Dow Jones| Nasdaq | S&P 500 | US Stock Market Today | Highlights: Nasdaq lags on angst over AI spending ahead of earnings reports

BlackRock faced weaker-than-expected demand for a $12.3 billion bond sale tied to a Meta-backed data center project, with orders reaching about $17 billion, below typical multiples for such offerings. The subdued appetite reflects investor caution after a wave of large tech debt issuances and growing concerns over heavy spending on artificial intelligence infrastructure.

Market sentiment has also been pressured by rising oil prices linked to geopolitical tensions and increased capital expenditure plans from major tech firms like Alphabet. Wider spreads on similar AI-linked bonds indicate investors are demanding higher yields, while the proceeds from the sale will fund a major data center project in Texas structured as project finance backed by Meta’s lease commitments.

President Donald Trump said Iran is not yet prepared to reach a deal, but confirmed that negotiations are ongoing. He indicated the U.S. remains engaged in discussions despite the lack of immediate progress.

U.S. President Donald Trump’s latest tariffs of 10% to 12.5% on 60 economies have triggered strong opposition from major trading partners including China, Japan, Australia and the European Union. Countries rejected the U.S. justification tied to forced labor claims, calling the measures unjustified, unsupported by evidence and harmful to global trade.

Leaders from Australia and New Zealand criticized the tariffs as damaging and pledged to push for their removal, while China warned against unilateral trade actions. Japan and South Korea also raised concerns, noting inconsistencies with prior trade understandings and ongoing negotiations.

The tariffs, introduced under Section 301 after earlier measures were struck down in court, have also faced legal challenges in the U.S. Analysts say while the duties may be less severe than previous rounds, they are likely to raise costs, heighten trade tensions and prolong uncertainty in global markets.

Two U.S. small businesses have filed a lawsuit challenging President Donald Trump’s latest tariffs on imports from 60 trading partners, arguing the measures exceed presidential authority. The case, filed in a New York trade court, claims the policy lacks the country-specific findings required to justify tariffs tied to alleged forced labor practices.

The lawsuit also contends the administration is محاولة to reintroduce tariffs previously struck down by the U.S. Supreme Court. Trump imposed the new duties of 10% to 12.5% under Section 301 of the Trade Act, following earlier rulings that invalidated similar tariffs under different legal provisions.

Plaintiffs argue the broad application of Section 301 departs from its historical use, which typically targets specific countries or industries, setting up another legal test of Trump’s aggressive trade strategy.

A Delaware judge ruled that Google must defend against a defamation lawsuit brought by activist Robby Starbuck, allowing claims tied to its Bard AI chatbot to proceed. The case alleges the chatbot generated false and damaging statements, including sexual assault accusations and links to extremist figures.

The court said the dispute raises novel legal questions around artificial intelligence, but can initially be assessed using traditional defamation standards. The judge declined to dismiss claims that Google may have engineered bias into its AI system, noting such arguments cannot be ruled out without further evidence.

The ruling marks a significant step in defining legal liability for AI-generated content, as courts, lawmakers, and companies grapple with the broader implications of rapidly evolving AI technologies.

US President Donald Trump is showing increasing frustration as the Iran conflict stretches into its fifth month, with no clear end in sight despite earlier expectations of a quick resolution. Intensifying fighting, rising US casualties and stalled diplomatic efforts have complicated the administration’s strategy, pushing Trump toward a more aggressive stance against Tehran.

The prolonged conflict is fueling economic strain, driving oil and gasoline prices higher and adding pressure ahead of the November midterm elections. Polls show weakening support for Republicans, while funding challenges and policy uncertainty further complicate the administration’s position.

With limited options, Trump faces a difficult choice between escalation, retreat or renewed negotiations, none of which offer an easy resolution. Analysts warn the conflict could persist for months, with ongoing risks to global energy supplies and regional stability.

Nvidia, Microsoft and more than two dozen companies, including Meta and IBM, urged US lawmakers to avoid imposing early restrictions on open-source AI models, arguing such limits could stifle competition and push innovation overseas. The push comes amid a growing divide between open and closed AI systems.

