U.S. stocks climbed on Wednesday, with the S&P 500 setting fresh record highs after a surprise decline in private payrolls boosted expectations of Federal Reserve rate cuts.

The ADP National Employment Report showed private employers shed 33,000 jobs in June 2025 — the first monthly contraction since March 2023. The sharp miss reinforced market bets that the Fed may ease policy sooner than expected. Economists now expect Friday's official nonfarm payrolls report to show a slowdown from 139,000 to 110,000 jobs.

Rate cut odds rose sharply. Markets now see a 25% chance of a July cut and fully price in a reduction by September. A second cut by December is also fully priced in.

The S&P 500 jumped above 6,200 points, notching new record highs. The Nasdaq 100 rose 0.8% to 22,650, nearing its all-time peak, while the Dow Jones Industrial Average held steady around 44,500. Small-cap stocks outperformed for the second consecutive session.

On the trade front, President Donald Trump announced a new agreement with Vietnam. Under the terms, Vietnam will impose a 20% tariff on all exports to the U.S. and a 40% tariff on transshipped goods, while granting “total access” to U.S. companies seeking to enter its domestic market.

In currency markets, the U.S. dollar rose 0.3%, breaking a long losing streak. Treasury yields climbed, with the 30-year yield rising 8 basis points to 4.85%.

Commodities strengthened across the board. Gold rose 0.5%, silver gained 1.2%, and WTI crude oil surged 1.9%.

Crypto markets rallied, with Bitcoin (CRYPTO: BTC) climbing 3.5% to $109,550.

Wednesday’s Performance In Major U.S. Indices, ETFs

Major Indices	Price	Chg. %
• Russell 2000	2,216.07	0.9%
• Nasdaq 100	22,650	0.8%
• S&P 500	6,222.44	0.4%
• Dow Jones	44,500.39	0.0%

According to Benzinga Pro data:

• The Vanguard S&P 500 ETF (NYSE:VOO) rose 0.3% to $569.44.
• The SPDR Dow Jones Industrial Average (NYSE:DIA) inched 0.1% down to $444.43.
• The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) eased 0.7% to $550.61.
• The iShares Russell 2000 ETF (NYSE:IWM) rose 0.9% to $219.94.
• The Technology Select Sector SPDR Fund (NYSE:XLK) outperformed, up 0.9%; the Health Care Select Sector SPDR Fund (NYSE:XLV) lagged, down 0.8%.

Wednesday’s Stock Movers

• Strategy Inc. (NASDAQ:MSTR) rallied over 5% after expecting about $14 billion in unrealized gains from Bitcoin in the second quarter.
• Adobe Inc. (NASDAQ:ADBE) shares fell 4.1% to $376.11 after Rothschild & Co Redburn downgraded the design software maker from Neutral to Sell and slashed its price target from $420 to $280.
• Quantum computing stocks rallied after Cantor Fitzgerald initiated coverage with Overweight ratings on Rigetti Computing (NASDAQ:RGTI), D-Wave Quantum (NYSE:QBTS), and IonQ Inc. (NYSE:IONQ). Shares rose 8.7%, 0.9%, and 2.4%, respectively.
• Constellation Brands Inc. (NYSE:STZ) rose 4.5% despite posting weaker-than-expected earnings, as the company maintained its full-year 2025 guidance.
• First Solar Inc. (NASDAQ:FSLR) surged 8% to after RBC Capital Markets said the new U.S.-Vietnam trade deal could positively impact the solar manufacturer.
  

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