2025-07-30 15:51

JPMorgan, Coinbase open crypto access for credit card holders Move highlights growing mainstream traction for digital assets Crypto exchange's shares rise 3% July 30 (Reuters) - U.S. banking giant JPMorgan (JPM.N) , opens new tab partnered with Coinbase (COIN.O) , opens new tab on Wednesday to allow customers to fund their wallets using its Chase credit cards and buy cryptocurrency on the exchange starting in fall 2025. Once viewed warily by traditional financial institutions, the digital assets industry has gained enough traction among consumers and investors that large banks are now entering the space. Sign up here. From custody services to card-linked purchases, financial heavyweights are increasingly offering crypto-related products and mulling new use cases for the tokens, signaling how far the once-nascent market has matured. The cryptocurrency market recently touched a $4 trillion valuation and is expected to grow further as regulatory clarity in major markets such as the United States drives broader adoption. Starting in 2026, Chase customers will be able to redeem credit card reward points for USDC, a U.S. dollar-pegged stablecoin, and directly link their bank accounts to Coinbase to fund crypto purchases. Coinbase shares rose 3% in morning trading, after the partnership was announced. Stablecoins are a type of token designed to shield users from price volatility and are widely used as a bridge between traditional finance and digital assets. With rising demand for low-cost, instant transactions, stablecoins are poised for rapid growth as adoption spreads across payments, trading and emerging financial platforms. "Crypto adoption is set to accelerate following the passage of the GENIUS Act," BCA Research said in a note. "Companies across the crypto ecosystem are well-positioned to benefit from digital asset growth and price appreciation." Earlier this month, PNC (PNC.N) , opens new tab said it was working with Coinbase to offer crypto trading to the bank's customers. Coinbase shares have surged around 50% so far this year, giving the crypto exchange a market value of about $95 billion, through previous close. The company recently secured a spot in the benchmark S&P 500 index, in a milestone for the industry. https://www.reuters.com/business/finance/jpmorgan-enable-crypto-purchases-via-credit-cards-coinbase-tie-up-2025-07-30/

2025-07-30 15:02

Shares rise over 20% N. American Q2 sales fall 17%, Asia-Pacific drop 21% Company confirms launch of affordable "Sprint" model July 30 (Reuters) - Harley-Davidson's (HOG.N) , opens new tab shares jumped more than 20% on Wednesday after it announced a sale of loans worth over $5 billion to (KKR.N) , opens new tab and PIMCO, as the company looks to reduce its debt pile while navigating headwinds from tariffs and slowing demand. The motorcycle maker, however, reported quarterly profit below estimates and withheld annual forecasts due to tariffs, noting a $17 million hit during the first half of the year. Sign up here. "Despite the EPS miss, shares traded higher pre-market as investors focused on the positive transaction aspects. In our view, while the deal is a positive, HOG faces major headwinds," CFRA Research analyst Garrett Nelson said. Harley plans to reduce its debt by $450 million with the deal, while retaining full control and majority ownership of its financial arm. The deal, which is expected to close in the second half of the year, will likely generate $1.25 billion in cash, the company added. Leisure vehicle demand has been on a decline in the U.S., with consumers rethinking non-essential purchases in an uncertain economy. Harley has also struggled to win over younger riders, who prefer fuel efficient models with modern safety features. On Wednesday, the legacy motorcycle maker confirmed the launch of its small and "Sprint" model, aimed at U.S. and international markets with a targeted entry price below $6000. Between February and now, close to 100 U.S. companies have either withdrawn or cut , opens new tab their guidance as uncertainty over tariffs throws financial planning out of gear, with most of them from the consumer and automotive and transportation sectors, according to Reuters calculations. Rival Polaris (PII.N) , opens new tab, which owns the "Indian" brand of motorcycles, also held back its full-year guidance. In May, the company said it was evaluating an investment for its financial arm. Harley-Davidson's profit fell to $108 million, or 88 cents per share, in the second quarter from $218 million, or $1.63 per share, a year earlier. Analysts on average had expected a profit of 96 cents per share, according to data compiled by LSEG. https://www.reuters.com/business/autos-transportation/harley-davidson-sells-5-bln-loan-portfolio-tariff-headwinds-persist-2025-07-30/

