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US stocks edged higher on Wednesday after President Trump unveiled more tariff letters directed at US trading partners, while AI chipmaker Nvidia (NVDA) became the first company to ever touch a $4 trillion market cap.
The Dow Jones Industrial Average (^DJI) rose nearly 0.3%, while the S&P 500 (^GSPC) gained 0.3%. The tech-heavy Nasdaq Composite (^IXIC) pared gains edged up 0.6% in the wake of a downbeat day for the major gauges.
Nvidia (NVDA) stock hit a new intraday record, taking the crown of the most valuable company in history.
Markets are keeping calm and carrying on cautiously in the face of ramped-up trade rhetoric from Trump. That’s in contrast to the reaction on Monday and Tuesday which saw the S&P 500 drop after Trump posted letters outlining new tariff rates on Japan and 13 other countries.
On Wednesday morning, Trump unveiled more notices with tariff rates ranging from 20%-30% to countries such as the Philippines, Libya, Algeria, and Iraq. July 9 marks the official end to his pause on imposing “reciprocal” tariffs announced in April. The president has reaffirmed the new Aug. 1 deadline, saying “no extensions will be granted” to countries that have not struck deals before then.
Read more: The latest on Trump’s tariffs
Meanwhile, US copper (HG=F) prices are retreating slightly after soaring to a record on Tuesday as Trump said he expects to put a 50% tariff on copper and threatened to place 200% duties on pharmaceuticals.
Uncertainty over tariffs’ impact has divided the Federal Reserve, and investors could get more insight into the debate in minutes from the Fed’s June meeting due later in the day. At that meeting, policymakers held interest rates steady, leading traders to bet that two rate cuts this year are likely.
LIVE 16 updates
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Markets trim gains as Trump posts new batch of tariff letters
Stocks trimmed gains after President Trump posted a new batch of tariff letters on Wednesday, directed at US trading partners.
The Dow Jones Industrial Average (^DJI) gained 0.1%, while the S&P 500 (^GSPC) edged up 0.3%. The tech-heavy Nasdaq Composite (^IXIC) rose 0.7%, after gaining as much as 1%.
The notices of tariffs on imports from US trading partners went out to the following countries.
The rates ranged from 20%-30%.
As Yahoo Finance’s Ben Werschkul reported, the list focused on lower-level trading partners. The Philippines was the biggest announcement Wednesday, but that nation ranks about 30th in US trading partners by value, according to US government data.
The rates continued a trend of rates being announced this week that largely tracked what was first announced in April, with some alterations. The Philippines, for example, saw its proposed rate jump slightly from 17% to 20%.
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Starbucks stock moves slightly higher as coffee chain looks for strategic partner in China
Starbucks (SBUX) stock jumped as much as 2% at the market open Wednesday after a report from CNBC suggested that the company has had multiple offers for its China business, including the likes of Centurium Capital, Hillhouse Capital, and US private equity firm Carlyle Group.
“We see significant long-term potential in China and are evaluating the best ways to capture the future growth opportunities,” a Starbucks spokesperson told Yahoo Finance. “We are looking for a strategic partner with like-minded values … and want to retain a meaningful stake in the business.”
The business there has struggled to compete with top rival Luckin Coffee’s low-price model. It has a store base of more than 20,000 stores, compared to Starbucks’ nearly 8,000 stores in the region.
Starbucks China’s same-store sales growth fell as much as 14% in both the third and fourth quarters last year before rebounding to flat in the latest quarterly results, thanks to a 4% increase in transactions that was offset by a 4% decline in the average ticket size.
A source told Yahoo Finance that lower prices announced last month have boosted sales in the afternoon and evening there, and zero-sugar options have increased the frequency of visits among customers. Analysts expect same-store sales to increase 2.49% for Starbucks China in its next quarterly report, per Bloomberg consensus estimates.
Shares are up more than 5% year to date, trailing slightly behind the 6% gain from the S&P 500 (^GSPC).
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CoreWeave-Core Scientific deal pushes AI merger tally over $65 billion as M&A market thaws
M&A dealmaking is beginning to rebound, and deals linked to artificial intelligence are leading the way.
