Federal Reserve Chair Jerome Powell defended the decision to keep interest rates unchanged on Wednesday, saying inflation has eased but not enough to warrant cuts, especially with trade and geopolitical <a href="https://www.benzinga.com/markets/economic-data/25/06/46004338/no-rate-cuts-yet-fed-flags-slower-growth-sticky-inflation">risks clouding the outlook.</a>



"Incoming inflation data has been encouraging," Powell said during his press conference, pointing to three consecutive months of positive readings, "but inflation is still running somewhat above our 2% longer-run objective."



Asked why the Fed cut rates in December but didn't move now despite similar inflation, Powell pointed to the evolving inflation forecast: "We saw a 2.5% forecast in December, 2.8% in March and 3.1% now&#8230; That's due to the effects of the tariffs."



Powell made clear that tariffs—particularly those tied to recent changes in trade policy—remain a significant source of uncertainty. He noted that "we're beginning to see some effects" of tariffs on prices, especially in goods like personal computers and audiovisual equipment, but emphasized that the full impact may take months to filter through.



Powell added that business surveys indicate "many companies do expect to put all or some of the effect of tariffs through to the next person in the chain. And ultimately, to the consumer."



<h3 class="wp-block-heading">Powell Downplays Tensions In The Middle East</h3>



Addressing tensions in the Middle East, Powell said energy price spikes are possible but typically fade without lasting inflationary impact. 



"We haven't seen anything like the 1970s," he said, noting the U.S. economy is now far less reliant on foreign oil.



The Fed now sees core personal consumption expenditures (PCE) inflation at 3.1% in 2025, up from 2.8% in March, and 2.5% in December. 



The Fed dot plot sees potential for two rate cuts in 2025, unchanged from March, and two more in 2026, a slight downward revision from the prior two cuts. 



While several committee members penciled in no rate cuts this year, Powell clarified that no path is locked in. "It's the least unlikely path in a situation like this where uncertainty is very high," he said. "Certainly, a hike is not the base case at all."



<h3 class="wp-block-heading">Markets Recover On Powell-Driven Slide As Trump Comments On Iran</h3>



Markets initially interpreted Powell's comments as hawkish, sending the U.S. Dollar Index up 0.4% within 30 minutes of his press conference. Treasury yields erased session declines, with the 10-year yield recovering to 4.39%.



The Nasdaq 100 – as tracked by the Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) – dropped 180 points from its session peak during Powell's remarks but recovered sharply after President Donald Trump made surprise comments on the Middle East.



The S&amp;P 500 and the Dow Jones posted similar intraday swings.



Speaking from the White House, Trump fueled geopolitical tension by suggesting regime change in Iran was possible and hinting at imminent military decisions. 



"Anything could happen. Iran wants to come to the White House. I may do that," Trump said, adding that a meeting on the Iran-Israel conflict was scheduled within the hour.



"We&#8217;re long beyond ceasefire," he said in response to comments from French President Emmanuel Macron, adding, "We&#8217;re looking for total victory and no nuclear weapon."



<h3 class="wp-block-heading">Chart: Tech Stocks Reactions To Fed Meeting, Powell Remarks</h3>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="528" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-1024x528.png" alt="" class="wp-image-954490" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-1024x528.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-300x155.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-768x396.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-1536x792.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18154816/image-294-2048x1056.png 2048w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/news/health-care/25/06/45997946/stock-market-strategy-investing-analysis-healthcare-stocks-united-health">Nobody Wants To Touch Healthcare Stocks Now – That Might Be A Big Mistake</a></li>
</ul>



Photo courtesy of the Federal Reserve.

Equities

Government

Macro Economic Events

Regulations

Broad U.S. Equity ETFs

Econ #s

Economics

Federal Reserve

ETFs

Why Powell Held Rates Steady, And What Trump's Iran Comments Could Mean For Markets

The Federal Reserve held interest rates steady at 4.25%-4.50% for a fourth straight meeting on Wednesday, aligning with market expectations, while signaling slower growth and hotter inflation ahead compared to <a href="https://www.benzinga.com/topic/federal-reserve">its March forecast.</a>



The June Fed statement struck a slightly more confident tone, noting that economic uncertainty has "diminished" compared to March, although stating that it remains elevated. The statement dropped the earlier assessment that risks of both higher inflation and unemployment had risen. 



The description of the labor market was updated to say the unemployment rate "remains low," instead of having "stabilized."



The key highlight of the June meeting was the release of the Fed's updated economic projections, with the "dot plot" — a collection of each policymaker's expectations about future interest rates. 



The median preference points to two cuts in 2025, unchanged from the March projection. The 2026 median dot was downwardly revised, suggesting two rate cuts, down from prior expectations of three.



<h3 class="wp-block-heading">Fed Sees Hotter Inflation, Lower Growth Forecasts</h3>



The mid-point of the federal funds rate remains at 3.9% by the end of 2025, and gradually falling to 3.6% in 2026 and 3.1% in 2027. The long-run rate holds steady at 3.0%.



Inflation forecasts moved higher. The Fed sees headline Personal Consumption Expenditure (PCE) inflation rising 3.0% in 2025, versus 2.7% in the March projection. 



Core PCE inflation, which strips out volatile food and energy prices, is projected at 3.1% in 2025, compared to 2.8% earlier. Both measures are expected to return to the Fed's 2.0% target by 2027.



Labor market expectations were only slightly changed. The unemployment rate is projected to rise to 4.5% in 2025, modestly higher than 4.4% in March. 



Economic growth, however, saw a downgrade. The Fed now projects real GDP growth at 1.4% in 2025, down from 1.7% in March. Growth in 2026 was downwardly revised from 1.8% to 1.6%. 



Markets now await Fed Chair Jerome Powell's press conference at 2:30 p.m. ET, as investors look for clues on the timing of future rate cuts. Powell has repeatedly said there is "no rush" to ease policy, noting that current interest rates are "in a good place" to handle economic uncertainties. 



On Wednesday, President Donald Trump renewed his pressure on Powell, calling for deep rate cuts of 2 to<a href="https://www.benzinga.com/news/politics/25/06/45999380/trump-powell-again-markets-breathe-iran-rejects-demands"> 2.5 percentage points.</a>



<h3 class="wp-block-heading">Summary Of Fed Economic Projections (June 2025)</h3>



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><thead><tr><th>Indicator</th><th>2025</th><th>2026</th><th>2027</th><th>Longer Run</th></tr></thead><tbody><tr><td>Change in Real GDP</td><td>1.4</td><td>1.6</td><td>1.8</td><td>1.8</td></tr><tr><td>Mar Projections</td><td>1.7</td><td>1.8</td><td>1.8</td><td>1.8</td></tr><tr><td>Unemployment Rate</td><td>4.5</td><td>4.5</td><td>4.3</td><td>4.2</td></tr><tr><td>Mar Projections</td><td>4.4</td><td>4.3</td><td>4.3</td><td>4.2</td></tr><tr><td>PCE Inflation</td><td>3.0</td><td>2.4</td><td>2.0</td><td>2.0</td></tr><tr><td>Mar Projections</td><td>2.7</td><td>2.2</td><td>2.0</td><td>2.0</td></tr><tr><td>Core PCE Inflation</td><td>3.1</td><td>2.4</td><td>2.0</td><td>&#8211;</td></tr><tr><td>Mar Projections</td><td>2.8</td><td>2.2</td><td>2.0</td><td>&#8211;</td></tr><tr><td>Federal Funds Rate</td><td>3.9</td><td>3.6</td><td>3.1</td><td>3.0</td></tr><tr><td>Mar Projections</td><td>3.9</td><td>3.4</td><td>3.1</td><td>3.0</td></tr></tbody></table></figure>



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/economic-data/25/06/45993369/mohamed-el-erian-warns-feds-path-forward-is-clouded-by-trump-tariffs-and-israel-iran-conflict">Mohamed El-Erian Warns Fed&#8217;s Path Forward Is Clouded By Trump Tariffs And Israel-Iran Conflict </a></li>
</ul>



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="&#x1f534;WATCH LIVE: Fed Chair Powell Press Conference &#x7C; FOMC Rate Decision &#x7C; June 18, 2025" width="500" height="281" src="https://www.youtube.com/embed/2L0yhVrhG40?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
</div></figure>



Image created using artificial intelligence via Midjourney.

No Rate Cuts Yet: Fed Flags Slower Growth, Sticky Inflation

Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) continues to do the heavy lifting among the <a href="https://www.benzinga.com/topic/magnificent-7">Magnificent Seven</a> companies. Prices are holding in a channel that shows a potential upside drift into the stock. Because of the geopolitical and economic uncertainty, we may get a wiggle downward next week, but the dips make for great buying opportunities. 



That makes this a perfect time to make a &#8220;butterfly&#8221; trade on Meta.



<h2 class="wp-block-heading">Matt Maley's Post-Fed Trading Strategy—Live This Sunday</h2>



Volatility is picking up. Macro catalysts are looming. And the trades that worked before the Fed may not hold going forward. In this live session, Matt Maley walks you through how he's navigating the new market landscape—including the sector shifts, sentiment signals, and trade setups he's targeting right now. This is your real-time strategy update for the week ahead. Join for free <a href="https://events2.benzinga.com/matt-maley-webinar-sun-june22-2025-registration/?utm_campaign=webinar062225&amp;utm_adType=sponsorad&amp;utm_ad=RD062025">HERE</a>



This is how I do it.



Meta&#8217;s current relative resistance zone sits right around $740, but trading could be choppy for the next week, so I&#8217;m waiting to target entry on any dips into $730. This will minimize risk exposure, create a cheaper entry, and allow for better profit targets. Support sits near $650. 



Our trade today, a long call butterfly, is the combination of a long call spread and a short call spread that share the same short strike and the same expiration date. Though the position is often defined as ‘delta neutral', this trade certainly delivers profit if price action rises as expected: 



<ul class="wp-block-list">
<li>Buy to open 1 META 18 Jul 730 calls </li>



<li>Sell to open 2 META 18 Jul 750 calls </li>



<li>Buy to open 1 META 18 Jul 770 calls </li>
</ul>



Set an alert for prices near the middle strike so that you are very aware of the motion into the middle strike, as this is where the maximum profit will engage into expiration. You will also notice that price action for the butterfly is more sensitive to fluctuation the closer we are to expiration. 



The long call butterfly holds a current debit of $2.13 at this writing and represents the total risk incurred in the trade. The breakeven price of the stock at expiration on this trade is $732.13 less commissions.&nbsp;



The total highest potential profit is $20 (the distance between 730 and 750 strikes) less the cost of the debit incurred by buying the call butterfly, so $20 &#8211; $2.13 = $17.87 less commissions.&nbsp;



It is extremely rare to collect all this premium in this kind of butterfly. Consider price action information to drive your risk and profit parameters, and consider profit targets near resistance prices and 100-200% returns, as a suggestion.&nbsp;



The strategy provides several ways to exit, but I will discuss only the two main ones: 



<ol class="wp-block-list">
<li>Sell the call butterfly when the profit goal moves into your target parameters, particularly once the middle strike is tested near expiration. I often look for 90% to 300% return for these types of call butterflies, where the first long call strike is out of the money. </li>



<li>Sell the call butterfly when your loss threshold is breached. Customarily, this is 50% for me. </li>
</ol>



The more advanced trader might consider rolling the short strikes down over time if the price continues upward. 



Editorial content from our expert contributors is intended to be information for the general public and not individualized investment advice. Editors/contributors are presenting their individual opinions and strategies, which are neither expressly nor impliedly approved or endorsed by Benzinga.



Photo: Shutterstock

Opinion

Trading Ideas

My Favorite Magnificent 7 Trade For This Week

Wall Street&#8217;s aversion to the dollar has reached its highest in two decades. Bank of America&#8217;s June Global Fund Managers Survey indicates that <a href="https://www.benzinga.com/markets/economic-data/25/06/45974992/everyone-now-hates-the-dollar-is-that-the-ultimate-buy-signal">37% of investors are underweight on the U.S. dollar</a>, the most bearish skew in two years. But this unusual unanimity is flashing something interesting for ETF investors: a contrarian opportunity.



