TL;DR

US slaps 93.5% tariff on Chinese battery graphite; retail sales, jobless claims beat; crypto bills advance.

Highlights

• US Commerce Department imposes 93.5% preliminary anti-dumping duties on Chinese battery-grade graphite, targeting a key EV supply chain input 1.
• US retail sales rose 0.6% in June, beating expectations and ending a two-month slide; core sales up 0.5% 2.
• Initial jobless claims fell to 221,000, the lowest since April; continuing claims steady at 1.96 million 3.
• Fed officials highlight tariff-driven inflation pressures but maintain two rate cuts in 2025 as baseline 4.
• House advances GENIUS and CLARITY Acts for crypto regulation; White House backs crypto tax exemption 67.
• BlackRock seeks SEC approval to add staking to its $7B Ethereum ETF, aiming to offer yield to investors 5.
• Uber invests $300M in Lucid , sending shares up over 50%; Lucid proposes 1-for-10 reverse stock split 912.
• Rivian restarts preparations for $5B Georgia EV plant, with construction targeted for early 2026 13.
• US 30-year mortgage rates edge up to 6.75%; refinancing activity increased in late June 8.
• Amazon cuts hundreds of AWS jobs as part of cost optimization 10.
• FDA authorizes Juul e-cigarettes, overturning 2022 sales ban 11.
• Abbott beats Q2 earnings but trims 2025 outlook; shares down as much as 5% 18.
• Wells Fargo halts China travel after executive hit by exit ban, underscoring operational risk for US firms in China 20.

Commentary

US equities traded amid a mix of strong domestic macro data and renewed trade tensions. The Commerce Department’s 93.5% tariff on Chinese battery-grade graphite directly impacts the EV supply chain, with China supplying the majority of global battery-grade graphite 1. This move is likely to pressure US EV manufacturers on costs and could benefit domestic or alternative suppliers. The Wells Fargo travel halt following a China exit ban on a US executive further highlights rising operational and compliance risks for US firms with China exposure 20.

Macro data was broadly supportive: June retail sales rose 0.6%, outpacing forecasts and suggesting consumer spending remains resilient despite tariff-related price increases 2. Initial jobless claims dropped to 221,000, a three-month low, reinforcing the view of a still-sturdy labor market 3. However, Fed officials flagged that tariffs are feeding through to core goods inflation, with headline PCE inflation at 2.5% 4. While policymakers still see two rate cuts as likely in 2025, the path remains data-dependent, and near-term Fed action appears unlikely 4.

Crypto markets remain in focus as the House advanced the GENIUS and CLARITY Acts 619, with the White House supporting a crypto tax exemption 7 and further integration of digital assets into commerce. BlackRock’s push to allow staking in its Ethereum ETF could make regulated crypto products more attractive to yield-seeking investors if approved, potentially increasing institutional flows 5.

In corporate news, Uber’s $300M investment in Lucid triggered a sharp rally in the EV maker’s shares 9, while Lucid ’s proposed 1-for-10 reverse split aims to regain listing compliance 12. Rivian ’s renewed push to build its Georgia EV plant signals ongoing investment in US EV production despite earlier delays 13. Amazon ’s AWS layoffs indicate continued cost discipline in tech 10, and the FDA’s clearance of Juul e-cigarettes allows the company to rebuild its US business 11. Abbott ’s earnings beat was overshadowed by a cautious 2025 outlook, weighing on the stock 18.

Traders should continue to monitor developments in US-China trade relations, EV supply chains, and crypto regulation for sector-specific volatility. Macro data and Fed commentary will remain key for rate expectations and cross-asset positioning.