By Alex Financials

Tariff Shock Hits Futures Markets

$SPY futures dropped ~0.3% pre-market, as President Trump announced 30% tariffs on imports from Mexico and the EU, effective August 1.
The announcement renewed global trade concerns following earlier “Liberation Day” tariffs and sent short-term bond yields lower. Markets paused, waiting for key inflation figures (June CPI/PPI) and the kickoff of earnings season. Despite this volatility, benchmarks remain near record highs .

Trade Wars Send Global Ripples

Investors fretted over escalating trade tensions: this weekend’s tariffs extend the April “Liberation Day” moves, stoking fears of further retaliation .
EU and Mexican officials engaged in diplomacy, postponing countermeasures in hopes of resolving issues by August 1.
Safe-haven assets reacted accordingly: gold and silver spiked, and oil edged higher amid fears of fresh U.S.–Russia sanctions.

Select Stocks Shake Off the Pressure

• $FAST (Fastenal): soared ~5.6% following Q2 results of $2.08 b revenue and $0.29 EPS—outpacing expectations and signaling a strong earnings season opener.

• $BA (Boeing): climbed ~1.3–1.4% after a probe cleared design flaws in the recent Air India 787 crash.

• $TSLA (Tesla): +1–1.3%, as Elon Musk confirmed no merger with xAI, but announced shareholders will vote on Tesla investing in xAI, and teased Grok chatbot integration in cars.

• $KVUE (Kenvue): +1.5%, amid a strategic review and CEO change.

Crypto Soars Again

Bitcoin surged to ~$121K–123K, setting fresh all‑time nominal highs over the weekend.
Crypto stocks rallied:

• $MSTR +2‑3%

• $COIN +1–2.5%

• $RIOT, $MARA each +3%+.

The surge is driven by “Crypto Week” in the House, including the GENIUS Act aimed at stablecoin regulation.

Tech & AI Dominate Market Narrative

$NVDA (Nvidia) leads global equity strength, recently hitting a $4 trillion market cap—the first company ever to reach that milestone . Yet, profit-taking dragged it down ~1.3% today despite its dominance in AI chips .

Other “Magnificent Seven” names remain influential: $AAPL, $MSFT, $META, and $AMZN continue contributing ~60+% of S&P 500 gains .

Banks, Inflation, & Earnings on Deck

• Earnings season kicks off with bank giants: JPMorgan, Wells Fargo, Citigroup, Bank of America, Morgan Stanley, and Goldman Sachs reporting this week.

• Inflation data: June CPI and PPI due this week; markets will interpret these as core indicators for the Fed’s rate decisions .

JPMorgan Sees Bullish Money Inflows

JPMorgan projects $500 billion in equity inflows in H2 2025—$360 b from retail, and potentially another $50–100 b from returning foreign investors—supporting a 5–10% rally into year-end.

Overall Outlook

While trade tensions and tariffs are injecting fresh volatility, markets continue holding near peak levels. Tech and crypto are propping them up, even as investors prepare for data‑driven moves with upcoming inflation reports and heavyweight earnings. If interest rates stay steady and earnings beat expectations, the bullish trajectory could persist—especially with projected retail money inflows fueling stocks.