Enter <a href="https://www.benzinga.com/etfs">dollar-bullish ETFs</a>, namely, the Invesco DB US Dollar Index Bullish Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UUP#NYSE">UUP</a>), WisdomTree Bloomberg U.S. Dollar Bullish Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USDU#NYSE">USDU</a>), and a family of currency-hedged equity ETFs such as iShares Currency Hedged MSCI EAFE (BATS:<a class="ticker" href="https://www.benzinga.com/stock/HEFA#BATS">HEFA</a>) and WisdomTree Japan Hedged Equity (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DXJ#NYSE">DXJ</a>).



These are not merely tactical dollar-strength plays; they might also be the wiser alternative to betting on other world currencies in an era of policy pivots, trade shocks, and geopolitical hairpin turns.



Also Read: <a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/06/45983526/trump-wants-an-end-not-a-ceasefire-for-the-israel-iran-war-what-that-means-for-etfs">Trump Wants &#8216;An End, Not a Ceasefire&#8217; For The Israel-Iran War: What That Means For ETFs</a>



<h2 class="wp-block-heading">Why Betting Against The Dollar Might Backfire</h2>



The U.S. Dollar Index, which UUP follows, has dropped around 12% since Donald Trump&#8216;s inauguration on Jan 20. Investors struggle with growing deficits, bewildering tariff messages, and a Fed that seems cornered. On paper, that seems like a good enough setup for wagering on other currencies.



But that is not really the case.



The issue? The alternatives are not exactly poster children for stability.



The eurozone is stuck with anemic growth, recalcitrant inflation, and political weakness from Brussels to Berlin.



The Japanese yen is anchored to ultra-loose monetary policy and a hawkish Fed–BoJ divergence.



The Chinese yuan continues to be politically managed and vulnerable to a shaky property market.



Emerging market currencies? Illiquid, volatile, and sharply responsive to risk-off shocks.



Short version: Sure, sentiment might be bearish on the dollar, but there&#8217;s no neat &#8220;long&#8221; substitute. And in FX, betting on currencies other than the dollar can rapidly go off the rails when global risk rises.



Read More: <a href="https://www.benzinga.com/markets/economic-data/25/06/45974992/everyone-now-hates-the-dollar-is-that-the-ultimate-buy-signal">Everyone Now Hates The Dollar—Is That The Ultimate Buy Signal?</a>



<h2 class="wp-block-heading">UUP, USDU: Tactical Bets With Past Tailwinds</h2>



Invesco&#8217;s UUP and WisdomTree&#8217;s USDU offer liquid, directional exposure to a dollar recovery.



UUP tracks the dollar against a basket of six developed-market currencies, with the euro weighing heavily in the mix.



USDU is a broader one, with a mix of emerging markets and more diversified FX. It is a more diversified bet, but dollar-positive nonetheless.



Both the funds are off this year, tracking the decline of the dollar, and that&#8217;s precisely what could make them attractive. In 2005, when sentiment had been equally bearish, the dollar rallied 14% over several months. That rebound caught a vast majority of short-dollar positions by surprise, and paid off for ETF investors who entered early.



<h2 class="wp-block-heading">For The Cautious: Hedge Your International Equity Exposure</h2>



If jumping headfirst into long-dollar ETFs seems reckless, investors can still be defensive through currency-hedged international ETFs such as HEFA (Europe, Australasia, Far East equities, currency-hedged), DXJ (Japan equities, JPY-hedged), and WisdomTree Europe Hedged Equity Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HEDJ#NYSE">HEDJ</a>) (Eurozone exporters, euro-hedged).



These funds allow investors to hold international diversification without being clobbered if the dollar does rally.



<h2 class="wp-block-heading">Positioning Against The Herd</h2>



When most investors are scrambling to discover the next hard currency, the road of least resistance might be to remain humble in the dollar. For it is during a geopolitical environment characterized by tariff brinksmanship, Middle East turmoil, and election-year uncertainty that stability, no matter how flawed, can become a valuable asset.



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/etfs/specialty-etfs/25/06/45982240/beyond-magnificent-7-can-thematic-etfs-like-ives-lead-the-next-wave-of-ai-investing-cio-cullen-rogers-explains">Beyond Magnificent 7: Can Thematic ETFs Like IVES Lead The Next Wave Of AI Investing? CIO Cullen Rogers Explains</a></li>
</ul>



Photo: Shutterstock

News

Currency ETFs

HEDJ

HEFA

USDU

UUP Vs. The Herd: Contrarian Dollar ETFs In Focus As Sentiment Hits 20-Year Low

Just hours before the Federal Reserve's June policy meeting, President Donald Trump launched a fresh attack on Fed Chair Jerome Powell while sidestepping direct confirmation of a potential U.S. <a href="https://www.benzinga.com/topic/middle-east">military strike on Iran.</a>



What Happened: Speaking outside the White House on Wednesday, Trump renewed his call for sharply lower interest rates. He argues that the U.S. should be "two to two and a half points lower" given what he described as a low-inflation environment.



"We have almost no inflation. We have only success. I&#8217;d like to see interest rates get down now," Trump said, blaming Powell for the high cost of refinancing U.S. debt. 



He claimed that just a one-point reduction would deliver meaningful relief on refinancing federal debt, while a two-point cut would save even more over long-term maturities.



"We'd be saving $700 billion, $800 billion—trillions over time,&#8221; he says.



Trump describes Powell as someone who "refuses to lower the Fed" and "is not a smart person." Trump went further, accusing Powell of personal bias, saying, "I think he hates me.&#8221;



Read Also:<a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45978856/federal-reserve-rate-cuts-trump-tariffs-what-to-watch-wednesday"> No Rate Cuts Yet, Fed Wants To See Where Tariffs Land: Here&#8217;s What To Watch Wednesday</a> 



<h3 class="wp-block-heading">What About Europe? </h3>



Trump also pointed to Europe's more aggressive monetary easing in 2025.



"Europe had 10 cuts. We had none," he said, adding that some countries with lower rates "can't carry our suitcase."



The remarks come as markets expect the Fed to hold its benchmark rate steady in the 4.25%-4.50% range for the fourth straight meeting, while the updated dot plot may show fewer cuts than traders had previously hoped.



<h3 class="wp-block-heading">Iran Rejects Trump&#8217;s Demands</h3>



When Trump reiterated his demand for an "unconditional surrender," calling Iran "schoolyard bullies" with long-standing hostile intentions, it did nothing to sway Iranian Supreme Leader Ayatollah Ali Khamenei.



According <a href="https://www.reuters.com/world/middle-east/americas/israel-iran-air-war-enters-sixth-day-trump-calls-irans-unconditional-surrender-2025-06-17/">to</a> Reuters, Khamenei rejected Trump&#8217;s demand for &#8220;unconditional surrender&#8221; on Wednesday.



The rejection comes after Trump was pressed on U.S. military intentions following a Situation Room meeting on Tuesday. Trump refused to confirm any immediate plans to strike Iran's nuclear infrastructure.



&#8220;Nobody knows what I&#8217;m going to do,&#8221; Trump said.



Regarding hopes of a new round of negotiations, Trump stated that &#8220;nothing is too late.&#8221;



He added, cryptically, "Next week is going to be very big. Maybe less than a week."



<h3 class="wp-block-heading">Markets Signal De-Escalation For Now</h3>



U.S. markets responded positively to the lack of definitive military escalation. 



The Nasdaq 100 — as tracked by the Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) — rallied by 0.7% to 21,850 at last check Wednesday. The S&amp;P 500 rose 0.6% to 6,025.



The gains came as investors priced in a reduced likelihood of imminent U.S. military action in Iran, and speculated about possible diplomatic openings.



In commodities, gold pulled back, while West Texas Intermediate crude fell to $72 per barrel, down more than 2% from the previous day's high. The U.S. dollar also dipped slightly as global risk sentiment improved.



Read Now:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/economic-data/25/06/45993369/mohamed-el-erian-warns-feds-path-forward-is-clouded-by-trump-tariffs-and-israel-iran-conflict">Mohamed El-Erian Warns Fed&#8217;s Path Forward Is Clouded By Trump Tariffs And Israel-Iran Conflict </a></li>
</ul>



Image: Shutterstock

Global

Trump Slams Powell Again, Yet Markets Breathe As Iran Rejects President's Demands

Senior economist Mohamed El-Erian anticipated a rocky road ahead for the Federal Reserve to formulate the monetary policy, as the &#8220;uncertainties&#8221; surrounding the federal policies and geopolitical scenario &#8220;cloud&#8221; the Fed&#8217;s policy radar.



What Happened: Despite the consensus on the Fed to hold the interest rates steady at 4.25%-4.5% after Wednesday&#8217;s meeting, El-Erian highlighted certain &#8220;considerable interest&#8221; that will help in determining the monetary policy&#8217;s future path in an X post.



<ul class="wp-block-list">
<li>The extent to which it will lower its growth projection.</li>



<li>What it does with its inflation forecast.</li>



<li>Whether the dot plot will leave two rate cuts for this year.</li>



<li>How Chair Jerome Powell characterizes the trifecta of data, policy, and geopolitical uncertainties.</li>
</ul>



&#8220;One thing is for sure: All this will translate into a continuation of the Fed&#8217;s wait-and-see policy approach,&#8221; he added.



In a following post, he pointed toward the growing tensions between Iran and Israel, along with Donald Trump&#8217;s policies around tariffs and the tax bill.



&#8220;Uncertainties on policy and geopolitics cloud the Fed's policy radar.&#8221;



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Thanks <a href="https://twitter.com/lisaabramowicz1?ref_src=twsrc%5Etfw">@lisaabramowicz1</a> An additional consideration to add to an already fascinating debate on what various data insights, quite a few of which are contradictory, are trying to tell us about the outlook for the US economy. As noted in the previous post, this and uncertainties on… <a href="https://t.co/XLx3jAjtP5">https://t.co/XLx3jAjtP5</a>&mdash; Mohamed A. El-Erian (@elerianm) <a href="https://twitter.com/elerianm/status/1935275727785476162?ref_src=twsrc%5Etfw">June 18, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Meanwhile, Ed Yardeni also highlighted that he would be watching out for the median economic forecasts in the Fed&#8217;s &#8216;Summary of Economic Projections.&#8217;



&#8220;The SEP is likely to signal a couple of small cuts in the federal funds rate in the coming months. But Powell will certainly reiterate that the FOMC is in no hurry to do so,&#8221; he added.



See Also: <a href="https://www.benzinga.com/markets/equities/25/06/45969197/mark-cuban-floats-bold-healthcare-plan-zero-premiums-to-insurance-companies-with-a-cash-pay-revo" target="_blank" rel="noreferrer noopener">Mark Cuban Floats Bold Healthcare Plan: ‘Zero Premiums To Insurance Companies' With A Cash-Pay Revolution</a>



Why It Matters: Macro strategist at the Bear Traps Report, Craig Shapiro, said in an X post that he thinks the Federal Reserve wasn&#8217;t going to bring inflation back down to target in &#8220;any reasonable period of time and they really don&#8217;t care to.&#8221;



According to him, the Fed needs to change the &#8220;composition of their UST (United States Treasuries) holdings on their balance sheet&#8221; because buying T-bills or short-term government securities instead of long-duration securities will alleviate liquidity from the market in the short term and aid in containing inflation.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">If the Fed signals that a rate cut cycle is going to commence again later this summer and doesn&#39;t marry that with specific guidance that they are going to be more aggressive on twisting the composition of their UST holdings on their balance sheet to help prevent the incremental…&mdash; Craig Shapiro (@ces921) <a href="https://twitter.com/ces921/status/1934930651687305603?ref_src=twsrc%5Etfw">June 17, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Meanwhile, citing the cooldown in May CPI print, Louis Navellier of Navellier &amp; Associates said that &#8220;I hope the FOMC statement will refer to better-than-expected inflation news rather than anticipating an inflation &#8216;bogeyman&#8217; that has not materialized.&#8221;



The CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>&#8216;s projections show markets pricing a 99.9% likelihood of the Federal Reserve keeping the current interest rates unchanged in its June meeting.



