Daily Market Report – July 1, 2026
Markets
The stock markets entered the second half of the year cautiously. The S&P 500 (SPX) lost 0.22 percent, the Euro Stoxx 50 (SX5E) 0.72 percent, and the STOXX Europe 600 (SXXP) 0.38 percent. The yield on ten-year US Treasury bonds (US10Y) rose to 4.47 percent, while the German yield (DE10Y) increased to 2.94 percent.
Companies & Reporting Season
Meta (META) is reportedly working on a cloud business to sell excess AI computing capacity, according to Reuters/Bloomberg. This is more than just balance sheet cosmetics: Meta is trying to turn massive AI investments into recurring infrastructure revenues. This serves as a warning for smaller neocloud providers.
Schneider Electric (SU) acquires Cognite for 3.1 billion dollars. The purchase demonstrates where industrial corporations are heading: data, AI, and automation will become core components of value creation. The market will now examine less the story and more the price and the integration.
Alcoa (AA) is acquiring aluminum activities from South32 (S32). For Alcoa, this is a step towards greater vertical integration; South32 is sharpening its profile towards copper and base metals. In a cyclical commodities market, this is bold but strategically understandable.
Macroeconomics
Eurozone inflation fell in June to 2.8 percent after 3.2 percent in May. Energy remained the strongest price driver at 8.7 percent, while services were at 3.2 percent. For the ECB, this is relief, but not a victory: The core components remain too high for monetary policy complacency.
The ISM Manufacturing PMI – ECONOMICS:USMPMI fell in June to 53.3 from 54.0 points. New orders remained solid at 56.0, while employment was just below the expansion threshold at 49.7. The US industry continues to grow, but not with the carefree attitude that stock markets like to price in.
The ADP Employment Report – ECONOMICS:USADP showed a private job growth of 98,000 for June. This indicates a cooling, not a collapse. For the Fed, the situation remains uncomfortable: too weak for euphoria, too strong for quick easing.