CoreWeave’s (CRWV) planned acquisition of data center infrastructure provider Core Scientific (CORZ) marked the latest big-ticket AI M&A announcement this year as large companies with room on their balance sheets look to make a splash in a burgeoning industry.
Yahoo Finance’s Jake Conley reports:
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Copper prices retreat from record as market grapples with tariff threat
US copper (HG=F) prices retreated 3% Wednesday, backing off fresh records touched in the prior session as the market grappled with President Trump’s threat to put a 50% tariff on imports of the metal.
Copper imports have soared in recent weeks as the industry anticipated tariffs on imports. Industry insiders say the US currently brings in 50% of the copper it needs from abroad. Tariffs on those imports would considerably increase prices across an array of industries which utilize the metal — from data centers, to electrical grids to autos.
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Nvidia becomes first company to touch $4 trillion market cap
Nvidia (NVDA) stock gained more than an intraday record high on Wednesday, becoming the first company to ever hit a market cap of $4 trillion.
The AI chipmaker’s valuation has now surpassed Apple’s (AAPL) record market cap of $3.91 trillion reached in December 2024.
At roughly 9:40 a.m. ET, Nvidia shares hovered near a record of $164, building on its closing high of $160 in the prior session.
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Stock nudge higher despite Trump tariffs, Nvidia hits new record
US stocks nudged higher on Wednesday as investors awaited more details on President Trump’s latest tariff announcements, including the possibility of 50% levies on copper imports.
The Dow Jones Industrial Average (^DJI) opened 0.4% higher, while the S&P 500 (^GSPC) also gained about 0.4%. The tech-heavy Nasdaq Composite (^IXIC) edged higher after a downbeat day for the major gauges.
Shares of Nvidia (NVDA) were set to hit a new all-time record, inching closer toward a $4 trillion market cap.
The S&P 500 and Dow were on pace to snap a two-day losing streak as markets have remained on edge following the unveiling of letters to US trading partners notifying them of tariffs starting on Aug. 1. Trump has said he will not extend that deadline and countries which have not reached a deal with Washington before that would need to start paying levies on imported goods coming into the US.
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Nvidia stock extends gains premarket, inching toward record $4 trillion market cap
Nvidia (NVDA) stock gained another 0.6% in premarket trading Wednesday, building on its record closing price the prior day of $160.
Its market capitalization of $3.90 trillion is just shy of Apple’s (AAPL) record market cap of $3.91 trillion reached in December 2024. Today’s moves also put Nvidia ever closer to becoming the first company to have a valuation north of $4 trillion.
Shares rose on Tuesday, even after the broad indexes dipped and President Trump mentioned that chip tariffs may be in the offing soon. In the past month, Nvidia stock is up nearly 13% as hyperscalers and other customers remain committed to spending on artificial intelligence infrastructure.
As Yahoo Finance’s Francisco Velasquez pointed out, Nvidia’s sovereign AI deals offer another reason for bullishness, as analysts estimate they are already contributing billions of dollars in revenue this year.
“Nvidia has line of sight to tens of gigawatts of sovereign and enterprise AI factory buildouts over the next few years,” Citi analysts Atif Malik and Papa Sylla wrote in a note.
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Trump’s search for Powell’s replacement at the Fed is getting louder
President Trump’s search for a successor to Federal Reserve Chair Jerome Powell is getting louder as candidates try to position themselves as critics of the central bank’s policies.
Yahoo Finance’s Jennifer Schonberger reports:
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Apple COO Jeff Williams to retire amid tumultuous time for the iPhone maker
Apple (AAPL) announced on Wednesday that COO Jeff Williams, the company’s No. 2 executive, will be stepping down from his role this month and retiring later this year.
Sabih Khan will replace Williams as COO, and Apple’s design team will report directly to CEO Tim Cook.
Apple stock was roughly flat in premarket trading.
Bloomberg reports:
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Verona stock soars after Merck seals $10 billion deal
Merck (MRK) has agreed to buy Verona Pharma (VRNA) for about $10 billion, sending the British lung therapy company’s US-listed shares soaring 20% in premarket trade.
The deal will bolster Merck’s portfolio of respiratory treatments as it looks for revenue drivers beyond its flagship Keytruda treatment.
Reuters reports:
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Good morning. Here’s what’s happening today.
