Daily summary: Disappointing data from the US labor market; OIL.WTI rebounds 2.5%

9:01 pm 2 July 2025

  • The situation on Wall Street is improving despite a negative start. The US500 is reaching new historic highs, gaining 0.3%. The US100 is gaining 0.6%, but has not yet reached its highest levels in history.
  • The ADP report showed a decline in employment of 33,000, compared to expectations of an increase of 100,000. 
  • After clearly weak data from the US, expectations for interest rate cuts are growing. During his comments in Sintra at the ECB Economic Forum, Powell signaled that a rate move could occur at any meeting. The market is currently pricing in more than two interest rate cuts this year.
  • Data on US oil inventories showed a surprising increase of 3.84 million barrels per day, compared to expectations of a decline of 2.2 million barrels and a previous decline of nearly 6 million barrels. The reason for the increase in inventories may be a decline in exports to their lowest level since mid-2023.
  • Oil reacted with a limited increase, but we are now seeing a rebound of almost 2.5%. The reason for the increase may be optimism about a potential trade agreement between the US and Vietnam.
  • Under the agreement, according to Donald Trump, Vietnam will pay the US a 20% tariff on all goods shipped to the US and a 40% tariff on all transshipments, primarily from China. In return, Vietnam is to provide the US with full access to its trade markets (enabling zero-tariff trade of US products in Vietnam).
  • Meanwhile, Hanoi is to confirm the long-discussed purchase of 50 Boeing aircraft worth $8 billion and existing agreements to purchase $2.9 billion worth of US agricultural products, according to the statement.
  • Microsoft has announced further planned layoffs of 4% of its entire workforce, which is related to cost optimization in the face of large expenditures associated with the expansion of AI infrastructure. Microsoft has also announced its intention to reduce its dependence on Nvidia chips. 
  • According to the WSJ, Ripple is applying for a US banking license, following in the footsteps of other cryptocurrency companies towards traditional financial services.
  • Sentiment in the broader crypto market is very good today. Bitcoin is up 3%, while Ethereum is up 6.6%.

The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.

Share:
Back

Join over 1 600 000 XTB Group Clients from around the world.