equities

The cumulative market capitalization of public companies that own crypto is now at $160 billion, up from roughly $90 billion to start the year — a new trend in which investors are hungry to get crypto exposure via US equities.

This expansion over the last six months reflects a larger trend in corporate treasury strategies, where firms are beginning to look at digital assets and their role as a balance sheet asset on a more mainstream basis. Some of these firms have seen their share price rise by double-digits following the news of their crypto treasury, with markets reacting to this trend that is just taking off.

mNAV and token-to-equity swaps offer whales strategic exit routes

The mNAV (multiple of Net Asset Value) is key to understanding these treasury operators. It is calculated by multiplying the NAV of the token by a multiple of currency, which is derived by dividing the enterprise value by the NAV of the token.

Although many of these treasury companies are trading above a premium mNAV, it’s not an automatic leveraged trade being put on, as speculative buying may force the price higher. The premium represents a market opinion on professional crypto management and institutional solidity, rather than simply asset backing.

Treasury firms further give large holders of tokens the opportunity for an elegant exit, even when that can avoid liquidity constraints of the traditional market. Instead of dumping directly on exchanges and potentially damaging the value, whales start moving their holding onto treasury vehicles in return for equity shares. They can then sell these equity positions on traditional financial markets, and enjoy better liquidity and stable pricing of their equity, while remaining “diversified treasury” rather than simply having dumped tokens.

This development tackles core liquidity problems in token markets while also inventing new ways to access and invest in the traditional financial world, combined with crypto markets. The durability of these valuations may hinge on thoughtful execution and the uncorrelated tailwinds from underlying crypto assets.

Strategy’s $2.5B STRC raise signals a new era of yield-bearing Bitcoin instruments

Strategy, one of Wall Street’s most prominent corporate holders of Bitcoin, has reinforced its position as a de facto Bitcoin proxy with the launch of a landmark capital raise. The company closed a $2.5 billion offering on Tuesday, making it the largest crypto-linked equity raise of the year. The deal was executed through a newly created class of perpetual preferred stock called STRC, which pays a floating monthly dividend beginning at 9%.

According to the company’s statement, the proceeds from the STRC issuance were used to purchase 21,021 BTC at an average price of $117,256 per coin. This brings Strategy’s total Bitcoin holdings to an astounding 628,791 BTC, valued at over $74 billion at current market prices.

STRC is expected to debut on the Nasdaq on Wednesday. Once listed, it will become the first US exchange-listed perpetual preferred security issued by a Bitcoin treasury company that offers monthly dividend payments, the company said.

The STRC raise also marks Strategy’s largest capital raise to date, eclipsing its $800 million convertible note offering from June 2024. It follows the launch of STRF in March, which Strategy’s executive chairman, Michael Saylor, once described as the firm’s “crown jewel.” The STRF product was backed by a $2.1 billion at-the-market equity program.

However, unlike STRF—which was primarily targeted at institutional investors—the new STRC product is designed with retail income investors in mind. Its floating monthly payouts and lack of maturity make it appealing to those seeking stable yield exposure linked to Bitcoin, without the risk of spot market volatility.

“Yield products such as this offer exposure without direct spot market volatility,” Vincent Liu, chief investment officer at Kronos Research, said. “It represents meaningful progress in structured capital flows that deepen Bitcoin liquidity without pressuring the order book.”

The innovative structure of STRC underscores a broader trend among corporate Bitcoin holders who are seeking to monetize their BTC reserves and attract new classes of investors.

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Wall Street’s Jim Cramer just flipped the script after years of bashing meme stocks like GameStop and AMC, by suddenly telling everyone on Tuesday night to stop shorting Kohl’s. Yeah, Kohl’s. The same department store chain that most people forgot even existed.

“The shorts have clearly overstepped their boundaries with Kohl’s. They’ve run into a buzz-saw of their own creation,” Jim said. “Even now, I think they’d be wise to cover their short and move on before they have another GameStop on their hands.”

That statement came right after Kohl’s stock went nuts. Trading was so volatile on Tuesday that it had to be temporarily halted. Once the dust settled, shares ended the day up a massive 37.62%. According to FactSet, roughly 50% of Kohl’s outstanding shares were sold short, making it a prime target for a squeeze.

Cramer calls out short sellers over Kohl’s stock surge

Let’s be clear. Jim wasn’t praising Kohl’s actual business. He straight-up said that the company’s partnerships with Sephora or Amazon weren’t driving the stock’s movement. Instead, he argued that the stock was being bought because of how heavily it was shorted.