2025-07-30 14:29

Bank of Canada keeps its policy rate unchanged at 2.75% Anticipates economy contracting by 1.5% in the second quarter Refrains from giving central economic forecast Shares three scenarios of outcome of the tariff war OTTAWA, July 30 (Reuters) - The Bank of Canada held its key policy rate at 2.75% for the third time in a row on Wednesday, as expected, and said the risk of a severe and escalating global trade war had diminished. But for the second consecutive quarter, the central bank declined to give detailed forecasts for the Canadian economy, citing the uncertainty around U.S. trade policy. Sign up here. The bank also said that if the economy weakened further it could cut rates, provided upward pressures on inflation were kept in check. Although Canada faces tariffs on three sectors, the overall effects have been contained. The economy has weakened only slightly, job growth is robust and closely-tracked metrics of core inflation are firm. "Canada's economy is showing some resilience so far... inflation is close to our 2% target, but we see evidence of underlying inflation pressures," said Governor Tiff Macklem. The situation could change on August 1, the deadline for the United States and Canada to reach a trade deal and the date when U.S. President Donald Trump has threatened to impose 35% tariffs on some Canadian goods. The BoC aggressively eased rates by 225 basis points starting in June last year, but since March has paused as it waits to assess the impact of tariffs on the economy and prices. "Since April, the risk of a severe and escalating global trade conflict has diminished," the bank said in its quarterly monetary policy report. "Nevertheless, how U.S. trade policy will unfold remains highly uncertain." Rather than issuing forecasts, the bank presented three different scenarios. The first scenario assumes existing tariffs on steel, aluminum, automobiles and on goods not compliant with a continental free trade pact will be maintained, GDP contracts by 1.5% in the second quarter of 2025 and rises by 1% in the second half before reaching 1.8% in 2027, while total inflation stays close to 2% over the next two years. The other scenarios look at the impact should tariffs around the world decrease or increase. In the de-escalation scenario, lower tariffs improve the growth outlook and reduce the direct cost pressures on inflation while in the opposite scenario, higher tariffs weaken the economy and increase direct cost pressures, Macklem said. "We will be following tariff developments closely and assessing indicators of underlying inflation," he said, adding that the central bank would continue to support economic growth while ensuring inflation was controlled. "If a weakening economy puts further downward pressure on inflation and the upward price pressures from the trade disruptions are contained, there may be a need for a reduction in the policy interest rate," he said. Money markets assume a more than 81% chance of another hold in interest rates in September and do not expect any more cuts this year. "The Bank appears to be getting a little more comfortable with the notion that the Canadian economy will need the support from further interest rate cuts in the future," Andrew Grantham, senior economist at CIBC Capital Markets wrote in a note. "It is clearly not there yet and upcoming data will remain more important," he added. The Canadian dollar weakened after the monetary policy report and traded down 0.30% to 1.3811 to the U.S. dollar, or 72.41 U.S. cents. https://www.reuters.com/world/americas/bank-canada-holds-rates-steady-says-global-trade-war-risk-has-eased-2025-07-30/

2025-07-30 14:24

July 30 (Reuters) - Wells Fargo Investment Institute on Wednesday became the latest Wall Street research house to lift its year-end target for the S&P 500 index, citing tariff delays and strong corporate earnings. The Wells Fargo bank (WFC.N) , opens new tab subsidiary sees the benchmark index (.SPX) , opens new tab ending 2025 between 6,300 and 6,500, up from a prior range of 5,900 to 6,100. Sign up here. The target raise follows U.S. President Donald Trump delaying his reciprocal tariffs and signing deals with trade partners including EU and Japan. Earlier this month, Trump also signed into law tax and spending cuts that would benefit corporate earnings. "The dilution of tariff implementations and the new business tax provisions should improve earnings growth and investor sentiment," Wells Fargo said in a note. Earlier this month, research firms Goldman Sachs, Bank of America, Oppenheimer and RBC Capital Markets also raised their S&P 500 targets. For the year, Wells Fargo increased its U.S. GDP growth forecast to 1.3% from 1.0% earlier. The U.S. economy expanded at a brisk 3% annualized pace in the second quarter, buoyed primarily by a sharp retreat in imports and a tempered rise in consumer outlays. Wells Fargo also lifted its earnings-per-share forecast for the S&P 500 index to $265 from $260. It raised its index target for 2026 to a range of 6900-7100 from 6400-6600. The institute maintained its preference for U.S. large- and mid-cap equities over small caps and emerging markets, and reiterated its view that the U.S. dollar will remain resilient amid diverging global growth trajectories. https://www.reuters.com/business/wells-fargo-joins-wall-street-chorus-lifting-sp-500s-annual-target-2025-07-30/

2025-07-30 13:49

OTTAWA, July 30 (Reuters) - The risk of a severe and escalating global trade conflict has diminished since April and there is some clarity about what U.S. tariffs will look like, the Bank of Canada said on Wednesday. But for the second quarter in a row, the bank did not issue regular economic forecasts, citing the uncertainty over the direction of U.S. trade policy. Instead it issued three scenarios as to what might happen. Sign up here. In the current tariff scenario, based on conditions on July 27, GDP grows by about 1% in the second half of 2025 and then picks up, hitting 1.8% in 2027. Inflation stays at around 2%. In the de-escalation scenario, where the U.S. and others cut tariffs, growth hits about 2% in the second half of 2025 and then averages 1.7% through the end of 2027. Inflation falls in the first quarter of 2026 before rising close to 2% in 2027. In the escalation scenario, where the U.S. and others raise tariffs, growth falls in 2025 before picking up in the first half of 2026 and rising to an average of 2%. Inflation rises to just above 2.5% in the third quarter of 2026 and then falls to around 2% in 2027. ((Reuters Ottawa bureau, +1 647 480 7921; [email protected] , opens new tab)) Keywords: CANADA CENBANK/FORECASTS https://www.reuters.com/world/americas/bank-canada-says-risk-severe-global-trade-conflict-has-diminished-2025-07-30/

2025-07-30 13:33

LONDON, July 30 (Reuters) - Hedge fund Man Group (EMG.L) , opens new tab posted a more than 40% fall in first-half core profit on Wednesday as fee income dropped, even as its assets under management rose 14% to a record $193.3 billion. The company's shares fell by as much as 5.75% at the market open, before reversing track to stand more or less steady on the day. Sign up here. Hedge fund returns so far this year show a stark divide between those that have been able to navigate U.S. President Donald Trump's erratic decision-making and switch tactics quickly and those hemmed in by algorithmic strategies. "During a particularly volatile first half of 2025, we delivered positive investment performance overall and achieved net inflows of $17.6 billion," said Robyn Grew, CEO of Man Group, which runs funds spanning a range of strategies. Net inflows surged 1,855% in the twelve months to June 30, driven by the hedge fund's long-only products betting on rising asset values, it said in a statement. The bulk of the new client money came from one customer who invested $13 billion in the hedge fund's systematic strategy, Numeric, chief financial officer Antoine Forterre confirmed to Reuters in a phone call. The company also saw inflows into its credit strategies, where it runs roughly $43 billion, he added. Man reported a six-month core profit before tax collected from management and performance fees of $146 million, down 43% from $257 million in June last year. Systematic hedge funds, where algorithms ride market trends until they peter out, are down roughly 10% so far this year to the end of June, according to Societe Generale. "It proved to be one of the most challenging periods for trend-following strategies in 25 years," CEO Grew said in the statement. Man Group confirmed recently two high-profile executives would be leaving while promoting others, in order to streamline operations, part of a programme launched by Grew when she became the company's first female CEO in 2023. Grew told Reuters the restructuring at Man Group would "reduce friction" in the organisation and confirmed that its two flagship systematic divisions, Numeric and AHL, though still separate, would be managed under one roof. (This story has been corrected to say that the two senior executives will be leaving the firm, and were not let go, in paragraph 11) https://www.reuters.com/business/finance/man-groups-half-year-profit-slumps-even-assets-under-management-hit-record-193-2025-07-30/