Wall Street showed signs of moderate uncertainty during the session. Although the main indexes remain close to historical highs, the session was cautious due to potential changes in monetary policy between the U.S. and the EU. The dollar index rose by nearly 0.25%, while the euro fell by 0.11%, settling just below 1.070.
The weakening of the dollar and a lower risk aversion environment boosted cryptocurrencies. Bitcoin ETFs in the U.S., particularly BlackRock's IBIT, reported inflows of over $1 billion, driving the price of BTC. Other cryptocurrencies like Ethereum and Cardano also showed gains.
Beyond tech giants like Nvidia, Amazon, and Alphabet—which continue to support the performance of the Nasdaq 100—Levi Strauss shares rose following strong second-quarter results, highlighting growth in direct-to-consumer channels and organic product sales.
Drone manufacturers, such as AeroVironment and Kratos Defense, surged strongly driven by the renewed focus of the U.S. Department of Defense on unmanned systems, in line with a military strategy more focused on technological innovation.
The Canadian dollar strengthened significantly against the U.S. dollar after better-than-expected employment data was released, increasing the likelihood of a more restrictive tone from the Bank of Canada. Swap markets now discount an 18% probability of a rate hike this month, down from 27% prior to the labor report.
Oil recorded an increase of more than 2% after the European Commission proposed reducing the cap on the price of Russian crude from the current $60 to a range between $50 and $60 per barrel, as part of the 18th sanctions package from the bloc. Speculations about possible additional sanctions from Donald Trump are increasing.
