1. Asia markets trade higher after Trump vows to significantly raise tariffs on India: Markets Wrap
Asia-Pacific markets traded higher after U.S. President Donald Trump announced plans to significantly raise tariffs on Indian exports to the country. “India is not only buying massive amounts of Russian Oil, they are then, for much of the Oil purchased, selling it on the Open Market for big profits,” Trump wrote on the social media platform Truth Social. India markets slipped at the open as investors kept an eye on trade developments between the U.S. and the South Asian nation. The benchmark Nifty 50 declined 0.42% while the BSE Sensex was down 0.31%. The Indian rupee weakened 0.15% against the dollar to 87.792 against the greenback. Japan’s benchmark Nikkei 225 was up 0.54%, while the Topix inched higher 0.45%. South Korea’s Kospi gained 1.77%, and the small-cap Kosdaq rose 1.83%.
2.S&P 500 closes lower Tuesday, weighed down by tariff fears and poor economic data
The S&P 500 pulled back Tuesday as traders digested weaker-than-expected economic data and new tariff comments from President Donald Trump, stoking concerns about the state of the U.S. economy. The broad market index dropped 0.49% and closed at 6,299.19, while the Nasdaq Composite shed 0.65% to end at 20,916.55. The Dow Jones Industrial Average shed about 61.90 points, or 0.14%, settling at 44,111.74. The market has seen a whirlwind past few days, with the Dow falling more than 500 points Friday after the latest jobs report signalled that the labour market has been weakening for months. The blue-chip index then recovered those losses Monday, surging almost 600 points. Stocks were also bogged down by Trump telling reporters that tariffs on chips, as well as pharmaceuticals, were coming soon.
3. Gold steadies as firm dollar offsets rate cut bets
Gold prices held steady on Tuesday as a firmer dollar countered support from U.S. rate cut bets, while market participants awaited President Trump’s announcement on new Federal Reserve appointments. Spot gold was up 0.1% at $3,376.80 per ounce, after rising to its highest level since July 24 on Monday. U.S. gold futures also rose 0.1% at $3,430. The dollar was up 0.2%, making greenback-priced gold more expensive for overseas buyers. Markets are currently pricing in two rate cuts by year-end, beginning in September after Friday’s unexpectedly weak June hiring data.
4. Oil falls as OPEC+ output hikes counter Russia disruption concerns
Oil fell on Tuesday as traders assessed rising OPEC+ supply and worries of weaker global demand, against U.S. President Donald Trump’s threats to India over its Russian oil purchases. The Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, agreed on Sunday to raise oil production by 547,000 barrels per day for September, a move that will end its most recent output cut earlier than planned. Brent crude futures fell $1.12, or 1.63%, to close at $67.64 a barrel, while U.S. West Texas Intermediate crude slipped $1.13, 1.7%, to close at $65.16. Both contracts fell by more than 1% on Monday to settle at their lowest in a week.
5. U.S. dollar rises as market eyes Fed chair successor
The U.S. dollar rose against most currencies on Tuesday, but remained within striking distance of Friday’s lows, with the market still in consolidation mode. The market is focused on President Donald Trump’s nominations to the Federal Reserve Board after the resignation of Fed Governor Adriana Kugler last Friday as well as his choice for commissioner of Bureau of Labor Statistics. Trump on Tuesday said he would announce decisions soon on a short-term replacement for Kugler, including his pick for the next Fed chair. He ruled out U.S. Treasury Secretary Scott Bessent as a contender to replace current chief Jerome Powell whose term ends in May 2026. Bessent wanted to remain in his current job. The White House is looking at four candidates to replace Powell.
6. Trump says pharma tariffs could eventually reach up to 250%
President Donald Trump told news reporters on Tuesday that planned tariffs on pharmaceuticals imported into the U.S. could eventually reach up to 250%, the highest rate he has threatened so far. He said he will initially impose a “small tariff” on pharmaceuticals, but then in a year to a year and a half “maximum,” he will raise that rate to 150% and then 250%. The president has repeatedly threatened and then changed course on tariff proposals, so there’s no guarantee he will eventually set pharmaceutical tariffs at the 250% rate. In early July, Trump had threatened 200% tariffs on pharmaceuticals. The tariffs are the president’s bid to incentivize drug companies to move manufacturing operations to the U.S. at a time when domestic drug production has shrunk dramatically over the last few decades.
7. India calls out EU and U.S. on trade with Russia after Trump threatens steeper tariffs on New Delhi
India said it was being “targeted” by the U.S. and the European Union over its imports of Russian oil after U.S. President Donald Trump in an overnight social media post threatened New Delhi with much steeper tariffs. India began importing oil from Russia only after “traditional supplies” were diverted to Europe following the outbreak of the Russia-Ukraine war in 2022, the country’s foreign ministry said in a statement late Monday. India’s response comes after Trump threatened on Monday that he would be “substantially raising” the tariffs on India, although he did not specify the level of the higher tariffs. The U.S. president had threatened a 25% duty on Indian exports, as well as an unspecified “penalty” last week. He also accused India of buying discounted Russian oil and “selling it on the Open Market for big profits.”