The debate has intensified following a rogue cyberattack involving an OpenAI model, prompting lawmakers to consider safeguards such as mandatory “kill switches.” While acknowledging risks like technology theft, the companies said targeted legal measures are preferable to broad restrictions, emphasizing that open models allow wider scrutiny and faster improvement.

SpaceX has begun turning away satellite customers seeking Falcon 9 launches beyond 2028 and halted new reservations for its rideshare program, underscoring a strategic shift toward its next-generation Starship rocket. The move signals Elon Musk’s intent to phase out the company’s workhorse launcher, which has long dominated the commercial space market and enabled lower-cost access to orbit.

The transition places a significant bet on Starship, a fully reusable but still unproven system that has faced repeated delays and technical setbacks. While Falcon 9 may continue supporting select NASA and defense missions, risks remain that any delay in Starship’s readiness could constrain global launch capacity amid strong demand for orbital access.

US President Donald Trump threatened to impose new tariffs on the European Union following its $1 billion fine on Alphabet’s Google, calling the penalty unfair and discriminatory against American companies. He said Washington would launch a Section 301 investigation into practices he described as “robbing” US firms and taxpayers.

The move marks a fresh escalation in transatlantic trade tensions, with Trump indicating that penalties could be reversed and replaced with tariffs at the earliest opportunity. The EU fine was issued under the Digital Markets Act, citing anti-competitive behavior in Google’s search and app store practices.

Trump has repeatedly criticized EU regulation of US technology giants, including Apple and Amazon, and has already imposed tariffs on multiple trading partners. His latest threat adds to uncertainty around global trade policy, especially as prior US-EU agreements had capped tariffs on most imports from the bloc.

US energy firms reduced the number of operating oil and gas rigs this week, marking the first decline in six weeks, according to Baker Hughes’ closely watched report, signaling a potential slowdown in drilling activity.

Copper prices edged higher and were on track for a modest weekly gain as tightening inventories outside the US helped offset broader macro concerns. Benchmark LME copper rose 0.4% to $13,645 a ton, heading for a weekly increase of about 0.9%, as easing oil price pressures improved the global growth outlook. In China, inventories dropped sharply to their lowest level since February 2024, while overall LME stockpiles also remained relatively low despite a rise in available supply following reverse cancellations.

In contrast, US Comex inventories climbed to a record high ahead of potential import tariffs, contributing to a sharp weekly decline in US copper prices. Across other metals, aluminium fell despite tightening near-term supply conditions, while zinc, nickel and tin posted gains and lead declined. Broader market reaction to new US tariffs on multiple trading partners was limited.

Oil prices fell more than 4% on Friday as traders booked profits and reports of a China-backed effort to revive US-Iran nuclear talks eased immediate supply concerns. Brent and WTI pulled back from recent highs but remained on track for weekly gains of about 7%, supported by ongoing Middle East tensions, including missile exchanges, shipping disruptions in key routes such as the Strait of Hormuz and Red Sea, and risks to global oil flows.

Blackstone, Donerail and Centerbridge have advanced to the final round of bidding for yacht retailer MarineMax, according to sources, as the company explores a potential sale. The process follows pressure from activist investor Donerail, which has pushed for strategic changes since last year. Earlier reports valued MarineMax at around $1 billion, above its current market capitalization of roughly $725 million.

MarineMax, which operates marinas and dealerships catering to affluent customers, has drawn interest amid strong dealmaking in marina and superyacht services. Investors are targeting the sector as resilient luxury demand and lower interest rates support spending on high-end assets. While the company has not publicly confirmed a sale process, recent board changes and ongoing bidder interest suggest a transaction could be progressing.

Midjourney is accelerating its expansion strategy by acquiring astrology app Co-Star and developing its first standalone image-generation app. The deal brings Co-Star’s 4.3 million monthly users and its entire team, including CEO Banu Guler, who will now lead design efforts across Midjourney’s growing portfolio of projects.

The AI startup, known for its generative image tools, is diversifying into multiple software and hardware initiatives, including creative apps, video models and even experimental health tech. Facing competition from major tech firms, Midjourney aims to build more consumer-focused, socially driven products, leveraging Co-Star’s design and engagement expertise as it pushes into storytelling, virtual worlds and potentially new areas like dating.

