S&P 500 – 6,411.37 (-0.59%)

Dow Jones – 44,922.27 (+0.023%)

NASDAQ – 21,314.95 (-1.46%)

• Market Moves: Stocks traded mixed as investors await Fed Chair Powell’s speech later this week; the Dow touched a record high of 45,207.39. 
• Fixed Income: U.S. Treasuries climbed across the curve, with 10-year yields dipping 2 basis points. Canadian government bonds rallied even more sharply after softer-than-expected inflation data.
• Currencies: The U.S. dollar remained largely unchanged against a basket of major currencies.
• Tariffs: The Trump administration expanded its 50% steel and aluminum tariffs to cover 407 additional products.
• Commodities: WTI crude edged lower as investors assessed potential impacts of any peace deal on Russian oil sanctions.
• Canadian Inflation: July’s CPI came in softer than anticipated, particularly on the Bank of Canada’s trimmed mean measure, which excludes volatile items. Markets now see stronger odds for a September rate cut, with roughly a 40% chance of a 25-basis-point reduction.
• Retail & Pricing: Major retailers reporting this week are under scrutiny for wholesale cost exposure, with market watchers evaluating price pressures after July’s surprise 0.9% jump in the Producer Price Index, well above expectations of 0.2%.
• Housing: U.S. housing starts rose 5.2% in July to an annualized 1.428 million units, beating consensus, while building permits fell 2.8% to 1.354 million—the fourth straight monthly decline, the longest streak since 2008.
• Fed Policy: Expectations shifted slightly, with the CME FedWatch Tool showing an 83% chance of a September rate cut, down from 98% last week, and a 17% likelihood the Fed holds rates steady.
• Geopolitics: President Trump called for renewed Ukraine negotiations, reportedly encouraging a meeting between Presidents Putin and Zelensky. European leaders reaffirmed support for Zelensky, leaving markets cautious amid uncertainty over Ukraine’s trajectory.
• Palo Alto Networks (PANW) jumped after beating earnings and revenue estimates and issuing stronger-than-expected guidance, with revenue up 16% YoY.
• Intel (INTC) initially fell on reports that Chips Act grants could become equity stakes, but rebounded after SoftBank announced a $2B investment.
• Meta Platforms (META) dropped nearly 3% amid a Texas AG investigation into AI mental health services for children and its fourth AI restructuring in six months.
• Home Depot (HD) edged higher despite missing earnings, supported by reaffirmed guidance and 1.4% YoY same-store sales growth.
• Target (TGT) gained after Evercore ISI added it to the tactical outperform list.
• Best Buy (BBY) surged after launching a digital marketplace, doubling product assortment.
• Starbucks (SBUX) will implement a modest 2% raise for all North American salaried employees.
• Amazon (AMZN) had its price target raised to $300 by Loop Capital, citing untapped AWS generative AI potential.
• Viking Therapeutics (VKTX) fell 35% pre-market after Phase 2 results showed a 28% patient dropout, despite 12.2% body weight loss.
• CVS Health (CVS) rose after UBS upgraded the stock due to early improvements in its healthcare benefits segment.
• UnitedHealth (UNH) soared 12% after Berkshire Hathaway revealed a $1.6B stake.
• Medtronic (MDT) slipped despite beating expectations, amid “buy the rumor, sell the news” dynamics and activist investor involvement.
• NorthWestern Energy jumped on merger news with Black Hills.
• Caterpillar (CAT) rose after an Evercore ISI upgrade citing strong construction equipment margins.
• First Solar (FSLR) surged following Treasury guidance extending renewable project tax credit windows.
• MicroStrategy added $51.4M in Bitcoin holdings.
• Tether appointed former White House crypto adviser Bo Hines.
• Duolingo (DUOL) climbed after a KeyBanc upgrade to Overweight.
• Tesla (TSLA) slipped, extending a three-day decline.
• Nexstar Media Group (NXST) to acquire Tegna Inc. for $6.2B, forming the nation’s largest local TV network.
• Dayforce (DAY) surged on Bloomberg reports of buyout interest.
• Opendoor Technologies (OPEN) jumped 6% at open before trimming gains amid its CEO search.
• Soho House (SHCO) to go private in a $2.7B MCR-led deal, shares up 15%.
• GoodRx (GDRX) surged 30% on Novo Nordisk GLP-1 drug launch at $499/month.
• What's next: Investors watch Powell’s Jackson Hole remarks for September rate cut signals.

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“We are in this uncomfortable equilibrium, where we don’t know where things go next,” said Gennadiy Goldberg, chief rates strategist at TD Securities. “The market wants a bit of confirmation from Powell on Friday as to whether he is open to cutting rates.”

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Notable Stocks

• Soho House (SHCO)
• Amazon (AMZN)
• Intel (INTC)
• Apple (AAPL)
• OpenDoor (DOOR)

Weekly Notables

Intel Jumps on $2B SoftBank Investment, Boosting Turnaround Hopes Amid Government Stake Uncertainty

Intel stock surged on Tuesday after SoftBank revealed a $2 billion investment in the embattled chipmaker, sparking optimism that fresh capital and a strategic partner could reinvigorate its turnaround. The move follows a rollercoaster week in which reports of potential U.S. government stakes whipsawed the stock, underscoring Intel’s precarious position as it works to regain lost ground in the semiconductor race

Soho House to Go Private in $2.7B Buyout Led by MCR, Ending Four-Year Public Market Struggle

After four rocky years on the public markets, luxury members club operator Soho House will return to private ownership in a deal valuing the company at $2.7 billion, including debt. An investor group led by hotel giant MCR has agreed to acquire the company’s outstanding shares for $9 apiece, with major shareholders, including Executive Chairman Ron Burkle, rolling over their stakes.

Earnings Spotlight: Target

Big-box retailer Target (TGT) is scheduled to release its second-quarter Fiscal 2025 results on Wednesday, August 20. Shares of TGT have fallen 22.4% year-to-date amid concerns over macroeconomic pressures on consumer spending, tariff-related challenges, and heightened competition. Investor sentiment has also been affected by backlash over the company’s rollback of key diversity, equity, and inclusion (DEI) initiatives. Wall Street anticipates a challenging quarter, with a consensus earnings per share (EPS) estimate of $2.04, representing a roughly 21% decline year-over-year. Revenue is expected to slip 2% to $24.93 billion, as foot traffic weaknesses are likely to continue. Analysts and investors will closely watch Target’s report for signals on how the retailer is navigating these headwinds.