoption of cryptocurrency.

Currencies

• EUR/USD (EUR/USD): The euro initially gained against the dollar but slid as Eurozone inflation fell to a 7-month low of 1.9%, increasing expectations for rate cuts. The ECB’s subsequent rate cut to a two-year low later in the week boosted the euro.
• GBP/USD (GBP/USD): Sterling remained strong near a 3-year high, supported by anticipation of U.S. economic data releases.
• USD/JPY (USD/JPY): The dollar reclaimed levels above 144.00 against the yen, as traders dismissed Bank of Japan Governor Kazuo Ueda’s rate policy signals.

Commodities

• Gold (XAU/USD): Prices stabilized near $3,400, as investors balanced U.S.-China tariff uncertainties with broader risk-on sentiment.

Cryptocurrencies

• Bitcoin (BTC.X): Cooled at the start of June, trading near $105,000 after a historic May rally, reflecting consolidation in the crypto market.

Economic Indicators

• U.S. Nonfarm Payrolls (NFP): Job growth slowed to 139,000 in May, above the Dow Jones estimate of 125,000 but below April’s revised 147,000. Markets reacted positively to the “Goldilocks” figures, which balanced growth without stoking inflation fears.

Market Performance Summary

Summary

The week of June 2-6, 2025, highlighted the strength of U.S. equities, with the S&P 500 (SPY) and Nasdaq Composite (QQQ) posting gains despite initial U.S.-China tariff concerns. The technology sector, led by Nvidia (NVDA) and Microsoft (MSFT), drove market performance, with notable movements in Meta Platforms (META), Spotify (SPOT), Tesla (TSLA), and Circle (CRCL). Currency markets saw volatility, with the euro (EUR/USD) reacting to ECB policy and the pound (GBP/USD) holding firm. Gold (XAU/USD) remained stable, and Bitcoin (BTC/USD) consolidated. The May NFP report, showing 139,000 new jobs, provided a positive end to the week, reinforcing cautious optimism about the U.S. economy.

Looking Ahead

Investors will closely monitor U.S.-China trade developments, particularly after recent tariff tensions. Upcoming corporate earnings, especially from tech giants, and central bank decisions, including potential Federal Reserve rate signals, will shape market sentiment. Key economic indicators, such as inflation and consumer spending data, will provide further insight into global economic health.

 Disclaimers and Limitations