Stock Market Update

[BRIEFING.COM] The major indices have started today's session on a modestly lower note, with pockets of strength in the mega-cap space helping to keep losses for the market cap-weighted indices in check.

NVIDIA (NVDA 143.30, +0.47, +0.33%) and Microsoft (MSFT 475.04, +2.42, +0.51%) are relative strength leaders, which is propping up the information technology sector (+0.4%). 

Separately, Treasury yields are lower. That move will be attributed by some to the relatively pleasing Producer Price Index for May. It is true that yields dipped following that report, yet the bulk of today's gains actually came in the overnight trade, preceding the PPI report. The 2-yr note yield is down three basis points to 3.91%, and the 10-yr note yield is down three basis points to 4.38%.

The overnight gains were wrapped up in some safe-haven interest that was precipitated by worries of a possible conflict between Israel and Iran and trade/tariff angst after President Trump told reporters, according to Bloomberg, that the U.S. could send letters out in about a week and a half to two weeks to different countries setting unilateral tariff rates before the July 9 deadline and that those countries could take the deal or leave it.