The Daily Wrap - July 24,2026

Markets are being rattled as escalating U.S.-Iran conflict pushes oil prices past $99 a barrel, while Alphabet's record $5.9 billion cash burn raises serious concerns across Big Tech about the colossal cost of the AI arms race. In major earnings news, Tesla's stock is plunging 10% after a profit miss fueled by its own heavy spending on AI and robotics, whereas defense contractor Lockheed Martin is soaring over 10% on a stellar beat-and-raise quarter. Other notable movers include Comcast, which saw its Peacock streaming service turn its first-ever profit, and T-Mobile, which is sliding despite a profit beat due to a slight revenue miss.  

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Transcript

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From Phoenextra Pro in Tampa, it's Friday, July 24th, and I'm Rachel Anderson with the Daily Rap. Today, renewed tensions with Iran put oil back in focus. U.S. strikes on Iran have reignited geopolitical anxiety. This initially lifted oil prices and put pressure on stocks. By Thursday, the markets had steadied with U.S. stock index futures edging higher after a sharp sell-off the day before. The earlier drop saw Nasdaq futures hit a four-week low after President Trump announced that a memorandum of understanding to end the four-month conflict was over, sending oil prices higher. Energy price swings remain a key factor for corporate costs and investor confidence. On the day due side, weekly U.S. jobless claims fell to 187,000 for the week through July 18th, down from a revised 209,000 the prior week. This decline surprised economists and highlighted the resilience of the labor market. The broader picture points to stable employment with slightly softer hiring momentum, suggesting a gradual cooling rather than an abrupt downturn. For the markets, this mix suggests growth is slowing but not stalling. Bank of America provided a $520 million credit facility to OpenAI, marking the bank's first loan to the AI developer. This financing prepares OpenAI for a potential initial public offering and helps fund additional computing power and the rollout of advanced generative AI models. The deal highlights intensifying competition among U.S. banks to build relationships with leading AI platforms. For investors, it signals both the lender's push to capture future advisory and capital markets fees and the ongoing capital needs behind AI growth. A Deloitte survey shows back-to-school spending is set to decline, with U.S. households planning to cut purchases by about 6% after adjusting for inflation. Families cited economic uncertainty and higher living costs. This points to challenges for retailers that rely on the season. Investors will be watching sales updates from chains most exposed to school supplies, apparel, and electronics. NASDAQ futures slid sharply, hitting a four-week low as investors pulled back from high-flying semiconductor names. Doubts about the longevity of the AI-driven rally weighed on chip stocks. Renewed tensions related to Iran and surging oil prices added a broader risk layer to the situation. The takeaway for markets, leadership from AI and chips, faces a test just as macro uncertainty is climbing. Swift launched a blockchain-based shared ledger pilot with 16 global banks, including Citigroup and HSBC, to enable 24-7 interbank payments and compete with stablecoin-based systems. This initiative aims to speed up cross-border transactions and improve transparency and reconciliation, as traditional banks defend their fee pools from fintech and crypto native challengers. Separately, Citigroup completed its first instant international US dollar payment with Thailand's Siam Commercial Bank. For U.S. clients, faster and more certain dollar transfers could reshape treasury and cash management offerings, especially for Asia-linked trade. The push underscores how banks are modernizing payments to retain corporate customers. In the Treasury market, here are the latest levels. The five-year is around 4.43%. The 10-year is about 4.68%. And the 30-year bond yield is roughly 5.16%. Longer-term yields influence mortgage and corporate borrowing costs. And now, let's check the scoreboard. Markets are mixed as oil headlines clash with steady labor day tow. The SNP is up around 3-tenths of a percent. The Dow is up about half a percent, and the Nasdaq is down roughly a tenth of a percent. That's all for your daily wrap today. I'm Rachel Anderson from Phinextra Pro Turning Data into Stories.