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Trending tickers: AES, Freeport-McMoRan and Wolfspeed
Here are some top stocks trending on Yahoo Finance in premarket trading:
The AES Corporation (AES) stock rose over 11% before the bell on Wednesday following a report that says the company is exploring its options amid takeover interest.
Freeport-McMoRan (FCX) stock rose 1% after President Trump said he will be putting 50% tariff on copper imports.
Wolfspeed (WOLF) stock fell 10% in premarket trading after closing 9% up the day before. The semiconductor maker, which recently filed for bankruptcy, appointed Gregor van Issum as chief financial officer, effective Sept. 1.
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WPP stock plunges as ad giant cuts profit guidance
WPP (WPP.L, WPP) stock plunged after the advertising giant slashed its annual profit outlook on Wednesday, citing a drop in client spending in June.
The move spurred concern about WPP’s ability to adapt to an AI-fueled shift in ad technology as economic uncertainty intensifies. US-listed shares in WPP, the world’s second-biggest ad group, sank over 18% in premarket trading. In London, the stock fell to its lowest level in 16 years.
Reuters reports:
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Wall Street reacts to Trump’s 50% copper tariff plan
A large dose of chaos has been injected into copper markets following President Trump’s threat to impose 50% tariffs on copper imports.
Copper prices surged on Tuesday and remain near a record. I would keep an eye on top copper stocks such as Freeport-McMoRan (FCX) and Southern Copper Corp. (SCCO) today.
Here are some of Wall Street’s early reactions:
Goldman Sachs’ Eoin Dinsmore
“Given the increased risk of a 50% tariff, we expect a further acceleration in shipments into the US in the coming weeks, as the incentive to front-run the tariff implementation has increased. With the Dec-25 COMEX-LME arbitrage now trading at ~$3,000/ton — pricing an implied ~30% tariff — we keep our long Dec-25 COMEX-LME arbitrage trade recommendation open. As we recently highlighted, there was a meaningful risk of a 50% tariff, which is now playing out. In time, the copper tariff may revert to 25%, but steel and aluminium tariff increased to 50% in June, and markets have priced around 80% of those tariffs, factoring in uncertainty on potential future exemptions – which suggests copper should move to price a 40% import tariff in Dec-25.”
Jefferies’ Christopher LaFemina
“Trump’s announced 50% tariffs on copper imports came as a surprise in terms of timing and magnitude, but tariffs were likely coming at some point. Higher copper prices in the US should ultimately incentivize growth investment in mines and new smelters/refineries. We believe the longer term aim of the Trump administration may be for the US to be fully self-sufficient in copper, but mines take too long to develop for this to be achieved in less than a 10-year time horizon, in our view. Getting there faster from a smelting/refining perspective is possible and would erode a competitive advantage that China currently has in the copper supply chain. However, as we discuss in this note, the US will still rely on foreign mines to meet demand for the foreseeable future. It is therefore possible that tariffs on refined copper imports will persist for a relatively long duration, which is what we have seen in the US steel industry following the roll-out of section 232 tariffs for steel by President Trump in 2018.”
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Phone’s not ringing on telecom stocks
Keep an eye on telecom stocks today, after some cautious comments out of KeyBanc.
T-Mobile US (TMUS) caught most of the ire of analyst Brandon Nispel in a downgrade to underperform.
“We think underperformance [in the stock] will continue for these reasons: 1) we think TMUS is fiber deficient in a converged/bundled world; 2) we think the near-term macro/competitive environment limits upside to expectations; 3) we think TMUS’s consumer value proposition has deteriorated due to recent pricing actions, which suggest TMUS shouldn’t take outsized share of the industry net adds; and 4) we think TMUS will relatively benefit the least from tax changes due to the One Big Beautiful Bill,” Nispel said.
Nispel maintained sector-weights on shares of Verizon (VZ) and T-Mobile, but voiced concern about rising competitive activity holding back financial results this year.
Here’s what T-Mobile CEO Mike Sievert recently told me on industry phone-plan prices.
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Copper prices soar following Trump’s announcement of tariffs on imports
Copper (HG=F) futures pumped over 17% following an announcement from President Trump that he’ll instill a 50% on imports of the metal.
Bloomberg reports:
