ADDX GO Market Morning Wrap - 15th July

Stock Market  

Despite President Trump’s barrage of tariff threats against more nations last week, his open stance on negotiations Monday—along with market predictions based on his behavior—kept U.S. stocks near record highs with modest gains.

 

At close, the S&P 500 rose 0.14% to 6,268.56, the Nasdaq Composite gained 0.27% to 20,640.33, and the Dow Jones Industrial Average climbed 0.2% to 44,459.65.  

 

With “Cryptocurrency Week” kicking off in Congress this week, featuring debates on stablecoin bills, Bitcoin hit a new high Monday, boosting crypto-related stocks. Circle surged 9.27%, Canaan Inc. soared 34.72%, Strategy rose 3.78%, and SharpLink Gaming, known for hoarding Ethereum, jumped 10.30%. 

On July 14, Trump signaled U.S. willingness to negotiate tariffs with various countries, including Europe, which plans to discuss trade issues. He also claimed some trade deals are already secured.  

 

The market’s muted volatility partly stems from key events Tuesday. The spotlight’s on June CPI data—will it show the Fed’s feared “significant inflation spike”?

 

Investors also await the Q2 earnings season kickoff, offering a glimpse into the tariff-hit economy.  

 

Goldman expects heightened volatility on earnings days this quarter, as issues like tariffs, AI, rates, and policy are likely to create winners and losers rather than broad moves. Volatility could hit 3.5 times non-earnings days, up from 2.5 times last cycle.  

Global Hotspots  

EU Prepares $84B Retaliatory Tariffs on U.S. Goods  

 

EU Trade Commissioner Valdis Dombrovskis said on July 14 that if U.S.-EU talks fail, the EU will slap extra tariffs on $84 billion (720 billion euros) of U.S. imports.  

 

Cleveland Fed’s Mester: No Urgent Need to Cut Rates, Watchful Approach Best  

 

On Monday, Cleveland Fed President Beth Mester said high inflation and uncertain tariff impacts from Trump mean there’s no rush to cut rates.  

 

Super Project ‘Hits Brakes’? Saudi Reassesses ‘The Line’ Plan  

 

Reports suggest Saudi Arabia has asked consultancies to review its “The Line” project under NEOM, assessing spending priorities. This 170km-long, 200m-wide city aims to house 9 million on 34 square kilometers using 100% renewable energy.  

Company News  

Zuckerberg Doubles Down on $100B+ AI Investment  

 

Meta CEO Mark Zuckerberg boasted Monday of investing “hundreds of billions” in mega AI data centers to push “superintelligence.”

 

He posted about building “gigawatt-scale” clusters, including the 2026-launched Prometheus and the expanding Hyperion, set to hit 5 gigawatts in years.  $META 

 

GM, LG to Upgrade U.S. Plant for LFP Batteries  

 

Ultium Cells, a GM-LG joint venture, announced Monday it’s upgrading its Spring Hill, Tennessee plant to produce low-cost LFP EV batteries, with commercial production slated for 2027.  

 

Canadian Tungsten Miner Almonty Soars on Nasdaq Debut, Secures Defense Deal  

 

Almonty Industries Inc.’s Nasdaq IPO soared on day one.

 

Initially targeting $750 million, it raised $900 million due to strong demand, oversubscribed several times, with the top 10 investors taking 70% and top 20 grabbing 90%.

 

Its Sangdong mine in Korea and Portuguese operation back a 15-year tungsten supply deal with an unnamed U.S. defense firm.  

Forex & Commodities  

Oil prices dipped.

 

WTI crude futures settled down $1.47 to $66.98 per barrel (down 2.15%), and Brent fell $1.15 to $69.21 (down 1.63%).

 

COMEX gold futures dropped $4.90 to $3,359.1 per ounce (down 0.15%). The U.S. Dollar Index rose 0.24% to 98.11, with most non-dollar currencies weakening.  

Key Events  

HSBC Warns: Dollar Sell-Off May Be a ‘Reverse Bubble,’ Downtrend Nearing End 

 

HSBC strategists led by Paul Mackel caution that excessive dollar selling shows bubble-like traits, akin to its prior strength bubble.

 

They warn this “reverse bubble” signals a potential bottom, with traders over-extrapolating the year’s decline.  

Cryptocurrency  

Major digital assets were mixed Monday.

 

Bitcoin gained 0.7% to $119,969. Ethereum (ETH-USD) rose 0.2% to $3,002. XRP (XRP-USD) added 2.1%, BNB (BNB-USD) lost 0.4%, and Solana (SOL-USD) rose 0.4%.

 

Dogecoin (DOGE-USD) fell 2.1%, and Cardano (ADA-USD) dropped 2.5%. The crypto market’s total value rose 0.3% to $3.74 trillion, with volume up 152.9% to $296.72 billion.  

Key Events  

U.S. Banking Regulators Issue Blueprint for Crypto Assets  

 

Regulators offered a roadmap for traditional banks entering crypto, noting those planning custody services must adapt to market evolution and tech risks.

 

Bitcoin hit $123,000 intraday Monday, setting a new high before retreating below $120,000.