TL;DR

US pushes 15–20% EU tariffs; Fed rate cut nears; Schwab, MEI drive crypto mainstreaming.

Highlights

• Trump administration seeks 15–20% minimum tariffs on all EU imports; euro drops, US stocks slip 1.
• Fed Governor Waller signals a 25bp rate cut is approaching; open to Fed Chair role if offered 2.
• US housing starts rebound 4.6% in June, beating forecasts; building permits edge up 3.
• FDA asks Sarepta to halt Elevidys gene therapy shipments after deaths; shares plunge ~35% before halt 5.
• Chevron completes $53B Hess acquisition after FTC and arbitration hurdles cleared; shares rise nearly 4% 6.
• Texas judge upholds Medicare Advantage rating cuts, triggering selloff in managed-care stocks (Humana, CVS, UnitedHealth) 7.
• Charles Schwab to launch spot Bitcoin and Ethereum trading for 40M clients within a year 4.
• Schwab Q2 profit surges 60% on record client assets and trading volume; shares up 2–5% pre-market 8.
• Talen Energy to acquire two PJM gas plants for $3.5B amid rising AI/data center demand; shares jump 16% after-hours 12.
• MEI Pharma to convert $100M treasury into Litecoin, first US-listed firm to do so 18.
• Meta declines to sign EU AI Code of Practice ahead of new AI rules in August 10.
• Trump set to sign GENIUS Act, reportedly focused on stablecoin regulation; details pending 9.

Commentary

US markets are digesting a renewed escalation in trade tensions after the Trump administration pushed for a 15–20% tariff floor on EU imports 1. The move, which comes as broader trade negotiations with Brussels stall, pressured the euro and weighed on US equities, particularly sectors with significant EU exposure 1. With the US already enforcing steep tariffs on China, traders should be alert to potential retaliatory actions and further volatility in global industrials and consumer names 1.

On the macro front, Fed Governor Waller’s comments suggest a 25bp rate cut could be imminent, providing a dovish counterbalance to trade headwinds 2. Stronger-than-expected housing starts and a modest rise in building permits point to stabilization in residential construction, supporting homebuilder sentiment 3. However, the broader risk environment remains cautious, with fixed income markets likely to remain range-bound as traders watch for further Fed signals 2.

In corporate news, Charles Schwab ’s robust Q2 results and plans to introduce spot Bitcoin and Ethereum trading reflect growing mainstream demand for digital assets 48. MEI Pharma’s decision to convert its treasury to Litecoin is a notable first for a US-listed company, adding to the momentum in crypto adoption 18. Meanwhile, the FDA’s request for Sarepta to halt shipments of its gene therapy following safety concerns triggered a sharp selloff in the biotech, underscoring regulatory risk in the sector 5.

Energy and infrastructure saw significant moves as Chevron closed its $53B Hess acquisition, consolidating its position in key oil and gas assets after regulatory and legal clearance 6. Talen Energy’s $3.5B purchase of two PJM gas plants highlights rising demand for power from AI and data centers, with shares reacting positively 12. Managed-care stocks came under pressure after a Texas judge upheld Medicare Advantage rating cuts, signaling ongoing earnings headwinds for the sector 7.

Traders should remain focused on late-breaking headlines around tariffs, Fed policy, and pending regulatory actions, as cross-asset volatility is likely to persist into next week 12.