But it projects a 64.9%, 81.4%, and 93.0% chance of a rate cut after September, October, and December meetings.



Price Action: The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which track the S&amp;P 500 index and Nasdaq 100 index, respectively, rose in premarket on Wednesday. The SPY was up 0.31% at $599.39, while the QQQ advanced 0.38% to $531.07, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/equities/25/06/45967469/us-equity-funds-are-raking-in-billions-these-are-the-ones-beating-trumps-tariff-shock-in-2025" target="_blank" rel="noreferrer noopener">US Equity Funds Are Raking In Billions—These Are The Ones Beating Trump's Tariff Shock in 2025</a></li>
</ul>



Photo courtesy: RozenskiP/Shutterstock

Mohamed El-Erian Warns Fed's Path Forward Is Clouded By Trump Tariffs And Israel-Iran Conflict

U.S. stocks inched higher by midday Wednesday, as traders weighed geopolitical uncertainty and awaited the Federal <a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45978856/federal-reserve-rate-cuts-trump-tariffs-what-to-watch-wednesday">Reserve's June policy decision. </a>



President Donald Trump declined to offer a clear response on whether the U.S. would directly intervene in the escalating <a href="https://www.benzinga.com/news/politics/25/06/45988135/bernie-sanders-slams-israels-illegal-attack-on-iran-says-absolutely-imperative-that-the-united-states-not-be-dragged-into-this-war">Israel-Iran conflict</a>.



The Federal Reserve is widely expected to hold rates steady at 4.25%-4.50% for a fourth consecutive meeting. Yet, investor focus is centered on the updated Summary of Economic Projections. 



Economists anticipate the new dot plot will reflect a median expectation of just one rate cut in 2025—down from two in March—alongside modest upward revisions to inflation and downward adjustments to growth forecasts.



<ul class="wp-block-list">
<li>The S&amp;P 500 hovered slightly above the 6,000 mark.</li>



<li>The Nasdaq 100 gained over 100 points to trade around 21,860.</li>



<li>Small caps outperformed, with the Russell 2000 climbing 1%.</li>
</ul>



On a sector basis, consumer discretionary led gains, while energy stocks declined, reversing Tuesday's strength.



Among megacaps, Visa Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/V#NYSE">V</a>) and Mastercard Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MA#NYSE">MA</a>) slid after the U.S. Senate passed a bill introducing a <a href="https://www.benzinga.com/crypto/cryptocurrency/25/06/45995223/genius-stablecoin-bill-clears-senate-but-trumps-crypto-profits-loom-over-momentum">regulatory framework for stablecoins</a>. Meanwhile, Coinbase Global Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COIN#NASDAQ">COIN</a>) surged 12% to a four-month-high.



In the bond market, Treasury yields declined, with the 30-year yield falling to 4.85%. Oil prices dropped 1.8% to $72 per barrel after Trump's noncommittal stance on Iran dented expectations of a supply shock. 



Gold rose 0.2%, silver slipped 0.7%, and Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) held steady at $104,800.



<h2 class="wp-block-heading">Wednesday&#8217;s Performance In Major US Indices, ETFs</h2>



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Major Indices</td><td>Price</td><td>1-day %chg</td></tr><tr><td>Russell 2000</td><td>2,124.02</td><td>1.0%</td></tr><tr><td>Nasdaq 100</td><td>21,832.28</td><td>0.5%</td></tr><tr><td>S&amp;P 500</td><td>6,006.16</td><td>0.4%</td></tr><tr><td>Dow Jones</td><td>42,375.03</td><td>0.4%</td></tr></tbody></table><figcaption class="wp-element-caption">Updated by 12:05 p.m. ET</figcaption></figure>



According to&nbsp;<a href="https://www.benzinga.com/pro/?utm_source=BZprocontent&amp;t=be2bearmibe3na1">Benzinga Pro</a>&nbsp;data:



<ul class="wp-block-list">
<li>The&nbsp;Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>) rose 0.4% to $551.</li>



<li>The&nbsp;SPDR Dow Jones Industrial Average&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIA#NYSE">DIA</a>) inched 0.4% higher to $424.77.</li>



<li>The tech-heavy&nbsp;Invesco QQQ Trust Series&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>)&nbsp;rose 0.4% to $531.28.</li>



<li>The&nbsp;iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>) rallied 1.1% $210.91.</li>



<li>The&nbsp;Communication Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLC#NYSE">XLC</a>) outperformed, up 0.6%; the&nbsp;Energy&nbsp;Select Sector SPDR Fund&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLE#NYSE">XLE</a>) lagged, down 0.6%.</li>
</ul>



<h3 class="wp-block-heading">Wednesday&#8217;s Stock Movers</h3>



<ul class="wp-block-list">
<li>Intel Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) rallied 3.8% after the chipmaker company appointed Greg Ernst as new chief revenue officer as well as three new engineers. </li>



<li>Lockheed Martin Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LMT#NYSE">LMT</a>) dropped 2%, erasing Tuesday's gains, as Trump's comments prompted investors to scale back exposure to defense contractors.</li>



<li>Jabil Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JBL#NYSE">JBL</a>) soared 3.85%, extending all-time highs following Tuesday&#8217;s 9% rally amid stronger-than-expected earnings. </li>



<li>Wolfspeed Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WOLF#NYSE">WOLF</a>) plunged 17% after announcing plans to enter a prepackaged bankruptcy agreement with lenders, including Apollo Global Management. The company aims to streamline its Chapter 11 process and will seek creditor approval before officially filing.</li>



<li>Grail Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GRAL#NASDAQ">GRAL</a>) surged 12% after reporting encouraging results from its latest cancer detection test.</li>
</ul>



Now Read:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/economic-data/25/06/45993369/mohamed-el-erian-warns-feds-path-forward-is-clouded-by-trump-tariffs-and-israel-iran-conflict">Mohamed El-Erian Warns Fed&#8217;s Path Forward Is Clouded By Trump Tariffs And Israel-Iran Conflict </a></li>
</ul>



Image: Shutterstock

Large Cap

Bonds

Commodities

$BTC

COIN

GRAL

INTC

WOLF

Wall Street Rises Ahead Of Fed, Payment Stocks Fall On Stablecoin Bill: What's Driving Markets Wednesday?

Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) CEO Andy Jassy announced Tuesday that artificial intelligence will reduce the company&#8217;s corporate workforce due to efficiency gains, prompting immediate criticism from employees across internal communication channels.



What Happened: Jassy told employees that AI will shrink Amazon&#8217;s white-collar workforce over the next few years. According to Business Insider, which <a href="https://www.businessinsider.com/amazon-employees-criticize-ceo-jassys-ai-driven-job-cutting-plan-2025-6">viewed</a> internal Slack messages across three channels, employees criticized the announcement.



&#8220;There is nothing more motivating on a Tuesday than reading that your job will be replaced by AI in a few years,&#8221; one employee wrote. Others questioned whether senior leadership would face similar reductions, noting Amazon&#8217;s S-team has expanded under Jassy.



Some employees supported the move. &#8220;At least he said the quiet part out loud,&#8221; another worker commented. &#8220;We all knew it but now it&#8217;s clearly part of the plan.&#8221;



 Jassy <a href="https://www.benzinga.com/markets/tech/25/06/45982631/amazon-ceo-says-generative-ai-will-reduce-total-corporate-workforce">highlighted in his Tuesday blog post</a> that Amazon has over 1,000 generative AI services and applications in progress. The company&#8217;s AI-driven Alexa+ serves tens of millions of customers worldwide, while over 50,000 advertisers used AI capabilities in the first quarter alone.



Amazon did not immediately respond to <a href="http://pro.benzinga.com/" target="_blank" rel="noreferrer noopener">Benzinga</a>'s request for comment.



See Also: <a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45990167/jamie-dimon-sounds-alarm-on-us-immigration-policies-obsolete-tech-in-defense-strategy-well-be-out-of-missiles-in-seven-days">Jamie Dimon Sounds Alarm On US Immigration Policies, Obsolete Tech In Defense Strategy: &#8216;We&#8217;ll Be Out Of Missiles In Seven Days&#8230;&#8217;</a>



Why It Matters: The announcement comes amid Amazon&#8217;s massive AI infrastructure investments. The company <a href="https://www.benzinga.com/markets/equities/25/06/45943758/amazon-commits-13-billion-to-expand-australias-ai-data-center-infrastructure">committed $13 billion to expand Australia&#8217;s data center</a> infrastructure through 2029, following recent commitments including $10 billion in North Carolina.



In April, Jassy called AI investments a <a href="https://www.benzinga.com/news/management/25/04/44746436/amazon-ceo-justifies-large-ai-investments-as-once-in-a-lifetime-reinvention-of-everything-we-know">&#8220;once-in-a-lifetime reinvention of everything we know,&#8221;</a> emphasizing the need for substantial capital to secure AI chips and build data centers during high-demand periods.



Amazon froze retail hiring budgets this year while expanding AI capabilities, according to the report. 



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/news/topics/25/06/45990130/kim-jong-un-meets-russian-security-chief-shoigu-in-pyongyang-confirms-support-for-ukraine-operations-under-strategic-pact">Kim Jong Un Meets Russian Security Chief Shoigu In Pyongyang, Confirms Support For Ukraine Operations Under Strategic Pact</a></li>
</ul>



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Photo courtesy: Markus Mainka / Shutterstock.com

Markets

AMZN

Amazon CEO Andy Jassy's AI-Led Job Cuts Warning Sparks Backlash As Employee Reportedly Says 'It's Clearly Part Of The Plan'

Future Fund LLC's managing director, Gary Black, set a $310 price target for Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) ahead of the company's Robotaxi launch in Austin on June 22.



What Happened: The investor gave a breakdown of positive and negative factors that could affect Elon Musk's EV giant's stock performance in a post on social media platform X on Tuesday.



As far as positive catalysts go, the investor shared that the Trump administration's decision to "streamline" federal processes will allow Tesla to "secure general unsupervised autonomy license nationally," he said.



Other factors include an affordable model in the company lineup, as well as possible FSD licensing opportunities. Black also outlined the Cybercab as well as the Optimus line of humanoid robots, both of which are slated for a 2026 production date.



However, he did highlight some negative factors as well, like the government <a href="https://www.benzinga.com/markets/tech/25/06/45965638/amid-trumps-anti-ev-push-senate-republicans-propose-tax-bill-to-axe-7500-ev-credit">axing the $7500 EV credit</a>, as well as the failure to update the lineup and reliance on discounts. "Trump admin restricts state efforts to control carbon emissions, which could significantly reduce TSLA ZEV sales," Black said.



The investor also highlighted Tesla's declining EPS as well as delivery estimates for 2025 as a negative factor. "TSLA 2025 P/E of 170x too high relative to FY'25-‘30 EPS growth of +25% CGR. Avg forward P/E past 3 years 80x," Black said.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true"><a href="https://twitter.com/search?q=%24TSLA&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$TSLA</a> Summary &#8211; 6/17/2025 Positive Catalysts: 1/ Trump streamlines federal process allowing TSLA to secure general unsupervised autonomy license nationally 2/ More affordable vehicle launch in 2025/3Q can expand TAM if it's a different form factor (e.g. hatchback, smaller M-Y).…&mdash; Gary Black (@garyblack00) <a href="https://twitter.com/garyblack00/status/1935114681405841489?ref_src=twsrc%5Etfw">June 17, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Why It Matters: The investor's thoughts come as Tesla, which is reportedly <a href="https://www.benzinga.com/markets/tech/25/06/45989148/tesla-will-shut-down-production-at-the-texas-gigafactory-over-the-4th-of-july-weekend">shutting down its Texas gigafactory</a> over the Fourth of July weekend, is preparing for its Robotaxi launch. The company was recently also officially named as an <a href="https://www.benzinga.com/markets/tech/25/06/45854273/elon-musks-tesla-officially-named-av-operator-in-austin-ahead-of-robotaxi-launch">AV operator in Austin</a>.



