Markets Surge, Gold Sparkles 07/10/2025

HOT stories for today

US market wrap:

• The market surged Monday, wrapping up at new record highs following reports that OpenAI may take a stake in AMD to secure a hefty 6 gigawatts of AI computing power. It wasn’t the only mover on the board: OpenDoor rallied late in the session, AppLovin tumbled, rare earth suppliers popped on whispers of a government stockpiling push, and Bitcoin shattered fresh records, soaring to $126,000 in the second week of the U.S. government shutdown.
• Plenty of other tickers caught attention, too many to name, as if Wall Street woke up on the right side of the bed. Good timing, too: it’s shaping up to be a long week. With federal economic reports off the table, eyes will turn to Michigan consumer sentiment, Fed commentary, and the upcoming PepsiCo and Delta earnings to kick off the Q3 reporting season.

Constellation says fear is hurting beer sales

• Constellation Brands ($STZ 2.45%), maker of Modelo and Corona, rose after hours despite a 15% drop in Q2 sales to $2.48B and a 7% decline in beer sales. Earnings of $3.63 per share beat estimates, while wine and spirits plunged 65% after the Svedka divestiture.
• The company blamed more than tight wallets; attitudes are shifting. With half its customers Hispanic, 80% said they’re worried about the economic climate. Many were afraid to go out, shop, or host gatherings, activities often accompanied by beer. It’s a sobering sign for consumer confidence as the holiday season approaches.

Stocks on the move:

• Verizon Communications (VZ): The New York telecom giant fell nearly 4% after CEO Hans Vestberg resigned, with independent lead director and former PayPal chief Dan Schulman stepping in as his replacement.
• Starbucks (SBUX): The global coffee chain slipped about 4% following a late-September wave of North American store closures and layoffs tied to its “Project Bloom” restructuring effort.
• Intellia Therapeutics (NTLA): Shares of the gene-editing firm climbed nearly 6% after Citizens JMP upgraded the stock to market outperform and raised its price target to $33, citing optimism around its hereditary angioedema treatment trial.
• Abercrombie & Fitch (ANF): The apparel retailer dropped more than 6% after JPMorgan cut its rating to neutral from overweight and lowered its price target to $103 from $145, still implying roughly 22% upside.

Watchlist: STZ, VZ, SBUX, AMD, NVDA, TSLA, HOOD, COIN

Today’s action

• Japan’s Nikkei 225 notched another record high Tuesday, marking its second consecutive session of gains, buoyed by a tech-led rally on Wall Street. Meanwhile, Australia’s S&P/ASX 200 slipped 0.27%, extending its prior session’s decline. Markets in China, Hong Kong, and South Korea remain closed for holidays.
• U.S. stock futures edged lower Tuesday night after Wall Street kicked off the week with fresh highs. Dow Jones Industrial Average futures dipped 64 points, or 0.14%, while S&P 500 futures eased 0.12% and Nasdaq 100 futures slipped 0.13%. Investors continue to shrug off concerns surrounding the ongoing U.S. government shutdown, now in its second week. With the data blackout persisting, focus has shifted to risks in the labor market and inflation. Attention will turn to Wednesday’s release of the Federal Reserve’s meeting minutes and upcoming remarks from Fed officials, including Vice Chair Michelle Bowman, Governor Stephen Miran, and Minneapolis Fed President Neel Kashkari.

Bitcoin

• Bitcoin (BTC) logged a record weekly finish above $123,000, confirming a fresh phase of price discovery as on-chain and futures data underscore bullish dominance. The cryptocurrency ended Sunday at $123,500, its strongest weekly close ever, and continues to consolidate near its all-time high of $125,800.
• Metrics across on-chain activity and derivatives markets show firm support above $122,000, suggesting strong market control by buyers. Short-term outlooks remain divided between a steady upward trend and a brief correction before the next leg up.
  Watchlist: Bitcoin: 98 000-125 000, Ethereum: 4000-4980, Solana: 180-240
   

Forex

• The euro weakened to around 1.1705 in Tuesday’s Asian session as France’s Prime Minister resigned just hours after naming a new cabinet, triggering fresh political uncertainty. Meanwhile, expectations for U.S. Fed rate cuts in October and December added to downside pressure on the dollar pair.
• The Japanese yen extended losses as markets bet that Takaichi’s policy stance could delay future BoJ rate hikes. A record-setting equity rally also dampened demand for the safe-haven currency. However, expectations for a Fed rate cut and the ongoing U.S. government shutdown limited the broader USD/JPY upside.
  Watchlist: EUR/USD: 1.0700-1.1880, USD/JPY: 140-151

Basic Materials

• Gold steadied close to its all-time high after a modest uptick in early Asian trade. Stronger USD buying and a risk-on tone capped further gains, though Fed rate cut expectations, the U.S. government shutdown, and ongoing safe-haven flows are expected to limit downside risk.
• WTI crude gained ground around $61.45 in early Asian hours after OPEC+ announced a modest 137,000 bpd production increase. However, upside momentum may be restrained as the IEA forecasts a record 3.33 million barrels per day (bpd) global oil surplus next year.
  Watchlist: GOLD: 2600-3880, US Oil: 55.60-75.80

Key Economic Events Today:

EST time
10:00 am: USD FOMC Member Bostic, Bowman Speaks
11:30 am: USD FOMC Member Kashkari Speaks
03:00 pm: USD Consumer Credit


Earnings

BMO (Before Market Open):

MKC                      McCormick and Company Inc.



The TEFS Analyst team wishes you a successful day!