IXIC: Nasdaq Composite Ends Quarter with a Bang (and a Record). What About the Next One?

Tech-dense index logged 33% upside in the second quarter, from its low point. A majestic comeback with perfect timing. Can it pull another strong one?

🔥 Markets Soar to Records

• The Nasdaq Composite index IXIC booked one of its best quarters in recent history. From its April low to the end of June, the tech-heavy index logged a hefty 33% increase, or more than $10 trillion in net new money pouring in.
• The feat couldn’t have come at a better timing — Trump’s tariff announcement dropped early April and crushed stocks left and right (tech companies were hit the most, as usual).
• And that’s how the second quarter kicked off — pain, fear, and selling. Not long after (next day, literally) traders and investors were stacking those shares in boatloads. Buying the dip, probably, never felt better.
• Now the index is at a record high of 20,369.73. Its bigger peer, the S&P 500, is also at a record — 6,204.95, floating near a $53 trillion valuation, nearly double the Nasdaq’s worth.

🔑 Will the Fed Cut in September?

• All leads to the present moment — the Nasdaq Composite is ready to jump into another quarter. The question that lingers on investors’ minds right now is can the index pull another stellar quarterly performance?
• The downside risks are real. For one, traders not happy with the Federal Reserve’s potential moves on monetary policy, such as cutting too late into the year. Fed boss Jay Powell has telegraphed two more cuts this year.
• The broader consensus now points to a cut in September, leapfrogging the late-July meeting. If that’s the case, then there’s a chance that money spinners might be accumulating throughout the quarterly stretch in anticipation of the long-awaited chop.

🛒 Economy, Earnings, and Parties

• Other than that, the success of the Nasdaq this quarter will hinge on a mosaic of data lining up with investor expectations. Watch for the monthly inflation figures (that’s CPI and PCE), GDP growth, and of course, the almighty nonfarm payrolls report (the June number is coming out Thursday).
• In corporate America, it’s the season of earnings and the biggest and brightest out there will be reporting their financials for the spring quarter. As is tradition, the big banks on Wall Street kick it off next week.
• This week is a shorter one —- just 3.5 days with an early Thursday close and a full day off on Friday in celebration of July 4th.