TL;DR

US extends China tariff exclusions; SEC opens banks to Bitcoin; gold miners, crypto, and M&A surge.

Highlights

• USTR extends Section 301 tariff exclusions on Chinese tech goods through August 31, providing a temporary reprieve for US importers1.
• Small businesses seek immediate halt to Trump’s 10% “Liberation Day” tariffs during appeal; courts question IEEPA authority10.
• Canada’s March import duties surpass $1B on US goods; US tariff revenue hits record $22.3B in May15.
• SEC authorizes all US banks to offer Bitcoin services; BlackRock , Stifel , and Wells Fargo highlight rising institutional demand2.
• Robinhood completes $200M Bitstamp acquisition, adding 50+ global crypto licenses and expanding into institutional crypto11.
• Gold mining ETFs (GDX , GDXJ ) rise over 5% to 12-year highs; silver tops $34.25; VSS up 25% from April lows12.
• Merck in talks to acquire MoonLake Immunotherapeutics for $3B+; $MLTX jumps 15–25% after hours6.
• Snowflake to acquire Crunchy Data for $250M, launching “Snowflake Postgres” to bolster AI database offerings13.
• House GOP introduces “One Big Beautiful Bill” for large tax cuts; 8–15M may lose health coverage due to ACA changes9.
• Trump proposes $9.4B in federal spending cuts via DOGE recommendations; GOP pushes for swift vote5.
• FEMA chief’s lack of hurricane season awareness raises concerns about disaster readiness amid staff cuts and 10 hurricanes forecast7.
• Ukraine’s Operation Spider Web damages up to 41 Russian aircraft ($7B loss); drone strikes cut power in Zaporizhzhia and Kherson84.

Commentary

Trade policy remains a source of uncertainty as the USTR’s extension of Section 301 tariff exclusions on Chinese tech goods gives US tech importers a short-term buffer1, but broader tariff risks persist. Ongoing litigation over Trump’s “Liberation Day” tariffs—especially with courts questioning the use of IEEPA—keeps supply chain and cost outlooks unsettled for manufacturers and retailers10. Canada’s sharp increase in counter-tariffs and the US’s record tariff revenue highlight the risk of further escalation, which could pressure margins for companies exposed to cross-border trade15.

In digital assets, the SEC’s move to allow all US banks to offer Bitcoin services is a material regulatory shift, likely to accelerate institutional adoption2. BlackRock , Stifel , and Wells Fargo 's public embrace of Bitcoin signals growing mainstream acceptance, while Robinhood’s Bitstamp acquisition expands its crypto footprint, particularly on the institutional side211. These developments could drive increased flows into crypto and related equities, though volatility remains elevated.

Precious metals and mining equities are seeing strong momentum, with gold and silver miners posting multi-year highs and foreign small-caps also outperforming. This likely reflects a mix of inflation hedging, safe-haven demand, and rotation into hard assets as macro and geopolitical risks remain elevated12.

Corporate M&A activity is notable in biotech and AI infrastructure. Merck’s pursuit of MoonLake Immunotherapeutics and Snowflake ’s Crunchy Data acquisition reflect ongoing demand for innovation and sector consolidation, which may drive further rerating among peers613.

On the policy front, the House GOP’s tax cut bill and Trump’s proposed $9.4B in spending cuts signal a shift toward fiscal tightening, but the potential loss of health coverage for millions could weigh on healthcare and consumer names95. FEMA’s operational gaps ahead of a forecasted active hurricane season add risk for insurance, construction, and regional banks7. Ukraine’s large-scale drone strikes against Russian assets reinforce geopolitical risk, with potential implications for defense and energy markets84.