According to Jim, this was purely a momentum play built around short interest. He pointed out that Kohl’s had been discussed on the WallStreetBets subreddit, the same place that sparked the infamous 2021 short squeeze. He said the playbook looked identical.

Back in 2021, the GameStop squeeze cost hedge funds close to $20 billion, driven by retail traders banding together online to force short sellers into panic-buying shares to close their positions.

And here’s the weirdest part: Jim used to hate this kind of stuff. He was one of the loudest voices calling out meme stocks as hype machines. He regularly said names like GameStop and AMC were being driven by emotion, not numbers. He dismissed the POTUS’ Trump Media & Technology Group (DJT) as “overvalued” and said the moves weren’t backed by revenue or profits.

Just a few years ago, Jim sided with the short sellers. He tried hard to talk down retail investor excitement during the GameStop frenzy. His 2021 take? Sell GameStop at $400. That got him roasted so badly online that a new meme was born: Inverse Cramer.

Retail traders started doing the exact opposite of what he recommended. It became a whole thing. He was mocked all over Reddit, especially in the r/WallStreetBets community, for being the poster child of outdated investment thinking.

So for him to now say hedge funds should “cover and move on” feels like a full reversal. He believes the short position doesn’t match Kohl’s fundamentals, or retail power. There’s debt, and sales are slipping, but the company isn’t falling apart. And that’s his issue. He doesn’t think the target makes sense if you’re betting on total collapse.

Jim also called out hedge funds directly, saying they should’ve closed their shorts earlier this year when the stock dipped after Wall Street panicked about President Donald Trump’s new tariffs. That spring sell-off, according to him, was the time to exit. Not now.

“In the end, the short sellers have the wrong target,” Jim said. “A company with declining sales and a lot of debt, but not one that’s about to fall apart, which is what you need if you were still shorting Kohl’s down here in the single digits.”

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The Bank of England (BoE) has asked several banks to assess their resilience to potential US dollar shocks, as concerns over Trump’s policies on global financial stability grow.

Trump’s departure from long-standing US positions on free trade and defense has rattled confidence in the dollar—the world’s dominant reserve and trade currency—sending shockwaves through global markets.

The uncertainty has also reached lawmakers, who debate whether continued reliance on dollar distribution is sustainable amid rising economic risks.

Uncertainties surround the US dollar as nations rethink their reliance on the country 

The US Federal Reserve has asserted that the central bank will continue using dollars in its operations. However, following Trump’s policy shift, the US’s European trading partners are rethinking their reliance on the country.

The European regulators have gone to the extent of triggering the Bank of England, the central bank responsible for maintaining monetary and economic stability for the country, to emphasize to lenders the urgency of assessing their dollar funding approach in their operations. Moreover, according to sources familiar with the situation, it has also requested them to examine their reliance on the currency for short-term needs.

Considering the intense nature of the situation, a Britain-based global bank was recently requested to conduct an internal stress test on the possibility of a shutdown for the US dollar swap market.

Richard Portes, an economics professor at London Business School and a former Chair of the Advisory Scientific Committee for the European Systemic Risk Board, mentioned that in a worldwide dollar funding crisis, the Fed may be reluctant to provide swaps due to concerns about a strong reaction from Trump. Portes explained that the Fed mainly focuses on keeping monetary policy independent.

He further urged the supervisors of foreign banks to encourage their banks to reduce their dollar exposures drastically.

In response to Portes’s statement, the Prudential Regulation Authority, the supervisory part of the Bank of England, requested separate information from several banks concerning the situation, people with knowledge of the matter who wished to remain anonymous due to the confidential nature of the situation said.

When asked to comment, neither the Bank of England’s representative nor the global UK banks ‘ spokespersons that operate in banks such as  HSBC, Standard Chartered, and Barclays respond to a request for comments.

Contrastingly, a spokesperson from the White House responded to a request for comment. In a statement, the spokesperson mentioned that during President Trump’s administration, several markets and investors demonstrated strong confidence in the US dollar. 

The spokesperson based the argument on the increase in bonds, stocks, and historic investments that have increased to trillions of dollars since Trump’s election day.

Analysts express concerns about the US Fed’s financial stance

Earlier assessment of internal stress test on the US dollar revealed that euro zone banks required approximately one-fifth of the currency in their operations. The assessment also revealed that they highly rely on financial borrowing from short-term markets, which are unreliable in an economic crisis.

For example, European central banks have significantly borrowed funds from the US Federal Reserve. This is where the US dollar comes from, highlighting their reliance on the currency to fill their financial gaps.

Interestingly, the US Fed has several loan programs that apply to the ECB, among other US partners. This aims to address the global US dollar shortage and prevent the effects of financial hardship from hitting the country.