In what could prove to be a boost for Tesla, Senate republicans have axed the <a href="https://www.benzinga.com/news/politics/25/06/45988847/senate-republicans-axe-250-annual-fee-on-evs-100-fee-on-hybrids-in-tax-bill-proposal-report">$250 annual fee</a> on EV owners from their tax bill proposal despite U.S. President Donald Trump's <a href="https://www.benzinga.com/news/politics/25/06/45943245/trump-says-he-was-amazed-that-tesla-ceo-elon-musk-endorsed-him-despite-his-anti-ev-stance">anti-EV push</a>.



Elsewhere, recent data shows that <a href="https://www.benzinga.com/markets/tech/25/06/45966726/tesla-vehicle-production-cost-1-7-that-of-waymo-elon-musks-ev-giant-closer-to-full-autonomy-than-competition-report">Tesla's vehicles cost 1/7</a> that of Robotaxi rival Alphabet Inc.'s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) Waymo and that the EV giant has collected data from over 3 billion miles.



<figure class="wp-block-image size-large"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"><img loading="lazy" decoding="async" width="1024" height="206" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1-1024x206.jpg" alt="" class="wp-image-953601" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1-1024x206.jpg 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1-300x60.jpg 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1-768x155.jpg 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1-1536x309.jpg 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/18055318/TSLA-JUN-18-2025-1.jpg 1549w" sizes="(max-width: 1024px) 100vw, 1024px" /></a></figure>



Tesla scores well on Momentum, Quality and Growth metrics, but offers poor Value. For more such insights, sign up for<a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"> Benzinga Edge Stock Rankings</a> today!



Check out more of Benzinga&#8217;s Future Of Mobility coverage by<a href="https://www.benzinga.com/topic/mobility"> following this link.</a>



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/tech/25/06/45988738/tesla-robotaxi-rival-waymo-expands-services-in-california-amid-us-autonomous-vehicle-push">Tesla Robotaxi Rival Waymo Expands Services In California Amid US Autonomous Vehicle Push</a></li>
</ul>



Photo courtesy: Shutterstock

Tech

GOOG

GOOGL

TSLA

Tesla's Robotaxi Launch Could Be Key To $310 Price Target, Says Gary Black

U.S. futures were trading higher on Wednesday as oil futures tumbled after President Donald Trump called for an "<a href="https://www.benzinga.com/markets/market-summary/25/06/45988507/trump-demands-irans-uncoditional-surrender-stock-futures-remain-steady-defense-shares-trade-higher-in-after-hours-trading">Unconditional Surrender</a>" of Iran late Tuesday.



Trump also stated in one of his Truth Social posts that the U.S. knows exactly where Iran's "Supreme Leader" was hiding, highlighting that he was an "easy target.&#8221;



Meanwhile, investors expect the <a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45978856/federal-reserve-rate-cuts-trump-tariffs-what-to-watch-wednesday">Federal Reserve</a> to <a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45978856/federal-reserve-rate-cuts-trump-tariffs-what-to-watch-wednesday">hold rates</a> steady at 4.25%-4.50% on Wednesday, to &#8220;wait and see&#8221; the impact of tariffs on the economy.



The 10-year Treasury bond yielded 4.38% and the two-year bond was at 3.94%. The CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>&#8216;s projections show markets pricing a 99.9% likelihood of the Federal Reserve keeping the current interest rates unchanged in its June meeting. 



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Futures</td><td>Change (+/-)</td></tr><tr><td>Dow Jones</td><td>0.21%</td></tr><tr><td>S&amp;P 500</td><td>0.28%</td></tr><tr><td>Nasdaq 100</td><td>0.36%</td></tr><tr><td>Russell 2000</td><td>0.24%</td></tr></tbody></table></figure>



The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which track the S&amp;P 500 index and Nasdaq 100 index, respectively, rose in premarket on Wednesday. The SPY was up 0.32% at $599.43, while the QQQ advanced 0.37% to $531.02, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.



Cues From Last Session:



U.S. stocks ended lower on Tuesday, with energy stocks being the exception, while most S&amp;P 500 sectors declined, led by significant losses in health care, materials, and consumer discretionary stocks.



The Dow Jones index fell approximately 300 points amid heightened geopolitical concerns following an Axios News <a href="https://www.axios.com/2025/06/17/trump-situation-room-meeting-iran-israel-war">report</a> that President Trump will convene with his national security team in the White House Situation Room to address the intensifying Israel-Iran conflict. 



In stock-specific news, Jabil Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JBL#NYSE">JBL</a>) outperformed with stronger-than-expected third-quarter earnings. CERo Therapeutics Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CERO#NASDAQ">CERO</a>) surged 189% after securing FDA Orphan Drug Designation for CER-1236 in treating acute myeloid leukemia.



On the economic front, U.S. retail sales dropped 0.9% month-over-month in May, worse than the anticipated 0.7% decline. U.S. import prices remained flat in May, while export prices fell 0.9%. U.S. industrial production also disappointed, declining 0.2% in May against expectations of a 0.1% increase.



The Dow Jones index ended 299 points or 0.70% lower at 42,215.80, whereas the S&amp;P 500 index fell 0.84% to 5,982.72. Nasdaq Composite declined 0.91% to 19,521.09, and the small-cap gauge, Russell 2000, tumbled 1.04% to end at 2,101.96.



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Index</td><td>Performance (+/-)</td><td>Value</td></tr><tr><td>Nasdaq Composite</td><td>-0.91%</td><td>19,521.09</td></tr><tr><td>S&amp;P 500</td><td>-0.84%</td><td>5,982.72</td></tr><tr><td>Dow Jones</td><td>-0.70%</td><td>42,215.80</td></tr><tr><td>Russell 2000</td><td>-1.04%</td><td>2,101.96</td></tr></tbody></table></figure>



Insights From Analysts:



Analysts at BlackRock stated that uncertainty around the economic impact of tariffs and inflation volatility will keep the &#8220;Fed on hold for now.&#8221;



&#8220;Longer term, persistent inflation pressures from tariffs and a tight labor market will likely limit how far the Fed can cut, even if tariff-driven supply disruptions dent growth,&#8221; the BlackRock note stated.



Analysts also anticipated that long-term U.S. bond yields can rise, keeping them &#8220;underweight.&#8221; BlackRock reiterated that it <a href="https://www.benzinga.com/general/market-summary/25/05/45512310/blackrock-bets-on-inflation-goes-overweight-inflation-linked-bonds-amid-us-fiscal-sustainability-challenge-heres-a-list-of-etfs-investors-can-consider">preferred inflation-linked bonds,</a> &#8220;even if they are yet to reflect long-term inflation pressures.&#8221; 



&#8220;We favor infrastructure equity, like stakes in airports and data centers: its returns are buffered from inflation and it outperforms amid supply constraints and high inflation. Private markets are complex and not suitable for all investors,&#8221; said the note.



Tariffs and any sustained oil price rises from the Israel-Iran conflict could leave other central banks facing weaker global growth, explained experts. &#8220;Should the conflict affect the security of critical trade routes, supply disruptions could add to inflation pressures,&#8221; it added.



&#8220;We think the Fed will keep rates steady as it waits for tariff impacts to materialize. Mega forces keep us overweight U.S. stocks.&#8221;



Ed Yardeni highlighted the latest Summary of Economic Projections, which will be released later today, along with the Fed&#8217;s decision on interest rates.



&#8220;Odds are that its median economic forecasts will show slow economic growth with a slight increase in the unemployment rate and a modest short-term uptick in inflation&#8211;all mostly consequences of President Donald Trump&#8217;s tariffs and now the war between Israel and Iran,&#8221; he said.



Add that &#8220;the SEP is likely to signal a couple of small cuts in the federal funds rate in the coming months. But Powell will certainly reiterate that the FOMC is in no hurry to do so.&#8221;



See Also: <a href="https://www.benzinga.com/money/how-to-trade-futures">How to Trade Futures</a>



Upcoming Economic Data



Here&#8217;s what investors will keep an eye on Wednesday:



<ul class="wp-block-list">
<li>May&#8217;s housing starts data, building permits data, and the initial jobless claims data for the latest week will be out by 8:3 a.m. ET.</li>



<li>The Federal Open Market Committee will announce its interest-rate decision at 2:00 p.m. ET.</li>



<li>Federal Reserve Chairman Jerome Powell will address a press conference at 2:30 p.m. ET.</li>



<li>On Thursday, markets will remain closed on account of the Juneteenth holiday.</li>
</ul>



Stocks In Focus:



<ul class="wp-block-list">
<li>Korn Ferry (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KFY#NYSE">KFY</a>) was up 0.37% in premarket on Wednesday as analysts expect it to report quarterly earnings of $1.26 per share on revenue of $689.90 million, before the opening bell.</li>



<li>GMS Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GMS#NYSE">GMS</a>) was unchanged at 0.10% ahead of its earnings, which are supposed to be released before the opening bell. Analysts expect earnings of $1.11 per share on revenue of $1.30 billion.</li>



<li>Euroseas Ltd. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ESEA#NASDAQ">ESEA</a>) advanced 2.58% as analysts expect it to report quarterly earnings of $3.28 per share on revenue of $52.91 million, after the closing bell.</li>



<li>Beyond Air Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/XAIR#NASDAQ">XAIR</a>) dropped 21.33% after posting mixed fourth-quarter results. Quarterly revenue came in at $1.15 million, which missed the Street estimate of $1.39 million.</li>



<li>Bitdeer Technologies Group (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BTDR#NASDAQ">BTDR</a>) was 2.44% lower after it reported a $300 million proposed private placement of Convertible Senior Notes.</li>



<li>Ryde Group Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RYDE#NYSE">RYDE</a>) jumped 12.81% as it announced the acquisition of a strategic 40% shareholding in Atoll Discovery Pte. Ltd. (&#8220;Atoll&#8221;), a Singapore-based electric vehicle rental company.</li>



<li>PTL Ltd. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PTLE#NASDAQ">PTLE</a>) surged 108.74% after approving a dual-class share structure on June 16, 2025. Shareholders also approved share consolidation and related amendments.</li>



<li>Focus Impact BH3 Acquisition Co. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SAFX#NASDAQ">SAFX</a>) zoomed 57.06% after appointing a new six-member Board of Directors after its Nasdaq listing and business combination.</li>



<li>GlycoMimetics Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CBIO#NASDAQ">CBIO</a>) slumped 59.38% after Crescent Biopharma completed its merger with the firm and closed a $200 million private placement led by prominent healthcare investors.</li>



<li>Biomea Fusion Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BMEA#NASDAQ">BMEA</a>) plummeted 26.21% after announcing a proposed public offering of common stock and warrants</li>
</ul>



Commodities, Gold, And Global Equity Markets:



Crude oil futures were trading lower in the early New York session by 1.05% to hover around $72.50 per barrel.



Gold Spot US Dollar fell 0.24% to hover around $3,380.62 per ounce. Its last record high stood at $3,500.33 per ounce. The U.S. Dollar Index spot was lower by 0.17% at the 98.6510 level.



Asian markets ended on a mixed note on Wednesday as China&#8217;s CSI 300, South Korea's Kospi, and Japan's Nikkei 225 indices rose. While Hong Kong's Hang Seng, Australia's ASX 200, and India's S&amp;P BSE Sensex indices declined. European markets were flat in early trade.



Read Next:



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<li><a href="https://www.benzinga.com/markets/equities/25/06/45969197/mark-cuban-floats-bold-healthcare-plan-zero-premiums-to-insurance-companies-with-a-cash-pay-revo">Mark Cuban Floats Bold Healthcare Plan: &#8216;Zero Premiums To Insurance Companies&#8217; With A Cash-Pay Revolution</a></li>
</ul>



Photo courtesy: Shutterstock

BMEA

BTDR

CBIO

CERO

ESEA

PTLE

RYDE

SAFX

XAIR

US Stocks Likely To Open Higher Despite Trump's 'Unconditional Surrender' Call: All Eyes On Powell As Experts Predict Inflation Will Limit Fed's Rate Cut Capacity

The CNN Money Fear and Greed index showed a decline in the overall market sentiment, while the index moved to the &#8220;Neutral&#8221; zone on Tuesday.



