“The purpose of trading is not being right, the purpose is to make money, and I think that’s my number-one rule. Don’t get hung up on your current positions.” — Dana Allen.

1. U.S. Services-Sector Activity Slows — The Institute for Supply Management said that its purchasing managers’ index for services providers fell to 50.1 in July, from 50.8 in June, which was lower than the 51.2 expected by a consensus of economists polled by The Wall Street Journal. The reading just above 50 points to an expansion of activity, albeit slower than in June. May recorded the only month of contraction since July last year. Employment contracted for a second-straight month and there was a faster rise in prices index, both “worrisome developments,” Miller said.
2. Trump Names Miran to Fill Seat on Federal Reserve Board — The president said that Miran, who will need to be confirmed by the US Senate, would only serve the expiring term of Fed Governor Adriana Kugler, which ends in January. “In the meantime, we will continue to search for a permanent replacement,” Trump said. Miran, who holds a Ph.D. in economics from Harvard University, has echoed Trump’s call for lower interest rates. Miran has established a reputation for delivering his views in a more measured tone than many other Trump advisers. Nonetheless he has been a sharp Fed critic and proposed changes to the central bank that some would view as unorthodox.
3. Trump Eyes 100% Chips Tariff, Exempting Firms That Invest in US — Donald Trump declared plans for a 100% tariff on semiconductor imports while promising to exempt companies such as Apple Inc. that move production back to the US, triggering a scramble among trading partners and companies worldwide to make sense of the threat. Trump’s surprise declaration further upends a global electronics supply chain undergoing a seismic shift following decades of reliance on China. Apple joined a parade of companies from Taiwan Semiconductor Manufacturing Co. to Nvidia Corp. that have pledged to spend more than $1 trillion collectively since Trump’s ascension, seeking to assuage an administration keen to bring manufacturing back home. While much of the capital in those pledges represented prior commitments or longer-term plans, they appear to be working.
4. Trump Removes Billy Long as Head of IRS — Long is being replaced on an interim basis by Treasury Secretary Scott Bessent, a senior White House official said. Bessent is the latest leader of a federal bureau that has gone through a series of commissioners since the start of Trump’s second term. Long was sworn in as the commissioner in June. He was the sixth IRS commissioner this year—after several interim heads—and his term was set to expire in November 2027. His departure was earlier reported by the New York Times.

The week ahead — Economic data from Econoday.com: