Happy Tuesday! Wall Street is betting on rate cuts and the White House is pushing for it as well, but the Federal Reserve just got another reason to stay put. Read on to see why the central bank is in a tough spot, and why investors may need to brace for a longer wait.

Also, Tesla’s latest plunge isn’t about missed deliveries or slowing EV demand; it’s about politics, perception and a growing identity crisis. Discover why a new contender may be poised to take Tesla’s place among the Magnificent 7.

Plus, if you are looking to generate monthly income with options, check out today’s sponsor.

In today's edition

• MARKET RECAP

• FIVE ZINGERS

• MARKET HISTORY

• ONE FOR THE ROAD

Trump And Wall Street Want Rate Cuts — The Data Says: Keep Waiting

The President wants a rate cut, Wall Street wants a rate cut… everyone wants a rate cut.

Well… except for the Federal Reserve. And based on the latest jobs report, the central bank won’t be listening anytime soon — even if the whispers to cut are getting louder.

A stronger-than-expected June jobs report has complicated the hopes of those clamoring for rate cuts as unemployment fell and job growth held steady. The Fed’s case for cutting rates anytime soon looks bleak — especially with ongoing inflation concerns amid ongoing tariffs and a lack of deals at the moment.

According to the latest Fed-funds futures, the expectation of a rate cut in September has dropped from 75% to just over 60% in less than a week. And with conflicting data signals and the unknown when it comes to tariffs impact and global uncertainties, the Fed may hold off longer than most expect.

If the “Goldilocks” scenario the market is pricing in doesn’t materialize, both stocks and bonds could be in for a surprise. Read on to see what this could mean for your investment strategy.

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Yesterday: U.S. indexes fizzled Monday, coming down from all-time highs as fresh tariff announcements from the White House sparked volatility and dampened investor sentiment. After a strong run leading into the July 4th holiday, markets lost steam, turning celebrations into a dud. Fireworks faded fast after President Trump reignited trade tensions with new tariffs, up to 30% on imports from 14 countries, including Japan, South Korea and South Africa. The move came as a surprise to investors and raised fears of higher inflation and slower growth. Treasury yields edged higher, with the 10-year climbing to 4.39%, as markets dialed back expectations for Fed rate cuts following strong job gains last month. Oil prices rose on supply concerns despite increased OPEC+ production.

On Our Radar: Analysts will be paying attention to the consumer credit report, which will be released this afternoon. On the earnings front, all eyes will be on Aehr Test Systems (AEHR) and Saratoga Investment Corp (SAR), which will report after market close today.

Hims & Hurdles: Shares of Hims & Hers continue to tumble after the partnership with Novo Nordisk ended, amid lawsuits over the legality of mass-produced compounded weight-loss drugs. Discover how this split and ongoing legal battles could reshape the future of both the company and the booming GLP-1 market.

Lilly Pad: Eli Lilly’s stock has underperformed recently, but new market signals and strong drug sales suggest a turnaround is coming. Read on to see how savvy options traders are positioning for a potential upswing.

Taxi Wars: Ross Gerber says Uber’s ride-sharing throne is going to get eaten alive as autonomous taxis gear up to take the wheel. With Uber already partnering with tech giants like Waymo and Pony AI, the race to driverless domination is on. Click here to see the breakdown and who’s set to drive the future of transportation.

Loan Boom: President Trump’s new federal student loan limits are pushing borrowers toward private lenders, putting SoFi in a prime position to capitalize. Find out how these changes could spark a surge in private student loans, and why you should pay attention.

S&P Pupgraded: Datadog is officially joining the S&P 500 tomorrow, prompting analysts to raise their price targets on the company. Also, read on to see why one analyst is calling it a top pick for the second half of this year.

Join 42-year Wall Street veteran Matt Maley this Wednesday at 6:00 PM ET as he breaks down how he’s trading the current macro pressure zone. With tariff deadlines approaching, oil-driven inflation rising and fiscal battles building in Washington, Matt will show you exactly how he’s positioning his portfolio using leveraged ETFs and macro timing signals. The next big move is forming — don’t miss this free strategy session.

On This Day In 1932…

The Dow Jones Industrial Average closed at 41.22, its lowest point during the Great Depression. This marked the bottom of a nearly three-year collapse in U.S. equities, which resulted in a decline of nearly 90% from its peak on September 3, 1929. While this day represented a historic low, it also marked the start of a slow climb from the ashes, as it took 25 years for the Dow to fully return to its pre-crash high. This event remains one of the most profound reminders of the market's volatility and resilience over the years. Fast forward to today, the Dow stands at more than 44,000, for a total gain of 107,590% from the low in 1932.

QUOTE OF THE DAY

“Mimicking the herd invites regression to the mean.”

— Charlie Munger

Why Broadcom Could Replace Tesla In Magnificent 7

Tesla is no stranger to headlines, but this time, the story isn’t about innovation or electric dominance — it’s about political fallout and a staggering stock slide.

From Elon Musk’s public feud with President Trump to most recently launching a new political party, Tesla’s reputation as a cutting-edge tech leader is being overshadowed by drama. The result? Shares have tumbled 20% in just six weeks, and the whispers are only getting louder about whether it still belongs among the elite “Magnificent Seven.”

Who would replace Tesla?

Enter Broadcom, the semiconductor powerhouse that continues to chug along. With a market cap of $1.3 trillion — now well above Tesla ($945 billion) — and having outperformed Tesla over the past 10 years, Broadcom is quickly becoming the dark horse candidate to join the ranks of Alphabet, Amazon, Apple, Meta, Microsoft and Nvidia.

Is this the beginning of a major reshuffle in Big Tech? Read on for the full breakdown.

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