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Stocks Close at Record Highs, Despite a Little Trade War Reminder
RiskReversal Recap: June 27th, 2025
RiskReversal Media
June 27, 2025
MARKET WRAP
Stocks punched through record highs not once, but twice today. The session started with strong follow-through from this week’s momentum, pushing equities decisively into new all-time territory. But late in the day, the party was briefly interrupted by an angry tweet aimed at Canada — serving as a reminder that the trade wars aren’t entirely over. But dip-buyers stepped in, once again, to lock in a record close for SPX.
On the day, SPX +0.5%, QQQ +0.4% and IWM unched. Elsewhere, pretty quite. Oil seems to have found a new home at $65 for now. The 10YY ticked up slightly following the past few day’s decline, now 4.27%. Gold was lower. The dollar was fairly calm, with DXY finishing the week at $97.29.
After hours: SPY and QQQ slightly lower after hours following the rip into the close.
RiskReversal Pod: Dan and Guy welcome legendary short seller Jim Chanos to talk potentially overvalued tech stocks, the AI and crypto booms, and the current state of the S&P 500. The show focuses specifically on the speculative conditions of companies like CoreWeave, Circle, and Coinbase, amongst other examples.
MRKT MATRIX: TODAY’S TOP STORIES
S&P 500 closes at a record Friday, overcoming even more trade angst: Live updates (CNBC)
Core inflation rate rose to 2.7% in May, more than expected, Fed’s preferred gauge shows (CNBC)
US Consumer Spending Drops in May, Price Pressures Remain Muted (Bloomberg)
US Consumer Sentiment Climbs as Inflation Expectations Improve (Bloomberg)
Fed’s Kashkari Sees Two Rate Cuts This Year Amid Tariff Unknowns (Bloomberg)
China confirms details of U.S. trade deal (CNBC)
Treasury Deal Kills ‘Revenge Tax’ That Spooked Wall Street (Bloomberg)
It’s a New Era for Capital One. Amex and Chase Are in Its Sights. (WSJ)
Microsoft’s AI Chip Effort Falls Behind (The Information)
Uber in Talks With Its Founder, Travis Kalanick, to Fund Self-Driving Car Deal (NYTimes)
WHAT’S NEXT?
While the news late today wasn’t earth-shattering in substance, it served as a timely reminder that the global trade picture remains unfinished business, despite some headlines in recent days that made it seem like it was already over.
The market’s reaction also highlighted the onset of lower summer trading volumes, particularly ahead of next week’s holiday-shortened schedule. This seasonal backdrop often supports slow, steady climbs higher — but it also leaves markets more vulnerable to sharp reactions when unexpected headlines hit thin liquidity.
Implied volatility ticked up during the afternoon selloff, with the VIX briefly spiking to 17.25 before retreating a full point into the close. While summer markets can be prone to quick jitters, the dip-buying into the close and the VIX pullback suggest dip buying remains intact. For the week, the S&P 500 rose 3.3%, while the VIX dropped from 21 to 16 — reinforcing the broader risk-on tone.
We’ll be back this weekend with a preview of next week’s (Holiday shortened) catalysts. Check your inbox Sunday!
TODAY’S EPISODES
Watch RiskReversal Podcast’s newest episode: Jim Chanos on Shorting $MSTR, Bitcoin Treasuries & Emerging Animal Spirits
Dan Nathan and Guy Adami host legendary short seller Jim Chanos on the RiskReversal Podcast. The discussion centers around market speculation, particularly in short selling and the recent trends observed in major indices. Jim comments on the speculative nature of the market post election and the cycles of retail trading enthusiasm. They also discuss the complexities of corporate earnings, the potential overvaluation of tech stocks, the implications of AI and crypto booms, and the state of the S&P 500. Specific examples include the speculative highs of companies like CoreWeave, Circle, and Coinbase, and their market valuation volatility. Towards the end, they delve into Tesla's fluctuating market position and the broader economic impact of autonomous driving technology and regulatory adjustments.
Follow Jim on Twitter: https://x.com/RealJimChanos
Timecodes 0:00 - Intro 3:45 - Market Breadth 7:45 - IPO Froth 11:15 - AI Monopolies 17:45 - Dollar Tailwinds 19:25 - MSTR & Bitcoin 32:30 - Stablecoins & Fees 35:30 - EQIX 43:35 - TSLA
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