U.S. stocks settled lower on Tuesday, with the Dow Jones index dipping around 300 points during the session as geopolitical fears surged following an Axios News report that President Donald Trump will meet with his national security team in the White House Situation Room to decide U.S. policy regarding the escalating war between Israel and Iran.



Jabil Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JBL#NYSE">JBL</a>) reported better-than-expected third-quarter results. CERo Therapeutics Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CERO#NASDAQ">CERO</a>) shares jumped 189% on Tuesday after the company received FDA Orphan Drug Designation for CER-1236 for the treatment of acute myeloid leukemia.



On the economic front, U.S. retail sales fell 0.9% month-over-month in May compared to a revised 0.1% decline in April and versus market estimates of a 0.7% fall. U.S. import prices came in unchanged from the previous month in May, while export prices declined 0.9% month-over-month in May. U.S. industrial production declined 0.2% in May, versus market estimates of a 0.1% gain.



Most sectors on the S&amp;P 500 closed on a negative note, with health care, materials and consumer discretionary stocks recording the biggest losses on Tuesday. However, energy stocks bucked the overall market trend, closing the session higher.



The Dow Jones closed lower by over 299 points to 42,215.80 on Tuesday. The S&amp;P 500 dipped 0.84% to 5,982.72, while the Nasdaq Composite declined 0.91% to 19,521.09 during Tuesday's session.



Investors are awaiting earnings results from Korn Ferry (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KFY#NYSE">KFY</a>), GMS Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GMS#NYSE">GMS</a>) and Euroseas Ltd. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ESEA#NASDAQ">ESEA</a>) today.



What is CNN Business Fear &amp; Greed Index?



At a current reading of 53.9, the index moved to the &#8220;Neutral&#8221; zone on Tuesday, versus a prior reading of 61.5.



The Fear &amp; Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/trading-ideas/short-ideas/25/06/45970767/top-3-health-care-stocks-that-are-ticking-portfolio-bombs">Top 3 Health Care Stocks That Are Ticking Portfolio Bombs</a> </li>
</ul>



Photo courtesy: Shutterstock

Pre-Market Outlook

Dow Dips Around 300 Points As Israel-Iran Conflict Escalates: Investor Sentiment Declines, Fear & Greed Index Moves To 'Neutral' Zone

Leading cryptocurrencies edged lower Tuesday amid fears of U.S. involvement in the Iran-Israel conflict.



<figure class="wp-block-table"><table class="has-fixed-layout"><thead><tr><th>Cryptocurrency</th><th>Gains +/-</th><th>Price (Recorded at 8:45 p.m. ET)</th></tr></thead><tbody><tr><td>Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>)</td><td>-2.06%</td><td>$104,735.63</td></tr><tr><td>Ethereum (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/eth/usd">ETH</a>) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-1.79%</td><td>$2,525.57</td></tr><tr><td>Dogecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-1.35%</td><td>$0.1698</td></tr></tbody></table></figure>



What Happened: Bitcoin steadily declined throughout the day, falling to an intraday low of $103,396.53 by afternoon.



Ethereum also gave up gains from Monday's comeback rally, tumbling below $2,500 before paring losses overnight.



Investors remained on edge amid concerns of U.S. involvement in the ongoing Iran-Israel war. In a series of Truth Social <a href="https://truthsocial.com/@realDonaldTrump">posts</a>, Trump said that "we have complete and total control" over Iran&#8217;s skies and demanded an &#8220;unconditional surrender.&#8221;&nbsp;



Over $330 million was liquidated from the cryptocurrency market in the last 24 hours, with nearly $268 million in bullish long bets wiped out. That said, about $650 million in Bitcoin shorts risked liquidation if the apex cryptocurrency rebounded to $107,000.&nbsp;



Bitcoin&#8217;s Open Interest fell 1.97% in the last 24 hours. Interestingly, more than 55% of Binance&#8217;s top traders with open BTC positions were positioned long, according to the long/short ratio.



The market sentiment flipped from "Greed" to "Neutral," according to the Crypto Fear &amp; Greed Index.



Meanwhile, in a positive development, the Senate approved a landmark bill establishing the <a href="https://www.benzinga.com/markets/cryptocurrency/25/06/45972264/senate-advances-stablecoin-bill-a-defining-moment-for-crypto-market-regulation">country&#8217;s first regulatory framework for stablecoins</a>. The bill now heads to the House for further debate.



Top Gainers (24 Hours)



<figure class="wp-block-table"><table class="has-fixed-layout"><thead><tr><th>Cryptocurrency</th><th>Gains +/-</th><th>Price (Recorded at 8:45 p.m. ET)</th></tr></thead><tbody><tr><td>Bitcoin SV (BSV)</td><td>+1.98%</td><td>$31.81</td></tr><tr><td>AB (AB) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+0.66%</td><td>$0.01554</td></tr><tr><td>Jito (JTO)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+0.08%</td><td>$2.19 </td></tr></tbody></table></figure>



The global cryptocurrency market capitalization stood at $3.25 trillion, following a dip of 1.36% in the last 24 hours.



Stocks fell as the recovery rally lost steam on Tuesday. The Dow Jones Industrial Average slid 299.29 points, or 0.70%, to close at 42,215.80. The S&amp;P 500 lost 0.84% to end at 5,982.72. The tech-heavy Nasdaq Composite declined 0.91% to close at 19,521.09.



Investors remained on edge amid concerns of U.S. involvement in the ongoing Iran-Israel war. In a series of Truth Social <a href="https://truthsocial.com/@realDonaldTrump">posts</a>, Trump said that "we have complete and total control" over Iran&#8217;s skies and demanded an &#8220;unconditional surrender.&#8221;&nbsp;



Meanwhile, the Federal Reserve is expected to hold interest rates unchanged in the current 425-450 bps range at Wednesday's meeting, <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">according </a>to the CME FedWatch tool.



See More: <a href="https://www.benzinga.com/money/best-crypto-scanners">Best Cryptocurrency Scanners</a>



Analyst Notes: Well-known cryptocurrency commentator Michaël van de Poppe noticed that Bitcoin swept some liquidity but bounced back soon after.



"Doesn&#8217;t say that we&#8217;ve bottomed, but it&#8217;s a great sign to be accumulating those corrections before the next BIG leg upwards happens," Van de Poppe added. "Reclaim of $106,000 is where the party happens."



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true"><a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> did make that sweep of the liquidity and instantly bounces back. Doesn&#39;t say that we&#39;ve bottomed, but it&#39;s a great sign to be accumulating those corrections before the next BIG leg upwards happens. Reclaim of $106,000 is where the party happens. <a href="https://twitter.com/hashtag/Altcoins?src=hash&amp;ref_src=twsrc%5Etfw">#Altcoins</a>… <a href="https://t.co/eKxtLJ6Hwo">pic.twitter.com/eKxtLJ6Hwo</a>&mdash; Michaël van de Poppe (@CryptoMichNL) <a href="https://twitter.com/CryptoMichNL/status/1935057401071473010?ref_src=twsrc%5Etfw">June 17, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Another widely followed cryptocurrency analyst and trader, DevKhabib, stated that Ethereum's rejection will take it below the key support level at $2,380 and test the $2,200 levels.



"As long as we don&#8217;t close any weekly candles below the 5-year trendline(red diagonal line), we should be good," the analyst predicted.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true"><a href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$ETH</a> This rejection here is probably the one that will take us below the strong support at $2380 and test the $2200 levels. As long as we don&#39;t close any weekly candles below the 5 year trendline(red diagonal line) we should be good. <a href="https://t.co/rye7c3PLGv">pic.twitter.com/rye7c3PLGv</a>&mdash; DevKhabib (@DevKhabib) <a href="https://twitter.com/DevKhabib/status/1935027737074528442?ref_src=twsrc%5Etfw">June 17, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Photo Courtesy: alfernec on Shutterstock.com



Read Next:&nbsp;&nbsp;&nbsp;&nbsp;



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/crypto/cryptocurrency/25/06/45971185/bitcoins-newer-buyers-realize-bigger-gains-is-a-90000-now-within-reach">Bitcoin&#8217;s Newer Buyers Realize Bigger Gains – Is A $90,000 Now Within Reach?</a></li>
</ul>

Cryptocurrency

Movers

$DOGE

$ETH

Bitcoin, Ethereum, Dogecoin Dip As Investors Jittery Over US Involvement In Iran-Israel Conflict: Analyst Says BTC's Reclaim Of $106,000 Is 'Where The Party Happens'

U.S. stock futures remain unfazed by President Donald Trump&#8217;s calls for an &#8220;Unconditional Surrender&#8221; by Iran on Tuesday night, as tensions continued to flare in the Middle East.



Starting with the S&amp;P 500 Futures, which trades at 6,045.00, up 0.11%, followed by Nasdaq Futures at 21,986.00, up 0.14%, and Dow Jones Futures up 0.06%, trading at 42,581.00, at the time of writing this.



<figure class="wp-block-image aligncenter size-large is-resized"><img loading="lazy" decoding="async" width="1024" height="408" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212516/Screenshot-2025-06-18-at-6.55.02-AM-1024x408.png" alt="" class="wp-image-953126" style="width:595px;height:auto" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212516/Screenshot-2025-06-18-at-6.55.02-AM-1024x408.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212516/Screenshot-2025-06-18-at-6.55.02-AM-300x119.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212516/Screenshot-2025-06-18-at-6.55.02-AM-768x306.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212516/Screenshot-2025-06-18-at-6.55.02-AM.png 1186w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Stock futures are largely flat despite escalating tensions between the United States and Israel versus Iran, amid Trump&#8217;s increasingly fiery rhetoric, stating that the U.S. knows exactly where Iran&#8217;s &#8220;Supreme Leader&#8221; was hiding, and adding that he was an &#8220;easy target,&#8221; in a Truth Social post on Tuesday.



See Also: <a href="https://www.benzinga.com/news/politics/25/06/45988135/bernie-sanders-slams-israels-illegal-attack-on-iran-says-absolutely-imperative-that-the-united-states-not-be-dragged-into-this-war">Bernie Sanders Slams Israel&#8217;s &#8216;Illegal&#8217; Attack On Iran, Says &#8216;Absolutely Imperative That The United States Not Be Dragged Into This War&#8217;</a>



In a subsequent post, Trump once again did not mince words and called for an &#8220;UNCONDITIONAL SURRENDER!&#8221; by Iran. This comes just a day after he said that a cease-fire between Israel and Iran was <a href="https://www.benzinga.com/markets/equities/25/06/45968002/trump-says-israel-iran-ceasefire-not-on-the-table-left-g7-early-for-a-much-bigger-reason-spy-qqq">not on the table</a>, and that he was seeking &#8220;a real end&#8221; to Iran&#8217;s nuclear issue.



<figure class="wp-block-image aligncenter size-large is-resized"><img loading="lazy" decoding="async" width="1024" height="208" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212554/Screenshot-2025-06-18-at-6.55.41-AM-1024x208.png" alt="" class="wp-image-953127" style="width:615px;height:auto" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212554/Screenshot-2025-06-18-at-6.55.41-AM-1024x208.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212554/Screenshot-2025-06-18-at-6.55.41-AM-300x61.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212554/Screenshot-2025-06-18-at-6.55.41-AM-768x156.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/06/17212554/Screenshot-2025-06-18-at-6.55.41-AM.png 1184w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Defense stocks and ETFs have continued to rally after hours, as tensions continued to escalate, with California-based Kratos Defense &amp; Security Solutions Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KTOS#NASDAQ">KTOS</a>), which provides defense engineering and communications solutions, rising 0.60% after hours.



Others, such as Israel&#8217;s Elbit Systems Ltd. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ESLT#NASDAQ">ESLT</a>) and RTX Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RTX#NYSE">RTX</a>), have rallied by 1.12%% and 0.60%, respectively, in after-hours trading.



