Stocks edge up, dollar wobbles as investors await Trump's tax bill

Al Etihad

2 days ago

1 July 2025 12:29
TOKYO/LONDON (REUTERS)Global shares edged up and the dollar traded near multi-year lows on Tuesday, having wrapped up its worst first-half performance since the 1970s, ahead of a vote over US President Donald Trump's landmark tax and spending legislation.Global share markets rallied to an intraday record the previous day, thanks to optimism over trade. But a marathon debate in the Senate over Trump's bill - estimated to add $3.3 trillion to the United States' debt pile - weighed on sentiment.European shares, which ended June with a roughly 6.5% year-to-date gain, were up 0.1% on the day.A vote on the sweeping tax-cut and spending bill had been expected during the Asian trading day on Tuesday, but debate raged on over a long series of amendments by Republicans and the minority Democrats.Trump wants the bill passed before the July 4 Independence Day holiday. As global trade negotiators scramble to get deals done before Trump's tariff deadlines, investors are also anticipating key US labour market data on Thursday.As for the dollar, it lost ground against the Japanese currency, dropping 0.6% to 143.21 yen and was little changed against the euro at $1.18, around its weakest since September 2021.The US currency lost more than 10% in value against a basket of six others in the first six months of this year, marking its worst such performance in at least 50 years.
Brent crude futures fell 0.3% to $66.50 a barrel, weighed down by expectations of an OPEC+ output hike in August. Spot gold rose 1% to $3,337 an ounce.