THE WEEK ON WALL STREET
Stocks ended mixed as falling oil prices helped lift the Dow Industrials, while concerns about AI valuation put pressure on the broader market.
The S&P 500 Index fell 1.95 percent while the Nasdaq Composite Index skidded 4.60 percent. The Dow Jones Industrial Average rose 0.60 percent. The MSCI EAFE Index, which tracks developed overseas stock markets, lost 1.33 percent.
FACT OF THE WEEK
On June 29, 2007, Apple released the first iPhone, revolutionizing the mobile phone industry and transforming human communication with its sleek design and pioneering touch interface that allowed users to pinch, zoom and swipe.
MARKET MINUTE
Dow Industrials Take the Lead
The S&P 500 and Nasdaq indexes were under pressure to start the week as the AI trade and tech more broadly came under scrutiny. But the Dow Industrials made a modest gain for the day.
The rotation away from tech continued Tuesday, with large consumer stocks faring particularly well, which minimized the Dow’s decline. The S&P fell about 1.4 percent for the day, while the Nasdaq fell more than 2 percent.
Midweek, stocks were mixed. Healthcare, financial, and industrial sectors carried the Dow to small gains on Wednesday and Thursday. Conversely, continued pressure on tech shares led the S&P and Nasdaq down, albeit at a slower pace than earlier in the week.
Then markets flattened out as the week wrapped up. The slow-but-steady Dow logged its 3rd consecutive weekly gain, while the Nasdaq and S&P 500 were under steady pressure during the week.
Inflation Update
The Fed’s preferred measure of inflation, PCE, or the Personal Consumption Expenditures Index, came in as expected for May. While the core number, which excludes energy, was at its highest level since October 2023. However, investors appeared relieved that there were no surprises.
FINANCIAL STRATEGY OF THE WEEK
Is It Time for a Paycheck Checkup?
Paycheck checkups are a great practice when something happens in your life that may change your tax status, such as getting married or divorced, having a baby, getting a new job, or getting a raise or promotion. You can also adjust your withholding status if you want to change the tax withheld due to other circumstances.
Other factors can also be checked during your paycheck checkup, such as how much you contribute to your health insurance and retirement. These expenses can also impact your tax liability.