Stocks saw mixed results today, with the S&P 500 down -0.07%, the Dow up +0.05%, and the Nasdaq down -0.30%. Positive earnings from Wall Street banks boosted stocks, but chip stocks fell on weak guidance from ASML. President Trump’s possible firing of Fed Chair Powell added uncertainty. June PPI report showed favorable figures. Industrial production and manufacturing reports were slightly better than expected.

President Trump’s potential firing of Fed Chair Powell boosted chances for a rate cut, with futures pricing in a 5% chance at the July FOMC meeting. Bitcoin is up +2.3% after Trump’s support for crypto legislation. Recent trade news includes deals with Indonesia and positive US-China talks. However, tariffs on EU, Mexico, and Canada, as well as copper imports, weigh on markets.

Overseas markets are lower, with the Euro Stoxx 50 down -0.62% and China’s Shanghai Composite down -0.03%. Interest rates are up, with T-notes gaining +9 ticks. Treasury curve reacts to Fed news. European bond yields are mixed. US stock movers include Tesla up +2% and Amazon down -1%. ASML is down -10% on cautious guidance, affecting chip stocks. Cryptocurrency stocks rally on stablecoin legislation support. Johnson & Johnson is up +5% on strong earnings.

Earnings season kicks off with Q2 growth of +2.8% y/y for S&P 500 companies. Focus on retail sales, Philly Fed survey, and housing data this week. Markets await updates on tariffs and trade deals. Bitcoin’s rally driven by hopes for favorable regulation. Federal funds futures prices indicate increased chances for a rate cut. ASML’s guidance affects chip sector sentiment. Johnson & Johnson’s positive results boost healthcare sector.

Disclaimer: The author did not have positions in mentioned securities. Information provided for informational purposes only. Views expressed are solely those of the author.

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