<figure class="wp-block-table"><table class="has-fixed-layout"><thead><tr><th>Stock</th><th class="has-text-align-center" data-align="center">After-Hours</th><th class="has-text-align-center" data-align="center">Month-To-Date</th><th class="has-text-align-center" data-align="center">Year-To-Date</th></tr></thead><tbody><tr><td>Elbit Systems Ltd. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ESLT#NASDAQ">ESLT</a>)</td><td class="has-text-align-center" data-align="center">+1.12%</td><td class="has-text-align-center" data-align="center">+10.81%</td><td class="has-text-align-center" data-align="center">+73.00%</td></tr><tr><td>Kratos Defense &amp; Security Solutions Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KTOS#NASDAQ">KTOS</a>)</td><td class="has-text-align-center" data-align="center">+0.60%</td><td class="has-text-align-center" data-align="center">+17.18%</td><td class="has-text-align-center" data-align="center">+63.87%</td></tr><tr><td>Northrop Grumman Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NOC#NYSE">NOC</a>)</td><td class="has-text-align-center" data-align="center">+0.60%</td><td class="has-text-align-center" data-align="center">+3.96%</td><td class="has-text-align-center" data-align="center">+7.68%</td></tr><tr><td>RTX Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RTX#NYSE">RTX</a>)</td><td class="has-text-align-center" data-align="center">+0.72%</td><td class="has-text-align-center" data-align="center">+8.79%</td><td class="has-text-align-center" data-align="center">+27.99%</td></tr><tr><td>Lockheed Martin Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LMT#NYSE">LMT</a>)</td><td class="has-text-align-center" data-align="center">+1.06%</td><td class="has-text-align-center" data-align="center">-0.63%</td><td class="has-text-align-center" data-align="center">-0.60%</td></tr></tbody></table></figure>



<figure class="wp-block-table"><table class="has-fixed-layout"><tbody><tr><td class="has-text-align-center" data-align="center">ETF</td><td class="has-text-align-center" data-align="center">Month-To-Date</td><td class="has-text-align-center" data-align="center">Year-To-Date</td></tr><tr><td class="has-text-align-center" data-align="center">Global X Defense Tech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHLD#NYSE">SHLD</a>)</td><td class="has-text-align-center" data-align="center">+3.03%</td><td class="has-text-align-center" data-align="center">+57.56%</td></tr><tr><td class="has-text-align-center" data-align="center">iShares U.S. Aerospace &amp; Defense ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ITA#BATS">ITA</a>)</td><td class="has-text-align-center" data-align="center">+1.54%</td><td class="has-text-align-center" data-align="center">+24.24%</td></tr></tbody></table></figure>



Asian markets opened higher on Wednesday, with Japan&#8217;s Benchmark Nikkei 225 up 0.71% in early morning trade, at 38,808, with companies focused on the domestic market leading the way.



Brent crude oil futures are down 0.04%, trading at 76.40 a barrel, marking a steep 19% ascent since the beginning of this month, after hitting a 52-week low of $58.4 a barrel in early May.



The&nbsp;U.S. Dollar Index&nbsp;(DXY) is holding steady at 98.724, down 0.10%, even as volatilities and geopolitical risks continue to weigh.



Investors on Wednesday will be closely watching the outcome of the FOMC meeting, followed by a press conference by Federal Reserve Chair Jerome Powell. Investors will also be keenly eyeing the Initial Jobless Claims, Housing Starts, and Building Permit reports during the day.



Photo Courtesy: Gumbariya on Shutterstock.com



Read More: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/06/45983526/trump-wants-an-end-not-a-ceasefire-for-the-israel-iran-war-what-that-means-for-etfs">Trump Wants &#8216;An End, Not a Ceasefire&#8217; For The Israel-Iran War: What That Means For ETFs</a></li>
</ul>

ESLT

KTOS

SHLD

Trump Demands Iran's 'Unconditional Surrender' — Stock Futures Remain Steady, Defense Shares Trade Higher In After-Hours Trading

Cathie Wood-led Ark Invest made significant trades on Tuesday, focusing on Advanced Micro Devices Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), Taiwan Semiconductor Manufacturing Co., Ltd (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>), and Circle Internet Group Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CRCL#NYSE">CRCL</a>). These trades reflect Ark&#8217;s strategic positioning in the tech sector amidst market fluctuations.



The AMD Trade: On Tuesday, Ark Invest&#8217;s ARK Next Generation Internet ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKW#BATS">ARKW</a>) fund acquired 37,377 shares of Advanced Micro Devices. This purchase aligns with AMD&#8217;s recent market momentum, driven by speculation of a potential &#8220;GPU win&#8221; with Amazon Web Services and a <a href="https://www.benzinga.com/trading-ideas/movers/25/06/45978843/amd-stock-is-up-10-this-week-whats-going-on">positive rating</a> from Piper Sandler. The analyst, Harsh Kumar, maintained an &#8220;Overweight&#8221; rating and increased AMD&#8217;s price target to $140, citing the company&#8217;s product launches and expected growth in AI. The shares closed at $128.10, making the trade worth approximately $4.75 million. 



The TSMC Trade: The ARK Innovation ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKK#BATS">ARKK</a>) fund purchased 36,913 shares of Taiwan Semiconductor Manufacturing on the same day. TSM shares closed at $213.90 on Tuesday. The Ark transaction was valued at $7.9 million.



TSM is <a href="https://www.benzinga.com/markets/tech/25/06/45953943/taiwan-semiconductor-eyes-rollout-of-2nm-advanced-tech-chips-this-year">advancing its 2-nanometer technology</a>, aiming for commercialization in the latter half of 2025. This move is part of TSM&#8217;s strategy to maintain its competitive edge over rivals like Samsung Electronics. The acquisition reflects Ark&#8217;s confidence in TSM&#8217;s technological advancements and market potential. 



The Circle Internet Trade: Ark Invest&#8217;s funds, including Ark Fintech Innovation ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKF#BATS">ARKF</a>), ARKK, and ARKW, collectively sold a substantial number of shares in Circle Internet, totaling 300,108 shares. On Tuesday, Circle Internet shares ended the day at $149.15, making the Ark Transaction on the day worth $44.8 million.



Circle, known for issuing the USDC stablecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/">USDC</a>), has <a href="https://www.benzinga.com/trading-ideas/movers/25/06/45955267/circle-internet-group-crcl-stock-hits-new-highs-whats-going-on">seen its stock soar</a> since its IPO on June 5, 2025. The stock&#8217;s initial pricing at $31 surged to $83.23 on its first trading day, continuing to attract investor interest. This sale could indicate a strategic reallocation of Ark&#8217;s investment portfolio. Notably, on Monday, Wood had <a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/06/45964983/cathie-woods-monday-shuffle-buys-nvidia-sells-meta-ark-also-dumps-hot-circle-stock">sold $43.6 million</a> worth of Circle shares.



Other Key Trades:



<ul class="wp-block-list">
<li>eToro Group Ltd (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ETOR#NASDAQ">ETOR</a>): ARKF purchased 35,461 shares.</li>



<li>Airbnb Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ABNB#NASDAQ">ABNB</a>): ARKK acquired 59,115 shares.</li>



<li>DoorDash Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DASH#NYSE">DASH</a>): ARKF and ARKW collectively bought 17,828 shares.</li>



<li>Shopify Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SHOP#NYSE">SHOP</a>): ARKW added 21,277 shares to its holdings.</li>
</ul>



Photo Courtesy: Ira Lichi On Shutterstock.com



Read Next: 



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<li><a href="https://benzinga.com/crypto/cryptocurrency/25/06/45933322/bitcoin-ethereum-xrp-dogecoin-weekend-rally-100k-lows" target="_blank" rel="noreferrer noopener">Bitcoin, Ethereum, XRP, Dogecoin Drop Further — Traders Eye Weekend Rally Before Retest Of $100K Lows</a></li>
</ul>



This story was generated using <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and edited by <a href="https://www.benzinga.com/author/shivdeep-dhaliwal" target="_blank" rel="noreferrer noopener">Shivdeep Dhaliwal</a>

$USDC

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DASH

ETOR

SHOP

Cathie Wood Splashes $12.7 Million On Chip Giants AMD And Taiwan Semiconductors, Ark Dumps Another $45 Million Worth Of Hot Circle Stock

As world leaders convened in Canada for the G7 summit to debate economic cooperation, U.S. President Donald Trump suddenly hijacked the headlines by <a href="https://www.benzinga.com/markets/equities/25/06/45968002/trump-says-israel-iran-ceasefire-not-on-the-table-left-g7-early-for-a-much-bigger-reason-spy-qqq-dip-in-premarket-oil-climbs">cutting his G7 visit short </a>and boarding Air Force One to tackle what he described as a much more pressing issue: stopping Iran&#8217;s nuclear pursuits once and for all. With Israel having struck deep inside Iranian territory and Tehran threatening retaliation, investors now prepare themselves for the <a href="https://www.benzinga.com/etfs">ETF</a>-level consequences of a protracted geopolitical crisis.



<h2 class="wp-block-heading">What Happened</h2>



Trump emphatically brushed aside proposals for a ceasefire between Iran and Israel, instead calling for &#8220;an end. A real end. Not a ceasefire. An end.&#8221; The statement, made en route to Washington, was immediately seen by markets as a possible ratcheting up of an already tense conflict. 



And while global equities have been fairly stable, activity below the surface is very different: energy, defense, and gold ETFs are flashing new risk signs.



<h2 class="wp-block-heading">Energy ETFs Respond To Oil Supply Threats</h2>



With the flagship Bazan oil refinery closing after deadly missile attacks by Iran, and concerns building over possible disruptions to Iranian oil exports or shipping through the Strait of Hormuz, <a href="https://www.benzinga.com/markets/commodities/25/06/45965846/israel-is-pounding-irans-energy-infrastructure-and-its-sending-these-oil-etfs-soaring-but-it-maybe-bad-news-at-the-gas-pump">energy-linked ETFs are picking up steam</a>.



Securities such as the Energy Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLE#NYSE">XLE</a>) and the Vanguard Energy ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VDE#NYSE">VDE</a>) experienced small inflows for the week as oil prices ticked higher on supply worries. United States Oil Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USO#NYSE">USO</a>), a direct play on crude futures, also experienced increased volume, and the fund is up around 5% as of Tuesday afternoon.



<h2 class="wp-block-heading">Defense ETFs Get A War-Posture Boost</h2>



Trump&#8217;s comments, combined with the deployment of U.S. military, specifically, the Middle East-bound USS Nimitz aircraft carrier battle group, has strengthened sentiment behind defense and aerospace stocks.



iShares U.S. Aerospace &amp; Defense ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ITA#BATS">ITA</a>) and SPDR S&amp;P Aerospace &amp; Defense ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XAR#NYSE">XAR</a>) both were up moderately after the president&#8217;s statements. Leveraged vehicles such as Direxion Daily Aerospace &amp; Defense Bull 3X Shares (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DFEN#NYSE">DFEN</a>) also gained interest.



<h2 class="wp-block-heading">Safe Havens Shine As Diplomatic Channels Fade</h2>



Gold ETFs, traditionally the &#8220;nuclear fallout shelter&#8221; of international finance, are getting some life after a slow spring. Trump&#8217;s &#8220;not in the mood to negotiate&#8221; refrain coupled with tweets threatening strikes on Tehran revived safe-haven demand.



Since Friday, the iShares Gold Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IAU#NYSE">IAU</a>) and SPDR Gold Shares ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GLD#NYSE">GLD</a>) have seen modest but consistent inflows.



The G7 walkout sent a message to markets that this administration isn&#8217;t pivoting, it&#8217;s running away from diplomacy. Even if risk assets aren&#8217;t pricing in disaster, safe-haven ETFs are quietly getting ready for one.