8. Trump says new semiconductor tariff plan coming as soon as next week
President Donald Trump said Tuesday he will unveil new tariffs on semiconductors and chips as soon as next week. “We’re going to be announcing on semiconductors and chips, which is a separate category, because we want them made in the United States,” Trump said during a lengthy interview. Trump said that announcement will come “within the next week or so.” He did not provide other details about the plan. Trump revealed the tariff timeline days after he signed an executive order to impose new U.S. duties on a slew of countries’ imports, with some trading partners facing steep hikes. Taiwanese goods are set to face an updated tariff of 20% starting this week, though that is down from the 32% duty Trump had previously threatened as part of his April 2 “liberation day” levies.
9. AMD reports weaker-than-expected earnings even as revenue tops estimates
Advanced Micro Devices reported quarter earnings on Tuesday that missed estimates. The stock slid about 5% in extended trading. AMD reported net income during its fiscal second quarter of $872 million, or 54 cents per share, increasing from $265 million, or 16 cents per share in the year-ago period. Nvidia’s overall sales rose 32% in the period from $5.84 billion a year earlier. During the quarter, AMD announced new AI chips called the MI400 that are expected to hit the market next year. OpenAI CEO Sam Altman committed to using AMD’s newest GPUs. AMD is also grappling with chip export controls which have been placed on some of its AI chips because the U.S. government worries that powerful GPUs could be used by adversaries to surpass American capabilities or be used for military purposes. AMD’s adjusted gross margin during the quarter was 43%. The company said it would have been 54% if not for export control costs.
10. Tesla sales in Britain and Germany fall by more than 55% as China’s BYD soars
Tesla’s new car sales plummeted in both Britain and Germany in July, according to industry data published Tuesday, extending a protracted European downturn for the U.S. electric automaker. Data published by the U.K.’s Society of Motor Manufacturers and Traders (SMMT) showed Tesla’s new car sales dropped by nearly 60% to 987 units last month, down from 2,462 a year ago. In Germany, Tesla car sales fell to 1,110 units in July, down 55.1% from the same month in 2024. The number of Tesla’s sold in Europe’s largest economy over January-July, meanwhile, plunged by 57.8% to 10,000 units, data from road traffic agency KBA showed. In sharp contrast, China’s EV giant BYD posted astronomical growth in two of Europe’s largest car markets last month.
11.Rivian loss bigger than expected on higher costs, lower credit income
Rivian Automotive reported a higher-than-expected quarterly loss on Tuesday as disruption in supply of rare earth metals used to make parts of its electric vehicles raised costs and income from credits sold to traditional automakers dwindled. Shares of the automaker fell 4% in trading after the bell. China’s curbs on the export of heavy rare earth metals —essential components for motors — sharply increased material costs and disrupted supply chains, driving up the cost of EV production in the U.S. The elimination of penalties for automakers not meeting fuel economy standards by President Donald Trump’s administration has drastically reduced demand for regulatory credits, which companies like Rivian previously sold to traditional automakers to help them avoid emissions fines. The company delivered 10,661 vehicles in the second quarter, marking a 22% decline from the same period a year earlier, as Rivian limited production to prepare for its 2026 model year launch.
12. US agency approves OpenAI, Google, Anthropic for federal AI vendor list
OpenAI’s ChatGPT, Google’s Gemini and Anthropic’s Claude have been added to a list of approved AI vendors, the U.S. government’s central purchasing arm said on Tuesday, as the Trump administration aims to boost AI’s use by federal agencies. Tuesday’s approvals by the General Services Administration (GSA) are part of a new AI blueprint released on July 23 that aims to loosen environmental rules and vastly expand AI exports to allies, in a bid to maintain the U.S. edge over China in the technology. The GSA’s step means the approved AI tools will be available for government agencies to use on a platform with contract terms in place. Federal agencies will explore “a wide range of AI solutions, from simple research assistants powered by large language models to highly tailored, mission-specific applications,” the GSA said.
13. Match Group shares rally 6% as revenue guidance tops expectations
Match Group shares surged 6% after the dating app company beat revenue expectations and provided third-quarter guidance that exceeded analyst estimates, despite flat year-over-year performance. The company reported second quarter revenue of $863.7 million, surpassing the consensus estimate of $853.39 million, while adjusted earnings per share of $0.49 met expectations. Revenue remained flat YoY but declined 1% on a foreign exchange neutral basis. For the third quarter, Match Group forecasts revenue between $910 million and $920 million, well above analyst expectations of $889.8 million. The stock’s strong rally reflects investor optimism about the company’s outlook despite challenges. CEO Spencer Rascoff highlighted the company’s ongoing transformation: “Six months ago, we took a hard look at how we work, what we build, and what users want from our apps. We moved fast to reset the company culturally, organizationally, and strategically.” While Tinder’s user base declined, contributing to a 5% YoY drop in total payers to 14.1 million, the company saw bright spots in its portfolio. Hinge continued its strong performance with revenue growing 25% YoY and monthly active users increasing nearly 20% in the first half of 2025.