US Markets Close Mixed as Fed Governor Hints at Rate Cut; Crypto Bill Signed

Market Performance and Fed Commentary

• 📈 The S&P 500 closed nearly unchanged, holding near record highs, while the Dow Jones Industrial Average saw a slight decline.
• 📉 Small-cap stocks, represented by the Russell 2000, were the session's laggards, losing ground.
• 💡 Federal Reserve Governor Christopher Waller reiterated his case for a July rate cut, suggesting inflation expectations are not rising.
• 📊 Consumer inflation expectations improved, with the University of Michigan data showing a decrease from the previous month.

Key Stock Movements and Corporate News

• ✅ Charles Schwab shares rose after reporting second-quarter earnings that topped estimates, with client assets reaching a new record.
• 🚀 Robinhood experienced a significant gain following President Trump's signing of the stablecoins bill, hailed as a victory for the crypto industry.
• 🛢️ California Resources saw a late trading pop after reports of Governor Newsom proposing a bill to streamline oil well permitting.
• 🏥 Humana shares fell after losing a lawsuit seeking to reverse cuts to Medicaid Medicare bonus payments, impacting potential revenue.
• 🚗 Lucid consolidated after a recent jump, following news of a planned Robotaxi fleet collaboration with Uber and Nuro.
• 🤝 Chevron shares declined despite winning an arbitration battle over the acquisition of Hess, a deal valued at $53 billion.

Fixed Income and Economic Indicators

• 📉 Treasury yields slid across the curve, with a more pronounced drop at the shorter end, such as the two-year yield.
• ⚠️ The 30-year Treasury yield finished the week below 5%, having previously reacted to reports of President Trump considering firing Fed Chair Jay Powell.

Notable Business and Education News

• 🍔 McDonald's faced lettuce shortages due to high demand for its reintroduced snack wraps, highlighting its significant impact on supply chains.
• 🏫 Harrow, a renowned UK boarding school, is set to open a New York-based offshoot with a tuition of $75,000, including boarding.