TL;DR

Trump tariffs hit 90+ nations; Intel drops on CEO controversy; Eli Lilly plunges on obesity drug.

Highlights

• Trump’s new tariffs (10–50%) on imports from 90+ countries take effect, raising average U.S. tariff rates to 15.2%, the highest since the 1940s 1.
• EU, Japan, and South Korea secure a 15% tariff cap; India and Brazil face 50% duties; Canada, Mexico, and China remain under previous rounds 1.
• U.S. imposes an additional 25% tariff on Indian imports over Russian oil purchases; China warned of similar measures 74.
• Intel shares fall 5% pre-market after Trump publicly calls for CEO Lip-Bu Tan’s resignation over China ties 3.
• Samsung, TSMC, and SK Hynix avoid threatened 100% U.S. chip tariffs by committing to U.S. manufacturing; EU will not match higher U.S. chip tariffs 511.
• Toyota cuts profit outlook by 16% on U.S. auto tariffs; Honda raises guidance despite tariff headwinds 8.
• Bank of England cuts rates to 4% in a narrow vote, but raises near-term inflation outlook 2.
• China’s July exports rise 7.2% y/y, but U.S.-bound shipments drop 21.7% ahead of tariff truce expiry 10.
• Kremlin confirms imminent Trump–Putin summit; U.S. threatens more sanctions if no Ukraine cease-fire by Friday 4.
• Eli Lilly shares drop 12% pre-market after obesity pill orforglipron underperforms vs. injectables; Novo Nordisk up 10% 9.
• Apple selects Samsung to build iPhone 18 image sensors in Texas, shifting supply chain to avoid tariffs; Apple loses senior AI talent to rivals 1219.
• Bitcoin rebounds above $116,000; Ethereum treasury firms see inflows, with Standard Chartered expecting them to surpass ETFs in ETH holdings 1314.
• United Airlines grounds U.S. flights after a weight-balance system outage; Peloton posts surprise profit and rises 8% on cost cuts 616.
• Maersk raises 2025 EBITDA outlook on robust global trade; ECB warns U.S. tariffs on China could shift exports to Europe, threatening EU jobs 1817.
• Firefly Aerospace prices upsized IPO at $45, raising $868 million on strong demand 20.

Commentary

U.S. markets face heightened trade and geopolitical risk as Trump’s broad tariff regime takes effect, sharply raising costs for a wide range of imports. The average U.S. tariff rate now stands at its highest in decades, with key partners like the EU, Japan, and South Korea negotiating a 15% cap while others, including India and Brazil, are hit with 50% duties 1. The administration’s use of tariffs as leverage—targeting Indian imports over Russian oil and warning China of similar measures—adds further uncertainty for global supply chains and U.S. manufacturers 74. These moves are likely to pressure margins in sectors reliant on imported goods and could trigger retaliatory actions.

Semiconductors remain a focal point. Samsung, TSMC, and SK Hynix have secured exemptions from the most severe chip tariffs by expanding U.S. operations, offering some relief for the U.S. tech sector 5. However, the EU’s refusal to match U.S. chip tariffs signals ongoing transatlantic friction 11. Meanwhile, Trump’s public demand for Intel ’s CEO to resign over China ties has added volatility to the stock and highlights the political scrutiny facing U.S. chipmakers 3. Apple ’s decision to shift iPhone sensor production to Texas further illustrates how firms are adapting supply chains to mitigate tariff risk, even as the company faces talent retention challenges in AI 1219.

In macro, the Bank of England’s rate cut—despite a higher inflation outlook—underscores diverging global monetary policy 2. The move could weigh on the pound and support the U.S. dollar, especially as trade actions fuel inflationary concerns. China’s export data showed strength overall, but a sharp drop in shipments to the U.S. and front-loading ahead of tariff deadlines suggest volatility ahead for global trade flows 10. The ECB’s warning that U.S. tariffs may push more Chinese goods into Europe highlights the risk of trade diversion and labor market stress in the euro area 17.

Sector-wise, Eli Lilly ’s obesity pill results disappointed, sending shares lower and benefiting Novo Nordisk 9. United Airlines ’ IT outage adds to scrutiny of airline systems, while Peloton ’s surprise profit and cost-cutting efforts are being rewarded despite soft forward guidance 616. Maersk’s raised outlook points to ongoing resilience in global shipping, though U.S. import volumes remain under pressure 18. In crypto, Bitcoin ’s rebound and continued inflows into Ethereum-related vehicles reflect persistent institutional interest 1314. Firefly Aerospace’s strong IPO pricing signals robust appetite for space-related equities 20.