Stock Market Update

The stock market is poised for a higher opening this morning, with President Trump's announcement of tariff exemptions for chips and semiconductors pushing futures higher.

The exemptions will come for companies that commit to domestic development. Apple (AAPL 218.83, +5.56, +2.61%) traded higher yesterday after announcing a $100 billion increase in its domestic production, with its gains rippling across other mega-cap stocks, helping the major averages close with healthy gains. 

Several additional tariff rates will take effect today, as key U.S. trading partners lobby the White House for exemptions. 

In the geopolitical sphere, Bloomberg reports that President Trump and Russian President Vladimir Putin have agreed to hold a summit in the coming days.

Initial jobless claims for the week ending August 2 increased by 7,000 to 226,000 (Briefing.com consensus: 220,000). Continuing jobless claims for the week ending July 26 increased by 38,000 to 1.974 million, which is the highest level since November 6, 2021.

The key takeaway from the report, in light of the soft nonfarm payrolls data seen last week, is the jump in continuing jobless claims, which will be seen as a sign/symptom of a softening labor market.