Log in to today's North American session Market wrap for October 2
Towards the end of trading, U.S. stock markets resumed their climb to new highs, especially in technology stocks. This rebound happened even though the Trump administration had created some unease by proposing to cut "thousands" of federal jobs on the second day of the government shutdown.
The Nasdaq 100 index surged to its second consecutive record high, fueled by renewed excitement around artificial intelligence (AI) after a share sale by OpenAI. This transaction made OpenAI the world's most valuable startup, with a staggering $500 billion valuation. The Philadelphia Semiconductor Index also rose by 1.9%, thanks to strong performances from companies like AMD and Intel. The S&P 500 managed to reverse an earlier decline, ending up 0.06%.
By the end of the trading session, investors largely shook off their anxieties about the Trump administration's proposals, which Republicans had hoped would pressure Democrats to vote to reopen the government. President Trump is reportedly meeting with his budget director to discuss these potential permanent job cuts.
Adding to the market's complexities, traders were also dealing with a temporary halt in economic data releases, as Thursday's weekly jobless claims report was delayed due to the shutdown. If the government shutdown continues, this lack of crucial data could make it harder to justify future interest rate cuts by the Federal Reserve.
US stock markets ended the day with the Dow Jones Industrial Average up by 0.17%, the S&P 500 increased by 0.06%, and the Nasdaq Composite gained 0.39%.
The US dollar strengthened against both the euro and the yen, ending its four-day losing streak against the Japanese currency as traders assessed the ongoing impact of the US government shutdown.
The dollar index rose 0.13%. Conversely, the euro fell slightly, the dollar strengthened against the Japanese yen, and the British pound weakened as traders began considering the potential impact of the UK's upcoming November budget on the economy.
Meanwhile, gold prices fell by nearly 1% after retreating from a record high set earlier in the session. This drop was triggered by comments from Dallas Federal Reserve Bank President Lorie Logan, who advised caution regarding any further interest rate cuts.
Finally, oil prices settled down by about 2%, hitting their lowest point in four months, extending their decline for a fourth straight day amid concerns about market oversupply ahead of the OPEC+ meeting this weekend.
Cross-Assets Daily Performance
Cross-Asset Daily Performance, October 2, 2025 – Source: TradingView
A look at Economic data releasing on Friday
Friday promises to be intriguing with markets all set for the NFP release at the beginning of the week. However, uncertainty is rife heading into the day and at this point appears to be adding fuel to rate rate cut expectations which continues to rise.
First though we have the Asian session will bring Japans unemployment rate and a speech by Governor Ueda as markets continue to grapple with the prospect of a BoJ rate hike in October.
In Europe we will get PPI and PMI data as well comments from ECB policymakers, including President Christine Lagarde.
When it comes to the US session, the US government shutdown has complicated matters with mixed messaging around the data filtering through.
According to reports from CNN, BLS September labor data has been collected and is likely ready for release. Despite the ongoing government shutdown, Democratic Senator Elizabeth Warren has requested that the September jobs report be released on Friday, according to an aide.
Furloughed BLS employees informed Warren's office about the status of the data. The CNN report also stated that according to BLS staff and former commissioner Beach, the September data is collected and likely ready. However, a government shutdown halts the scheduled October 3rd release per Labor Department plans.
A lot of mixed messages at this stage makes the next 24 hours even more interesting.
For all market-moving economic releases and events, see the MarketPulse Economic Calendar.
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