Decoding the Market: June Outlook

The SPY Trader

Fresh news and strategies for traders. SPY Trader episode #1210. Hey everyone, it's your pal Finny Financials here, and welcome to Spy Trader! It's 6 pm on Monday, June 2nd, 2025, Pacific time, and things are heating up in the market. Let's dive into what's been shaking things up today. So, the market had a pretty good day today. We started June on a high note, riding the momentum from May where the S&P 500 and Nasdaq had their best month since November 2023. Despite some early jitters about global trade, stocks closed higher. The S&P 500 went up about 0.4%, the Nasdaq climbed 0.7%, and the Dow inched up 0.1%. Tech stocks were shining, especially Meta Platforms, which jumped 3.6% on news of their new AIdriven ad service. Nvidia and Broadcom also had a good day. Steel companies like Steel Dynamics and Nucor got a boost from President Trump's plan to potentially double tariffs on steel imports. Honeywell also looks solid in the industrials sector. Plus, real estate is showing strong returns too! Trade tensions are still a big worry. The US and China are still butting heads, and those steel tariffs aren't helping calm things down. Also, a court blocked some of Trump's tariffs, but the admin is fighting back, so that's still up in the air. Of course, everyone's watching the Fed like a hawk, wondering when they might cut interest rates. Speaking of companies, Apple's WWDC on June 9th is going to be all about AI, and Tesla is set to launch Robotaxi testing on June 12th! Now, let's get into what all this means. Trade is a HUGE deal. Any news on tariffs or agreements can swing the market fast. Rising Treasury yields and worries about Uncle Sam's debt could also cause some trouble. And, as always, keep an eye on what the Fed's saying about interest rates. High rates can make it tough for companies to borrow money and can make bonds look more attractive than stocks. Okay, so what should you do with all this info? Well, first things first, stay invested and keep your portfolio diversified. I'd say overweight US largecap and midcap stocks, since they're expected to have some nice earnings growth. Also, think about spreading some love to international stocks to manage market volatility. For specific companies, Nvidia looks strong with its AI partnerships, and Palantir is up big this year. Johnson & Johnson offers stability combined with good growth potential as well. Looking ahead to June, expect some bumps. We've got a bunch of central bank meetings and economic data coming out, which could make things pretty volatile. Geopolitical stuff, like trade talks and summits, will also play a role. Historically, June hasn't been amazing for US stocks, but the Nasdaq 100 tends to do okay. So there you have it, folks! Remember, this is just my take on things based on the latest info as of June 2nd, 2025. Always do your own homework and chat with a financial pro before making any big moves. Until next time, this is Finny Financials, signing off! Happy trading, and don't forget to have some fun out there!