ADDX GO Market Morning Wrap - 11th July

Stock Market  

 U.S. stock markets closed higher on Thursday, July 10, with the S&P 500 and Nasdaq reaching new highs.

 

At the close, the Dow Jones Industrial Average rose 0.43% to 44,650.64 points; the S&P 500 gained 0.27% to 6,280.46 points, surpassing last Thursday’s peak; and the Nasdaq Composite edged up 0.09% to 20,630.66 points, marking a second consecutive record high.

 

Major tech stocks showed mixed results, with Nvidia’s market cap closing above $4 trillion for the first time. Tesla surged 4.73%, with CEO Elon Musk hinting that its autonomous taxi service could expand to the San Francisco Bay Area within “one to two months.”

Currently, U.S. markets are navigating a web of conflicting risks, including tariffs, fiscal policy, and Federal Reserve outlooks.

 

Professional trader Tom Essaye noted that with the tariff scope unclear before August 1, a rate cut this month is “impossible,” and the delay also dims prospects for action in September. St. Louis Fed President Alberto Musalem warned of upside inflation risks but said it’s too early to assess lasting price impacts.

 

San Francisco Fed’s Mary Daly suggested tariffs’ price effects might be less than expected. Horizon Investment’s Mike Dickson remarked that despite tariff uncertainties, U.S. stocks remaining above year-start levels is “almost unbelievable,” attributing it to market numbness to erratic swings.

 

At the close, the “Fear & Greed Index” edged above 75 into the “extreme greed” zone, signaling traders’ disregard for trade worries.

Global Hotspots  

Brazilian President: To Negotiate Tariffs with U.S., Will Retaliate if Unsuccessful  

 

According to News, following the U.S. announcement of a 50% tariff on Brazilian goods effective August 1, President Lula stated on July 10 that Brazil will negotiate with the U.S., resorting to reciprocal measures if talks fail.  

 

Trump Pushes Fed Chair Powell for Rate Cut Two Days in a Row  

 

Trump posted on Truth Social again, urging Federal Reserve Chair Jerome Powell to lower rates, a day after criticizing the Fed’s policy on September 9, citing a $360 billion annual refinancing cost per percentage point from rates 3 points too high.  

 

Poland: Europe to Ban Russian and Belarusian Fertilizer Imports by 2028  

 

On July 10, Poland’s Deputy Minister of Economic Development and Technology, Michal Baranowski, announced that EU tariff policies will end imports of Russian and Belarusian fertilizers by July 1, 2028, calling it a key achievement during Poland’s EU presidency.  

 

Pentagon to Invest in Rare Earth Firm, U.S. Rare Earth Stocks Surge!  

 

MP Materials revealed a multi-billion-dollar deal with the U.S. Defense Department to build a rare earth magnet factory, accelerating the U.S. supply chain, boosting mining stocks.  

 

Mining and Healthcare Lift UK Index to Record High  

 

Driven by mining and healthcare stocks, the UK’s FTSE 100 rose 1.23% to 8,975.66 points on July 10, exceeding its June 12 peak, up 9.82% year-to-date, poised for a fifth straight year of gains.

Company News  

Delta Air Lines Restores Full-Year Guidance, Q2 Profit Up 63%  

 

Delta Air Lines reported a Q2 2025 net profit of $2.13 billion, up 63% year-over-year, and reinstated its full-year guidance with earnings per share of $5.25 to $6.25 and free cash flow of $30 to $40 billion.  

 

Ferrero Agrees to Acquire WK Kellogg Co for $3.1 Billion  

 

Ferrero Group announced on Thursday a $3.1 billion cash deal to buy WK Kellogg Co at $23 per share, pending shareholder and regulatory approval, expected to close this year, with WK Kellogg shares up 30.63%.  

 

Ant International Denies Circle Stablecoin Partnership Rumors  

 

Ant International refuted media reports of a collaboration with Circle stablecoin, stating no such plans exist.

Forex & Commodities  

Oil prices fell, with NYMEX August light crude futures dropping $1.81 to $66.57 per barrel (down 2.65%), and Brent September futures falling $1.55 to $68.64 per barrel (down 2.21%).

 

COMEX gold futures rose $4.70, or 0.14%, to $3,325.7 per ounce.

 

The U.S. Dollar Index against six major currencies rose 0.1%, closing at 97.652.

Key Events  

Losing Its Safe-Haven Halo? Goldman Warns Dollar May Revert to High-Risk Currency Traits  

 

Despite recent stability, Goldman Sachs analysts Karen Reichgott Fishman and Lexi Kanter caution that the dollar could soon trade like a high-risk currency due to policy uncertainties around tariffs, Fed independence, fiscal risks, and global diversification trends.

Cryptocurrency  

Major digital assets rose late Thursday.

 

Bitcoin gained 1.4% to $113,243, with 24-hour volume up 30% to $64.8 billion.

 

Ethereum (ETH-USD) rose 2% to $2,813. XRP (XRP-USD) gained 3.3%, BNB (BNB-USD) climbed 1.1%, Solana (SOL-USD) rose 1.4%, Dogecoin (DOGE-USD) advanced 5.4%, and Cardano (ADA-USD) climbed 5.1%.

 

The crypto market’s total value rose 2% to $3.53 trillion, with volume up 33.6% to $154.01 billion.

Key Events  

Institutional Boost Pushes Bitcoin to New Highs, Options Market Bets on $120,000 as New Baseline  

 

As Bitcoin hit a second consecutive record above $116,000, options traders on Deribit are eyeing higher targets.

 

Open interest concentrates on $115,000 and $120,000 call options, with September and December contracts focusing on $140,000 to $150,000. Coinglass data shows $543 million in short liquidations in the past hour and $7.62 billion in 12 hours after breaking $116,000, driven by institutional demand.

 

This rally, following Trump’s re-election, signals a new era of regulatory ease, with Congress designating July 14-18 as “Cryptocurrency Week.” Amid rising risk assets and stock highs, Bitcoin is up about 25% year-to-date.