NASS1001. Nasdaq 100 (NASS100) Performance
As of mid-June 2025, the Nasdaq 100 index is around 21,600 to 21,700 points, showing moderate volatility with recent declines amid geopolitical tensions and trade concerns.
Technology stocks, including semiconductor giants like NVIDIA and Broadcom, remain influential on Nasdaq movements.
Market sentiment is cautious due to escalating Middle East conflicts and US-China trade uncertainties.
2. US 10-Year Treasury Yield (US10Y)
The US 10-year Treasury yield is hovering around 4.3% to 4.4% in June 2025.
Yields have edged up recently, reflecting inflation expectations and Federal Reserve monetary policy stance.
Rising yields often pressure growth stocks, including tech-heavy Nasdaq components, due to higher discount rates on future earnings.
3. US Dollar Index (DXY) Dynamics
The DXY has been relatively stable but showed some weakening in 2025 despite rising Treasury yields, reflecting complex market dynamics including geopolitical risks and shifts in capital flows.
A weaker dollar can support Nasdaq by boosting earnings of multinational tech firms through favorable currency translation, while a stronger dollar can weigh on exports and earnings.
4. Interplay Between NASS100, US10Y, and DXY
Rising US10Y yields tend to put downward pressure on Nasdaq 100 due to increased discount rates and borrowing costs for growth companies.
DXY movements influence Nasdaq via currency effects on multinational revenues and investor risk appetite.
Recent geopolitical tensions and trade uncertainties have increased market volatility, occasionally decoupling typical correlations.
Softer inflation and weak labor data have temporarily boosted investor sentiment, supporting modest Nasdaq gains despite yield pressures.
Conclusion
the Nasdaq 100 faces pressure from rising US 10-year Treasury yields, which increase discount rates on tech stocks, while geopolitical tensions and trade uncertainties add volatility. The US Dollar Index’s relative weakness provides some support to Nasdaq earnings, partially offsetting yield headwinds. Market participants remain cautious, balancing inflation data, Fed policy, and global risks in their outlook.
#NASS100
