Global markets are showing positive momentum in early trading, with S&P 500 futures hitting a new record, nearing the historic 6300 milestone. European futures are also up, with Eurostoxx 50 futures gaining 0.3%, DAX futures rising 0.2%, and FTSE futures increasing by 0.3%. Asian markets are following suit, as Indonesia stocks climbed 0.8% to 7,154.008 points in early trade, and Hong Kong's Hang Seng Tech Index rose over 2%.
Meanwhile, China's economic performance in the first half of the year remains stable, showing steady progress, according to a spokesperson for the China Stats Bureau. The spokesperson highlighted domestic demand as a key driver of economic growth and GDP expansion. China's Q2 GDP grew by 5.2% year-over-year, slightly above estimates, bringing the year-to-date GDP growth to 5.3%. Industrial production also saw robust growth in June, up 6.8% year-over-year, exceeding expectations.
However, the economic picture is not without its challenges. Retail sales in June grew by 4.8% year-over-year, missing estimates and slowing from the previous month. Fixed asset investment outside rural areas grew by 2.8% year-to-date, falling short of projections. The property sector continues to be a drag, with property investment year-to-date declining by 11.2% and residential property sales year-to-date down 5.2%. The China Stats Bureau spokesperson acknowledged that structural contradictions within the economy have not been fundamentally addressed. The surveyed jobless rate in June remained stable at 5.0%.
Adding to China's challenges, the Emergency Ministry reported significant impacts from natural disasters in the first half of the year. These disasters affected 25.04 million people, resulting in 307 dead or missing, and damaged 2.18 million hectares of crops. Direct economic losses from these events totaled 54.11 billion Yuan.
In geopolitical news, the German Defense Minister announced that Germany is seeking to purchase the American "Typhoon" missile system. This statement indicates potential new defense contracts and further collaboration between Germany and the United States.
On the legal front in the United States, former Trump lawyer Alan Dershowitz stated that the Jeffrey Epstein affidavits he reviewed do not implicate any public figures currently in office, though some former officeholders are named. Separately, a U.S. Appeals Court has ordered the Trump Administration to release Department of Government Efficiency records to a watchdog group.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.