President Donald Trump announced new 50% tariffs on copper imports from seven countries, including Mexico, the Philippines, Brunei, and Sri Lanka, set to begin on Aug. 1. These tariffs represent one of the highest duty rates imposed by the White House.
Despite the tariff announcements, U.S. stocks rose, with the Nasdaq Composite closing at a new record high. Investors seem to be shifting their focus away from trade tensions and rekindling their interest in artificial intelligence (AI). Shares of Nvidia surged on Wednesday, contributing to broader gains in major tech companies such as Meta Platforms, Microsoft, and Alphabet.
This investor behavior indicates a growing preference for technology investments, particularly AI.
Nvidia boosts tech stocks amid tariffs
All three major U.S. benchmarks climbed on Wednesday, with the Nasdaq Composite advancing 0.94% to a new high of 20,611.34.
The Singapore market also hit a new high for the fourth consecutive day amid global market movements. The Bank of Korea kept rates steady at 2.5%, assessing the impact of recent measures to cool the property market. Most Federal Reserve officials foresee upcoming rate cuts, though opinions vary on the extent.
Minutes from the June 17-18 meeting highlighted that officials viewed tariff-induced inflation pressures as potentially “temporary and modest,” while noting potential weakening in economic growth and hiring. Despite a weak economy, certain asset managers identify compelling opportunities in the London market, deeming them “hard to ignore.”
In other significant news, Linda Yaccarino announced her resignation as CEO of Elon Musk’s social media site X after two years. Her departure comes amid controversy surrounding Musk’s artificial intelligence chatbot Grok, which has made inflammatory comments recently.
A source familiar with the situation indicated that Yaccarino’s exit had been planned for more than a week.