The US has imposed a new baseline tariff of 10% to 12.5% on imports from nearly 60 countries and the European Union, replacing earlier levies and reinforcing President Donald Trump’s protectionist trade agenda. The move, justified on forced labor concerns, lifts the average effective US tariff rate to 10.7% and avoids any gap after previous tariffs expired.

While several countries including Australia, Japan and Singapore criticized the decision as unjustified, none have announced immediate retaliation. Markets largely treated the move as a continuation of existing policy, though legal experts warned the broad use of Section 301 could face fresh court challenges.

Uncertainty remains over the economic impact, particularly on inflation and growth amid already high energy prices. Further tariffs, including those targeting excess industrial capacity, are still under consideration, signaling continued trade tensions and potential risks for global economic stability.

Intel’s turnaround is gaining momentum as a global surge in AI-driven data center spending boosts demand for its chips. The company issued a strong third-quarter revenue forecast of $15.8 billion to $16.8 billion, well above expectations, while second-quarter sales jumped 25% to $16.1 billion. Growth has been led by its data center business, where revenue surged 59%, reflecting rising demand for CPUs as the industry shifts focus from training AI models to running them.

Under CEO Lip-Bu Tan, Intel is benefiting from broader AI infrastructure expansion despite lagging in AI accelerator chips. The company is ramping up capital spending, improving production and seeking external customers for its foundry business. While profitability remains below historic levels, margins are improving and investor confidence in Intel’s recovery strategy has strengthened, even as competition and execution risks persist.

New-home sales in the US increased 1.6% in June to an annualized rate of 628,000, beating expectations and marking the first gain in three months. The uptick was largely driven by aggressive price cuts and incentives from builders, helping offset high mortgage rates and weak consumer sentiment. The median sales price fell 2.7% year over year to $398,300, continuing a broader trend of price declines.

Despite the rebound, underlying market conditions remain soft. Builders are scaling back construction to clear excess inventory, even as unsold homes still represent a relatively high 9.3 months of supply. Regional data showed strong growth in the South, while the West saw declines, highlighting uneven housing demand across the country.

U.S. President Donald Trump is set to meet Ukrainian President Volodymyr Zelenskyy next week as efforts intensify to revive peace talks with Russia. The meeting follows recent diplomatic engagement between Trump’s envoys and Ukrainian officials, alongside continued U.S. involvement in negotiations with Moscow.

The talks come amid heightened tensions, including Ukrainian drone strikes inside Russia and political unrest in Kyiv. U.S. officials say Washington remains committed to ending the conflict, with Trump viewing the war as senseless and seeking to leverage U.S. influence to push for a resolution.

Physical crude prices across key regions climbed to two-month highs, with some cargoes nearing $110 a barrel, as supply disruptions tied to the Iran and Ukraine wars rattled markets. Benchmark Brent rose above $100 to $105.70, while North Sea Forties crude approached $109, reflecting tightening availability and strong demand for prompt shipments.

Disruptions including Red Sea tanker attacks, slower transit via the Strait of Hormuz and halted Kazakh exports have constrained supply. Buyers, particularly in Asia, are scrambling for alternative cargoes, pushing up premiums across Middle Eastern, North Sea and West African grades. Saudi Arabia has diverted shipments via the Mediterranean, while refiners in China and India increase Russian purchases and others turn to Atlantic Basin crude, intensifying global competition for supply.

A U.S. judge dismissed a lawsuit claiming Meta’s WhatsApp could access users’ encrypted messages and misrepresented its privacy protections, citing insufficient evidence and lack of detail around whistleblower claims. The proposed class action included users from multiple countries alleging unauthorized access to personal communications.

The court allowed plaintiffs to amend and refile the complaint, noting the deficiencies could potentially be addressed with more detail. Meta rejected the allegations as baseless, while the judge declined to impose sanctions, stating the claims cannot be fully ruled out at this stage.

Citigroup closed its bullish bet on the South African rand after the central bank unexpectedly held interest rates at 7%, reversing expectations of a hike. The move led to a loss of about 2.13% on the trade, as the rand weakened nearly 3% against the euro amid shifting policy outlook and lower inflation forecasts.

Citi now expects the rand to remain fragile, citing rising energy costs and broader emerging-market pressures. The surprise decision has also raised concerns about investor confidence and potential impact on South African bonds, as markets reassess the central bank’s policy direction.