Wall Street came back from the weekend in a buying mood. S&P 500 futures gained 0.3%, Nasdaq futures climbed 0.6%, and Dow futures added around 60 points as traders looked to build on a May rally that already pushed major indexes to fresh all-time highs. The momentum follows a blockbuster month for global stocks. The Nasdaq surged more than 8% in May, the S&P 500 added roughly 5%, and the Dow gained nearly 3%. The calendar flipped to June and the appetite for risk remained just as strong. Futures now point to the S&P 500 opening above the 7,600 mark, extending a rally that has repeatedly shrugged off inflation worries, war headlines, and the occasional reminder that markets do, in fact, move both ways.
Friday’s record closes came after the US and Iran agreed to a 60-day memorandum of understanding to extend the ceasefire, giving investors one less geopolitical fire to worry about. Oil, however, wasn’t entirely convinced the story was over. West Texas Intermediate crude rose 1.8% Sunday to $88.80 a barrel, while Brent crude gained 1.5% to $92.50 after pulling back sharply at the end of last week. Even with the rebound, US crude just posted its steepest monthly decline since April 2025, dropping nearly 17% in May. Lower oil prices tend to ease inflation concerns, which is why equity traders have been treating every barrel sold like a small victory.
The next major test arrives Friday with the nonfarm payrolls report. The employment update is one of Wall Street’s favorite economic scorecards because it helps shape expectations for Federal Reserve policy. In plain English, a strong labor market could keep inflation concerns alive, while softer hiring could strengthen the case for easier monetary policy. Traders will be parsing every number like it’s the season finale of a prestige drama. Asia joined the rally party overnight. South Korea’s benchmark hit a fresh record high, while Japan’s Nikkei 225 finished modestly higher after surrendering an early 1% gain. Meanwhile, shares of SoftBank Group jumped 5%, lifting its market value to roughly $290 billion and helping it overtake Toyota Motor Corporation as Japan’s largest company.