Two reliable sources have highlighted that the US Fed never stopped indicating support for these safety precautions. Despite this, some sources suggest the possibility of the Fed shifting this stance.

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Crypto exchange Kraken has officially launched Kraken Derivatives US, a regulated platform offering US clients access to crypto futures trading. This marks a major step forward in Kraken’s effort to provide a fully integrated trading experience.

Through this rollout, clients can trade cryptocurrency futures directly on CME Group’s platform via Kraken Pro. Users will enjoy seamless collateral transfers, enhanced capital efficiency, and a simplified interface that combines spot and derivatives trading in one place.

That means Kraken’s clients can now trade numerous crypto futures—such as Bitcoin and Ethereum contracts—besides traditional spot markets in the Kraken Pro interface, which is the exchange’s advanced trading feature. Combining both offers instantaneous collateral transfers and enables strategies to be carried out faster.

“With this launch, Kraken clients in the US can now trade futures alongside one of the world’s most liquid cryptocurrency spot markets,” said Shannon Kurtas, Head of Exchange at Kraken.

He noted that it’s important to provide traders with broad market access and increased capital efficiency within a regulated, high-performance environment.

In making crypto futures available in a compliant and regulated environment, Kraken caters to the increasing institutional and retail demand for advanced trading instruments in the US. That’s important as US regulators grow more adamant about regulating the cryptocurrency market, putting added focus on regulatory clarity and investor protection.

Kraken develops a unified digital and traditional trading solution

The introduction of Kraken Derivatives US isn’t a once-in-a-while maneuver. It is part of Kraken’s larger plan to develop a holistic multi-asset platform where users can easily trade digital and traditional assets in a single place.

In April 2025, Kraken launched its traditional finance offering, commission-free trading in US equities. Kraken has said it makes more than 11,000 US stocks and ETFs accessible, and that all trades are open 24 hours a day. This was a major step toward breaking the barrier between crypto and traditional investing.

The company also recently introduced tokenized equities, through which customers can purchase fractionalized publicly traded stock shares on a blockchain. That means Kraken users can now manage a diverse investment playbook that features crypto coins and blue chips without leaving the platform.

Kurtas said Kraken Derivatives US is constantly working to build and expand a holistic trading experience that enables seamless trading across digital and traditional assets, all on one platform without compromise in functionality, performance, or liquidity. She said the company is building an ecosystem to serve traders in DeFi, traditional finance, and the spectrum.

We aim to create a trading system where capital can quickly and efficiently move across markets with high confidence using just one high-performance interface.

Kraken expands after acquiring NinjaTrader

This new ability for Kraken was largely facilitated by the acquisition of NinjaTrader, one of the US’s most storied retail futures trading platforms. This acquisition was strategically important for Kraken, as it added regulatory infrastructure, technology, and mastery to its business to move into older derivatives markets.

The debut of Kraken Derivatives US is the largest product to come out of that acquisition. But it’s only the beginning.

Kraken, one of the oldest crypto exchanges, said it would extend its derivatives offering later in the year to include more futures, such as commodities, foreign exchange (FX), stocks, and bonds. That development would put Kraken in direct competition with established institutions rather than those in the crypto market, offering traders a single place for managing risk and trading across all major asset classes.

The move is especially critical when institutional interest in crypto and digital assets is increasing, and hedge funds, family offices, and asset managers seek ways to enter digital markets compliantly.

By providing futures contracts, spot trading, tokenized and traditional equities under one roof, Kraken says it aims to be a power player in global finance, not just crypto.

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President Donald Trump has reignited efforts to remove Federal Reserve Chair Jerome Powell, triggering fresh anxiety across financial markets.

The renewed push has raised fears that political interference at the US central bank could spark long-term inflation and disrupt the economy.

President Trump has consistently lashed out at Powell for not cutting rates repeatedly since he returned to the White House in January. His recent comments have gone even further, suggesting that Powell should step down and suggesting that he has acted to sabotage the US economy by keeping interest rates too high.

Trump said that Powell’s resignation “would be a great thing” as he expressed frustration with the Fed’s refusal to lower rates, even as signals of weakening global growth are picking up. 

And while the president does not have the legal power to remove the Fed chair over policy disputes, his aggressive public pressure campaign has prompted speculation about a more sustained effort to meddle with the traditionally independent institution.

Trump’s repeated attacks have undermined investor confidence and left many worried that a politicized Fed might lose the resolve to fight inflation in favor of providing a temporary economic boost.

Markets hedge against inflation fears

The financial markets have answered with one clear statement: investors are bracing for higher inflation.