Also Read: <a href="https://www.benzinga.com/etfs/specialty-etfs/25/06/45939307/are-gold-etfs-really-a-hedge-during-a-geopolitical-crisis-heres-what-to-check-before-investing">Are Gold ETFs Really A Hedge During A Geopolitical Crisis? Here&#8217;s What To Check Before Investing</a>



<h2 class="wp-block-heading">Middle East ETFs Navigate Uncertain Course</h2>



Regional funds could suffer devastating fallout if the conflict escalates. ETFs such as WisdomTree Middle East Dividend Fund (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GULF#NASDAQ">GULF</a>) and iShares MSCI Frontier and Select EM ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FM#NYSE">FM</a>) have minimal direct exposure to Iran but could still lose out on general capital outflow in the face of geopolitical volatility.



<h2 class="wp-block-heading">Conclusion: An Endgame Without An Exit Strategy</h2>



Markets can typically absorb tension, but they have trouble with open-ended uncertainty. Keywords like &#8220;not a ceasefire,&#8221; &#8220;an end,&#8221; and the like give investors little hints of how this war could end and at what cost markets could eventually pay.



For the time being, ETFs are where the market is subtly voting on what lies ahead, and the early indicators are that it&#8217;s gearing up for a rough ride.



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/06/45978750/why-smart-money-is-spreading-out-etf-flows-signal-surge-in-portfolio-diversification">Why Smart Money Is Spreading Out: ETF Flows Signal Surge In Portfolio Diversification</a></li>
</ul>



Photo: Shutterstock

Politics

DFEN

GULF

Trump Wants 'An End, Not a Ceasefire' For The Israel-Iran War: What That Means For ETFs

Amazon.Com Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) chief Andy Jassy in a blog post on Tuesday, highlighted the company&#8217;s extensive leveraging of <a target="_blank" href="https://www.benzinga.com/topic/artificial-intelligence" rel="noreferrer noopener">Generative AI</a> to drive value.



Technologies like Generative AI are rare and come about once-in-a-lifetime, completely transforming possibilities for customers and businesses, Jassy said, justifying its aggressive investment.



He stated that Alexa+, the company&#8217;s advanced Alexa personal assistant, is the first personal assistant that can <a target="_blank" href="https://www.aboutamazon.com/news/company-news/amazon-ceo-andy-jassy-on-generative-ai?utm_campaign=Watchlist&amp;utm_source=Benzinga&amp;utm_medium=Email" rel="noreferrer noopener">take significant actions</a> for customers while providing intelligent answers to virtually any question, citing its tens of millions of customers worldwide.



Also Read: <a target="_blank" href="https://www.benzinga.com/markets/25/02/43550696/amazon-to-pour-nearly-100-billion-into-ai-in-2025-surpassing-microsoft-and-alphabet-andy-jassy-says-cost-of-inference-will-meaningfully-come-down-amid-deepseek-worries" rel="noreferrer noopener">Amazon To Pour Nearly $100 Billion Into AI In 2025, Surpassing Microsoft And Alphabet</a>



Jassy stated that this AI-driven transformation might reduce the corporate workforce in the coming years due to increased efficiency. He recommended being curious about AI and educating yourself by attending workshops and training.



He highlighted the huge impact of Gen AI and said that nearly half a million selling partners are using these services, and the listings they are creating are measurably better.



Jassy wrote about how the company transformed advertising with AI, helping brands plan, onboard, create, and optimize campaigns. He said over 50,000 advertisers used these capabilities in the first quarter alone.



Jassy highlighted Generative AI&#8217;s crucial role within Amazon Web Services (AWS) for developers and in optimizing internal functions such as fulfillment and customer service. He also pointed to the development of AI agents to automate tasks and accelerate innovation.



Amazon also restructured its Customer Service Chatbot with GenAI and assembled more intelligent and compelling product detail pages by leveraging GenAI.



Jassy underscored Amazon&#8217;s substantial investment in AI, expressing a firm belief in its capacity to alter work and daily life profoundly. He envisions a future where AI agents become ubiquitous, dramatically expanding the scope and pace of innovation for consumers.



He said Amazon has over 1,000 Generative AI services and applications in progress or built, which is a small fraction of what it will ultimately build.



Earlier, Jassy <a target="_blank" href="https://www.benzinga.com/news/management/25/04/44746436/amazon-ceo-justifies-large-ai-investments-as-once-in-a-lifetime-reinvention-of-everything-we-know" rel="noreferrer noopener">highlighted the need</a> for substantial capital to secure AI chips and build data centers, reiterating the need for large capital investments during the current period of &#8220;high demand&#8221; in order to remain competitive in the rapidly changing AI landscape.&nbsp;



Price Action: AMZN stock is down 0.57% at $214.86 at the last check on Tuesday.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/03/44118144/amazon-unveils-ai-reasoning-model-for-june-2025-strengthening-aws-leadership-in-ai-innovation" target="_blank" rel="noreferrer noopener">Amazon To Launch AI Reasoning Model In June, Reinforcing AWS&#8217;s AI Dominance</a></li>
</ul>



Photo via Shutterstock

Amazon CEO Says Generative AI Will Reduce Total Corporate Workforce

&#8220;Pirate&#8221; is one of the nicer terms I&#8217;ve heard applied to private equity firms. After all, these are companies that, over the years, I have heard get blamed for everything from global warming to the killing of Geoffrey, the Toys R Us giraffe.



The truth of the matter is that when you peel away the label and look inside, most successful private equity firms are simply value investors who use substantial leverage. They buy good businesses using lots of debt, then use cash flow to pay down the debt and create enormous value in the process. As an aside, their biggest customers are the large pension funds that provide comfortable retirements for thousands of teachers, firefighters, and police officers across the United States.



The people who run these companies are generally given equity; often, the employees receive stock. When the deals are successful, as most of them are, executives and employees alike score massive paydays.



The good news for us is that we can do what private equity funds do and earn the type of returns the very best funds have generated over the years. We want good businesses that have substantial debt. We want to see that insiders own enough stock to be motivated to do the things required to succeed at creating value. We want to see that the debt is being actively repaid and reduced. 



<h2 class="wp-block-heading">Final Call: Free Event Reveals Market's Hidden ‘Power Patterns' That Have Delivered Winning Trades Like Seasonal Clockwork</h2>



Trading legend Tom Gentile—who has trained over 300,000 investors—goes live Today, June 18 at 6 PM ET to reveal the market's hidden "Power Patterns." These are the same setups he's used in 2025 alone to capture gains like 105% on Adobe, 128% on Progressive, and 150% on Costco, all in under two weeks. Reserve Your Seat <a href="https://events2.benzinga.com/power-pattern-profits-live/?utm_campaign=power-pattern-registration&amp;utm_adType=sponsorad&amp;utm_ad=RD061825&amp;he={{email}}&amp;adt_ei={{email}}&amp;utm_medium=newsletter&amp;el=ResearchDaily">HERE</a> for this Benzinga Exclusive Event. 



<h2 class="wp-block-heading">American Axle &amp; Manufacturing</h2>



American Axle &amp; Manufacturing (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AXL#NYSE">AXL</a>) has been quietly executing one of the more disciplined balance sheet repair jobs in the auto parts sector, positioning itself for a transformative step forward. The company&#8217;s June 2025 investor deck confirms that this is not a speculative EV play or a restructuring story that depends on the market&#8217;s mood. It is a solid operator generating real free cash flow, with a clear focus on reducing debt and growing profitably—even in a cyclical and capital-intensive business.



AXL is a leading global supplier of driveline systems and metal-formed components, primarily serving the North American light truck and SUV market. Roughly 69% of its 2024 revenue came from driveline systems, including full-size pickup truck axles and hybrid/electric solutions, while the remainder came from its vertically integrated metal forming operations. Its biggest customers include GM, Ford and Stellantis, and it boasts over $20 billion in lifetime revenue already secured through 2030, providing high visibility in a notoriously uncertain industry.



Once viewed as legacy exposures, the company&#8217;s Internal Combustion Engine and hybrid programs have become tailwinds thanks to updated production forecasts in North America and Europe. While EV ambitions remain in place, with selective exposure to high-value components like eBeam axles and electric drive units, AXL has smartly avoided chasing low-margin, high-volume EV content.



That restraint extends to its balance sheet. Since 2017, AXL has reduced gross debt from nearly $4 billion to $2.6 billion. Net leverage stands at 2.8x EBITDA, and management has made it crystal clear that all capital allocation decisions—dividends, buybacks, or otherwise—are on hold until they reach 2.5x. That kind of focus is rare in this market.



The most important near-term development is AXL&#8217;s pending merger with Dowlais Group, a U.K.-based driveline and powdered metal components supplier with a strong Asia-Pacific presence and a top-tier position in sideshaft technology. The deal, expected to close in Q4 2025, will double AXL&#8217;s scale to approximately $12 billion in revenue, improve geographic diversification, and significantly expand the product portfolio across both ICE and EV platforms.



Financially, the merger is expected to deliver $300 million in annual synergies within three years. Even after layering on approximately $2.2 billion of new debt to finance the transaction, AXL expects to maintain net leverage near 2.5x—evidence of how much operating cash flow the combined business will generate. The pro forma free cash flow yield is projected to be near 50% of the market cap, which is remarkable for a Tier 1 auto supplier in any environment.



Insiders have an enormous incentive to generate cash, pay down debt, and increase the value of the stock. Collectively, they own over four million shares.



In short, AXL is demonstrating what it looks like to run a heavy industrial business the right way: real cash flow, clear priorities, and a strategic combination that could unlock significant value without compromising the company&#8217;s balance sheet discipline. That&#8217;s worth more than just a passing glance.



<h2 class="wp-block-heading">Red Rock Resorts</h2>



Red Rock Resorts (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RRR#NASDAQ">RRR</a>) is not just another gaming company. It is a real estate-rich cash machine quietly capitalizing on Southern Nevada&#8217;s demographic tailwinds and its own disciplined operating model. Anchored by decades of family-led stewardship from the Fertitta brothers, RRR continues to generate strong free cash flow while methodically unlocking the value of its irreplaceable real estate portfolio. As investors hunt for durable growth and margin stability in a choppy market, Red Rock stands out.



The company&#8217;s story starts with its commanding position in the Las Vegas local gaming market, which is the second-largest gaming market in the United States. This is a recurring revenue engine powered by loyal customers: 75% of slot revenues come from guests who visit at least four times a month. With 19 properties already operating and a pipeline of shovel-ready land, RRR is perfectly situated to scale with the Las Vegas metro&#8217;s continued growth.



The heart of Red Rock&#8217;s advantage is its real estate. The company owns every inch of its developed and undeveloped land, with over 459 acres of prime Las Vegas Valley property ready for development.



These sites are not speculative.



They are located in some of the fastest-growing, highest-income neighborhoods in Southern Nevada, including Inspirada, Skye Canyon, and along South Las Vegas Boulevard. The Durango project is a case in point: a new property expected to generate over $180 million in EBITDA on an $800 million investment, delivering a projected 20%+ ROI.



It is not just about development.



The company&#8217;s reinvestment in its existing assets is deliberate and effective. Renovations at Green Valley Ranch and Sunset Station aim to enhance the guest experience and drive repeat visitation. With more than $6 billion already invested across its Las Vegas footprint, the quality of RRR&#8217;s properties sets a high bar in the regional gaming space.



Red Rock&#8217;s free cash flow generation is perhaps most compelling for long-term investors. Since reopening after COVID, RRR has converted a robust 61% of EBITDA into operating free cash flow, generating over $415 million in the trailing twelve months ending March 2025. In Q1 2025 alone, the company posted record EBITDA of $215 million with consolidated margins above 43%. Because gaming, its highest-margin segment, accounts for 67% of total revenue, those margins remain resilient even amid broader macro volatility.



While Red Rock still has a substantial debt load of $3.4 billion, it is worth noting that leverage metrics are trending in the right direction. Debt-to-equity has improved meaningfully from 15.87 in late 2024 to 13.77 in Q1 2025, and net leverage has declined to 4.09x EBITDA. Management is taking a measured approach—balancing development, capital returns, and deleveraging—without compromising its ability to invest for future growth.



Red Rock is returning capital: the company has paid out $893 million to shareholders through dividends and share repurchases since 2021. That includes $646 million in buybacks, with another $309 million still authorized under the current plan. It is a shareholder-friendly capital allocation strategy underpinned by recurring income and long-term real estate value.



