The U.S. stock market closed higher on June 27, with major indices posting solid gains amid shifting asset class dynamics and regulatory developments in the housing and cryptocurrency sectors. The spotlight was on Circle (CRCL), whose shares surged nearly 8% after the U.S. housing regulator directed government-sponsored enterprises to prepare for accepting cryptocurrencies as mortgage collateral.
Market Overview: Broad Gains Across Sectors
On Wednesday, U.S. equities advanced across the board. The Dow Jones Industrial Average rose 0.94%, while the Nasdaq Composite gained 0.97%, and the S&P 500 climbed 0.8%. Market sentiment remained stable, reflected in the CBOE Volatility Index (VIX), which dipped 1.01% to 16.59—indicating reduced investor anxiety.
👉 Discover how digital assets are reshaping traditional finance and investment strategies today.
In parallel financial markets:
- The U.S. Dollar Index declined by 0.41% to 97.3.
- The 10-year Treasury yield fell 1.142 basis points to 4.243%, widening its spread over the 2-year note to 52.2 bps.
- Spot gold edged down 0.13% to $3,327.60 per ounce.
- Brent crude oil rose 0.42% to $66.68 per barrel.
These movements suggest a mild risk-on environment, supported by easing inflation expectations and growing institutional interest in alternative asset classes such as digital currencies.
Sector Performance: Energy and Tech Lead Gains
Among the 11 sectors in the S&P 500, nine posted gains:
- Energy: +1.43%
- Communication Services: +1.16%
- Materials: +1.11%
- Industrials: +1.08%
- Utilities: +0.83%
- Semiconductors: +0.78%
- Technology: +0.69%
- Healthcare: +0.24%
Only two sectors declined:
- Real Estate: -0.63%
- Consumer Staples: -0.09%
This broad-based rally indicates improving macroeconomic confidence, particularly in growth-sensitive industries.
Major Tech and Crypto-Related Stocks Rally
Large-cap technology and blockchain-linked companies saw strong performance:
- NVIDIA (NVDA): +0.46%
- Microsoft (MSFT): +1.05%
- Apple (AAPL): -0.28%
- Amazon (AMZN): +2.42%
- Google (GOOGL): +1.71%
- Meta (META): +2.46%
- Broadcom (AVGO): +2.09%
- Tesla (TSLA): -0.54%
- Netflix (NFLX): +2.46%
Crypto-focused firms outperformed:
- Coinbase (COIN): +5.54%
- Robinhood (HOOD): +2.14%
- Circle (CRCL): +7.56%
Notable Movers and Key Developments
Circle’s Surge Tied to Regulatory Shift on Crypto Mortgages
On June 26, the Federal Housing Finance Agency (FHFA) announced that it has directed Fannie Mae and Freddie Mac—commonly known as “the two GSEs” or “two homes”—to begin preparations for recognizing cryptocurrency as an acceptable asset in mortgage underwriting processes.
FHFA Director Pulte stated via social media:
“After thorough analysis and in alignment with the vision of making America the crypto capital of the world, I have ordered Fannie Mae and Freddie Mac to prepare for treating digital assets as qualifying assets in mortgage applications.”
This marks a pivotal moment in the convergence of traditional finance and decentralized technologies, potentially unlocking trillions in liquidity from blockchain-based holdings for homebuyers.
AeroVironment Soars on Strong Earnings and Defense Outlook
AeroVironment (AVAV) jumped 33.01% following its fourth-quarter results for fiscal year 2025:
- Revenue: $275.1 million (+40% YoY), beating estimates of $242 million
- EPS: $1.61 vs. expected $1.40
CNBC’s Jim Cramer likened the company to “Palantir of hardware,” citing NATO’s commitment to raise defense spending to 5% of GDP. As a leading U.S. military drone supplier, AVAV is well-positioned to benefit from increased global defense investments.
Hims & Hers Climbs on Weight-Loss Drug Strategy
Hims & Hers (HIMS) rose 11.76% after CEO Andrew Dudum confirmed the telehealth platform will continue offering affordable compounded versions of Wegovy—a GLP-1 drug used for weight management—amid supply shortages and high costs of branded alternatives.
Chinese ADRs Mixed Amid Regional Demand Concerns
Notable moves among Chinese American Depositary Receipts:
- TSMC: +0.57%
- Alibaba (BABA): -0.54%
- JD.com (JD): +0.97%
- Pinduoduo (PDD): -1.3%
- NIO: -1.44%
- XPeng: -6.51%
- Li Auto (LI): -0.36%
- Futu (FUTU): -0.9%
- Pony.ai (PONY): +11.98%
While some consumer-facing EV makers faced headwinds due to slowing demand, AI and infrastructure plays like Pony.ai showed strength.
Market Drivers and Forward Outlook
Regulatory Catalysts Reshape Financial Infrastructure
The FHFA directive could fundamentally alter how wealth is assessed in lending decisions. If implemented, borrowers may soon use Bitcoin, Ethereum, or stablecoins like USDC (issued by Circle) to qualify for home loans—provided they meet volatility and holding period criteria.
This development aligns with broader efforts to modernize financial infrastructure and integrate digital assets into mainstream economic activity.
Semiconductor Outlook Turns Cautious
Jefferies downgraded both ASML and ASM International, citing concerns over weakening capital expenditures in the semiconductor fabrication sector.
Analyst Janardan Menon noted:
“We forecast wafer fab equipment spending to decline by 1% in 2026, contrary to the market’s expectation of double-digit growth.”
The downgrade reflects caution about cyclical demand, especially in memory and foundry segments, despite continued AI-driven demand for advanced nodes.
FAQs: Understanding Today’s Market Moves
Q: Why did Circle (CRCL) stock surge?
A: CRCL rose over 7% after the U.S. housing regulator directed Fannie Mae and Freddie Mac to prepare for accepting crypto assets—including stablecoins—as part of mortgage qualification assessments.
Q: Can I really use cryptocurrency to buy a house now?
A: Not yet—but this regulatory move signals preparation for future acceptance. Lenders would need frameworks to assess value stability, custody, and tax implications before full implementation.
Q: What does the FHFA decision mean for homeownership?
A: It opens the door for digitally native wealth holders to access traditional credit markets without first liquidating crypto assets—potentially increasing homeownership rates among younger, tech-savvy demographics.
Q: Is the tech rally sustainable?
A: With strong earnings from cloud, AI, and defense tech firms, momentum remains intact—though valuations require monitoring amid rising interest rate uncertainty.
Q: How might crypto-backed mortgages affect financial stability?
A: Regulators will likely impose strict risk controls, including loan-to-value limits and stress tests, to mitigate volatility risks associated with digital assets.
👉 Explore secure, compliant ways to manage digital assets through regulated platforms like OKX.
Final Thoughts
The convergence of policy innovation and market momentum is accelerating the integration of digital assets into core financial systems. From mortgage eligibility to defense spending and telehealth expansion, today’s market action reflects a broader transformation in how value is stored, transferred, and leveraged.
As institutions adapt and regulators clarify frameworks, investors should remain focused on long-term trends—particularly those at the intersection of technology, regulation, and real-world utility.
Core Keywords:
crypto mortgage, Circle CRCL stock, FHFA crypto directive, stablecoin adoption, crypto lending, digital asset regulation, US housing finance