Tonight’s Highlights | Holding Breath for Jackson Hole, Tech Stocks Maintain Pullback Pace  

After two days of volatility in major tech stocks, U.S. stock futures continued to oscillate downward in pre-market trading on Thursday, reflecting a cautious market stance ahead of Federal Reserve Chair Powell’s pivotal speech on Friday.  

 

 

As of this writing, Nasdaq 100 futures are down 0.38%, S&P 500 futures are down 0.37%, and Dow futures are down 0.35%.

 

Interestingly, all eight of the largest S&P 500 companies by market cap—including the “Magnificent Seven” and Broadcom—declined yesterday, and these stocks appear to remain sluggish in Thursday’s pre-market session.  

 

For U.S. stock bulls, the biggest concern right now is Powell’s speech tomorrow.

 

In the Federal Open Market Committee’s July meeting minutes released early today, most officials expressed greater concern about tariff-driven inflation risks, aligning with Powell’s hawkish remarks during his press conference.  

 

Meanwhile, market anxiety is also tied to significant pullbacks in some popular stocks.  

 

The Nasdaq 100 index is currently down about 2.5% from its historical high a week ago, but AI superstar Palantir has dropped 17% over six trading days, evaporating over $70 billion in market value. Bitcoin treasury stock veteran Strategy has fallen 12% since the index’s all-time high.  

 

 

Compared to its historical high last Tuesday, Nvidia has pulled back less than 5%, but as the “global stock king” with a $4.3 trillion market cap, its retracement movements still carry significant influence. As the next major focus post-Powell’s speech, the company will release its latest earnings report after the market closes next Wednesday.  

Other Market News  

U.S. and EU Issue Joint Statement: EU to Purchase U.S. Energy, AI Chips, and Defense Equipment  

 

According to News, the White House released a joint statement with the EU, announcing agreement on a trade deal framework, with the EU also issuing a corresponding statement.  

 

The statement specifies that the EU will purchase U.S. energy products, including liquefied natural gas, oil, and nuclear energy, with an estimated procurement value of $750 billion by 2028. Additionally, the EU commits to buying at least $40 billion worth of U.S. AI chips for European data center construction.

 

The statement projects that European companies will invest an additional $600 billion in strategic U.S. sectors by 2028. The EU also plans to significantly increase purchases of U.S. military and defense equipment.  

 

Walmart Q2 Profit Unusually Misses Expectations  

 

As of this writing, the largest U.S. retailer, Walmart, is down 3% in pre-market trading. In its recently released earnings report, the company’s adjusted earnings per share came in at $0.68, missing analyst expectations by 6 cents, marking the first time in nearly three years it has fallen short.

 

This negative surprise overshadowed the positive news of revenue beating expectations and an upward revision to its full-year guidance. The company also noted that costs from U.S. tariffs are still rising and have led to price increases on some goods.  

 

Tariff Pressure Begins to Spread: Sony Raises PlayStation 5 Prices Across the Board in the U.S.  

 

Sony confirmed on Wednesday that starting this week, the price of the PlayStation 5 gaming console in the U.S. will increase by $50 across all models. The base PS5 will rise from $450 to $500, while the PS5 Pro will go from $700 to $750. Though not explicitly citing “Trump tariffs,” Sony’s notice pointed out that, like many multinational firms, it is grappling with a challenging economic environment.  

 

Meta Reportedly Pauses AI Team Hiring  

 

Industry insiders reveal that after spending months aggressively recruiting over 50 top-tier AI researchers and engineers, Meta has frozen hiring for its artificial intelligence department.

 

This hiring freeze, effective last week, coincides with a broader reorganization of the department and will also prohibit existing employees from transferring between teams within it.

 

The duration of the hiring freeze has not yet been communicated internally.  

 

Starbucks Transformation Move: Expands Pilot of Two Coconut Water Products  

 

As part of its ongoing transformation plan, coffee giant Starbucks announced that starting Thursday, it will pilot two coconut water drinks—topped with matcha foam and cold brew coffee foam, respectively—in over 400 stores in New York, Los Angeles, and other locations.

 

This move aligns with a growing trend in the U.S. food industry: catering to younger consumers with health-focused beverages.