Tonight's Highlights | Tariff Ruling Adds Uncertainty, US Stock Futures Slide
On Tuesday, US stock futures for all three major indices declined, with Nasdaq 100 futures dropping more than 1%. As the US stock market enters the traditionally weak month of September, investors are weighing the latest developments in trade dynamics. Major European indices fell across the board.
Last week, a US appeals court ruled that most of President Trump’s global tariff policies were illegal, asserting that only Congress has the authority to impose sweeping tariffs. Trump labeled the decision “highly partisan” and announced plans to appeal to the US Supreme Court.
Aniket Shah, Head of Sustainable and Transition Strategy at Jefferies, stated: “If the Supreme Court rules that the International Emergency Economic Powers Act (IEEPA) cannot be used for reciprocal tariffs, it would reduce the risk of large-scale tariff escalations, which would be a positive for markets. However, short-term uncertainty could rise as some trade agreements may need renegotiation.”
Investors are also noting a surge in US Treasury yields at the start of September. The 10-year Treasury yield rose to 4.29%, while the 30-year yield broke through 4.98%.
Bond investors are driving yields higher due to expectations that the US may need to refund billions in previously collected tariff revenue, exacerbating the country’s already strained fiscal situation.
These developments could dampen market sentiment at the beginning of the month. Historically, September is the worst-performing month for stocks. Over the past five years, the S&P 500 has averaged a 4.2% decline in September, with an average drop of over 2% over the past decade.
Company News
Tesla Releases ‘Master Plan Part 4’: Building Products and Services to Bring AI into the Physical World
On September 2, Tesla released its “Master Plan Part 4” document, stating that a new chapter in the Tesla story will help create a world we are just beginning to imagine, realized on an unprecedented scale. Tesla is building products and services to bring AI into the physical world.
Kraft Heinz Plans to Split into Two Independent Public Companies
Kraft Heinz announced on September 2 that its board has unanimously approved a plan to split the company into two independent public companies through a tax-free spinoff.
Blockchain Firm Gemini Plans $317 Million US IPO
Blockchain firm Gemini announced on September 2 that its US initial public offering aims to raise up to $317 million in funds.
Lyft Plans to Issue $450 Million in Convertible Senior Notes
US ride-hailing company Lyft announced on September 2 that it plans to issue $450 million in principal amount of convertible senior notes due 2030 through a private placement, subject to market conditions and other factors.
Alibaba’s Qwen Lab Launches AgentScope 1.0 Intelligent Agent Development Framework
On September 2, Alibaba’s Qwen Lab announced the launch of its next-generation intelligent agent development framework, AgentScope 1.0. Described as a developer-centric, open-source framework focused on multi-agent development, AgentScope 1.0 aims to address challenges in building, running, and managing intelligent agents.
Its core goal is to provide a production-grade solution covering the full lifecycle of “development, deployment, and monitoring,” making agent application development simpler, operation safer, and monitoring more transparent.