The yield on longer-dated US Treasury bonds has risen, indicating expectations that future interest rates will rise as inflation starts to creep up. However, analysts caution that if Trump persuades the central bank to cut rates too soon, it could trigger an overheating economy.

“If markets believe that a politically-captured Fed will lower rates to stimulate growth regardless of economic consequences, long-term inflation expectations will rise, causing the curve to steepen,” said Guy LeBas, chief fixed income strategist at asset manager Janney Capital Management. It was difficult to predict the exact scale of the market reaction. Still, he believed the move could be significant, measured in percentage-point increases in 30-year Treasury yields rather than basis points.

A steepening yield curve is of particular concern to homeowners and businesses when long-term borrowing costs rise more rapidly than short-term borrowing. Rising rates on 30-year mortgages, car loans, and corporate bonds would raise borrowing costs, crimp household budgets, and squeeze corporate profits.

The dollar has also begun to wobble. The greenback fell against most other major currencies as investors anticipated looser monetary policy. Looser money tends to weaken the dollar, making imports more expensive, which throws fuel onto the fire of inflationary pressures that Trump’s trade tariffs have lit.

Wall Street economists rise to the defense of Fed independence

The reaction on Wall Street and across the broader business community to Trump’s campaign has been swift. JPMorgan Chase CEO Jamie Dimon issued a strong warning, emphasizing that central bank independence is essential for economic stability. During a Tuesday investor call, he cautioned that undermining this independence could lead to serious, unintended consequences.

Other economists agree. Most say that the Feds’ credibility lies in their ability to act without being swayed by political pressure. Suppose the markets believe that the Fed is caving to the White House. In that case, the potential for volatility is not limited to bonds, but could ripple through stocks, commodities, and various global currencies.

Minutes of the Fed’s June 17–18 meeting, released last week, provided little support for a rate cut when the central bank meets next on July 29–30. Most policymakers were concerned about inflationary risks, specifically the inflationary risks posed by Trump’s protectionist trade policies. And with tariffs still in effect on tens of billions of dollars’ worth of goods, inflation pressures are already simmering.

However, instead of heeding the warnings, Trump and his aides have doubled down. In recent weeks, top officials have gone on financial news programs and social media, repeating calls for lower interest rates and saying Powell should resign if he won’t bend.

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The S&P 500 is finally catching up to international markets after getting outperformed in the first half of 2025.

While investors with diversified portfolios have been leaning on non-US assets for returns, July is flipping the script. The US index is now outpacing major global ETFs that had previously taken the lead, including those tied to Europe, emerging markets, and ex-US world stocks.

This reversal comes even as trade tensions are ramping up again under President Donald Trump. During a call with Kristen Welker of NBC’s “Meet the Press,” Trump pointed to Wall Street’s record levels as proof the tariffs are being “very well-received.” For US investors locked into the S&P 500, that confidence seems justified… at least for now.

White House targets Brazil and Canada as ETFs slide

US markets may be up, but foreign assets are under pressure. The iShares MSCI Brazil ETF (EWZ), which had been outperforming the S&P 500 earlier this year, is now down 4.6% just in July.

That drop came after Trump slapped a brutal 50% tariff on Brazilian imports this week. The iShares MSCI Canada ETF (EWC) is also falling behind, following a similar pattern. Both countries are now facing direct trade retaliation from Washington, and the market is reacting fast.

Ulrike Hoffmann-Burchardi, Chief Investment Officer for the Americas and Global Head of Equities at UBS Global Wealth Management, said in a note that Trump appears “emboldened to escalate trade actions” after winning some recent policy fights.

Ulrike noted that many of the most heavily weighted stocks in the S&P 500 are largely safe from these tariff shocks. “We think the index can climb to 6,500 by June next year despite periodic volatility,” she wrote. That would represent about a 4% rise from where the index stood last Friday.

The insulation Ulrike is talking about comes from the S&P 500’s heavy exposure to tech and other sectors that aren’t directly tied to the flow of physical goods.

That makes it harder for tariffs to dent the value of many big US companies. It also gives domestic stocks a cushion that international funds just don’t have right now.

US recovers dominance as global bets lose steam

During the first half of 2025, foreign markets had the upper hand—a rare situation, given the last decade of US-led performance. But by July, that dynamic has started to swing back.

Vanguard’s global ETFs excluding the US are now trailing the S&P 500, wiping out earlier gains. Investors who went all-in on diversification at the start of the year are now watching US stocks pull ahead again.

Peter Oppenheimer, Chief Global Equity Strategist at Goldman Sachs International, said US equities are still pricey. “Valuation spreads between the US and the rest of the world are at historical highs,” Peter wrote in a client memo.

