CNBC

Lead Story

The U.S. Treasury executed its first yen-buying intervention with Tokyo in over a decade, utilizing the Federal Reserve Bank of New York to stabilize the battered Japanese currency. The historic move temporarily dragged the dollar down to 157.6 yen, signaling a hard line against further speculative shorting.

Markets & Economics

Wall Street capped a volatile week that saw the Dow snap a three-week losing streak, but bond markets are flashing warnings after the Federal Reserve held interest rates steady. Fed Chair Kevin Warsh faced hawkish dissent from three FOMC members pushing for an immediate rate hike, sending the 10-year Treasury yield surging past 4.7%. Despite the hawkish panic, alternative inflation indicators like the Dallas Fed’s trimmed mean showed a one-month annualized PCE drop to just 1.4%. Meanwhile, in international markets, Knight Frank researchers report that UAE property prices are stabilizing as speculative buying cools despite ongoing geopolitical conflicts.

Business & Earnings

Big Tech earnings created massive divergence this week as investors separated the true AI beneficiaries from the heavy spenders. Microsoft and Amazon surged 21% and 17% respectively for the week after proving their capital expenditures are yielding massive cash flow and AWS growth. Conversely, Meta plunged on a weak revenue outlook and shrinking free cash flow, while Apple slid 7% as memory chip costs and supply constraints overshadowed its quarter. In retail, incoming Best Buy CEO Jason Bonfig is shifting the electronics giant’s strategy toward small-format, 12,000-square-foot stores to penetrate new markets.

Investing & Commentary

Jim Cramer advised investors that the highly-leveraged liquidation of the Situational Awareness hedge fund was a “sure signal to buy” the dip in AI hardware stocks. Elsewhere, Bank of America is urging investors to buy Spotify, RB Global, and Ralph Lauren ahead of their upcoming earnings reports, citing stable underlying trends and margin upside. Finally, Berkshire Hathaway Class A shares notched an eight-month high of $768,010, propelled by immense portfolio gains from Apple and Coca-Cola.

Also Worth Watching

• An ex-U.S. Labor Secretary and a Gen Z historian talk politics, protest and capitalism: Former Labor Secretary Robert Reich and historian Kahlil Greene discuss the state of the American Dream, Gen Z disillusionment, and the future of the U.S. economy.
• How Fannie Mae and Freddie Mac are making condos harder to buy: New lending policies taking effect August 3 will require comprehensive financial and structural reviews for most condo mortgages, potentially delaying approvals.
• Coca-Cola tops earnings estimates, hikes full-year outlook as demand for drinks climbs: The beverage giant raised its 2026 guidance following a strong quarter, helping drive immense portfolio gains for top shareholders like Berkshire Hathaway.