Stock Market Summary – July 07, 2025

CoreWeave announced it will acquire Core Scientific in a $9 billion all-stock deal. The value proposition is expected to eliminate $10 billion in future lease obligations and significantly enhance operating efficiency. However, CoreWeave’s stock fell 3% and Core Scientific stock slid nearly 18%. After the deal closes, CoreWeave said it will possibly divest Core Scientific’s cryptocurrency mining business or make it ready to handle AI workloads. Shareholders of Core Scientific will receive 0.1235 CoreWeave shares for each share they hold.

The S&P 500, and the stock market in general, experienced a downtrend on Monday, following President Trump’s announcement that the U.S. will impose a 25% tariff on imports from Japan and South Korea starting August 1. Shares of Amazon remained flat despite the company’s anticipated “Prime Day”, while Meta Platforms stock saw a slight increase, the only ‘Magnificent Seven’ stock in green.

Tesla stocks saw a near 7% drop after CEO Elon Musk announced he formed a new political party, termed the ‘America Party’. CrowdStrike has been downgraded to a neutral rating from overweight by Piper Sandler, due to lack of near-term catalyst. Citigroup raised its price target on Nvidia from $180 to $190 per share, citing an expansion of AI total addressable market forecasts.

In an effort to diversify its portfolio of private assets, BlackRock acquired ElmTree Funds for $7.3B, bringing it one step deeper into private markets. The acquisition pushes BlackRock’s total private-markets acquisitions to over $28 billion since the start of 2024. BlackRock shares rose slightly on the news.

In summary, stock markets are facing a downswing owing to tariff threats by Trump. While Mega-cap companies like Amazon and Tesla are facing challenges, BlackRock is striving to diversify its portfolio in private markets.

In today’s stock market, several stocks saw significant movements.

Tesla’s stock tumbled by almost 8% following CEO Elon Musk’s announcement of forming a new political party. Uber shares reached a new all-time high of $97.12, increasing by 3% on the day and it is up by nearly 60% for the year. Royal Gold dropped more than 8% after agreeing to acquire Sandstorm Gold for $3.5 billion and Horizon Copper for $196 million.

Stellantis’ stock fell by 4% after a downgrade by Bank of America. The rare earth miner MP Materials also fell by nearly 4% after a downgrade by Jefferies. On the other hand, WNS Holdings saw a 14% rise after a proposed acquisition by Capgemini for $3.3 billion.

Shares of private prison companies Geo Group and CoreCivic gained around 3% due to an increase in funding for immigration detention. However, Apogee Therapeutics shares fell about 15% despite positive clinical trial results for an eczema treatment.

The animal health and nutrition stock, Phibro Animal Health, rose by 8% following an upgrade by JPMorgan. Shares of global contract research organization, Fortrea Holdings, fell by 8.3% and are down by more than 74% for the year.

Shares of cybersecurity company, CrowdStrike, saw a drop of over 2% after a downgrade by Piper Sandler, while Shell’s US stocks dropped nearly 3% over expected weaker gas trading earnings. MGM Resorts International lost almost 2% after Goldman Sachs initiated a sell rating on the casino stock.

In other news, Jim Cramer’s Charitable Trust reduced its Goldman Sachs holdings by selling 20 shares at around $717 each, bringing the total to 220 shares.

Over in the European Union, Lithuania’s central bank has sought clarifications from Robinhood over its tokenized equities following concerns raised by OpenAI.

Treasury Secretary Scott Bessent has indicated the possibility of upcoming trade-related announcements in the next 48 hours, adding to the excitement in the market.

Lastly, Schlumberger, an oilfield services company, has seen a dip in its valuation despite positive, diversified portfolio prospects. Investors can consider trading options to benefit from any upcoming improvements.