It makes sense that Red Rock would reward shareholders since officers and directors are the largest shareholders. Thanks to a split share structure, insiders own about 20% of the company and have full voting control.



With Nevada continuing to lead the nation in population growth, a stable regulatory environment, and rising discretionary income across key demographics, Red Rock&#8217;s fundamentals look durable. When you add a portfolio of wholly-owned assets, meaningful free cash flow, a clear development runway, and a commitment to reducing leverage, it becomes clear: Red Rock Resorts is building more than just casinos.



It is building wealth for shareholders.



Finding good businesses that are actively paying down debt where insiders have skin in the game allows us to do exactly what private equity investors have done to rack up huge returns.



Editorial content from our expert contributors is intended to be information for the general public and not individualized investment advice. Editors/contributors are presenting their individual opinions and strategies, which are neither expressly nor impliedly approved or endorsed by Benzinga.



Photo: Shutterstock

2 Stocks That Show It Pays To Be A 'Pirate'

The Federal Reserve is widely expected to hold rates steady at 4.25%-4.50% on Wednesday as President Donald Trump's volatile tariff policy <a href="https://www.benzinga.com/news/econ-s">clouds the economic outlook. </a>



The decision will mark the fourth straight pause in the rate-cutting cycle that began in September. Yet, rather than the rate decision itself, the key data to watch for markets will be release of new economic projections. 



<h3 class="wp-block-heading">Wait-And-See Remains The Fed&#8217;s Mantra</h3>



Chair Jerome Powell and his colleagues have consistently repeated since May that monetary policy is "in a good place." Despite persistent calls from Trump to cut rates more aggressively, Powell is likely to maintain a data-driven approach and to push back pressures to cut prematurely. 



David Mericle, economist at Goldman Sachs, said in a note last week the Fed is unlikely to make big moves until it gets more clarity, and that recent inflation data and easing trade tensions support staying on hold. 



"The FOMC will likely reiterate that it plans to remain on hold until it has further clarity," he said.



Although both the U.S. and China rolled back 115 percentage points worth of tariffs in May, a 90-day freeze on the latest round of tariffs expires next month. 



Goldman Sachs expects the U.S. effective tariff rate to be 14 percentage points. This will be enough to push inflation to 3.4% and to slow economic growth to 1.25% this year. 



&#8220;The Fed&#8217;s main message at the June meeting will be that it remains comfortably in wait-and-see mode,&#8221; said Bank of America&#8217;s economist Aditya Bhave in a report last week. 



<h3 class="wp-block-heading">All Eyes On New Economic Projections</h3>



Analysts expect the Summary of Economic Projections (SEP) to point to just one 25-basis-point rate cut in 2025, down from 50 basis points in March, and 75 basis points in total easing for 2026, unchanged from previous estimates.



Current market pricing shows that speculators factor in almost two rate cuts for 2025, according to CME Fed Watch tool. 



Since March, tariffs policies have added more uncertainty to both inflation and economic growth. 



Despite recent softer inflation readings, the Fed is unlikely to revise down its March projections, which saw headline Personal Consumption Expenditures inflation averaging 2.7% in 2025 and 2.2% in 2026, with core PCE at 2.8% and 2.2% respectively.



Real economic growth was projected at 1.7% for 2025 and 1.8% for 2026 in the Fed's March forecast. A downward revision to growth alongside an upward revision to inflation would confirm the Fed is leaning toward a stagflationary near-term outlook. 



 Bhave said the Fed is likely to revise its growth forecast lower while nudging inflation projections higher.



Markets will also be watching for any shift in the Fed's view on labor market softness, with the March unemployment forecast at 4.4%. 



May's nonfarm payrolls rose by 139,000—slightly above expectations—but prior months were revised down by 95,000, while continuing jobless claims in late May climbed to their highest level since winter 2021.



Now Read



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/economic-data/25/06/45971228/retail-sales-slump-more-than-expected-as-tariff-fears-hit-spending">Retail Sales Slump More Than Expected As Tariff Fears Hit Spending</a></li>
</ul>



Image: Shutterstock

Topics

No Rate Cuts Yet, Fed Wants To See Where Tariffs Land: Here's What To Watch Wednesday

Wall Street took a sharp and unexpected turn lower by midday Tuesday as geopolitical fears surged following an Axios News report that President Donald Trump will meet with his national security team in the White House Situation Room to decide U.S. policy regarding the escalating war <a href="https://www.benzinga.com/topic/middle-east">between Israel and Iran.</a>



According to <a href="https://www.axios.com/2025/06/17/trump-situation-room-meeting-iran-israel-war">Axios</a>, U.S. officials said Trump is seriously considering direct military intervention, including a potential strike on Iran's underground uranium enrichment facility in Fordow. The situation began unfolding after Trump abruptly left the G7 summit in Canada late Monday and called for Iran's "unconditional surrender" on Tuesday.



Iran swiftly responded by ordering evacuations in Tel Aviv and Haifa, intensifying fears of regional war.



Major U.S. stock indexes fell in midday trading, as investors digested the threat of U.S. involvement in another Middle East conflict.



<h3 class="wp-block-heading">Stocks Fall, Solar Sector Gets Hammered By Senate Bill</h3>



The S&amp;P 500 declined 0.5% to 6,000 points, and the Nasdaq 100 slid by over 130 points, or 0.6%, to 21,800.



Volatility spiked during the session as the CBOE Volatility Index, commonly known as the VIX or Wall Street&#8217;s fear index, surged 7.6%. 



Treasury yields plunged, with 30-year yields down 6 basis points to 4.90%. The dollar rallied reflecting appetite for safe havens. 



Oil price soared 1% to $72.5 a barrel. Sector-wise, energy was the lone area in the green, buoyed by expectations of rising crude prices if the Middle East conflict intensifies. 



In contrast, the consumer discretionary and healthcare sectors led the market's losses, with the latter penalized by fresh advertising restrictions.



Defense contractors rallied sharply as the specter of military conflict lifted expectations for increased government defense spending. RTX Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RTX#NYSE">RTX</a>) advanced 1.2%, Lockheed Martin Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LMT#NYSE">LMT</a>) climbed 2.9% and Northrop Grumman Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NOC#NYSE">NOC</a>) gained 1.6% by midday.



Meanwhile, a draft version of the Senate's "Big Beautiful Bill" revealed plans to phase out all federal tax credits for solar and wind energy projects by 2028. These incentives were established under the 2022 Inflation Reduction Act.



The announcement triggered a broad selloff across solar-related stocks. The Invesco Solar ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TAN#NYSE">TAN</a>) plunged 9% in midday trading. Among individual names, Sunrun Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RUN#NASDAQ">RUN</a>) collapsed 40%, SolarEdge Technologies Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SEDG#NASDAQ">SEDG</a>) dropped 35%, and Enphase Energy Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ENPH#NASDAQ">ENPH</a>) fell 25%. Industry bellwether First Solar Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FSLR#NASDAQ">FSLR</a>) lost 18%.



<h3 class="wp-block-heading">Tuesday&#8217;s Performance In Major US Indices, ETFs</h3>



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Major Indices </td><td>Price</td><td>Chg %</td></tr><tr><td>Dow Jones</td><td>42,325.26</td><td>-0.4%</td></tr><tr><td>S&amp;P 500</td><td>6,000.66</td><td>-0.5%</td></tr><tr><td>Nasdaq 100</td><td>21,809.24</td><td>-0.6%</td></tr><tr><td>Russell 2000</td><td>2,108.55</td><td>-0.7%</td></tr></tbody></table><figcaption class="wp-element-caption">Updated by 1:30 p.m. ET</figcaption></figure>



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/macro-economic-events/25/06/45978856/federal-reserve-rate-cuts-trump-tariffs-what-to-watch-wednesday">No Rate Cuts Yet, Fed Wants To See Where Tariffs Land: Here&#8217;s What To Watch Wednesday</a></li>
</ul>



Image created using artificial intelligence via Midjourney.

Sector ETFs

Forex

ENPH

FSLR

SEDG

Wall Street Drops As Trump Weighs Iran Action, Defense Stocks Jump: What's Driving Markets Tuesday?

Wall Street&#8217;s bearish stance on the U.S. dollar has hit levels not seen in two decades, with fund managers overwhelmingly underweight the greenback as concerns mount over America&#8217;s fiscal trajectory and Donald <a href="https://www.benzinga.com/topic/donald-trump">Trump's conflicting trade policies.</a>



According to Bank of America&#8217;s June Global Fund Managers Survey, a net 37% of respondents said they are underweight the dollar—the most extreme underallocation since January 2005.



Bank of America&#8217;s chief investment strategist Michael Hartnett described the bearish sentiment as the "most extreme view" in this month's survey. Still, he warned that crowded trades often backfire. 



See Also: <a href="https://www.benzinga.com/markets/economic-data/25/06/45971228/retail-sales-slump-more-than-expected-as-tariff-fears-hit-spending">Retail Sales Slump More Than Expected As Tariff Fears Hit Spending </a>



"Biggest summer pain trade is long the buck," Hartnett said.



The U.S. dollar index — as closely tracked by the Invesco DB USD Index Bullish Fund ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UUP#NYSE">UUP</a>) — has fallen by 12% since Trump&#8217;s inauguration day on January 20, 2025.



<h3 class="wp-block-heading">Investors Are Less Pessimistic On Growth</h3>



Despite the weak dollar outlook, global economic optimism has risen among fund managers. Since Trump paused reciprocal tariffs for 90 days and signaled willingness for trade agreements with China, global recession fears have plunged.



Just two months ago, 42% of investors surveyed expected a recession in the next 12 months. That figure has now flipped, with 36% saying a recession is "unlikely." 



Expectations for economic deterioration have dropped sharply, with only 46% forecasting a weaker global economy—down from a record-high 82% in April, marking the largest two-month swing since the 2024 election.



Conviction in a global economic "soft landing" rose to 66%, the highest since October 2024. In contrast, only 13% anticipate a "hard landing," a sharp drop from 49% in April. 



Meanwhile, expectations for a scenario where growth remains resilient without any meaningful slowdown—dubbed "no landing"—are rising, up to 16% from just 3% two months ago.



Most investors believe the final tariff rate the U.S. will impose on imports will remain modest. Only 1% see it exceeding 30%, while 77% anticipate a rate under 15%. The weighted average expected tariff is 13%, easing fears of a trade war-style disruption.



About 59% of fund managers say the Trump&#8217;s Big Beautiful Bill won't boost GDP growth, while a third see it as supportive. 



The deficit, already near 7% of GDP, is projected to worsen, with 81% forecasting a larger shortfall due to Senate provisions. Just 14% believe the bill will be self-financing.



&#8220;3 most contrarian trades based on Fund Manager Survey sentiment are&nbsp;long US&nbsp;dollar, short gold; long US, short EU stocks; long consumer, short banks,&#8221; Hartnett stated. 



<h3 class="wp-block-heading">Could Dollar Bearishness Signal A Turning Point?</h3>



Back in January 2005, when the dollar pessimism hit another extreme, the greenback had just come off a painful 33% drawdown from its July 2001 peak.



That fueled the start of a bullish dollar trend, which lasted one year.



The U.S. dollar index surged 11% between January and July 2005, extending its rally to a 14% gain by mid-November. It ultimately ended the year with a 13% advance.



The historical parallel with 2005 is hard to ignore. 



That year, bearish sentiment proved to be a powerful contrarian indicator, preceding a double-digit rebound in the greenback. 



With positioning once again heavily skewed against the dollar, traders may want to revisit that playbook. 



While structural issues like deficits and fiscal expansion loom large, near-term market pain could come from a sudden reversal higher in the U.S. currency.



Now Read



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<li><a href="https://www.benzinga.com/markets/commodities/25/06/45971364/golds-glory-days-numbered-citi-predicts-shock-25-crash-by-2026-heres-why">Gold&#8217;s Glory Days Numbered? Citi Predicts Shock 25% Crash By 2026 — Here&#8217;s Why </a></li>
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Everyone Now Hates The Dollar—Is That The Ultimate Buy Signal?

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