Market Rundown: Stocks Hit Record Highs Amid Trade Talks and Central Bank Focus

Market Performance and Trade Optimism

• 📈 Stocks opened the week higher, aiming to conclude a blockbuster month after closing at an all-time high on Friday.
• 🤝 Global trade remains a dominant theme, with progress in US-Canada trade talks boosting optimism.
• 🇨🇦 Canada withdrew its digital services tax on tech companies to restart trade talks with the US, with a deal aiming for July 21st.

Oil Market and OPEC+ Decisions

• 🛢️ Oil experienced its biggest weekly loss in over two years, influenced by a shaky truce between Israel and Iran.
• 📈 OPEC+ delegates indicated a plan to boost production by 411,000 barrels per day in August, marking the fourth consecutive month of significant hikes.

US Tax Bill and Deficit Concerns

• 💰 President Trump's tax and spending bill could add $3.3 trillion to US deficits over a decade, according to the Congressional Budget Office.
• ⚠️ Senate Republicans are rushing to meet a Fourth of July deadline, but some members' dissatisfaction with bill aspects risks its passage.

OpenAI's Chip Strategy and AI Developments

• 💡 OpenAI has reportedly begun renting Google's AI chips to power its products, marking a shift away from its primary supplier, Nvidia.
• 🚀 Google is leveraging its in-house AI technology to drive growth in its cloud business.

Central Bank Watch

• 🏦 Central banks are set to take the spotlight this week, with the ECB forum in Portugal hosting key international bankers.
• 🎤 ECB President Christine Lagarde is scheduled to speak this evening, followed by Fed Chair Pile tomorrow.