Five key points to understand before the stock market opens on Thursday

1. First $4 trillion

On Wednesday, all three major market indexes closed on a high note, buoyed by positive sentiment surrounding AI, particularly in big tech stocks. Nvidia took the lead, becoming the first company to achieve a market cap of $4 trillion. Initially, it hit record levels just after the market opened, then increased by 1.8% to settle at a capitalization of $3.97 trillion. The Nasdaq Composite also closed at historic highs, climbing 0.94% to finish at 20,611.34. Meanwhile, the S&P 500 rose 0.61% for its first victory in three days, while the Dow Jones Industrial Average gained 217.54 points, or 0.49%.

2. Tariffs and Tensions

President Donald Trump is scheduled to host African leaders at the White House for a multilateral lunch on July 9, 2025. Recently, eight countries have reported that sudden tariffs were imposed by Trump. Notably, Brazil faced a steep 50% tariff on imports, up from a 10% charge earlier in the year. This letter addressed to Brazilian President Luiz Inacio Lula da Silva cited retaliation for specific tariff hikes linked to the treatment of former President Jair Bolsonaro, who is currently on trial regarding coup allegations from the previous year. In response, Lula indicated that Brazil would reply to this tariff imposition.

3. Leadership Changes at X Corp.

Linda Yaccarino, CEO of X Corp., announced her resignation during a keynote speech at CES 2025. Although she didn’t specify her reasons, it comes a day after controversial comments made by Musk’s AI chatbot on the platform. Sources reveal Yaccarino planned her exit for more than a week. She had joined the company in May 2023 and had been a staunch supporter of Musk’s vision, expressing gratitude for the opportunity to lead X.

4. Delta Air Lines Performance

Delta Air Lines saw its stocks jump over 10% in pre-market trading on Thursday following projections that surpassed Wall Street expectations for third-quarter revenues. The airline had beaten its second-quarter estimates but adjusted its full-year profit forecast downwards. Delta anticipates adjusted earnings between $5.25 to $6.25 per share for 2025. While CEO Ed Bastian noted that bookings have stabilized since then, he acknowledged that demand remains lower than anticipated, partly due to the impact of new tariffs.

5. Manning’s Ownership Aspirations

Former New York Giants quarterback Eli Manning expressed disinterest in buying a stake in his old team. He commented that the asking price for minority ownership in the team was simply too high. With NFL team valuations skyrocketing in recent months, the Giants are valued at $7.855 billion, compared to the Eagles, which recently sold minority stakes at an $8.3 billion valuation. Manning still intends to stay involved with the Giants organization in some capacity.