🌳 U.S. Job Openings Decline, Labor Market Stabilizes; Senator Lummis Proposes Concrete Plans Towards Strategic Bitcoin Reserve

Macro & TradFi

In June, U.S. job openings slightly decreased by 46,000 to 8.184 million, while May's data was revised higher, indicating a gradual labor market slowdown without severe weakening. Although consumer confidence rose to 100.3 in July, perceptions of the labor market worsened, with an increasing number viewing jobs as hard to get. The Federal Reserve, maintaining interest rates between 5.25% and 5.50%, is expected to consider rate cuts in September. Declining hires and voluntary quits, alongside a reduction in layoffs, suggest a stabilizing labor demand, which may support a balanced labor market and moderate inflation.

Elsewhere, the yen achieved its largest monthly gain in a year and a half in July, rising approximately 5% against the dollar amid speculation that the Bank of Japan (BOJ) might increase interest rates. The BOJ is expected to detail plans to taper its huge bond-buying on Wednesday and debate whether to raise interest rates, signaling its resolve to steadily unwind a decade of massive monetary stimulus. The strength of Yen contrasts with its 7.5% year-to-date decline, marking the yen as the poorest performer among Group-of-10 currencies. Japanese bond yields rose as traders anticipated a possible rate hike. Despite its recent gains, ongoing concerns about the yen's weakness prompted Japan's new currency chief to highlight its economic drawbacks. If the BOJ disappoints market expectations for tightening, the yen could sharply decline, potentially prompting government intervention.

On Tuesday, the S&P 500 and Nasdaq fell, pressured by weak chip and mega-cap share performances ahead of key tech earnings, while the Dow posted modest gains. Microsoft declined 0.89% before further losses post-market due to disappointing Azure cloud growth. Nvidia plunged 7.04%, pulling the Philadelphia semiconductor index down 3.88%. Major tech stocks like Apple, Amazon, and Meta had mixed results while Samsung Electronics reported a six-fold surge in net income, driven by a recovery in its chip division and strong demand for AI-related products. Amidst the broader decline, the Dow rose 0.5%, supported by the financial and energy sectors. Procter & Gamble and Merck fell sharply after missing sales expectations and cutting profit forecasts. Investors remain cautious ahead of the Federal Reserve's policy meeting tomorrow, along with upcoming BOJ policy decisions and earnings reports from Meta, Apple, and Amazon.

DeFi & CeFi

   •   Senator Lummis proposed a daft of the Strategic BTC Reserve legislation

   •   Circle is reportedly trading at $5B valuation ahead of its IPO

   •   DrafrJubfs cuts the NFT business

   •   Trump's campaign raise $21M during Bitcoin 2024 conference

   •   SEC intends to amend complaint in the Binance case regarding third-party tokens

   •   SEC sues BitClout founder Nader Al-Naji

🌳 U.S. Job Openings Decline, Labor Market Stabilizes; Senator Lummis Proposes Concrete Plans Towards Strategic Bitcoin Reserve

Macro & TradFi

In June, U.S. job openings slightly decreased by 46,000 to 8.184 million, while May's data was revised higher, indicating a gradual labor market slowdown without severe weakening. Although consumer confidence rose to 100.3 in July, perceptions of the labor market worsened, with an increasing number viewing jobs as hard to get. The Federal Reserve, maintaining interest rates between 5.25% and 5.50%, is expected to consider rate cuts in September. Declining hires and voluntary quits, alongside a reduction in layoffs, suggest a stabilizing labor demand, which may support a balanced labor market and moderate inflation.

Elsewhere, the yen achieved its largest monthly gain in a year and a half in July, rising approximately 5% against the dollar amid speculation that the Bank of Japan (BOJ) might increase interest rates. The BOJ is expected to detail plans to taper its huge bond-buying on Wednesday and debate whether to raise interest rates, signaling its resolve to steadily unwind a decade of massive monetary stimulus. The strength of Yen contrasts with its 7.5% year-to-date decline, marking the yen as the poorest performer among Group-of-10 currencies. Japanese bond yields rose as traders anticipated a possible rate hike. Despite its recent gains, ongoing concerns about the yen's weakness prompted Japan's new currency chief to highlight its economic drawbacks. If the BOJ disappoints market expectations for tightening, the yen could sharply decline, potentially prompting government intervention.

On Tuesday, the S&P 500 and Nasdaq fell, pressured by weak chip and mega-cap share performances ahead of key tech earnings, while the Dow posted modest gains. Microsoft declined 0.89% before further losses post-market due to disappointing Azure cloud growth. Nvidia plunged 7.04%, pulling the Philadelphia semiconductor index down 3.88%. Major tech stocks like Apple, Amazon, and Meta had mixed results while Samsung Electronics reported a six-fold surge in net income, driven by a recovery in its chip division and strong demand for AI-related products. Amidst the broader decline, the Dow rose 0.5%, supported by the financial and energy sectors. Procter & Gamble and Merck fell sharply after missing sales expectations and cutting profit forecasts. Investors remain cautious ahead of the Federal Reserve's policy meeting tomorrow, along with upcoming BOJ policy decisions and earnings reports from Meta, Apple, and Amazon.

DeFi & CeFi

   •   Senator Lummis proposed a daft of the Strategic BTC Reserve legislation

   •   Circle is reportedly trading at $5B valuation ahead of its IPO

   •   DrafrJubfs cuts the NFT business

   •   Trump's campaign raise $21M during Bitcoin 2024 conference

   •   SEC intends to amend complaint in the Binance case regarding third-party tokens

   •   SEC sues BitClout founder Nader Al-Naji