Inflation Eases, Job Market Remains Strong
The U.S. economy delivered more signs of stability this week. The Producer Price Index (PPI)—which tracks wholesale inflation—came in flat at 0.0% month-over-month, cooler than the 0.2% increase economists had expected.
Meanwhile, weekly jobless claims fell to 221,000, beating the 233,000 forecast and marking the fifth straight week of declines. The combination of cooling inflation and labor market resilience suggests the economy is on solid footing. While this makes a July rate cut less likely, many still expect the Federal Reserve to begin cutting rates as early as September.
Earnings Season Begins on a High Note
Early results from Q2 earnings season are encouraging. Of the S&P 500 companies that have reported so far, 83% have beaten earnings expectations, reinforcing investor optimism and fueling this week’s market rally.
More earnings results are expected in the coming weeks, which could further shape sentiment heading into late summer.
Genius Act Becomes First Federal Crypto Law
This past week was dubbed “Crypto Week” in Washington—and with good reason. On Friday, President Trump signed the Genius Act, officially making it the first major federal cryptocurrency law in U.S. history.
The law establishes a regulatory framework for stablecoins, requiring issuers to maintain 1:1 reserves in cash or equivalents. It also introduces disclosure standards and brings stablecoin issuers under federal oversight for the first time.
The bill passed with bipartisan support in both chambers and marks a significant turning point in the government’s approach to regulating digital assets. The crypto industry has largely welcomed the move as a long-awaited step toward regulatory clarity and legitimacy.