Trump and Stocks Rally in Defiance

Plus: Powell Hints at Rate Cuts, BlackRock’s Asset Surge, and Bitcoin’s Trump Boost ͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­ Forwarded this email? [Subscribe here]() for more [Trump and Stocks Rally in Defiance]( Plus: Powell Hints at Rate Cuts, BlackRock’s Asset Surge, and Bitcoin’s Trump Boost [Josh Belanger](joshbelanger) Jul 15 joshbelanger   [READ IN APP](   God Bless the USA! This past Saturday could have marked a major turning point in American history. An assassination attempt on Donald Trump, the current frontrunner for the 2024 election, has shocked the nation. The severity of the situation demands our full attention. Trump, who was injured in the attack, called for national unity and resilience against "evil." Surprisingly, markets moved higher, similar to the 1% rally after the assassination attempt on President Ronald Reagan, as investors shrugged off initial fears and turned their focus towards anticipated rate cuts and strong corporate earnings. Powell Confident on Inflation Path, Hints at Rate Cuts Generated by AI. Why it matters: Jerome Powell's recent comments have sparked market speculation on potential rate cuts. Strong Q2 data boosts confidence in hitting the Fed's 2% inflation target. The Details: - Context: The Fed has kept interest rates high to curb inflation. - Powell’s Take: Positive economic data and a cooling job market could mean rate cuts soon, possibly starting in September. - Market Impact: Traders are now betting on at least two rate cuts by the end of 2024. Zoom In: The labor market, while resilient, has seen a rise in unemployment, reinforcing the case for lower rates. Big Picture: Powell stresses the importance of balancing inflation control with job market stability. He remains cautiously optimistic, noting the labor market is no longer "overheated." Bottom Line: Continued positive trends may lead to the Fed lowering rates to maintain stable prices and support employment. The Rich Get Richer: BlackRock’s Massive Asset Surge Generated by AI. Why it matters: BlackRock, the world's largest money manager, reached a record $10.6 trillion in assets, driven by strong ETF inflows and fixed-income investments. The Details: - Q2 Highlights: BlackRock brought in $51 billion in client cash to long-term investment funds. - ETF Surge: Investors added $83 billion to ETFs, marking a record start to the year. - Fixed-Income Growth: $35 billion flowed into fixed-income funds, despite a $20 billion redemption by an insurance client. Between the lines: CEO Larry Fink highlighted growth in private markets and active fixed income as key drivers. The firm also saw $30 billion in net flows to cash-management funds. Zoom in: Despite some institutional outflows, BlackRock's adjusted net income per share rose 12% to $10.36, beating expectations. Big Picture: BlackRock's recent acquisitions, including Global Infrastructure Partners and Preqin, aim to expand its reach in private assets and alternative investments. The bottom line: While BlackRock's growth is impressive, the more money they control, the more power they have over your investments, potentially at the expense of shareholder rights. Bitcoin Soars as Trump’s Crypto Boost Looms Generated by AI. Why it matters: Bitcoin’s price surged 5% to $62,903 after the assassination attempt on Donald Trump. Traders believe a Trump victory could be a win for crypto. The Details: - Market Reaction: Bitcoin jumped early Monday, reacting to news of the attack. - Trump Effect: Trump is seen as pro-crypto, and his campaign began accepting crypto donations in May. - Political Impact: The attack may have strengthened Trump’s position, increasing his chances in the 2024 election. Zoom in: Trump’s policies are viewed more favorably for Bitcoin compared to President Biden. The Republican National Committee supports pro-crypto policies. Big Picture: The excitement around potential pro-crypto leadership fuels market optimism. Despite a previous peak of $74,000 in March, Bitcoin's price has fluctuated. The bottom line: Bitcoin's surge underscores the crypto market's sensitivity to political events and the potential for significant gains under favorable political conditions. Quick Sizzles - Nvidia's $50 Trillion Vision: Top investor James Anderson predicts Nvidia could hit a $50 trillion valuation in a decade, driven by AI dominance and exponential growth. - Platinum Fund Frenzy: Investors flock to platinum ETFs amid soaring hybrid vehicle sales, boosting demand for the metal used in emissions controls. - Rate Cuts Won’t Help Banks Right Away: Fed rate cuts may eventually boost banks, but immediate benefits are unlikely as deposit costs remain high. - Heat Waves’ Hidden Costs: Uninsured damages from heat waves are skyrocketing, causing billions in losses and straining infrastructure and agriculture. - China's Economic Slowdown: China’s Q2 GDP growth fell to 4.7%, sparking calls for aggressive stimulus amid a property slump and weak consumer spending. - China’s Trillion-Dollar Debt Threat: Local governments' off-the-books debt, estimated at $7-11 trillion, risks a financial crisis and hampers economic growth. You’re currently a free subscriber. Upgrade for the full experience and receive exclusive special reports like "How to Get Rich in The Stock Market" and "Congress' Secret Stock Playbook: The Top 5 Power Picks Revealed”. [Upgrade to paid](   [Like]( [Comment]( [Restack](   © 2024 Josh Belanger 548 Market Street PMB 72296, San Francisco, CA 94104 [Unsubscribe]() [Get the app]( writing]()