Non-farm payrolls boost rate cut expectations, S&P and Nasdaq hit new highs again, Tesla surged nearly 38% in eight days, NVIDIA cooled down, and US bond yields plummeted

In June, the US added significantly fewer non-farm jobs, with the previous figure being revised downward significantly. The unexpected rise in the unemployment rate highlights a cooling labor market, leading the market to increase the odds of rate cuts in September and December to over 70%. Among US stocks, only small-cap stocks performed poorly, dropping 1% for the week, while other indices posted weekly gains. The Nasdaq and semiconductor indices led the way with weekly gains of over 3.4%. Meta, Netflix, Google, Amazon, Apple, Microsoft, Arm, and TSMC all hit new highs in US stocks, with NVIDIA falling nearly 2% but posting weekly gains. Chinese concept stocks fell 2% but rose nearly 3% for the week, with Nio and XPeng both dropping around 10% on Friday before halving their losses. After the election, UK stocks, bonds, and the pound all rose at one point during the week, as employment data boosted rate cut expectations. The two-year US Treasury yield fell 10 basis points to a three-month low, while global bond yields all fell over 10 basis points for the week. The US dollar fell below 105 after four weeks of gains, the yen rose above 161, and offshore renminbi briefly rose above 7.28. Bitcoin fell by around 10% for the week, marking its deepest decline in a year. Strong demand outlook pushed oil prices up for the fourth consecutive week, with prices hitting a two-month high despite a slight pullback on Friday. Gold futures tested $2400, silver rose over 7% for the week, and London copper rose 3.6% to $10,000 during trading