Banks are speaking: Is the real economy holding or breaking? 14/07/2026

 


HOT stories for today

Market wrap:

• US stocks fell sharply Monday after President Donald Trump announced the reinstatement of a blockade on Iranian shipping through the Strait of Hormuz, reigniting concerns over global energy supplies and escalating tensions in the Middle East. "We are reinstating the Iranian blockade," Trump said in a post on Truth Social, stating that the measure would prevent Iranian ships and their customers from entering or leaving the strategic waterway. The announcement sent oil prices sharply higher, with Brent crude surging more than 9% for its biggest one-day gain since 2020. The S&P 500 fell 0.8%, while the Nasdaq Composite dropped 1.6% as technology stocks led the decline. The Dow Jones Industrial Average slipped more than 100 points, or about 0.3%. Markets stabilized somewhat in Asia on Tuesday, where trading was mixed as investors continued to monitor developments in the Middle East while shifting their focus toward a busy day of economic data and corporate earnings. 
• Investors are awaiting quarterly results from major US banks including JPMorgan Chase (JPM), Goldman Sachs (GS) and Bank of America (BAC), while the June Consumer Price Index (CPI) report is also due before the opening bell. Economists expect headline CPI to decline 0.2% in June, bringing the annual inflation rate to 3.8%, largely reflecting lower energy prices after crude oil tumbled 25% during the month. Core inflation, which excludes food and energy, is forecast to rise 0.2% month over month, leaving the annual rate at 2.8%—still well above the Federal Reserve's 2% target.

Oil Climbs on Supply Concerns

• Oil extended its rally Tuesday after President Donald Trump announced plans to impose fees on vessels passing through the Strait of Hormuz and reinstate a blockade of Iranian ports, intensifying concerns over global supply disruptions. West Texas Intermediate crude rose 2% to $79.78 a barrel, while Brent gained 1.9% to $84.84 after surging 9.6% in the previous session. Trump said ships using the strategic waterway would be charged a fee equal to 20% of their cargo, describing the US as the “guardian” of the route. US Central Command said the blockade of Iranian ports near the strait would take effect Tuesday afternoon. 
• Citi warned that the proposed shipping fees materially increase the risk of further military escalation and could keep oil prices elevated for longer. The Strait of Hormuz carried roughly one-fifth of global oil supplies before US and Israeli strikes on Iran began in late February. Shipping activity fell sharply after Iran started targeting vessels in early March, though traffic had recently begun to recover following an interim agreement between Washington and Tehran.

Stocks on the move:

• AppLovin (APP): Shares sank 12%, making the software company the worst performer in the S&P 500 at the start of the week. The decline also put the stock on track for its sixth loss in seven sessions.
• Biogen (BIIB): Shares gained nearly 2% after Truist upgraded the biotechnology company to buy from hold, citing potential upside from upcoming clinical-trial data.
• Nio (NIO): The Chinese electric-vehicle maker’s US-listed shares rose 3% after Goldman Sachs upgraded the stock to buy from neutral. The bank expects faster volume growth, stronger margins and a significant improvement in profitability and free cash flow. Its new $7 price target implies about 46% upside from Friday’s close.
• SpaceX (SPCX): Shares fell nearly 4% to a fresh post-IPO low, moving closer to the company’s $135 offering price. The stock has lost more than 13% over the past week despite the Federal Aviation Administration closing an investigation, clearing the way for another flight test as early as this week.

Watchlist: JPM, BAC, WFC, C, FAST, MU, SNDK, SPCX, SKHY, ERIC

Key Economic Events Today:

EST time

08:30 am: USD Core CPI, CPI
10:00 am: USD Fed Chairman Warsh Testifies
12:40 pm: USD FOMC Member Barr Speaks
01:00 pm: USD FOMC Member Goolsbee Speaks
02:55 pm: USD FOMC Member Bowman Speaks


Earnings

BMO (Before Market Open): JP Morgan Chase (JPM), Bank of America (BAC), Goldman Sachs (GS), Wells Fargo (WFC), Citigroup (C), Fastenal Company (FAST), Ericsson (ERIC)

AMC (After Market Close): Aehr Test (AEHR), Kestra Medical (KMTS)




The TEFS Analyst team wishes you a successful day!