WS #13636

The dominant market narrative is a risk-on rally driven by a weak July jobs report (nonfarm payrolls -23,000 vs +83,000 expected, with downward revisions), which has reduced expectations for a Fed rate hike in September. The S&P 500 closed at a record high (+0.62% to 7,757.64), the Nasdaq surged +1.30%, and the Dow rose +0.28%. This is corroborated by multiple sources (Bloomberg, GDELT, NPR, CNBC). The weak jobs data also triggered a sharp rally in gold (+3.1% to $4,371.93, weekly gain >7%) and heavy call buying in GLD and GDX, while Treasury yields fell (2-year to ~4.2%). The Senate passed the Lindsey O. Graham Sanctioning Russia and Iran Act (86-11), which authorizes tariffs up to 100% on countries buying Russian oil (India, China) and expands sanctions on Iran's energy sector—this is a significant geopolitical development with potential oil price implications, though it now heads to the House with uncertain timing. In corporate news, Trump Media (DJT) terminated its business combination with Crypto.com, pivoting to a marketing agreement, which is a negative for DJT's crypto ambitions. Alphabet (GOOGL) is planning a $20-25B bond sale to fund AI infrastructure, and Nikkei reports that five tech giants' off-balance-sheet 'hidden debts' have soared to $1.65 trillion, raising concerns about AI spending sustainability. The 'SaaSpocalypse' debate continues with Atlassian and Twilio posting historic pops, while HubSpot and Datadog tumbled. SpaceX (SPCX) surged 16% on an upgrade and easing lockup concerns. Ashland (ASH) is exploring a sale after takeover interest. The Strait of Hormuz situation remains a key overhang, with reports that Saudi oil exports to the US have fallen to zero and Iran striking 'hostile targets' in Hormuz, but markets are currently looking past this due to the Fed pivot narrative.