Even with that, he admitted that the US has reclaimed its footing faster than expected. “After a decade of US-led dominance, the case for diversification is back,” he said, but current numbers are proving otherwise.

The S&P 500’s comeback puts pressure on global funds that were supposed to be the safe bet in a volatile election year. But that safety looks weaker now that Brazil and Canada are taking direct hits. Trump’s new tariffs are doing more damage abroad than at home, at least in the short term.

Investors with broader exposure might feel the squeeze more than those who stuck with the core US index. And with Ulrike forecasting a 6,500 level by next summer, that bet on the S&P 500 is starting to look more appealing again, even if it comes with occasional swings.

Right now, the American stock market is running hot, tariffs or not. And unless something drastic changes, July could be the point where the US fully reclaims its lead from the rest of the world.

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Global stocks are breaking records in 2025 while Donald Trump keeps yelling tariffs from the White House. Investors clearly aren’t flinching. They’ve heard it before. And this time, they’re not pulling money out of the system.

According to CNBC, the MSCI All Country World Index, which tracks over 2,500 stocks worldwide, jumped nearly 10% since January and hit an all-time high on July 4.

Greece, Poland, and the Czech Republic are leading the global pack with massive year-to-date gains. Greece is up nearly 60%, Poland jumped 56%, and the Czech Republic hit 52%, all beating out the US, which only managed about 7% during the same stretch.

Europe gains while American stocks crawl

Greece’s equity surge is backed by a mix of banking gains, economic recovery, and tourist dollars. Gabriel Sacks, who leads global emerging markets equities at Aberdeen, said Greece has been ahead in Eastern Europe for a while, thanks to its economy bouncing back, cleaned-up banks, and a strong tourism season. Investors also liked that the Greek government started paying back its bailout debt early and kept running fiscal surpluses.

George Efstathopoulos, a multi-asset manager at Fidelity International, said Greek stocks should keep climbing because of how well Greek banks are doing. Poland and the Czech Republic followed close behind, with strong year-to-date performances. Among the ten top-performing markets globally, eight are in Europe. Alongside Greece, Poland, and the Czech Republic, other top performers include Spain, Italy, and Germany.

Michael Field, the EMEA Chief Equity Market Strategist at Morningstar, said the “sell America” trend at the start of the year and improving economic numbers in Europe pulled cash into those markets. Michelle Gibley, Director of International Research at Schwab, said Germany’s break from austerity also helped fuel growth.

Defense and bank stocks in Europe are performing well and facing less risk from US tariffs. Mark Mobius, who chairs the Mobius Emerging Opportunities Fund, said those sectors are safer from Trump’s trade policies and still producing solid returns.

Meanwhile, US stocks took a hit earlier in the year as investors fled Trump’s chaotic economic messaging. But by midyear, the S&P 500 and the Nasdaq managed to recover and hit fresh highs. Still, their total growth this year is low compared to the booming European markets.

Asia splits as Korea rises and Thailand crashes

Asia’s performance is all over the place. South Korea has been one of the few bright spots, jumping over 30% year-to-date. That came despite Trump putting a 25% tariff on Korean exports and political drama back home. Daniel Yoo, a global strategist at Yuanta Securities, said the market already expected the tariffs and priced them in. He thinks there’s still a chance those tariffs get reduced if talks drag out until August 1, the deadline for the countries still negotiating with Trump’s White House.

Manishi Raychaudhuri, the CEO at Emmer Capital Partners, said Korean exporters might survive Trump’s trade hits because US buyers would probably just eat the extra costs. Investors were also optimistic after Lee Jae-myung from the opposition party won a snap election in June, replacing Yoon Suk Yeol. Yoon had tried to declare martial law earlier in the year and got forced out. Morningstar’s senior analyst Kai Wang said sectors like shipbuilding and high-bandwidth AI chip manufacturing helped fuel Korea’s growth.

China’s stock market climbed more than 17% this year, even while staying in Trump’s crosshairs. Steven Sun, head of research at HSBC Qianhai Securities, said investors expect the yuan to strengthen, earnings to improve, and policies to help. But he warned there’s no major stimulus planned, so pressure remains on China’s overall growth.

Thailand is at the very bottom. Its market dropped more than 13% in 2025, dragged down by political messes, weak tourism, and US auto tariffs that hit Thai car part exports. Sacks said the country is still trying to crawl out of the Covid-era slump.

Right above Thailand sits Turkey, where inflation, capital flight, and political repression continue to scare off investors. Sacks said any hopes for recovery disappeared when Istanbul’s mayor was arrested. Mobius added that the Turkish lira collapsing by almost 13% against the US dollar didn’t help either.

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