Market Update: Key Highlights
In a significant market update, President Trump has issued at least 21 letters to countries facing potential blanket tariffs of 20% to 40% starting August 1, unless new trade deals are reached. Recent additions to this list include the Philippines, Brunei, Moldova, Algeria, Iraq, Libya, and Sri Lanka.
Meanwhile, NVIDIA has become the first company to reach a market cap of $4 trillion, underscoring the growing dominance of AI in the market. In the commodities sector, copper prices declined following Trump’s announcement of a 50% tariff on its imports. In financial markets, the 10-year Treasury yield has decreased to 4.35%, and Bitcoin is trading above $111,000, nearing all-time highs.
From an investment perspective, if one had invested in the S&P 500 thirty years ago, the nominal return exceeds 1,000%. However, when measured in gold, the return is only 4%. The U.S. dollar has fallen nearly 11% this year, marking its worst first-half performance in 52 years, prompting analysts to recommend investments in stocks, gold, and digital assets as safeguards against inflation.
