Nancy Pelosi's husband just made a big bet on AI, buying millions in Broadcom options and Nvidia stock while dumping Tesla and Visa shares, although he missed the recent rally. This moves towards AI fits with market trends but has reiterated debate about whether politicians should trade stocks at all. Given Pelosi's prominence and past performance, people are watching her finances closely, with one X’s user reportedly making 71% ytd just by copying her trade. The whole situation has even inspired ETFs that copy congressional trades, showing just how much attention these political stock moves get. It's a reminder of the tricky mix of politics and personal investing that keeps making headlines.

EQUITY

The S&P 500 and Nasdaq reached record highs after a record close in a relentless rally as the VIX is barely reacting. Softening labour market conditions and contracting service PMI support dovish narrative, with the September rate cut expectation to over 70%. Japanese markets were particularly strong, with the Nikkei 225 and TOPIX approaching record highs, tracking Wall Street gains.

GOLD

Gold prices basically touched $2,365 per ounce before reversing, approaching a four-week high. This rally was driven by fresh US economic data that strengthened interest rate cuts as the dollar pushed lower. Key factors included a sharp contraction in US services activity, slower private payroll growth, and rising ongoing jobless claims. Short term outlooks are negative as prices reach the upper bound of the consolidation phase.

OIL

Oil prices fell from late New York into the Asian session after U.S. employment and business data came in below expectations. However, these weaker economic data could support arguments for the Federal Reserve to cut interest rates, which might boost oil demand in the long term. The EIA reported a significant stock drawdown of 12.157 million barrels in oil stockpiles, far exceeding projections. Russia's oil revenues for June rose nearly 50% compared to the previous year, raising the risk of a supply glut as sanctioned oil leaks into the main market.

CURRENCY

The dollar slipped on Thursday, pointing towards slowing growth and increasing expectations of a rate cut in September. The euro and sterling consolidated off three-week highs against the greenback, with some analysts suggesting that a Labour Party victory could create a more favourable economic environment. Traders are now focusing on Friday's U.S. nonfarm payrolls report for insights into the labour market.